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readiness rates for B-1B units not participating in the test would be reduced to unacceptable levels.

(B) If the Secretary of the Air Force proposes to use the authority provided in subparagraph (A), the Secretary shall, before using that authority, submit to the congressional defense committees notice in writing of the proposed postponement of the test plan. If the test plan report required under subsection (c) has not been submitted as of the time of the decision to postpone implementation of the test plan, that notice shall be submitted as part of the submission of the test plan report.

(2)(A) The Secretary of Defense may waive implementation of the test plan if the Secretary determines that implementing the test plan would not be in the national security interest of the United States.

(B) If the Secretary of Defense proposes to use the waiver authority provided in subparagraph (A), the Secretary shall, before using that authority, submit to the congressional defense committees notice in writing of the proposed waiver. Upon using that Reports. waiver authority, the Secretary shall, not later than 30 days after the date on which the waiver authority is used, submit to the congressional defense committees a report setting forth a detailed explanation of the reasons for the waiver.

(f) REPORT ON TEST RESULTS. (1) Unless the Secretary exercises the waiver authority provided in subsection (e)(1)(B), the Secretary shall submit to the congressional defense committees, and to the Comptroller General of the United States, a report on the results obtained from implementation of the test. The report shall be submitted within 90 days after the completion of the test.

(2) The report required under paragraph (1) shall include an assessment of

(A) the extent to which the provision of planned spares, maintenance manpower, and logistics support will enable the B-1B force to achieve the planned operational readiness rate; and

(B) if the planned readiness rate cannot be achieved with the planned level of spares, maintenance manpower, and logistics support

(i) an estimate of the operational readiness rate that can be achieved with the planned level of spares, maintenance manpower, and logistics support;

(ii) an estimate of the additional amounts of spares, maintenance manpower, and logistics support and the added costs thereof, to achieve the planned operational readiness rate; and

(iii) an enumeration of those specific factors limiting the achievable operational readiness rate which it would be cost-effective to mitigate, and the increase in operational readiness that would result therefrom.

SEC. 133. FULL AND PROMPT ACCESS BY COMPTROLLER GENERAL
TO INFORMATION ON HEAVY BOMBER PROGRAMS.

(a) DUTY OF SECRETARY OF DEFENSE.-The Secretary of Defense shall take all actions necessary to ensure that all components of the Department of Defense, in providing to the Comptroller General of the United States such access to information described in subsection (b) as the Comptroller General may require in order

Contracts.

to carry out the functions of the Comptroller General, provide such access on a full and prompt basis.

(b) INFORMATION COVERED.-Subsection (a) refers to all information (including reports and analyses) generated by or on behalf of the Department of the Air Force (including by Air Force contractors) that relates to (1) operation, maintenance, repair, and modernization of heavy bombers, or (2) the plans of the Air Force for operation, maintenance, repair, and modernization of heavy bombers in the future.

SEC. 134. C-17 AIRCRAFT PROGRAM PROGRESS PAYMENTS AND

REPORTS.

(a) WITHHOLDING OF PAYMENTS FOR SOFTWARE NONCOMPLIANCE.-In accepting further delivery of C-17 aircraft that in accordance with existing C-17 contracts require a waiver for software noncompliance, the Secretary of Defense shall withhold from the unliquidated portion of the progress payments for such aircraft an amount not less than 1 percent of the total cost of such aircraft. The withholding shall continue until the Secretary submits to each of the congressional committees named in subsection (e) a report in which the Secretary certifies each of the following:

(1) That C-17 software testing and avionics integration have been completed.

(2) That the costs of waivers for software noncompliance have been identified and are in accordance with the terms of existing C-17 contracts.

(b) CORRECTION OF WING DEFECTS.-Within 120 days after the date of the enactment of this Act, the Secretary of Defense shall submit to each of the congressional committees named in subsection (e) a report in which the Secretary certifies that, in accordance with the terms of existing C-17 contracts, the contractor has identified and is bearing each of the following:

(1) The costs related to wing structural deficiencies (including the costs of redesign, static wing failure repair, and retrofit for existing wing sets).

