LIMITATION ON CONTRACTS WITH CERTAIN SHIP REPAIR COMPANIES FOR SHIP REPAIR.

SEC. 314. LIMITATION ON CONTRACTS WITH CERTAIN SHIP REPAIR COMPANIES FOR SHIP REPAIR. (a) Limitation.—The Secretary of the Navy may not enter into a contract having a value greater than $250,000 with a ship repair company referred to in subsection (b) for the overhaul, repair, or maintenance of a naval vessel until the Secretary submits to the Committees on Armed Services of the Senate and House of Representatives the certification referred to in subsection (c). (b) Covered Ship Repair Company.—A ship repair company referred to in subsection (a) is a ship repair company located outside the United States that was the subject of a court inquiry into fatalities resulting from ship repairs performed by that company in fiscal year 1990, 1991, 1992, or 1993. (c) Certification.—The certification referred to in subsection (a) is a certification that a ship repair company referred to in subsection (b) has initiated legal proceedings, or other proceedings, to compensate the survivors of each member of the Navy killed as a result of faulty ship repair performed by that company during a fiscal year referred to in such subsection. (d) Waiver.—A contract referred to in subsection (a) may be entered into pursuant to a waiver of the limitation in such subsection only after the Secretary of the Navy submits to the Committees on Armed Services of the Senate and House of Representatives a certification that— (1) the work is for voyage repairs; or (2) there is a compelling national security reason for the work to be done by the ship repair company.