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H.R. 1585 (110th): National Defense Authorization Act for Fiscal Year 2008


The text of the bill below is as of May 11, 2007 (Reported by House Committee).


IB

Union Calendar No. 86

110th CONGRESS

1st Session

H. R. 1585

[Report No. 110–146]

IN THE HOUSE OF REPRESENTATIVES

March 20, 2007

(for himself and Mr. Hunter) (both by request) introduced the following bill; which was referred to the Committee on Armed Services

May 11, 2007

Reported with amendments, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed

Strike out all after the enacting clause and insert the part printed in italic

For text of introduced bill, see copy of bill as introduced on March 20, 2007

A BILL

To authorize appropriations for fiscal year 2008 for military activities of the Department of Defense, to prescribe military personnel strengths for fiscal year 2008, and for other purposes.

1.

Short title

This Act may be cited as the National Defense Authorization Act for Fiscal Year 2008.

2.

Organization of Act into divisions; table of contents

(a)

Divisions

This Act is organized into three divisions as follows:

(1)

Division A—Department of Defense Authorizations.

(2)

Division B—Military Construction Authorizations.

(3)

Division C—Department of Energy National Security Authorizations and Other Authorizations.

(b)

Table of contents

The table of contents for this Act is as follows:

Sec. 1. Short title.

Sec. 2. Organization of Act into divisions; table of contents.

Sec. 3. Congressional defense committees.

DIVISION A—DEPARTMENT OF DEFENSE AUTHORIZATIONS

Title I—Procurement

Subtitle A—Authorization of Appropriations

Sec. 101. Army.

Sec. 102. Navy and Marine Corps.

Sec. 103. Air Force.

Sec. 104. Defense-wide activities.

Sec. 105. National Guard and Reserve equipment.

Subtitle B—Army Programs

Sec. 111. Multiyear procurement authority for M1A2 Abrams System Enhancement Package vehicles.

Sec. 112. Multiyear procurement authority for M2A3 Bradley Fighting Vehicles, M3A3 Cavalry Fighting Vehicles, and M2A3 Bradley Fire Support Team Vehicles.

Sec. 113. Multiyear procurement authority for conversion of CH-47D helicopters to CH-47F configuration.

Sec. 114. Multiyear procurement authority for CH-47F helicopters.

Sec. 115. Limitation on use of funds for Joint Network Node program pending certification to Congress.

Sec. 116. Prohibition on closure of Army Tactical Missile System production line pending report.

Subtitle C—Navy Programs

Sec. 121. Authority to transfer funds for submarine engineered refueling overhauls and conversions and for aircraft carrier refueling complex overhauls.

Sec. 122. Multiyear procurement authority for Virginia-class submarine program.

Sec. 123. Limitation on final assembly of VH-71 Presidential transport helicopters.

Sec. 124. Limitation on operational deployment of weapons system that uses Trident missiles converted to carry conventional payloads.

Sec. 125. Program to provide contractors with capital expenditure incentives.

Sec. 126. Limitation on use of shipbuilding and conversion, Navy, funds for employment of nonimmigrant workers.

Sec. 127. Limitation on concurrent design and construction on first ship of a shipbuilding program.

Subtitle D—Air Force Programs

Sec. 131. Limitation on retiring C-5 aircraft.

Sec. 132. Limitation on Joint Cargo Aircraft.

Sec. 133. Clarification of limitation on retirement of U-2 aircraft.

Sec. 134. Repeal of requirement to maintain retired C-130E tactical airlift aircraft.

Title II—Research, Development, Test, and Evaluation

Subtitle A—Authorization of Appropriations

Sec. 201. Authorization of appropriations.

Sec. 202. Amount for defense science and technology.

Subtitle B—Program Requirements, Restrictions, and Limitations

Sec. 211. Operational test and evaluation of Future Combat Systems network.

Sec. 212. Limitation on systems development and demonstration of Joint Light Tactical Vehicle program.

Sec. 213. Requirement to obligate funds for development and procurement of a competitive propulsion system for the Joint Strike Fighter.

Sec. 214. Limitation on use of funds for manufacturing science and technology program.

Subtitle C—Ballistic Missile Defense

Sec. 221. Oversight of Missile Defense Agency programs by Director of Operational Test and Evaluation.

Sec. 222. Fielding of ballistic missile defense capabilities and future roles and missions of Missile Defense Agency.

Sec. 223. Limitation on use of funds for replacing warhead on SM-3 Block IIA missile.

Sec. 224. Two-year extension of Comptroller General assessments of ballistic missile defense programs.

Sec. 225. Independent study on deploying missile defense system in Europe.

Sec. 226. Sense of Congress concerning full support for development and fielding of a layered ballistic missile defense.

Subtitle D—Other Matters

Sec. 231. Responsibility for human systems integration activities.

Sec. 232. Expansion of authority for encouragement of technology transfer.

Sec. 233. Army Venture Capital Fund demonstration.

Sec. 234. Independent tests for combat helmet pad suspension systems.

Sec. 235. Report on implementation of Manufacturing Technology Program.

Sec. 236. Assessment of sufficiency of test and evaluation personnel.

Sec. 237. Repeal of requirement for separate reports on technology area review and assessment summaries.

Title III—Operation and Maintenance

Subtitle A—Authorization of Appropriations

Sec. 301. Operation and maintenance funding.

Sec. 302. Working capital funds.

Sec. 303. Other Department of Defense Programs.

Subtitle B—Environmental Provisions

Sec. 311. Reimbursement of Environmental Protection Agency for certain costs in connection with Moses Lake Wellfield Superfund Site, Moses Lake, Washington.

Sec. 312. Reimbursement of Environmental Protection Agency for certain costs in connection with Arctic Surplus Superfund Site, Fairbanks, Alaska.

Sec. 313.  Payment to Environmental Protection Agency of stipulated penalty in connection with Jackson Park Housing Complex, Washington.

Subtitle C—Workplace and Depot Issues

Sec. 321. Increase in threshold amount for contracts for procurement of capital assets in advance of availability of working-capital funds for the procurement.

Sec. 322. Authorization of availability of working-capital funds for certain product improvements.

Sec. 323. Authorization of use of working-capital funds for acquisition of certain items.

Sec. 324. Modification to public-private competition requirements before conversion to contractor performance.

Sec. 325. Public-private competition at end of period specified in performance agreement not required.

Sec. 326. Guidelines on insourcing new and contracted out functions.

Sec. 327. Additional requirements for annual report on public-private competitions.

Sec. 328. Restriction on Office of Management and Budget influence over Department of Defense public-private competitions.

Sec. 329. Bid Protests by Federal Employees in actions under Office of Management Budget Circular A-76.

Sec. 330. Public-private competition required before conversion to contractor performance.

Subtitle D—Extension of Program Authorities

Sec. 331. Extension of Arsenal Support Program Initiative.

Sec. 332. Extension of period for reimbursement for helmet pads purchased by members of the Armed Forces deployed in contingency operations.

Subtitle E—Reports

Sec. 341. Inclusion of National Guard readiness for civil support missions in quarterly personnel and unit readiness report.

Sec. 342. Plan to improve readiness of active and reserve component ground forces.

Sec. 343. Plan for optimal use of strategic ports by commander of Surface Distribution and Deployment Command.

Sec. 344. Independent assessment of Civil Reserve Air Fleet viability.

Sec. 345. Annual report on prepositioned materiel and equipment.

Sec. 346. Conditions on relocation of North American Aerospace Defense command center and related functions from Cheyenne Mountain to Peterson Air Force Base.

Sec. 347. Report on public-private partnerships.

Subtitle F—Other Matters

Sec. 351. Increase in threshold amount for contracts for procurement of capital assets in advance of availability of working-capital funds for the procurement.

Sec. 352. Authority for Department of Defense to provide support for certain sporting events.

Sec. 353. Reasonable restrictions on payment of full replacement value for lost or damaged personal property transported at Government expense.

Sec. 354. Priority transportation on Department of Defense aircraft of retired members residing in Commonwealths and possessions of the United States for certain health care services.

Sec. 355. Recovery of missing military property.

Sec. 356. Retention of Army combat uniforms by members of Army deployed in support of contingency operations.

Sec. 357. Issue of serviceable material other than to Armed Forces.

Sec. 358. Prohibition on deactivation of 36th Rescue Flight.

Sec. 359. Limitation on expenditure of funds for initial flight screening at Pueblo Memorial Airport.

Sec. 360. Reauthorization and modification of multi-trades demonstration project.

Title IV—Military Personnel Authorizations

Subtitle A—Active Forces

Sec. 401. End strengths for active forces.

Sec. 402. Revision in permanent active duty end strength minimum levels.

Sec. 403. Additional authority for increases of Army and Marine Corps active duty end strengths for fiscal years 2009 and 2010.

Sec. 404. Increase in authorized strengths for Army officers on active duty in the grade of major.

Sec. 405. Increase in authorized strengths for Navy officers on active duty in the grades of lieutenant commander, commander, and captain.

Subtitle B—Reserve Forces

Sec. 411. End strengths for Selected Reserve.

Sec. 412. End strengths for Reserves on active duty in support of the reserves.

Sec. 413. End strengths for military technicians (dual status).

Sec. 414. Fiscal year 2008 limitation on number of non-dual status technicians.

Sec. 415. Maximum number of reserve personnel authorized to be on active duty for operational support.

Sec. 416. Future authorizations and accounting for certain reserve component personnel authorized to be on active duty or full-time National Guard duty to provide operational support.

Sec. 417. Revision of variances authorized for Selected Reserve end strengths.

Subtitle C—Authorization of Appropriations

Sec. 421. Military personnel.

Sec. 422. Armed Forces Retirement Home.

Sec. 423. Offsetting transfers from National Defense Stockpile Transaction Fund.

Title V—Military Personnel Policy

Subtitle A—Officer Personnel Policy

Sec. 501. Assignment of officers to designated positions of importance and responsibility.

Sec. 502. Increase in years of commissioned service threshold for discharge of probationary officers and for use of force shaping authority.

Sec. 503. Special promotion authority for Navy career military professors.

Subtitle B—Reserve Component Matters

Sec. 511. Mandatory separation of Reserve officers in the grade of lieutenant general or vice admiral after completion of 38 years of commissioned service.

Sec. 512. Constructive service credit upon original appointment of reserve officers in certain health care professions.

Sec. 513. Maximum period of temporary Federal recognition of person as Army National Guard officer or Air Force Reserve officer.

Sec. 514. Military technicians (dual status) in the Selected Reserve.

Sec. 515. Working group on reintegration of reserve component members returning from deployment.

Sec. 516. National Guard yellow ribbon reintegration program.

Sec. 517. Advance notice to members of reserve components of deployment in support of contingency operations.

Subtitle C—Education and Training

Sec. 521. Reduction or elimination of service obligation in an Army Reserve or Army National Guard troop program unit for certain persons selected as medical students at Uniformed Services University of the Health Sciences.

Sec. 522. Increase in annual limit on number of ROTC scholarships under Army Reserve and Army National Guard program.

Sec. 523. Revisions to authority to pay tuition for off-duty training or education.

Sec. 524. National Defense University master’s degree programs.

Sec. 525. Recodification in title 38, United States Code, of certain educational assistance programs for members of the reserve components.

Sec. 526. Secretary of Defense evaluation of the adequacy of the degree-granting authorities of certain military universities and educational institutions.

Sec. 527. Navy Junior Reserve Officers’ Training Corps unit for Southold, Mattituck, and Greenport high schools.

Subtitle D—General Service Authorities

Sec. 531. Authority to reduce required service obligation for initial appointment of qualified health professionals as officers in critical specialties.

Sec. 532. Reenlistment in former enlisted grade after service as an officer.

Subtitle E—Military Justice and Legal Assistance Matters

Sec. 541. Authority to designate certain civilian employees of the Federal Government as eligible for legal assistance from Department of Defense legal staff resources.

Subtitle F—Decorations and Awards

Sec. 551. Authorization and request for award of Medal of Honor to Leslie H. Sabo, Jr., for acts of valor during the Vietnam War.

Sec. 552. Authorization and request for award of Medal of Honor to Henry Svehla for acts of valor during the Korean War.

Sec. 553. Authorization and request for award of Medal of Honor to Woodrow W. Keeble for acts of valor during the Korean War.

Sec. 554. Authorization and request for award of Medal of Honor to Private Philip G. Shadrach for acts of valor during the Civil War.

Sec. 555. Authorization and request for award of Medal of Honor to Private George D. Wilson for acts of valor as one of Andrews Raiders during the Civil War.

Sec. 556. Cold War Victory Medal.

Subtitle G—Impact Aid and Defense Dependents Education System

Sec. 561. Tuition assistance for military dependents in overseas areas where schools operated by Defense Dependents' Education System are not reasonably available.

Sec. 562. Continuation of authority to assist local educational agencies that benefit dependents of members of the Armed Forces and Department of Defense civilian employees.

Subtitle H—Other Matters

Sec. 571. Extension of authority to accept gifts, devises, or bequests to benefit members of the Armed Forces, dependents, and civilian employees of the Department of Defense.

Sec. 572. Uniform performance policies for military bands and other musical units.

Sec. 573. Repeal of limitation on number of academies of Department of Defense STARBASE Program in a single State.

Sec. 574. Combat veterans mentoring program for current members of the Armed Forces.

Sec. 575. Recognition of members of the Monuments, Fine Arts, and Archives program of the Civil Affairs and Military Government Sections of the Armed Forces during and following World War II.

Sec. 576. Program to commemorate 50th anniversary of the Vietnam War.

Title VI—Compensation and Other Personnel Benefits

Subtitle A—Pay and Allowances

Sec. 601. Fiscal year 2008 increase in military basic pay.

Sec. 602. Basic allowance for housing for reserve component members without dependents who attend accession training while maintaining a primary residence.

Sec. 603. Income replacement payments for reserve component members experiencing extended and frequent mobilization for active duty service.

Sec. 604. Participation of members of the uniformed services in Thrift Savings Plan.

Sec. 605. Enhancement of referral bonus to encourage service in the Army.

Sec. 606. Guaranteed pay increase for members of the Armed Forces of one-half of one percentage point higher than Employment Cost Index.

Subtitle B—Bonuses and Special and Incentive Pays

Sec. 611. Extension of certain bonus and special pay authorities for reserve forces.

Sec. 612. Extension of certain bonus and special pay authorities for health care professionals.

Sec. 613. Extension of special pay and bonus authorities for nuclear officers.

Sec. 614. Extension of authorities relating to payment of other bonuses and special pays.

Sec. 615. Increase in incentive special pay and multiyear retention bonus for medical officers.

Sec. 616. Increase in dental officer additional special pay.

Sec. 617. Definition of sea duty for career sea pay to include multi-crew ships.

Sec. 618. Reenlistment bonus for members of the Selected Reserve.

Sec. 619. Availability of Selected Reserve accession bonus for persons who previously served in the Armed Forces for a short period.

Sec. 620. Availability of nuclear officer continuation pay for officers with more than 26 years of commissioned service.

Sec. 621. Waiver of years-of-service limitation on receipt of critical skills retention bonus.

Sec. 622. Accession bonus for participants in the Armed Forces Health Professional Scholarship and Financial Assistance Program.

Sec. 623. Payment of assignment incentive pay for Reserve members serving in combat zone for more than 22 months.

Sec. 624. Increase in maximum monthly rate of hardship duty pay.

Subtitle C—Travel and Transportation Allowances

Sec. 631. Allowance for participation in Reserve screening conducted through electronic means.

Sec. 632. Allowance for civilian clothing for members of the Armed Forces traveling in connection with medical evacuation.

Sec. 633. Moving expenses for JROTC instructors who agree to serve in hard-to-fill positions.

Sec. 634. Transportation of additional motor vehicle of members on change of permanent station to or from nonforeign areas outside the continental United States.

Sec. 635. Payment of inactive duty training travel costs for certain Selected Reserve members.

Subtitle D—Retired Pay and Survivor Benefits

Sec. 641. Disregarding periods of confinement of member in determining benefits for dependents who are victims of abuse by the member.

Sec. 642. Continuation of authority for members of the Armed Forces to designate a recipient for a portion of the death gratuity.

Sec. 643. Recoupment of annuity amounts previously paid, but subject to offset for dependency and indemnity compensation.

Sec. 644. Special survivor indemnity allowance for persons affected by required Survivor Benefit Plan annuity offset for dependency and indemnity compensation.

Sec. 645. Expansion of combat-related special compensation eligibility for chapter 61 military retirees with fewer than 20 years of creditable service.

Subtitle E—Commissary and Nonappropriated Fund Instrumentality Benefits

Sec. 651. Access to Defense Commissary and Exchange System by surviving spouse and dependents of certain disabled veterans.

Sec. 652. Authority to continue commissary and exchange benefits for certain involuntarily separated members of the Armed Forces.

Sec. 653. Authorization of installment deductions from pay of employees of executive branch instrumentalities to collect indebtedness to the United States.

Subtitle F—Consolidation of Special Pay, Incentive Pay, and Bonus Authorities

Sec. 661. Consolidation of special pay, incentive pay, and bonus authorities of the uniformed services.

Sec. 662. Transitional provisions.

Subtitle G—Other Matters

Sec. 671. Expansion of education loan repayment program for members of the Selected Reserve.

Sec. 672. Ensuring entry into United States after time abroad for permanent resident alien military spouses and children.

Sec. 673. Overseas naturalization for military spouses and children.

Title VII—Health Care Provisions

Sec. 701. Extension of prohibition on increases in certain health care costs for members of the uniformed services.

Sec. 702. Temporary prohibition on increase in copayments under retail pharmacy system of pharmacy benefits program.

Sec. 703. Fair pricing under pharmacy benefits program.

Sec. 704. Prohibition on conversion of military medical and dental positions to civilian medical and dental positions.

Sec. 705.  Establishment of Nurse Practitioner Program.

Sec. 706. Services of mental health counselors.

Sec. 707. Extension of pilot program for health care delivery.

