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114th Congress    }                                      {       Report
                                 SENATE
 1st Session      }                                      {       114-57

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



 
     MILITARY CONSTRUCTION, VETERANS AFFAIRS, AND RELATED AGENCIES 
                        APPROPRIATION BILL, 2016
                                _______
                                

                 May  21, 2015.--Ordered to be printed

                                _______
                                

           Mr. Kirk,  from the Committee on Appropriations, 
                        submitted the following

                                 REPORT

                        [To accompany H.R. 2029]

    The Committee on Appropriations, to which was referred the 
bill (H.R. 2029) making appropriations for military 
construction, the Department of Veterans Affairs, and related 
agencies for the fiscal year ending September 30, 2016, and for 
other purposes, reports the same to the Senate with an 
amendment, and recommends that the bill as amended do pass.



Amounts in new budget authority

Total of bill as reported to the Senate.................$280,711,140,000
Amount of 2015 appropriations........................... 169,188,368,000
Amount of 2016 budget estimate.......................... 281,923,122,000
Amount of House allowance............................... 279,725,640,000
Bill as recommended to Senate compared to--
    2015 appropriations.................................+111,522,772,000
    2016 budget estimate................................  -1,211,982,000
    House allowance.....................................    +985,500,000











                                CONTENTS

                              ----------                              
                                                                   Page
Background:
    Purpose of the Bill..........................................     4
    Committee Recommendation.....................................     4
    Overview and Summary of Bill.................................     4
Title I:
    Military Construction:
        Items of Special Interest:
            Hearings.............................................     6
            Summary of Committee Recommendations.................     6
            Reprogramming Guidelines.............................     6
            Real Property Maintenance............................     7
            Incremental Funding..................................     7
            Missile Defense......................................     7
        Military Construction Overview...........................    14
        Military Construction, Army..............................    14
        Military Construction, Navy and Marine Corps.............    14
        Military Construction, Air Force.........................    15
        Military Construction, Defense-Wide......................    15
        Military Construction, Army National Guard...............    16
        Military Construction, Air National Guard................    17
        Military Construction, Army Reserve......................    17
        Military Construction, Navy Reserve......................    17
        Military Construction, Air Force Reserve.................    18
        North Atlantic Treaty Organization: Security Investment 
          Program................................................    18
        Family Housing Overview..................................    18
        Family Housing Construction, Army........................    19
        Family Housing Operation and Maintenance, Army...........    19
        Family Housing Construction, Navy and Marine Corps.......    19
        Family Housing Operation and Maintenance, Navy and Marine 
          Corps..................................................    19
        Family Housing Construction, Air Force...................    20
        Family Housing Operation and Maintenance, Air Force......    20
        Family Housing Operation and Maintenance, Defense-Wide...    20
        Family Housing Improvement Fund..........................    20
        Chemical Demilitarization Construction, Defense-Wide.....    21
        Department of Defense Base Closure Account...............    21
        Administrative Provisions................................    21
Title II:
    Department of Veterans Affairs:
        Items of Special Interest:
            Hearings.............................................    24
            Summary of Committee Recommendations.................    24
            Department Overview..................................    24
        Veterans Benefits Administration.........................    29
            Compensation and Pensions............................    30
            Readjustment Benefits................................    31
            Veterans Insurance and Indemnities...................    32
            Veterans Housing Benefit Program Fund................    32
            Vocational Rehabilitation Loans Program Account......    33
            Native American Veteran Housing Loan Program Account.    33
        Veterans Health Administration...........................    34
            Medical Services.....................................    38
            Medical Support and Compliance.......................    49
            Medical Facilities...................................    50
            Medical and Prosthetic Research......................    50
            Medical Care Cost Recovery Collections...............    52
        National Cemetery Administration.........................    54
        Departmental Administration..............................    55
            General Administration...............................    55
            Board of Veterans Appeals............................    56
            General Operating Expenses, Veterans Benefits 
              Administration.....................................    56
            Information Technology Systems.......................    58
            Office of Inspector General..........................    62
            Construction, Major Projects.........................    63
            Construction, Minor Projects.........................    66
            Grants for Construction of State Extended Care 
              Facilities.........................................    67
            Grants for Construction of Veterans Cemeteries.......    68
        Administrative Provisions................................    69
Title III:
    Related Agencies:
        American Battle Monuments Commission:
            Salaries and Expenses................................    72
            Foreign Currency Fluctuations........................    72
        United States Court of Appeals for Veterans Claims: 
          Salaries and Expenses..................................    73
        Department of Defense--Civil: Cemeterial Expenses, Army:
            Salaries and Expenses................................    73
        Armed Forces Retirement Home: Trust Fund.................    74
        Administrative Provisions................................    74
Title IV: General Provisions.....................................    75
Program, Project, and Activity...................................    76
Compliance With Paragraph 7, Rule XVI, of the Standing Rules of 
  the 
  Senate.........................................................    76
Compliance With Paragraph 7(c), Rule XXVI of the Standing Rules 
  of the Senate..................................................    77
Compliance With Paragraph 12, Rule XXVI of the Standing Rules of 
  the Senate.....................................................    78
Budgetary Impact of Bill.........................................    80
Military Construction Project Listing by Location................    81
Comparative Statement of Budget Authority........................   109


                               BACKGROUND

                          Purpose of the Bill

    The Military Construction and Veterans Affairs, and Related 
Agencies appropriations bill provides necessary funding for the 
planning, design, construction, alteration, and improvement of 
military facilities worldwide. It also finances the cost of 
military family housing and the U.S. share of the NATO Security 
Investment Program. In addition, the bill provides funding, 
including environmental remediation, for base closures and 
realignments authorized by law. The bill provides resources to 
the Department of Veterans Affairs for veterans benefits and 
healthcare and funding for U.S. cemeteries and battlefield 
monuments both in the United States and abroad, including the 
American Battle Monuments Commission and Arlington National 
Cemetery. Additionally, the bill funds the U.S. Court of 
Appeals for Veterans Claims and the Armed Forces Retirement 
Homes.

                        Committee Recommendation

    The Committee recommends new budget authority totaling 
$280,711,140,000 for fiscal year 2016 military construction, 
family housing, base closure, veterans healthcare and benefits, 
including fiscal year 2017 advance appropriations for veterans 
medical care and appropriated mandatories, and related 
agencies. This includes $198,529,342,000 in mandatory funding 
and $82,181,798,000 in discretionary funding. The table at the 
end of the report displays the Committee recommendation in 
comparison with the current fiscal year and the President's 
fiscal year 2016 request.

                   APPROPRIATIONS FOR FISCAL YEAR 2016
------------------------------------------------------------------------
                                                           Senate
                                 Budget request        recommendation
------------------------------------------------------------------------
New budget authority........      $281,923,122,000      $280,711,140,000
Previous advances provided          58,662,202,000        58,662,202,000
 for fiscal year 2016 for
 medical care...............
Less advances provided for        -173,331,739,000      -172,119,757,000
 fiscal year 2017 for
 medical care...............
Less advances provided for        -103,982,585,000      -103,982,585,000
 fiscal year 2017 for
 appropriated mandatories...
                             -------------------------------------------
      Total appropriations         277,314,324,000       276,102,342,000
       for fiscal year 2016.
------------------------------------------------------------------------

                      Overview and Summary of Bill

    The Military Construction, Veterans Affairs, and Related 
Agencies appropriations bill funds an array of programs that 
are vital to America's military personnel and their families, 
and to the Nations' veterans. For U.S. military forces and 
their families worldwide, the bill funds critical 
infrastructure, ranging from mission essential operational and 
training facilities to key quality-of-life facilities, 
including barracks, family housing, child care centers, schools 
and hospitals.
    For America's 22.3 million veterans, the bill provides the 
necessary funding for veterans benefits and healthcare, from 
prescription drugs and clinical services to the construction of 
hospitals and other medical facilities throughout the Nation.
    The bill also funds veterans cemeteries in the United 
States and provides funding for four independent agencies--the 
American Battle Monuments Commission, the U.S. Court of Appeals 
for Veterans Claims, Arlington National Cemetery, the Armed 
Forces Retirement Homes.
    Construction Contracting Outreach.--The Committee remains 
concerned about the high unemployment rate of the Nation's 
construction industry. Despite the efforts of the Office of 
Federal Procurement Policy to increase communication between 
procurement officers and industry, the Committee believes that 
local contractors very often do not know about nor have the 
opportunity to compete for local construction projects funded 
in this act. Therefore, the Committee directs the Secretaries 
of the Defense and the Veterans Affairs Departments to ensure 
that regional/district offices responsible for construction 
projects inform and engage local construction industry 
contractors, especially small businesses, minority-owned 
businesses, and women-owned businesses, about Federal 
procurement opportunities and the bidding process. The 
Committee requests a clear outreach plan from each Secretary no 
later than 90 days after enactment of this act. This plan 
should modernize traditional outreach methods to reach a 
broader group of local contractors.

                                TITLE I

                         MILITARY CONSTRUCTION

                       Items of Special Interest

                                HEARINGS

    The Subcommittee on Military Construction and Veterans 
Affairs, and Related Agencies held two hearings related to the 
fiscal year 2016 military construction budget request. 
Witnesses included representatives of the Army, Navy, Marine 
Corps, Air Force, Missile Defense Agency, Pacific Command, 
Special Operations Command, and Defense Health Agency.

                  SUMMARY OF COMMITTEE RECOMMENDATIONS

    The fiscal year 2016 budget request for military 
construction and family housing totals $8,437,620,000. The 
Committee recommends $8,083,000,000, which is $354,620,000 
below the President's budget request.

                        REPROGRAMMING GUIDELINES

    The following reprogramming guidelines apply for all 
military construction and family housing projects. A project or 
account (including the sub-elements of an account) which has 
been specifically reduced by the Congress in acting on the 
budget request is considered to be a congressional interest 
item and as such, prior approval is required. Accordingly, no 
reprogrammings to an item specifically reduced below the 
threshold by the Congress are permitted.
    The reprogramming criteria that apply to military 
construction projects (25 percent of the funded amount or 
$2,000,000, whichever is less) continue to apply to new housing 
construction projects and to improvements over $2,000,000. To 
provide the services the flexibility to proceed with 
construction contracts without disruption or delay, the costs 
associated with environmental hazard remediation such as 
asbestos removal, radon abatement, lead-based paint removal or 
abatement, and any other legislated environmental hazard 
remediation may be excluded, provided that such remediation 
requirements could not be reasonably anticipated at the time of 
the budget submission. This exclusion applies to projects 
authorized in this budget year, as well as projects authorized 
in prior years for which construction has not been completed.
    Furthermore, in instances where prior approval of a 
reprogramming request for a project or account has been 
received from the Committee, the adjusted amount approved 
becomes the new base for any future increase or decrease via 
below-threshold reprogrammings (provided that the project or 
account is not a congressional interest item as defined above).
    In addition to these guidelines, the services are directed 
to adhere to the guidance for military construction 
reprogrammings and notifications, including the pertinent 
statutory authorities contained in Department of Defense [DOD] 
Financial Management Regulation 7000.14-R and relevant updates 
and policy memoranda.

                       REAL PROPERTY MAINTENANCE

    The Committee recommends a continuation of the following 
general rules for repairing a facility under ``Operation and 
Maintenance'' account funding:
  --Components of the facility may be repaired by replacement, 
        and such replacement may be up to current standards or 
        code.
  --Interior arrangements and restorations may be included as 
        repair, but additions, new facilities, and functional 
        conversions must be performed as military construction 
        projects.
  --Such projects may be done concurrent with repair projects, 
        as long as the final conjunctively funded project is a 
        complete and usable facility.
  --The appropriate Service Secretary shall submit a 21-day 
        notification prior to carrying out any repair project 
        with an estimated cost in excess of $7,500,000.
    The Department is directed to continue to report on the 
real property maintenance backlog at all installations for 
which there is a requested construction project in future 
budget requests. This information is to be provided on the form 
1390. In addition, for all troop housing requests, the form 
1391 is to continue to show all real property maintenance 
conducted in the past 2 years and all future requirements for 
unaccompanied housing at that installation.

                          INCREMENTAL FUNDING

    In general, the Committee supports full funding for 
military construction projects. However, it continues to be the 
practice of the Committee to provide incremental funding for 
certain large projects, despite administration policy to the 
contrary, to enable the services to more efficiently allocate 
military construction dollars among projects that can be 
executed in the year of appropriation.

                            MISSILE DEFENSE

    The Committee remains committed to rapidly implementing the 
European Phased Adaptive Approach [EPAA]. The first Aegis 
Ashore missile defense site in Deveselu, Romania, is expected 
to be fully operational by the end of 2015. Construction in 
Romania has not been without difficulty, and the Committee 
notes the delays and additional costs associated with the high-
altitude electromagnetic pulse [HEMP] shields. The Committee 
fully funds the request to build the second Aegis Ashore site, 
this one in Redzikowo, Poland, and expects the Missile Defense 
Agency [MDA] to apply the lessons learned from construction in 
Romania to expedite the project in Poland. As Iranian ballistic 
missiles become increasingly advanced, the activation of the 
Aegis Ashore sites is essential to the protection of U.S. and 
allied interests in Eastern and Central Europe. The Committee 
is aware that the European Reassurance Initiative has increased 
the number of U.S. and NATO rotational forces in Europe and 
directs MDA to accelerate activation of the Aegis Ashore 
systems wherever possible.
    Long Range Discrimination Radar.--Section 128 of the 
Military Construction Appropriations Act for fiscal year 2014 
prohibited the use of funds for ``the decommissioning the 
Combined Heat and Power Plant at Clear Air Force Station, 
Alaska, until the Comptroller General of the United States 
conducts a review of the data used by the Department of 
Defense, including data in the Environmental Impact Statement 
and fiscal year 2010 Feasibility Study, to determine whether 
decommissioning the Combined Heat and Power Plant is the most 
cost-effective and beneficial option for the day-to-day 
operations and missions at the installation in support of 
United States national security.'' On April 7, 2014, the 
Government Accountability Office [GAO] released to the 
subcommittee a report in response to this mandate. After the 
completion of that report the Missile Defense Agency announced 
that Clear Air Force Station is under consideration as a 
possible site for the new Long Range Discrimination Radar 
[LRDR] facility. If the LRDR is sited at Clear Air Force 
Station, the heat and power requirements and national security 
considerations are expected to significantly exceed those 
considered in the April 2014 GAO report. Moreover, the 
operators of the LRDR may find it advantageous for the Air 
Force to maintain the Combined Heat and Power Plant for 
security and operational reasons. In light of these changed 
circumstances, the Committee urges the Air Force to delay the 
decommissioning of the Combined Heat and Power Plant at Clear 
Air Force Station until such time as the future utility 
requirements can more accurately be determined.
    Pacific Realignment.--U.S. economic and security interests 
are inextricably linked to developments in the arc extending 
from the Western Pacific and East Asia into the Indian Ocean 
and South Asia, creating a mix of evolving challenges and 
opportunities. The Department of Defense has stated that it 
would tailor its global presence and posture by rebalancing 
toward the Asia-Pacific region, emphasizing existing alliances 
and expanding networks of cooperation with emerging partners 
throughout the region to ensure collective capability and 
capacity for securing common interests. As part of this 
rebalance, the U.S. Pacific Command [PACOM] currently has 
programmed $775,000,000 over the next 5 years for military 
construction in the region.
    Approximately 39,000 U.S. military personnel, 43,000 
dependents, and 5,000 DOD civilian employees are currently 
stationed on Japan, and the majority of this presence resides 
in Okinawa. Okinawa hosts over 25 percent of the U.S. bases in 
Japan, and Okinawa's bases house approximately 8,000 Air Force 
personnel and up to 19,000 Marine Corps personnel on any given 
day. Attempts to realign, consolidate, and increase the 
sustainability of this presence have been ongoing for nearly 
two decades. Early plans were to move approximately 8,000 
Marines and 9,000 dependents from Okinawa to Guam; however, in 
2012 representatives from the U.S. and Japanese governments 
announced a revised plan that would relocate over 9,000 Marines 
from Okinawa and realign Marine forces throughout the Pacific: 
4,800 to Guam, 2,700 to Hawaii, and 2,500 rotational troops to 
Australia.
    The U.S. Government Accountability Office [GAO] has been 
reporting to this Committee on Asia Posture plans and costs 
since 2011. Based on GAO's reports, it is not clear if 
sufficient existing military infrastructure is available in any 
of the receiving locations to support the relocation or if DOD 
has developed adequate cost estimates of infrastructure 
development that will be needed to ensure mission capability. 
In addition, the U.S. Government is still negotiating certain 
host nation and land use agreements that are key to executing 
the construction plan.
    As a result, the Committee is interested in learning the 
status of progress being made on the various realignment 
initiatives, the costs associated with these plans, and whether 
any alternatives to this plan are being considered. The 
Committee directs the Comptroller General of the United States 
to conduct a study and report the results of the study to the 
Congressional defense committees by April 18, 2016. At a 
minimum, the Comptroller General's study should answer the 
following questions:
  --What is the status of the realignment initiatives, have 
        alternatives been considered, and to what extent has 
        DOD identified a plan that lays out the appropriate 
        sequencing of projects supporting the realignment of 
        Marines and the interdependent projects on Okinawa, 
        including associated timeframes and costs for the 
        projects?
  --Can the Okinawa realignment timeframe be accelerated?
  --What is the status of development of DOD's master plan to 
        support the relocation of Marines to Guam?
  --To what extent does sufficient, usable excess capacity 
        exist on bases in Hawaii to support the Marines' 
        relocation there?
  --To what extent do sufficient facilities in Australia exist 
        to support the planned force rotations there?
  --What estimated costs has DOD identified it will need to 
        develop new, or redevelop existing, infrastructure in 
        Guam, Hawaii, Australia, Alaska, or other locations it 
        may be considering for the realignment?
  --What is the status of relevant host nation and land use 
        agreements required to execute the plan?
    National Geospatial-Intelligence Agency--West.--The 
Committee recognizes the current National Geospatial-
Intelligence Agency--West [NGA West] facility is functionally 
obsolete and faces increased force protection risks. The 
Committee understands that a replacement facility is needed to 
provide a safe and secure work environment to increase 
efficiency with minimal transitional burden to its 3,000 
employees. The current lack of anti-terrorism and force 
protection measures are of great concern to the Committee. 
Further, the outdated facilities continue to require high 
maintenance costs that are increasingly unpredictable. The 
recommendation fully funds the President's request for the 
preliminary design of a new NGA West facility. The Committee 
recognizes the significant contributions of NGA toward national 
security and expects the fiscal year 2017 budget request to 
include full funding for the first phase of the new facility 
and further expects NGA to pursue construction expeditiously.
    Overseas Military Construction.--The United States' 
foremost national security priority is to protect the Nation 
and keep its citizens and its communities safe. However, in 
responding to emerging regional or global threats, the U.S. 
often bears a disproportionately large part of the cost-sharing 
burden, including the cost of infrastructure investment. 
Forward deployed military forces are a crucial element in 
protecting the security of the United States, but as military 
construction budgets decrease, our Nation's allies must 
similarly prioritize infrastructure investments as a 
cornerstone of cooperative defense policy. Therefore, the 
Department of Defense is urged to explore joint funding streams 
and seek greater host-nation contributions to U.S. military 
construction investments overseas.
    Basic Allowance for Housing.--Annual housing market surveys 
are conducted on an installation-by-installation basis, and are 
used by the Department to set proper Basic Allowance for 
Housing [BAH] rates to cover housing costs, including rent, 
utilities, and rental insurance, when servicemembers and their 
families live in off-base housing. While on-base or privatized 
housing is available on most major installations, the inventory 
is generally limited, and it is the Department's policy to rely 
on the private sector as the primary source of housing for 
eligible military personnel and their families. To determine 
the annual BAH rates, the Department analyzes rental rates in 
communities surrounding installations to determine the average 
cost of renting suitable housing. While this is generally 
effective in establishing equitable BAH rates, for 
installations in rural States or regions where housing 
availability is constrained or where adjacent housing areas may 
not reflect the average cost of housing in nearby, more 
populous, communities, servicemembers may have difficulties 
finding affordable housing within the BAH rate. The Committee, 
therefore, directs the Department to provide a report to the 
Committees on Appropriations of both Houses of Congress within 
90 days of enactment of this act on the analytics used to 
determine BAH rates for installations in rural States or 
regions, including the extent to which the rates are adjusted 
to reflect the availability-versus-demand of suitable housing 
in surrounding areas, and the extent to which the cost of rent, 
utilities and rental insurance in nearby more populous 
communities is factored into the rate.
    Department of Defense Studies.--The Committee notes that 
the Department of Defense frequently fails to complete and 
deliver to Congress significant studies in a timely manner. As 
a result, the Committee is handicapped in its ability to 
adequately evaluate the Department's requests for additional 
projects due to the realignment of forces, consolidation of 
facilities, or major force structure changes.
    Defense Access Roads and Entry Control Points.--The 
Committee remains concerned about the impact of military 
construction funding constraints on the prioritization of 
essential Defense Access Roads and Entry Control Points at a 
number of U.S. military installations. Of particular concern 
are growth installations that serve primarily as host commands 
for a wide array of military services and agencies, and bases 
that have experienced significant population growth as a result 
of base realignment activities.
    Adding to the urgency of this problem, the U.S. Northern 
Command on May 8, 2015, raised the force protection level for 
all military installations in the continental United States to 
the second highest alert level, Bravo, which applies when an 
increased or more predictable threat of terrorist activity 
exists. According to the Defense Department, the security order 
affects 3,200 sites, including bases, National Guard 
facilities, recruiting stations and health clinics. As a result 
of this action, there will be more comprehensive checking of 
those entering military installations, which could have traffic 
implications on surrounding roads. Moreover, the increased 
threat level is an urgent call to U.S. military installations 
to review the adequacy of their Defense Entry Control points, 
and to prioritize projects that will both increase security and 
ease surrounding traffic congestion.
    The Committee commends the Department of the Army for 
prioritizing entry control points and traffic mitigation 
projects in its fiscal year 2016 Unfunded Priority List, and 
recommends funding of the highest priority projects. However, 
the Committee strongly encourages the services to prioritize 
funding of projects addressing Entry Control Points and 
corresponding Defense Access Roads in their annual military 
construction budget requests.
    In addition to the security implications of adequate Entry 
Control Points and adjacent Defense Access Roads, the Committee 
also recognizes the immediate and significant transportation 
needs in many States and communities that are experiencing 
substantial population growth as a result of defense 
activities. The Department of Defense's Office of Economic 
Adjustment estimates that there is a considerable amount of 
mission-critical transportation projects in need of funding. 
For those projects that are part of a State transportation 
improvement program or that are required as a result of Base 
Realignment and Closure development, making new Federal funds 
available would allow work on these projects to begin promptly. 
By including mission-growth transportation projects as eligible 
infrastructure projects for new Federal funds, important 
improvements can be made while creating jobs and strengthening 
national security.
    The Committee supports adjustment in Defense Access Road 
eligibility thresholds and requirements for installations of 
strategic importance, and a separate and distinct Defense 
Access Road funding source to offset the impacts of base 
expansion on the surrounding transportation network. Federal 
funds are needed to complement other State and local resources 
to address the congestion issues that will persist for decades.
    Energy Policy.--The Department of Defense [DOD] is the 
largest consumer of energy in the Federal Government, 
accounting for 80 percent of the total amount of energy 
consumption. The Committee commends the Department for its 
efforts to improve the energy efficiency of its facilities and 
installations, reduce its energy consumption, and invest in 
renewable energy projects and energy security. These efforts, 
as well as programs and projects to enhance water conservation 
and improve the security of military installation energy 
sources, are key components of the Department's strategy to 
meet the Congressional and DOD mandated goals for renewable 
energy generation and energy and water efficiency. The goals 
are critical to reducing long-term energy costs to the Federal 
Government and to ensuring that military mission capabilities 
and readiness are not hampered by constraints on energy and 
water resources.
    The Committee continues to support the Department's efforts 
to incorporate green building technologies into new facility 
construction and into the renovation of existing buildings. In 
doing so, DOD and the services should seize upon leading-edge 
technologies and new and underutilized, low cost energy-
efficient technologies that provide value through minimal life-
cycle costs. In order to capture the most innovative of these 
new technologies, the Department and the services are 
encouraged to monitor new technologies emerging from 
government, industry, and academia.
    Military installations in Hawaii are among those at the 
forefront of the military's efforts to address these issues, 
including the development of net-zero energy military housing 
and installation facilities, and upgrades and retrofits for 
improved energy and water efficiency. Two of Hawaii's 
installations are serving as demonstration sites for the Smart 
Power Infrastructure Demonstration for Energy Reliability and 
Security [SPIDERS] program. The efforts underway in Hawaii, and 
at military installations elsewhere, are helping to inform 
Department-wide and Government-wide energy policies and 
investment strategies. These investments are already paying 
dividends in terms of both reduced energy consumption and cost 
savings. In testimony before the Senate Armed Services 
Committee, Secretary of the Navy Ray Mabus noted that energy 
efficiency projects underway in Hawaii are projected to save 
the Federal Government $4,500,000 per year. This is an example 
of the progress being made to reduce spending while addressing 
energy and water efficiency, conservation, and security at 
installations throughout the country.
    Water Conservation on Military Installations.--The 
Committee notes with concern the prospect of increasingly 
severe drought-related water shortages in the Nation, 
especially in the western and southwestern regions of the 
United States. California's current drought-precipitated water 
crisis and prolonged droughts in other States should serve as a 
wake-up call to the Department of Defense [DOD] to redouble its 
efforts to manage and conserve water on military installations 
throughout the country. United States Code title 10 section 
2866 grants the DOD authority to participate in programs 
conducted by a utility for the management of water demand or 
for water conservation. Section 2866 also permits the Secretary 
to carry out a military construction project for water 
conservation using funds appropriated or otherwise made 
available to the Department for water conservation, subject to 
congressional notification. The Committee encourages the 
Department to maximize its use of this and other authorities to 
preserve scarce water resources.
    The Committee also notes that water conservation projects 
are eligible for funding through the Energy Conservation 
Investment Program [ECIP]. However, only 1 of the 33 projects 
requested in the fiscal year 2016 ECIP program addresses water 
conservation. The Department is urged to give water 
conservation projects equal consideration when selecting 
projects to be funded through ECIP.
    The Committee recognizes that the DOD and the military 
services have in place a number of policies and initiatives to 
conserve water on military installations, including the Army's 
Net-Zero Water Initiative. In order to assess the current 
status of programs and policies to conserve water on military 
installations, the Secretary of Defense is directed to report 
to the Committees on Appropriations of both Houses of Congress 
within 90 days of enactment of this act on the following: (1) 
the current use of authorities provided in section 2866 or 
other relevant sections of title 10 to manage and conserve 
water on installations, including the use of water conservation 
funding for military construction projects; (2) existing 
programs and policies being used to conserve water on military 
installations; (3) the annual impact of these programs and 
policies on installation water consumption; and (4) plans for 
additional initiatives to reduce water consumption on 
installations.
    Coastal Erosion.--The Committee is aware that coastal 
erosion is a growing concern of the Department of Defense. On 
June 30, 2014, the Government Accountability Office [GAO] 
released a report (GAO-14-446), which assessed 15 existing 
sites at defense installations in the U.S. that are vulnerable 
to the effects of coastal erosion and provided recommendations 
to improve readiness and reduce fiscal exposure for DOD. Among 
its findings, the GAO noted that DOD officials are concerned 
that increased erosion on the Alaskan coast threatens several 
Air Force radar early warning and communication installations. 
Furthermore, Navy officials are concerned that if a storm surge 
occurs while a submarine is undergoing maintenance while 
sitting in a dry dock, the damage would be substantial and 
costly. Given the potential impact of coastal erosion on key 
military installations, the Committee directs the Department to 
include an assessment of coastal erosion and potential flooding 
risks in the siting of proposed military construction projects.
    Military Construction Funding Initiatives.--The bill 
includes funding for military construction initiatives to 
address important unfunded priorities included in the 
Department of Defense's Unfunded Priority List provided to 
Congress. The Committee notes that in recent years the military 
construction budget requests have been at historically low 
levels. Amounts budgeted for facility sustainment, restoration, 
and modernization are similarly low. The infrastructure 
initiatives in the services Unfunded Priority Lists would 
ordinarily appear as part of the annual budget request, but 
were not included as the military construction budget remains 
constrained.
    For this reason, the Committee includes an additional 
$34,500,000 for the Army, $34,320,000 for the Navy and Marine 
Corps, $51,300,000 for the Army National Guard, and $34,200,000 
for the Army Reserve. All additional funding is reserved for 
projects that were included in the Unfunded Priority List 
submitted to Congress.
    Rescissions.--The Committee recommends administrative 
provisions which rescind prior year unobligated funds due 
primarily to project bid savings and the slow execution of 
projects.

                     Military Construction Overview

Appropriations, 2015....................................  $4,777,212,000
Budget estimate, 2016...................................   6,653,105,000
House allowance.........................................   5,693,003,000
Committee recommendation................................   6,513,565,000

          MILITARY CONSTRUCTION ACCOUNTS--PROGRAM DESCRIPTION

    The military construction appropriation provides for 
acquisition, construction, installation, and equipment of 
temporary or permanent public works, military installations, 
facilities, and real property for the Department of Defense. 
This appropriation also provides for facilities required as 
well as funds for infrastructure projects and programs required 
to support bases and installations around the world.

                      Military Construction, Army

Appropriations, 2015....................................    $528,427,000
Budget estimate, 2016...................................     743,245,000
House allowance.........................................     663,245,000
Committee recommendation................................     663,245,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $663,245,000 for the Army for 
fiscal year 2016. This amount is $134,818,000 above the fiscal 
year 2015 enacted level, and $80,000,000 below the budget 
request. Further detail of the Committee's recommendation is 
provided in the State table at the end of this report.
    Army Readiness.--The Committee recognizes the importance of 
the Army's Combat Training Areas, including the Joint Readiness 
Training Center [JRTC] located at Fort Polk, Louisiana, in 
providing forces with joint and combined arms training across 
the full spectrum of conflict. Critical to executing this 
mission is the Joint Operations Center [JOC] that functions as 
the battle command center for all rotational training conducted 
at the installation. The Army's Future Years Defense Program 
[FYDP] includes a project to replace the JOC in fiscal year 
2021. The Committee is concerned that the lack of a modern JOC 
is hampering the ability to effectively train rotational units 
preparing to deploy overseas. The Committee directs the 
Secretary of the Army to provide an assessment of the impact 
that the current JRTC JOC has in training effectiveness, 
systems integrity and functionality, and associated maintenance 
and utility costs. The Secretary shall submit the assessment to 
the Committee within 90 days of enactment of this act.

              Military Construction, Navy and Marine Corps

Appropriations, 2015....................................  $1,018,772,000
Budget estimate, 2016...................................   1,669,239,000
House allowance.........................................   1,349,678,000
Committee recommendation................................   1,619,699,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $1,619,699,000 for Navy and Marine 
Corps military construction for fiscal year 2016. This amount 
is $600,927,000 above the fiscal year 2015 enacted level, and 
$49,540,000 below the budget request. Further detail of the 
Committee's recommendation is provided in the State table at 
the end of this report.
    Camp Pendleton Water Pipeline.--The budget request proposed 
$44,540,000 for a raw water pipeline from Camp Pendleton to the 
City of Fallbrook to upgrade the Camp Pendleton water system 
and allow the city to access water from the Santa Margarita 
watershed. The Committee is aware that the Navy and the 
Fallbrook Public Utility District are under a Federal Court 
Order to reach a settlement over water rights from the Santa 
Margarita River and that negotiations to reach such a 
settlement are ongoing. The Committee believes that an 
agreement among all the parties should be finalized and 
approved by the Court before initiating construction on this 
project. Therefore, the Committee has not provided funding for 
the project and directs the Navy to identify and report the 
project cost allocation between the Department of Defense and 
civilian entities.

                    Military Construction, Air Force

Appropriations, 2015....................................    $811,774,000
Budget estimate, 2016...................................   1,389,185,000
House allowance.........................................   1,237,055,000
Committee recommendation................................   1,389,185,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $1,389,185,000 for the Air Force 
in fiscal year 2016. This amount is $577,411,000 above the 
fiscal year 2015 enacted level, and equal to the budget 
request. Further detail of the Committee's recommendation is 
provided in the State table at the end of this report.

