Defense Diversification and Adjustment Act of 1990

Defense Diversification and Adjustment Act of 1990 - Title I: Office of Defense Diversification and Adjustment - Establishes in the Executive Office of the President the Office of Defense Diversification and Adjustment to be headed by a Director. Requires the Secretary of Defense to notify the Office: (1) of curtailment or termination of defense contracts; (2) of decisions not to proceed with an approved major weapon system program; (3) of the proposed closure or realignment of any military installation; and (4) of other significant pending or proposed changes in defense spending that will affect employment in the defense industry. Requires the Office to disseminate such information to appropriate Federal, State, and local agencies and to make such information available to civilian workers displaced from defense-related employment. Prohibits the curtailment or cancellation of a defense contract or the closure or realignment of a military installation unless the appropriate notice has been given to the Office. Requires the Secretary to furnish the Office annually with the projected future defense spending levels and other appropriate data.

Title II: Planning Grants for Community Adjustment - Requires the Director to formulate and carry out a program of grants to assist local governments in the development of economic adjustment plans, including plans for job retraining and alternative uses for defense facilities. Requires the Director to publish, quarterly, a list of all units of local government likely to be adversely affected by the curtailment or cancellation of a defense contract or the closure or realignment of a military installation. Makes all such units eligible for such grants. Allows non-included units to petition the Director for inclusion on such list. Allows employees within a listed unit to apply for such grant if their respective unit does not so apply within a six-month period following such listing. Limits per-unit grants to $250,000. Outlines other grant conditions to be followed by selected units of local government.

Title III: Adjustment Assistance for Workers - Requires each defense contractor and the commander of each military installation to report to the planning office of an adversely-affected unit of local government and to appropriate State employment offices the name and job description of each employee terminated because of the termination or curtailment of a defense contract or the closure or realignment of a military installation. Requires employee terminations within 90 days of such events to be considered attributable to such events. Allows workers to appeal to the Office to be included in such report. Entitles such workers to: (1) payments to continue hospital, surgical, medical, or disability insurance for up to two years, unless the person finds new employment; (2) retraining for employment that will provide comparable status and pay; and (3) reimbursement of reasonable moving expenses incurred to take advantage of employment opportunities referred to by the Secretary of Labor or a State employment agency.

Requires the Office to enter into agreements under which a State or an unemployment agency thereof shall make such payments and provide such benefits and be reimbursed by the Office.

Title IV: Contractor Diversification - Requires each defense contractor having gross revenues from defense contracts in excess of $15,000,000 in any fiscal year to set aside in a special account an amount not less than one tenth of one percent of such annual revenues for the establishment and maintenance of a corporate office of contractor diversification. Requires such corporate office to make a continuing analysis of possible nondefense uses to which the contractor's defense facility or facilities could be devoted. Requires such corporate office to submit to the Office an annual report which includes a detailed contractor diversification plan for each of the defense facilities of such contractor, a schedule for implementing such plan, and an estimate of the plan's impact on the labor force. Allows the Director to waive all payments required to be made to the Defense Economic Adjustment Trust Fund (established under title V of this Act) if the contractor complies with all such requirements and makes certain certifications with respect to the implementation of a successful diversification plan.

Title V: Defense Economic Adjustment Trust Fund - Establishes in the Treasury the Defense Economic Adjustment Trust Fund. Requires deposits to such Fund by defense contractors not exempted by the Director.

Directs the Secretary of the Treasury to determine for each fiscal year the projected savings that will result from curtailment or termination of defense contracts and the closing and realignment of military installations. Authorizes appropriations to the Fund equal to ten percent annually of such projected savings.

Title VI: Authorization of Appropriations - Authorizes appropriations.