To require the Secretary of Defense to carry out a pilot program to identify and demonstrate feasible alternatives to demilitarization of assembled chemical munitions under the baseline incinerator program.

Directs the Secretary of Defense to conduct a pilot program to identify and demonstrate feasible alternatives to incineration for the demilitarization of assembled chemical munitions. Terminates such program no later than September 30, 2000.

Requires the Secretary to: (1) report to the Congress during each year of the program on program activities; and (2) evaluate, and report to the Congress on, each identified alternative.

Provides a specified limitation on the purchase of long lead materials for the construction of an incinerator at any site in Kentucky under the program.

Earmarks funds for the program.