                  Military Construction, Defense-Wide


                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2015....................................  $1,991,690,000
Budget estimate, 2016...................................   2,300,767,000
House allowance.........................................   1,931,456,000
Committee recommendation................................   2,290,767,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $2,290,767,000 for projects 
considered within the Defense-Wide account in fiscal year 2016. 
This amount is $299,077,000 above the fiscal year 2015 enacted 
level and $10,000,000 below the budget request. Further detail 
of the Committee's recommendation is provided in the State 
table at the end of this report.
    Defense Health Agency.--The Defense Health Agency [DHA] 
employs a comprehensive approach to hospital construction, 
working closely with the military services and monitoring the 
process as military hospitals are planned, built, maintained, 
and replaced. Military hospital construction projects are 
managed by the Army Corps of Engineers or the Naval Facilities 
Engineering Command [NAVFAC], both of which have extensive 
experience and expertise in managing large construction 
projects. DHA consults with the Corps and NAVFAC throughout the 
planning, design, and construction phases of a project to help 
manage project execution and change orders. Notably, DHA also 
accepts input from clinicians early on in the design process, 
but maintains control of the project after that point, which 
serves as a limiting factor on costly and time-consuming change 
orders. The close coordination among DHA, the Corps of 
Engineers, and NAVFAC enables DHA to more efficiently manage 
the design and construction of large-scale medical facilities, 
while containing cost and schedule overruns. Given the massive 
cost overruns and lengthy delays in recent Department of 
Veterans Affairs' hospital construction projects, the Committee 
directs DHA to consult with VA on best practices in hospital 
design and construction. Further, the Committee directs DHA to 
submit a report to the Committees on Appropriations of both 
Houses of Congress within 180 days of enactment of this act 
regarding steps DHA has taken to fulfill this directive.
    Medical Military Construction.--The Committee provides 
funding for seven projects to renovate or build new medical 
treatment facilities within the Department of Defense. The 
medical military construction budget submissions for fiscal 
years 2015 and 2016 are the lowest levels of investment in 7 
years. As a result, planned projects continue to be deferred 
indefinitely in the Future Years Defense Program [FYDP]. For 
example, the Fort Leonard Wood, Missouri, hospital replacement 
originally planned for fiscal year 2016 is once again deferred 
until fiscal year 2021 or later. The Committee notes the 
Surgeon General of the United States Army testified before the 
Senate Appropriations Subcommittee on Defense on March 25, 
2015, that this hospital replacement project remains the Army's 
top medical military construction priority. The existing 
hospital last underwent a major renovation nearly 40 years ago. 
Due to the quality of life importance of this and other medical 
facilities like it, the Committee strongly encourages the 
Department to prioritize and restore medical military 
construction projects within the FYDP submitted for fiscal year 
2017. In addition, the Committee encourages the Department to 
continue collaborating with the Department of Veterans Affairs 
to pursue Joint DOD/VA medical facility projects.

               Military Construction, Army National Guard

Appropriations, 2015....................................    $128,920,000
Budget estimate, 2016...................................     197,237,000
House allowance.........................................     167,437,000
Committee recommendation................................     197,237,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $197,237,000 for Military 
Construction, Army National Guard for fiscal year 2016. This 
amount is $68,317,000 above the fiscal year 2015 enacted level, 
and equal to the budget request. Further detail of the 
Committee's recommendation is provided in the State table at 
the end of this report.
    National Guard Military Construction.--Declining military 
construction investments resulting from current budget 
constraints are negatively impacting all branches of the 
Department of Defense. However, for the National Guard, 
securing military construction funding is further inhibited by 
the need for the respective States to acquire land for a 
project before the project can be programmed for funding. While 
this is rooted in past instances in which project execution was 
jeopardized because of issues in acquiring a site, the result 
is that a State has to acquire and hold land before the Guard 
can request military construction funding for a project. This 
requirement often results in a disconnect in the availability 
of State and Federal funding for a National Guard project, 
making it more difficult for the Guard to prioritize future 
project funding. Therefore, within 120 days following enactment 
of this act, the Director of the National Guard Bureau is 
directed to report to the Committees on Appropriations of both 
Houses of Congress on ways in which the process for National 
Guard military construction funding can be streamlined and more 
efficiently coordinated with the availability of land for a 
project so that Guard projects remain competitive in the Future 
Years Defense Program.

               Military Construction, Air National Guard

Appropriations, 2015....................................     $92,663,000
Budget estimate, 2016...................................     138,738,000
House allowance.........................................     138,738,000
Committee recommendation................................     138,738,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $138,738,000 for Military 
Construction, Air National Guard for fiscal year 2016. This 
amount is $46,075,000 above the fiscal year 2015 enacted level, 
and equal to the budget request. Further detail of the 
Committee's recommendation is provided in the State table at 
the end of this report.

                  Military Construction, Army Reserve

Appropriations, 2015....................................    $103,946,000
Budget estimate, 2016...................................     113,595,000
House allowance.........................................     104,295,000
Committee recommendation................................     113,595,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $113,595,000 for Military 
Construction, Army Reserve for fiscal year 2016. This amount is 
$9,649,000 above the fiscal year 2015 enacted level, and equal 
to the budget request. Further detail of the Committee's 
recommendation is provided in the State table at the end of 
this report.

                  Military Construction, Navy Reserve

Appropriations, 2015....................................     $51,528,000
Budget estimate, 2016...................................      36,078,000
House allowance.........................................      36,078,000
Committee recommendation................................      36,078,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $36,078,000 for Military 
Construction, Navy Reserve for fiscal year 2016. This amount is 
$15,450,000 below the fiscal year 2015 enacted level, and equal 
to the budget request. Further detail of the Committee's 
recommendation is provided in the State table at the end of 
this report.

                Military Construction, Air Force Reserve

Appropriations, 2015....................................     $49,492,000
Budget estimate, 2016...................................      65,021,000
House allowance.........................................      65,021,000
Committee recommendation................................      65,021,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $65,021,000 for Military 
Construction, Air Force Reserve for fiscal year 2016. This 
amount is $15,529,000 above the fiscal year 2015 enacted level, 
and equal to the budget request. Further detail of the 
Committee's recommendation is provided in the State table at 
the end of this report.

                   North Atlantic Treaty Organization


                      SECURITY INVESTMENT PROGRAM

Appropriations, 2015....................................    $199,700,000
Budget estimate, 2016...................................     120,000,000
House allowance.........................................     150,000,000
Committee recommendation................................     120,000,000

                          PROGRAM DESCRIPTION

    The North Atlantic Treaty Organization [NATO] appropriation 
provides for the U.S. cost share of the NATO Security 
Investment Program for the acquisition and construction of 
military facilities and installations (including international 
military headquarters) and for related expenses for the 
collective defense of the NATO Treaty area.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $120,000,000 for the North 
Atlantic Treaty Organization Security Investment Program [NSIP] 
for fiscal year 2016 as requested. This amount is $79,700,000 
below the fiscal year 2015 enacted level and equal to the 
budget request.

                        Family Housing Overview

Appropriations, 2015....................................  $1,190,535,000
Budget estimate, 2016...................................   1,413,181,000
House allowance.........................................   1,413,181,000
Committee recommendation................................   1,413,181,000

                          PROGRAM DESCRIPTION

    The Family Housing appropriation provides funds for 
military family housing construction activities, operation and 
maintenance, the Family Housing Improvement Fund, and the 
Homeowners Assistance Program. Construction accounts provide 
funding for new construction, improvements and the Federal 
Government share of housing privatization. Operation and 
maintenance accounts fund costs associated with the maintenance 
and leasing of military family housing, including utilities, 
services, management, and furnishings.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $1,413,181,000 for Family Housing 
Construction, Operations and Maintenance, and the Department's 
family housing improvement fund for fiscal year 2016. This 
amount is $222,646,000 above the fiscal year 2015 enacted level 
and equal to the budget request.

                   Family Housing Construction, Army

Appropriations, 2015....................................     $78,609,000
Budget estimate, 2016...................................      99,695,000
House allowance.........................................      99,695,000
Committee recommendation................................      99,695,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $99,695,000 for Army Family 
Housing Construction in fiscal year 2016, an amount equal to 
the budget request and $21,086,000 above the fiscal year 2015 
enacted level. Further detail of the Committee's recommendation 
is provided in the State table at the end of this report.

             Family Housing Operation and Maintenance, Army

Appropriations, 2015....................................    $350,976,000
Budget estimate, 2016...................................     393,511,000
House allowance.........................................     393,511,000
Committee recommendation................................     393,511,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $393,511,000 for family housing 
operation and maintenance, Army for fiscal year 2016. This 
amount is $42,535,000 above the fiscal year 2015 enacted level 
and equal to the budget request.

           Family Housing Construction, Navy and Marine Corps

Appropriations, 2015....................................     $16,412,000
Budget estimate, 2016...................................      16,541,000
House allowance.........................................      16,541,000
Committee recommendation................................      16,541,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $16,541,000 for Family Housing 
Construction, Navy and Marine Corps. This amount is $129,000 
above the fiscal year 2015 enacted level and equal to the 
budget request. Further detail of the Committee's 
recommendation is provided in the State table at the end of 
this report.

    Family Housing Operation and Maintenance, Navy and Marine Corps

Appropriations, 2015....................................    $354,029,000
Budget estimate, 2016...................................     353,036,000
House allowance.........................................     353,036,000
Committee recommendation................................     353,036,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $353,036,000 for family housing 
operation and maintenance, Navy and Marine Corps, in fiscal 
year 2016. This amount is $993,000 below the fiscal year 2015 
enacted level and equal to the budget request.

                 Family Housing Construction, Air Force

Appropriations, 2015....................................................
Budget estimate, 2016...................................    $160,498,000
House allowance.........................................     160,498,000
Committee recommendation................................     160,498,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $160,498,000 for Family Housing 
Construction, Air Force, in fiscal year 2016. This amount is 
equal to the budget request. Further detail of the Committee's 
recommendation is provided in the State table at the end of 
this report.

          Family Housing Operation and Maintenance, Air Force

Appropriations, 2015....................................    $327,747,000
Budget estimate, 2016...................................     331,232,000
House allowance.........................................     331,232,000
Committee recommendation................................     331,232,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $331,232,000 for family housing 
operation and maintenance, Air Force, in fiscal year 2016. This 
amount is $3,485,000 above the fiscal year 2015 enacted level 
and equal to the budget request.

         Family Housing Operation and Maintenance, Defense-Wide

Appropriations, 2015....................................     $61,100,000
Budget estimate, 2016...................................      58,668,000
House allowance.........................................      58,668,000
Committee recommendation................................      58,668,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $58,668,000 for family housing 
operation and maintenance, Defense-Wide, for fiscal year 2016. 
This amount is $2,432,000 below the fiscal year 2015 enacted 
level and equal to the budget request.

                    Family Housing Improvement Fund

Appropriations, 2015....................................      $1,662,000
Budget estimate, 2016...................................................
House allowance.........................................................
Committee recommendation................................................

                          PROGRAM DESCRIPTION

    The Family Housing Improvement Fund appropriation provides 
for the Department of Defense to undertake housing initiatives 
and to provide an alternative means of acquiring and improving 
military family housing and supporting facilities. This account 
provides seed money for housing privatization initiatives.

                        COMMITTEE RECOMMENDATION

    The Committee recommends no funding for the Family Housing 
Improvement Fund in fiscal year 2016 in accordance with the 
budget request.

          Chemical Demilitarization Construction, Defense-Wide

Appropriations, 2015....................................     $38,715,000
Budget estimate, 2016...................................................
House allowance.........................................................
Committee recommendation................................................

                          PROGRAM DESCRIPTION

    This account provides funding for design and construction 
of full-scale chemical disposal facilities and associated 
projects to upgrade installation support facilities and 
infrastructure required to support the Chemical 
Demilitarization Program. This account was established starting 
in fiscal year 2005 to comply with section 141(b) of the fiscal 
year 2003 National Defense Authorization Act.

                        COMMITTEE RECOMMENDATION

    The Committee recommends no funding for chemical 
demilitarization construction projects for fiscal year 2016 in 
accordance with the budget request.

               Department of Defense Base Closure Account

Appropriations, 2015....................................    $315,085,000
Budget estimate, 2016...................................     251,334,000
House allowance.........................................     251,334,000
Committee recommendation................................     251,334,000

                          PROGRAM DESCRIPTION

    Section 2711 of the National Defense Authorization Act for 
Fiscal Year 2014 (Public Law 112-239) consolidated the Base 
Closure Account 1990 and the Base Closure Account 2005 into a 
single Department of Defense Base Closure Account. The Base 
Closure Account provides for cleanup and disposal of property 
consistent with the four closure rounds required by the base 
closure acts of 1988 and 1990, and with the 2005 closure round 
required by the Defense Base Closure and Realignment Act of 
1990 (10 U.S.C. 2687 note).

                        COMMITTEE RECOMMENDATION

    The Committee recommends a total of $251,334,000 for the 
Department of Defense Base Closure Account for fiscal year 
2016, equal to the budget request. Funds provided for fiscal 
year 2016 are for environmental cleanup and ongoing operations 
and maintenance.

                       Administrative Provisions

    Sec. 101. The Committee includes a provision that restricts 
payments under a cost-plus-a-fixed-fee contract for work, 
except in cases of contracts for environmental restoration at 
base closure sites.
    Sec. 102. The Committee includes a provision that permits 
the use of funds for the hire of passenger motor vehicles.
    Sec. 103. The Committee includes a provision that permits 
the use of funds for defense access roads.
    Sec. 104. The Committee includes a provision that prohibits 
construction of new bases inside the continental United States 
for which specific appropriations have not been made.
    Sec. 105. The Committee includes a provision that limits 
the use of funds for purchase of land or land easements.
    Sec. 106. The Committee includes a provision that prohibits 
the use of funds to acquire land, prepare a site, or install 
utilities for any family housing except housing for which funds 
have been made available.
    Sec. 107. The Committee includes a provision that limits 
the use of minor construction funds to transfer or relocate 
activities among installations.
    Sec. 108. The Committee includes a provision that prohibits 
the procurement of steel unless American producers, 
fabricators, and manufacturers have been allowed to compete.
    Sec. 109. The Committee includes a provision that prohibits 
payments of real property taxes in foreign nations.
    Sec. 110. The Committee includes a provision that prohibits 
construction of new bases overseas without prior notification.
    Sec. 111. The Committee includes a provision that 
establishes a threshold for American preference of $500,000 
relating to architect and engineering services for overseas 
projects.
    Sec. 112. The Committee includes a provision that 
establishes preference for American contractors for military 
construction in the United States territories and possessions 
in the Pacific, and on Kwajalein Atoll, or in countries 
bordering the Arabian Gulf.
    Sec. 113. The Committee includes a provision that requires 
notification of military exercises involving construction in 
excess of $100,000.
    Sec. 114. The Committee includes a provision that limits 
obligations during the last 2 months of the fiscal year.
    Sec. 115. The Committee includes a provision that permits 
funds appropriated in prior years to be available for 
construction authorized during the current session of Congress.
    Sec. 116. The Committee includes a provision that permits 
the use of expired or lapsed funds to pay the cost of 
supervision for any project being completed with lapsed funds.
    Sec. 117. The Committee includes a provision that permits 
obligation of funds from more than 1 fiscal year to execute a 
construction project, provided that the total obligation for 
such project is consistent with the total amount appropriated 
for the project.
    Sec. 118. The Committee includes a provision that permits 
the transfer of funds from Family Housing Construction accounts 
to the DOD Family Housing Improvement Fund and from Military 
Construction accounts to the DOD Military Unaccompanied Housing 
Improvement Fund.
    Sec. 119. The Committee includes a provision that provides 
transfer authority to the Homeowners Assistance Fund.
    Sec. 120. The Committee includes a provision that requires 
all acts making appropriations for military construction be the 
sole funding source of all operation and maintenance for family 
housing, including flag and general officer quarters, and 
limits the repair on flag and general officer quarters to 
$35,000 per unit per year without prior notification to the 
congressional defense committees.
    Sec. 121. The Committee includes a provision that provides 
authority to expend funds from the ``Ford Island Improvement'' 
account.
    Sec. 122. The Committee includes a provision that allows 
the transfer of expired funds to the Foreign Currency 
Fluctuation, Construction, Defense Account.
    Sec. 123. The Committee includes a provision that allows 
the reprogramming of military construction and family housing 
construction funds among projects and activities within the 
account in which they are funded.
    Sec. 124. The Committee includes a provision that prohibits 
the use of funds in this title for planning and design and 
construction of projects at Arlington National Cemetery.
    Sec. 125. The Committee includes a provision providing 
additional funds for unfunded military construction priorities 
for the Army.
    Sec. 126. The Committee includes a provision providing 
additional funds for unfunded military construction priorities 
for the Navy and Marine Corps.
    Sec. 127. The Committee includes a provision providing 
additional funds for unfunded military construction priorities 
for the Army National Guard.
    Sec. 128. The Committee includes a provision providing 
additional funds for unfunded military construction priorities 
for the Army Reserve.
    Sec. 129. The Committee includes a provision rescinding 
unobligated balances from various Military Construction 
accounts.
    Sec. 130. The Committee includes a provision rescinding 
unobligated balances from 42 U.S.C. 3374.
    Sec. 131. The Committee includes a provision regarding the 
consolidation or relocation of a U.S. Air Force RED HORSE 
Squadron outside of the United States.

                                TITLE II

                     DEPARTMENT OF VETERANS AFFAIRS

                       Items of Special Interest

                                HEARINGS

    The Subcommittee on Military Construction and Veterans 
Affairs, and Related Agencies held three hearings related to 
the fiscal year 2016 and 2017 Department of Veterans Affairs 
[VA] budget request. The subcommittee heard testimony from the 
Honorable Carolyn M. Clancy, Interim Under Secretary for 
Health, the Honorable Allison A. Hickey, Under Secretary for 
Benefits, and the Honorable Robert A. McDonald, Secretary of 
the Department of Veterans Affairs.

                  SUMMARY OF COMMITTEE RECOMMENDATIONS

    The Committee recommendation includes $163,792,416,000 for 
the Department of Veterans Affairs for fiscal year 2016, 
including $94,546,757,000 in mandatory spending and 
$69,245,659,000 in discretionary spending. The Committee also 
recommends $63,271,000,000 in advance appropriations for 
veterans medical care for fiscal year 2017 and $103,982,585,000 
in advance appropriations for appropriated mandatories for 
fiscal year 2017.

                          DEPARTMENT OVERVIEW

    The Veterans Administration was established on July 21, 
1930, as an independent agency by Executive Order 5398, in 
accordance with the Act of July 3, 1930 (46 Stat. 1016). This 
act authorized the President to consolidate and coordinate 
Federal agencies specially created for or concerned with the 
administration of laws providing benefits to veterans, 
including the Veterans' Bureau, the Bureau of Pensions, and the 
National Home for Disabled Volunteer Soldiers. On March 15, 
1989, the Veterans Administration was elevated to Cabinet-level 
status as the Department of Veterans Affairs.
    The VA's mission is to serve America's veterans and their 
families as their principal advocate in ensuring they receive 
the care, support, and recognition they have earned in service 
to the Nation. As of September 30, 2014, there were an 
estimated 22 million living veterans, with 21.9 million of them 
residing in the United States and Puerto Rico. There were an 
estimated 25.7 million dependents (spouses and dependent 
children) of living veterans in the United States and Puerto 
Rico, and there were 566,000 survivors of deceased veterans 
receiving VA survivor benefits in the United States and Puerto 
Rico. Thus, approximately 48.3 million people, or 15 percent of 
the total estimated resident population of the United States 
and Puerto Rico, were recipients or potential recipients of 
veterans benefits from the Federal Government. The VA's 
operating units include the Veterans Benefits Administration, 
Veterans Health Administration, National Cemetery 
Administration, and staff support offices.
    The Veterans Benefits Administration [VBA] provides an 
integrated program of nonmedical veterans benefits. The VBA 
administers a broad range of benefits to veterans and other 
eligible beneficiaries through 56 regional offices and a 
records processing center in St. Louis, Missouri. The benefits 
provided include: compensation for service-connected 
disabilities; pensions for wartime, needy, and totally disabled 
veterans; vocational rehabilitation assistance; educational and 
training assistance; home buying assistance; estate protection 
services for veterans under legal disability; information and 
assistance through personalized contacts; and six life 
insurance programs.
    The Veterans Health Administration [VHA] develops, 
maintains, and operates a national healthcare delivery system 
for eligible veterans; carries out a program of education and 
training of healthcare personnel; conducts medical research and 
development; and furnishes health services to members of the 
Armed Forces during periods of war or national emergency. A 
system of 167 medical centers, 1,018 community-based outpatient 
clinics, 300 vet centers, and 135 community living centers is 
maintained to meet the VA's medical mission.
    The National Cemetery Administration [NCA] provides for the 
interment of the remains of eligible deceased servicemembers 
and discharged veterans in any national cemetery with available 
grave space; permanently maintains these graves; provides 
headstones and markers for the graves of eligible persons in 
national and private cemeteries; administers the grant program 
for aid to States in establishing, expanding, or improving 
State veterans cemeteries; and provides certificates to 
families of deceased veterans recognizing their contributions 
and service to the Nation. In 2016, cemetery activities will 
encompass 134 national cemeteries, two rural National Burial 
Grounds, and 33 soldiers' lots and monument sites.
    Staff support offices include the Office of Inspector 
General, Boards of Contract Appeals and Veterans Appeals, and 
General Administration offices, which support the Secretary, 
Deputy Secretary, Under Secretary for Benefits, Under Secretary 
for Health, Under Secretary for Memorial Affairs, and General 
Counsel.
    Whistleblower Protection.--The Committee is deeply 
concerned about unacceptable retaliation against whistleblowers 
within the Department across the Nation. The Department has 
made many promises recently to foster a culture of openness by 
encouraging VA employees to report cases of wrongdoing, yet the 
Committee continues to hear reports that when whistleblowers do 
bring problems to light, the whistleblowers themselves are 
attacked in official and unofficial ways. Some examples of 
retaliation against whistleblowers reported to the Committee 
include: investigating the whistleblower rather than the 
reported problem, lowering performance appraisal ratings, 
reducing access to computers, conducting formal meetings with 
co-workers to turn other employees against the whistleblower, 
refusing to investigate allegations of retaliation against the 
whistleblower, and relocating the whistleblower's office space 
to areas with fewer amenities or unsanitary conditions. The 
Committee finds such actions reprehensible, and the Department 
is directed to send a clear and unequivocal message throughout 
the VA system that retaliation against whistleblowers will not 
stand, and those in leadership who condone or ignore such 
retaliation will be held accountable. The Committee will 
continue to advocate on behalf of those employees who receive 
unfair retribution for reporting wrongdoing at VA facilities 
and will bring to the Department's attention every instance of 
whistleblower retaliation brought to its attention.
    The Committee is concerned there is no proper mechanism at 
the Department to inform employees of their rights under the 
law with regards to reporting wrongdoing and whistleblower 
protection. The Committee is aware there is no whistleblower 
protection training for employees mandated within the 
Department, and there is not an official handbook or 
orientation outlining and explaining employee rights and 
responsibilities in this area, to include management and their 
role and responsibilities either when reporting wrongdoing 
themselves or supervising someone who has blown the whistle on 
misconduct, waste, fraud, or poor patient care. Therefore, the 
Department is directed to ensure all employees are educated on: 
their rights from retaliation, existing whistleblower 
protections, and resources available to them, to include the VA 
Office of the Inspector General [OIG], Office of Special 
Counsel, and the Merit System Protection Board and the location 
of such resources on the OIG Web site. The Department is 
directed to implement education for all employees on these 
issues through employee orientation, employee manuals, and 
periodic briefings. Additionally, employees must be educated on 
exemptions from privacy laws, specifically that healthcare 
providers are exempted from the Health Insurance Portability 
and Accountability Act [HIPAA] privacy rules when disclosing to 
OIG allegations of problems with patient care. Further, any VA 
employee who discloses HIPAA and Privacy Act information to OIG 
for purposes of providing such information for an OIG 
investigation is not in violation of these laws. The law shall 
be clearly communicated by the investigator prior to any 
investigative interview with a VA employee. Currently, the law 
is not clearly stated on the OIG Web site nor regularly 
communicated to VA employees. It is critical all employees 
understand their protections under the law and are encouraged 
to report misconduct, waste, fraud, and poor patient care so 
those engaging in wrongdoing may be held accountable.
    Electronic Health Record.--Achieving interoperability 
between the health records of the Department of Veterans 
Affairs and the Department of Defense remains one of the 
highest priorities of the Committee. The Committee believes 
from a servicemember's initial military entrance physical to 
their final interaction with VA, a seamless health record 
should follow the individual. VA's VistA Evolution and DOD's 
new acquisition of an electronic health record are two separate 
and distinct programs, yet the Departments have a mandate from 
Congress to ensure the records are able to transmit computable 
data that can be used by clinicians on either side. The 
Committee also notes the increased utilization of medical care 
in the community by enrolled veterans makes it incumbent upon 
the Department to ensure medical information from outside VA 
can be easily brought into the VA's health record system. The 
Committee continues to expect the electronic health record will 
be developed with an open architecture to best leverage the 
innovation of the private sector.
    In fiscal year 2013, 2014, and 2015, Congress required the 
Department to provide information on the cost, timeline, 
performance benchmarks, and interoperability capacity of VistA 
Evolution before releasing 75 percent of the funds 
appropriated. The Committee maintains in this act its oversight 
authority by placing similar constraints on the obligation or 
expenditure of funding for the development of VistA Evolution 
until certain conditions are met. Further explanation of the 
constraints included in the act is included in the appropriate 
section of the report.
    Denver VA Medical Center.--The Committee was deeply 
disappointed to learn at the end of calendar year 2015 the 
scale of the gross mismanagement at the Denver VA Medical 
Center in Aurora, Colorado. With this project, the Department 
has breached the trust of the Committee, the Congress, and the 
taxpayer with its embarrassing mishandling of public funds. The 
new estimate to complete the hospital complex, as determined by 
the Army Corps of Engineers, is upwards of $1.73 billion, which 
the Committee finds to be a wholly unacceptable cost for any VA 
major construction project of this scope. As late as October 
2014, the Department was reporting to the Committee the total 
firm target price of the facility was $640 million (revised 
upwards from the original total firm target price of $604 
million). The authorized amount for this facility was $800 
million, and the taxpayer may end up paying more than double 
that amount making this one of the most expensive medical 
centers in the world. The Committee finds it shocking the 
Department was aware the scale of the project and the choice in 
design as well as the type of contract VA negotiated made it 
possible the project might run over its authorized amount, yet 
it did not make rational decisions along the way to stay within 
budget. The Committee believes those managing this project were 
not good stewards of appropriated resources and were not 
advocates for the veterans they were duty-bound to protect and 
serve. The Department now finds itself in an untenable position 
of having to take money from other places within its budget in 
order to pay for the cost of the Aurora facility. The facility 
is also well behind schedule, as it will not be complete before 
the end of 2018.
    Not only is the Committee disturbed by the egregious cost 
overrun and delay, the Committee has no faith in the 
Department's ability to manage major medical facility 
construction projects of this kind in the future. The Committee 
understands the Department has begun discussions with the U.S. 
Army Corps of Engineers [USACE] to seek their management of 
future major medical facility construction projects. The 
Committee believes USACE is the right partner for VA as it 
designs and constructs major medical facility construction 
projects, and the Committee directs the Department to enter 
into an agreement with USACE to manage the next seven major 
medical facility construction projects as outlined in the 
appropriate section of the report. The Department is directed 
to report to the Committees on Appropriations of both Houses of 
Congress within 30 days of enactment of this act on its 
agreement with USACE to manage these seven projects. Further 
explanation of the major construction account constraints 
included in the act is included in the appropriate section of 
the report.
    Disability Claims Backlog.--The Committee commends the 
Department on its efforts to reduce the disability claims 
backlog and increase the accuracy of claims decisions, yet the 
backlog in disability claims remains a major concern of the 
Committee. The Committee is committed to ensuring the 
Department reaches its goal of processing all claims over 125 
days with 98 percent accuracy and ending the backlog in 2015. 
The Committee has not only fully funded the request for claims 
processing in recent years, but has provided increases above 
the budget requests for hiring and training claims processors, 
bolstering the migration to electronic claims processing 
systems, and addressing the increasing backlog of appeals at 
the Board of Veterans Appeals. As a result of these funding 
levels and the specific measures intended to bring the backlog 
down included in the fiscal year 2014 and 2015 Military 
Construction and Veterans Affairs and Related Agencies 
appropriations bill and report, VBA has made significant and 
notable progress in reducing the number of backlogged claims 
from a high of 611,000 in March 2013 to fewer than 158,540 as 
of May 9, 2015.
    The Committee is also committed to ensuring there is not a 
recurrence of any backlog or a reduction in accuracy. To that 
end, the Committee will continue to host reoccurring meeting of 
the disability claims interagency working group that began in 
May 2013. This group includes the Under Secretary of Benefits 
and representatives from the Department of Defense, the Social 
Security Administration, and the Internal Revenue Service. The 
Committee will continue to assert its oversight ability by 
monitoring these agencies as they work to better expedite the 
flow of interagency information needed to process claims in a 
timely manner. The Committee will continue to require the 
Department provide monthly updates on performance measures for 
each Regional Office.
    Additionally, there is concern the gains VBA has made 
recently are the result of temporary measures such as overtime 
work and one-time funding increases from the Committee for 
hiring and training. The Committee directs the Department shift 
from crisis-mode to maintenance-mode in the area of claims 
processing. Once the backlog is reduced at the end of the 2015, 
it will be unacceptable to the Committee for VBA to carry a 
backlog of disability claims again. The Department must 
consider processing all claims within 125 days with 98 percent 
accuracy a mandate of VBA, and the Department should fund and 
staff this agency accordingly.
    The Committee is also focused on the next assumed issue for 
disability claims: the backlog at the appellate level. The 
fiscal year 2016 justification accompanying the budget request 
states appeals received by the Board of Veterans Appeals are 
projected to increase 65 percent, from 49,611 in 2012 to 81,640 
by the end of 2016. The Committee notes the Department is aware 
the appeals process needs reform and resources, and to that 
end, the Committee requests a report no later than 180 days 
after enactment of this act on the actions VBA is taking to 
reduce the backlog of appeals and streamline the appeals 
process.
    Curing Hepatitis C within the Veteran Population.--The 
Committee is excited about the availability of new Hepatitis C 
drugs that have a cure rate of 96 percent. The Department is to 
be commended for robustly treating veterans with Hepatitis C as 
the veteran population is twice as likely to have the virus as 
the general population. The Committee is aware the Department 
was unable to provide accurate estimates of drug treatment 
costs in the fiscal year 2016 request, and therefore, the 
Committee is directing more funding be allotted with in the 
Medical Services account to provide proper resources to address 
the need in fiscal year 2016.
    Homeless Veterans.--Between 2009 and 2014, the estimated 
number of homeless veterans has been reduced by 33 percent. As 
a result of the investments the Committee, the Department, and 
various other Federal, State, and local partners have made over 
the past several years, it is highly likely the Department's 
Agency Priority Goal of ending veteran homelessness by the end 
of 2015 will be achieved. The Committee notes, however, the 
2014 ``Point in Time Count'' prepared by the Department of 
Housing and Urban Development estimates there were 49,933 
homeless veterans in the U.S. on a single night in January 
2014. The Committee is aware even after ``getting to zero'' 
there remains much to be done to sustain the gains made in this 
area and prevent veterans from becoming homeless in the future. 
Therefore, the Committee provides the full fiscal year 2016 and 
2017 budget requests for VA homelessness assistance programs 
and homeless veteran treatment costs. The Department is 
directed to provide a report to the Committees on 
Appropriations of both Houses of Congress as soon as feasibly 
possible after the end of calendar year 2015 noting if the 
Department met the goal of ending veterans homelessness and 
detailing how the Department will shift focus and resources to 
prevention.
    Tribal Veterans Service Officer.--The Committee notes 
current regulations regarding recognition of officers of 
National, State, and Regional Organizations by the Secretary do 
not adequately cover Tribal or Native American organizations. 
The Committee believes this oversight should be addressed 
expeditiously and urges the Department to revise its current 
regulations to permit the certification of Tribal Veterans 
Service Officers in the same manner as State and Regional 
Veterans Officers.

                    Veterans Benefits Administration

Appropriations, 2015.................................... $94,293,775,000
Budget estimate, 2016...................................  94,712,847,000
House allowance, 2016...................................  94,712,847,000
Committee recommendation, 2016..........................  94,712,847,000
Budget estimate, advance appropriation, 2017............ 103,982,585,000
House allowance, advance appropriation, 2017............ 103,982,585,000
Committee recommendation, advance appropriation, 2017... 103,982,585,000

                        ADMINISTRATION OVERVIEW

    The Veterans Benefits Administration [VBA] is responsible 
for the payment of compensation and pension benefits to 
eligible service-connected disabled veterans, as well as 
education benefits and housing loan guarantees.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $94,712,847,000 for the Veterans 
Benefits Administration. This amount is composed of 
$79,124,675,000 for Compensation and Pensions; $15,344,922,000 
for Readjustment Benefits; $77,160,000 for Veterans Insurance 
and Indemnities; $164,558,000 for the Veterans Housing Benefit 
Program Fund administrative expenses; $31,000 for the 
Vocational Rehabilitation Loans Program account, with $367,000 
for administrative expenses; and $1,134,000 for the Native 
American Veteran Housing Loan Program account. For the first 
time, the Committee recommendation also includes an advance 
appropriation of $103,982,585,000 for the Veterans Benefits 
Administration for fiscal year 2017.