(2) The costs for required redesign, retesting, and manufacture of C-17 slats and flaps to correct identified deficiencies. (c) ANALYSIS OF RANGE/PAYLOAD DEFICIENCY.-Within 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to each of the congressional committees named in subsection (e) a report containing the following:

(1) An analysis of the operational impacts caused by deficiencies in the range/payload specification, as defined by the C-17 Lot III production contract, including projected operational and maintenance costs, such as the costs of required airborne refueling due to range shortfalls.

(2) A schedule for securing from the contractor, in accordance with the terms of existing C-17 contracts, an equitable recovery for the operational impacts caused by deficiencies in the range/payload specification identified in the analysis required by this section.

(d) REPORT CONTENTS.-Each report required by this section shall include an itemization of the estimated effect on total production costs caused by software noncompliance, wing defects, or range/ payload deficiency, as applicable.

(e) CONGRESSIONAL COMMITTEES.-The committees of Congress to which a report required by this section is to be submitted are the following:

(1) The Committees on Armed Services of the Senate and the House of Representatives.

(2) The Committees on Appropriations of the Senate and the House of Representatives.

(3) The Committee on Governmental Affairs of the Senate and the Committee on Government Operations of the House of Representatives.

SEC. 135. LIVE-FIRE SURVIVABILITY TESTING OF THE C-17 AIRCRAFT. Section 132(d) of the National Defense Authorization Act for Fiscal Year 1993 (Public Law 102-484; 106 Stat. 2335) is amended by striking out "for fiscal year 1993".

SEC. 136. INTERTHEATER AIRLIFT PROGRAM.

(a) FUNDING FOR PROGRAM. Of the amount appropriated under section 103 for procurement of aircraft for the Air Force (or otherwise made available for procurement of aircraft for the Air Force for fiscal year 1994), not more than $2,318,000,000 (hereinafter in this section referred to as “fiscal year 1994 intertheater airlift funds") may be made available for the Intertheater Airlift Program, including the C-17 aircraft program. Of that amount

(1) not more than $1,730,000,000 may be made available for procurement for the C-17 aircraft program (other than for advanced procurement and procurement of spare parts), except as such amount may be increased pursuant to paragraph (4);

(2) not more than $188,000,000 may be made available for advanced procurement for the C-17 aircraft program;

(3) not more than $100,000,000 may be made available for procurement of nondevelopmental wide-body military or commercial cargo variant aircraft as a complement to the C17 aircraft, except as such amount may be increased pursuant to paragraph (4); and

(4) subject to subsection (h), not more than $300,000,000 may be made available for procurement either as specified in paragraph (1) or as specified in paragraph (3), in addition to the amount specified in that paragraph.

(b) USE OF FUNDS.-(1) Using fiscal year 1994 intertheater airlift funds and subject to the limitations in subsection (a), the Secretary of Defense shall do the following:

(A) Procure C-17 aircraft.

(B) Initiate procurement of nondevelopmental aircraft as a complement to the C-17 aircraft, selected as provided in paragraph (3).

(2) Using fiscal year 1994 intertheater airlift funds and subject to the limitations in subsection (a), the Secretary shall develop an acquisition plan leading to procurement as an airlift aircraft complementary to the C-17 aircraft of either

or

(A) a nondevelopmental, wide-body military airlift aircraft;

(B) a nondevelopmental commercial wide-body cargo variant aircraft.

(3) The Secretary shall choose which, or what mix, of the options specified in paragraph (2) best supports intertheater airlift requirements.

Reports.

Reports.

(c) FISCAL YEAR 1994 LIMITATION.-Amounts appropriated under section 103 for procurement of aircraft for the Air Force (or otherwise made available for procurement of aircraft for the Air Force for fiscal year 1994) may not be obligated for procurement of C-17 aircraft (other than for advanced procurement) until(1) each limitation and requirement set forth in subsections (b), (c), (d), and (f) of section 134 of the National Defense Authorization Act for Fiscal Year 1993 (Public Law 102-484; 106 Stat. 2335) has been satisfied; and

(2) the Secretary of Defense submits to the congressional defense committees a report on the C-17 acquisition program that contains

(A) the results of the special Defense Acquisition Board review of the program, to include specific changes to requirements recommended by the Joint Requirements Oversight Council (JROC);

(B) a discussion of the corrective actions to be taken by the Air Force with regard to such program;

(C) a proposed resolution of outstanding contractor claims and any requested legislation relating to those claims;

(D) a discussion of the corrective actions to be taken by the contractor with regard to such program; and

(E) the findings and recommendations of the special Defense Science Board group resulting from the investigation of the program by that group.

