AIRCRAFT CARRIERS.

SEC. 121. AIRCRAFT CARRIERS. (a) Modification of Cost Limitation Baseline for CVN-78 Class Aircraft Carrier Program.—Section 122 of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109-364; 120 Stat. 2105), as most recently amended by section 122 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114-92; 129 Stat. 749), is amended— (1) in subsection (a), by striking paragraph (2) and inserting the following: “(2) Carrier designated as cvn-79. The total amount obligated from funds appropriated or otherwise made available for Shipbuilding and Conversion, Navy, or for any other procurement account, for the aircraft carrier designated as CVN-79 may not exceed $11,398,000,000 (as adjusted pursuant to subsection (b)). “(3) Follow-on ships. The total amount obligated from funds appropriated or otherwise made available for Shipbuilding and Conversion, Navy, or for any other procurement account, for any ship that is constructed in the CVN-78 class of aircraft carriers after the aircraft carrier designated as CVN-79 may not exceed $12,568,000,000 (as adjusted pursuant to subsection (b)).” ; (2) in subsection (b), by amending paragraph (1) to read as follows: “(1) The amounts of increases or decreases in costs attributable to economic inflation— “(A) after September 30, 2013, in the case of the aircraft carrier designated as CVN-79; and “(B) after September 30, 2017, in the case of any ship that is constructed in the CVN-78 class of aircraft carriers after the aircraft carrier designated as CVN-79.” ; and (3) by adding at the end the following: “(g) Exclusion of Battle and Interim Spares From Cost Limitation. The Secretary of the Navy shall exclude from the determination of the amounts set forth in paragraphs (2) and (3) of subsection (a), the costs of the following items: “(1) CVN-78 class battle spares. “(2) Interim spares.” . (b) Waiver on Limitation of Availability of Funds for CVN-79.—The Secretary of Defense may waive subsections (a) and (b) of section 128 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114-92; 129 Stat. 751) after a period of 60 days has elapsed following the date on which the Secretary submits to the congressional defense committees a written notification of the intent of the Secretary to issue such a waiver. The Secretary shall include in any such notification the following: (1) The rationale of the Secretary for issuing the waiver. (2) The revised test and evaluation master plan that describes when full ship shock trials will be held on Ford-class aircraft carriers. (3) A certification that the Secretary has analyzed and accepted the operational risk of the U.S.S. Gerald R. Ford deploying without having conducted full ship shock trials, and that the Secretary has not delegated the decision to issue such waiver.