                       COMPENSATION AND PENSIONS

                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2015.................................... $79,071,000,000
Budget estimate, 2016...................................  79,124,675,000
House allowance, 2016...................................  79,124,675,000
Committee recommendation, 2016..........................  79,124,675,000
Budget estimate, advance appropriation, 2017............  87,146,761,000
House allowance, advance appropriation, 2017............  87,146,761,000
Committee recommendation, advance appropriation, 2017...  87,146,761,000

                          PROGRAM DESCRIPTION

    Compensation is payable to living veterans who have 
suffered impairment of earning power from service-connected 
disabilities. The amount of compensation is based upon the 
impact of disabilities on a veteran's earning capacity. Death 
compensation or dependency and indemnity compensation is 
payable to the surviving spouses and dependents of veterans 
whose deaths occur while on active duty or result from service-
connected disabilities. A clothing allowance may also be 
provided for service-connected veterans who use a prosthetic or 
orthopedic device. In fiscal year 2016, the Department 
estimates it will obligate $76,832,302,000 for payments to 
4,299,512 veterans, 400,359 survivors, and 1,156 dependents 
receiving special benefits.
    Pensions are an income security benefit payable to needy 
wartime veterans who are precluded from gainful employment due 
to nonservice-connected disabilities which render them 
permanently and totally disabled. Public Law 107-103, the 
Veterans Education and Benefits Expansion Act of 2001, restored 
the automatic presumption of permanent and total nonservice 
connected disability for purposes of awarding a pension to 
veterans age 65 and older, subject to the income limitations 
that apply to all pensioners. Death pensions are payable to 
needy surviving spouses and children of deceased wartime 
veterans. The rate payable for both disability and death 
pensions is determined on the basis of the annual income of the 
veteran or their survivors. In fiscal year 2016, the Department 
estimates that the Pensions program will provide benefits to 
306,155 veterans and 216,131 survivors totaling $5,963,099,000.
    The Compensation and Pensions program funds certain burial 
benefits on behalf of eligible deceased veterans. These 
benefits provide the purchase and transportation costs for 
headstones and markers, graveliners, and pre-placed crypts; and 
provides partial reimbursement for privately purchased outer 
burial receptacles. In fiscal year 2016, the Department 
estimates the Compensation and Pensions program will obligate 
$274,796,000 providing burial benefits. This funding will 
provide 68,290 burial allowances, 33,512 burial plot 
allowances, 31,057 service-connected death awards, 497,644 
burial flags, 354,840 headstones or markers, and 84,226 
graveliners or reimbursement for privately purchased outer 
burial receptacles.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $79,124,675,000 for compensation 
and pensions. This is an increase of $53,675,000 above the 
fiscal year 2015 enacted level and equal to the budget request. 
For the first time, the Committee recommendation also includes 
an advance appropriation of $87,146,761,000 for fiscal year 
2017 for compensation and pensions for fiscal year 2017. This 
is $8,022,086,000 above the fiscal 2016 request and equal to 
the fiscal year 2017 budget request.

                         READJUSTMENT BENEFITS

Appropriations, 2015.................................... $14,997,136,000
Budget estimate, 2016...................................  15,344,922,000
House allowance, 2016...................................  15,344,922,000
Committee recommendation, 2016..........................  15,344,922,000
Budget estimate, advance appropriation, 2017............  16,743,904,000
House allowance, advance appropriation, 2017............  16,743,904,000
Committee recommendation, advance appropriation, 2017...  16,743,904,000

                          PROGRAM DESCRIPTION

    The Readjustment benefits appropriation finances the 
education and training of veterans and servicemembers under 
chapters 30, 31, 32, 33, 34, 35, 36, 37, 39, 41, 42 and 43 of 
title 38, United States Code. These benefits include the All-
Volunteer Force Educational Assistance Program (Montgomery GI 
bill) and the Post 9/11 Educational Assistance Program. Basic 
benefits are funded through appropriations made to the 
readjustment benefits appropriation and by transfers from the 
Department of Defense. This account also finances vocational 
rehabilitation, specially adapted housing grants, specially 
adapted automobile grants for certain disabled veterans, and 
educational assistance allowances for eligible dependents of 
those veterans who died from service-connected causes or who 
have a total permanent service-connected disability, as well as 
dependents of servicemembers who were captured or missing in 
action.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $15,344,922,000 for Readjustment 
benefits. This is an increase of $347,786,000 above the fiscal 
year 2015 enacted level and equal to the budget request. For 
the first time, the Committee recommendation includes an 
advance appropriation of $16,743,904,000 for Readjustment 
benefits for fiscal year 2017. This is $1,398,982,000 above the 
fiscal year 2016 request and equal to the fiscal year 2017 
budget request.

                   VETERANS INSURANCE AND INDEMNITIES

Appropriations, 2015....................................     $63,257,000
Budget estimate, 2016...................................      77,160,000
House allowance, 2016...................................      77,160,000
Committee recommendation, 2016..........................      77,160,000
Budget estimate, advance appropriation, 2017............      91,920,000
House allowance, advance appropriation, 2017............      91,920,000
Committee recommendation, advance appropriation, 2017...      91,920,000

                          PROGRAM DESCRIPTION

    The Veterans insurance and indemnities appropriation 
consists of the former appropriations for military and naval 
insurance, applicable to World War I veterans; National Service 
Life Insurance, applicable to certain World War II veterans; 
servicemen's indemnities, applicable to Korean conflict 
veterans; and veterans mortgage life insurance to individuals 
who have received a grant for specially adapted housing.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $77,160,000 for Veterans insurance 
and indemnities. This is an increase of $13,903,000 above the 
fiscal year 2015 enacted level and equal to the budget request. 
For the first time, the Committee recommendation also includes 
an advance appropriation of $91,920,000 for Veterans insurance 
and indemnities for fiscal year 2017. This is $14,760,000 above 
the fiscal year 2016 request and equal to the fiscal year 2017 
budget request.

                 VETERANS HOUSING BENEFIT PROGRAM FUND

------------------------------------------------------------------------
                                                         Administrative
                                       Program account      expenses
------------------------------------------------------------------------
Appropriations, 2015................  ................       160,881,000
Budget estimate, 2016...............  ................       164,558,000
House allowance.....................  ................       164,558,000
Committee recommendation............  ................       164,558,000
------------------------------------------------------------------------

                          PROGRAM DESCRIPTION

    The Veterans housing benefit program fund provides for all 
costs associated with the VA's direct and guaranteed housing 
loan programs, with the exception of the Native American 
veteran housing loan program.
    VA loan guaranties are made to servicemembers, veterans, 
reservists, and unremarried surviving spouses for the purchase 
of homes, condominiums, and manufactured homes, and for 
refinancing loans. VA guarantees part of the total loan, 
permitting the purchaser to obtain a mortgage with a 
competitive interest rate, even without a downpayment, if the 
lender agrees. VA requires that a downpayment be made for a 
manufactured home. With a VA guaranty, the lender is protected 
against loss up to the amount of the guaranty if the borrower 
fails to repay the loan.

                        COMMITTEE RECOMMENDATION

    The Committee recommends such sums as may be necessary for 
funding subsidy payments, and $164,558,000 for administrative 
expenses for fiscal year 2016. Bill language limits gross 
obligations for direct loans for specially adapted housing to 
$500,000.

            VOCATIONAL REHABILITATION LOANS PROGRAM ACCOUNT

------------------------------------------------------------------------
                                                         Administrative
                                       Program account      expenses
------------------------------------------------------------------------
Appropriations, 2015................            10,000           361,000
Budget estimate, 2016...............            31,000           367,000
House allowance.....................            31,000           367,000
Committee recommendation............            31,000           367,000
------------------------------------------------------------------------

                          PROGRAM DESCRIPTION

    The Vocational Rehabilitation Loans Program account covers 
the cost of direct loans for vocational rehabilitation of 
eligible veterans and, in addition, includes administrative 
expenses necessary to carry out the direct loan program. Loans 
of up to $1,108 (based on the indexed chapter 31 subsistence 
allowance rate) are currently available to service-connected 
disabled veterans enrolled in vocational rehabilitation 
programs, as provided under 38 U.S.C. chapter 31, when the 
veteran is temporarily in need of additional assistance. 
Repayment is made in monthly installments, without interest, 
through deductions from future payments of compensation, 
pension, subsistence allowance, educational assistance 
allowance, or retirement pay. Virtually all loans are repaid in 
full and most in less than one year.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $31,000 for program costs and 
$367,000 for administrative expenses for the Vocational 
Rehabilitation Loans Program account. The administrative 
expenses may be paid to the General Operating Expenses, 
Veterans Benefits Administration account. Bill language is 
included limiting program direct loans to $2,952,381. It is 
estimated that the VA will make 3,129 loans in fiscal year 
2016, with an average amount of $943.

          NATIVE AMERICAN VETERAN HOUSING LOAN PROGRAM ACCOUNT

Appropriations, 2015....................................      $1,130,000
Budget estimate, 2016...................................       1,134,000
House allowance.........................................       1,134,000
Committee recommendation................................       1,134,000

                          PROGRAM DESCRIPTION

    The Native American veteran housing loan program is 
authorized by 38 U.S.C. chapter 37, section 3761 to provide 
direct loans to Native American veterans living on trust lands. 
The loans are available to purchase, construct, or improve 
homes to be occupied as veteran residences, or to refinance a 
loan previously made under this program in order to lower the 
interest rate. The principal amount of a loan under this 
authority generally may not exceed $417,000 however, in some 
locations this limit may be higher depending on median area 
home prices. Veterans pay a funding fee of 1.25 percent of the 
loan amount, although veterans with a service-connected 
disability are exempt from paying the fee. Before a direct loan 
can be made, the veteran's tribal organization must sign a 
memorandum of understanding with the VA regarding the terms and 
conditions of the loan. The Native American Veteran Housing 
Loan Program began as a pilot program in 1993 and was made 
permanent by Public Law 109-233, the Veterans Housing 
Opportunity and Benefits Act of 2006.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $1,134,000 for administrative 
expenses associated with this program. This is $4,000 above the 
fiscal year 2015 enacted level and equal to the budget request.

                     Veterans Health Administration

Appropriations, 2015.................................... $56,432,338,000
Advance appropriations, 2016............................  58,662,202,000
Budget estimate, 2016...................................   1,921,103,000
House allowance, 2016...................................   1,593,367,000
Committee recommendation, 2016..........................   1,746,010,000
Budget estimate, advance appropriation, 2017............  63,271,000,000
House allowance, advance appropriation, 2017............  63,271,000,000
Committee recommendation, advance appropriation, 2017...  63,271,000,000

                        ADMINISTRATION OVERVIEW

    The Veterans Health Administration [VHA] is home to the 
United States' largest integrated healthcare system consisting 
of 167 medical centers, 1,018 community-based outpatient 
clinic, 300 vet centers, and 135 community living centers.
    The Department of Veterans Affairs Medical Care Collections 
Fund [MCCF] was established by the Balanced Budget Act of 1997 
(Public Law 105-33). In fiscal year 2004, Public Law 108-199 
allowed the Department to deposit first-party and 
pharmaceutical co-payments, third-party insurance payments and 
enhanced-use collections, long-term care co-payments, 
Compensated Work Therapy Program collections, Compensation and 
Pension Living Expenses Program collections, and Parking 
Program fees into the MCCF.
    The Parking Program provides funds for the construction, 
alteration, and acquisition (by purchase or lease) of parking 
garages at VA medical facilities authorized by 38 U.S.C. 8109. 
The Secretary is required under certain circumstances to 
establish and collect fees for the use of such garages and 
parking facilities. Receipts from the parking fees are to be 
deposited into the MCCF and are used for medical services 
activities.

                        COMMITTEE RECOMMENDATION

    In fiscal year 2015, the Committee provided $58,662,202,000 
in advance appropriations for the VA's medical care accounts 
for fiscal year 2016. This included $47,603,202,000 for Medical 
services, $6,144,000,000 for Medical support and compliance, 
and $4,915,000,000 for Medical facilities. The Committee also 
includes an Administrative Provision allowing the Department to 
carry forward into fiscal year 2016 certain amounts provided as 
an advance for fiscal year 2015. For fiscal year 2016, the 
Committee recommends an additional $1,124,197,000 for Medical 
services. Additionally, the Committee recommendation includes 
$621,813,000 for Medical and prosthetic research. Medical care 
collections are expected to be $2,445,000,000. The Committee 
recommendation also includes an advance appropriation of 
$63,271,000,000 for veterans medical care for fiscal year 2017.
    Office of Inspector General Findings.--The Committee is 
concerned with past investigations and findings by the Office 
of Inspector General [OIG] at the Department's healthcare 
facilities. The Committee commends the Department for its 
efforts to resolve past issues at the G.V. Sonny Montgomery VA 
Medical Center in Jackson, Mississippi, but remains concerned 
about ongoing problems with VA facilities in the Southeast 
region, as evidenced by the findings of deficiencies by OIG at 
the Gulf Coast Veterans Health Care System [HCS] in Biloxi, 
Mississippi (Report No. 14-04214-70). Therefore, the Department 
is directed to provide a report to the Committees on 
Appropriations of both Houses of Congress no later than 180 
days after enactment of this act on the resolution of these 
issues at the Gulf Coast Veterans HCS. The Committee is hopeful 
these ongoing issues will not perpetuate distrust among the 
veterans it serves and urges the Department to continue to work 
diligently and expeditiously with VA centers across the country 
to resolve cases of delay, mismanagement, inappropriate 
activity, and inadequate care as discovered by OIG.
    Quarterly Reports on GAO Recommendations.--The Committee 
notes with concern that VHA has been placed by GAO on its 
annual High Risk List. GAO identified many of the concerns the 
Committee has raised in previous years. While VA has taken 
action to address some of the GAO recommendations, more than 
100 recommendations have not been fully addressed. Accordingly, 
the Department is directed to provide to the Committees on 
Appropriations of both Houses of Congress a quarterly progress 
report containing the Department's actions to address 
outstanding GAO findings and recommendations regarding VHA. 
Each quarterly report shall be submitted no later than 30 days 
after the end of the respective quarter.
    Veterans Access, Choice, and Accountability Act of 2014 
Cost and Data Analysis.--In response to VA wait time 
manipulation and failure to provide timely, quality healthcare 
to veterans, Congress passed the Veterans Access, Choice, and 
Accountability Act of 2014, Public Law 113-146 [VACAA] in July 
2014, to improve transparency and provide veterans the choice 
to access healthcare if they live more than 40 miles from a VA 
medical facility or their wait time for an appointment was more 
than 30 days through the Choice Program [the Program].
    The Committee welcomed VA's recent decision to expand 
eligibility criteria for the Program by changing the 
calculation used to determine the distance between a veteran's 
residence and the nearest VA medical facility from straight 
line distance to driving distance. In determining the nearest 
medical facility, however, the Department does not take into 
consideration whether that facility is able to provide the 
medical services a veteran requires. On multiple occasions, VA 
has stated altering the interpretation of the 40 mile rule to 
consider whether a VA medical facility is capable of offering 
healthcare services sought by the veteran would not only 
require a new statutory authority but would be financially 
infeasible with a cost of tens of billions of dollars. The 
Committee understands a VA cost estimate to expand the Program 
to eligible veterans, approximately 4 million individuals, who 
live more than 40 miles from a Level 1 and Level 2 VA medical 
facility was produced, however, the methodology applied was 
disparate from the VA Chief Business Office and Congressional 
Budget Office cost estimates provided for the Program in 2014. 
The result of using a different methodology on the VA cost 
estimate to expand the Program yielded a projection ranging 
from $4 billion to $34 billion annually to support a baseline 
of 4 million veterans. The Committee is concerned the VA cost 
estimate lacks a consistent methodology and certain critical 
factors that would reduce cost substantially. In order to 
determine the potential cost of serving additional veterans who 
are not currently eligible under the Program or who are not 
currently able to receive access to non-VA care through other 
authorities, it is essential VA conduct a comprehensive cost 
analysis rooted in substantiated reliable data utilizing the 
same methodology that was used to inform Congress prior to the 
passage of VACAA in July 2014.
    The Department is directed to provide a report to the 
Committees on Appropriations of both Houses of Congress no 
later than 90 days after enactment of this act detailing a 
comprehensive cost analysis of the VACAA 40 mile rule criteria 
that factors potential cost-savings resulting from unobligated 
or unrealized travel vouchers and benefits. The cost analysis 
should exclude veterans who are accessing non-VA care utilizing 
other VA authorities, veterans who are eligible under VACAA but 
have not yet used the Program, and veterans who are eligible 
under VACAA and are currently using the Program. The report to 
Congress must also provide potential legislative and non-
legislative solutions that offer veterans access to non-VA care 
when they live more than 40 miles from a VA medical facility 
incapable of providing medical services a veteran requires. 
This report shall include utilization data of non-VA care under 
the Program detailing the type of care (primary or specialty), 
healthcare services, procedures, and treatments administered to 
veterans by non-VA providers, and where geographically said 
healthcare is provided. The report shall include a survey of 
Community Based Outpatient Clinics and assess those capable and 
incapable of offering primary care services. The Committee 
recognizes VA may utilize title 38 section 1703 to permit 
veterans access to care outside VA due to geographic 
impediments, yet VA has not utilized this authority to augment 
and complement the VACAA 40 mile rule. The Committee expects VA 
to address this concern in the report and provide legal and 
reasonable justification that prevents VA from utilizing title 
38 authorities.
    Vet Centers.--The Committee recommendation includes the 
budget estimate of $243,000,000 for readjustment counseling at 
Vet Centers. Vet Centers are community-based counseling centers 
that provide a wide range of social and psychological services. 
These services include: professional readjustment counseling to 
veterans and active duty servicemembers, counseling for the 
victims of military sexual trauma, bereavement counseling for 
families who experience an active duty death, substance abuse 
assessments and referrals, VBA benefit information and 
referrals to Regional Offices, and employment counseling. 
Certain services also extend to the family members as a means 
to assist in the readjustment for veterans and active duty 
servicemembers. The Readjustment Counseling Service is composed 
of over 2,200 employees in 300 Vet Centers, 80 Mobile Vet 
Centers, and the Vet Center Combat Call Center. The Committee 
remains strongly supportive of these programs and notes the 
number of Vet Centers or Mobile Vet Centers is not expected to 
increase despite an increasing workload. In fact, VA estimates 
it will continue to operate the exact number of Vet Centers in 
fiscal year 2017 as it did in fiscal year 2014. Moreover, when 
existing law was changed to include eligibility for active duty 
servicemembers, it was determined the vast majority of those in 
the Reserve Components and the Guard were not eligible. The 
Committee is aware legislation has been introduced which would 
allow for expansion of eligibility to include the Reserve and 
Guard. In order to properly plan for this potential expansion, 
the Department is directed to undertake an evaluation of 
current and future workload to determine whether more Vet 
Centers or Mobile Vet Centers are needed. In addition, at Vet 
Centers where active duty workload exceeds veteran workload, VA 
should enter into discussions with DOD to determine if a 
reimbursable memorandum of understanding is warranted. VA shall 
submit details of this evaluation as well as what discussions 
have occurred with DOD to the Committees on Appropriations of 
both Houses of Congress no later than April 22, 2016.
    Women Veterans.--The Committee believes VA must make better 
progress in addressing the needs of women veterans. Toward this 
end, the advance appropriation for fiscal year 2016 provided 
last year and the fiscal year 2017 advance appropriation 
included in the act fully fund gender-specific healthcare. 
Access to and utilization of VA benefits and services by women 
veterans remain low, with women often encountering cultural 
roadblocks in a system that was largely designed to meet the 
needs of male veterans. The Committee anticipates the results 
of an ongoing system-wide review intended to determine what 
type and number of healthcare workers the system should have to 
address current and future demand of gender-specific care. This 
review will help VA properly staff hospitals and clinics with 
healthcare professionals providing gender-specific care and 
lead to improved access for women veterans.
    Last year, the Department was directed through the Women's 
Health Service and the Center for Women Veterans to begin to 
collect and analyze gender-specific data and to develop 
programs and funding recommendations based on this data. VA was 
also encouraged, in consultation with the Department of 
Defense, to establish a women's working group within the VA/DOD 
Joint Executive Committee aimed at creating or strengthening 
transition programs which address female concerns and cultural 
roadblocks so more women veterans access VA benefits and 
services. The Department is directed to report to the 
Committees on Appropriations of both Houses of Congress no 
later than 180 days after enactment of this act on the status 
of these efforts. To better assist women veterans and increase 
their knowledge of the services and benefits to which they are 
entitled, the Department is directed to continue the Women 
Veterans Call Center. Additionally, in an effort to leverage 
VA's existing local community partnerships, such as those for 
homeless veterans, VA should establish support networks for 
women veterans to assist in accessing healthcare, employment 
services, financial counseling, and housing. Furthermore, 
recent studies have shown servicewomen who experience sexual 
assault while serving in the military are far more likely to 
develop PTSD as compared to other female veterans. VA must be 
prepared to provide these veterans with mental health services 
designed to treat the effects of military sexual trauma. The 
Department is directed to maximize the availability of mental 
health services available to veterans who were victims of MST 
and shall report to the Committees on Appropriations of both 
Houses of Congress semi-annually on these efforts.

                            MEDICAL SERVICES

                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2015.................................... $45,224,716,000
Advance appropriations, 2016............................  47,603,202,000
Budget estimate, 2016...................................   1,124,197,000
House allowance, 2016...................................     971,554,000
Committee recommendation, 2016..........................   1,124,197,000
Budget estimate, advance appropriation, 2017............  51,673,000,000
House allowance, advance appropriation, 2017............  51,673,000,000
Committee recommendation, advance appropriation, 2017...  51,673,000,000

                          PROGRAM DESCRIPTION

    The Medical Services account provides for medical services 
of enrolled eligible veterans and certain dependent 
beneficiaries in VA medical centers, VA outpatient clinics, 
contract hospitals, State homes, and outpatient programs on a 
fee basis. Hospital and outpatient care is also provided by the 
private sector for certain dependents and survivors of veterans 
under the civilian health and medical programs for the VA.