Sec. 708. Stipend for members of Reserve Components for health care for certain dependents.

Sec. 709. Joint Pathology Center.

Sec. 710. Report on training in preservation of remains under combat or combat-related conditions.

Sec. 711. Pre- and post-deployment assessments for the purpose of determining the cognitive functioning and brain health of deployed members of the Armed Forces.

Sec. 712. Guaranteed funding for Walter Reed Army Medical Center.

Title VIII—Acquisition Policy, Acquisition Management, and Related Matters

Subtitle A—Acquisition Policy and Management

Sec. 801. Definition of commercial services.

Sec. 802. Acquisition workforce provisions.

Sec. 803. Guidance on defense procurements made through contracts of other agencies.

Sec. 804. Prohibition on procurement from beneficiaries of foreign subsidies.

Sec. 805. Prohibition on procurement from companies in violation of the Iran and Syria Nonproliferation Act.

Sec. 806. Lead systems integrators.

Sec. 807. Procurement goal for Native Hawaiian-serving institutions and Alaska Native-serving institutions.

Sec. 808. Reinvestment in domestic sources of strategic materials.

Sec. 809. Clarification of the protection of strategic materials critical to national security.

Sec. 810. Debarment of contractors convicted of criminal violations of the Arms Export Control Act.

Subtitle B—Amendments to General Contracting Authorities, Procedures, and Limitations

Sec. 811. Change to the Truth in Negotiations Act exception for the acquisition of a commercial item.

Sec. 812. Clarification of submission of cost or pricing data on noncommercial modifications of commercial items.

Sec. 813. Plan for restricting Government-unique contract clauses on commercial contracts.

Sec. 814. Extension of authority for use of simplified acquisition procedures for certain commercial items.

Sec. 815. Extension of authority to fill shortage category positions for certain federal acquisition positions.

Sec. 816. Extension of authority to carry out certain prototype projects.

Sec. 817. Clarification of limited acquisition authority for special operations command.

Sec. 818. Exemption of special operations command from certain requirements for contracts relating to vessels, aircraft, and combat vehicles.

Sec. 819. Provision of authority to maintain equipment to unified combatant command for joint warfighting.

Subtitle C—Accountability in Contracting

Sec. 821. Limitation on length of noncompetitive contracts.

Sec. 822. Maximizing fixed-price procurement contracts.

Sec. 823. Public disclosure of justification and approval documents for noncompetitive contracts.

Sec. 824. Disclosure of Government contractor audit findings.

Sec. 825. Study of acquisition workforce.

Sec. 826. Report to Congress.

Subtitle D—Contracts relating to Iraq and Afghanistan

Sec. 831. Memorandum of understanding on matters relating to contracting.

Sec. 832. Comptroller General reviews and reports on contracting in Iraq and Afghanistan.

Sec. 833. Definitions.

Sec. 834. Competition for equipment supplied to Iraq and Afghanistan.

Subtitle E—Other Matters

Sec. 841. Rapid Commercial Information Technology Identification Demonstration Project.

Sec. 842. Report to Congress required on delays in major phases of acquisition process for major automated information system programs.

Sec. 843. Requirement for licensing of certain military designations and likenesses of weapons systems to toy and hobby manufacturers.

Sec. 844. Change in grounds for waiver of limitation on service contract to acquire military flight simulator.

Sec. 845. Evaluation of cost of compliance with requirement to buy certain articles from American sources.

Sec. 846. Requirements relating to waivers of certain domestic source limitations.

Sec. 847. Multiple cost threshold breaches.

Sec. 848. Phone cards.

Sec. 849. Jurisdiction under Contract Disputes Act of 1978 over claims, disputes, and appeals arising out of maritime contracts.

Sec. 850. Clarification of jurisdiction of the United States district courts to hear bid protest disputes involving maritime contracts.

Title IX—Department of Defense Organization and Management

Subtitle A—Department of Defense Management

Sec. 901. Additional requirements relating to limitation on major Department of Defense headquarters activities personnel.

Sec. 902. Flexibility to adjust the number of deputy chiefs and assistant chiefs.

Sec. 903. Change in eligibility requirements for appointment to Department of Defense leadership positions.

Sec. 904. Revisions in functions and activities of special operations command.

Sec. 905. Redesignation of the Department of the Navy as the Department of the Navy and Marine Corps.

Sec. 906. Management system of the Department of Defense.

Sec. 907. Acquisition parity for Special Operations Command.

Sec. 908. Department of Defense Board of Actuaries.

Subtitle B—Space Activities

Sec. 911. Space protection policy and strategy.

Sec. 912. Biennial report on management of space cadre within the Department of Defense.

Subtitle C—Chemical Demilitarization Program

Sec. 921. Chemical demilitarization citizens advisory commissions.

Sec. 922. Sense of Congress on completion of destruction of United States chemical weapons stockpile.

Subtitle D—Intelligence-Related Matters

Sec. 931. Reports on foreign language proficiency.

Sec. 932. Technical amendments to title 10, United States Code, arising from enactment of the Intelligence Reform and Terrorism Prevention Act of 2004.

Subtitle E—Roles and Missions Analysis

Sec. 941. Analysis and organization of roles and missions of Department of Defense.

Sec. 942. Identification of core competencies of the military departments and other entities within the Department of Defense.

Sec. 943. Review of capabilities of the military departments and other entities.

Sec. 944. Joint Requirements Oversight Council additional duties relating to core mission areas.

Sec. 945. Requirement for certification of major systems prior to technology development.

Sec. 946. Presentation of future-years mission budget by core mission area.

Sec. 947. Future capability planning by Joint Requirements Oversight Council.

Subtitle F—Other Matters

Sec. 951. Department of Defense consideration of effect of climate change on Department facilities, capabilities, and missions.

Sec. 952. Interagency policy coordination.

Sec. 953. Expansion of employment creditable under service agreements under National Security Education Program.

TItle X—General Provisions

Subtitle A—Financial Matters

Sec. 1001. General transfer authority.

Sec. 1002. United States contribution to NATO common-funded budgets in fiscal year 2008.

Subtitle B—Policy Relating to Vessels and Shipyards

Sec. 1011. Limitation on leasing of foreign-built vessels.

Sec. 1012. Policy relating to major combatant vessels of the strike forces of the United States Navy.

Subtitle C—Counter-Drug Activities

Sec. 1021. Extension of authority for joint task forces to provide support to law enforcement agencies conducting counter-terrorism activities.

Subtitle D—Reports

Sec. 1031. Extension and modification of report relating to hardened and deeply buried targets.

Sec. 1032. Comptroller General review of the Joint Improvised Explosive Device Defeat Organization.

Sec. 1033. Report on a national joint modeling and simulation development strategy.

Subtitle E—Other Matters

Sec. 1041. Enhancement of corrosion control and prevention functions within Department of Defense.

Sec. 1042. Support by National Guard for national special security events and other critical national security activities.

Sec. 1043. Improved authority to provide rewards for assistance in combating terrorism.

Sec. 1044. Revision of proficiency flying definition.

Sec. 1045. Support for non-Federal development and testing of material for chemical agent defense.

Sec. 1046. Congressional Commission on the Strategic Posture of the United States.

Sec. 1047. Technical and clerical amendments.

Sec. 1048. Repeal of certification requirement.

Sec. 1049. Prohibition on sale by Department of Defense of parts for F–14 fighter aircraft.

Sec. 1050. Maintenance of capability for space-based nuclear detection.

Sec. 1051. Additional weapons of mass destruction civil support teams.

Sec. 1052. Sense of Congress regarding need to replace Army M109 155mm self-propelled howitzer.

Sec. 1053. Sense of Congress regarding detainees at Naval Station, Guantanamo Bay, Cuba.

Sec. 1054. Repeal of provisions in section 1076 of Public Law 109–364 relating to use of Armed Forces in major public emergencies.

Title XI—Civilian Personnel Matters

Sec. 1101. Compensation for Federal wage system employees for certain travel hours.

Sec. 1102. Special benefits for civilian employees assigned on deployment temporary change of station.

Sec. 1103. Accumulation of annual leave by senior level employees.

Sec. 1104. Travel compensation for wage grade personnel.

Sec. 1105. Death gratuity authorized for Federal employees.

Sec. 1106. Modifications to the National Security Personnel System.

Sec. 1107. Annuity commencing dates.

Sec. 1108. Flexibility in setting pay for employees who move from a Department of Defense or Coast Guard nonappropriated fund instrumentality position to a position in the General Schedule pay system.

Sec. 1109. Transportation of dependents, household effects, and personal property to former home following death of Federal employee where death resulted from disease or injury incurred in a combat zone.

Sec. 1110. Use of leave transfer program by wounded veterans who are Federal employees.

Sec. 1111. Requirement for full implementation of personnel demonstration project.

Title XII—Matters relating to foreign nations

Subtitle A—Assistance and training

Sec. 1201. Military-to-military contacts and comparable activities.

Sec. 1202. Authority for support of military operations to combat terrorism.

Sec. 1203. Medical care and temporary duty travel expenses for liaison officers of certain foreign nations.

Sec. 1204. Extension and expansion of Department of Defense authority to participate in multinational military centers of excellence.

Sec. 1205. Reauthorization of Commanders’ Emergency Response Program.

Sec. 1206. Expansion of program to build the capacity of foreign military forces to include Pakistan’s other security forces.

Sec. 1207. Authority to provide assistance to foreign nations to assist in recovery and accounting activities for missing United States Government personnel.

Sec. 1208. Authority to provide automatic identification system data on maritime shipping to foreign countries and international organizations.

Sec. 1209. Report on foreign assistance-related programs, projects, and activities carried out by the Department of Defense.

Subtitle B—Matters relating to Iraq

Sec. 1221. Modification of authorities relating to the Special Inspector General for Iraq Reconstruction.

Sec. 1222. Continuation of prohibition on establishment of permanent military installations in Iraq or United States control over oil resources of Iraq.

Sec. 1223. Report on Department of Defense efforts to build the capacity of the Government of Iraq to carry out reconstruction activities in Iraq.

Sec. 1224. Report on implementation of Multi-National Forces–Iraq/United States Embassy Baghdad Joint Campaign Plan and efforts to achieve political reform in Iraq.

Sec. 1225. Report on training of the Iraqi Security Forces.

Sec. 1226. Sense of Congress on responsibilities of the Iraqi Council of Representatives to enact laws to achieve political reform and diminish support for the insurgency in Iraq.

Subtitle C—Matters relating to Afghanistan

Sec. 1231. Special Inspector General for Afghanistan Reconstruction.

Sec. 1232. Report on progress toward security and stability in Afghanistan.

Sec. 1233. Report on progress of the Department of Defense’s counter-narcotics program for Afghanistan.

Sec. 1234. United States plan for sustaining the Afghanistan National Security Forces.

Subtitle D—Other matters

Sec. 1241. Cooperative research and development agreements: NATO organizations; allied and friendly foreign countries.

Sec. 1242. Extension of Counterproliferation Program Review Committee.

Sec. 1243. Sense of Congress concerning the Western Hemisphere Institute for Security Cooperation.

Sec. 1244. Sense of Congress concerning the strategic military capabilities and intentions of the People’s Republic of China.

Title XIII—Cooperative Threat Reduction with States of the Former Soviet Union

Sec. 1301. Specification of Cooperative Threat Reduction programs and funds.

Sec. 1302. Funding allocations.

Sec. 1303. New initiatives for the Cooperative Threat Reduction Program.

Sec. 1304. Requirements relating to chemical weapons destruction at Shchuch’ye, Russia.

Sec. 1305. Repeal of restrictions on Cooperative Threat Reduction Program.

Sec. 1306. Authority to use Cooperative Threat Reduction funds outside the former Soviet Union.

Title XIV—Wounded Warrior Assistance

Sec. 1401. Definitions.

Subtitle A—Improved Assistance for Wounded Warriors

Sec. 1411. Improvements to medical and dental care for members of the Armed Forces assigned to hospitals in an outpatient status.

Sec. 1412. Establishment of a Department of Defense-wide Ombudsman Office.

Sec. 1413. Establishment of toll-free hot line for reporting deficiencies in medical-related support facilities and expedited response to reports of deficiencies.

Sec. 1414. Notification to Congress of hospitalization of combat wounded service members.

Sec. 1415. Independent medical advocate for members before medical evaluation boards.

Sec. 1416. Training and workload for physical evaluation board liaison officers.

Sec. 1417. Standardized training program and curriculum for Department of Defense disability evaluation system.

Sec. 1418. Improved training for health care professionals, medical care case managers, and service member advocates on particular conditions of recovering service members.

Sec. 1419. Pilot program to establish an Army Wounded Warrior Battalion at an appropriate active duty base.

Sec. 1420. Criteria for removal of member from temporary disability retired list.

Sec. 1421. Improved transition of members of the Armed Forces to Department of Veterans Affairs upon retirement or separation.

Sec. 1422. Establishment of Medical Support Fund for support of members of the Armed Forces returning to military service or civilian life.

Sec. 1423. Oversight Board for Wounded Warriors.

Sec. 1424. Option for members of reserve components to use military medical treatment facilities closest to home for certain injuries.

Sec. 1425. Plans and research for reducing post traumatic stress disorder.

Subtitle B—Studies and Reports

Sec. 1431. Annual report on military medical facilities.

Sec. 1432. Access of recovering service members to adequate outpatient residential facilities.

Sec. 1433. Evaluation and report on Department of Defense and Department of Veterans Affairs disability evaluation systems.

Sec. 1434. Study and report on support services for families of recovering service members.

Sec. 1435. Report on traumatic brain injury classifications.

Sec. 1436. Evaluation of the Polytrauma Liaison Officer/Non-Commissioned Officer Program.

Sec. 1437. Study and report on standard soldier patient tracking system.

Sec. 1438. Study and report on waiting periods for appointments at Department of Veterans Affairs medical facilities.

Subtitle C—General Provisions

Sec. 1451. Moratorium on conversion to contractor performance of Department of Defense functions at military medical facilities.

Sec. 1452. Prohibition on transfer of resources from medical care.

Sec. 1453. Increase in physicians at hospitals of the Department of Veterans Affairs.

Title XV—Authorization of Additional Appropriations for Operation Iraqi Freedom and Operation Enduring Freedom

Sec. 1501. Purpose and statement of congressional policy.

Sec. 1502. Army procurement.

Sec. 1503. Navy and Marine Corps procurement.

Sec. 1504. Air Force procurement.

Sec. 1505. Joint Improvised Explosive Device Defeat Fund.

Sec. 1506. Defense-wide activities procurement.

Sec. 1507. Research, development, test, and evaluation.

Sec. 1508. Operation and maintenance.

Sec. 1509. Working capital funds.

Sec. 1510. Other Department of Defense programs.

Sec. 1511. Iraq Freedom Fund.

Sec. 1512. Iraq Security Forces Fund.

Sec. 1513. Afghanistan Security Forces Fund.

Sec. 1514. Military personnel.

Sec. 1515. Authorized Army construction and land acquisition projects.

Sec. 1516. Authorized Navy construction and land acquisition projects.

Sec. 1517. Treatment as additional authorizations.

Title XVI—National Guard Enhancement

Sec. 1601. Short title.

Subtitle A—National Guard Bureau

Sec. 1611. Enhancement of duties and position of Chief of the National Guard Bureau.

Sec. 1612. Establishment of National Guard Bureau as joint activity of Department of Defense.

Sec. 1613. Enhancement of functions of National Guard Bureau.

Sec. 1614. Requirement for Secretary of Defense to prepare annual plan for response to natural disasters and terrorist events.

Sec. 1615. Determination of Department of Defense civil support requirements.

Sec. 1616. Conforming and clerical amendments.

Subtitle B—Additional Reserve Component Enhancement

Sec. 1621. United States Northern Command.

Sec. 1622. Council of Governors.

Sec. 1623. Reserve Policy Board.

Sec. 1624. Requirements for certain high-level positions to be held by reserve component general or flag officers.

Sec. 1625. Retirement age and years of service limitations on certain reserve general and flag officers.

Sec. 1626. Additional reporting requirements relating to National Guard equipment.

Title XVII—Defense Readiness Production Board

Sec. 1701. Purpose.

Sec. 1702. Establishment of Defense Readiness Production Board.

Sec. 1703. Defense Production Industry Advisory Council.

Sec. 1704. Role of Chairman of Board in certain reporting processes.

Sec. 1705. Authority to use multiyear contracts.

Sec. 1706. Transfer authority.

Sec. 1707. Special authority for use of working capital funds for critical readiness requirements.

Sec. 1708. Strategic Readiness Fund.

DIVISION B—MILITARY CONSTRUCTION AUTHORIZATIONS

Sec. 2001. Short title.

Title XXI—Army

Sec. 2101. Authorized Army construction and land acquisition projects.

Sec. 2102. Family housing.

Sec. 2103. Improvements to military family housing units.

Sec. 2104. Authorization of appropriations, Army.

Sec. 2105. Modification of authority to carry out certain fiscal year 2006 project.

Title XXII—Navy

Sec. 2201. Authorized Navy construction and land acquisition projects.

Sec. 2202. Family housing.

Sec. 2203. Improvements to military family housing units.

Sec. 2204. Authorization of appropriations, Navy.

Sec. 2205. Repeal of authorization for construction of Navy Outlying Landing Field, Washington County, North Carolina.

Title XXIII—Air Force

Sec. 2301. Authorized Air Force construction and land acquisition projects.

Sec. 2302. Family housing.

Sec. 2303. Improvements to military family housing units.

Sec. 2304. Authorization of appropriations, Air Force.

Sec. 2305. Modification of authority to carry out certain fiscal year 2006 project.

Title XXIV—Defense Agencies

Sec. 2401. Authorized Defense Agencies construction and land acquisition projects.

Sec. 2402. Energy conservation projects.

Sec. 2403. Authorized base closure and realignment activities funded through Department of Defense Base Closure Account 2005.

Sec. 2404. Authorization of appropriations, Defense Agencies.

