To establish a priority in the disposal of real property resulting from the closure or realignment of military installations toward States and other entities that agree to convert the property into correctional facilities for youthful offenders to be operated as military-style boot camps and to require the Secretary of Defense to develop a program to promote the expanded use of such correctional facilities.

Amends the Defense Base Closure and Realignment Act of 1990 and the Defense Authorization Amendments and Base Closure and Realignment Act to require the Secretary of Defense, before any action is taken with respect to the disposal or transfer of real property at a military facility being closed or realigned, to notify the State and each local government in which the facility is located, as well as other interested persons, of the suitability of the property or facility for conversion and use as a youthful offender boot camp. Requires the Secretary to transfer the property to a State, local government, or interested party that certifies that the property or facilities will be promptly converted and used for such purpose.

Provides certification procedures to be followed by the Attorney General in the case of a certification submitted by a private person. Prohibits any transfer of property under this Act when the head of a military department or other Department of Defense entity notifies the Secretary that there is a further and compelling national security need for the property or facility.

Directs the Secretary to develop a model program intended to incorporate military basic training, instruction, and disciplinary procedures into the design and operation of youthful offender boot camps at the Federal, State, and local levels.

Amends the Omnibus Crime Control and Safe Streets Act of 1968 to reallocate between public agencies and private nonprofit organizations the percentage of grant funds authorized under such Act for correctional options that provide alternatives to traditional modes of incarceration and offender release programs.