                        COMMITTEE RECOMMENDATION

    In fiscal year 2015, the Committee provided an advance 
appropriation of $47,603,202,000 for fiscal year 2016. The 
recommendation for fiscal year 2016 includes an additional 
$1,124,197,000 as included in the budget request. In addition, 
VA has the authority to retain co-payments and third-party 
collections, estimated to total $2,445,000,000 in fiscal year 
2016.
    The Committee recommendation also includes an advance 
appropriation of $51,673,000,000 for medical services for 
fiscal year 2017. This is $4,069,798,000 above the level for 
fiscal year 2016 and equal to the fiscal year 2017 budget 
request.
    Office of Rural Health.--Currently, 3.2 million rural 
veterans are enrolled in the VA system. This represents 36 
percent of the total enrolled veteran population based on the 
2010 U.S. Census. Men and women veterans from geographically 
rural areas make up a disproportionate share of servicemembers 
and comprise approximately 31 percent of the enrolled Operation 
Enduring Freedom and Operation Iraqi Freedom [OEF/OIF] 
veterans, many of whom return to their rural communities. The 
Committee maintains its strong support for the Office of Rural 
Health [ORH] and the Rural Health Initiative and recommends 
$270,000,000 for the program in fiscal year 2016. The Committee 
is aware ORH collaborates with other VA program offices, 
Federal and State partners, and rural communities to optimize 
the use of available and emerging technologies, establish new 
access points to care, and employ strategies to increase 
healthcare options for all rural veterans. The Committee 
believes these partnerships are key to ensuring access to care 
for veterans in rural and highly rural areas. In order to 
ensure long term care and services are available, the Committee 
directs ORH to work with rural and highly rural States to 
determine the gaps that exist in long-term care and services in 
rural areas. To help facilitate the establishment of more bed 
space in underserved rural areas, bill language is included to 
allow up to $20,000,000 to be transferred to the Grants for 
Construction of State Extended Care Facilities.
    Curing Hepatitis C Within the Veteran Population.--The 
Committee includes language in the act that funds the treatment 
of Hepatitis C within the VA system at no less than 
$900,000,000 in fiscal year 2016. As previously mentioned in 
the report, the Committee is aware the Department's request for 
drug treatment costs in the fiscal year 2016 request was 
inaccurate, and therefore, the Committee is directing more 
funding be allotted with in the Medical Services account to 
provide proper resources to address the need in fiscal year 
2016. The Department is directed to provide quarterly updates 
beginning at the end of the first quarter of fiscal year 2016 
to the Committees on Appropriations of both Houses of Congress 
detailing the expenditures and obligations of funding Hepatitis 
C treatment to date in fiscal year 2016, the number of veterans 
treated to date in fiscal year 2016, the number of veterans 
deemed cured to date in fiscal year 2016, and the projection of 
spending, new starts for drug treatment, and number of veterans 
who will be cured in the next quarter. The first quarterly 
report shall include this same data for all of fiscal year 
2015.
    Intermediate Care Technician Program.--The Committee 
understands in many parts of the country VA facilities are 
experiencing a shortage of healthcare providers. In January 
2013, VA launched the Intermediate Care Technician [ICT] 
program, which allows Army medics, Air Force medical 
technicians, and Navy/Marine and Coast Guard Hospital Corpsmen 
to go directly from active duty military service to work within 
VHA as ICTs without undergoing additional licensure. This 
highly successful program provided immediate employment 
opportunities to highly trained veterans to care for other 
veterans. The Committee directs the Department to expand this 
program by 250 additional ICT positions for an additional 3 
years.
    Access to Care.--Hawaii and Alaska present unique 
challenges for VA in delivering timely healthcare. For 
instance, if VA does not provide a particular healthcare 
service within the VHA system, Hawaii and Alaska veterans have 
been directed to fly thousands of miles to a VA medical center 
within the continental United States, regardless of whether 
adequate healthcare may exist within the State through a local 
provider. The Committee remains concerned extensive travel 
requirements, coupled with lengthy delays scheduling this 
travel, create unusual hardships on Hawaii and Alaska veterans. 
The Department has reported it is making progress in addressing 
these unique problems through the ``Care Closer to Home 
Program.'' The Committee encourages VA to continue these 
efforts and will continue to monitor its progress.
    Staffing of Alaska VA Healthcare System.--In its report to 
accompany the fiscal year 2015 bill, the Committee made note of 
the difficulties VA has encountered in finding a full time 
physician to staff the Wasilla Community Based Outpatient 
Clinic--a facility that should be assigned two full time 
providers given its patient load. The Committee also 
understands VA has faced challenges in maintaining consistent 
staffing at its Fairbanks Community Based Outpatient Clinic. To 
address gaps in primary care staffing in Anchorage and the 
Matanuska-Susitna Borough, the Alaska VA Healthcare System has 
entered into agreements with the Alaska Neighborhood Health 
Center and Southcentral Foundation, an Alaska Native health 
provider, to take over a significant portion of its primary 
care caseload. These are a few examples of the chronic 
difficulties the Alaska VA Healthcare System faces in 
maintaining consistent staffing. Recognizing these 
difficulties, the Alaska VA Healthcare System is investigating 
partnerships with medical schools to increase the number of 
physicians who pursue postgraduate training in Alaska. The 
reasoning behind this effort is physicians often decide to 
permanently practice in the communities in which they are 
trained. The Committee encourages VA to pursue this effort as 
well as other proactive steps to ensure Alaska veterans receive 
timely and appropriate healthcare. Toward this end, VA may also 
wish to investigate whether to contract the operation of 
particular Community Based Outpatient Clinics in Alaska to 
components of the Alaska Native Healthcare System and Community 
Health Centers which have the capacity to provide care to 
Alaska veterans without compromising the service provided to 
existing patients.
    Access Received Closer to Home.--The Access Received Closer 
to Home [ARCH] program has been successful in benefitting rural 
and highly rural veterans in the States in which it operates. 
Veteran Integrated Service Network [VISN] analysis demonstrates 
more than 90 percent of veterans who received primary care 
services through ARCH were ``completely satisfied'' with the 
care and cited significantly shortened travel times. ARCH was 
reauthorized in Section 104 of the Veterans Access, Choice, and 
Accountability Act of 2014 (Choice Act) for an additional 2 
years, and VA was given the authority to expand the program 
within the VISN in which it operates. Given its proven track 
record, VA is urged to consider ARCH a model for establishing 
and maintaining a cooperative and mutually beneficial 
relationship with providers in local communities, which can 
remove barriers to accessing care for veterans in rural and 
highly rural areas. The Committee urges VA to consider the 
administrative and cost efficiencies that may be gained from 
working directly with local providers to administer the 
program. The Committee is concerned VA does not intend to 
expand the program within the VISNs in which it operates nor 
intend to advocate extending ARCH beyond fiscal year 2017. The 
Department is directed to provide a report to the Committees on 
Appropriations of both Houses of Congress no later than 180 
days after enactment of this Act detailing the feasibility of 
extending and expanding the ARCH program. The report must 
include the internal VA process that determines whether a 
veteran receives non-VA care through ARCH, the Choice Act, or 
another fee care option. The report must include veteran 
satisfaction survey data and utilization data. The report must 
describe the healthcare services, procedures, and treatments 
administered to veterans by non-VA providers and where 
geographically said healthcare is being provided.
    Affordable Housing for Low Income Veterans.--While 
homelessness among veterans has decreased steadily over the 
last several years, more must be done to ensure affordable 
housing is available to low-income veterans transitioning into 
permanent housing. The Committee is aware the Secretary of 
Veterans Affairs, in collaboration with the Secretary of the 
Department of Housing and Urban Development and Public Housing 
Authorities, conducts outreach to landlords, property 
management companies, and housing developers to improve the 
availability of affordable housing to formerly homeless 
veterans. There is concern, however, the effectiveness of this 
outreach varies across the country. The Department is directed 
to submit a report to the Committees on Appropriations of both 
Houses of Congress no later than 180 days after enactment of 
this act which outlines the type of outreach conducted and an 
action plan to close any gaps identified.
    Homelessness in Rural Areas.--The Committee recognizes 
homelessness in rural areas differs from homelessness in more 
urban areas, as do the means to combat it. The Department is 
directed to conduct a comprehensive needs assessment of 
veterans in rural areas who are homeless or at-risk of becoming 
homeless in order to better identify the homeless population in 
these areas and its needs. This assessment shall also include 
any recommendations the Department may have to improve the 
housing stability of these veterans and to strengthen community 
partnerships in order to achieve these goals. The Department is 
directed to submit a report no later than 180 days after 
enactment of this act detailing the assessment and the findings 
of the assessment.
    Supportive Services for Veteran Families and the Grant and 
Per Diem Program.--Among the various programs essential to 
continuing the success of ending veteran homelessness, the 
Supportive Services for Veteran Families and the Grant and Per 
Diem Program, are important. These two unique programs support 
community-based organizations to provide critical services and 
transitional housing for veterans and their families. These 
programs provide important lifelines to veterans in need and 
their families. Accordingly, the Committee directs the 
Department to fund both of the programs at the fully authorized 
level.
    Natural Resource Conservation Management.--The Committee 
includes language giving the Department the authority to 
administer financial assistance grants and enter into 
cooperative agreements in fiscal year 2016. The Committee is 
aware there are a number of non-profit, local, and State-based 
organizations capable of providing veterans with job training 
and employment opportunities in the area of natural resource 
conservation management. The Committee is further aware there 
has been broad support to end veterans homelessness and 
encourages VA to utilize the authority provided in this section 
in a way that combines job training and employment 
opportunities with the Department's continued commitment to 
mitigate homelessness among at-risk veterans. Before entering 
into any agreement, the Department is directed to create 
metrics for the program to ensure success can be clearly 
demonstrated and provide a report to the Committees of 
jurisdiction of both Houses of Congress detailing this program.
    Veterans Justice Outreach [VJO] Program.--The Committee 
commends the Department for its efforts to support justice-
involved veterans. According to the Bureau of Justice 
Statistics, 9.3 percent of people incarcerated in the United 
States are veterans; 70 percent of these veterans are 
incarcerated for a nonviolent offense. The Department reports 
that 60 percent of incarcerated veterans suffer from substance 
abuse, 30 percent from a serious mental illness, and 60 percent 
from a major medical condition. Almost 50 percent of homeless 
veterans have interacted with the criminal justice system.
    The Department's VJO specialists provide outreach and case 
management services to justice-involved veterans to help avoid 
unnecessary criminalization of mental illness and substance 
abuse. VJOs also work directly with local law enforcement and 
court officials to help identify veteran-specific issues, 
including Post-Traumatic Stress Disorder [PTSD] and Traumatic 
Brain Injury [TBI], and they connect eligible veterans with VA 
treatment programs. To better understand the development of the 
VJO program, the Committee requests the Department to report no 
later than 180 days after enactment of this act on the 
resources associated with this effort and the Department's 
ability to meet current demand.
    Access to Care for New Hampshire Veterans.--New Hampshire 
is the only State in the continental United States that does 
not have a full service VHA hospital, which presents a unique 
challenge for VA in delivering timely healthcare. For instance, 
if VA does not provide a particular healthcare service within 
the limited VHA system in New Hampshire, veterans have been 
directed to drive hundreds of miles to a VA hospital in another 
State, regardless of whether adequate healthcare may exist 
within New Hampshire through a local provider. The Committee 
remains concerned that the extensive travel requirements, 
coupled with lengthy delays scheduling this travel, create 
unusual hardships on New Hampshire veterans. The Choice Card 
program, passed as part of the Veterans Access, Choice, and 
Accountability Act, has significantly improved the availability 
of healthcare options for veterans in States like New 
Hampshire, Alaska, and Hawaii that do not have a full service 
VHA hospital. Given the unique challenges facing veterans in 
these States, the Committee requests the Department to report 
no later than 180 days after the enactment of this act on the 
feasibility and advisability of further extending Section 
101(b)(2)(C) of Public Law 113-146.
    National Centers for Post-Traumatic Stress Disorder.--The 
Committee is concerned by ongoing issues with post-traumatic 
stress disorder [PTSD] faced by servicemembers transitioning 
into civilian life after active duty service in Iraq and 
Afghanistan. While investments in the National Centers for 
Post-Traumatic Stress Disorder [NCPTSD] have successfully 
improved the scientific understanding of PTSD, more must be 
done to ensure research and treatment for PTSD continues at a 
level commensurate with the needs of the population accessing 
services through VA. The Department is directed to submit a 
report to the Committees on Appropriations of both Houses of 
Congress no later than 180 days after enactment of this act 
detailing how PTSD research at the NCPTSD has been used to 
inform care within the Department.
    The Committee approves of the operational progress in the 
establishment of the Brain Bank, a valuable resource in PTSD 
research headquartered at the National Center's Executive 
Division. Additionally, the Rural Veterans with PTSD Outreach 
Program ensures access to care for underserved veterans in 
rural communities by offering consultation services to non-VA 
providers. The Committee directs NCPTSD be funded at no less 
than $19,000,000, as outlined in the budget request. 
Additionally, in order to ensure NCPTSD is appropriately 
staffed, the Department is directed to report to the Committees 
on Appropriations of both Houses of Congress no later than 180 
days after enactment of this act on the current and projected 
staffing levels, including those for the Brain Bank and rural 
outreach program, to ensure VA continues to advance the 
research, education, and training in the science, diagnosis, 
and treatment of PTSD.
    Nursing Handbook.--The Committee understands the VHA 
Nursing Handbook is currently under review. The Committee 
encourages VHA to seek input from internal VA program offices 
and external professional stakeholders prior to possible 
regulatory action and submission to the Under Secretary for 
Health for final approval. The Committee believes all possible 
outreach efforts should be used to communicate the proposed 
changes, to gather public comment, and to collaborate with 
Congress, stakeholders, VA nursing staff, and external 
organizations. The Committee requests VHA ensure changes to its 
handbooks do not conflict with other handbooks already in place 
within VHA.
    Department of Veterans Affairs and Department of Defense 
Formularies.--In order to ensure continuity of care and to 
better understand where gaps exist in terms of medications used 
to treat behavioral health conditions, the Secretary of 
Veterans Affairs, in consultation with the Secretary of 
Defense, shall conduct a comprehensive assessment of VA and 
DOD's formularies. The results of this review shall be used to 
develop a plan to rectify any gaps identified. The Department 
is directed to submit a report to the Committees on 
Appropriations of both Houses of Congress no later than 180 
days after enactment of this act detailing the results of the 
review.
    Orthotics and Prosthetics Workforce.--The Committee is 
concerned about the sustainability of the orthotics and 
prosthetics workforce treating veterans, particularly given an 
aging workforce with imminent retirements as well as a lack of 
availability of advanced degree programs necessary to train new 
professionals. Reports indicate up to 20 percent of the field's 
7,100 clinicians nationwide are either past retirement age or 
within 5 years of retiring. The Committee recognizes the 
contributions made by VHA's Orthotic and Prosthetic Residency 
Program to provide rotation opportunities through the VA system 
but acknowledges this program alone is inadequate to ensure a 
sustainable workforce for the future, especially in light of 
the skill set necessary to provide the increasingly complex, 
state-of-the-art orthotics and prosthetics care for OEF/OIF 
veterans. The Committee directs VHA to explore cost effective 
opportunities to grow the workforce pipeline in order to ensure 
a future orthotic and prosthetic workforce necessary for the 
Nation's new generation of veterans. The Department is directed 
to submit a report to the Committees on Appropriations of both 
Houses of Congress no later than 180 days after enactment of 
this act detailing its findings.
    Hepatitis B.--The Committee is aware hepatitis B, if left 
untreated, may lead to advanced liver disease, liver cancer, 
and the need for liver transplants, placing a greater financial 
burden on the veterans healthcare system. Given the high rates 
of viral hepatitis infections among Vietnam Era veterans, the 
Committee urges an aggressive and targeted outreach program 
consistent with CDC's viral hepatitis testing and treatment 
recommendations to identify veterans with Hepatitis B and to 
facilitate and encourage treatment for those identified with 
the disease.
    Home and Community Based Services.--The Committee supports 
the Department's efforts to broaden veterans' options regarding 
long-term care support and services. The Committee notes the 
positive results of pilot programs such as the Veterans 
Independence Program, a veterans-directed Home and Community 
Based Services [HCBS] grant program administered jointly by VA 
and the Department of Health and Human Services [HHS]. The 
Committee encourages enhanced cooperation with HHS to expand 
and grow these programs. The Department is directed to submit a 
report to the Committees on Appropriations of both Houses of 
Congress no later than 180 days after enactment of this act on 
the cost avoidance associated with these various non-
institutional care programs. The report should include 
information on the demand for HCBS among the veteran 
population, the number of veterans currently being served by 
HCBS, and the Department's plans to expand the size and scope 
of HCBS. Given the success of current HCBS pilot programs, the 
Department should include an economic analysis of the cost-
effectiveness of growing the existing pilot programs prior to 
national expansion to leverage coordination with HHS. The 
report should also detail the Department's efforts to 
coordinate with HHS on HCBS in future years. Given mandatory 
eligibility for certain types of care is associated with 
disability levels adjudicated by VBA, this report should offer 
some strategies for streamlining the claims process for 
veterans requiring long-term care.
    Veteran Suicide.--The Committee remains concerned about the 
alarming prevalence of suicide among veterans. The Department 
is directed to submit a report no later than 180 days from 
enactment of this act and each year thereafter to the 
Committees on Appropriations of both Houses of Congress on the 
number of veterans enrolled in the VA system who commit 
suicide, the factors which contribute to the rate of suicide 
among veterans, the method used by veterans to commit suicide, 
efforts by mental health professionals and others to prevent 
suicide, and any pertinent recommendations for legislative 
changes which would assist in addressing this problem.
    Mental and Behavioral Health Providers.--In 2006, Congress 
authorized the employment of licensed professional mental 
health counselors [LPMHC] and marriage and family therapists 
[MFT] by VA. However, the two professions comprise less than 1 
percent of the VA behavioral health workforce despite 
representing 40 percent of the overall independent practice 
behavioral health workforce in the United States. As part of 
the Veterans Access, Choice, and Accountability Act of 2014 and 
the Clay Hunt Suicide Prevention Act of 2015, VA has the 
ability to recruit and hire additional behavioral healthcare 
providers to serve veterans suffering from invisible wounds of 
war. The Committee notes VA has made progress with hiring 
providers in this field, however, LPMHC and MFT professionals 
remain under represented. The Department is directed to report 
to the Committees on Appropriations of both Houses of Congress 
no later than 180 days after enactment of this act on the 
status of hiring additional LPMHC and MFT professionals and 
detailing how many are currently enrolled and planned to be 
enrolled in VA's mental health professionals trainee program. 
The report should explain the eligibility criteria for LPMHC 
and MFT professionals as compared to other behavioral health 
professions, and the VA objectives, goals, and timing 
associated with increasing LPMHC and MFT representation in the 
behavioral health workforce.
    Recruitment and Retention of Mental Health Providers.--The 
Committee notes persistent issues for VA health facilities in 
recruiting and retaining mental health providers in the face of 
national provider shortages and a highly competitive 
environment. Among different mental health provider types, the 
highest national vacancy rate was in psychiatry with 14.2 
percent of positions unfilled. The Committee encourages the 
Department to consider the expanded use of physician assistants 
[PAs] specializing in psychiatric care to address the mental 
health provider gap. PAs provide high quality, cost-effective 
medical care and are held to the same standard of healthcare 
deliver as their physician colleagues. Furthermore, the 
Department is directed to review and report to Congress a plan 
to improve recruitment and retention initiatives for PAs, 
including consideration of including PAs in the Locality Pay 
System, implementing recruitment and retention tools targeting 
the Education Debt Reduction Program [EDRP] and the Employee 
Incentive Scholarship Program [EISP] to consistently include 
PAs, mandating that VHA list all midlevel provider positions 
for both PAs and Nurse Practitioners, maximizing the authority 
and instructions in Titles III and VIII of the Veterans Access, 
Choice, and Accountability Act of 2014, Public Law 113-146, to 
develop an optimal PA workforce.
    Locum Tenens Physicians.--The Committee recognizes VA 
facilities across the nation often rely upon assistance from 
temporarily assigned locum tenens physicians. The Committee 
understands the use of locum tenens professionals at VA 
facilities enables a flexible staffing structure and allows 
responsiveness to changing patient population demands. Further, 
the VA's locum tenens system, in which a physician with a 
current license in at least one state may work in any VA 
facility, has been a normal staffing practice of VA for 
decades. The Committee urges VA, in conjunction with the Drug 
Enforcement Administration, to resolve any alleged regulatory 
issues concerning prescription drug issues for locum tenens 
professionals to ensure veterans have access to needed high 
quality local VA healthcare.
    Infectious Disease Screening.--The Committee applauds VHA 
for developing electronic clinical reminders for recommended 
HIV/AIDS and viral hepatitis screenings and urges VHA to 
implement these reminders in appropriate settings. To further 
improve screening rates, the Committee urges VHA to offer 
support to VISNs to implement recommended screening, including 
innovative strategies like point-of-care testing.
    Functional Gastrointestinal Disorders and Gulf War 
Illness.--The Committee is pleased with the Department's plan 
to address Gulf War Illness, including how it relates to 
functional gastrointestinal disorders. The Department is 
directed to submit a report to the Committees on Appropriations 
of both Houses of Congress no later than 180 days after 
enactment of this act detailing the progress made in 
implementing this plan.
    Guide Dogs and Other Service Animals.--The Committee 
recognizes the importance of guide dogs and other service 
animals to veterans and encourages the Department to ensure 
veterans receiving VA medical care are not prohibited from 
bringing a covered service dog or other service animal into a 
medical facility of the Department, including with respect to 
staying overnight. The Department may prescribe regulations to 
ensure the safety and health of employees of the Department, 
patients, and the public, including by requiring a patient 
maintain responsibility for the covered service dog or other 
service animal.
    The Clay Hunt SAV Act.--The Committee urges the Department 
to implement the pilot program on community outreach 
established in the Clay Hunt SAV Act, Public Law 114-2. The 
pilot program requires no less than five Veterans Integrated 
Service Networks [VISN] that have a large population of 
veterans to include: (1) a community oriented veteran peer 
support network carried out in partnership with an entity that 
has experience in peer support programs, and (2) a community 
outreach team for each medical center in each VISN. The 
Department is directed to submit a report to the Committees on 
Appropriations of both Houses of Congress no later than 180 
days enactment of this act detailing these efforts.
    Opioid Safety Initiative.--To help address the prescription 
drug abuse and overdose epidemic, the Committee directs VA, in 
consultation with the Department of Defense [DOD], to update 
the Clinical Practice Guideline [CPG] for the Management of 
Opioid Therapy [OT] for Chronic Pain and adopt the safe opioid 
prescribing guidelines for chronic, non-cancer pain in 
outpatient settings developed by the Centers for Disease 
Control and Prevention [CDC]. Upon release of CDC's safe opioid 
prescribing guidelines in fiscal year 2016, the Department is 
instructed to include such guidelines and release an updated 
CPG for the management of OT no later than December 31, 2016.
    The Committee fully supports the Department's efforts to 
reduce the use of opioids to treat pain, including the Opioid 
Safety Initiative [OSI] and the Opioid Therapy Risk Report 
tool. However, to help reduce rates of opioid addiction and 
fatal overdose, it is critical that real-time data is available 
at the individual prescriber and pharmacist level as well as 
the pharmacy management level to prevent inappropriate 
prescribing before it occurs. The Committee directs VHA in 
coordination with the Office of Information Technology to 
develop and deploy mechanisms for including real-time patient 
information on existing opioid prescriptions within VHA as well 
as patient controlled substances prescription information in 
the state prescription drug monitoring program. Such mechanisms 
should also alert a provider or pharmacist in real-time that an 
opioid or benzodiazepine prescription would be inappropriate 
and protect against ``double-prescribing'' when an in-patient 
continues to receive take-home opioid prescriptions despite 
being treated with opioids at a VA facility. The Committee 
further directs VHA to submit information on controlled 
substance prescriptions to state prescription drug monitoring 
programs.
    In addition, to ensure VA providers are not prescribing 
opioids for mental health treatment, compliant with joint VA-
DOD Clinical Practice Guidelines and to improve the DOD-VA 
transition, the Committee directs VA, in consultation with DOD, 
to establish within the DOD-VA Joint Executive Council [JEC] a 
working group focused on patient pain management and opioid 
therapy. This working group should build on the work of 
existing relevant working groups, including those on Evidence 
Based Guidelines, Mental Health, Patient Safety, and Pharmacy, 
and cover, at minimum, opioid prescribing practices, acute and 
chronic pain management, complementary and integrative health, 
and the concurrent use of opioids and prescription drugs used 
to treat mental health issues, including benzodiazepines.
    Further, it is critical all VA medical facilities have the 
resources, necessary equipment, and supplies to help reduce the 
number of opioid-related overdose deaths and adverse events. As 
such, the Committee instructs VA to ensure all VA medical 
facilities are equipped with approved opioid receptor 
antagonists, such as naloxone, an opioid antagonist that 
reverses the effects of opioids, including respiratory 
depression, within 90 days of enactment of this act. The 
Committee urges VA to further ensure providers and pharmacists 
at every medical facility receive updated education on the use 
of approved opioid receptor antagonists, such as naloxone and 
other overdose death prevention strategies. The Committee fully 
supports VA's Overdose Education and Naloxone Distribution 
[OEND] program which distributes naloxone take-home kit 
prescriptions to at-risk patients and provides training on the 
proper naloxone administration technique and how to prevent, 
recognize, and respond to an opioid overdose. In recognition of 
the program's initial success, the Committee encourages VA to 
accelerate and expand the OEND program to ensure all patients 
at-risk for opioid overdose have access to a naloxone kit.
    Lastly, to strengthen oversight, the Committee directs the 
Government Accountability Office, in consultation with VA, to 
report to Congress on the effectiveness of the VA Opioid Safety 
Initiative and overall opioid prescribing practices throughout 
the VA system. This report shall include recommendations on 
improvements to the Opioid Safety Initiative, deaths involving 
veterans prescribed opioids, overall opioid prescription rates, 
and indications at all VA facilities, including facilities and 
prescribers that are among the top 10 percent in the nation 
regarding the percent of their patient population receiving 
opioids, and the average dose per patient. In addition, the 
report shall note the use of benzodiazepines and opioid 
concomitantly and their prescription rates and indications 
along with facilities and prescribers that are among the top 10 
percent in the nation regarding the percent of their patient 
population receiving opioids and the average dose per patient.
    Caregivers.--The Committee notes the robust usage of the 
post-9/11 Caregiver program with its more than 20,000 approved 
applications, as well as the consistent positive reviews by 
caregiver families stating the program's stipend, respite care, 
formal training, and support structure as critical components 
of its success. Given the demonstrated success of the program, 
the Committee encourages VA to ensure caregiver coordinators at 
each VA medical center are fully resourced and, to the maximum 
extent possible, assigned designated caregiver duties as their 
chief and only responsibility. In addition, the Committee 
encourages VA to examine expansion of the program beyond the 
post-9/11 population. Noting the conclusions of the recent RAND 
Military Caregivers Study indicating the significant hardship 
borne by those caring for military personnel prior to 
separation, the Committee encourages the Department to engage 
in a lessons-learned dialogue with DOD in order to share best 
practices. The Committee recognizes many caregivers for 
severely wounded veterans are working dramatically reduced 
hours outside the home or have left the workforce completely, 
leading to financial hardship. This reduction in outside 
earnings results in difficulties meeting financial obligations, 
including student loan debt held by the caregiver. The 
Committee directs VA to survey all caregivers currently in the 
program to identify the number possessing outstanding student 
loan debt and develop a plan to monitor this issue, including 
future data collection. The Department is directed to provide a 
report to the Committees on Appropriations of both Houses of 
Congress no later than 180 days after enactment of this act and 
every 6 months thereafter detailing its plan and the survey 
findings.
    Pain Management Boards.--In an effort to reduce the use of 
opioids for chronic pain and increase the use of complementary 
and alternative medicine, the Committee encourages VHA to 
establish Pain Management Boards [the Boards] within each 
Veterans Integrated Service Network [VISN]. The Boards should 
be comprised of healthcare professionals and clinical patients 
and/or family members of a clinical patient. The Boards would 
serve as a resource for the region's facilities, patients, and 
family members; provide best practices recommendations for pain 
management to VA facilities within its region, including 
patient, family member, and medical perspectives; and, provide 
an annual report to the Secretary of Veterans Affairs about 
pain management practices within its region, which would then 
be sent to Congress. The Department is directed to report to 
the Committees on Appropriations of both Houses of Congress no 
later than 180 days after enactment of this act on the 
feasibility of establishing such Boards.
    Fertility Treatment.--The nature of the current military 
conflict and increasing use of improvised explosive devices has 
left some servicemembers with blast injuries that include 
spinal cord injury and trauma to the reproductive and urinary 
tracts. The Committee is concerned about the care and level of 
services provided for these injured servicemembers after they 
return home, and notes currently there is not parity between 
DOD and VA treatment of servicemembers with these injuries. The 
Committee directs VA to provide a report to the Committees on 
Appropriations of both Houses of Congress no later than 180 
days after enactment of this act detailing the scope and the 
extent of veterans facing infertility issues due to service 
connected injuries suffered during Operation Iraqi Freedom 
[OIF] and Operation Enduring Freedom [OEF].
    Fee-Based Medical Care.--The Committee is aware VA has 
several mechanisms to provide medical care to veterans outside 
of the VA healthcare system. As noted in a May 11, 2015, 
Congressional Research Service [CRS] analysis, ``Implementation 
of the Veterans Choice Program [VCP],'' these programs fall 
into three broad categories--contracts to purchase care, non-
contracted medical care purchased on a fee-for-service basis 
from area providers, and emergency care when required. CRS 
estimates VA spent approximately $7 billion in 2014, prior to 
enactment of the Veterans Choice Program, for fee-based medical 
care. As CRS noted, VA's existing fee-based care programs were 
developed at various times in response to specific 
requirements, resulting in overlapping and sometimes 
contradictory eligibility requirements. The Committee is 
concerned over the apparent lack of coordination among the use 
of these programs and the potential for funding imbalances 
which could lead to shortfalls in some programs and surpluses 
in others. The Department is directed to submit a report to the 
Committees on Appropriations of both Houses of Congress within 
60 days of enactment of this act providing: (1) a description 
of each of the existing statutory authorities and programs, 
including the Veterans Choice Act, through which VA can provide 
medical care to veterans outside of the VA health care system; 
(2) an explanation of the reimbursement rate to providers for 
each of the programs; (3) the amount of funding projected to be 
required for each of the programs funded under the Department's 
discretionary budget authority for fiscal years 2015 through 
2017; (4) the amount of funds expended in each of the programs, 
excluding the Veterans Choice Act, in fiscal years 2013 and 
2014; and (5) a plan establishing a policy to coordinate the 
administration and use of all of the Department's fee-based 
care authorities.

                     MEDICAL SUPPORT AND COMPLIANCE

Appropriations, 2015....................................  $5,879,700,000
Advance appropriations, 2016............................   6,144,000,000
Budget estimate, 2016...................................      69,961,000
House allowance, 2016...................................................
Committee recommendation, 2016..........................................
Budget estimate, advance appropriation, 2017............   6,524,000,000
House allowance, advance appropriation, 2017............   6,524,000,000
Committee recommendation, advance appropriation, 2017...   6,524,000,000

                          PROGRAM DESCRIPTION

    The Medical Support and Compliance account provides funds 
for management, security, and administrative expenses within 
the VA healthcare system, in addition to providing costs 
associated with the operation of VA medical centers and 
clinics, VISN offices, and the VHA Central Office in 
Washington, DC. This appropriation also covers Chief of Staff 
and Facility Director operations, quality of care oversight, 
legal services, billing and coding activities, procurement, 
financial management, security, and human resource management.
    The President's 2016 and 2017 submission for Medical 
support and compliance is based on an actuarial analysis 
founded on the current and projected veteran population, 
enrollment projections of demand, and case mix changes 
associated with current veteran patients.

                        COMMITTEE RECOMMENDATION

    In fiscal year 2015, the Committee provided an advance 
appropriation of $6,144,000,000 for fiscal year 2016 for the 
Medical Support and Compliance account. The Committee 
recommendation includes an advance appropriation of 
$6,524,000,000 for Medical support and compliance for fiscal 
year 2017.

                           MEDICAL FACILITIES

Appropriations, 2015....................................  $4,739,000,000
Advance appropriations, 2016............................   4,915,000,000
Budget estimate, 2016...................................     105,132,000
House allowance, 2016...................................................
Committee recommendation, 2016..........................................
Budget estimate, advance appropriation, 2017............   5,074,000,000
House allowance, advance appropriation, 2017............   5,074,000,000
Committee recommendation, advance appropriation, 2017...   5,074,000,000

                          PROGRAM DESCRIPTION

    The Medical Facilities account provides funds for the 
operation and maintenance of the VA healthcare system's vast 
capital infrastructure. This appropriation provides for costs 
associated with utilities, engineering, capital planning, 
leases, laundry, groundskeeping, housekeeping, facility repair, 
and property disposition and acquisition.

                        COMMITTEE RECOMMENDATION

    In fiscal year 2015, the Committee provided an advance 
appropriation of $4,915,000,000 for fiscal year 2016 for the 
Medical Facilities account. The Committee recommendation 
includes an advance appropriation of $5,074,000,000 for Medical 
facilities for fiscal year 2017.

                    MEDICAL AND PROSTHETIC RESEARCH

Appropriations, 2015....................................    $588,922,000
Budget estimate, 2016...................................     621,813,000
House allowance.........................................     621,813,000
Committee recommendation................................     621,813,000

                          PROGRAM DESCRIPTION

    The Medical and Prosthetic Research account provides funds 
for medical, rehabilitative, and health services research. 
Medical research supports basic and clinical studies that 
advance knowledge leading to improvements in the prevention, 
diagnosis, and treatment of diseases and disabilities. 
Rehabilitation research focuses on rehabilitation engineering 
problems in the fields of prosthetics, orthotics, adaptive 
equipment for vehicles, sensory aids and related areas. Health 
services research focuses on improving the effectiveness and 
economy of the delivery of health services.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $621,813,000 for the Medical and 
Prosthetic Research account. This is $32,891,000 above the 
fiscal year 2015 enacted level and equal to the budget request.
    The Committee remains highly supportive of this program, 
and recognizes its importance both in improving healthcare 
services to veterans and recruiting and retaining high quality 
medical professionals in the Veterans Health Administration.
    Through the Department's research and development program, 
VA has implemented a comprehensive research agenda to develop 
new treatments and tools for clinicians to ease the physical 
and psychological pain of men and women returning from war 
zones, to improve access to VA healthcare services, and to 
accelerate discoveries and applications, especially for 
neurotrauma, sensory loss, amputation, polytrauma, and related 
prosthetic needs. The Committee encourages VA to continue its 
research into developing novel approaches to restoring veterans 
with amputation, central nervous system injuries, loss of sight 
or hearing, or other physical and cognitive impairments to full 
and productive lives.
    Toxic Exposures.--The Committee wants to ensure VA is 
actively researching the residual impact to veterans of Agent 
Orange and other toxic exposures, such as oil well fires and 
burn pits. The Department is directed to submit a report to the 
Committees on Appropriations of both Houses of Congress no 
later than 180 days after enactment of this act detailing 
ongoing activities and future plans for research into residual 
exposure to Agent Orange and other toxins.
    C-123 Planes and Possible Exposure to Dioxin.--The 
Committee is aware of the Institute of Medicine [IOM] study of 
exposure to herbicide by servicemembers who served on Fairchild 
UC-123 ``Provider'' (C-123) aircraft post-Vietnam war. The 
report, commissioned by VA, states with confidence these 
servicemembers were exposed to potentially dangerous levels of 
dioxin. Given IOM's recent finding, the Department is directed 
to report to the Committees on Appropriations of both Houses of 
Congress within 14 days of enactment of this act on plans to 
provide appropriate care and benefits to servicemembers who 
flew or worked on C-123 planes that carried and sprayed Agent 
Orange and to revisit past and existing related claims 
previously denied.
    Health Conditions of Descendants.--The Committee believes 
research and evidence is deficient regarding the potential 
connection of health conditions of descendants of veterans who 
were exposed to toxic substances during their service in the 
Armed Services--such as Agent Orange in Vietnam, Gulf War 
neurotoxins, burn pits in Iraq, and other chemicals from 
conflicts or contingencies overseas. Many of the symptoms from 
toxic exposure are misdiagnosed in descendants of veterans 
because of a lack of understanding and scientific proof. 
Veterans have observed increased levels of cancers, birth 
defects, and other medical conditions in their subsequent 
generations. The evidence of health conditions in the progeny 
of service members who were exposed to toxic substances is 
mounting, and the Committee believes research is warranted to 
collect data and study this paradigm.
    Respiratory Illnesses.--The Department is directed to 
submit a report to the Committees on Appropriations of both 
Houses of Congress no later than 180 days after enactment of 
this act on the current status and findings of the Airborne 
Hazards and Open Burn Pit Registry, as well as information on 
other research and development activities the Department is 
conducting to explore the potential health risks of 
environmental exposures in Iraq and Afghanistan, particularly 
as they relate to respiratory illnesses such as chronic cough, 
chronic obstructive pulmonary disease, constrictive 
bronchiolitis, and pulmonary fibrosis. The Department should 
include any research and surveillance efforts that evaluate the 
current incidence and prevalence of respiratory illnesses among 
service members and veterans.
    Assistive Technology.--Whether because of age or injury, 
the Committee is aware veterans have a need for accessible, 
dependable, and affordable tools to overcome barriers to 
engagement, employment, and independent living. The continued 
development of 3D printing and other technological advances has 
the potential to make development and adaptation of devices 
faster and more affordable. The Department is urged to begin a 
pilot program to develop a more innovative and end-user 
friendly design-to-delivery process for assistive technology. 
In this effort, VA should work with research institutions with 
a multi-disciplinary approach that includes rehabilitation 
specialists, industrial designers, computer engineers, clinical 
specialists, and disability-specific support organizations.

                 MEDICAL CARE COST RECOVERY COLLECTIONS

                      MEDICAL CARE COLLECTION FUND

Appropriations, 2015....................................  $2,456,000,000
Budget estimate, 2016...................................   2,445,000,000
House allowance.........................................   2,445,000,000
Committee recommendation................................   2,445,000,000

             MEDICAL CARE COLLECTION FUND--REVENUES APPLIED

Appropriations, 2015.................................... -$2,456,000,000
Budget estimate, 2016...................................  -2,445,000,000
House allowance.........................................  -2,445,000,000
Committee recommendation................................  -2,445,000,000

                          PROGRAM DESCRIPTION

    The Medical Care Collection Fund [MCCF] was established by 
the Balanced Budget Act of 1997 (Public Law 105-33). In fiscal 
year 2004, Public Law 108-199 allowed the Department of 
Veterans Affairs to deposit first-party and pharmacy co-
payments; third-party insurance payments and enhanced-use 
collections; long-term care co-payments; Compensated Work 
Therapy Program collections; and Parking Program fees into the 
MCCF. The Secretary of Veterans Affairs has the authority to 
transfer funds from the MCCF to the Medical services account.

                        COMMITTEE RECOMMENDATION

    The Committee recommendation includes the authority to 
retain co-payments and third-party collections, estimated to 
total $2,445,000,000 in fiscal year 2016.
    Third Party Billing.--The Committee again notes the large 
amount of third party health billings that go uncollected each 
year. The Committee believes procedures to provide for correct 
billing and prompt collection must improve at VA. Therefore, 
the Department is directed to submit a report to the Committees 
on Appropriations of both Houses of Congress no later than 180 
days after the enactment of this act identifying the amount of 
third party health billings owed to VA in fiscal year 2015 and 
the amount collected. Additionally, the report should include 
current efforts underway to increase VA's efficiency, accuracy, 
and collection process, as well as what management practices 
are in place to provide proper oversight of the billing process 
so as to eliminate unnecessary and duplicative functions.
    Third Party Fee Collection.--The Committee is concerned 
about the resulting loss of collections from third party 
insurers for non-service connected care as veterans receive 
more care at non-VA facilities. Purchased care has grown from 
$3 billion in fiscal year 2008 to $7 billion in fiscal year 
2014. The level of fee-based care is expected to continue to 
increase. In 2011, OIG identified shortcomings in the 
Department's non-VA fee care processes and estimated $110 
million annually in third party payments were not being 
recouped. Since that time, action plans implemented by VA have 
not produced a material improvement in non-VA fee care 
collections, and the identified shortcomings still exist. The 
Committee believes a comprehensive solution to the non-VA fee 
care issue is necessary to realize full collection potential 
and create structure that can best accommodate recent and 
future non-VA fee care growth. The Department is directed to 
initiate within 90 days after the enactment of this act a pilot 
program in one Veteran Integrated Service Network [VISN] that 
shall last 18 months. The Department shall choose through a 
fair and open competition a non-government entity with 
substantial private sector revenue cycle management experience 
to conduct the pilot. The objective of such a pilot is to 
review and report current state business processes, the impacts 
of the Veterans Access, Choice and Accountability Act of 2014 
(Public Law 113-146), and implement improvements necessary to 
identify and execute actions to correct current gaps in non-VA 
care fee collection. The pilot shall further demonstrate a 
business case analysis focused on process standardization, 
staff education and training, and consistent system 
applications throughout the VISN health system that may result 
in an increase in reimbursement to VA from non-VA fee care. The 
business case shall provide recommendations in the following 
areas: improved tracking of patient information, increased 
collections to increase revenue, improving tracking of unbilled 
claims to the private sector, operations efficiencies within 
non-VA care, and the tracking and continuity of care. At the 
conclusion of the pilot, VA shall report to the Committees on 
Appropriations of both Houses of Congress the financial and 
operational results of the pilot along with a plan for 
expanding the improvements beyond the pilot and shall include a 
point-of-view on consolidating non-VA care insurance 
identification, billing, and collection activities within VISNs 
or regions.

                    National Cemetery Administration

Appropriations, 2015....................................    $256,800,000
Budget estimate, 2016...................................     266,220,000
House allowance.........................................     266,220,000
Committee recommendation................................     266,220,000

                        ADMINISTRATION OVERVIEW

    The National Cemetery Administration [NCA] was established 
in accordance with Public Law 93-94, the National Cemeteries 
Act of 1973. It has a four-fold mission: to provide for the 
interment in any national cemetery of the remains of eligible 
deceased servicemembers and discharged veterans, together with 
their spouses and certain dependents, and permanently maintain 
their graves; to provide headstones for, and to mark graves of, 
eligible persons in national, State, and private cemeteries; to 
administer the grant program for aid to States in establishing, 
expanding, or improving State veterans cemeteries; and to 
administer the Presidential Memorial Certificate Program.
    Policies Regarding Headstones and Markers for Deceased 
Veterans.--The Committee is aware the Department furnishes 
headstones and markers for the graves of eligible veterans in 
any cemetery in the world. This benefit ensures veterans are 
remembered for their dedicated sacrifices to the country. The 
Department must ensure its policies adequately address deceased 
veterans who lack next-of-kin to request this benefit on their 
behalf. The NCA is directed to submit a report to the 
Committees on Appropriations of both Houses of Congress no 
later than 180 days after enactment of this act detailing 
current policies and procedures regarding this issue and 
highlighting any problems in ensuring eligible veterans receive 
appropriate headstones and markers.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $266,220,000 for the National 
Cemetery Administration. This is an increase of $9,420,000 
above the fiscal year 2015 enacted level and equal to the 
budget request.
    The Committee has included bill language to make available 
through September 30, 2017, up to $26,600,000 of the National 
Cemetery Administration appropriation.