Title XXV—North Atlantic Treaty Organization Security Investment program

Sec. 2501. Authorized NATO construction and land acquisition projects.

Sec. 2502. Authorization of appropriations, NATO.

Title XXVI—Guard and Reserve Forces Facilities

Sec. 2601. Authorized Guard and Reserve construction and land acquisition projects.

Title XXVII—Expiration and Extension of Authorizations

Sec. 2701. Expiration of authorizations and amounts required to be specified by law.

Sec. 2702. Extension of authorizations of certain fiscal year 2005 projects.

Sec. 2703. Extension of authorizations of certain fiscal year 2004 projects.

Sec. 2704. Effective date.

Title XXVIII—Military Construction General Provisions

Subtitle A—Military Construction Program and Military Family Housing Changes

Sec. 2801. Temporary authority to support revitalization of Department of Defense laboratories through unspecified minor military construction projects.

Sec. 2802. Increased threshold for congressional notification of leases for military family housing facilities in foreign countries.

Sec. 2803. Limitation on use of alternative authority for acquisition and improvement of military housing for privatization of temporary lodging facilities.

Sec. 2804. Expansion of authority to exchange reserve component facilities.

Sec. 2805. Extension of authority to accept cash equalization payments for reserve component facility exchanges.

Sec. 2806. Authority to use operation and maintenance funds for construction projects outside the United States.

Subtitle B—Real Property and Facilities Administration

Sec. 2811. Continued consolidation of real property provisions without substantive change.

Sec. 2812. Cooperative agreement authority for management of cultural resources on certain sites outside military installations.

Sec. 2813. Agreements to limit encroachments and other constraints on military training, testing, and operations.

Sec. 2814. Expansion to all military departments of Army pilot program for purchase of certain municipal services for military installations.

Sec. 2815. Retention of proceeds from enhanced use leases at Selfridge Air National Guard Base.

Sec. 2816. Prohibition on commercial flights into Selfridge Air National Guard Base.

Subtitle C—Base Closure and Realignment

Sec. 2821. Transfer of funds from Department of Defense Base Closure Account 2005 to Department of Defense Housing Funds.

Subtitle D—Land Conveyances

Sec. 2831. Conditions on acquisition of land for expansion of Pinon Canyon Maneuver Site, Colorado.

Sec. 2832. Grant of easement, Eglin Air Force Base, Florida.

Sec. 2833. Land conveyance, Lynn Haven Fuel Depot, Lynn Haven, Florida.

Sec. 2834. Additional conditions on lease of property for headquarters facility for United States Southern Command, Florida.

Sec. 2835. Transfer of jurisdiction, former Nike missile site, Grosse Isle, Michigan.

Sec. 2836. Land Exchange, Fort Hood, Texas.

Sec. 2837. Exchange of jurisdiction over real property involving Fort Belvoir, Virginia.

Sec. 2838. Modification of conveyance authority, Marine Corps Base, Camp Pendleton, California.

Subtitle E—Energy Security

Sec. 2851. Repeal of congressional notification requirement regarding cancellation ceiling for Department of Defense energy savings performance contracts.

Sec. 2852. Report on opportunities for leveraging funds of the Department of Defense and States to prevent disruption in event of electric grid or pipeline failures.

Subtitle F—Other Matters

Sec. 2861. Revised deadline for transfer of Arlington Naval Annex to Arlington National Cemetery.

Sec. 2862. Transfer of jurisdiction over Air Force Memorial to Department of the Air Force.

Sec. 2863. Establishment of national military working dog teams monument on suitable military installation.

Sec. 2864. Naming housing facility at Fort Carson, Colorado, in honor of the Honorable Joel Hefley, a former member of the United States House of Representatives.

Sec. 2865. Naming Navy and Marine Corps Reserve Center at Rock Island, Illinois, in honor of the Honorable Lane Evans, a former member of the United States House of Representatives.

Sec. 2866. Naming of research laboratory at Air Force Rome Research Site, Rome, New York, in honor of the Honorable Sherwood L. Boehlert, a former member of the United States House of Representatives.

Sec. 2867. Naming of administration building at Joint Systems Manufacturing Center, Lima, Ohio, in honor of the Honorable Michael G. Oxley, a former member of the United States House of Representatives.

Sec. 2868. Naming of Logistics Automation Training Facility, Army Quartermaster Center and School, Fort Lee, Virginia, in honor of General Richard H. Thompson.

DIVISION C—DEPARTMENT OF ENERGY NATIONAL SECURITY AUTHORIZATIONS AND OTHER AUTHORIZATIONS

Title XXXI—Department of Energy National Security Programs

Subtitle A—National Security Programs Authorizations

Sec. 3101. National Nuclear Security Administration.

Sec. 3102. Defense environmental cleanup.

Sec. 3103. Other defense activities.

Sec. 3104. Defense nuclear waste disposal.

Subtitle B—Program Authorizations, Restrictions, and Limitations

Sec. 3111. Study on using existing pits for the Reliable Replacement Warhead program.

Sec. 3112. National Nuclear Security Administration study on nuclear weapons complex protective forces.

Sec. 3113. Report on retirement and dismantlement of nuclear warheads.

Sec. 3114. Assessment of security risks posed to nuclear weapons complex.

Sec. 3115. Department of Energy report on plan to strengthen and expand International Radiological Threat Reduction program.

Sec. 3116. Department of Energy report on plan to strengthen and expand Materials Protection, Control, and Accounting program.

Sec. 3117. Authority to use International Nuclear Materials Protection and Cooperation program funds outside the former Soviet Union.

Sec. 3118. Increased authority for ombudsman under Energy Employees Occupational Illness Compensation Program.

Title XXXII—Defense Nuclear Facilities Safety Board

Sec. 3201. Authorization.

Title XXXIII—National Defense Stockpile

Sec. 3301. Authorized uses of National Defense Stockpile funds.

Sec. 3302. Revisions to required receipt objectives for previously authorized disposals from the national defense stockpile.

Title XXXIV—Naval Petroleum Reserves

Sec. 3401. Authorization of appropriations.

Title XXXV—Maritime Administration

Sec. 3501. Authorization of appropriations for fiscal year 2008.

Sec. 3502. Temporary authority to transfer obsolete combatant vessels to Navy for disposal.

3.

Congressional defense committees

For purposes of this Act, the term congressional defense committees has the meaning given that term in section 101(a)(16) of title 10, United States Code.

A

DEPARTMENT OF DEFENSE AUTHORIZATIONS

I

Procurement

Subtitle A—Authorization of Appropriations

Sec. 101. Army.

Sec. 102. Navy and Marine Corps.

Sec. 103. Air Force.

Sec. 104. Defense-wide activities.

Sec. 105. National Guard and Reserve equipment.

Subtitle B—Army Programs

Sec. 111. Multiyear procurement authority for M1A2 Abrams System Enhancement Package vehicles.

Sec. 112. Multiyear procurement authority for M2A3 Bradley Fighting Vehicles, M3A3 Cavalry Fighting Vehicles, and M2A3 Bradley Fire Support Team Vehicles.

Sec. 113. Multiyear procurement authority for conversion of CH-47D helicopters to CH-47F configuration.

Sec. 114. Multiyear procurement authority for CH-47F helicopters.

Sec. 115. Limitation on use of funds for Joint Network Node program pending certification to Congress.

Sec. 116. Prohibition on closure of Army Tactical Missile System production line pending report.

Subtitle C—Navy Programs

Sec. 121. Authority to transfer funds for submarine engineered refueling overhauls and conversions and for aircraft carrier refueling complex overhauls.

Sec. 122. Multiyear procurement authority for Virginia-class submarine program.

Sec. 123. Limitation on final assembly of VH-71 Presidential transport helicopters.

Sec. 124. Limitation on operational deployment of weapons system that uses Trident missiles converted to carry conventional payloads.

Sec. 125. Program to provide contractors with capital expenditure incentives.

Sec. 126. Limitation on use of shipbuilding and conversion, Navy, funds for employment of nonimmigrant workers.

Sec. 127. Limitation on concurrent design and construction on first ship of a shipbuilding program.

Subtitle D—Air Force Programs

Sec. 131. Limitation on retiring C-5 aircraft.

Sec. 132. Limitation on Joint Cargo Aircraft.

Sec. 133. Clarification of limitation on retirement of U-2 aircraft.

Sec. 134. Repeal of requirement to maintain retired C-130E tactical airlift aircraft.

A

Authorization of Appropriations

101.

Army

Funds are hereby authorized to be appropriated for fiscal year 2008 for procurement for the Army as follows:

(1)

For aircraft, $3,928,139,000.

(2)

For missiles, $2,114,902,000.

(3)

For weapons and tracked combat vehicles, $3,311,117,000.

(4)

For ammunition, $2,238,176,000.

(5)

For other procurement, $11,465,456,000.

(6)

For the Joint Improvised Explosive Device Defeat Fund, $500,000,000.

102.

Navy and Marine Corps

(a)

Navy

Funds are hereby authorized to be appropriated for fiscal year 2008 for procurement for the Navy as follows:

(1)

For aircraft, $12,750,767,000.

(2)

For weapons, including missiles and torpedoes, $3,058,387,000.

(3)

For shipbuilding and conversion, $15,744,120,000.

(4)

For other procurement, $5,443,612,000.

(b)

Marine Corps

Funds are hereby authorized to be appropriated for fiscal year 2008 for procurement for the Marine Corps in the amount of $2,580,257,000.

(c)

Navy and Marine Corps Ammunition

Funds are hereby authorized to be appropriated for fiscal year 2008 for procurement of ammunition for the Navy and the Marine Corps in the amount of $1,060,484,000.

103.

Air Force

Funds are hereby authorized to be appropriated for fiscal year 2008 for procurement for the Air Force as follows:

(1)

For aircraft, $12,356,270,000.

(2)

For ammunition, $868,917,000.

(3)

For missiles, $5,138,002,000.

(4)

For other procurement, $15,441,762,000.

104.

Defense-wide activities

Funds are hereby authorized to be appropriated for fiscal year 2008 for Defense-wide procurement in the amount of $3,537,834,000.

105.

National Guard and Reserve equipment

Funds are hereby authorized to be appropriated for fiscal year 2008 for the procurement of aircraft, missiles, wheeled and tracked combat vehicles, tactical wheeled vehicles, ammunition, other weapons, and other procurement for the reserve components of the Armed Forces in the amount of $1,131,850,000.

B

Army Programs

111.

Multiyear procurement authority for M1A2 Abrams System Enhancement Package vehicles

(a)

Authority

The Secretary of the Army may, in accordance with section 2306b of title 10, United States Code, enter into a multiyear contract, beginning with the fiscal year 2008 program year, for procurement of M1A2 Abrams System Enhancement Package vehicles.

(b)

Limitation on term of contract

Notwithstanding subsection (k) of section 2306b of title 10, United States Code, a contract under this section may not be for a period in excess of five program years.

112.

Multiyear procurement authority for M2A3 Bradley Fighting Vehicles, M3A3 Cavalry Fighting Vehicles, and M2A3 Bradley Fire Support Team Vehicles

(a)

Authority

The Secretary of the Army may, in accordance with section 2306b of title 10, United States Code, enter into a multiyear contract, beginning with the fiscal year 2008 program year, for procurement of M2A3 Bradley Fighting Vehicles, M3A3 Cavalry Fighting Vehicles, and M2A3 Bradley Fire Support Team Vehicles.

(b)

Limitation on term of contract

Notwithstanding subsection (k) of section 2306b of title 10, United States Code, a contract under this section may not be for a period in excess of four program years.

113.

Multiyear procurement authority for conversion of CH-47D helicopters to CH-47F configuration

(a)

Authority

The Secretary of the Army may, in accordance with section 2306b of title 10, United States Code, enter into a multiyear contract, beginning with the fiscal year 2008 program year, for conversion of CH-47D helicopters to the CH-47F configuration.

(b)

Limitation on term of contract

Notwithstanding subsection (k) of section 2306b of title 10, United States Code, a contract under this section may not be for a period in excess of five program years.

114.

Multiyear procurement authority for CH-47F helicopters

(a)

Authority

The Secretary of the Army may, in accordance with section 2306b of title 10, United States Code, enter into a multiyear contract, beginning with the fiscal year 2008 program year, for procurement of CH-47F helicopters.

(b)

Limitation on term of contract

Notwithstanding subsection (k) of section 2306b of title 10, United States Code, a contract under this section may not be for a period in excess of five program years.

115.

Limitation on use of funds for Joint Network Node program pending certification to Congress

Of the amounts authorized to be appropriated for fiscal year 2008 for Other Procurement, Army, that are available for the Joint Network Node program, not more than 50 percent may be obligated or expended until the Secretary of the Army submits to the congressional defense committees the Secretary’s certification, in writing, that—

(1)

the Joint Network Node program is a program of record in accordance with Department of Defense Instruction 5000.2, Operation of the Defense Acquisition System, dated May 12, 2003;

(2)

the Director of Operational Test and Evaluation has approved a plan for an operational test and evaluation of the Joint Network Node system; and

(3)

the Army plans to procure all future lots of equipment for the Joint Network Node program through a competitive bid process.

116.

Prohibition on closure of Army Tactical Missile System production line pending report

(a)

Prohibition

Amounts appropriated pursuant to the authorization of appropriations in section 101(2) for missiles, Army, and in section 1502(4) for missile procurement, Army, and any other appropriated funds available to the Secretary of the Army may not be used to commence, continue, or complete the closure of the production line for the Army Tactical Missile System program until at least 120 days after the date on which the Secretary of the Army submits to the congressional defense committees a report that contains—

(1)

the certification of the Secretary that the long range surface-to-surface strike and counter battery mission of the Army can be adequately performed by other elements of the Armed Forces;

(2)

a plan to mitigate any shortfalls in the industrial base that would be created by the closure of the production line; and

(3)

a plan to replace the Army’s capability to perform long range surface-to-surface strike and counter battery missions.

(b)

Submission of report

The report referred to in subsection (a) is required not later than April 1, 2008.

C

Navy Programs

121.

Authority to transfer funds for submarine engineered refueling overhauls and conversions and for aircraft carrier refueling complex overhauls

(a)

In general

Chapter 633 of title 10, United States Code, is amended by adding at the end the following:

7317.

Transfer of funds for submarine engineered refueling overhauls and conversions and for aircraft carrier refueling complex overhauls

(a)

Authority

From amounts made available to the Department of Defense for fiscal year 2008 or any fiscal year thereafter, the Secretary of Defense may transfer, to the account for procurement, Navy, for shipbuilding and conversion, such amounts as the Secretary determines necessary to cover the costs of submarine engineered refueling overhauls and conversions or aircraft carrier refueling complex overhauls. Amounts so transferred shall be merged with and be available for the same purposes and for the same time period as the appropriation to which transferred. This transfer authority is in addition to any other transfer authority available to the Secretary.

(b)

Determination

The authority under this section may be exercised only where the Secretary determines that the transfer of funds is required because of the discovery, during the overhaul or conversion concerned, of unanticipated and emergent maintenance or repair.

(c)

Notification

A transfer may be made under this section if—

(1)

the Secretary determines that the overhaul or conversion concerned can be completed, so as to return the submarine or aircraft carrier to a full operational status, with that transfer; and

(2)

the Secretary submits to the congressional defense committees a written notification of the determination required by subsection (b) and the determination required by paragraph (1), together with explanations of the basis for each such determination.

(d)

Limitation of $20,000,000

An overhaul or conversion may receive one or more transfers under this section, but may not receive more than $20,000,000 in such transfers, regardless of fiscal year.

.

(b)

Clerical amendment

The table of sections at the beginning of such chapter is amended by adding at the end the following new item:

7317. Transfer of funds for submarine engineered refueling overhauls and conversions and for aircraft carrier refueling complex overhauls.

.

122.

Multiyear procurement authority for Virginia-class submarine program

(a)

Authority

The Secretary of the Navy may, in accordance with section 2306b of title 10, United States Code, enter into multiyear contracts, beginning with the fiscal year 2008 program year, for the procurement of Virginia-class submarines and Government-furnished equipment associated with the Virginia-class submarine program.

(b)

Limitation

The Secretary may not enter into a contract authorized by subsection (a) until—

(1)

the Secretary submits to the congressional defense committees a certification that the Secretary has made, with respect to that contract, each of the findings required by subsection (a) of section 2306(b) of title 10, United States Code; and

(2)

a period of 30 days has elapsed after the date of the transmission of such certification.

123.

Limitation on final assembly of VH-71 Presidential transport helicopters

(a)

In general

No funds appropriated pursuant to an authorization of appropriations or otherwise made available for aircraft procurement, Navy, may be obligated or expended for the final assembly of more than five VH-71 Presidential transport helicopters.

(b)

Exception

The limitation in subsection (a) does not apply to a helicopter if the final assembly of the helicopter is carried out in the United States.

124.

Limitation on operational deployment of weapons system that uses Trident missiles converted to carry conventional payloads

(a)

Limitation

No funds appropriated or otherwise available to the Department of Defense for fiscal year 2008 may be obligated or expended for operational deployment of a weapons system that uses Trident missiles converted to carry conventional payloads.

(b)

Notification

Within 30 days after the date on which the Secretary of Defense determines that the weapons system referred to in subsection (a) is fully functional and that fielding the weapons system is necessary to meet military requirements, the Secretary shall submit to the congressional defense committees notification, in writing, of that determination.

125.

Program to provide contractors with capital expenditure incentives

(a)

In general

From amounts made available for procurement, Navy, for shipbuilding and conversion, for fiscal year 2008 or any fiscal year thereafter, the Secretary of the Navy may carry out a program under which the Secretary provides contractors with capital expenditure incentives to support investment in facilities and process improvements for current and future Navy vessel construction contracts.

(b)

Use of funds

Amounts provided to a contractor under the program may be used for improvements that benefit any one or more of the shipbuilding programs in the contractor’s facilities.

