To authorize appropriations for fiscal year 1998 for military activities

DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS
TITLE X-GENERAL PROVISIONS
Subtitle B-Naval Vessels and Shipyards

     SEC. 1025. Transfers of Naval Vessels to certain foreign countries.
          o (a) AUTHORITY.-The Secretary of the Navy is authorized to transfer vessels to foreign countries on a sales basis under section 21 of the Arms Export Control Act (22 U.S.C. 2761) as follows:
                 (1) To the Government of Brazil, the HUNLEY class submarine tender HOLLAND (AS 32).
                 (2) To the Government of Chile, the KAISER class oiler ISHERWOOD (T-AO 191).
                 (3) To the Government of Egypt:
                       (A) The following frigates of the KNOX class:
                            * (i) The PAUL (FF 1080).
                            * (ii) The MILLER (FF 1091).
                            * (iii) The JESSE L. BROWN (FFT 1089).
                            * (iv) The MOINESTER (FFT 1097).
                       (B) The following frigates of the OLIVER HAZARD PERRY class:
                             (i) The FAHRION (FFG 22).
                             (ii) The LEWIS B. PULLER (FFG 23).
                 (4) To the Government of Israel, the NEWPORT class tank landing ship PEORIA (LST 1183).
                 (5) To the Government of Malaysia, the NEWPORT class tank landing ship BARBOUR COUNTY (LST 1195).
                 (6) To the Government of Mexico, the KNOX class frigate ROARK (FF 1053).
                 (7) To the Taipei Economic and Cultural Representative Office in the United States (the Taiwan instrumentality that is designated pursuant to section 10(a) of the Taiwan Relations Act), the following frigates of the KNOX class:
                       (A) The WHIPPLE (FF 1062).
                       (B) The DOWNES (FF 1070).
                 (8) To the Government of Thailand, the NEWPORT class tank landing ship SCHENECTADY (LST 1185).
          o (b) COSTS OF TRANSFERS.-Any expense incurred by the United States in connection with a transfer authorized by subsection (a) shall be charged to the recipient.
          o (c) REPAIR AND REFURBISHMENT IN UNITED STATES SHIPYARDS.- To the maximum extent practicable, the Secretary of the Navy shall require, as a condition of the transfer of a vessel under this section, that the country to which the vessel is transferred have such repair or refurbishment of the vessel as is needed, before the vessel joins the naval forces of that country, performed at a shipyard located in the United States, including a United States Navy shipyard.
          o (d) EXPIRATION OF AUTHORITY.-The authority to transfer a vessel under subsection (a) shall expire at the end of the two-year period beginning on the date of the enactment of this Act.