                      Departmental Administration

Appropriations, 2015....................................  $8,177,894,000
Budget estimate, 2016...................................   9,087,406,000
House allowance.........................................   8,401,906,000
Committee recommendation................................   8,911,482,000

                        ADMINISTRATION OVERVIEW

    Departmental Administration provides for the administration 
of veterans benefits through the Veterans Benefits 
Administration [VBA], the executive direction of the 
Department, several top level supporting offices, the Board of 
Contract Appeals, and the Board of Veterans Appeals.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $8,911,482,000 for Departmental 
Administration. The amount is composed of $321,591,000 for 
General administration; $107,884,000 for the Board of Veterans 
Appeals; $2,697,734,000 for General operating expenses, 
veterans benefits administration; $4,106,363,000 for 
Information technology systems; $126,766,000 for the Office of 
the Inspector General; $1,027,064,000 for Construction, major 
projects; $378,080,000 for Construction, minor projects; 
$100,000,000 for Grants for construction of State extended care 
facilities; and $46,000,000 for Grants for the construction of 
State veterans cemeteries.

                         GENERAL ADMINISTRATION

                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2015....................................    $321,591,000
Budget estimate, 2016...................................     346,659,000
House allowance.........................................     324,959,000
Committee recommendation................................     321,591,000

                          PROGRAM DESCRIPTION

    The General Administration account provides funding for the 
Office of the Secretary, six assistant secretaries, and three 
independent staff offices.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $321,591,000 for General 
Administration. This amount is equal to the fiscal year 2015 
enacted level and $25,068,000 below the budget request. The 
Committee has included bill language to make available through 
September 30, 2017, up to $12,141,000 for General 
Administration.
    Franchise Fund.--The Franchise Fund was established in 1997 
as a pilot program and made permanent in fiscal year 2006 under 
Public Law 109-114. The Department is directed to provide a 
report to the Committees on Appropriations of both Houses of 
Congress no later than 180 days after enactment of this act 
detailing the Franchise Fund business plan for fiscal year 
2016. This plan should include a list of services, customers, 
overhead expenses, funds collected for services, and the 
unobligated balance from the previous fiscal year.
    Security at Veterans Affairs Medical Facilities.--
Intelligent policing solutions such as Smart Policing, real-
time data analytics, and data-driven law enforcement are being 
widely embraced by State and local law enforcement entities 
nationwide. Security at VA hospitals must be handled in an 
intelligent way because they face several unique challenges. 
The population of patients served is composed of a large number 
of people dealing with a variety of mental health problems, 
including PTSD. Campuses are often located in urban areas in 
order to be accessible to veterans. The safety of physicians, 
nurses, and staff at VA hospitals is a top priority for the 
Department. There must be a balance between controlling and 
monitoring access to the facilities while not preventing 
veterans from accessing the care they need. The Committee looks 
forward to receiving a report from the Office of Security and 
Law Enforcement assessing the physical security at hospitals 
nationwide. The Committee expects to be kept apprised of how VA 
plans to implement the recommendations of that report and how 
intelligent policing solutions can enhance the security of 
hospital facilities.

                       BOARD OF VETERANS APPEALS

Appropriations, 2015....................................     $99,294,000
Budget estimate, 2016...................................     107,884,000
House allowance.........................................     109,884,000
Committee recommendation................................     107,884,000

                          PROGRAM DESCRIPTION

    As set forth in section 7101(a) of title 38 United States 
Code, the Board of Veterans Appeals is responsible for making 
final decisions on claims for veterans benefits presented to 
the Board for appellate review. The vast majority of the 
Board's workload derives from benefit claims initiated by the 
Veterans Benefits Administration's Regional Offices. The 
appellate process has multiple steps, most of which occur at 
the local Regional Office level. If a veteran is not satisfied 
with the Regional Office determination, he or she may appeal to 
the Board for a final agency decision. The Board adjudicates 
appeals covering all areas of veterans benefits, including: 
service connection, increased disability ratings, total 
disability ratings, pensions, insurance benefits, educational 
benefits, home loan guaranties, vocational rehabilitation, 
waivers of indebtedness, fee basis medical care, and dependency 
and indemnity compensation.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $107,884,000 for the Board of 
Veterans Appeals, which is $8,590,000 above fiscal year 2015 
enacted level and equal to the budget request.

      GENERAL OPERATING EXPENSES, VETERANS BENEFITS ADMINISTRATION

Appropriations, 2015....................................  $2,534,254,000
Budget estimate, 2016...................................   2,697,734,000
House allowance.........................................   2,702,734,000
Committee recommendation................................   2,697,734,000

                          PROGRAM DESCRIPTION

    The General Operating Expenses, Veterans Benefits 
Administration account provides funding for the Veterans 
Benefits Administration to administer entitlement programs such 
as service-connected disability compensation, education 
benefits, and vocational rehabilitation services.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $2,697,734,000 for General 
Operating Expenses, Veterans Benefits Administration, which is 
$163,480,000 above fiscal year 2015 enacted level and equal to 
the budget request. The Committee has included bill language to 
make available through September 30, 2017, up to $134,800,000 
for General Operating Expenses, Veterans Benefits 
Administration.
    Claims Processing.--The Committee recommendation fully 
funds the Department's request for the General Operating 
Expenses, Veterans Benefits Administration account. The 
Committee notes that within the $163,480,000 increase over 
fiscal year 2015 the Department plans to hire 770 new personnel 
aimed at bolstering efforts to improve all aspects of the 
claims process. Over the past several years, VBA has focused on 
reducing the overall claims backlog for new and supplemental 
claims. While the Department has made significant improvement, 
the Committee believes VBA must guard against recurring 
backlogs and begin addressing the timeliness of the appellate 
process. The Committee fully supports the Department's request 
for 200 new appeals processors, 320 non-rating claims 
processors, 85 fiduciary field examiners, and 165 support 
personnel. To ensure each Regional Office is appropriately 
staffed, the Department is directed to submit a report to the 
Committees on Appropriations of both Houses of Congress on 
current and future staffing levels for each Regional Office. 
Further, the Committee believes proper management oversight 
should be in place within each Regional Office. Therefore, the 
Department shall include in the report plans to ensure Regional 
Offices, particularly those with 100 or more employees, have 
on-site directors. In addition, the Secretary of Veterans 
Affairs shall refresh the VA Strategic Plan to Transform the 
Appeal Process. This strategic plan should include the 
requirements outlined in Senate Report 113-48 that was 
referenced by the Joint Explanatory Statement that accompanied 
Public Law 113-235, the Consolidated and Further Continuing 
Appropriations Act of 2015, and shall include a description, to 
include objective measurements and performance results, of the 
appeals modernization initiative, which is designed to speed 
the processing of appeals and improve the accuracy of 
decisions. Further, in addition to initiatives that lead to 
improved employee performance, the strategic plan shall also 
outline possible administrative reforms of the policies and 
procedures governing the adjudication of appeals, which may 
lead to more timely and accurate decisions including an 
estimate of the anticipated gains in efficiency (improved 
timeliness and accuracy) as a result of such administrative 
reform. The Secretary shall submit this report to Congress no 
later than 90 days after enactment of this act.
    The Committee continues to believe quality cannot be 
sacrificed in the pursuit of eliminating the claims backlog. As 
such, the Department must continue the efforts of the Quality 
Review Teams [QRT] in assessing the performance of claims 
processing operations and bridging the gap between local and 
national standards. It is critical QRTs perform follow-up spot 
audits in Regional Offices that have undergone challenge 
training to ensure quality standards are being met. 
Additionally, VA must ensure all training programs for claims 
processors are routinely followed up with testing and 
monitoring at regular intervals.
    In order to continue to provide better oversight of quality 
reviews and training, bill language is included requiring the 
Department submit quarterly reports which shall include the 
number and results of QRT review audits conducted, corrective 
actions taken to address quality deficiencies, and training 
programs provided. The Committee will utilize this material to 
assess whether VA's quality control and training programs are 
adequate to ensure both timeliness and accuracy in the claims 
process.
    In addition to the quarterly reports, the Committee directs 
the Department to provide monthly reports to the Committees on 
Appropriations of both Houses of Congress on performance 
measures for each Regional Office, including the number of 
backlogged claims, the average number of days to complete a 
claim, the accuracy rate, and the origination date of the 
oldest claim in each Regional Office's inventory. The report 
may be submitted electronically and in spreadsheet format. Each 
report is due no later than 10 calendar days after the last 
calendar day of the previous month, and that report shall 
reflect the previous month's data. The first report shall be 
submitted to the Committees on Appropriations of both Houses of 
Congress no later than 10 days after the first full month of 
enactment of this act and continue for the remainder of fiscal 
year 2016.
    Fully Developed Claims.--The Committee is concerned when 
the Department's authority to issue retroactive effective dates 
for disability compensation claims that are fully developed 
expires on August 6, 2015, the progress in reducing the claims 
backlog via the Fully Developed Claims program will be 
reversed. VA's goal of processing all claims within 125 days 
with 98 percent accuracy in 2015 has not yet been reached. The 
Committee strongly supports VA's Fully Developed Claims program 
and urges VA to continue utilizing the program. Additionally, 
for original disability compensation claims filed via the Fully 
Developed Claim program, the Committee urges the VA to award 
provisional benefits to claimants if VA fails to issue a final 
decision within 180 days.

                     INFORMATION TECHNOLOGY SYSTEMS

Appropriations, 2015....................................  $3,903,344,000
Budget estimate, 2016...................................   4,133,363,000
House allowance.........................................   4,039,563,000
Committee recommendation................................   4,106,363,000

                          PROGRAM DESCRIPTION

    The Information Technology [IT] appropriation, along with 
reimbursements, funds the costs of all IT staff salaries and 
expenses, the operations and maintenance of all existing 
information technology systems, and the development of new 
projects and programs designed to improve the delivery of 
service to veterans. This appropriation also funds the costs 
associated with the Office of Information and Technology which 
oversees the functions highlighted above.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $4,106,363,000 for the Information 
Technology Systems account. This amount is $203,019,000 above 
the fiscal year 2015 enacted level and $27,000,000 below the 
budget request. The Committee recommendation includes 
$1,115,757,000 for staff salaries and expenses, $2,512,863,000 
for operation and maintenance of existing programs, and 
$477,743,000 for program development. Additionally, the 
Committee directs a transfer of $27,000,000 from MCCF to 
project development for development of the Medical Care 
Collections Fund electronic data exchange provider and payer 
system.
    The Committee has appropriated the Information Technology 
Systems account as three subaccounts. This funding structure 
enhances the Committee's ability to ensure funds are executed 
in a manner consistent with the Department's budget submission. 
The Committee has provided sufficient flexibility within the 
subaccounts by way of authorized carryover amounts and 
reprogramming authority to give the Office of Information 
Technology as much flexibility as possible to accomplish its 
mission and goals, while ensuring proper accountability and 
oversight. The Committee will continue to work with the 
Department to ensure the IT projects currently underway, as 
well as the projects planned for the future, have the resources 
needed for success.
    The Committee has included bill language that restricts the 
obligation of development funds until the Secretary of Veterans 
Affairs or the Chief Information Officer submits to the 
Committees on Appropriations of both Houses of Congress a 
certification of the amounts, in parts or in full, that will be 
obligated and expended for each development project. Further, 
the Office of Information Technology is directed to provide an 
IT expenditure report, by project, to the Committees on 
Appropriations of both Houses of Congress on a monthly basis.
    The chart below reflects the Administration's budget 
request for development projects and includes the Committee 
recommendation for each. This chart will serve as the 
Department's approved list of development projects, and all 
requested changes are subject to the reprogramming guidelines 
as outlined in the accompanying act.

               INFORMATION TECHNOLOGY DEVELOPMENT PROJECTS
                        [In thousands of dollars]
------------------------------------------------------------------------
                                      Fiscal year 2016      Committee
               Project                 budget request    recommendation
------------------------------------------------------------------------
Access to Healthcare................            28,970            28,970
Healthcare Efficiency IT Development             6,660             6,660
Electronic Health Record [EHR]                  25,000            25,000
 Interoperability and VLER Health...
VistA Evolution.....................            81,900            81,900
New Models of Care..................            25,430            25,430
Veterans Benefits Management System             86,000            86,000
 [VBMS].............................
Virtual Lifetime Electronic Record              10,000            10,000
 [VLER].............................
Veterans Relationship Management                73,333            73,333
 [VRM]..............................
VHA Research IT Support Development.            12,250            12,250
Other IT Systems Development........           155,200          *128,200
                                     -----------------------------------
      Total Development.............           504,743           477,743
------------------------------------------------------------------------
*The Committee directs a transfer to ``Other IT System Development'' of
  $27,000,000 to provide for the development of the MCCF electronic data
  exchange provider and payer system (sec. 215).

    Electronic Health Records.--As mentioned previously in the 
report, the Committee remains concerned about the development 
of VA's electronic health record [EHR] and believes it 
necessary to monitor VA's progress, including its obligations 
and expenditures, as it pursues its VistA Evolution program. 
The Committee again includes language in the act limiting 
obligation or expenditure of information technology development 
funding for VistA Evolution to 25 percent of funds provided 
until the Department submits to the Committees on 
Appropriations of both Houses of Congress, and such Committees 
approve, a report that describes: (1) the status of and any 
changes to the VistA Evolution program plan [Plan], the revised 
VistA 4 product roadmap [Roadmap], and the VistA 4 Incremental 
Life Cycle Cost Estimate; (2) any changes to the scope or 
functionality of projects within VistA Evolution as established 
in the Plan; (3) actual program costs incurred to date; (4) 
progress in meeting the schedule milestones established in the 
Plan; (5) a Project Management Accountability System [PMAS] 
Dashboard progress report that identifies each VistA Evolution 
project being tracked through PMAS, what functionality it is 
intended to provide, and what evaluation scores it has received 
throughout development; (6) the definition being used for 
interoperability between the electronic health record systems 
of DOD and VA, the metrics to measure the extent of 
interoperability, the milestones and timeline associated with 
achieving interoperability, and the baseline measurement 
associated with interoperability; (7) progress toward 
developing and implementing all components and levels of 
interoperability; (8) the change management tools in place to 
facilitate the implementation of VistA Evolution and 
interoperability; and (9) any changes in the governance 
structure for VistA Evolution and its chain of decision-making 
authority.
    Additionally, the Department is directed to continue to 
provide quarterly briefings to the Committees on Appropriations 
of both Houses of Congress regarding schedule, milestones, and 
obligations. The Committee understands VA is committed to 
developing VistA Evolution under PMAS, which is focused on 
incremental development with deliverable milestones every 6 
months. Therefore, the quarterly briefing should clearly define 
the 6 month PMAS delivery schedule.
    The DOD/VA Interagency Program Office is directed to 
continue to provide briefings to the Committees on a quarterly 
basis regarding standards development and how those standards 
are being incorporated by both Departments. In an effort to 
ensure government-wide accountability, the Committee also 
directs VA, in coordination with DOD, to provide the Federal 
Chief Information Officer of the United States with monthly 
updates on progress made by the two Departments to reach 
interoperability and modernize their respective electronic 
health records.
    The Committee understands one of the goals of VistA 
Evolution is to create a more patient-centered enterprise-wide 
information system that will promote integration and 
efficiency. The Committee urges VA to prioritize efficiency and 
streamline the patient experience by expediting the VistA 
Evolution modernization effort.
    When the Secretaries of the DOD and VA announced in 
February 2013 the two Departments would move forward in 
modernizing their respective EHRs instead of developing a 
single, integrated system, they provided assurances the systems 
would be interoperable. Therefore, the fiscal year 2014 
National Defense Authorization Act directed the Departments to 
use a data dictionary--a tool that promotes interoperability by 
allowing information entered with different terminologies on 
different EHR systems to be accurately interpreted and 
understood by healthcare providers--when no national standard 
for interoperability exists. Because interoperability of the 
two systems is a mandate from Congress, the Committee directs 
VA and DOD to make as rapid progress as possible on the 
congressionally-mandated requirement to use a data dictionary 
(unless or until a national standard exists) and commit funds 
from available recourses to support the implementation of such 
a system.
    Virtual Lifetime Electronic Record.--Virtual Lifetime 
Electronic Record [VLER] Health Exchange allows VA providers to 
request and share certain parts of veteran health records with 
DOD and selected private healthcare providers in a secure 
electronic environment. The Department is directed to continue 
expanding efforts to address electronic health record 
interoperability issues that exist between VA and private 
healthcare providers. The Committee is aware VA continues to 
pilot this effort in several areas throughout the country and 
encourages the Department to prioritize the expansion of this 
capability to VA sites in states with designated Regional 
Health Information Organizations.
    Information Security.--The Committee is concerned by 
persistent findings of significant material weaknesses in VA's 
information technology systems. At a time when health data is 
one of the biggest targets for cyber theft, VA must ensure a 
vigilant and aggressive cybersecurity posture and culture 
enterprise-wide. The Department is directed to submit a report 
to the Committees on Appropriations of both Houses of Congress 
no later than 180 days after enactment of this act outlining 
VA's plan to close out all of its significant material 
weaknesses within the next 2 years. Further, the Committee 
directs VA to expand the use of third-party information 
security operation reviews in order to provide additional 
protection against threats.
    Pharmacy Information Technology Systems.--The fiscal year 
2003 National Defense Authorization Act (Public Law 107-314, 10 
USC 1074 note), section 724, required VA and DOD to establish 
an interoperable pharmacy data transaction system by October 1, 
2005. The Committee is concerned VA has failed to comply with 
section 724 and does not possess an interoperable pharmacy data 
transaction system, and the absence of that system inhibits the 
timely and accurate transition of servicemembers and their 
records from DOD to VA. The Committee is also concerned the 
pharmacy division of the Veterans Health Administration [VHA] 
is not part of an integrated healthcare system consistent with 
the best practices of the healthcare industry. Additionally, 
the Committee is concerned VHA has failed to acquire needed 
information technology capabilities and modernize existing 
information technology within the pharmacy division of VHA. 
Within existing VHA pharmacy information technology systems, 
the Committee is concerned VHA pharmacies are not networked and 
data is not able to be viewed, shared, and transferred amongst 
the many VHA pharmacies located throughout the United States 
and its territories, which in turn may lead to waste, fraud, 
and abuse. The Comptroller General is directed to submit a 
report to the Committees on Appropriations of both Houses of 
Congress no later than 180 days after the enactment of this act 
assessing whether VA has complied with section 724 of the 
fiscal year 2003 National Defense Authorization Act and 
currently possesses a functioning pharmacy data transaction 
system that is interoperable with DOD, and whether this system, 
or absence thereof, is impacting servicemembers who transition 
care from DOD to VA. The Comptroller General shall also assess 
the extent to which VHA pharmacy information technology systems 
are networked across the VHA enterprise so data can be viewed, 
shared, and transferred amongst the many VHA pharmacy 
locations. Finally, the report shall assess whether the 
pharmacy division of VHA has acquired and modernized 
information technology systems in accordance with the best 
practices of the healthcare industry to include an electronic 
prescription capability, prescription monitoring capability, 
and other technologies deemed relevant.
    Transformation Twenty-One Total Technology Next 
Generation.--The Committee remains interested in the pending 
Transformation Twenty-One Total Technology Next Generation 
[T4NG] procurement and notes the T4NG program is a significant 
and complex VA information technology expenditure. It is 
important for VA to carefully consider a broad range of vendors 
during the procurement process in order to maximize 
competition, minimize continuity risks, procure experienced 
talent, and ensure good stewardship of taxpayer dollars. 
Therefore, the Department is urged to extend the number of 
large business awards for those not reserved for particular 
categories of vendors in order to maximize its consideration of 
emerging technologies and minimize the risk to veterans from 
significant contractor support turnover.

                      OFFICE OF INSPECTOR GENERAL

Appropriations, 2015....................................    $126,411,000
Budget estimate, 2016...................................     126,766,000
House allowance.........................................     131,766,000
Committee recommendation................................     126,766,000

                          PROGRAM DESCRIPTION

    The Office of Inspector General [OIG] was established by 
the Inspector General Act of 1978 and is responsible for the 
audit, investigation, and inspection of all Department of 
Veterans Affairs programs and operations.
    Antimicrobial Stewardship Program.--On January 22, 2014, 
VHA issued Directive 1031 establishing a policy for the 
implementation and maintenance of Antimicrobial Stewardship 
Programs at all VHA facilities. Rates of antimicrobial 
resistance in hospitals continue to rise despite efforts to 
control the spread. As the directive states, ``infection with 
resistant organisms is associated with increased mortality, 
excess hospital days, and increased healthcare costs.'' While 
the Committee commends the Department for developing the policy 
guidance, there is concern that implementation of the 
Antimicrobial Stewardship Programs may vary from facility to 
facility. Therefore, the Office of Inspector General is 
directed to conduct a review of the efforts to implement these 
programs at VHA facilities in order to determine to what extent 
VHA is taking sufficient and consistent steps to improve 
antibiotic use and reduce antibiotic-resistant infections, 
including those priority pathogens identified in the 
President's National Strategy to Combat Antimicrobial-Resistant 
Bacteria. In addition, the review shall also include an 
evaluation of VHA's efforts to collect and analyze data on 
antibiotic use and resistance. The results of this review shall 
be submitted to the Committees on Appropriations of both Houses 
of Congress no later than September 30, 2016.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $126,766,000 for the Office of 
Inspector General. This is $355,000 above the fiscal year 2015 
enacted level and equal to the budget request. The Committee 
has included bill language to make available through September 
30, 2017, up to $12,676,000 for the Office of the Inspector 
General.

                      CONSTRUCTION, MAJOR PROJECTS

Appropriations, 2015....................................    $561,800,000
Budget estimate, 2016...................................   1,143,800,000
House allowance.........................................     561,800,000
Committee recommendation................................   1,027,064,000

                          PROGRAM DESCRIPTION

    The Construction, major projects account provides for 
constructing, altering, extending, and improving any of the 
facilities (including parking projects) under the jurisdiction 
or for the use of the VA, including planning, architectural and 
engineering services, needs assessment, and site acquisition 
where the estimated cost of a project is more than the amount 
set forth in 38 U.S.C. 8104(a)(3)(A). Proceeds realized from 
Enhanced Use Lease activities may be deposited into the 
Construction, major projects and Construction, minor projects 
accounts.

                        COMMITTEE RECOMMENDATION

    The Committee recommends an appropriation of $1,027,064,000 
for the construction of major projects. This is $465,264,000 
above the fiscal year 2015 enacted level and $116,736,000 below 
the budget request.
    The following table reflects the President's budget request 
for major construction projects and the corresponding Committee 
recommendations.

                                                   CONSTRUCTION, MAJOR FISCAL YEAR 2016 REQUEST--VETERANS HEALTH ADMINISTRATION [VHA] PROJECTS
                                                                                     [Dollars in thousands]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           Fiscal year 2016         Project           Future cost
                                                                                           Total    -----------------------------    total    --------------------------  Estimated  completion
Priority          Location                 Description                 Status             already       Budget       Committee     estimated                                       date
                                                                                           funded      request    recommendation  cost  [TEC]   (dollars)    (percent)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
       1 St Louis (JB), MO        Medical Facility          In construction.........      242,000       90,100         90,100       366,500       34,400          9.4  August 2018
                                   Improvements & Cemetery
                                   Expansion.
       2 Louisville, KY           New Medical Facility....  Early design............       75,000       75,000         75,000       925,000      775,000         83.8  January 2019
       3 American Lake, WA        Seismic Corrections--     Construction documents..        5,260       11,000         11,000       161,700      145,440         89.9  June 2017
                                   Bldg 81, Renov. Bldg
                                   81AC and 18 and
                                   Construct new Specialty
                                   Care Building 201.
       4 San Francisco, CA        Seismic Retrofit/Replace  Construction documents..       22,480      158,000        158,000       346,700      166,220         47.9  January 2019
                                   Buildings 1, 6, 8 and
                                   12.
       5 West Los Angeles, CA     Seismic Correction--12    In construction.........       70,500       35,000         35,000       370,800      265,300         71.5  June 2017
                                   Build-  ings.
       6 Long Beach, CA           Seismic Corrections--     Construction documents..      126,100      161,000        161,000       317,300       30,200          9.5  September 2019
                                   Mental Health and
                                   Community Living Center.
       7 Alameda, CA              Outpatient Clinic and     Construction documents..       17,332       70,000         70,000       240,200      152,868         63.6  December 2019
                                   National Cemetery
                                   (Columbarium).
       8 Livermore, CA            Realignment and Closure   Early design............       55,430      139,000        139,000       415,600      221,170         53.2  December 2018
                                   of Livermore Campus.
       9 Perry Point, MD          Replacement Community     Construction documents..        9,000       83,700         83,700        92,700  ...........  ...........  April 2018
                                   Living Center.
        ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
               Total              ........................  ........................      623,102      822,800        822,800     3,236,500    1,790,598         55.3
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

    Major Construction Management.--As previously mentioned in 
the report, the Committee believes, in the wake of the cost 
overrun and mismanagement at the Denver VA Medical Center, the 
Department should partner with the U.S. Army Corps of Engineers 
[USACE] for the management of major medical facility 
construction projects. The Committee believes USACE is the 
right partner for VA as it designs and builds major 
construction projects, and the Committee directs the Department 
to enter into an agreement with USACE to manage the next seven 
major medical facility construction projects, five of which are 
funded in the act. The following table reflects the next seven 
projects where USACE should serve as VA's construction agent.

                                          PROJECTS FOR USACE MANAGEMENT
                                             [Dollars in thousands]
----------------------------------------------------------------------------------------------------------------
                                                                              Fiscal year 2016         Project
                                                              Total    -----------------------------    Total
             Location                    Description         Already       Budget       Committee     Estimated
                                                              Funded      request    recommendation   Cost (TEC)
----------------------------------------------------------------------------------------------------------------
Louisville, KY....................  New Medical Facility.       75,000       75,000         75,000       925,000
San Francisco, CA.................  Seismic Retrofit/           22,480      158,000        158,000       346,700
                                     Replace Buildings 1,
                                     6, 8, and 12.
West Los Angeles, CA..............  Seismic Correction--        70,500       35,000         35,000       370,800
                                     12 Build- Pings.
Livermore, CA.....................  Realignment and             55,430      139,000        139,000       415,600
                                     Closure of Livermore
                                     Campus.
Perry Point, MD...................  Replacement Community        9,000       83,700         83,700        92,700
                                     Living Center.
Portland, OR......................  Upgrade Portland Bldg  ...........  ...........  ..............      650,000
                                     100/101 for Seismic
                                     Retrofit and
                                     Renovation.
West Los Angeles, CA..............  Construct New               50,790  ...........  ..............    1,027,900
                                     Essential Care Tower/
                                     B500 Seismic
                                     Correction and
                                     Renovation.
                                   -----------------------------------------------------------------------------
      Total.......................  .....................  ...........      490,700        490,700   ...........
----------------------------------------------------------------------------------------------------------------


    The Committee includes language in the act directing 
$490,700,000 shall not be available until the Department enters 
into an agreement with USACE to serve as the design and 
construction agent for the five projects in the above table 
with funding in fiscal year 2016. Going forward, all new 
medical facilities with a cost of $250 million or greater 
should have USACE designated as its design and construction 
agent. The Department is directed to report to the Committees 
on Appropriations of both Houses of Congress within 30 days of 
enactment of this act on its agreement with USACE to manage 
these seven projects, and its plan to ensure all future new 
medical facilities with a cost of $250 million or greater are 
managed by USACE.

                      CONSTRUCTION, MINOR PROJECTS

Appropriations, 2015....................................    $495,200,000
Budget estimate, 2016...................................     406,200,000
House allowance.........................................     406,200,000
Committee recommendation................................     378,080,000

                          PROGRAM DESCRIPTION

    The Construction, minor projects account provides for 
constructing, altering, extending, and improving any of the 
facilities (including parking) under the jurisdiction or for 
the use of VA, including planning, assessment of needs, 
architectural and engineering services, and site acquisition, 
where the estimated cost of a project is equal to or less than 
$10,000,000. Public Law 106-117, the Veterans Millennium Health 
Care and Benefits Act of 1999, gave VA authority to make 
capital contributions from minor construction in enhanced-use 
leases. Proceeds realized from enhanced-use lease activities 
may be deposited into the Construction, major projects and 
Construction, minor projects accounts.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $378,080,000 for minor 
construction. This is $117,120,000 below the fiscal year 2015 
enacted level and $28,120,000 below the budget request.
    The recommendation includes $247,505,000 for the Veterans 
Health Administration, $69,050,000 for the National Cemetery 
Administration, and $61,525,000 for the Veterans Benefits 
Administration. The Department is directed to provide an 
expenditure plan to the Committees on Appropriations of both 
Houses of Congress no later than 30 days of enactment of this 
act for the amount appropriated for minor construction.
    Mobile Surgical Units.--The Department is directed to 
launch a pilot project in at least two VISNs that are 
contemplating renovation or construction projects with the 
intent of leasing or purchasing mobile surgical units for this 
purpose through full and open competition. In preparing for 
such pilot projects, VA should develop metrics for a cost 
efficiency analysis designed to determine for each individual 
project whether this approach will achieve savings for VA when 
compared to contracting with local medical providers for the 
same surgical services. VA should also establish national 
performance standards for mobile surgical units used in this 
way ensuring the units are state licensable and meet Joint 
Commission standards. The Department is directed to provide 
quarterly reports to the Committees on Appropriations of both 
Houses of Congress on its progress towards meeting these 
directives.

       GRANTS FOR CONSTRUCTION OF STATE EXTENDED CARE FACILITIES

Appropriations, 2015....................................     $90,000,000
Budget estimate, 2016...................................      80,000,000
House allowance.........................................      80,000,000
Committee recommendation................................     100,000,000

                          PROGRAM DESCRIPTION

    This account is used to provide grants to assist States in 
acquiring or constructing State home facilities for furnishing 
domiciliary or nursing home care to veterans, and to expand, 
remodel, or alter existing buildings for furnishing 
domiciliary, nursing home, or hospital care to veterans in 
State homes. The grant may not exceed 65 percent of the total 
cost of the project. Public Law 102-585 granted permanent 
authority for this program, and Public Law 106-117 provided 
greater specificity in directing VA to prescribe regulations 
for the number of beds for which grant assistance may be 
furnished. This program has been a successful partnership 
between States and VA in meeting the long-term care needs of 
elderly veterans for decades.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $100,000,000 for grants for the 
construction of State extended care facilities. This is 
$20,000,000 above the budget request.
    The Committee recognizes Public Law 106-117 took an 
important step in directing VA to define regulations for the 
number of beds for which grants may be provided to States. Last 
year, the Committee noted VA had not updated the regulations 
defining ``great, significant, or limited'' unmet needs despite 
the legislation having been signed into law 5 years before. The 
Committee is pleased to learn VA is currently undertaking a 
revision of the regulation setting the maximum bed number of 
State homes beds for each State. As part of this revision, VA 
will review the methodology used in past years to determine 
these numbers as well as the current definitions for ``limited, 
significant, and great'' need. The Department is directed to 
keep the Committee apprised of the timeline of this revision 
and expects updates from VA to ensure no gaps in care exist 
across the country. Further, the Committee believes current 
regulation may not accurately reflect the unique needs of 
States with large rural populations or small States that do not 
have access to alternate facilities which provide this care. 
Therefore, the Committee directs the Office of Rural Health 
[ORH] to partner with State agencies to study the need for 
long-term care for veterans in rural or highly rural areas. In 
addition, the recommendation includes bill language allowing 
ORH to transfer up to $20,000,000 to the grant program to 
assist in providing grants to rural and highly rural areas. 
Additionally, the Committee notes in fiscal year 2015, the 
Priority Group 1 list outlined a need of over $409,000,000 just 
to keep pace with what was on the Priority list, yet the budget 
request for the program was $80,000,000. The Committee has not 
received the fiscal year 2016 Priority Group 1 list; however, 
it is anticipated the need will likely be as high as it was in 
fiscal year 2015. Therefore, the Committee has added an 
additional $20,000,000 above the budget request for the program 
and instructs the Department to begin to provide more realistic 
budget estimates in the future.

             GRANTS FOR CONSTRUCTION OF VETERANS CEMETERIES

Appropriations, 2015....................................     $46,000,000
Budget estimate, 2016...................................      45,000,000
House allowance.........................................      45,000,000
Committee recommendation................................      46,000,000

                          PROGRAM DESCRIPTION

    Public Law 105-368 amended title 38 U.S.C. 2408 and 
established authority to provide aid to States for 
establishment, expansion, and improvement of State veterans 
cemeteries, which are operated and permanently maintained by 
the States. This statutory change increased the maximum Federal 
share from 50 percent to 100 percent in order to fund 
construction costs and initial equipment expenses when the 
cemetery is established. States remain responsible for 
providing the land and for paying all costs related to 
operation and maintenance of the cemeteries, including the 
costs for subsequent equipment purchases.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $46,000,000 for grants for the 
construction of State veterans cemeteries. This is $1,000,000 
above the budget request.