(c)

Analysis required

Amounts may be provided to a contractor under the program only if the contractor presents a proposal containing a fully supported analysis that demonstrates that the investment would lead to ship construction or life cycle savings to the Federal Government by—

(1)

improvements in design, material, technology, or manufacturing process;

(2)

investing in shipyard infrastructure that would support construction process improvement;

(3)

investing in specialized workforce training, including apprenticeship training programs; or

(4)

investing in construction process that would reduce life cycle maintenance costs of the vessels under construction at the contractor’s facilities.

(d)

Approval

The Secretary shall not provide amounts to a contractor under the program unless the Secretary determines that—

(1)

the analysis contained in the proposal is sound; and

(2)

providing those amounts is in the best interests of the United States.

(e)

Demonstration of savings to the Federal Government

The Secretary shall not provide amounts to a contractor under the program unless the Secretary and the contractor, as part of the approval process for a proposal, agree to measures, benchmarks, and recoupment provisions in the event the investment fails to demonstrate savings to the Federal Government.

(f)

Report

At the end of each fiscal year, beginning with fiscal year 2008, the Secretary shall submit to the congressional defense committees a report on the activities carried out under this section during that fiscal year. The report shall describe each incentive approved during that fiscal year and, for each such incentive, include an estimate of the costs of providing the incentive and an analysis of the potential savings to the Federal Government from the investment.

(g)

Regulations

The Secretary shall prescribe regulations to carry out this section. The initial regulations shall be prescribed not later than 180 days after the date of the enactment of this Act.

126.

Limitation on use of shipbuilding and conversion, Navy, funds for employment of nonimmigrant workers

(a)

Limitation on the use of funds

(1)

In general

Except as provided in subsection (c), funds appropriated or otherwise available to the Department of Defense for Shipbuilding and Conversion, Navy, for fiscal year 2008 or any fiscal year thereafter may not be used for the purpose of ship construction at the facility of a contractor who, for the purposes of United States Navy ship construction, employs or contracts for foreign workers who are legally present in the United States under a H2B visa.

(2)

Contractors covered

Paragraph (1) applies to prime contractors and subcontracts at any tier under such contracts.

(b)

Analysis of shipyard labor

(1)

In general

The Assistant Secretary of the Navy for Research, Development, and Acquisition shall maintain a five-year forecast of potential labor surplus, by shipyard, for each of the shipyards that construct ships for the Navy based on the Navy’s annual naval vessel construction plan required by section 231 of title 10, United States Code.

(2)

Inclusion in plan

The forecast required by paragraph (1) shall be included in each plan submitted in accordance with section 231 of title 10, United States Code.

(c)

Exception for shortage of United States workers

The Secretary of the Navy may waive the restriction in subsection (a) for a contractor for a fiscal year if the contractor certifies to the Secretary for that fiscal year that—

(1)

the contractor has fully complied with all existing laws and regulations regarding labor certifications in support of an application for alien employment via the H2B visa process;

(2)

a Department of Labor regional certifying officer has issued a determination approving such an application, in accordance with existing laws and regulations; and

(3)

the contractor has attempted to recruit United States shipyard workers in the geographical area surrounding shipyards identified in the most recent Navy annual naval vessel construction plan as having potential labor surpluses, in a manner that is consistent with procedures which shall be prescribed by the Secretary and that—

(A)

is appropriate for the occupation;

(B)

offers, at a minimum, the same transportation and housing benefits to be offered to alien employees; and

(C)

is most likely to bring responses.

127.

Limitation on concurrent design and construction on first ship of a shipbuilding program

(a)

In general

For any shipbuilding program that is a major defense acquisition program under section 2430 of title 10, United States Code, the start of construction of a first ship (as defined in subsection (b)) may not occur until the Secretary of the Navy certifies to the congressional defense committees that the detailed design of the ship is completed and approved by the relevant design certification agents, to a level determined by the Secretary to be acceptable for commencement of construction, via a report described in subsection (d).

(b)

First ship

For purposes of subsection (a), a ship is a first ship if—

(1)

the ship is the first ship to be constructed under that shipbuilding program;

(2)

the shipyard at which the ship is to be constructed has not previously started construction on a ship under that shipbuilding program; or

(3)

the ship is the first ship to be constructed following a major design change, characterized as a change in flight, under that shipbuilding program.

(c)

Start of construction

For purposes of subsection (a), start of construction means the beginning of fabrication of the hull and superstructure of the ship.

(d)

Report

The Secretary of the Navy shall provide the certification required by subsection (a) in a report that provides an assessment of each of the following:

(1)

The degree of completion of the detailed design drawings and specifications for the ship.

(2)

The readiness of the shipyard facilities and workforce to begin construction.

(3)

The maturity level of research and development efforts of any new technologies that will be used in the ship’s command and control systems, weapons systems, sensor systems, mechanical or electrical systems, or hull.

(4)

The ability to meet cost and schedule estimates within the applicable program baseline.

(e)

Applicability

(1)

New shipbuilding programs

This section applies to each shipbuilding program beginning after the date of the enactment of this Act.

(2)

Major design changes for existing shipbuilding programs

In addition, subsection (b)(3) applies to any major design change occurring after the date of the enactment of this Act to any shipbuilding program in existence as of the date of the enactment of this Act.

D

Air Force Programs

131.

Limitation on retiring C-5 aircraft

(a)

Certification and cost analysis required

The Secretary of the Air Force may not proceed with a decision to retire C-5A aircraft from the inventory of the Air Force in any number that would reduce the total number of such aircraft in the inventory below 111 until 45 days after the Secretary of the Air Force submits to the congressional defense committees the following:

(1)

The Secretary’s certification that—

(A)

the Secretary is able to comply with subsection (g) of section 8062 of title 10, United States Code; and

(B)

retiring the aircraft will not significantly increase operational risk of not meeting the National Military Strategy.

(2)

A cost analysis with respect to the aircraft to be retired that—

(A)

evaluates which alternative is more prudent in meeting strategic airlift mobility requirements—

(i)

to retire the aircraft; or

(ii)

to perform the Avionics Modernization Program (AMP) and the Reliability Enhancement and Re-engining Program (RERP) on the aircraft; and

(B)

evaluates the cost of C-17 aircraft to replace the capability of the aircraft to be retired.

(b)

Additional requirements for cost analysis

The cost analysis required by subsection (a)(2) shall be performed by a Federally Funded Research and Development Center selected by the Air Force and shall conform to the following requirements:

(1)

The cost analysis shall include one analysis that uses constant year dollars and one analysis that uses then year dollars.

(2)

For each such analysis, the time period covered by the analysis shall be the expected service life of the aircraft concerned.

(3)

For each such analysis, the ownership costs evaluated shall include costs for—

(A)

planned technology insertions or upgrades over the service life of the aircraft to meet emerging requirements;

(B)

research and development;

(C)

testing;

(D)

procurement;

(E)

production;

(F)

production termination;

(G)

operations;

(H)

training;

(I)

maintenance;

(J)

sustainment;

(K)

military construction;

(L)

personnel;

(M)

cost of replacement due to attrition; and

(N)

disposal.

(4)

The cost analysis shall include each of the following:

(A)

An assessment of the quality of each cost analysis.

(B)

A discussion of each of the following:

(i)

The assumptions used.

(ii)

The benefits to be realized from each alternative.

(iii)

Adverse impacts to be realized from each alternative.

(iv)

Cargo capacity, operational availability, departure reliability, and mission capability.

(v)

Aircraft basing.

(vi)

Aircrew ratios and associated training requirements.

(vii)

Performing AMP and RERP on only C-5B and C5C aircraft.

(C)

A summary table that compares and contrasts each alternative with respect to each of the requirements of this subsection.

(c)

Conforming repeal

Section 132 of the National Defense Authorization Act for Fiscal Year 2004 (Public Law 108–136; 117 Stat. 1411) is repealed.

132.

Limitation on Joint Cargo Aircraft

No funds appropriated pursuant to an authorization of appropriations or otherwise made available for procurement, or for research, development, test, and evaluation, may be obligated or expended for the Joint Cargo Aircraft until 30 days after the Secretary of Defense submits to the congressional defense committees each of the following:

(1)

The Air Force Air Mobility Command's Airlift Mobility Roadmap.

(2)

The Department of Defense Intra-Theater Airlift Capabilities Study.

(3)

The Department of Defense Joint Intra-Theater Distribution Assessment.

(4)

The Joint Cargo Aircraft Functional Area Series Analysis.

(5)

The Joint Cargo Aircraft Analysis of Alternatives.

(6)

The Secretary’s certification that—

(A)

there is, within the Department of the Army, Department of the Air Force, Army National Guard, or Air National Guard, a capability gap or shortfall with respect to intra-theater airlift; and

(B)

validated requirements exist to fill that gap or shortfall through procurement of the Joint Cargo Aircraft.

133.

Clarification of limitation on retirement of U-2 aircraft

Section 133(b) of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109–364; 120 Stat. 2112) is amended—

(1)

in paragraph (1)—

(A)

by striking After fiscal year 2007 and inserting For each fiscal year after fiscal year 2007; and

(B)

by inserting after Secretary of Defense the following: , in that fiscal year,; and

(2)

in paragraph (2)—

(A)

by inserting after Department of Defense the following: in a fiscal year; and

(B)

by inserting after Congress the following: in that fiscal year.

134.

Repeal of requirement to maintain retired C-130E tactical airlift aircraft

Section 137(b) of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109–364; 120 Stat. 2114) is repealed.

II

Research, Development, Test, and Evaluation

Subtitle A—Authorization of Appropriations

Sec. 201. Authorization of appropriations.

Sec. 202. Amount for defense science and technology.

Subtitle B—Program Requirements, Restrictions, and Limitations

Sec. 211. Operational test and evaluation of Future Combat Systems network.

Sec. 212. Limitation on systems development and demonstration of Joint Light Tactical Vehicle program.

Sec. 213. Requirement to obligate funds for development and procurement of a competitive propulsion system for the Joint Strike Fighter.

Sec. 214. Limitation on use of funds for manufacturing science and technology program.

Subtitle C—Ballistic Missile Defense

Sec. 221. Oversight of Missile Defense Agency programs by Director of Operational Test and Evaluation.

Sec. 222. Fielding of ballistic missile defense capabilities and future roles and missions of Missile Defense Agency.

Sec. 223. Limitation on use of funds for replacing warhead on SM-3 Block IIA missile.

Sec. 224. Two-year extension of Comptroller General assessments of ballistic missile defense programs.

Sec. 225. Independent study on deploying missile defense system in Europe.

Sec. 226. Sense of Congress concerning full support for development and fielding of a layered ballistic missile defense.

Subtitle D—Other Matters

Sec. 231. Responsibility for human systems integration activities.

Sec. 232. Expansion of authority for encouragement of technology transfer.

Sec. 233. Army Venture Capital Fund demonstration.

Sec. 234. Independent tests for combat helmet pad suspension systems.

Sec. 235. Report on implementation of Manufacturing Technology Program.

Sec. 236. Assessment of sufficiency of test and evaluation personnel.

Sec. 237. Repeal of requirement for separate reports on technology area review and assessment summaries.

A

Authorization of Appropriations

201.

Authorization of appropriations

Funds are hereby authorized to be appropriated for fiscal year 2008 for the use of the Department of Defense for research, development, test, and evaluation as follows:

(1)

For the Army, $10,082,498,000.

(2)

For the Navy, $17,333,601,000.

(3)

For the Air Force, $25,738,960,000.

(4)

For Defense-wide activities, $20,141,264,000, of which $180,264,000 is authorized for the Director of Operational Test and Evaluation.

202.

Amount for defense science and technology

(a)

Fiscal year 2008

Of the amounts authorized to be appropriated by section 201, $11,504,291,000 shall be available for the Defense Science and Technology Program, including basic research, applied research, and advanced technology development projects.

(b)

Basic research, applied research, and advanced technology development defined

For purposes of this section, the term basic research, applied research, and advanced technology development means work funded in program elements for defense research and development under Department of Defense budget activity 1, 2, or 3.

B

Program Requirements, Restrictions, and Limitations

211.

Operational test and evaluation of Future Combat Systems network

(a)

Operational test and evaluation required

The Secretary of the Army, in cooperation with the Director, Operational Test and Evaluation, shall complete an operational test and evaluation (as defined in section 139(a)(2)(A) of title 10, United States Code), of the FCS network in a realistic environment simulating operational conditions. The operational test and evaluation shall—

(1)

be conducted and approved by the Director, Operational Test and Evaluation;

(2)

be conducted using production representative equipment, sensors, and software for the FCS network;

(3)

be conducted in a manner that simulates a full Future Combat Systems brigade;

(4)

be conducted, to the maximum extent possible, using actual communications equipment instead of computer simulations;

(5)

be conducted in a realistic operational electronic warfare environment, including enemy electronic warfare and network attacks; and

(6)

include, to the maximum extent possible, all sensor information feeds the FCS network is designed to incorporate.

(b)

FCS network defined

In this section, the term FCS network includes all sensors, information systems, computers, and communications systems necessary to support Future Combat Systems brigade operations.

(c)

Report

Not later than 120 days after completing the operational test and evaluation required by subsection (a), the Director, Operational Test and Evaluation shall submit to the congressional defense committees a report on the outcome of the operational test and evaluation. The report shall include, at a minimum—

(1)

an evaluation of the overall operational effectiveness of the FCS network, including—

(A)

an evaluation of the FCS network’s capability to transmit the volume and classes of data required by Future Combat Systems approved requirements; and

(B)

an evaluation of the FCS network’s performance in a degraded condition due to enemy network attack, sophisticated enemy electronic warfare, adverse weather conditions, and terrain variability;

(2)

an evaluation of the FCS network’s ability to improve friendly force knowledge of the location and capability of enemy forces and combat systems; and

(3)

an evaluation of the overall operational suitability of the FCS network.

(d)

Limitation pending submission of report

(1)

In general

No funds appropriated pursuant to an authorization of appropriations or otherwise made available to the Department of the Army for any fiscal year may be obligated for low-rate initial production or full-rate production of Future Combat Systems manned ground vehicles until 60 days after the date on which the report is submitted under subsection (c).

(2)

Waiver authority

The Secretary of Defense may waive the limitation in paragraph (1) if the Secretary determines that such a waiver is critical for national security. Such a waiver shall not become effective until 14 days after the date on which the Secretary submits to the congressional defense committees a written notice of the waiver.

(3)

Inapplicability to the Non Line of Sight Cannon vehicle

The limitation in paragraph (1) does not apply to the Non Line of Sight Cannon vehicle.

212.

Limitation on systems development and demonstration of Joint Light Tactical Vehicle program

No funds appropriated pursuant to an authorization of appropriations or otherwise made available for any fiscal year may be obligated or expended for the Joint Light Tactical Vehicle program beyond the Design Readiness Review for the acquisition program phase of systems development and demonstration until after the certification for the Joint Light Tactical Vehicle program is made and submitted as required by section 2366a of title 10, United States Code, and a progress report is received for review by the congressional defense committees.

213.

Requirement to obligate funds for development and procurement of a competitive propulsion system for the Joint Strike Fighter

Of the funds appropriated pursuant to an authorization of appropriations or otherwise made available, for fiscal year 2008 or any fiscal year thereafter, for research, development, test, and evaluation and procurement for the Joint Strike Fighter program, the Secretary of Defense shall obligate sufficient annual amounts to develop and procure a competitive propulsion system for the Joint Strike Fighter in order to conduct a competitive propulsion source selection.

214.

Limitation on use of funds for manufacturing science and technology program

(a)

In general

No funds available to the Office of the Secretary of Defense for any fiscal year may be obligated or expended for a manufacturing science and technology project unless the Director, Defense Research and Engineering, ensures that—

(1)

the project is awarded using competitive procedures in accordance with section 2304 of title 10, United States Code;

(2)

the project is carried out—

(A)

under the Manufacturing Technology Program established by section 2521 of title 10, United States Code; and

(B)

in compliance with all requirements of any directive that applies to manufacturing technology; and

(3)

a technology transition agreement has been fully executed between the Director and a prospective technology user.

(b)

Definitions

In this subsection:

(1)

The term technology transition agreement means an agreement signed by officials of the Department of Defense that includes—

(A)

a description of the prospective technology user’s relevant technology needs in priority order;

(B)

a description of the minimum increment of capability that must be developed in order for the prospective technology user to consider implementing the technology;

(C)

a schedule of technology transition windows for each technology need;

(D)

a description of discrete technology deliverables that specifically identifies which user need would be fulfilled by each deliverable;

(E)

a schedule for technology deliverables that aligns with user defined technology transition opportunities; and

(F)

a commitment by the prospective technology user to program for advanced development or procurement funding, as appropriate, upon successful delivery of the technology, in accordance with the other terms of the agreement.

(2)

The term prospective technology user has the meaning given that term in section 2521(c)(6) of title 10, United States Code.

C

Ballistic Missile Defense

221.

Oversight of Missile Defense Agency programs by Director of Operational Test and Evaluation

(a)

MDA to report to OT&E

The Director of the Missile Defense Agency shall report promptly to the Director of Operational Test and Evaluation the results of—

(1)

all operational test and evaluation conducted by the Missile Defense Agency with respect to any major defense acquisition program; and

(2)

all studies conducted in connection with such operational test and evaluation.

(b)

OT&E observers at MDA tests

The Director of Operational Test and Evaluation may require that such observers as the Director of Operational Test and Evaluation may designate are present during the preparation for, and the conduct of, the test part of any test and evaluation conducted by the Missile Defense Agency with respect to any major defense acquisition program.

(c)

OT&E access to information

The Director of Operational Test and Evaluation shall have access to all information of the Department of Defense (including information of the Missile Defense Agency) that the Director considers necessary to review in order to carry out this section.

222.

Fielding of ballistic missile defense capabilities and future roles and missions of Missile Defense Agency

(a)

Availability of RDT&E funds for fiscal 2009

Upon approval by the Secretary of Defense, funds appropriated pursuant to an authorization of appropriations or otherwise made available for fiscal year 2009 for research, development, test, and evaluation for the Missile Defense Agency—

(1)

may be used for the development and fielding of ballistic missile defense capabilities; and

(2)

may not be used for operations and support activities.

