Sec. 235. LIMITATION ON AVAILABILITY OF FUNDS FOR THE MEDIUM EXTENDED AIR DEFENSE SYSTEM

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## SEC. 235 LIMITATION ON AVAILABILITY OF FUNDS FOR THE MEDIUM EXTENDED AIR DEFENSE SYSTEM ###

(a)Limitation Of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2012 for the medium extended air defense system program, not more than 25 percent may be obligated or expended until the date on which the Secretary of Defense submits to the congressional defense committees a plan to use such funds as final obligations under such program for either— ####

(1)implementing a restructured program of reduced scope; or ####

(2)contract termination liability costs with respect to the contracts covering the program. ###

(b)Elements The plan under subsection

(a)shall include the following: ####

(1)The plan of the Secretary for using funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2012 for the medium extended air defense system program for the purposes described in paragraph

(1)or

(2)of subsection (a). ####

(2)An explanation of the amount of the total cost for which the United States would be liable with respect to either— #####

(A)restructuring the program as described in such paragraph (1); or #####

(B)terminating the contracts covering the program, either unilaterally or multilaterally, as described in such paragraph (2). ####

(3)An explanation of the terms of any agreement with Germany or Italy (or both) with respect to program restructuring or contract termination. ####

(4)A description of the program schedule and specific elements of a restructured program to develop, test, and evaluate technologies for possible incorporation into future air and missile defense architectures of the United States. ####

(5)A description of the specific technologies identified by the Secretary for possible incorporation into future air and missile defense architectures of the United States. ####

(6)A description of how the Secretary plans to address the future air and missile defense requirements of the Department of Defense in the absence of a fielded medium extended air defense system capability, including a summary of activities, the cost estimate, and the funding profile necessary to sustain and upgrade the Patriot air and missile defense system. ###

(c)Report Required Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the congressional defense committees a report providing a detailed description of the efforts the Secretary has made with Germany and Italy, including any involvement by the Secretary of State, to agree on ways to minimize the costs to each nation of implementing a restructured program or of unilateral or multilateral contract termination.