                       Administrative Provisions


             (INCLUDING TRANSFERS AND RESCISSIONS OF FUNDS)

    Sec. 201. The Committee includes a provision which outlines 
transfer authority and responsibilities for the Veterans 
Benefits Administration.
    Sec. 202. The Committee includes a provision which outlines 
transfer authority and responsibilities for the Veterans Health 
Administration.
    Sec. 203. The Committee includes a provision which outlines 
the use of funds appropriated for salaries and expenses.
    Sec. 204. The Committee includes a provision mandating that 
only construction funds may be used for land procurement.
    Sec. 205. The Committee includes a provision allowing for 
reimbursements to the Medical Services account.
    Sec. 206. The Committee includes a provision allowing for 
payments of prior year obligations.
    Sec. 207. The Committee includes a provision which allows 
for the use of funds for prior year obligations.
    Sec. 208. The Committee includes a provision which allows 
for payments from the National Service Life Insurance Fund.
    Sec. 209. The Committee includes a provision which outlines 
the use of funds from enhanced-use lease proceeds.
    Sec. 210. The Committee includes a provision which provides 
for funds for the Office of Resolution Management and the 
Office of Employment Discrimination Complaint Adjudication.
    Sec. 211. The Committee includes a provision which allows 
up to $20,000,000 to be transferred from the Rural Health 
Initiative to the Grants for Construction of State Extended 
Care Facilities account.
    Sec. 212. The Committee includes a provision which requires 
disclosure of third-party reimbursement information.
    Sec. 213. The Committee includes a provision which allows 
for the transfer of revenue derived from enhanced-use leases 
into the construction accounts.
    Sec. 214. The Committee includes a provision which outlines 
authorized uses for medical services funds.
    Sec. 215. The Committee includes a provision which allows 
funds in the Medical Care Collection Fund to be transferred 
into the Medical Services account.
    Sec. 216. The Committee includes a provision which allows 
eligible veterans in the State of Alaska to obtain medical care 
services.
    Sec. 217. The Committee includes a provision which allows 
for the transfer of funds into the construction accounts.
    Sec. 218. The Committee includes a provision which allows 
for outreach and marketing to enroll new veterans.
    Sec. 219. The Committee includes a provision requiring the 
Secretary of Veterans Affairs to submit quarterly financial 
reports on the Veterans Health Administration.
    Sec. 220. The Committee includes a provision outlining 
transfer authority for the Information Technology Systems 
account.
    Sec. 221. The Committee includes a provision prohibiting 
any funds to be used to contract out any functions performed by 
more than 10 employees without a fair competition process.
    Sec. 222. The Committee includes a provision limiting the 
amount of nonrecurring maintenance funds that can be obligated 
during the last 2 months of the fiscal year.
    Sec. 223. The Committee includes a provision allowing for 
the transfer of funds from certain accounts to the Joint 
Department of Defense/Department of Veterans Affairs Medical 
Facility Demonstration Fund, as authorized by Public Law 111-
84.
    Sec. 224. The Committee includes a provision allowing for 
the transfer of funds from certain advance appropriation 
accounts to the Joint Department of Defense/Department of 
Veterans Affairs Medical Facility Demonstration Fund, as 
authorized by Public Law 111-84.
    Sec. 225. The Committee includes a provision allowing for 
the transfer of certain funds deposited in the Medical Care 
Collections Fund to the Joint Department of Defense/Department 
of Veterans Affairs Medical Facility Demonstration Fund, as 
authorized by Public Law 111-84.
    Sec. 226. The Committee includes a provision directing a 
minimum of $15,000,000 be transferred from Medical Services, 
Medical Support and Compliance, and Medical Facilities to the 
Department of Defense/Department of Veterans Affairs Health 
Care Sharing Incentive Fund, as authorized by section 8111 of 
title 38, United States Code.
    Sec. 227. The Committee includes a provision rescinding 
funds from certain accounts and appropriating additional 
amounts with 2-year authority.
    Sec. 228. The Committee includes a provision requiring 
notification of all bid savings for major construction 
projects.
    Sec. 229. The Committee includes a provision restricting 
scope increases for major construction projects above that 
specified in the original project justification.
    Sec. 230. The Committee includes a provision requiring the 
Department to submit reports relating to the Veterans Benefits 
Administration on claims processing at Regional Offices.
    Sec. 231. The Committee includes a provision limiting the 
funding from the Medical Services and Medical Support and 
Compliance accounts for the VistA Evolution and electronic 
health record interoperability projects.
    Sec. 232. The Committee includes a provision requiring VA 
to notify the Committee 15 days prior to any organizational 
changes within VA of 25 or more FTE.
    Sec. 233. The Committee includes a provision requiring the 
Secretary to report to the Committee each quarter about any 
single national outreach and awareness marketing campaign 
exceeding $2,000,000.
    Sec. 234. The Committee includes a provision limiting funds 
provided under the heading ``General Administration''.
    Sec. 235. The Committee includes a provision prohibiting 
the Department from replacing the current system by which 
diabetes monitoring equipment and supplies are contracted.
    Sec. 236. The Committee includes a provision rescinding 
unobligated balances from Medical Care accounts to incorporate 
assumed absorption of the proposed 1.3 percent pay raise. The 
Department continues to have the authority to use appropriated 
funds available to support the pay raise if it chooses to do 
so.
    Sec. 237. The Committee includes a provision rescinding 
unobligated balances from across the Department reflecting a 
reduction in performance bonuses.
    Sec. 238. The Committee includes a provision rescinding 
unobligated balances from the DOD-VA Health Care Sharing 
Incentive Fund.
    Sec. 239. The Committee includes a provision rescinding 
unobligated balances.
    Sec. 240. The Committee includes a provision rescinding 
unobligated balances from certain accounts across the 
Department.
    Sec. 241. The Committee includes a provision amending The 
Whistleblower Protection Act to ensure title 38 employees are 
fully covered under the act.
    Sec. 242. The Committee includes a provision allowing for 
grants to train and employ at-risk veterans.
    Sec. 243. The Committee includes a provision regarding 
access to Office of Inspector General reports.
    Sec. 244. The Committee includes a provision regarding 
construction accountability.
    Sec. 245. The Committee includes a provision providing 
additional funding to hire additional caregiver support 
coordinators.
    Sec. 246. The Committee includes a provision prohibiting 
the use of funds to interfere with the ability of veterans to 
participate in State-approved medicinal marijuana programs or 
deny services to such veterans.

                               TITLE III

                            RELATED AGENCIES

                  American Battle Monuments Commission

                                OVERVIEW

    The American Battle Monuments Commission was established by 
Congress in 1923 and is responsible for the following: 
designing, constructing, operating, and maintaining permanent 
American cemeteries in foreign countries; establishing and 
maintaining U.S. military memorials, monuments, and markers 
where American Armed Forces have served overseas since April 6, 
1917 (the date of the United States entry into World War I), 
and within the United States when directed by public law; and, 
controlling the design and construction of permanent U.S. 
military monuments and markers by other U.S. citizens and 
organizations, both public and private, and encouraging their 
maintenance. ABMC administers, operates, and maintains 25 
permanent American military cemeteries and 26 Federal memorial, 
monuments, and markers located in 16 foreign countries, the 
U.S. Commonwealth of the Northern Mariana Islands, and the 
British Dependency of Gibraltar, and the United States of 
America.

                         SALARIES AND EXPENSES

Appropriations, 2015....................................     $74,100,000
Budget estimate, 2016...................................      75,100,000
House allowance.........................................      75,100,000
Committee recommendation................................      75,100,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $75,100,000 for the Salaries and 
expenses account. This amount is $1,000,000 above the fiscal 
year 2015 enacted level and equal to the budget request.

                     FOREIGN CURRENCY FLUCTUATIONS

Appropriations, 2015....................................      $1,900,000
Budget estimate, 2016...................................       2,000,000
House allowance.........................................       2,000,000
Committee recommendation................................       2,000,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends an estimated $2,000,000 for the 
Foreign Currency Fluctuations account. This amount is equal to 
the budget request.
    The Committee has again included language in the 
accompanying act, as proposed by the administration, that would 
allow funding for this account on a ``such sums as necessary'' 
basis. Funding the account in this manner allows the Commission 
to maintain cemeteries regardless of the volatility of foreign 
currency fluctuations.

           United States Court of Appeals for Veterans Claims


                                OVERVIEW

    The United States Court of Appeals for Veterans Claims was 
established by the Veterans' Judicial Review Act of 1988. The 
Court is an independent judicial tribunal with exclusive 
jurisdiction to review decisions of the Board of Veterans 
Appeals. It has the authority to decide all relevant questions 
of law; interpret constitutional, statutory, and regulatory 
provisions; and determine the meaning or applicability of the 
terms of an action by the Secretary of Veterans Affairs. It is 
authorized to compel action by the Secretary. It is authorized 
to hold unconstitutional or otherwise unlawful and set aside 
decisions, findings, conclusions, rules, and regulations issued 
or adopted by the Secretary of Veterans Affairs, the Board of 
Veterans Appeals, or the Chairman of the Board that are found 
to be arbitrary or capricious. The Court's principal office 
location is Washington, DC; however, it is a national court, 
empowered to sit anywhere in the United States.

                         SALARIES AND EXPENSES

Appropriations, 2015....................................     $31,386,000
Budget estimate, 2016...................................      32,141,000
House allowance.........................................      32,141,000
Committee recommendation................................      32,141,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $32,141,000 for the U.S. Court of 
Appeals for Veterans Claims. This amount is $755,000 above the 
fiscal year 2015 enacted level and equal to the budget request.

                      Department of Defense--Civil


                       Cemeterial Expenses, Army


                                OVERVIEW

    The Secretary of the Army is responsible for the 
administration, operation and maintenance of Arlington National 
Cemetery and the Soldiers' and Airmen's Home National Cemetery. 
In addition to its principal function as a national cemetery, 
Arlington is the site of approximately 3,000 nonfuneral 
ceremonies each year and has approximately four million 
visitors annually.

                         SALARIES AND EXPENSES

Appropriations, 2015....................................     $65,800,000
Budget estimate, 2016...................................      70,800,000
House allowance.........................................      70,800,000
Committee recommendation................................      70,800,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends $70,800,000 for Salaries and 
Expenses. This amount is $5,000,000 above the fiscal year 2015 
enacted level and equal to the budget request.
    Land Exchange.--The Committee recognizes the future burial 
capacity of Arlington National Cemetery would be dramatically 
increased through a land exchange in the area of the former 
Navy Annex site with Arlington County and the Commonwealth of 
Virginia. The Committee strongly supports this effort and 
understands the Secretary of the Army is working with Arlington 
County and the Virginia Department of Transportation to 
finalize the land exchange agreement. The closure and 
relocation of current State and local roadways in this area 
would facilitate such an exchange. The Committee urges the 
Secretary of the Army to continue to work closely with the 
Virginia Department of Transportation and Arlington County to 
finalize details of the proposed land exchange so that the 
cemetery expansion plans, including the relocation of 
utilities, can move forward as expeditiously as possible.

                      Armed Forces Retirement Home


                               TRUST FUND

                                OVERVIEW

Appropriations, 2015....................................     $63,400,000
Budget estimate, 2016...................................      64,300,000
House allowance.........................................      64,300,000
Committee recommendation................................      64,300,000

                        COMMITTEE RECOMMENDATION

    The Committee recommends authority to expend $64,300,000 
from the Armed Forces Retirement Home [AFRH] Trust Fund to 
operate and maintain the Armed Forces Retirement Home--
Washington, DC, and the Armed Forces Retirement Home--Gulfport, 
Mississippi.
    Office of Inspector General Findings.--The Committee 
remains concerned with the findings of the Inspector General 
[IG] of the Department of Defense as included in report number 
DODIG-2014-093 regarding the Armed Forces Retirement Homes 
[AFRH]. The Chief Operating Officer of the AFRH is directed to 
submit a report to the Committees on Appropriations of both 
Houses of Congress no later than 180 days after enactment of 
this act detailing its continued progress in complying with the 
IG recommendations. The report should include specific actions 
taken to implement the recommendations. The Committee intends 
to continue to monitor the AFRH as these issues are addressed.

                       Administrative Provisions

    Sec. 301. The Committee includes a provision allowing the 
relocation of a federally owned water main.
    Sec. 302. The Committee includes a provision making 
available funds as authorized by 10 U.S.C. 4727.

                                TITLE IV

                           GENERAL PROVISIONS

    Sec. 401. The Committee includes a provision that prohibits 
the obligation of funds beyond the current fiscal year unless 
expressly so provided.
    Sec. 402. The Committee includes a provision that prohibits 
the use of funds for programs, projects, or activities not in 
compliance with Federal law relating to risk assessment, the 
protection of private property rights, or unfunded mandates.
    Sec. 403. The Committee includes a provision that requires 
pay raises to be absorbed within the levels appropriated.
    Sec. 404. The Committee includes a provision that prohibits 
the use of funds to support or defeat legislation pending 
before Congress.
    Sec. 405. The Committee includes a provision that 
encourages the expansion of E-commerce technologies and 
procedures.
    Sec. 406. The Committee includes a provision that specifies 
the congressional committees that are to receive all reports 
and notifications.
    Sec. 407. The Committee includes a provision that limits 
funds from being transferred from this appropriations measure 
to any instrumentality of the United States Government without 
authority from an appropriations act.
    Sec. 408. The Committee includes a provision regarding the 
posting of congressional reports on agency Web sites.
    Sec. 409. The Committee includes a provision prohibiting 
the use of funds to establish or maintain a computer network 
unless such network blocks the viewing, downloading, and 
exchanging of pornography, except for law enforcement 
investigation, prosecution, or adjudication activities.
    Sec. 410. The Committee includes a provision limiting the 
construction of facilities for the purposes of housing 
individuals detained at Guantanamo Bay, Cuba.

                     PROGRAM, PROJECT, AND ACTIVITY

    In fiscal year 2016, for purposes of the Balanced Budget 
and Emergency Deficit Control Act of 1985 (Public Law 99-177) 
or the Balanced Budget and Emergency Deficit Control 
Reaffirmation Act of 1987 (Public Law 100-119), the following 
information provides the definition of the term ``program, 
project, and activity'' for departments, agencies and programs 
under the jurisdiction of the Military Construction and 
Veterans Affairs, and Related Agencies subcommittee. The term 
``program, project, and activity'' shall include the most 
specific level of budget items identified in the Military 
Construction and Veterans Affairs, and Related Agencies 
Appropriations Act, 2016, the House and Senate Committee 
reports, and the conference report and accompanying joint 
explanatory statement of managers of the committee of 
conference.
    If a sequestration order is necessary, in implementing the 
Presidential order, departments, and agencies shall apply any 
percentage reduction required for fiscal year 2016 pursuant to 
the provisions of Public Law 99-177 or Public Law 100-119 to 
all items specified in the justifications submitted to the 
Committees on Appropriations of the Senate and House of 
Representatives in support of the fiscal year 2016 budget 
estimates, as amended, for such departments and agencies, as 
modified by congressional action, and in addition, for the 
Department of Defense, Military Construction, the definition 
shall include specific construction locations as identified in 
the explanatory notes.

  COMPLIANCE WITH PARAGRAPH 7, RULE XVI, OF THE STANDING RULES OF THE 
                                 SENATE

    Paragraph 7 of rule XVI requires that Committee reports 
accompanying general appropriations bills identify each 
recommended amendment which proposes an item of appropriation 
which is not made to carry out the provisions of an existing 
law, a treaty stipulation, or an act or resolution previously 
passed by the Senate during that session.
    The Committee recommends funding for the following programs 
which currently lack authorization:
Title I: Department of Defense
    Military Construction, Army
    Military Construction, Navy and Marine Corps
    Military Construction, Air Force
    Military Construction, Defense-Wide
    Military Construction, Army National Guard
    Military Construction, Air National Guard
    Military Construction, Army Reserve
    Military Construction, Navy Reserve
    Military Construction, Air Force Reserve
    North Atlantic Treaty Organization Security Investment 
Program
    Family Housing Construction, Army
    Family Housing Operation and Maintenance, Army
    Family Housing Construction, Navy and Marine Corps
    Family Housing Operation and Maintenance, Navy and Marine 
Corps
    Family Housing Operation and Maintenance, Air Force
    Family Housing Operation and Maintenance, Defense-Wide
    Department of Defense, Family Housing Improvement Fund
    Chemical Demilitarization Construction, Defense-Wide
    Department of Defense Base Closure Account
Title II: Department of Veterans Affairs
    Veterans Benefits Administration
    Veterans Health Administration
    National Cemetery Administration
    Departmental Administration
Title III: Related Agencies
    American Battle Monuments Commission
    U.S. Court of Appeals for Veterans Claims
    Cemeterial Expenses, Army
    Armed Forces Retirement Home

COMPLIANCE WITH PARAGRAPH 7(c), RULE XXVI OF THE STANDING RULES OF THE 
                                 SENATE

    Pursuant to paragraph 7(c) of rule XXVI, on May 21, 2015, 
the Committee ordered favorably reported a bill (H.R. 2029) 
making appropriations for military construction, the Department 
of Veterans Affairs, and related agencies for the fiscal year 
ending September 30, 2016, and for other purposes, provided, 
that the bill be subject to further amendment and that the bill 
be consistent with its budget allocation, by a recorded vote of 
21-9, a quorum being present. The vote was as follows:
        Yeas                          Nays
Chairman Cochran                    Ms. Mikulski
Mr. McConnell                       Mrs. Murray
Mr. Shelby                          Mr. Durbin
Mr. Alexander                       Mr. Reed
Ms. Collins                         Mr. Tester
Ms. Murkowski                       Mrs. Shaheen
Mr. Graham                          Mr. Merkley
Mr. Kirk                            Mr. Coons
Mr. Blunt                           Mr. Murphy
Mr. Moran
Mr. Hoeven
Mr. Boozman
Mrs. Capito
Mr. Cassidy
Mr. Lankford
Mr. Daines
Mr. Leahy
Mrs. Feinstein
Mr. Udall
Mr. Schatz
Ms. Baldwin

 COMPLIANCE WITH PARAGRAPH 12, RULE XXVI OF THE STANDING RULES OF THE 
                                 SENATE

    Paragraph 12 of rule XXVI requires that Committee reports 
on a bill or joint resolution repealing or amending any statute 
or part of any statute include ``(a) the text of the statute or 
part thereof which is proposed to be repealed; and (b) a 
comparative print of that part of the bill or joint resolution 
making the amendment and of the statute or part thereof 
proposed to be amended, showing by stricken-through type and 
italics, parallel columns, or other appropriate typographical 
devices the omissions and insertions which would be made by the 
bill or joint resolution if enacted in the form recommended by 
the committee.''
    In compliance with this rule, changes in existing law 
proposed to be made by the bill are shown as follows: existing 
law to be omitted is enclosed in black brackets; new matter is 
printed in italic; and existing law in which no change is 
proposed is shown in roman.

             TITLE 5--GOVERNMENT ORGANIZATION AND EMPLOYEES


                          PART III--EMPLOYEES

                     Subpart A--General Provisions


                  CHAPTER 23--MERIT SYSTEM PRINCIPLES


Sec. 2302. Prohibited personnel practices

    (a)(1) * * *

    (2) For the purpose of this section--

            (A) ``personnel action'' means--

                    (i) * * *

           *       *       *       *       *       *       *

                    (viii) a performance evaluation under 
                chapter 43 of this title or under title 38;
                                ------                                


                      TITLE 38--VETERANS' BENEFITS


                       PART I--GENERAL PROVISIONS

               CHAPTER 3--DEPARTMENT OF VETERANS AFFAIRS


Sec. 312. Inspector General

    (a) * * *

    (b)(1) * * *

    (2) The President shall include in the budget transmitted 
to the Congress for each fiscal year pursuant to section 1105 
of title 31 an estimate of the amount for the Office of 
Inspector General that is sufficient to provide for a number of 
full-time positions in that office that is not less than the 
number of full-time positions in that office on March 15, 1989, 
plus 40.

    (c)(1)Whenever the Inspector General, in carrying out the 
duties and responsibilities established under the Inspector 
General Act of 1978 (5 U.S.C. App.), issues a work product that 
makes a recommendation or otherwise suggests corrective action, 
the Inspector General shall--

            (A) submit the work product to--

                    (i) the Secretary;

                    (ii) the Committee on Veterans' Affairs, 
                the Committee on Homeland Security and 
                Governmental Affairs, and the Committee on 
                Appropriations of the Senate;

                    (iii) the Committee on Veterans' Affairs, 
                the Committee on Oversight and Government 
                Reform, and the Committee on Appropriations of 
                the House of Representatives;

                    (iv) if the work product was initiated upon 
                request by an individual or entity other than 
                the Inspector General, that individual or 
                entity; and

                    (v) any Member of Congress upon request; 
                and

            (B) the Inspector General shall submit all final 
        work products to--

                    (i) if the work product was initiated upon 
                request by an individual or entity other than 
                the Inspector General, that individual or 
                entity; and

                    (ii) any Member of Congress upon request; 
                and

            (C) not later than 3 days after the work product is 
        submitted in final form to the Secretary, post the work 
        product on the Internet website of the Inspector 
        General.

    (2) Nothing in this subsection shall be construed to 
authorize the public disclosure of information that is 
specifically prohibited from disclosure by any other provision 
of law.
                                ------                                


 CONSOLIDATED AND FURTHER CONTINUING APPROPRIATIONS ACT, 2015, PUBLIC 
                              LAW 113-235


  DIVISION I--MILITARY CONSTRUCTION AND VETERANS AFFAIRS, AND RELATED 
AGENCIES APPROPRIATIONS ACT, 2015

           *       *       *       *       *       *       *



                                TITLE II


DEPARTMENT OF VETERANS AFFAIRS

           *       *       *       *       *       *       *



                     [(INCLUDING TRANSFER OF FUNDS)

    Sec. 223. Of the amounts appropriated to the Department of 
Veterans Affairs which become available on October 1, 2015, for 
``Medical Services'', ``Medical Support and Compliance'', and 
``Medical Facilities'', up to $245,398,000, plus 
reimbursements, may be transferred to the Joint Department of 
Defense-Department of Veterans Affairs Medical Facility 
Demonstration Fund, established by section 1704 of the National 
Defense Authorization Act for Fiscal Year 2010 (Public Law 111-
84; 123 Stat. 3571) and may be used for operation of the 
facilities designated as combined Federal medical facilities as 
described by section 706 of the Duncan Hunter National Defense 
Authorization Act for Fiscal Year 2009 (Public Law 110-417; 122 
Stat. 4500): Provided, That additional funds may be transferred 
from accounts designated in this section to the Joint 
Department of Defense-Department of Veterans Affairs Medical 
Facility Demonstration Fund upon written notification by the 
Secretary of Veterans Affairs to the Committees on 
Appropriations of both Houses of Congress.]
                                ------                                


                        BUDGETARY IMPACT OF BILL


  PREPARED IN CONSULTATION WITH THE CONGRESSIONAL BUDGET OFFICE PURSUANT TO SEC. 308(a), PUBLIC LAW 93-344, AS
                                                     AMENDED
                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                               Budget authority                 Outlays
                                                         -------------------------------------------------------
                                                            Committee    Amount  in     Committee    Amount  in
                                                           allocation       bill       allocation       bill
----------------------------------------------------------------------------------------------------------------
Comparison of amounts in the bill with the subcommittee
 allocation for 2016: Subcommittee on Military
 Construction and Veterans Affairs, and Related
 Agencies:
    Mandatory...........................................       96,825        96,825        96,523     \1\96,523
    Discretionary.......................................       77,573        77,573        78,381     \1\78,381
        Security........................................        8,083         8,083            NA            NA
        Nonsecurity.....................................       69,490        69,490            NA            NA
Projections of outlays associated with the
 recommendation:
    2016................................................  ............  ............  ............   \2\102,932
    2017................................................  ............  ............  ............        5,562
    2018................................................  ............  ............  ............        3,656
    2019................................................  ............  ............  ............        2,123
    2020 and future years...............................  ............  ............  ............        1,355
Financial assistance to State and local governments forP           NA           185            NA            13
 2016...................................................
 
----------------------------------------------------------------------------------------------------------------
\1\Includes outlays from prior-year budget authority.
\2\Excludes outlays from prior-year budget authority.
 
NA: Not applicable.


                                                    MILITARY CONSTRUCTION PROJECT LISTING BY LOCATION
                                                                [In thousands of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                       Committee recommendation compared
                                                                                                        Committee                with (+ or -)
                   Installation and project                      Budget estimate   House allowance   recommendation  -----------------------------------
                                                                                                                       Budget estimate   House allowance
--------------------------------------------------------------------------------------------------------------------------------------------------------
                            ALABAMA
 
DEFENSE-WIDE:
    FORT RUCKER:
        FORT RUCKER ES/PS CONSOLIDATION/REPLACEMENT...........           46,787            46,787            46,787   ................  ................
    MAXWELL AFB:
        MAXWELL ES/MS REPLACEMENT/RENOVATION..................           32,968            32,968            32,968   ................  ................
AIR NATIONAL GUARD:
    DANNELLY FIELD:
        TFI--REPLACE SQUADRON OPERATIONS FACILITY.............            7,600             7,600             7,600   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, ALABAMA......................................           87,355            87,355            87,355   ................  ................
 
                            ALASKA
 
ARMY:
    FORT GREELY:
        PHYSICAL READINESS TRAINING FACILITY..................            7,800             7,800             7,800   ................  ................
AIR FORCE:
    EIELSON AFB:
        F-35A FLIGHT SIM/ALTER SQUAD OPS/AMU FACILITY.........           37,000            37,000            37,000   ................  ................
        RPR CENTRAL HEAT & POWER PLANT BOILER PH3.............           34,400            34,400            34,400   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, ALASKA.......................................           79,200            79,200            79,200   ................  ................
 
                            ARIZONA
 
NAVY:
    YUMA:
        AIRCRAFT MAINT. FACILITIES & APRON (SO. CALA).........           50,635            50,635            50,635   ................  ................
AIR FORCE:
    DAVIS-MONTHAN AFB:
        HC-130J AGE COVERED STORAGE...........................            4,700             4,700             4,700   ................  ................
        HC-130J WASH RACK.....................................           12,200            12,200            12,200   ................  ................
    LUKE AFB:
        F-35A ADAL FUEL OFFLOAD FACILITY......................            5,000             5,000             5,000   ................  ................
        F-35A AIRCRAFT MAINTENANCE HANGAR/SQ 3................           13,200            13,200            13,200   ................  ................
        F-35A BOMB BUILD-UP FACILITY..........................            5,500             5,500             5,500   ................  ................
        F-35A SQ OPS/AMU/HANGAR/SQ 4..........................           33,000            33,000            33,000   ................  ................
DEFENSE-WIDE:
    FORT HUACHUCA:
        JITC BUILDINGS 52101/52111 RENOVATIONS................            3,884             3,884             3,884   ................  ................
AIR FORCE RESERVE:
    DAVIS-MONTHAN AFB:
        GUARDIAN ANGEL OPERATIONS.............................           18,200            18,200            18,200   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, ARIZONA......................................          146,319           146,319           146,319   ................  ................
 
                           ARKANSAS
 
AIR NATIONAL GUARD:
    FORT SMITH MAP:
        CONSOLIDATED SCIF.....................................           15,200            15,200            15,200   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, ARKANSAS.....................................           15,200            15,200            15,200   ................  ................
 
                          CALIFORNIA
 
ARMY:
    CONCORD:
        PIER..................................................           98,000            98,000            98,000   ................  ................
NAVY:
    CAMP PENDLETON:
        RAW WATER PIPELINE PENDLETON TO FALLBROOK.............           44,540            44,540   ................          -44,540           -44,540
    CORONADO:
        COASTAL CAMPUS UTILITIES..............................            4,856             4,856             4,856   ................  ................
    LEMOORE:
        F-35C HANGAR MODERNIZATION AND ADDITION...............           56,497            56,497            56,497   ................  ................
        F-35C TRAINING FACILITIES.............................            8,187             8,187             8,187   ................  ................
        RTO AND MISSION DEBRIEF FACILITY......................            7,146             7,146             7,146   ................  ................
    POINT MUGU:
        E-2C/D HANGAR ADDITIONS AND RENOVATIONS...............           19,453            19,453            19,453   ................  ................
        TRITON AVIONICS AND FUEL SYSTEMS TRAINER..............            2,974             2,974             2,974   ................  ................
    SAN DIEGO:
        LCS SUPPORT FACILITY..................................           37,366            37,366            37,366   ................  ................
    TWENTYNINE PALMS:
        MICROGRID EXPANSION...................................            9,160             9,160             9,160   ................  ................
DEFENSE-WIDE:
    CAMP PENDLETON:
        SOF COMBAT SERVICE SUPPORT FACILITY...................           10,181            10,181            10,181   ................  ................
        SOF PERFORMANCE RESILIENCY CENTER-WEST................           10,371   ................           10,371   ................          +10,371
    CORONADO:
        SOF LOGISTICS SUPPORT UNIT ONE OPS FAC. #2............           47,218   ................           47,218   ................          +47,218
    FRESNO YOSEMITE IAP ANG:
        REPLACE FUEL STORAGE AND DISTRIB. FACILITIES..........           10,700            10,700            10,700   ................  ................
AIR NATIONAL GUARD:
    MOFFETT FIELD:
        REPLACE VEHICLE MAINTENANCE FACILITY..................            6,500             6,500             6,500   ................  ................
ARMY RESERVE:
    MIRAMAR:
        ARMY RESERVE CENTER...................................           24,000            24,000            24,000   ................  ................
AIR FORCE RESERVE:
    MARCH AFB:
        SATELLITE FIRE STATION................................            4,600             4,600             4,600   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, CALIFORNIA...................................          401,749           344,160           357,209           -44,540           +13,049
 
                           COLORADO
 
ARMY:
    FORT CARSON:
        ROTARY WING TAXIWAY...................................            5,800             5,800             5,800   ................  ................
AIR FORCE:
    U.S. AIR FORCE ACADEMY:
        FRONT GATES FORCE PROTECTION ENHANCEMENTS.............           10,000            10,000            10,000   ................  ................
DEFENSE-WIDE:
    FORT CARSON:
        SOF LANGUAGE TRAINING FACILITY........................            8,243             8,243             8,243   ................  ................
AIR NATIONAL GUARD:
    BUCKLEY AIR FORCE BASE:
        ASE MAINTENANCE AND STORAGE FACILITY..................            5,100             5,100             5,100   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, COLORADO.....................................           29,143            29,143            29,143   ................  ................
 
                          CONNECTICUT
 
ARMY NATIONAL GUARD:
    CAMP HARTELL:
        READY BUILDING (CST-WMD)..............................           11,000            11,000            11,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, CONNECTICUT..................................           11,000            11,000            11,000   ................  ................
 
                           DELAWARE
 
DEFENSE-WIDE:
    DOVER AFB:
        CONSTRUCT HYDRANT FUEL SYSTEM.........................           21,600            21,600            21,600   ................  ................
ARMY NATIONAL GUARD:
    DAGSBORO:
        NATIONAL GUARD VEHICLE MAINTENANCE SHOP...............           10,800   ................           10,800   ................          +10,800
                                                               -----------------------------------------------------------------------------------------
          TOTAL, DELAWARE.....................................           32,400            21,600            32,400   ................          +10,800
 
                            FLORIDA
 
NAVY:
    JACKSONVILLE:
        FLEET SUPPORT FACILITY ADDITION.......................            8,455             8,455             8,455   ................  ................
        TRITON MISSION CONTROL FACILITY.......................            8,296             8,296             8,296   ................  ................
    MAYPORT:
        LCS MISSION MODULE READINESS CENTER...................           16,159            16,159            16,159   ................  ................
    PENSACOLA:
        A-SCHOOL UNACCOMPANIED HOUSING (CORRY STATION)........           18,347            18,347            18,347   ................  ................
    WHITING FIELD:
        T-6B JPATS TRAINING OPERATIONS FACILITY...............           10,421            10,421            10,421   ................  ................
AIR FORCE:
    CAPE CANAVERAL AFS:
        RANGE COMMUNICATIONS FACILITY.........................           21,000            21,000            21,000   ................  ................
    EGLIN AFB:
        F-35A CONSOLIDATED HQ FACILITY........................            8,700             8,700             8,700   ................  ................
    HURLBURT FIELD:
        ADAL 39 INFORMATION OPERATIONS SQUAD FACILITY.........           14,200            14,200            14,200   ................  ................
DEFENSE-WIDE:
    HURLBURT FIELD:
        SOF FUEL CELL MAINTENANCE HANGAR......................           17,989            17,989            17,989   ................  ................
    MACDILL AFB:
        SOF OPERATIONAL SUPPORT FACILITY......................           39,142            39,142            39,142   ................  ................
ARMY NATIONAL GUARD:
    PALM COAST:
        NATIONAL GUARD READINESS CENTER.......................           18,000            18,000            18,000   ................  ................
ARMY RESERVE:
    MACDILL AFB:
        AR CENTER/ AS FACILITY................................           55,000            55,000            55,000   ................  ................
AIR FORCE RESERVE:
    PATRICK AFB:
        AIRCREW LIFE SUPPORT FACILITY.........................            3,400             3,400             3,400   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, FLORIDA......................................          239,109           239,109           239,109   ................  ................
 