(b)

Budgeting for operations and support for fiscal 2009

For fiscal year 2009, any amount in the budget submitted to Congress under section 1105(a) of title 31, United States Code, for operations and support activities for the Missile Defense Agency shall be set forth under the account of the Department of Defense for operation and maintenance, Defense-wide, and, within that account, under the subaccount (or other budget activity level) for the Missile Defense Agency.

(c)

Plan required

Not later than March 1, 2008, the Director of the Missile Defense Agency shall submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives a plan for transitioning the Missile Defense Agency from using research, development, test, and evaluation funds for missile defense fielding activities to using procurement funds for those activities where practicable.

(d)

Study required

(1)

In general

The Secretary of Defense shall enter into an agreement with one of the Federally Funded Research and Development Centers under which the Center will carry out a study to examine, and make recommendations with respect to, the long-term structure, roles, and missions of the Missile Defense Agency.

(2)

Matters included

(A)

Review

The study shall include a full review of the structure, roles, and missions of the Missile Defense Agency.

(B)

Assessments

The study shall include an examination and assessment of the current and future—

(i)

structure, roles, and missions of the Missile Defense Agency; and

(ii)

relationship of the Missile Defense Agency with—

(I)

the Office of the Under Secretary of Defense for Acquisition, Technology, and Logistics;

(II)

the Office of the Under Secretary of Defense for Policy;

(III)

the Director of Operational Test and Evaluation;

(IV)

the Commander of the United States Strategic Command and other combatant commanders; and

(V)

the military departments.

(C)

Recommendations

The study shall include recommendations as to how the Missile Defense Agency can be made more effective to support the needs of the warfighter. The recommendations shall include specific recommendations as to whether—

(i)

the Missile Defense Agency should be maintained in its current configuration;

(ii)

the scope and nature of the Missile Defense Agency should be changed from an organization focused on research and development to an organization focused on combat support; and

(iii)

the Missile Defense Agency should be abolished and its responsibilities transferred to the United States Strategic Command and the military departments.

(3)

Cooperation from government

In carrying out the study, the Federally Funded Research and Development Center shall receive the full and timely cooperation of the Secretary of Defense and any other United States Government official in providing the Center with analyses, briefings, and other information necessary for the fulfillment of its responsibilities.

(4)

Report

Not later than September 1, 2008, the Federally Funded Research and Development Center shall submit to the Committees on Armed Services of the Senate and House of Representatives a report on its findings, conclusions, and recommendations.

(5)

Funding

Funds for the study shall be provided from amounts appropriated for the Department of Defense.

223.

Limitation on use of funds for replacing warhead on SM-3 Block IIA missile

None of the funds appropriated or otherwise made available pursuant to an authorization of appropriations in this Act may be obligated or expended to replace the unitary warhead on the SM-3 Block IIA missile with the Multiple Kill Vehicle until after the Secretary of Defense certifies to Congress that—

(1)

the United States and Japan have reached an agreement to replace the unitary warhead on the SM-3 Block IIA missile; and

(2)

replacing the unitary warhead on the SM-3 Block IIA missile with the Multiple Kill Vehicle will not delay the expected deployment date of 2014-2015 for that missile.

224.

Two-year extension of Comptroller General assessments of ballistic missile defense programs

Section 232(g) of the National Defense Authorization Act for Fiscal Year 2002 (10 U.S.C. 2431 note) is amended—

(1)

in paragraph (1), by striking through 2008 and inserting through 2010; and

(2)

in paragraph (2), by striking through 2009 and inserting through 2011.

225.

Independent study on deploying missile defense system in Europe

(a)

Study required

The Secretary of Defense shall enter into an agreement with one of the Federally Funded Research and Development Centers under which the Center will carry out a study on the political, technical, operational, force structure, and budgetary implications of deploying a long-range missile defense system in Europe.

(b)

Analysis of Administration proposal

The study shall provide a full analysis of the Administration’s proposal to protect forward-deployed radars, Europe, and the United States by deploying, in Europe, interceptors and radars of the Ground-Based Midcourse Defense (GMD) system. In providing the analysis, the study shall examine each of the following:

(1)

The technical capabilities of the GMD system, as so deployed, to effectively protect forward-deployed radars, Europe, and the United States.

(2)

The political implications of such a deployment on the United States, the North Atlantic Treaty Organization, and other interested parties.

(3)

The operational issues associated with such a deployment.

(4)

The force structure implications of such a deployment.

(5)

The budgetary implications of such a deployment.

(c)

Analysis of alternatives

The study shall also provide a full analysis of alternative systems that could be deployed to fulfill, in whole or in part, the protective purposes of the Administration’s proposal. The alternative systems shall include a range of feasible combinations of other missile defense systems that are available or are expected to be available as of 2020. In providing the analysis, the study shall examine, for each alternative system included, the following:

(1)

The technical capabilities of the alternative system, as so deployed, to effectively protect forward-deployed radars, Europe, and the United States.

(2)

The political implications of such a deployment on the United States, the North Atlantic Treaty Organization, and other interested parties.

(3)

The operational issues associated with such a deployment.

(4)

The force structure implications of such a deployment.

(5)

The budgetary implications of such a deployment.

(d)

Cooperation required

In carrying out the study, the Federally Funded Research and Development Center shall receive the cooperation of the Secretary of Defense, the Secretary of State, the Director of National Intelligence, and any other United States Government official in providing the Center with analyses, briefings, and other information necessary for the fulfillment of its responsibilities.

(e)

Report

Not later than 180 days after the date of the enactment of this Act, the Federally Funded Research and Development Center shall submit to the congressional defense committees and the Secretary of Defense a report on the results of the study. The report shall be in unclassified form, but may include a classified annex.

(f)

Funding

Of the amounts appropriated or otherwise made available pursuant to the authorization of appropriations in section 201(4), $1,000,000 is available to carry out the study required by this section.

226.

Sense of Congress concerning full support for development and fielding of a layered ballistic missile defense

It is the sense of Congress that—

(1)

the development and proliferation of ballistic missile and nuclear capabilities by rogue nations continues to grow, posing a serious threat to the national security of the United States, United States military forces deployed, and United States national security interests more broadly, as demonstrated by—

(A)

the July 2006 test by North Korea of six short-range missiles and one longer-range Taepo Dong-2 missile, and the October 2006 test by North Korea of a nuclear device;

(B)

the November 2006 and January 2007 test by Iran of nearly a dozen missiles and an ongoing effort by Iran to enrich uranium;

(C)

the reported proliferation of BM-25 intermediate range ballistic missiles from North Korea to Iran; and

(D)

the reported January 2007 test by Syria of Scud-D short-range ballistic missiles;

(2)

the United States must have the capability to defend its homeland and forward-deployed military forces against the threats highlighted in paragraph (1);

(3)

the United States is committed to working with its allies to obtain the capability to defend our broader national security interests against ballistic missile threats highlighted in paragraph (1);

(4)

as specified in the John Warner National Defense Authorization Act for Fiscal Year 2007, “It is the policy of the United States that the Department of Defense accord priority within the missile defense program to the development, testing, fielding, and improvement of effective near-term missile defense capabilities, including the ground-based midcourse defense system, the Aegis ballistic missile defense system, the Patriot PAC-3 system, the Terminal High Altitude Area Defense system, and the sensors necessary to support such systems.”;

(5)

the Congress fully supports efforts by the Department of Defense to continue development, testing, and fielding of an effective, integrated, robust, layered ballistic missile defense system that is capable of intercepting ballistic missiles as described in paragraph (1) in various phases of flight;

(6)

a layered defense requires fielding components on land and sea, space-based and other sensors, along with the command and control capability that ties the various components together; and

(7)

it is in the national security interest of the United States to continue development, testing, and operations of the United States ballistic missile defense system to hedge against uncertainty in the development, test, and fielding of ballistic missile capabilities by rogue nations.

D

Other Matters

231.

Responsibility for human systems integration activities

(a)

In general

The Secretary of Defense, acting through the Under Secretary of Defense for Acquisition, Technology, and Logistics, shall coordinate and manage human systems integration activities throughout the acquisition programs of the Department of Defense.

(b)

Administration

In carrying out subsection (a), the Secretary shall—

(1)

designate a senior official to be responsible for the effort; and

(2)

supervise the planning, management, and coordination of such activities.

(c)

Responsibilities

In carrying out this section, the Secretary shall—

(1)

develop a Department of Defense Instruction, and as necessary a Department of Defense Directive, specific to human systems integration activities; and

(2)

identify and recommend, as appropriate, resource requirements for human systems integration activities.

(d)

Designation

The designation required by subsection (b)(2) shall be made not later than 60 days after the date of the enactment of this Act.

232.

Expansion of authority for encouragement of technology transfer

Section 2514(c) of title 10, United States Code, is amended—

(1)

by redesignating paragraphs (3) and (4) as paragraphs (4) and (5), respectively; and

(2)

by inserting after paragraph (2) the following:

(3)
(A)

Under the Program, the defense laboratories and research centers may, through leases, contracts, or other appropriate arrangements, provide facilities, services, and equipment to private industry in order to promote accelerated development of critical technologies and technology transfer initiatives that support the Department of Defense.

(B)

The facilities, services, and equipment provided under this paragraph shall be provided on a non-interference basis.

(C)

The defense laboratory or research center—

(i)

shall charge, accept, and retain fees in amounts necessary to recover the full costs of the facilities, services, and equipment provided, including capital improvement costs, utility and service costs, and equipment depreciation costs; and

(ii)

may charge, accept, and retain fees for providing the facilities, services, and equipment.

(D)

The defense laboratory or research center may accept payment in cash or in kind for fees charged under subparagraph (C).

(E)

Fees accepted under subparagraph (C) shall be credited to the account that was used to cover the costs for which the payment was provided. Amounts so credited shall be merged with amounts in that account, and shall be available for the same purposes, and subject to the same conditions and limitations, as other amounts in that account.

.

233.

Army Venture Capital Fund demonstration

(a)

In general

Of the amounts appropriated pursuant to the authorization of appropriations in section 201(1) or otherwise made available for research, development, test, and evaluation, Army, $10,000,000 is available for the Army Venture Capital Fund demonstration, to be used only for investment in renewable energy technologies.

(b)

Definition

For purposes of this section, the Army Venture Capital Fund demonstration is the program for which funds were initially provided in section 8150 of the Department of Defense Appropriations Act, 2002 (division A of Public Law 107–117; 115 Stat. 2281), as extended and revised in section 8105 of Department of Defense Appropriations Act, 2003 (Public Law 107–248; 116 Stat. 1562).

234.

Independent tests for combat helmet pad suspension systems

(a)

In general

From amounts made available pursuant to the authorization of appropriations in section 201(4) for research, development, test, and evaluation, Defense-wide, the Secretary of Defense shall carry out a test and evaluation of combat helmet pad suspension systems. The test and evaluation shall be carried out using verified product representative samples from the five producers of combat helmet pad suspension systems that are qualified as of the date of the enactment of this Act. The test and evaluation shall include an operational assessment of the pad suspension systems, including a field user evaluation.

(b)

Independent laboratory

The test and evaluation shall be carried out in an objective and transparent manner by a certified and qualified laboratory that is independent of the Federal Government.

(c)

Report

Not later than September 30, 2008, the Secretary shall submit to the congressional defense committees a report on the results of the test and evaluation.

235.

Report on implementation of Manufacturing Technology Program

(a)

Report required

Not later than March 1, 2008, the Secretary of Defense shall submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives a report on the implementation of the technologies and processes developed under the Manufacturing Technology Program required by section 2521 of title 10, United States Code.

(b)

Elements

The report shall identify each technology or process implemented and, for each such technology or process, shall identify—

(1)

the project of the Manufacturing Technology Program through which the technology or process was developed, the Federal and non-Federal participants in that project, and the duration of the project;

(2)

the organization or program implementing the technology or process, and the type of implementation;

(3)

the total Federal funding required to implement the technology or process, including—

(A)

funds provided by military departments and Defense Agencies under the Manufacturing Technology Program;

(B)

funds provided by the Department of Defense, or any element of the Department, to co-develop the technology or process;

(C)

to the maximum extent possible, funds provided by the Department of Defense, or any element of the Department, to—

(i)

mature the technology or process prior to transition to the Manufacturing Technology Program; and

(ii)

fully implement the technology or process;

(4)

the total value of industry cost share, if applicable; and

(5)

the total value of cost avoidance or cost savings directly attributable to the implementation of the technology or process.

(c)

Definition

For purposes of this section, the term implementation refers to—

(1)

the use of a technology or process in the manufacture of defense materiel;

(2)

the identification of a technology or process in the manufacturing baseline for a program of record that has not yet achieved full rate production; or

(3)

the use of a technology or process for the manufacture of commercial items.

(d)

Scope

The report shall include technologies or processes developed with funds appropriated or otherwise made available for Manufacturing Technology for fiscal years 2002 through 2007.

236.

Assessment of sufficiency of test and evaluation personnel

(a)

Assessment required

The Director of Operational Test and Evaluation shall assess whether the Director’s professional staff meets the requirement of section 139(j) of title 10, United States Code, that the staff be sufficient to carry out the Director’s duties and responsibilities.

(b)

Inclusion in report

The Director shall include the results of the assessment in the report, required by section 139(g) of title 10, United States Code, summarizing the operational test and evaluation activities during fiscal year 2007.

237.

Repeal of requirement for separate reports on technology area review and assessment summaries

Subsection (c) of section 253 of the National Defense Authorization Act for Fiscal Year 2006 (Public Law 109–163; 119 Stat. 3179; 10 U.S.C. 2501 note) is repealed.

III

Operation and Maintenance

Subtitle A—Authorization of Appropriations

Sec. 301. Operation and maintenance funding.

Sec. 302. Working capital funds.

Sec. 303. Other Department of Defense Programs.

Subtitle B—Environmental Provisions

Sec. 311. Reimbursement of Environmental Protection Agency for certain costs in connection with Moses Lake Wellfield Superfund Site, Moses Lake, Washington.

Sec. 312. Reimbursement of Environmental Protection Agency for certain costs in connection with Arctic Surplus Superfund Site, Fairbanks, Alaska.

Sec. 313.  Payment to Environmental Protection Agency of stipulated penalty in connection with Jackson Park Housing Complex, Washington.

Subtitle C—Workplace and Depot Issues

Sec. 321. Increase in threshold amount for contracts for procurement of capital assets in advance of availability of working-capital funds for the procurement.

Sec. 322. Authorization of availability of working-capital funds for certain product improvements.

Sec. 323. Authorization of use of working-capital funds for acquisition of certain items.

Sec. 324. Modification to public-private competition requirements before conversion to contractor performance.

Sec. 325. Public-private competition at end of period specified in performance agreement not required.

Sec. 326. Guidelines on insourcing new and contracted out functions.

Sec. 327. Additional requirements for annual report on public-private competitions.

Sec. 328. Restriction on Office of Management and Budget influence over Department of Defense public-private competitions.

Sec. 329. Bid Protests by Federal Employees in actions under Office of Management Budget Circular A-76.

Sec. 330. Public-private competition required before conversion to contractor performance.

Sec. 331. Reauthorization and modification of multi-trades demonstration project.

Subtitle D—Extension of Program Authorities

Sec. 341. Extension of Arsenal Support Program Initiative.

Sec. 342. Extension of period for reimbursement for helmet pads purchased by members of the Armed Forces deployed in contingency operations.

Subtitle E—Reports

Sec. 351. Inclusion of National Guard readiness for civil support missions in quarterly personnel and unit readiness report.

Sec. 352. Plan to improve readiness of active and reserve component ground forces.

Sec. 353. Plan for optimal use of strategic ports by commander of Surface Distribution and Deployment Command.

Sec. 354. Independent assessment of Civil Reserve Air Fleet viability.

Sec. 355. Annual report on prepositioned materiel and equipment.

Sec. 356. Conditions on relocation of North American Aerospace Defense command center and related functions from Cheyenne Mountain to Peterson Air Force Base.

Sec. 357. Report on public-private partnerships.

Subtitle F—Other Matters

Sec. 361. Authority for Department of Defense to provide support for certain sporting events.

Sec. 362. Reasonable restrictions on payment of full replacement value for lost or damaged personal property transported at Government expense.

Sec. 363. Priority transportation on Department of Defense aircraft of retired members residing in Commonwealths and possessions of the United States for certain health care services.

Sec. 364. Recovery of missing military property.

Sec. 365. Retention of Army combat uniforms by members of Army deployed in support of contingency operations.

Sec. 366. Issue of serviceable material other than to Armed Forces.

Sec. 367. Prohibition on deactivation of 36th Rescue Flight.

Sec. 368. Limitation on expenditure of funds for initial flight screening at Pueblo Memorial Airport.

A

Authorization of Appropriations

301.

Operation and maintenance funding

Funds are hereby authorized to be appropriated for fiscal year 2008 for the use of the Armed Forces and other activities and agencies of the Department of Defense for expenses, not otherwise provided for, for operation and maintenance, in amounts as follows:

(1)

For the Army, $28,868,671,000.

(2)

For the Navy, $33,138,090,000.

(3)

For the Marine Corps, $4,923,993,000.

(4)

For the Air Force, $33,393,333,000.

(5)

For Defense-wide activities, $22,732,978,000.

(6)

For the Army Reserve, $2,508,062,000.

(7)

For the Naval Reserve, $1,182,883,000.

(8)

For the Marine Corps Reserve, $208,637,000.

(9)

For the Air Force Reserve, $2,692,077,000.

(10)

For the Army National Guard, $5,845,809,000.

(11)

For the Air National Guard, $5,044,365,000.

(12)

For the United States Court of Appeals for the Armed Forces, $11,971,000.

(13)

For Environmental Restoration, Army, $434,879,000.

(14)

For Environmental Restoration, Navy, $300,591,000.

(15)

For Environmental Restoration, Air Force, $458,428,000.

(16)

For Environmental Restoration, Defense-wide, $12,751,000.