(d) FISCAL YEAR 1995 LIMITATION.-The Secretary of Defense may not obligate any funds that may be appropriated for the Department of Defense for fiscal year 1995 that are made available for the C-17 aircraft program (other than funds made available for advanced procurement) until the Secretary submits to the congressional defense committees a report containing a review (based on an analysis by a federally funded research and development center) of the airlift requirements of the Armed Forces. The review shall reflect consideration of each of the following:

(1) The changes in total airlift requirements of the Armed Forces resulting from the disintegration of the Warsaw Pact and Soviet Union that eliminate any major trans-Atlantic airlift requirement for Europe.

(2) The change in airlift requirements of the Armed Forces from requirements for airlift of large quantities of outsize cargo for reenforcement of North Atlantic Treaty Organization forces to requirements for airlift in connection with such lesser regional contingencies and humanitarian operations as Operation Desert Shield, Operation Desert Storm, and Operation Restore Hope.

(3) The potential contribution that planned strategic sealift improvements can make toward

(A) reducing the total demand for airlift; and

(B) changing the type of cargo that airlift aircraft must carry.

(4) The declining demand for the conduct of airlift operations in austere airfield environments.

(5) The trade-off between purchasing the type of additional capability that the C-17 aircraft can provide and purchasing and using additional support equipment that would increase the cargo airlift capacity of alternative cargo aircraft.

(e) LIMITATION ON ACQUISITION OF MORE THAN FOUR C-17 AIRCRAFT.-The Secretary of Defense may not obligate C-17 production funds (as defined in subsection (i)) to produce more than four C-17 aircraft until the program meets the following milestones: (1) Clearance of flight envelope with respect to altitude and speed.

(2) Takeoff of aircraft at gross weight of 580,000 pounds and 160,000 pounds payload within a critical field length of 8,500 feet at sea level and 90 degrees Fahrenheit day conditions (or equivalent results under other conditions).

(3) Backing aircraft up a two degree slope with a gross weight of 510,000 pounds.

(4) Unassisted 180 degree turn of aircraft on paved runway of load classification group IV in less than 90 feet, using three

maneuvers.

(5) Completion of static article ultimate load (150 percent of design limit load) test condition S.P. 5030 for wing up bending.

(6) Completion of electromagnetic radiation, electromagnetic compatibility, and lightening tests.

form.

(7) Low velocity air drop of 5,000-pound, 8-foot length plat

(8) Sequential air drop of multiple simulated paratroop dummies from both paratroop doors.

(9) A minimum unit equivalent assembly rate of 6.0 assemblies per year, as measured by the ratio of annualized standard hours earned to that required to assemble one aircraft from beginning of assembly to the completion of assembly before movement to the ramp at the prime contractor's facilities.

(10) For all aircraft scheduled for delivery in the prior six-month period, delivery of each aircraft within one month of scheduled delivery date.

(f) LIMITATION ON ACQUISITION OF MORE THAN SIX C-17 AIRCRAFT.-The Secretary of Defense may not obligate C-17 production funds (as defined in subsection (i)) to produce more than six aircraft for a fiscal year after fiscal year 1995 until the program meets the following milestones (in addition to the milestones specified in subsection (e)):

(1) Clearance of flight envelope with respect to loads.

(2) Estimate of payload meets 95 percent of the requirement provided in the full-scale development contract for the key performance parameters for payload-to-range systems perform

ance.

(3) Operational clearance for aircraft to be air refueled from operational KC-10 and KC-135 aircraft at standard Air Force refueling speeds for the specific tanker in a single receiver formation.

(4) Demonstration of combat offload with two 463L pallets using the air delivery system rails.

(5) Airdrop of 70 paratroopers on one pass, using both paratroop doors.

(6) Low velocity air drop of 30,000-pound, 24-foot length platform.

(g) LIMITATION ON ACQUISITION OF MORE THAN SIX C-17 Aircraft.-The Secretary of Defense may not obligate C-17 production funds (as defined in subsection (i)) to produce more than six C17 aircraft for a fiscal year after fiscal year 1996 until the program

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