                            GEORGIA
 
ARMY:
    FORT GORDON:
        COMMAND AND CONTROL FACILITY..........................           90,000            90,000            90,000   ................  ................
NAVY:
    ALBANY:
        GROUND SOURCE HEAT PUMPS..............................            7,851             7,851             7,851   ................  ................
    KINGS BAY:
        INDUSTRIAL CONTROL SYSTEM INFRASTRUCTURE..............            8,099             8,099             8,099   ................  ................
    TOWNSEND:
        TOWNSEND BOMBING RANGE EXPANSION PHASE 2..............           48,279            48,279            43,279            -5,000            -5,000
DEFENSE-WIDE:
    MOODY AFB:
        REPLACE PUMPHOUSE AND TRUCK FILLSTANDS................           10,900            10,900            10,900   ................  ................
AIR NATIONAL GUARD:
    SAVANNAH/HILTON HEAD IAP:
        C-130 SQUADRON OPERATIONS FACILITY....................            9,000             9,000             9,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, GEORGIA......................................          174,129           174,129           169,129            -5,000            -5,000
 
                            HAWAII
 
NAVY:
    BARKING SANDS:
        PMRF POWER GRID CONSOLIDATION.........................           30,623            30,623            30,623   ................  ................
    JOINT BASE PEARL HARBOR-HICKAM:
        UEM INTERCONNECT STA C TO HICKAM......................            6,335             6,335             6,335   ................  ................
        WELDING SCHOOL SHOP CONSOLIDATION.....................            8,546             8,546             8,546   ................  ................
    KANEOHE BAY:
        AIRFIELD LIGHTING MODERNIZATION.......................           26,097            26,097            26,097   ................  ................
        BACHELOR ENLISTED QUARTERS............................           68,092            68,092            68,092   ................  ................
        P-8A DETACHMENT SUPPORT FACILITIES....................           12,429            12,429            12,429   ................  ................
AIR FORCE:
    JOINT BASE PEARL HARBOR-HICKAM:
        F-22 FIGHTER ALERT FACILITY...........................           46,000            46,000            46,000   ................  ................
DEFENSE-WIDE:
    KANEOHE BAY:
        MEDICAL/DENTAL CLINIC REPLACEMENT.....................          122,071           122,071           122,071   ................  ................
    SCHOFIELD BARRACKS:
        BEHAVIORAL HEALTH/DENTAL CLINIC ADDITION..............          123,838           107,563           123,838   ................          +16,275
                                                               -----------------------------------------------------------------------------------------
          TOTAL, HAWAII.......................................          444,031           427,756           444,031   ................          +16,275
 
                           ILLINOIS
 
ARMY NATIONAL GUARD:
    SPARTA:
        BASIC 10M-25M FIRING RANGE (ZERO).....................            1,900             1,900             1,900   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, ILLINOIS.....................................            1,900             1,900             1,900   ................  ................
 
                             IOWA
 
AIR NATIONAL GUARD:
    DES MOINES MAP:
        AIR OPERATIONS GRP/CYBER BEDDOWN-RENO BLG 430.........            6,700             6,700             6,700   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, IOWA.........................................            6,700             6,700             6,700   ................  ................
 
                            KANSAS
 
AIR FORCE:
    MCCONNELL AFB:
        KC-46A ADAL DEICING PADS..............................            4,300             4,300             4,300   ................  ................
ARMY NATIONAL GUARD:
    SALINA:
        AUTOMATED COMBAT PISTOL/MP FIREARMS QUAL COUR.........            2,400             2,400             2,400   ................  ................
        MODIFIED RECORD FIRE RANGE............................            4,300             4,300             4,300   ................  ................
AIR NATIONAL GUARD:
    SMOKEY HILL ANG RANGE:
        RANGE TRAINING SUPPORT FACILITIES.....................            2,900             2,900             2,900   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, KANSAS.......................................           13,900            13,900            13,900   ................  ................
 
                           KENTUCKY
 
DEFENSE-WIDE:
    FORT CAMPBELL:
        SOF COMPANY HQ/CLASSROOMS.............................           12,553            12,553            12,553   ................  ................
    FORT KNOX:
        FORT KNOX HS RENOVATION/MS ADDITION...................           23,279            23,279            23,279   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, KENTUCKY.....................................           35,832            35,832            35,832   ................  ................
 
                           LOUISIANA
 
AIR NATIONAL GUARD:
    NEW ORLEANS:
        REPLACE SQUADRON OPERATIONS FACILITY..................           10,000            10,000            10,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, LOUISIANA....................................           10,000            10,000            10,000   ................  ................
 
                             MAINE
 
AIR NATIONAL GUARD:
    BANGOR IAP:
        ADD TO AND ALTER FIRE CRASH/RESCUE STATION............            7,200             7,200             7,200   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, MAINE........................................            7,200             7,200             7,200   ................  ................
 
                           MARYLAND
 
NAVY:
    PATUXENT RIVER:
        UNACCOMPANIED HOUSING.................................           40,935            40,935            40,935   ................  ................
AIR FORCE:
    FORT MEADE:
        CYBERCOM JOINT OPERATIONS CENTER, INCREMENT 3.........           86,000            86,000            86,000   ................  ................
DEFENSE-WIDE:
    FORT MEADE:
        NSAW CAMPUS FEEDERS PHASE 2...........................           33,745            33,745            33,745   ................  ................
        NSAW RECAPITALIZE BUILDING #2 INCR 1..................           34,897            34,897            34,897   ................  ................
ARMY NATIONAL GUARD:
    EASTON:
        NATIONAL GUARD READINESS CENTER.......................           13,800            13,800            13,800   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, MARYLAND.....................................          209,377           209,377           209,377   ................  ................
 
                          MISSISSIPPI
 
ARMY RESERVE:
    STARKVILLE:
        ARMY RESERVE CENTER...................................            9,300   ................            9,300   ................           +9,300
                                                               -----------------------------------------------------------------------------------------
          TOTAL, MISSISSIPPI..................................            9,300   ................            9,300   ................           +9,300
 
                           MISSOURI
 
AIR FORCE:
    WHITEMAN AFB:
        CONSOLIDATED STEALTH OPS & NUCLEAR ALERT FAC..........           29,500            29,500            29,500   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, MISSOURI.....................................           29,500            29,500            29,500   ................  ................
 
                            MONTANA
 
AIR FORCE:
    MALMSTROM AFB:
        TACTICAL RESPONSE FORCE ALERT FACILITY................           19,700            19,700            19,700   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, MONTANA......................................           19,700            19,700            19,700   ................  ................
 
                           NEBRASKA
 
AIR FORCE:
    OFFUTT AFB:
        DORMITORY (144 RM)....................................           21,000            21,000            21,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, NEBRASKA.....................................           21,000            21,000            21,000   ................  ................
 
                            NEVADA
 
AIR FORCE:
    NELLIS AFB:
        F-35A AIRFIELD PAVEMENTS..............................           31,000            31,000            31,000   ................  ................
        F-35A LIVE ORDNANCE LOADING AREA......................           34,500            34,500            34,500   ................  ................
        F-35A MUNITIONS MAINTENANCE FACILITIES................            3,450             3,450             3,450   ................  ................
DEFENSE-WIDE:
    NELLIS AFB:
        REPLACE HYDRANT FUEL SYSTEM...........................           39,900            39,900            39,900   ................  ................
ARMY NATIONAL GUARD:
    RENO:
        NATIONAL GUARD VEHICLE MAINTENANCE SHOP ADD/A.........            8,000             8,000             8,000   ................  ................
NAVY RESERVE:
    FALLON:
        NAVOPSPTCEN FALLON....................................           11,480            11,480            11,480   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, NEVADA.......................................          128,330           128,330           128,330   ................  ................
 
                         NEW HAMPSHIRE
 
AIR NATIONAL GUARD:
    PEASE INTERNATIONAL TRADE PORT:
        KC-46A ADAL FLIGHT SIMULATOR BLDG 156.................            2,800             2,800             2,800   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, NEW HAMPSHIRE................................            2,800             2,800             2,800   ................  ................
 
                          NEW JERSEY
 
AIR NATIONAL GUARD:
    ATLANTIC CITY IAP:
        FUEL CELL AND CORROSION CONTROL HANGAR................           10,200            10,200            10,200   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, NEW JERSEY...................................           10,200            10,200            10,200   ................  ................
 
                          NEW MEXICO
 
AIR FORCE:
    CANNON AFB:
        CONSTRUCT AT/FP GATE--PORTALES........................            7,800             7,800             7,800   ................  ................
    HOLLOMAN AFB:
        MARSHALLING AREA ARM/DE-ARM PAD D.....................            3,000             3,000             3,000   ................  ................
    KIRTLAND AFB:
        SPACE VEHICLES COMPONENT DEVELOPMENT LAB..............           12,800            12,800            12,800   ................  ................
DEFENSE-WIDE:
    CANNON AFB:
        CONSTRUCT PUMPHOUSE AND FUEL STORAGE..................           20,400            20,400            20,400   ................  ................
        SOF SQUADRON OPERATIONS FACILITY......................           11,565            11,565            11,565   ................  ................
        SOF ST OPERATIONAL TRAINING FACILITIES................           13,146            13,146            13,146   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, NEW MEXICO...................................           68,711            68,711            68,711   ................  ................
 
                           NEW YORK
 
ARMY:
    FORT DRUM:
        NCO ACADEMY COMPLEX...................................           19,000            19,000            19,000   ................  ................
    U.S. MILITARY ACADEMY:
        WASTE WATER TREATMENT PLANT...........................           70,000            70,000            70,000   ................  ................
DEFENSE-WIDE:
    WEST POINT:
        WEST POINT ELEMENTARY SCHOOL REPLACEMENT..............           55,778            55,778            55,778   ................  ................
AIR NATIONAL GUARD:
    NIAGARA FALLS IAP:
        REMOTELY PILOTED AIRCRAFT BEDDOWN BLDG 912............            7,700             7,700             7,700   ................  ................
ARMY RESERVE:
    ORANGEBURG:
        ORGANIZATIONAL MAINTENANCE SHOP.......................            4,200             4,200             4,200   ................  ................
NAVY RESERVE:
    BROOKLYN:
        RESERVE CENTER STORAGE FACILITY.......................            2,479             2,479             2,479   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, NEW YORK.....................................          159,157           159,157           159,157   ................  ................
 
                        NORTH CAROLINA
 
NAVY:
    CAMP LEJEUNE:
        2ND RADIO BN COMPLEX OPERATIONS CONSOLIDATION.........           50,557   ................           50,557   ................          +50,557
        SIMULATOR INTEGRATION/RANGE CONTROL FACILITY..........           54,849            54,849            54,849   ................  ................
    CHERRY POINT MARINE CORPS AIR STATION:
        KC 130J ENLISTED AIR CREW TRAINER FACILITY............            4,769             4,769             4,769   ................  ................
        UNMANNED AIRCRAFT SYSTEM FACILITIES...................           29,657            29,657            29,657   ................  ................
    NEW RIVER:
        OPERATIONAL TRAINER FACILITY..........................            3,312             3,312             3,312   ................  ................
        RADAR AIR TRAFFIC CONTROL FACILITY ADDITION...........            4,918             4,918             4,918   ................  ................
AIR FORCE:
    SEYMOUR JOHNSON AFB:
        AIR TRAFFIC CONTROL TOWER/BASE OPS FACILITY...........           17,100            17,100            17,100   ................  ................
DEFENSE-WIDE:
    CAMP LEJEUNE:
        SOF COMBAT SERVICE SUPPORT FACILITY...................           14,036            14,036            14,036   ................  ................
        SOF MARINE BATTALION COMPANY/TEAM FACILITIES..........           54,970            54,970            54,970   ................  ................
    FORT BRAGG:
        BUTNER ELEMENTARY SCHOOL REPLACEMENT..................           32,944            32,944            32,944   ................  ................
        SOF 21 STS OPERATIONS FACILITY........................           16,863            14,334            16,863   ................           +2,529
        SOF BATTALION OPERATIONS FACILITY.....................           38,549            38,549            38,549   ................  ................
        SOF INDOOR RANGE......................................            8,303             8,303             8,303   ................  ................
        SOF INTELLIGENCE TRAINING CENTER......................           28,265            28,265            28,265   ................  ................
        SOF SPECIAL TACTICS FACILITY (PH 2)...................           43,887            43,887            43,887   ................  ................
AIR NATIONAL GUARD:
    CHARLOTTE/DOUGLAS IAP:
        REPLACE C-130 SQUADRON OPERATIONS FACILITY............            9,000             9,000             9,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, NORTH CAROLINA...............................          411,979           358,893           411,979   ................          +53,086
 
                         NORTH DAKOTA
 
AIR NATIONAL GUARD:
    HECTOR IAP:
        INTEL TARGETING FACILITIES............................            7,300             7,300             7,300   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, NORTH DAKOTA.................................            7,300             7,300             7,300   ................  ................
 
                             OHIO
 
DEFENSE-WIDE:
    WRIGHT-PATTERSON AFB:
        SATELLITE PHARMACY REPLACEMENT........................            6,623             6,623             6,623   ................  ................
ARMY NATIONAL GUARD:
    CAMP RAVENNA:
        MODIFIED RECORD FIRE RANGE............................            3,300             3,300             3,300   ................  ................
AIR FORCE RESERVE:
    YOUNGSTOWN:
        INDOOR FIRING RANGE...................................            9,400             9,400             9,400   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, OHIO.........................................           19,323            19,323            19,323   ................  ................
 
                           OKLAHOMA
 
ARMY:
    FORT SILL:
        RECEPTION BARRACKS COMPLEX PH2........................           56,000            56,000            56,000   ................  ................
        TRAINING SUPPORT FACILITY.............................           13,400            13,400            13,400   ................  ................
AIR FORCE:
    ALTUS AFB:
        DORMITORY (120 RM)....................................           18,000            18,000            18,000   ................  ................
        KC-46A FTU ADAL FUEL CELL MAINT HANGAR................           10,400            10,400            10,400   ................  ................
    TINKER AFB:
        AIR TRAFFIC CONTROL TOWER.............................           12,900            12,900            12,900   ................  ................
        KC-46A DEPOT MAINTENANCE DOCK.........................           37,000            37,000            37,000   ................  ................
AIR NATIONAL GUARD:
    WILL ROGERS WORLD AIRPORT:
        MEDIUM ALTITUDE MANNED ISR BEDDOWN....................            7,600             7,600             7,600   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, OKLAHOMA.....................................          155,300           155,300           155,300   ................  ................
 
                            OREGON
 
DEFENSE-WIDE:
    KLAMATH FALLS IAP:
        REPLACE FUEL FACILITIES...............................            2,500             2,500             2,500   ................  ................
ARMY NATIONAL GUARD:
    SALEM:
        NATIONAL GUARD/RESERVE CENTER BLDG ADD/ALT (JFHQ).....           16,500            16,500            16,500   ................  ................
AIR NATIONAL GUARD:
    KLAMATH FALLS IAP:
        REPLACE FIRE CRASH/RESCUE STATION.....................            7,200             7,200             7,200   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, OREGON.......................................           26,200            26,200            26,200   ................  ................
 
                         PENNSYLVANIA
 
DEFENSE-WIDE:
    PHILADELPHIA:
        REPLACE HEADQUARTERS..................................           49,700            49,700            49,700   ................  ................
ARMY NATIONAL GUARD:
    FORT INDIANTOWN GAP:
        TRAINING AIDS CENTER..................................           16,000            16,000            16,000   ................  ................
ARMY RESERVE:
    CONNEAUT LAKE:
        DAR HIGHWAY IMPROVEMENT...............................            5,000             5,000             5,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, PENNSYLVANIA.................................           70,700            70,700            70,700   ................  ................
 
                        SOUTH CAROLINA
 
NAVY:
    PARRIS ISLAND:
        RANGE SAFETY IMPROVEMENTS & MODERNIZATION.............           27,075            27,075            27,075   ................  ................
DEFENSE-WIDE:
    FORT JACKSON:
        PIERCE TERRACE ELEMENTARY SCHOOL REPLACEMENT..........           26,157            26,157            26,157   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, SOUTH CAROLINA...............................           53,232            53,232            53,232   ................  ................
 
                         SOUTH DAKOTA
 
AIR FORCE:
    ELLSWORTH AFB:
        DORMITORY (168 RM)....................................           23,000            23,000            23,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, SOUTH DAKOTA.................................           23,000            23,000            23,000   ................  ................
 
                             TEXAS
 
ARMY:
    CORPUS CHRISTI:
        POWERTRAIN FACILITY (INFRASTRUCTURE/METAL)............           85,000            85,000            85,000   ................  ................
    JOINT BASE SAN ANTONIO:
        HOMELAND DEFENSE OPERATIONS CENTER....................           43,000   ................  ................          -43,000   ................
AIR FORCE:
    JOINT BASE SAN ANTONIO:
        BMT CLASSROOMS/DINING FACILITY 3......................           35,000            35,000            35,000   ................  ................
        BMT RECRUIT DORMITORY 5...............................           71,000            71,000            71,000   ................  ................
DEFENSE-WIDE:
    FORT BLISS:
        HOSPITAL REPLACEMENT INCR 7...........................          239,884           189,884           239,884   ................          +50,000
    JOINT BASE SAN ANTONIO:
        AMBULATORY CARE CENTER PHASE 4........................           61,776            61,776            61,776   ................  ................
AIR FORCE RESERVE:
    JOINT BASE SAN ANTONIO:
        CONSOLIDATE 433 MEDICAL FACILITY......................            9,900             9,900             9,900   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, TEXAS........................................          545,560           452,560           502,560           -43,000           +50,000
 
                             UTAH
 
AIR FORCE:
    HILL AFB:
        F-35A FLIGHT SIMULATOR ADDITION PHASE 2...............            5,900             5,900             5,900   ................  ................
        F-35A HANGAR 40/42 ADDITIONS AND AMU..................           21,000            21,000            21,000   ................  ................
        HAYMAN IGLOOS.........................................           11,500            11,500            11,500   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, UTAH.........................................           38,400            38,400            38,400   ................  ................
 
                            VERMONT
 
ARMY NATIONAL GUARD:
    NORTH HYDE PARK:
        NATIONAL GUARD VEHICLE MAINTENANCE SHOP ADDIT.........            7,900             7,900             7,900   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, VERMONT......................................            7,900             7,900             7,900   ................  ................
 
                           VIRGINIA
 
ARMY:
    FORT LEE:
        TRAINING SUPPORT FACILITY.............................           33,000            33,000            33,000   ................  ................
    JOINT BASE MYER-HENDERSON:
        INSTRUCTION BUILDING..................................           37,000   ................  ................          -37,000   ................
NAVY:
    DAM NECK:
        MARITIME SURVEILLANCE SYSTEM FACILITY.................           23,066            23,066            23,066   ................  ................
    NORFOLK:
        COMMUNICATIONS CENTER.................................           75,289            75,289            75,289   ................  ................
        ELECTRICAL REPAIRS TO PIERS 2,6,7, AND 11.............           44,254            44,254            44,254   ................  ................
        MH-60 HELICOPTER TRAINING FACILITY....................            7,134             7,134             7,134   ................  ................
    PORTSMOUTH:
        WATERFRONT UTILITIES..................................           45,513            45,513            45,513   ................  ................
    QUANTICO:
        ATFP GATE.............................................            5,840             5,840             5,840   ................  ................
        ELECTRICAL DISTRIBUTION UPGRADE.......................            8,418             8,418             8,418   ................  ................
        EMBASSY SECURITY GUARD BEQ & OPS FACILITY.............           43,941            43,941            43,941   ................  ................
DEFENSE-WIDE:
    FORT BELVOIR:
        CONSTRUCT VISITOR CONTROL CENTER......................            5,000             5,000             5,000   ................  ................
        REPLACE GROUND VEHICLE FUELING FACILITY...............            4,500             4,500             4,500   ................  ................
    JOINT BASE LANGLEY-EUSTIS:
        REPLACE FUEL PIER AND DISTRIBUTION FACILITY...........           28,000            28,000            28,000   ................  ................
    JOINT EXPEDITIONARY BASE LITTLE CREEK--STORY:
        SOF APPLIED INSTRUCTION FACILITY......................           23,916            23,916            23,916   ................  ................
ARMY NATIONAL GUARD:
    RICHMOND:
        NATIONAL GUARD/RESERVE CENTER BUILDING (JFHQ).........           29,000            29,000            29,000   ................  ................
NAVY RESERVE:
    DAM NECK:
        RESERVE TRAINING CENTER COMPLEX.......................           18,443            18,443            18,443   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, VIRGINIA.....................................          432,314           395,314           395,314           -37,000   ................
 
                          WASHINGTON
 
NAVY:
    BANGOR:
        REGIONAL SHIP MAINTENANCE SUPPORT FACILITY............           12,753            12,753            12,753   ................  ................
        WRA LAND/WATER INTERFACE..............................           34,177            34,177            34,177   ................  ................
    BREMERTON:
        DRY DOCK 6 MODERNIZATION & UTILITY IMPROVE............           22,680            22,680            22,680   ................  ................
    INDIAN ISLAND:
        SHORE POWER TO AMMUNITION PIER........................            4,472             4,472             4,472   ................  ................
ARMY NATIONAL GUARD:
    YAKIMA:
        ENLISTED BARRACKS, TRANSIENT TRAINING.................           19,000   ................           19,000   ................          +19,000
                                                               -----------------------------------------------------------------------------------------
          TOTAL, WASHINGTON...................................           93,082            74,082            93,082   ................          +19,000
 
                         WEST VIRGINIA
 
AIR NATIONAL GUARD:
    YEAGER AIRPORT:
        FORCE PROTECTION--RELOCATE COONSKIN ROAD..............            3,900             3,900             3,900   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, WEST VIRGINIA................................            3,900             3,900             3,900   ................  ................
 
                            WYOMING
 
AIR FORCE:
    F. E. WARREN AFB:
        WEAPON STORAGE FACILITY...............................           95,000            95,000            95,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, WYOMING......................................           95,000            95,000            95,000   ................  ................
 
                       CONUS CLASSIFIED
 
DEFENSE-WIDE:
    CLASSIFIED LOCATION:
        OPERATIONS SUPPORT FACILITY...........................           20,065   ................           20,065   ................          +20,065
                                                               -----------------------------------------------------------------------------------------
          TOTAL, CONUS CLASSIFIED.............................           20,065   ................           20,065   ................          +20,065
 
                        BAHRAIN ISLAND
 
NAVY:
    SW ASIA:
        MINA SALMAN PIER REPLACEMENT..........................           37,700   ................           37,700   ................          +37,700
        SHIP MAINTENANCE SUPPORT FACILITY.....................           52,091   ................           52,091   ................          +52,091
                                                               -----------------------------------------------------------------------------------------
          TOTAL, BAHRAIN ISLAND...............................           89,791   ................           89,791   ................          +89,791
 
                           DJIBOUTI
 
DEFENSE-WIDE:
    CAMP LEMONNIER:
        CONSTRUCT FUEL STORAGE & DISTRIB. FACILITIES..........           43,700   ................           43,700   ................          +43,700
                                                               -----------------------------------------------------------------------------------------
          TOTAL, DJIBOUTI.....................................           43,700   ................           43,700   ................          +43,700
 
                            GERMANY
 
ARMY:
    GRAFENWOEHR:
        VEHICLE MAINTENANCE SHOP..............................           51,000            51,000            51,000   ................  ................
DEFENSE-WIDE:
    GARMISCH:
        GARMISCH E/MS-ADDITION/MODERNIZATION..................           14,676            14,676            14,676   ................  ................
    GRAFENWOEHR:
        GRAFENWOEHR ELEMENTARY SCHOOL REPLACEMENT.............           38,138            38,138            38,138   ................  ................
    RHINE ORDNANCE BARRACKS:
        MEDICAL CENTER REPLACEMENT INCR 5.....................           85,034            85,034            85,034   ................  ................
    SPANGDAHLEM AB:
        CONSTRUCT FUEL PIPELINE...............................            5,500             5,500             5,500   ................  ................
        MEDICAL/DENTAL CLINIC ADDITION........................           34,071            34,071            34,071   ................  ................
    STUTTGART-PATCH BARRACKS:
        PATCH ELEMENTARY SCHOOL REPLACEMENT...................           49,413            49,413            49,413   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, GERMANY......................................          277,832           277,832           277,832   ................  ................
 
                           GREENLAND
 
AIR FORCE:
    THULE AB:
        THULE CONSOLIDATION PH 1..............................           41,965            41,965            41,965   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, GREENLAND....................................           41,965            41,965            41,965   ................  ................
 
                             GUAM
 
NAVY:
    JOINT REGION MARIANAS:
        LIVE-FIRE TRAINING RANGE COMPLEX (NW FIELD)...........          125,677           100,677           125,677   ................          +25,000
        MUNICIPAL SOLID WASTE LANDFILL CLOSURE................           10,777            10,777            10,777   ................  ................
        SANITARY SEWER SYSTEM RECAPITALIZATION................           45,314            45,314            45,314   ................  ................
AIR FORCE:
    JOINT REGION MARIANAS:
        APR--DISPERSED MAINT SPARES & SE STORAGE FAC..........           19,000            19,000            19,000   ................  ................
        APR--INSTALLATION CONTROL CENTER......................           22,200            22,200            22,200   ................  ................
        APR--SOUTH RAMP UTILITIES PHASE 2.....................            7,100             7,100             7,100   ................  ................
        PAR--LO/CORROSION CONTROL/COMPOSITE REPAIR............           34,400            34,400            34,400   ................  ................
        PRTC ROADS............................................            2,500             2,500             2,500   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, GUAM.........................................          266,968           241,968           266,968   ................          +25,000
 
                             ITALY
 
NAVY:
    SIGONELLA:
        P-8A HANGAR AND FLEET SUPPORT FACILITY................           62,302   ................           62,302   ................          +62,302
        TRITON HANGAR AND OPERATION FACILITY..................           40,641   ................           40,641   ................          +40,641
                                                               -----------------------------------------------------------------------------------------
          TOTAL, ITALY........................................          102,943   ................          102,943   ................         +102,943
 
                             JAPAN
 
NAVY:
    CAMP BUTLER:
        MILITARY WORKING DOG FACILITIES (CAMP HANSEN).........           11,697            11,697            11,697   ................  ................
    IWAKUNI:
        E-2D OPERATIONAL TRAINER COMPLEX......................            8,716             8,716             8,716   ................  ................
        SECURITY MODIFICATIONS--CVW5/MAG12 HQ.................            9,207             9,207             9,207   ................  ................
    KADENA AB:
        AIRCRAFT MAINT. SHELTERS & APRON......................           23,310            23,310            23,310   ................  ................
    YOKOSUKA:
        CHILD DEVELOPMENT CENTER..............................           13,846            13,846            13,846   ................  ................
AIR FORCE:
    YOKOTA AB:
        C-130J FLIGHT SIMULATOR FACILITY......................            8,461             8,461             8,461   ................  ................
DEFENSE-WIDE:
    KADENA AB:
        AIRFIELD PAVEMENTS....................................           37,485            37,485            37,485   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, JAPAN........................................          112,722           112,722           112,722   ................  ................
 
                             NIGER
 
AIR FORCE:
    AGADEZ:
        CONSTRUCT AIRFIELD AND BASE CAMP......................           50,000   ................           50,000   ................          +50,000
                                                               -----------------------------------------------------------------------------------------
          TOTAL, NIGER........................................           50,000   ................           50,000   ................          +50,000
 
                             OMAN
 
AIR FORCE:
    AL MUSANNAH AB:
        AIRLIFT APRON.........................................           25,000   ................           25,000   ................          +25,000
                                                               -----------------------------------------------------------------------------------------
          TOTAL, OMAN.........................................           25,000   ................           25,000   ................          +25,000
 
                            POLAND
 
NAVY:
    REDZIKOWO BASE:
        AEGIS ASHORE MISSILE DEFENSE COMPLEX..................           51,270   ................           51,270   ................          +51,270
DEFENSE-WIDE:
    REDZIKOWO BASE:
        AEGIS ASHORE MISSILE DEFENSE SYSTEM COMPLEX...........          169,153   ................          169,153   ................         +169,153
                                                               -----------------------------------------------------------------------------------------
          TOTAL, POLAND.......................................          220,423   ................          220,423   ................         +220,423
 
                             SPAIN
 
DEFENSE-WIDE:
    ROTA:
        ROTA ES AND HS ADDITIONS..............................           13,737            13,737            13,737   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, SPAIN........................................           13,737            13,737            13,737   ................  ................
 
                        UNITED KINGDOM
 
AIR FORCE:
    CROUGHTON RAF:
        CONSOLIDATED SATCOM/TECH CONTROL FACILITY.............           36,424            36,424            36,424   ................  ................
        JIAC CONSOLIDATION--PH 2..............................           94,191            94,191            94,191   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, UNITED KINGDOM...............................          130,615           130,615           130,615   ................  ................
 
                     WORLDWIDE CLASSIFIED
 
AIR FORCE:
    CLASSIFIED LOCATION:
        LONG RANGE STRIKE BOMBER..............................           77,130   ................           77,130   ................          +77,130
        MUNITIONS STORAGE.....................................            3,000             3,000             3,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
          TOTAL, WORLDWIDE CLASSIFIED.........................           80,130             3,000            80,130   ................          +77,130
 
NATO SECURITY INVESTMENT PROGRAM..............................          120,000           150,000           120,000   ................          -30,000
 
                     WORLDWIDE UNSPECIFIED
 
ARMY:
    HOST NATION SUPPORT.......................................           36,000            36,000            36,000   ................  ................
    MINOR CONSTRUCTION........................................           25,000            25,000            25,000   ................  ................
    PLANNING AND DESIGN.......................................           73,245            73,245            73,245   ................  ................
NAVY:
    PLANNING AND DESIGN.......................................           91,649            91,649            91,649   ................  ................
    MINOR CONSTRUCTION........................................           22,590            22,590            22,590   ................  ................
AIR FORCE:
    PLANNING AND DESIGN.......................................           89,164            89,164            89,164   ................  ................
    MINOR CONSTRUCTION........................................           22,900            22,900            22,900   ................  ................
DEFENSE-WIDE:
    CONTINGENCY CONSTRUCTION..................................           10,000   ................  ................          -10,000   ................
    ENERGY CONSERVATION INVESTMENT PROGRAM....................          150,000           150,000           150,000   ................  ................
 
    PLANNING AND DESIGN:
        DEFENSE-WIDE..........................................           23,500            23,500            23,500   ................  ................
        DEPARTMENT OF DEFENSE DEPENDENT EDUCATION.............           42,183            42,183            42,183   ................  ................
        DEFENSE LOGISTICS AGENCY..............................           31,772            31,772            31,772   ................  ................
        NATIONAL GEOSPATIAL INTELLIGENCE AGENCY...............           27,202            27,202            27,202   ................  ................
        NATIONAL SECURITY AGENCY..............................            1,078             1,078             1,078   ................  ................
        SPECIAL OPERATIONS COMMAND............................           31,628            31,628            31,628   ................  ................
        WASHINGTON HEADQUARTERS SERVICE.......................            3,041             3,041             3,041   ................  ................
        EAST COAST MISSILE SITE...............................  ................           30,000   ................  ................          -30,000
        GENERAL REDUCTION.....................................  ................          -30,000   ................  ................          +30,000
                                                               -----------------------------------------------------------------------------------------
          SUBTOTAL, PLANNING AND DESIGN.......................          160,404           160,404           160,404   ................  ................
 
    UNSPECIFIED MINOR CONSTRUCTION:
        DEFENSE-WIDE..........................................            3,000             3,000             3,000   ................  ................
        DEFENSE HEALTH AGENCY.................................            5,000             5,000             5,000   ................  ................
        JOINT CHIEFS OF STAFF.................................            8,687             8,687             8,687   ................  ................
        SPECIAL OPERATIONS COMMAND............................           15,676            15,676            15,676   ................  ................
                                                               -----------------------------------------------------------------------------------------
          SUBTOTAL, UNSPECIFIED MINOR CONSTRUCTION............           32,363            32,363            32,363   ................  ................
 