(17)

For Environmental Restoration, Formerly Used Defense Sites, $250,249,000.

(18)

For Overseas Humanitarian, Disaster, and Civic Aid programs, $103,300,000.

(19)

For Cooperative Threat Reduction programs, $398,000,000.

(20)

For the Overseas Contingency Operations Transfer Fund, $5,000,000.

302.

Working capital funds

Funds are hereby authorized to be appropriated for fiscal year 2008 for the use of the Armed Forces and other activities and agencies of the Department of Defense for providing capital for working capital and revolving funds in amounts as follows:

(1)

For the Defense Working Capital Funds, $102,000,000.

(2)

For the National Defense Sealift Fund, $1,535,194,000.

(3)

For the Defense Working Capital Fund, Defense Commissary, $1,250,000,000.

303.

Other Department of Defense Programs

(a)

Defense health program

Funds are hereby authorized to be appropriated for the Department of Defense for fiscal year 2008 for expenses, not otherwise provided for, for the Defense Health Program, in the amount of $22,471,047,000, of which—

(1)

$21,974,304,000 is for Operation and Maintenance;

(2)

$134,482,000 is for Research, Development, Test, and Evaluation; and

(3)

$362,261,000 is for Procurement.

(b)

Chemical agents and munitions destruction, defense

(1)

Funds are hereby authorized to be appropriated for the Department of Defense for fiscal year 2008 for expenses, not otherwise provided for, for Chemical Agents and Munitions Destruction, Defense, in the amount of $1,455,724,000, of which—

(A)

$1,162,452,000 is for Operation and Maintenance;

(B)

$274,846,000 is for Research, Development, Test, and Evaluation; and

(C)

$18,426,000 is for Procurement.

(2)

Amounts authorized to be appropriated under paragraph (1) are authorized for—

(A)

the destruction of lethal chemical agents and munitions in accordance with section 1412 of the Department of Defense Authorization Act, 1986 (50 U.S.C. 1521); and

(B)

the destruction of chemical warfare materiel of the United States that is not covered by section 1412 of such Act.

(c)

Drug interdiction and counter-drug activities, defense-wide

Funds are hereby authorized to be appropriated for the Department of Defense for fiscal year 2008 for expenses, not otherwise provided for, for Drug Interdiction and Counter-Drug Activities, Defense-wide, in the amount of $936,822,000.

(d)

Defense inspector general

Funds are hereby authorized to be appropriated for the Department of Defense for fiscal year 2008 for expenses, not otherwise provided for, for the Office of the Inspector General of the Department of Defense, in the amount of $215,995,000, of which—

(1)

$214,995,000 is for Operation and Maintenance; and

(2)

$1,000,000 is for Procurement.

B

Environmental Provisions

311.

Reimbursement of Environmental Protection Agency for certain costs in connection with Moses Lake Wellfield Superfund Site, Moses Lake, Washington

(a)

Authority to reimburse

Notwithstanding section 2215 of title 10, United States Code, the Secretary of Defense may transfer not more than $91,588.51 to the Moses Lake Wellfield Superfund Site 10–6J Special Account for the purpose described in section 315(a)(2) of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 110–364; 120 Stat. 2141).

(b)

Source of Funds

Any payment under subsection (a) shall be made using funds authorized to be appropriated by section 301(16) for environmental restoration, defense-wide.

312.

Reimbursement of Environmental Protection Agency for certain costs in connection with Arctic Surplus Superfund Site, Fairbanks, Alaska

(a)

Authority to reimburse

Notwithstanding section 2215 of title 10, United States Code, the Secretary of Defense may transfer not more than $186,625.38 to the Hazardous Substance Superfund to reimburse the Environmental Protection Agency for costs incurred pursuant to the agreement known as In the Matter of Arctic Surplus Superfund Site, U.S. EPA Docket Number CERCLA–10–2003–0114: Administrative Order on Consent for Remedial Design and Remedial Action and entered into by the Department of Defense and the Environmental Protection Agency on December 11, 2003.

(b)

Source of Funds

Any payment under subsection (a) shall be made using funds authorized to be appropriated by section 301(16) for environmental restoration, defense-wide.

313.

Payment to Environmental Protection Agency of stipulated penalty in connection with Jackson Park Housing Complex, Washington

(a)

Payment required

Notwithstanding section 2215 of title 10, United States Code, the Secretary of the Navy may transfer not more than $40,000.00 to the Hazardous Substance Superfund to pay a stipulated penalty assessed by the Environmental Protection Agency on October 25, 2005, against the Jackson Park Housing Complex, Washington, for the failure of the Department of the Navy to timely submit a draft final Phase II Remedial Investigation Work Plan for the Jackson Park Housing Complex Operable Unit (OU–3T–JPHC) pursuant to a schedule included in an agreement entered into by the Department of the Navy and the Environmental Protection Agency (U.S. EPA Docket Number CERCLA–10–2005–0023).

(b)

Source of Funds

Any payment under subsection (a) shall be made using funds authorized to be appropriated by section 301(14) for environmental restoration, Navy.

C

Workplace and Depot Issues

321.

Increase in threshold amount for contracts for procurement of capital assets in advance of availability of working-capital funds for the procurement

Section 2208(k)(2) of title 10, United States Code, is amended by striking $100,000 and inserting $250,000.

322.

Authorization of availability of working-capital funds for certain product improvements

Section 2208 of title 10, United States Code, is amended by adding at the end the following new subsection:

(s)

Product improvement

(1)

An engineering service, manufacturing effort, developmental testing, or operational test and evaluation effort for product improvement of a weapon system platform, major end item, component of a major end item, or article that is financed by a working-capital fund may be performed or acquired, if—

(A)

the combined cost of the engineering services, manufacturing efforts, development testings, and operational test and evaluation efforts for the product improvements that are financed by the working-capital fund is less than $15,000,000;

(B)

the unit cost of the platform, item, component, or article is less than $1,000,000; and

(C)

the product improvement would improve the reliability and maintainability, extend the useful life, enhance safety, lower maintenance costs, provide performance enhancement, or expand the performance capability of the weapon system platform or major end item.

(2)

Funds described in paragraph (1) may be used in accordance with that paragraph for a commercial or industrial type function performed as part of a public-private partnership at the Center of Industrial and Technical Excellence designated under section 2474 of this title.

(3)

Each report submitted under subsection (q) for a working-capital fund shall include a description of any use of funds described in paragraph (1) that is financed by that working-capital fund and a description of the anticipated product improvement under subparagraph (C) of that paragraph.

.

323.

Authorization of use of working-capital funds for acquisition of certain items

Section 2208 of title 10, United States Code, as amended by section 332, is further amended by adding at the end the following new subsection:

(t)

Acquisition Threshold for Weapons System Modification, Improvement and Lifecycle Extension

(1)

Any of the following items may be provided through working-capital funds, if the item has a unit cost of not more than $500,000:

(A)

An item that is materiel for supplies or supply chain management, assemblies, spare or repair parts, modification kits, or any other item of equipment to provide maintenance, repair, or overhaul and rework.

(B)

An item for continuous technology refreshment to provide newer technologies that improve reliability and maintainability, extend the useful life, enhance safety, lower maintenance costs, provide performance enhancement, or expand the performance capability of a weapons system platform.

(2)

With respect to an item described in paragraph (1), the Secretary of each military department may increase the acquisition threshold under paragraph (1) to an amount that does not exceed $1,000,000, if the Secretary—

(A)

determines the increase is necessary to maintain core logistics capabilities required by section 2464 of this title; and

(B)

not later than 30 days after such an increase, notifies Congress of the increase and the reasons for the increase.

(3)

An item described in paragraph (1) may be an item used for a commercial- or industrial-type function performed at a Center of Industrial and Technical Excellence designated under section 2474 of this title.

.

324.

Modification to public-private competition requirements before conversion to contractor performance

(a)

Comparison of retirement system costs

Section 2461(a)(1) of title 10, United States Code is amended—

(1)

in subparagraph (F), by striking and at the end;

(2)

by redesignating subparagraph (G) as subparagraph (H); and

(3)

by inserting after subparagraph (F) the following new subparagraph (G):

(G)

requires that the contractor shall not receive an advantage for a proposal that would reduce costs for the Department of Defense by—

(i)

not making an employer-sponsored health insurance plan (or payment that could be used in lieu of such a plan), health savings account, or medical savings account, available to the workers who are to be employed to perform the function under the contract;

(ii)

offering to such workers an employer-sponsored health benefits plan that requires the employer to contribute less towards the premium or subscription share than the amount that is paid by the Department of Defense for health benefits for civilian employees of the Department under chapter 89 of title 5; or

(iii)

offering to such workers a retirement benefit that, in any year, costs less than the annual retirement cost factor applicable to civilian employees of the Department of Defense under chapter 84 of title 5; and

.

(b)

Conforming amendments

Such title is further amended—

(1)

by striking section 2467; and

(2)

in section 2461—

(A)

by redesignating subsections (b) through (d) as subsections (c) through (e); and

(B)

by inserting after subsection (a) the following new subsection (b):

(b)

Requirement to consult DOD employees

(1)

Each officer or employee of the Department of Defense responsible for determining under Office of Management and Budget Circular A-76 whether to convert to contractor performance any function of the Department of Defense—

(A)

shall, at least monthly during the development and preparation of the performance work statement and the management efficiency study used in making that determination, consult with civilian employees who will be affected by that determination and consider the views of such employees on the development and preparation of that statement and that study; and

(B)

may consult with such employees on other matters relating to that determination.

(2)
(A)

In the case of employees represented by a labor organization accorded exclusive recognition under section 7111 of title 5, consultation with representatives of that labor organization shall satisfy the consultation requirement in paragraph (1).

(B)

In the case of employees other than employees referred to in subparagraph (A), consultation with appropriate representatives of those employees shall satisfy the consultation requirement in paragraph (1).

(C)

The Secretary of Defense shall prescribe regulations to carry out this subsection. The regulations shall include provisions for the selection or designation of appropriate representatives of employees referred to in paragraph (2)(B) for purposes of consultation required by paragraph (1)

.

(c)

Technical amendments

Section 2461 of such title, as amended by subsection (a) is further amended—

(1)

in subsection (a)(1)—

(A)

in subparagraph (B), by inserting after 2003 the following: , or any successor circular; and

(B)

in subparagraph (D), by striking and reliability and inserting , reliability, and timeliness; and

(2)

in subsection (c)(2), as redesignated under subsection (b)(2), by inserting of after examination.

325.

Public-private competition at end of period specified in performance agreement not required

Section 2461(a) of title 10, United States Code, is amended by adding at the end the following new paragraph:

(4)

A public-private competition may not be required under Office of Management and Budget Circular A-76 or any other provision of law at the end of the period specified in the performance agreement for any function of the Department of Defense performed by Department of Defense civilian employees.

.

326.

Guidelines on insourcing new and contracted out functions

(a)

Codification and revision of requirement for guidelines

(1)

In general

Chapter 146 of title 10, United States Code, is amended by inserting after section 2462 the following new section:

2463.

Guidelines for use of civilian employees to perform Department of Defense functions

(a)

Guidelines required

The Under Secretary of Defense for Personnel and Readiness shall devise and implement guidelines to ensure that consideration is given to using, on a regular basis, civilian employees of the Department of Defense to perform new functions and functions that are performed by contractors and could be performed by such civilian employees. The Secretary of a military department may prescribe regulations, if the Secretary determines such regulations are necessary for implementing such guidelines within that military department.

(b)

Special consideration for certain functions

The guidelines implemented under subsection (a) shall provide for special consideration to be given to using civilian employees of the Department of Defense to perform any function that—

(1)

was performed by a civilian employee of the Department of Defense at any time on or after October 1, 1980;

(2)

is associated with the performance of an inherently governmental function (as that term is defined in section 5 of the Federal Activities Inventory Reform Act of 1998 (31 U.S.C. 501 note));

(3)

has been performed by a contractor pursuant to a contract awarded on a non-competitive basis; or

(4)

has been performed poorly by a contractor because of excessive costs or inferior quality, as determined by a contracting officer.

(c)

Exclusion of certain functions from competitions

No public-private competition may be required under this chapter for any function of the Department of Defense that—

(1)

is associated with the performance of an inherently governmental function;

(2)

has been performed by a contractor pursuant to a contract that was awarded on a noncompetitive basis, including a contract awarded without the conduct of a public-private competition under this section; or

(3)

has been performed poorly by a contractor because of excessive costs or inferior quality, as determined by a contracting officer.

(d)

Limitation on competitions for new and expanded functions

(1)

A public-private competition may not be conducted under this section for any Department of Defense function before—

(A)

the commencement of the performance by civilian employees of the Department of Defense of a new Department of Defense function;

(B)

the commencement of the performance by civilian employees of the Department of Defense of any Department of Defense function pursuant to the guidelines implemented under subsection (a);

(C)

the expansion of the scope of any Department of Defense function performed by civilian employees of the Department of Defense.

(2)

The Secretary may use the flexible hiring authority available to the Secretary under the National Security Personnel System, as established pursuant to section 9902 of title 5 to facilitate the performance by civilian employees of the Department of Defense of functions described in subsection (b).

.

(2)

Clerical amendment

The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 2462 the following new item:

2463. Guidelines for use of civilian employees to perform Department of Defense functions.

.

(3)

Deadline for issuance of guidelines

(A)

Deadline

The Secretary of Defense shall implement the guidelines required under section 2463 of title 10, United States Code, as added by paragraph (1), by not later than 60 days after the date of the enactment of this Act.

(B)

Moratorium on competitions until guidelines are implemented

No study or competition may be begun or announced pursuant to section 2461 of title 10, United States Code, or otherwise pursuant to Office of Management and Budget Circular A-76 relating to the possible conversion to performance by a contractor of any Department of Defense function until the guidelines required under section 2463 of such title, as added by paragraph (1) are implemented.

(b)

Establishment of inventory of work performed by contractors

Section 115a of title 10, United States Code is amended—

(1)

in subsection (a)—

(A)

by striking and at the end of paragraph (1);

(B)

by striking the period at the end of paragraph (2) and inserting “; and”;

(C)

by adding at the end the following new paragraph:

(3)

the estimated manpower requirements of each component of the Department of Defense projected to be met by contractor performance of Department of Defense functions and the estimated funding requirements associated with such contractor performance for the next fiscal year.

.

(2)

by adding at the end the following new subsection:

(i)

In each report, the Secretary shall include for each military department, combatant command, and major defense organization, a separate report describing contractor performance of Department of Defense functions during the preceding fiscal year. Chapter 35 of title 44 shall not apply to such report. In each such report, the Secretary shall—

(1)

specify the number of work-year equivalents performed by contractors in performing functions for each Department;

(2)

identify the contracting organization, the component of the Department of Defense administering the contract, and the organization whose requirements are being met through the contractor performance of the function, with an explanation in the event these organizational elements are distinct.

(3)

identify each organization specified under paragraph (2) at the unit level of detail, as maintained in the Department’s manpower documentation systems;

(4)

identify the funding source for the contract under which the function is performed by appropriation and operating agency, and the associated funding levels obligated and disbursed for the reported work-year equivalents;

(5)

identify the functions and missions performed by the contractor;

(6)

specify whether the contract for the function was entered into pursuant to a public-private competition; and

(7)

describe the process by which the Department of Defense validates the contractor performance of such functions under section 2463 of this title.

.

(c)

Conforming repeal

The National Defense Authorization Act for Fiscal Year 2006 (Public Law 109–163) is amended by striking section 343.

(d)

Inspector General report

Not later than 90 days after the date of the enactment of this Act, the Inspector General of the Department of Defense shall submit to the congressional defense committees a report on the implementation of this section and the amendments made by this section. The report shall contain the assessment of the Inspector General of whether—

(1)

the guidelines required under section 2463(a) of title 10, United States Code, as added by subsection (a), have been implemented;

(2)

such guidelines, if developed, conform to the requirements of that section;

(3)

a contractor inventory has been established pursuant to subsections (a)(3) and (i) of section 115a of such title, as added by subsection (b);

(4)

functions for which the performance of which the Secretary of Defense has entered into a contract are being reviewed on a regular basis for possible conversion to performance by civilian employees of the Department of Defense; and

(5)

performance by civilian employees of the Department of Defense is being considered to the maximum extent practicable for all new functions of the Department of Defense.

327.

Additional requirements for annual report on public-private competitions

Paragraph (1) of subsection (b) of section 2462 is amended by adding at the end the following new paragraphs:

(4)

For any function converted to performance by a contractor, the effect of such conversion on the quality of the performance of the function.

(5)

For any function for which a public-private competition is anticipated during any subsequent fiscal year, an assessment of whether any method of business reform or reengineering other than a public-private competition, including a decision to consolidate, restructure, or reengineer an organization, function, or activity covered under section 2475 of this title, could, if implemented in the future, achieve any anticipated or budgeted savings.

.

328.

Restriction on Office of Management and Budget influence over Department of Defense public-private competitions

(a)

Restriction on Office of Management and Budget

The Office of Management and Budget may not direct or require the Secretary of Defense or the Secretary of a military department to prepare for, undertake, continue, or complete a public-private competition or direct conversion of a Department of Defense function to performance by a contractor under Office of Management and Budget Circular A-76, or any other successor regulation, directive, or policy.

(b)

Restriction on Secretary of Defense

The Secretary of Defense or the Secretary of a military department may not prepare for, undertake, continue, or complete a public-private competition or direct conversion of a Department of Defense function to performance by a contractor under Office of Management and Budget Circular A-76, or any other successor regulation, directive, or policy by reason of any direction or requirement provided by the Office of Management and Budget.

(c)

Suspension and review of ongoing public-private competitions

(1)

Suspension

During the 90-day period that begins on the date of the enactment of this Act, the Secretary of Defense shall suspend any review or public-private competition pursuant to Office of Management and Budget Circular A-76 that is being carried out on the date of the enactment of this Act.

