To amend the Act of March 3, 1863, incorporating the National Academy of Sciences, to authorize the Federal Government to indemnify the Academy against liability for certain pecuniary losses to third persons arising from reports prepared by the Academy.

Amends the Act of March 3, 1863, incorporating the National Academy of Sciences, to permit a contract between an executive agency and the Academy for the issuance by the Academy of a report to provide that the Federal Government will indemnify the Academy against tort liability for any pecuniary loss to a third person arising from a statement in such report.

Designates the persons who may approve a contractual provision for such indemnification.

Requires such a contract to: (1) require, as prerequisites to such indemnification, that the Academy receive a written statement of a claim against it or be served with a pleading commencing a suit against it and give written notice to the Attorney General of such written claim or service of process within the five-day period after the receipt of claim or the service of process, whichever first occurs; and (2) provide for contract of or assistance in the defense by the Government, at its election, of any such claim or suit.

Prohibits a payment from being made pursuant to this Act unless the Attorney General certifies that the amount is just and reasonable, with exceptions. Permits such a payment to be made from funds: (1) obligated for the performance of the contract concerned; (2) available to the executive agency concerned for research or development, or both, and not otherwise obligated; or (3) appropriated for such payment.