ARMY NATIONAL GUARD:
    PLANNING AND DESIGN.......................................           20,337            20,337            20,337   ................  ................
    MINOR CONSTRUCTION........................................           15,000            15,000            15,000   ................  ................
AIR NATIONAL GUARD:
    PLANNING AND DESIGN.......................................            5,104             5,104             5,104   ................  ................
    MINOR CONSTRUCTION........................................            7,734             7,734             7,734   ................  ................
ARMY RESERVE:
    PLANNING AND DESIGN.......................................            9,318             9,318             9,318   ................  ................
    MINOR CONSTRUCTION........................................            6,777             6,777             6,777   ................  ................
NAVY RESERVE:
    PLANNING AND DESIGN.......................................            2,208             2,208             2,208   ................  ................
    MINOR CONSTRUCTION........................................            1,468             1,468             1,468   ................  ................
AIR FORCE RESERVE:
    PLANNING AND DESIGN.......................................           13,400            13,400            13,400   ................  ................
    MINOR CONSTRUCTION........................................            6,121             6,121             6,121   ................  ................
 
                     FAMILY HOUSING, ARMY
 
GERMANY:
    WIESBADEN:
        CONSTRUCTION IMPROVEMENTS (12 UNITS)..................            3,500             3,500             3,500   ................  ................
FLORIDA:
    CAMP RUDDER:
        FAMILY HOUSING NEW CONSTRUCTION (15 UNITS)............            8,000             8,000             8,000   ................  ................
ILLINOIS:
    ROCK ISLAND:
        FAMILY HOUSING NEW CONSTRUCTION (38 UNITS)............           20,000            20,000            20,000   ................  ................
KOREA:
    CAMP WALKER (DAEGU):
        FAMILY HOUSING NEW CONSTRUCTION (90 UNITS)............           61,000            61,000            61,000   ................  ................
 
PLANNING AND DESIGN...........................................            7,195             7,195             7,195   ................  ................
                                                               -----------------------------------------------------------------------------------------
          SUBTOTAL, CONSTRUCTION..............................           99,695            99,695            99,695   ................  ................
 
OPERATION AND MAINTENANCE:
    UTILITIES ACCOUNT.........................................           65,600            65,600            65,600   ................  ................
    SERVICES ACCOUNT..........................................           10,928            10,928            10,928   ................  ................
    MANAGEMENT ACCOUNT........................................           48,515            48,515            48,515   ................  ................
    MISCELLANEOUS ACCOUNT.....................................              840               840               840   ................  ................
    FURNISHINGS ACCOUNT.......................................           25,552            25,552            25,552   ................  ................
    LEASING...................................................          144,879           144,879           144,879   ................  ................
    MAINTENANCE OF REAL PROPERTY..............................           75,197            75,197            75,197   ................  ................
    PRIVATIZATION SUPPORT COSTS...............................           22,000            22,000            22,000   ................  ................
                                                               -----------------------------------------------------------------------------------------
      SUBTOTAL, OPERATION AND MAINTENANCE.....................          393,511           393,511           393,511   ................  ................
 
             FAMILY HOUSING, NAVY AND MARINE CORPS
 
VIRGINIA:
    WALLOPS ISLAND:
        HOUSING SERVICE CENTER................................              438               438               438   ................  ................
        SKEETER LANE RENOVATION AND CONVERSION................            3,658             3,658             3,658   ................  ................
JAPAN:
    IWAKUNI:
        CONSTRUCTION IMPROVEMENTS, PHASE 3....................            7,857             7,857             7,857   ................  ................
 
PLANNING AND DESIGN...........................................            4,588             4,588             4,588   ................  ................
                                                               -----------------------------------------------------------------------------------------
          SUBTOTAL, CONSTRUCTION..............................           16,541            16,541            16,541   ................  ................
 
OPERATION AND MAINTENANCE:
    UTILITIES ACCOUNT.........................................           67,692            67,692            67,692   ................  ................
    SERVICES ACCOUNT..........................................           19,149            19,149            19,149   ................  ................
    MANAGEMENT ACCOUNT........................................           56,189            56,189            56,189   ................  ................
    MISCELLANEOUS ACCOUNT.....................................              373               373               373   ................  ................
    FURNISHINGS ACCOUNT.......................................           17,534            17,534            17,534   ................  ................
    LEASING...................................................           64,108            64,108            64,108   ................  ................
    MAINTENANCE OF REAL PROPERTY..............................           99,323            99,323            99,323   ................  ................
    PRIVATIZATION SUPPORT COSTS...............................           28,668            28,668            28,668   ................  ................
                                                               -----------------------------------------------------------------------------------------
      SUBTOTAL, OPERATION AND MAINTENANCE.....................          353,036           353,036           353,036   ................  ................
 
                   FAMILY HOUSING, AIR FORCE
 
GERMANY:
    RAMSTEIN:
        FAMILY HOUSING MANAGEMENT FACILITY....................            5,700             5,700             5,700   ................  ................
JAPAN:
    KADENA:
        CONSTRUCTION IMPROVEMENTS, PHASE 4....................           35,776            35,776            35,776   ................  ................
    KADENA:
        CONSTRUCTION IMPROVEMENTS, PHASE 5....................           33,000            33,000            33,000   ................  ................
    MISAWA:
        CONSTRUCTION IMPROVEMENTS, PHASE 3....................           44,373            44,373            44,373   ................  ................
    YOKOTA:
        CONSTRUCTION IMPROVEMENTS, PHASE 7....................           31,800            31,800            31,800   ................  ................
 
PLANNING AND DESIGN...........................................            9,849             9,849             9,849   ................  ................
                                                               -----------------------------------------------------------------------------------------
          SUBTOTAL, CONSTRUCTION..............................          160,498           160,498           160,498   ................  ................
 
OPERATION AND MAINTENANCE:
    UTILITIES ACCOUNT.........................................           40,811            40,811            40,811   ................  ................
    MANAGEMENT ACCOUNT........................................           52,153            52,153            52,153   ................  ................
    SERVICES ACCOUNT..........................................           12,940            12,940            12,940   ................  ................
    FURNISHINGS ACCOUNT.......................................           38,746            38,746            38,746   ................  ................
    MISCELLANEOUS ACCOUNT.....................................            2,032             2,032             2,032   ................  ................
    LEASING...................................................           28,867            28,867            28,867   ................  ................
    MAINTENANCE...............................................          114,129           114,129           114,129   ................  ................
    PRIVATIZATION SUPPORT COSTS...............................           41,554            41,554            41,554   ................  ................
                                                               -----------------------------------------------------------------------------------------
      SUBTOTAL, OPERATION AND MAINTENANCE.....................          331,232           331,232           331,232   ................  ................
 
                 FAMILY HOUSING, DEFENSE-WIDE
 
OPERATION AND MAINTENANCE:
    NATIONAL SECURITY AGENCY:
        UTILITIES.............................................              474               474               474   ................  ................
        FURNISHING............................................              781               781               781   ................  ................
        LEASING...............................................           10,679            10,679            10,679   ................  ................
        MAINTENANCE OF REAL PROPERTY..........................            1,104             1,104             1,104   ................  ................
    DEFENSE INTELLIGENCE AGENCY:
        FURNISHINGS...........................................            3,402             3,402             3,402   ................  ................
        LEASING...............................................           41,273            41,273            41,273   ................  ................
    DEFENSE LOGISTICS AGENCY:
        UTILITIES.............................................              172               172               172   ................  ................
        FURNISHINGS...........................................               20                20                20   ................  ................
        SERVICES..............................................               31                31                31   ................  ................
        MANAGEMENT............................................              388               388               388   ................  ................
        MAINTENANCE OF REAL PROPERTY..........................              344               344               344   ................  ................
                                                               -----------------------------------------------------------------------------------------
          SUBTOTAL, OPERATION AND MAINTENANCE.................           58,668            58,668            58,668   ................  ................
 
DOD FAMILY HOUSING IMPROVEMENT FUND...........................  ................  ................  ................  ................  ................
 
                 BASE REALIGNMENT AND CLOSURE
 
BASE REALIGNMENT AND CLOSURE ACCOUNT..........................          251,334           251,334           251,334   ................  ................
 
DEFENSE ACCESS ROADS (SEC. 131)...............................  ................           30,000   ................  ................          -30,000
 
       RESCISSIONS FROM PRIOR YEAR UNOBLIGATED BALANCES
 
ARMY (RESCISSION) (SEC. 125)..................................  ................          -96,000   ................  ................          +96,000
NAVY AND MARINE CORPS.........................................  ................  ................  ................  ................  ................
AIR FORCE (RESCISSION) (SEC. 126).............................  ................          -52,600   ................  ................          +52,600
DEFENSE-WIDE (RESCISSION) (SEC. 127)..........................  ................         -134,000   ................  ................         +134,000
AIR NATIONAL GUARD............................................  ................  ................  ................  ................  ................
ARMY (SEC. 125)...............................................  ................  ................           34,500           +34,500           +34,500
NAVY AND MARINE CORPS (SEC. 126)..............................  ................  ................           34,320           +34,320           +34,320
ARMY NATIONAL GUARD (SEC. 127)................................  ................  ................           51,300           +51,300           +51,300
ARMY RESERVE (SEC. 128).......................................  ................  ................           34,200           +34,200           +34,200
ARMY (RESCISSION) (SEC.129)...................................  ................  ................          -85,000           -85,000           -85,000
AIR FORCE (RESCISSION) (SEC. 129).............................  ................  ................          -86,400           -86,400           -86,400
DEFENSE-WIDE (RESCISSION) (SEC. 129)..........................  ................  ................         -133,000          -133,000          -133,000
42 USC 3374 (RECISSION) (SEC. 130)............................  ................         -103,918           -65,000           -65,000           +38,918
 
                             RECAP
 
ARMY..........................................................          743,245           693,245           697,745           -45,500            +4,500
    RESCISSION................................................  ................          -96,000           -85,000           -85,000           +11,000
NAVY AND MARINE CORPS.........................................        1,669,239         1,349,678         1,654,019           -15,220          +304,341
    RESCISSION................................................  ................  ................  ................  ................  ................
AIR FORCE.....................................................        1,389,185         1,237,055         1,389,185   ................         +152,130
    RESCISSION................................................  ................          -52,600           -86,400           -86,400           -33,800
DEFENSE-WIDE..................................................        2,300,767         1,931,456         2,290,767           -10,000          +359,311
    RESCISSION................................................  ................         -134,000          -133,000          -133,000            +1,000
ARMY NATIONAL GUARD...........................................          197,237           167,437           248,537           +51,300           +81,100
    RESCISSION................................................  ................  ................  ................  ................  ................
AIR NATIONAL GUARD............................................          138,738           138,738           138,738   ................  ................
    RESCISSION................................................  ................  ................  ................  ................  ................
ARMY RESERVE..................................................          113,595           104,295           147,795           +34,200           +43,500
    RESCISSION................................................  ................  ................  ................  ................  ................
NAVY RESERVE..................................................           36,078            36,078            36,078   ................  ................
    RESCISSION................................................  ................  ................  ................  ................  ................
AIR FORCE RESERVE.............................................           65,021            65,021            65,021   ................  ................
    RESCISSION................................................  ................  ................  ................  ................  ................
NATO..........................................................          120,000           150,000           120,000   ................          -30,000
    RESCISSION................................................  ................  ................  ................  ................  ................
CHEMICAL DEMILITARIZATION CONSTRUCTION, DEFENSE-WIDE..........  ................  ................  ................  ................  ................
    RESCISSION................................................  ................  ................  ................  ................  ................
DOD FAMILY HOUSING IMPROVEMENT FUND...........................  ................  ................  ................  ................  ................
    RESCISSION................................................  ................  ................  ................  ................  ................
HOMEOWNERS ASSISTANCE PROGRAM.................................  ................  ................  ................  ................  ................
    RESCISSION................................................  ................  ................  ................  ................  ................
FAMILY HOUSING, ARMY..........................................          493,206           493,206           493,206   ................  ................
    CONSTRUCTION..............................................          (99,695)          (99,695)          (99,695)  ................  ................
    OPERATION AND MAINTENANCE.................................         (393,511)         (393,511)         (393,511)  ................  ................
        RESCISSION............................................  ................  ................  ................  ................  ................
FAMILY HOUSING, NAVY AND MARINE CORPS.........................          369,577           369,577           369,577   ................  ................
    CONSTRUCTION..............................................          (16,541)          (16,541)          (16,541)  ................  ................
    OPERATION AND MAINTENANCE.................................         (353,036)         (353,036)         (353,036)  ................  ................
        RESCISSION............................................  ................  ................  ................  ................  ................
FAMILY HOUSING, AIR FORCE.....................................          491,730           491,730           491,730   ................  ................
    CONSTRUCTION..............................................         (160,498)         (160,498)         (160,498)  ................  ................
    OPERATION AND MAINTENANCE.................................         (331,232)         (331,232)         (331,232)  ................  ................
        RESCISSION............................................  ................  ................  ................  ................  ................
FAMILY HOUSING, DEFENSE-WIDE..................................           58,668            58,668            58,668   ................  ................
    CONSTRUCTION..............................................  ................  ................  ................  ................  ................
    OPERATION AND MAINTENANCE.................................          (58,668)          (58,668)          (58,668)  ................  ................
        RESCISSION............................................  ................  ................  ................  ................  ................
BRAC..........................................................          251,334           251,334           251,334   ................  ................
    RESCISSION................................................  ................  ................  ................  ................  ................
 
42 USC 3374 (Sec. 135)........................................  ................         -103,918           -65,000           -65,000           +38,918
ADMINISTRATIVE PROVISIONS.....................................  ................  ................  ................  ................  ................
    RESCISSION................................................  ................  ................  ................  ................  ................
                                                               =========================================================================================
      GRAND TOTAL.............................................        8,437,620         7,151,000         8,083,000          -354,620          +932,000
--------------------------------------------------------------------------------------------------------------------------------------------------------


  COMPARATIVE STATEMENT OF NEW BUDGET (OBLIGATIONAL) AUTHORITY FOR FISCAL YEAR 2015 AND BUDGET ESTIMATES AND AMOUNTS RECOMMENDED IN THE BILL FOR FISCAL
                                                                        YEAR 2016
                                                                [In thousands of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                       Senate Committee recommendation compared  with (+
                                                                                                                             or -)
               Item                      2015       Budget estimate  House allowance     Committee    --------------------------------------------------
                                    appropriation                                      recommendation        2015
                                                                                                        appropriation   Budget estimate  House allowance
--------------------------------------------------------------------------------------------------------------------------------------------------------
  TITLE I--DEPARTMENT OF DEFENSE
 
Military construction, Army......         528,427          743,245          663,245          663,245         +134,818          -80,000   ...............
Military construction, Navy and         1,018,772        1,669,239        1,349,678        1,619,699         +600,927          -49,540         +270,021
 Marine Corps....................
Military construction, Air Force.         811,774        1,389,185        1,237,055        1,389,185         +577,411   ...............        +152,130
Military construction, Defense-         1,991,690        2,300,767        1,931,456        2,290,767         +299,077          -10,000         +359,311
 Wide............................
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, Active components...       4,350,663        6,102,436        5,181,434        5,962,896       +1,612,233         -139,540         +781,462
                                  ======================================================================================================================
Military construction, Army               128,920          197,237          167,437          197,237          +68,317   ...............         +29,800
 National Guard..................
Military construction, Air                 92,663          138,738          138,738          138,738          +46,075   ...............  ...............
 National Guard..................
Military construction, Army               103,946          113,595          104,295          113,595           +9,649   ...............          +9,300
 Reserve.........................
Military construction, Navy                51,528           36,078           36,078           36,078          -15,450   ...............  ...............
 Reserve.........................
Military construction, Air Force           49,492           65,021           65,021           65,021          +15,529   ...............  ...............
 Reserve.........................
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, Reserve components..         426,549          550,669          511,569          550,669         +124,120   ...............         +39,100
                                  ======================================================================================================================
      Total, Military                   4,777,212        6,653,105        5,693,003        6,513,565       +1,736,353         -139,540         +820,562
       construction..............
                                  ======================================================================================================================
North Atlantic Treaty                     199,700          120,000          150,000          120,000          -79,700   ...............         -30,000
 Organization Security Investment
 Program.........................
Family housing construction, Army          78,609           99,695           99,695           99,695          +21,086   ...............  ...............
Family housing operation and              350,976          393,511          393,511          393,511          +42,535   ...............  ...............
 maintenance, Army...............
Family housing construction, Navy          16,412           16,541           16,541           16,541             +129   ...............  ...............
 and Marine Corps................
Family housing operation and              354,029          353,036          353,036          353,036             -993   ...............  ...............
 maintenance, Navy and Marine
 Corps...........................
Family housing construction, Air   ...............         160,498          160,498          160,498         +160,498   ...............  ...............
 Force...........................
Family housing operation and              327,747          331,232          331,232          331,232           +3,485   ...............  ...............
 maintenance, Air Force..........
Family housing operation and               61,100           58,668           58,668           58,668           -2,432   ...............  ...............
 maintenance, Defense-Wide.......
Department of Defense Family                1,662   ...............  ...............  ...............          -1,662   ...............  ...............
 Housing Improvement Fund........
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, Family housing......       1,190,535        1,413,181        1,413,181        1,413,181         +222,646   ...............  ...............
                                  ======================================================================================================================
Chemical demilitarization                  38,715   ...............  ...............  ...............         -38,715   ...............  ...............
 construction, Defense-Wide......
Department of Defense Base                315,085          251,334          251,334          251,334          -63,751   ...............  ...............
 Closure Account.................
 
    ADMINISTRATIVE PROVISIONS
 
Military construction--fiscal             125,000   ...............  ...............  ...............        -125,000   ...............  ...............
 year 2014 (Sec. 127)............
Military construction--fiscal             117,000   ...............  ...............  ...............        -117,000   ...............  ...............
 year 2015 (Sec. 128)............
Military construction, Army               -49,533   ...............         -96,000   ...............         +49,533   ...............         +96,000
 (rescission) (Sec. 125).........
Military construction, Navy and           -25,522   ...............  ...............  ...............         +25,522   ...............  ...............
 Marine Corps (rescission) (Sec.
 130)............................
Defense Access Roads (Sec. 131)..  ...............  ...............          30,000   ...............  ...............  ...............         -30,000
Military construction, Air Force          -41,392   ...............         -52,600   ...............         +41,392   ...............         +52,600
 (rescission) (Sec. 126).........
Military construction, Defense-    ...............  ...............        -134,000   ...............  ...............  ...............        +134,000
 Wide (rescission) (Sec. 127)....
Military construction, Army (Sec.  ...............  ...............  ...............          34,500          +34,500          +34,500          +34,500
 125)............................
Military construction, Navy and    ...............  ...............  ...............          34,320          +34,320          +34,320          +34,320
 Marine Corps (Sec. 126).........
Military construction, Army        ...............  ...............  ...............          51,300          +51,300          +51,300          +51,300
 National Guard (Sec. 127).......
Military construction, Army        ...............  ...............  ...............          34,200          +34,200          +34,200          +34,200
 Reserve (Sec. 128)..............
NATO Security Investment Program          -25,000   ...............  ...............  ...............         +25,000   ...............  ...............
 (rescission) (Sec. 132).........
Military construction, Army        ...............  ...............  ...............         -85,000          -85,000          -85,000          -85,000
 (rescission) (Sec. 129).........
Military construction, Air Force   ...............  ...............  ...............         -86,400          -86,400          -86,400          -86,400
 (rescission) (Sec. 129).........
Military construction, Defense-    ...............  ...............  ...............        -133,000         -133,000         -133,000         -133,000
 Wide (rescission) (Sec. 129)....
42 USC 3374 (rescission) (Sec.            -63,800   ...............        -103,918          -65,000           -1,200          -65,000          +38,918
 134)............................
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, Administrative                36,753   ...............        -356,518         -215,080         -251,833         -215,080         +141,438
       Provisions................
          Appropriations.........        (242,000)  ...............         (30,000)        (154,320)        (-87,680)       (+154,320)       (+124,320)
          Rescissions............       (-205,247)  ...............       (-386,518)       (-369,400)       (-164,153)       (-369,400)        (+17,118)
                                  ======================================================================================================================
      Total, title I, Department        6,558,000        8,437,620        7,151,000        8,083,000       +1,525,000         -354,620         +932,000
       of Defense................
          Appropriations.........      (6,763,247)      (8,437,620)      (7,537,518)      (8,452,400)     (+1,689,153)        (+14,780)       (+914,882)
          Rescissions............       (-205,247)  ...............       (-386,518)       (-369,400)       (-164,153)       (-369,400)        (+17,118)
                                  ======================================================================================================================
 TITLE II--DEPARTMENT OF VETERANS
             AFFAIRS
 
 Veterans Benefits Administration
 
Compensation and pensions........      79,071,000       79,124,675       79,124,675       79,124,675          +53,675   ...............  ...............
    Advance appropriation, fiscal  ...............      87,146,761       87,146,761       87,146,761      +87,146,761   ...............  ...............
     year 2017...................
Readjustment benefits............      14,997,136       15,344,922       15,344,922       15,344,922         +347,786   ...............  ...............
    Advance appropriation, fiscal  ...............      16,743,904       16,743,904       16,743,904      +16,743,904   ...............  ...............
     year 2017...................
Veterans insurance and                     63,257           77,160           77,160           77,160          +13,903   ...............  ...............
 indemnities.....................
    Advance appropriation, fiscal  ...............          91,920           91,920           91,920          +91,920   ...............  ...............
     year 2017...................
 
Veterans housing benefit program
 fund:
    (Indefinite).................  ...............  ...............  ...............  ...............  ...............  ...............  ...............
        (Limitation on direct                (500)            (500)            (500)            (500)  ...............  ...............  ...............
         loans)..................
    Administrative expenses......         160,881          164,558          164,558          164,558           +3,677   ...............  ...............
Vocational rehabilitation loans                10               31               31               31              +21   ...............  ...............
 program account.................
    (Limitation on direct loans).          (2,877)          (2,952)          (2,952)          (2,952)            (+75)  ...............  ...............
    Administrative expenses......             361              367              367              367               +6   ...............  ...............
Native American veteran housing             1,130            1,134            1,134            1,134               +4   ...............  ...............
 loan program account............
                                  ======================================================================================================================
      Total, Veterans Benefits         94,293,775      198,695,432      198,695,432      198,695,432     +104,401,657   ...............  ...............
       Administration............
          Appropriations.........     (94,293,775)     (94,712,847)     (94,712,847)     (94,712,847)       (+419,072)  ...............  ...............
          Advance appropriations,  ...............    (103,982,585)    (103,982,585)    (103,982,585)   (+103,982,585)  ...............  ...............
           fiscal year 2017......
                                  ======================================================================================================================
  Veterans Health Administration
 
Medical services:
    Advance from prior year......     (45,015,527)     (47,603,202)     (47,603,202)     (47,603,202)     (+2,587,675)  ...............  ...............
    Current year request.........         209,189        1,124,197          971,554        1,134,197         +925,008          +10,000         +162,643
    Advance appropriation, fiscal      47,603,202       51,673,000       51,673,000       51,673,000       +4,069,798   ...............  ...............
     year 2017...................
                                  ----------------------------------------------------------------------------------------------------------------------
      Subtotal...................      47,812,391       52,797,197       52,644,554       52,807,197       +4,994,806          +10,000         +162,643
 
Medical support and compliance:
    Advance from prior year......      (5,879,700)      (6,144,000)      (6,144,000)      (6,144,000)       (+264,300)  ...............  ...............
    Current year request.........  ...............          69,961   ...............  ...............  ...............         -69,961   ...............
    Advance appropriation, fiscal       6,144,000        6,524,000        6,524,000        6,524,000         +380,000   ...............  ...............
     year 2017...................
                                  ----------------------------------------------------------------------------------------------------------------------
      Subtotal...................       6,144,000        6,593,961        6,524,000        6,524,000         +380,000          -69,961   ...............
 
Medical facilities:
    Advance from prior year......      (4,739,000)      (4,915,000)      (4,915,000)      (4,915,000)       (+176,000)  ...............  ...............
    Current year request.........  ...............         105,132   ...............  ...............  ...............        -105,132   ...............
    Advance appropriation, fiscal       4,915,000        5,074,000        5,074,000        5,074,000         +159,000   ...............  ...............
     year 2017...................
                                  ----------------------------------------------------------------------------------------------------------------------
      Subtotal...................       4,915,000        5,179,132        5,074,000        5,074,000         +159,000         -105,132   ...............
 
Medical and prosthetic research..         588,922          621,813          621,813          621,813          +32,891   ...............  ...............
 
Medical care cost recovery
 collections:
    Offsetting collections.......      -2,456,000       -2,445,000       -2,445,000       -2,445,000          +11,000   ...............  ...............
    Appropriations (indefinite)..       2,456,000        2,445,000        2,445,000        2,445,000          -11,000   ...............  ...............
                                  ----------------------------------------------------------------------------------------------------------------------
      Subtotal...................  ...............  ...............  ...............  ...............  ...............  ...............  ...............
 
DOD-VA Joint Medical Funds              (-276,251)       (-286,000)       (-286,000)       (-286,000)         (-9,749)  ...............  ...............
 (transfers out).................
DOD-VA Joint Medical Funds (by           (276,251)        (286,000)        (286,000)        (286,000)         (+9,749)  ...............  ...............
 transfer).......................
DOD-VA Health Care Sharing               (-15,000)        (-15,000)        (-15,000)        (-15,000)  ...............  ...............  ...............
 Incentive Fund (transfer out)...
DOD-VA Health Care Sharing                (15,000)         (15,000)         (15,000)         (15,000)  ...............  ...............  ...............
 Incentive Fund (by transfer)....
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, Veterans Health           59,460,313       65,192,103       64,864,367       65,027,010       +5,566,697         -165,093         +162,643
       Administration............
          Appropriations.........        (798,111)      (1,921,103)      (1,593,367)      (1,756,010)       (+957,899)       (-165,093)       (+162,643)
          Advance appropriations,     (58,662,202)     (63,271,000)     (63,271,000)     (63,271,000)     (+4,608,798)  ...............  ...............
           fiscal year 2017......
          Advances from prior         (55,634,227)     (58,662,202)     (58,662,202)     (58,662,202)     (+3,027,975)  ...............  ...............
           year appropriations...
                                  ======================================================================================================================
 National Cemetery Administration
 
National Cemetery Administration.         256,800          266,220          266,220          266,220           +9,420   ...............  ...............
 
   Departmental Administration
 
General administration...........         321,591          346,659          324,959          311,591          -10,000          -35,068          -13,368
Board of Veterans Appeals........          99,294          107,884          109,884          107,884           +8,590   ...............          -2,000
General operating expenses, VBA..       2,534,254        2,697,734        2,702,734        2,697,734         +163,480   ...............          -5,000
Information technology systems...       3,903,344        4,133,363        4,039,563        4,106,363         +203,019          -27,000          +66,800
Office of Inspector General......         126,411          126,766          131,766          126,766             +355   ...............          -5,000
Construction, major projects.....         561,800        1,143,800          561,800        1,027,064         +465,264         -116,736         +465,264
Construction, minor projects.....         495,200          406,200          406,200          378,080         -117,120          -28,120          -28,120
Grants for construction of State           90,000           80,000           80,000          100,000          +10,000          +20,000          +20,000
 extended care facilities........
Grants for the construction of             46,000           45,000           45,000           46,000   ...............          +1,000           +1,000
 veterans cemeteries.............
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, Departmental               8,177,894        9,087,406        8,401,906        8,901,482         +723,588         -185,924         +499,576
       Administration............
                                  ======================================================================================================================
    Administrative Provisions
 
Medical services (Sec. 227)......       1,400,000        1,400,000        1,400,000        1,400,000   ...............  ...............  ...............
    (Rescission) (Sec. 227)......      -1,400,000       -1,400,000       -1,400,000       -1,400,000   ...............  ...............  ...............
Medical support and compliance            100,000          100,000          100,000          100,000   ...............  ...............  ...............
 (Sec. 227)......................
    (Rescission) (Sec. 227)......        -100,000         -100,000         -100,000         -150,000          -50,000          -50,000          -50,000
Medical facilities (Sec. 227)....         250,000          250,000          250,000          250,000   ...............  ...............  ...............
    (Rescission) (Sec. 227)......        -250,000         -250,000         -250,000         -250,000   ...............  ...............  ...............
Contract disability exams........          40,000   ...............  ...............  ...............         -40,000   ...............  ...............
Payraise absorption (rescission)   ...............  ...............        -313,626         -255,000         -255,000         -255,000          +58,626
 (Sec. 236)......................
Bonus limit (rescission) (Sec.            -41,000   ...............        -101,000          -55,000          -14,000          -55,000          +46,000
 237)............................
JIF (rescission) (Sec. 238)......         -15,000   ...............         -15,000          -50,000          -35,000          -50,000          -35,000
Department administration          ...............  ...............  ...............          -6,052           -6,052           -6,052           -6,052
 (rescission) (Sec. 239).........
Unobligated balances (rescission)  ...............  ...............  ...............         -90,293          -90,293          -90,293          -90,293
 (Sec. 240)......................
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, Administrative               -16,000   ...............        -429,626         -506,345         -490,345         -506,345          -76,719
       Provisions................
                                  ======================================================================================================================
      Total, title II............     162,172,782      273,241,161      271,798,299      272,383,799     +110,211,017         -857,362         +585,500
          Appropriations.........    (105,316,580)    (107,737,576)    (106,724,340)    (107,386,559)     (+2,069,979)       (-351,017)       (+662,219)
          Rescissions............     (-1,806,000)     (-1,750,000)     (-2,179,626)     (-2,256,345)       (-450,345)       (-506,345)        (-76,719)
          Advance appropriations,     (58,662,202)    (167,253,585)    (167,253,585)    (167,253,585)   (+108,591,383)  ...............  ...............
           fiscal year 2017......
          Advances from prior         (55,634,227)     (58,662,202)     (58,662,202)     (58,662,202)     (+3,027,975)  ...............  ...............
           year appropriations...
          (Limitation on direct            (3,377)          (3,452)          (3,452)          (3,452)            (+75)  ...............  ...............
           loans)................
                                  ======================================================================================================================
   TITLE III--RELATED AGENCIES
 
    American Battle Monuments
            Commission
 
Salaries and expenses............          74,100           75,100           75,100           75,100           +1,000   ...............  ...............
Foreign currency fluctuations               1,900            2,000            2,000            2,000             +100   ...............  ...............
 account.........................
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, American Battle               76,000           77,100           77,100           77,100           +1,100   ...............  ...............
       Monuments Commission......
                                  ======================================================================================================================
    U.S. Court of Appeals for
         Veterans Claims
 
Salaries and expenses............          31,386           32,141           32,141           32,141             +755   ...............  ...............
 
   Department of Defense--Civil
 
    Cemeterial Expenses, Army
 
Salaries and expenses............          65,800           70,800           70,800           70,800           +5,000   ...............  ...............
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, Cemeterial Expenses,          65,800           70,800           70,800           70,800           +5,000   ...............  ...............
       Army......................
                                  ======================================================================================================================
  Armed Forces Retirement Home--
            Trust Fund
 
Operation and maintenance........          62,400           63,300           63,300           63,300             +900   ...............  ...............
Capital program..................           1,000            1,000            1,000            1,000   ...............  ...............  ...............
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, Armed Forces                  63,400           64,300           64,300           64,300             +900   ...............  ...............
       Retirement Home...........
                                  ======================================================================================================================
      Total, title III...........         236,586          244,341          244,341          244,341           +7,755   ...............  ...............
                                  ======================================================================================================================
  TITLE IV--OVERSEAS CONTINGENCY
            OPERATIONS
 
Military construction, Navy and    ...............  ...............         244,004   ...............  ...............  ...............        -244,004
 Marine Corps....................
Military construction, Air Force.  ...............  ...............          75,000   ...............  ...............  ...............         -75,000
Military construction, Defense-            46,000   ...............         212,996   ...............         -46,000   ...............        -212,996
 Wide............................
European Reassurance Initiative           175,000   ...............  ...............  ...............        -175,000   ...............  ...............
 Military Construction...........
                                  ----------------------------------------------------------------------------------------------------------------------
      Total, title IV............         221,000   ...............         532,000   ...............        -221,000   ...............        -532,000
                                  ======================================================================================================================
      Grand total................     169,188,368      281,923,122      279,725,640      280,711,140     +111,522,772       -1,211,982         +985,500
          Appropriations.........    (112,316,413)    (116,419,537)    (114,506,199)    (116,083,300)     (+3,766,887)       (-336,237)     (+1,577,101)
          Rescissions............     (-2,011,247)     (-1,750,000)     (-2,566,144)     (-2,625,745)       (-614,498)       (-875,745)        (-59,601)
          Advance appropriations,     (58,662,202)    (167,253,585)    (167,253,585)    (167,253,585)   (+108,591,383)  ...............  ...............
           fiscal year 2017......
          Overseas contingency           (221,000)  ...............        (532,000)  ...............       (-221,000)  ...............       (-532,000)
           operations............
          Advances from prior         (55,634,227)     (58,662,202)     (58,662,202)     (58,662,202)     (+3,027,975)  ...............  ...............
           year appropriations...
              (By transfer)......        (291,251)        (301,000)        (301,000)        (301,000)         (+9,749)  ...............  ...............
          (Limitation on direct            (3,377)          (3,452)          (3,452)          (3,452)            (+75)  ...............  ...............
           loans)................
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                                     [all]