(2)

Review

During the 90-day period described in paragraph (1), the Secretary of Defense shall review each suspended review and public-private competition and shall determine, wholly independently and without regard to direction, guidance, encouragement, or requirement from the Office of Management and Budget, whether to cancel or continue each review or public-private competition.

(3)

Criteria for continuation

The Secretary of Defense may not continue a review or public-private competition pursuant to a determination under paragraph (2) unless the official responsible for the performance of the function and the Secretary of the military department concerned or agency head submits to the congressional defense committees a certification that the determination was made wholly independently and without regard to direction, guidance, encouragement, or requirement from the Office of Management and Budget and after considering less costly and controversial alternatives to such review or public-private competition.

329.

Bid Protests by Federal Employees in actions under Office of Management Budget Circular A-76

(a)

Eligibility to protest public-private competitions

Section 3551(2) of title 31, United States Code, is amended to read as follows:

(2)

The term interested party

(A)

with respect to a contract or a solicitation or other request for offers described in paragraph (1), means an actual or prospective bidder or offeror whose direct economic interest would be affected by the award of the contract or by failure to award the contract; and

(B)

with respect to a public-private competition conducted under Office of Management and Budget Circular A-76 with respect to the performance of an activity or function of a Federal agency, or a decision to convert a function performed by Federal employees to private sector performance without a competition under Office of Management and Budget Circular A-76, includes—

(i)

any official who submitted the agency tender in such competition; and

(ii)

any one individual who, for the purpose of representing the Federal employees engaged in the performance of the activity or function for which the public-private competition is conducted in a protest under this subchapter that relates to such public-private competition, has been designated as the agent of the Federal employees by a majority of such employees.

.

(b)

Expedited action

(1)

In general

Subchapter V of chapter 35 of such title is amended by adding at the end the following new section:

3557.

Expedited action in protests of public-private competitions

For any protest of a public-private competition conducted under Office of Management and Budget Circular A-76 with respect to the performance of an activity or function of a Federal agency, the Comptroller General shall administer the provisions of this subchapter in the manner best suited for expediting the final resolution of the protest and the final action in the public-private competition.

.

(2)

Clerical amendment

The chapter analysis at the beginning of such chapter is amended by inserting after the item relating to section 3556 the following new item:

3557. Expedited action in protests of public-private competitions.

.

(b)

Right to Intervene in Civil Action

Section 1491(b) of title 28, United States Code, is amended by adding at the end the following new paragraph:

(5)

If an interested party who is a member of the private sector commences an action described in paragraph (1) with respect to a public-private competition conducted under Office of Management and Budget Circular A-76 regarding the performance of an activity or function of a Federal agency, or a decision to convert a function performed by Federal employees to private sector performance without a competition under Office of Management and Budget Circular A-76, then an interested party described in section 3551(2)(B) of title 31 shall be entitled to intervene in that action.

.

(c)

Applicability

Subparagraph (B) of section 3551(2) of title 31, United States Code (as added by subsection (a)), and paragraph (5) of section 1491(b) of title 28, United States Code (as added by subsection (c)), shall apply to—

(1)

a protest or civil action that challenges final selection of the source of performance of an activity or function of a Federal agency that is made pursuant to a study initiated under Office of Management and Budget Circular A-76 on or after January 1, 2004; and

(2)

any other protest or civil action that relates to a public-private competition initiated under Office of Management and Budget Circular A-76, or to a decision to convert a function performed by Federal employees to private sector performance without a competition under Office of Management and Budget Circular A-76, on or after the date of the enactment of this Act.

330.

Public-private competition required before conversion to contractor performance

(a)

In general

The Office of Federal Procurement Policy Act (41 U.S.C. 403 et seq.) is amended by adding at the end the following new section:

43.

Public-private competition required before conversion to contractor performance

(a)

Public-private competition

(1)

A function of an executive agency performed by 10 or more agency civilian employees may not be converted, in whole or in part, to performance by a contractor unless the conversion is based on the results of a public-private competition that—

(A)

formally compares the cost of performance of the function by agency civilian employees with the cost of performance by a contractor;

(B)

creates an agency tender, including a most efficient organization plan, in accordance with Office of Management and Budget Circular A-76, as implemented on May 29, 2003, or any successor circular;

(C)

includes the issuance of a solicitation;

(D)

determines whether the submitted offers meet the needs of the executive agency with respect to factors other than cost, including quality, reliability, and timeliness;

(E)

examines the cost of performance of the function by agency civilian employees and the cost of performance of the function by one or more contractors to demonstrate whether converting to performance by a contractor will result in savings to the Government over the life of the contract, including—

(i)

the estimated cost to the Government (based on offers received) for performance of the function by a contractor;

(ii)

the estimated cost to the Government for performance of the function by agency civilian employees; and

(iii)

an estimate of all other costs and expenditures that the Government would incur because of the award of such a contract;

(F)

requires continued performance of the function by agency civilian employees unless the difference in the cost of performance of the function by a contractor compared to the cost of performance of the function by agency civilian employees would, over all performance periods required by the solicitation, be equal to or exceed the lesser of—

(i)

10 percent of the personnel-related costs for performance of that function in the agency tender; or

(ii)

$10,000,000; and

(G)

examines the effect of performance of the function by a contractor on the agency mission associated with the performance of the function.

(2)

A function that is performed by the executive agency and is reengineered, reorganized, modernized, upgraded, expanded, or changed to become more efficient, but still essentially provides the same service, shall not be considered a new requirement.

(3)

In no case may a function being performed by executive agency personnel be—

(A)

modified, reorganized, divided, or in any way changed for the purpose of exempting the conversion of the function from the requirements of this section; or

(B)

converted to performance by a contractor to circumvent a civilian personnel ceiling.

(b)

Requirement to consult employees

(1)

Each civilian employee of an executive agency responsible for determining under Office of Management and Budget Circular A-76 whether to convert to contractor performance any function of the executive agency—

(A)

shall, at least monthly during the development and preparation of the performance work statement and the management efficiency study used in making that determination, consult with civilian employees who will be affected by that determination and consider the views of such employees on the development and preparation of that statement and that study; and

(B)

may consult with such employees on other matters relating to that determination.

(2)
(A)

In the case of employees represented by a labor organization accorded exclusive recognition under section 7111 of title 5, consultation with representatives of that labor organization shall satisfy the consultation requirement in paragraph (1).

(B)

In the case of employees other than employees referred to in subparagraph (A), consultation with appropriate representatives of those employees shall satisfy the consultation requirement in paragraph (1).

(C)

The head of each executive agency shall prescribe regulations to carry out this subsection. The regulations shall include provisions for the selection or designation of appropriate representatives of employees referred to in paragraph (2)(B) for purposes of consultation required by paragraph (1).

(c)

Congressional notification

(1)

Before commencing a public-private competition under subsection (a), the head of an executive agency shall submit to Congress a report containing the following:

(A)

The function for which such public-private competition is to be conducted.

(B)

The location at which the function is performed by agency civilian employees.

(C)

The number of agency civilian employee positions potentially affected.

(D)

The anticipated length and cost of the public-private competition, and a specific identification of the budgetary line item from which funds will be used to cover the cost of the public-private competition.

(E)

A certification that a proposed performance of the function by a contractor is not a result of a decision by an official of an executive agency to impose predetermined constraints or limitations on such employees in terms of man years, end strengths, full-time equivalent positions, or maximum number of employees.

(2)

The report required under paragraph (1) shall include an examination of the potential economic effect of performance of the function by a contractor on—

(A)

agency civilian employees who would be affected by such a conversion in performance; and

(B)

the local community and the Government, if more than 50 agency civilian employees perform the function.

(3)
(A)

A representative individual or entity at a facility where a public-private competition is conducted may submit to the head of the executive agency an objection to the public private competition on the grounds that the report required by paragraph (1) has not been submitted or that the certification required by paragraph (1)(E) is not included in the report submitted as a condition for the public private competition. The objection shall be in writing and shall be submitted within 90 days after the following date:

(i)

In the case of a failure to submit the report when required, the date on which the representative individual or an official of the representative entity authorized to pose the objection first knew or should have known of that failure.

(ii)

In the case of a failure to include the certification in a submitted report, the date on which the report was submitted to Congress.

(B)

If the head of the executive agency determines that the report required by paragraph (1) was not submitted or that the required certification was not included in the submitted report, the function for which the public-private competition was conducted for which the objection was submitted may not be the subject of a solicitation of offers for, or award of, a contract until, respectively, the report is submitted or a report containing the certification in full compliance with the certification requirement is submitted.

(d)

Exemption for the purchase of products and services of the blind and other severely handicapped persons

This section shall not apply to a commercial or industrial type function of an executive agency that—

(1)

is included on the procurement list established pursuant to section 2 of the Javits-Wagner-O’Day Act (41 U.S.C. 47); or

(2)

is planned to be changed to performance by a qualified nonprofit agency for the blind or by a qualified nonprofit agency for other severely handicapped persons in accordance with that Act.

(e)

Inapplicability during war or emergency

The provisions of this section shall not apply during war or during a period of national emergency declared by the President or Congress.

.

(b)

Clerical amendment

The table of sections in section 1(b) of such Act is amended by adding at the end the following new item:

Sec. 43. Public-private competition required before conversion to contractor performance.

.

331.

Reauthorization and modification of multi-trades demonstration project

(a)

Reauthorization and expansion

Section 338 of the National Defense Authorization Act for Fiscal Year 2004 (10 U.S.C. 5013 note) is amended—

(1)

in subsection (a)—

(A)

by striking shall and inserting may; and

(B)

by striking three Naval Aviation Depots and inserting the Air Force Air Logistics Centers and the Navy Fleet Readiness Centers;

(2)

in subsection (b), by striking a Naval Aviation Depot and inserting an Air Force Air Logistics Center or Navy Fleet Readiness Center;

(3)

by striking subsection (d) and redesignating subsections (e) through (g) as subsections (d) through (f), respectively;

(4)

in subsection (d), as so redesignated, by striking 2004 through 2006 and inserting 2008 through 2013;

(5)

in subsection (e), as so redesignated, by striking 2007 and inserting 2014; and

(6)

by amending subsection (f), as so redesignated, to read as follows:

(f)

Annual GAO report

By not later than 30 days after the last day of a fiscal year, the Comptroller General shall submit to the congressional defense committees a report on the demonstration project under this section.

.

(b)

Clerical amendments

(1)

Heading

The heading for such section is amended to read as follows: Air Force Air Logistics Center and Navy Fleet Readiness Center multi-trades demonstration project.

(2)

Table of contents

The items relating to such section in the table of contents in section 2(b) of such Act and in the table of contents at the beginning of title III of such Act are each amended to read as follows:

Sec. 338. Air Force Logistics Center and Navy Fleet Readiness Center multi-trades demonstration project.

.

D

Extension of Program Authorities

341.

Extension of Arsenal Support Program Initiative

Section 343 of the Floyd D. Spence National Defense Authorization Act for Fiscal Year 2001 (Public Law 106–398; 10 U.S.C. 4551 note) is amended—

(1)

in subsection (a), by striking 2008 and inserting 2010; and

(2)

in subsection (g)(1), by striking 2008 and inserting 2010.

342.

Extension of period for reimbursement for helmet pads purchased by members of the Armed Forces deployed in contingency operations

(a)

Extension

Section 351 of the Ronald W. Reagan National Defense Authorization Act for Fiscal Year 2005 (Public Law 108–375; 118 Stat. 1857) is amended—

(1)

in subsection (a)(3), by inserting before the period at the end the following: , or in the case of protective helmet pads purchased by a member from a qualified vendor for that member’s personal use, on September 30, 2007;

(2)

in subsection (c)—

(A)

by inserting after Armed Forces the following: shall comply with regular Department of Defense procedures for the submission of claims and; and

(B)

by inserting before the period at the end the following: or one year after the date on which the purchase of the protective, safety, or health equipment was made, whichever occurs last; and

(3)

in subsection (d), by adding at the end the following new sentence: Subsection (a)(1) shall not apply in the case of the purchase of protective helmet pads by or on behalf of a member..

(b)

Funding

Amounts for reimbursements made under section 351 of the Ronald W. Reagan National Defense Authorization Act for Fiscal Year 2005 after the date of the enactment of this Act shall be derived from supplemental appropriations for the Department of Defense for fiscal year 2008, contingent upon such appropriations being enacted.

E

Reports

351.

Inclusion of National Guard readiness for civil support missions in quarterly personnel and unit readiness report

(a)

Inclusion

Section 482 of title 10, United States Code, is amended—

(1)

by redesignating subsection (f) as subsection (h);

(2)

by inserting after subsection (e) the following new subsections (f) and (g):

(f)

Readiness of National Guard to perform civil support missions

Each report shall also include an assessment of the readiness of the National Guard to perform tasks required to support the National Response Plan for support to civil authorities.

(g)

Availability of National Guard readiness information to States

With respect to the information required to be included in a report under subsection (f) that is relevant to the National Guard of a State, the Secretary of Defense shall make that information available to the Governor of the State.

; and

(3)

in subsection (a), by striking subsections (b), (d), and (e) and inserting subsections (b), (d), (e), and (f).

(b)

Effective date

The amendments made by subsection (a) shall apply with respect to a report submitted after the date of the enactment of this Act.

(c)

Report to Congress

As part of the budget justification materials submitted to Congress in support of the President’s budget for fiscal year 2009, the Secretary of Defense shall submit to the congressional defense committees a report on any steps the Secretary has taken to prepare to implement the requirement under subsection (f) of section 482 of title 10, United States Code, as added by subsection (a). The report shall include a description of the Secretary’s plans for assessing the personnel, equipment, and training readiness of the National Guard, including the standards and measures that will be applied and mechanisms for sharing information with State Governors.

352.

Plan to improve readiness of active and reserve component ground forces

(a)

Report required

At the same time that the budget is submitted under section 1105(a) of title 31, United States Code, for a fiscal year, the Secretary of Defense shall submit to the congressional defense committees a report on improving the readiness of the active and reserve components of the ground forces of the United States Armed Forces. Each such report shall include—

(1)

a summary of the readiness of each reporting unit of the active and reserve components of the ground forces and a summary of the readiness of each major combat unit of each military department by readiness level, as reflected in the Department of Defense status of resources and training system;

(2)

an identification of the extent to which the actual readiness ratings of the active and reserve components of the United States Armed Forces have been upgraded based on the judgment of commanders and any efforts of the Secretary of Defense to analyze the trends and implications of such upgrades;

(3)

the goals of the Secretary of Defense for managing the readiness of the active and reserve components of the ground forces, expressed in terms of the number of units or percentage of the force that the Secretary plans to maintain at each level of readiness, and the Secretary’s projected timeframe for achieving each such goal;

(4)

a prioritized list of items and actions to be accomplished during the fiscal year during which the report is submitted and during the fiscal years covered by the future years defense program that the Secretary of Defense believes are necessary to significantly improve the readiness of the active and reserve components of the ground forces and achieve the goals and timeframes described in paragraph (3); and

(5)

a detailed investment strategy and plan for each fiscal year covered by the future years defense program under section 221 of title 10, United States Code, that outlines the resources required to improve the readiness of the active and reserve components of the ground forces, including a description of how each resource identified in such plan relates to funding requested by the Secretary in the Secretary’s annual budget, and how each such resource will specifically enable the Secretary to achieve the readiness goals described in paragraph (3) within the projected timeframes.

(b)

Comptroller General review

By not later than 60 days after the date on which the report is submitted under subsection (a), the Comptroller General shall review the report and, as the Comptroller General determines appropriate, submit to the congressional defense committees any additional information that the Comptroller General determines will further inform the congressional defense committees on issues relating to the readiness of the active and reserve components of the ground forces of the United States Armed Forces.

353.

Plan for optimal use of strategic ports by commander of Surface Distribution and Deployment Command

By not later than January 30, 2008, the Secretary of Defense shall develop and implement a plan to optimize the use of strategic ports by the Surface Distribution and Deployment Command. Such plan shall—

(1)

address cost effectiveness, manning requirements, location, and maximization of utilization of resources for each strategic port; and

(2)

include—

(A)

an analysis of how each Surface Distribution and Deployment Command strategic port is chosen for the worldwide deployment and distribution of Department of Defense supplies, personal property, and personnel; and

(B)

provisions for consultation with the local port authority for any strategic port at which there is no permanent Surface Distribution and Deployment Command presence.

354.

Independent assessment of Civil Reserve Air Fleet viability

(a)

Independent assessment required

The Secretary of Defense shall provide for an independent assessment of the viability of the Civil Reserve Air Fleet to be conducted by a federally-funded research and development center selected by the Secretary.

(b)

Contents of assessment

The assessment required by subsection (a) shall include each of the following:

(1)

An assessment of the Civil Reserve Air Fleet as of the date of the enactment of this Act, including an assessment of—

(A)

the level of increased use of commercial assets to fulfill Department of Defense transportation requirements as a result of the increased global mobility requirements in response to the terrorist attacks of September 11, 2001;

(B)

the extent of charter air carrier participation in fulfilling increased Department of Defense transportation requirements as a result of the increased global mobility requirements in response to the terrorist attacks of September 11, 2001;

(C)

any policy of the Secretary of Defense to limit the percentage of income a single air carrier participating in the Civil Reserve Air Fleet may earn under contracts with the Secretary during any calendar year and the effects of such policy on the air carrier industry in peacetime and during periods during which the armed forces are deployed in support of a contingency operation for which the Civil Reserve Air Fleet is not activated; and

(D)

any risks to the charter air carrier industry as a result of the expansion of the industry in response to contingency operations resulting in increased demand by the Department of Defense.

(2)

A strategic assessment of the viability of the Civil Reserve Air Fleet that compares such viability as of the date of the enactment of this Act with the projected viability of the Civil Reserve Air Fleet five, ten, and 15 years after the date of the enactment of this Act, including for activations at each of stages 1, 2, and 3—

(A)

an examination of the requirements of the Department of Defense for Civil Reserve Air Fleet for the support of operational and contingency plans, including any anticipated changes in the Department’s organic airlift capacity, logistics concepts, and personnel and training requirements;

(B)

an assessment of air carrier participation in the Civil Reserve Air Fleet; and

(C)

a comparison between the requirements of the Department needs described in subparagraph (A) and air carrier participation described in subparagraph (B).

(3)

An examination of any perceived barriers to Civil Reserve Air Fleet viability, including—

(A)

the operational planning system of the Civil Reserve Air Fleet;

(B)

the reward system of the Civil Reserve Air Fleet;

(C)

the long-term affordability of the Aviation War Risk Insurance Program;

(D)

the effect on United States air carriers operating overseas routes during periods of Civil Reserve Air Fleet Activation;

(E)

increased foreign ownership of United States air carriers;

(F)

increased operational costs during activation as a result of hazardous duty pay, routing delays, and inefficiencies in cargo handling by the Department of Defense;

(G)

the effect of policy initiatives by the Secretary of Transportation to encourage international code sharing and alliances; and

(H)

the effect of limitations imposed by the Secretary of Defense to limit commercial shipping options for certain routes and package sizes.

(4)

Recommendations for improving the Civil Reserve Air Fleet program.

(c)

Submission to Congress

Upon the completion of the assessment required under subsection (a) and by not later than April 1, 2008, the Secretary shall submit to the congressional defense committees a report on the assessment.

(d)

Comptroller General report

Not later than 90 days after the report is submitted under subsection (c), the Comptroller General shall conduct a review of the assessment required under subsection (a).

355.

Annual report on prepositioned materiel and equipment

(a)

Annual report required

Chapter 131 of title 10, United States Code, is amended by adding at the end the following new section:

2229a.

Annual report on prepositioned materiel and equipment

(a)

Annual report required

Not later than the date of the submission of the President’s budget request for a fiscal year under section 1105 of title 31, the Secretary of Defense shall submit to the congressional defense committees a report on the status of the materiel in the prepositioned stocks as of the end of the fiscal year preceding the fiscal year during which the report is submitted. Each report shall be unclassified and may contain a classified annex. Each report shall include the following information:

(1)

The level of fill for major end items of equipment and spare parts in each prepositioned set as of the end of the fiscal year covered by the report.

(2)

The material condition of equipment in the prepositioned stocks as of the end of such fiscal year, rated based on the Department of Defense Status of Resources and Training system and grouped by category or major end item.

(3)

A list of major end items of equipment drawn from the prepositioned stocks during such fiscal year and a description of how that equipment was used and whether it was returned to the stocks after being used.

(4)

A timeline for completely reconstituting any shortfall in the prepositioned stocks.

(5)

An estimate of the amount of funds required to completely reconstitute any shortfall in the prepositioned stocks and a description of the Secretary’s plan for carrying out such complete reconstitution.

(6)

A list of any operations plan affected by any shortfall in the prepositioned stocks and a description of any action taken to mitigate any risk that such a shortfall may create.

(b)

Comptroller General review

By not later than 60 days after the date on which the report is submitted under subsection (a), the Comptroller General shall review the report and, as the Comptroller General determines appropriate, submit to the congressional defense committees any additional information that the Comptroller General determines will further inform the congressional defense on issues relating to the status of the materiel in the prepositioned stocks.

.

(b)

Clerical amendment

The table of sections at the beginning of such chapter is amended by adding at the end the following new item:

2229a. Annual report on prepositioned materiel and equipment.

.

356.

Conditions on relocation of North American Aerospace Defense command center and related functions from Cheyenne Mountain to Peterson Air Force Base

(a)

Submission of cost-benefit analysis and relocation plan

The Secretary of Defense may not commence the relocation of or, if previously commenced, continue the relocation of the North American Aerospace Defense command center and related functions from Cheyenne Mountain to Peterson Air Force Base, Colorado, until after the end of the 180-day period beginning on the date on which the Secretary submits to Congress a report containing—

(1)

an analysis comparing the total costs associated with the relocation, including costs determined as part of ongoing security-related studies of the relocation, to anticipated operational benefits from the relocation; and

(2)

the final plans for the relocation of the North American Aerospace Defense command center and related functions.

(b)

Comptroller general review

Not later than 60 days after the date on which the Secretary of Defense submits the report required by subsection (a), the Comptroller General shall submit to Congress a review of the report and the final plans of the Secretary for relocation of the North American Aerospace Defense command center and related functions.

357.

Report on public-private partnerships

(a)

Report Required

Not later than April 1, 2008, the Secretary of Defense shall submit to the Committee on Armed Services of the House of Representatives and the Committee of Armed Services of the Senate a report regarding public-private partnerships at Centers of Industrial and Technical Excellence designated under section 2474 of title 10, United States Code.

(b)

Contents of report

The report required under paragraph (1) shall include a description of each of the following:

(1)

Common approaches and procedures for the military departments regarding implementation of public-private partnerships.

(2)

Consistent cost methodologies and reimbursement guidance applicable to maintenance and repair workload performed by Federal Government personnel.

(3)

Implementation procedures for completing contract negotiations for public-private partnerships within 12 months.

(4)

The Secretary’s utilization of commercial practices to replace existing inventory and component management, technical publication data, document management, and equipment maintenance, and calibration requirements of the Department of Defense.

(5)

Delegation of Class 2 Design authority based on commercial practices to maintain the form, fit, and function of a weapon system platform, major end item, component of a major end item, or article.

(6)

The Secretary’s plan to expand Department of Defense core capabilities, as defined in section 2464 of such title.

F

Other Matters

361.

Authority for Department of Defense to provide support for certain sporting events

(a)

Provision of support

Section 2564 of title 10, United States Code, is amended—

(1)

in subsection (c), by adding at the end the following new paragraphs:

(4)

A sporting event sanctioned by the United States Olympic Committee through the Paralympic Military Program.

(5)

Any national or international paralympic sporting event (other than a sporting event described in paragraph (1) through (4))—

(A)

that—

(i)

is held in the United States or any of its territories or commonwealths;

(ii)

is governed by the International Paralympic Committee; and

(iii)

is sanctioned by the United States Olympic Committee; and

(B)

for which participation exceeds 100 amateur athletes.

; and

(2)

by adding at the end the following new subsection:

(g)

Funding for support of certain events

(1)

Amounts for the provision of support for a sporting event described in paragraph (4) or (5) of subsection (c) shall be derived from the Support for International Sporting Competitions, Defense account established by section 5802 of the Omnibus Consolidated Appropriations Act, 1997 (10 U.S.C. 2564 note), notwithstanding any limitation under that section relating to the availability of funds in such account for the provision of support for international sporting competitions.

(2)

The total amount expended for any fiscal year to provide support for sporting events described in subsection (c)(5) may not exceed $1,000,000.

.

(b)

Source of funds

Section 5802 of the Omnibus Consolidated Appropriations Act, 1997 (10 U.S.C. 2564 note) is amended—

(1)

by inserting after international sporting competitions the following: and for support of sporting competitions authorized under section 2564(c)(4) and (5), of title 10, United States Code,; and

(2)

by striking 45 days and inserting 15 days.

362.

Reasonable restrictions on payment of full replacement value for lost or damaged personal property transported at Government expense

Section 2636a(d) of title 10, United States Code, is amended by adding at the end the following new sentence: The regulations may include a requirement that a member of the armed forces or civilian employee comply with reasonable restrictions prescribed by the Secretary in order to receive the full amount deducted under subsection (b)..

363.

Priority transportation on Department of Defense aircraft of retired members residing in Commonwealths and possessions of the United States for certain health care services

(a)

Availability of transportation

Chapter 157 of title 10, United States Code, is amended by inserting after section 2641a the following new section:

2641b.

Space-available travel on Department of Defense aircraft: retired members residing in Commonwealths and possessions of the United States for certain health care services

(a)

Priority transportation

The Secretary of Defense shall provide transportation on Department of Defense aircraft on a space-available basis for any member or former member of the uniformed services described in subsection (b), and a single dependent of the member if needed to accompany the member, at a priority level in the same category as the priority level for an unaccompanied dependent over the age of 18 traveling on environmental and morale leave.

(b)

Eligible members and former members

A member or former member eligible for priority transport under subsection (a) is a covered beneficiary under chapter 55 of this title who—

(1)

is entitled to retired or retainer pay or, but for age, would be eligible for retired pay under chapter 1223 of this title;

(2)

resides in or is located in a Commonwealth or possession of the United States; and

(3)

is referred by a primary care physician located in that Commonwealth or possession to a specialty care provider for services to be provided outside of that Commonwealth or possession.

(c)

Scope of priority

The increased priority for space-available transportation required by subsection (a) applies with respect to both—

(1)

the travel from the Commonwealth or possession of the United States to receive the specialty care services; and

(2)

the return travel.

(d)

Definitions

In this section, the term specialty care provider has the meaning given that term in section 1074i(b) of this title.

.

(b)

Clerical amendment

The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 2641a the following new item:

2641b. Space-available travel on Department of Defense aircraft: retired members residing in Commonwealths and possessions of the United States for certain health care services.

.

364.

Recovery of missing military property

(a)

In general

Chapter 165 of title 10, United States Code, is amended by adding at the end the following new sections:

2788.

Property accountability: regulations

The Secretary of a military department may prescribe regulations for the accounting for the property of that department and the fixing of responsibility for that property.

2789.

Individual equipment: unauthorized disposition

(a)

Prohibition

No member of the armed forces may sell, lend, pledge, barter, or give any clothing, arms, or equipment furnished to such member by the United States to any person other than a member of the armed forces under the jurisdiction of the Secretary of the same military department as the member to which it is furnished, or an officer of the United States who is authorized to receive it.

(b)

Seizure of improperly disposed property

If a member of the armed forces has disposed of property in violation of subsection (a) and the property is in the possession of a person who is neither a member of the armed forces under the jurisdiction of the Secretary of the same military department as the member who disposed of the property, nor an officer of the United States who is authorized to receive it, that person has no right to or interest in the property, and any civil or military officer of the United States may seize the property, wherever found. Possession of such property furnished by the United States to a member of the armed forces by a person who is neither a member of the armed forces, nor an officer of the United States, is prima facie evidence that the property has been disposed of in violation of subsection (a).

(c)

Delivery of seized property

If an officer who seizes property under subsection (b) is not authorized to retain it for the United States, the officer shall deliver the property to a person who is authorized to retain it.

.

(b)

Clerical amendment

The table of sections at the beginning of such chapter is amended by adding at the end the following new items:

2788. Property accountability: regulations.

2789. Individual equipment: unauthorized disposition.

.

(c)

Conforming amendments

(1)

In general

Such title is further amended by striking the following sections:

(A)

Section 4832.

(B)

Section 4836.

(C)

Section 9832.

(D)

Section 9836.

(2)

Clerical amendments

(A)

Chapter 453

The table of sections at the beginning of chapter 453 of such title is amended by striking the items relating to sections 4832 and 4836.

(B)

Chapter 953

The table of sections at the beginning of chapter 953 of such title is amended by striking the items relating to sections 9832 and 9836.

365.

Retention of Army combat uniforms by members of Army deployed in support of contingency operations

(a)

Retention of combat uniforms

Chapter 435 of title 10, United States Code, is amended by adding at the end the following new section:

4566.

Retention of Army combat uniforms by members deployed in support of contingency operations

The Secretary of the Army may authorize a member of the Army who has been deployed in support of a contingency operation for at least 30 days to retain, after that member is no longer so deployed, the exterior articles of uniform that were issued to that member as part of an Army combat uniform.

.

(b)

Clerical amendment

The table of sections at the beginning of such chapter is amended by adding at the end the following new item:

4566. Retention of Army combat uniforms by members deployed in support of contingency operations.

.

(c)

Effective date

Section 4566 of title 10, United States Code, as added by subsection (a), shall apply with respect to a member of the Army who completes a deployment on or after October 1, 2007.

366.

Issue of serviceable material other than to Armed Forces

(a)

In general

Part IV of subtitle C of title 10, United States Code, is amended by adding at the end the following new chapter:

667

Issue of serviceable material other than to armed forces

Sec.

7911. Arms, tentage, and equipment: educational institutions not maintaining units of R.O.T.C.

7912. Rifles and ammunition for target practice: educational institutions having corps of midshipmen.

7913. Supplies: military instruction camps.

7911.

Arms, tentage, and equipment: educational institutions not maintaining units of R.O.T.C

Under such conditions as he may prescribe, the Secretary of the Navy may issue arms, tentage, and equipment that he considers necessary for proper military training, to any educational institution at which no unit of the Reserve Officers' Training Corps is maintained, but which has a course in military training prescribed by the Secretary and which has at least 50 physically fit students over 14 years of age.

7912.

Rifles and ammunition for target practice: educational institutions having corps of midshipmen

(a)

Authority To lend

The Secretary of the Navy may lend, without expense to the United States, magazine rifles and appendages that are not of the existing service models in use at the time and that are not necessary for a proper reserve supply, to any educational institution having a uniformed corps of midshipmen of sufficient number for target practice. He may also issue 40 rounds of ball cartridges for each midshipman for each range at which target practice is held, but not more than 120 rounds each year for each midshipman participating in target practice.

(b)

Responsibilities of institutions

The institutions to which property is lent under subsection (a) shall—

(1)

use the property for target practice;

(2)

take proper care of the property; and

(3)

return the property when required.

(c)

Regulations

The Secretary shall prescribe regulations to carry out this section, containing such other requirements as he considers necessary to safeguard the interests of the United States.

7913.

Supplies: military instruction camps

Under such conditions as he may prescribe, the Secretary of the Navy may issue, to any educational institution at which an officer of the naval service is detailed as professor of naval science, such supplies as are necessary to establish and maintain a camp for the military instruction of its students. The Secretary shall require a bond in the value of the property issued under this section, for the care and safekeeping of that property and except for property properly expended, for its return when required.

.

(b)

Clerical amendment

The table of chapters at the beginning of subtitle C of such title, and the table of chapters at the beginning of part IV of such subtitle, are each amended by inserting after the item relating to chapter 665 the following new item:

667. Issue of Serviceable Material Other Than to Armed Forces 7910.

.

367.

Prohibition on deactivation of 36th Rescue Flight

The Secretary of Defense shall ensure that no action is taken to deactivate the Air Force unit known as the 36th Rescue Flight that is assigned to Fairchild Air Force Base in Spokane, Washington, or to reassign or reorganize any of the search and rescue capabilities of that unit.

368.

Limitation on expenditure of funds for initial flight screening at Pueblo Memorial Airport

Of the amounts authorized to be appropriated for initial flight screening at Pueblo Memorial Airport, not more than 50 percent shall be expended until the Secretary of the Air Force submits to the congressional defense committees a certification that the Secretary has developed a plan, together with the City of Pueblo, Colorado, to meet Air Force crash, fire, and rescue requirements to support Air Force flight operations at Pueblo Memorial Airport.

IV

Military Personnel Authorizations

Subtitle A—Active Forces

Sec. 401. End strengths for active forces.

Sec. 402. Revision in permanent active duty end strength minimum levels.

Sec. 403. Additional authority for increases of Army and Marine Corps active duty end strengths for fiscal years 2009 and 2010.

Sec. 404. Increase in authorized strengths for Army officers on active duty in the grade of major.

Sec. 405. Increase in authorized strengths for Navy officers on active duty in the grades of lieutenant commander, commander, and captain.

Subtitle B—Reserve Forces

Sec. 411. End strengths for Selected Reserve.

Sec. 412. End strengths for Reserves on active duty in support of the reserves.

Sec. 413. End strengths for military technicians (dual status).

Sec. 414. Fiscal year 2008 limitation on number of non-dual status technicians.

Sec. 415. Maximum number of reserve personnel authorized to be on active duty for operational support.

Sec. 416. Future authorizations and accounting for certain reserve component personnel authorized to be on active duty or full-time National Guard duty to provide operational support.

Sec. 417. Revision of variances authorized for Selected Reserve end strengths.

Subtitle C—Authorization of Appropriations

Sec. 421. Military personnel.

Sec. 422. Armed Forces Retirement Home.

Sec. 423. Offsetting transfers from National Defense Stockpile Transaction Fund.

A

Active Forces

401.

End strengths for active forces

(a)

In general

The Armed Forces are authorized strengths for active duty personnel as of September 30, 2008, as follows:

(1)

The Army, 525,400.

(2)

The Navy, 329,098.

(3)

The Marine Corps, 189,000.

(4)

The Air Force, 329,651.

(b)

Limitation

(1)

Army

The authorized strength for the Army provided in paragraph (1) of subsection (a) for active duty personnel for fiscal year 2008 is subject to the condition that costs of active duty personnel of the Army for that fiscal year in excess of 489,400 shall be paid out of funds authorized to be appropriated for that fiscal year by section 1514.

(2)

Marine corps

The authorized strength for the Marine Corps provided in paragraph (3) of subsection (a) for active duty personnel for fiscal year 2008 is subject to the condition that costs of active duty personnel of the Marine Corps for that fiscal year in excess of 180,000 shall be paid out of funds authorized to be appropriated for that fiscal year by section 1514.

402.

Revision in permanent active duty end strength minimum levels

Section 691(b) of title 10, United States Code, is amended by striking paragraphs (1) through (4) and inserting the following new paragraphs:

(1)

For the Army, 525,400.

(2)

For the Navy, 329,098.

(3)

For the Marine Corps, 189,000.

(4)

For the Air Force, 329,563.

.

403.

Additional authority for increases of Army and Marine Corps active duty end strengths for fiscal years 2009 and 2010

(a)

Authority to increase Army active duty end strengths

For each of fiscal years 2009 and 2010, the Secretary of Defense may, as the Secretary determines necessary for the purposes described in subsection (c), establish the active-duty end strength for the Army at a number greater than the number otherwise authorized by law up to the number equal to the fiscal-year 2008 baseline plus 22,000.

(b)

Marine Corps

For each of fiscal years 2009 and 2010, the Secretary of Defense may, as the Secretary determines necessary for the purposes described in subsection (c), establish the active-duty end strength for the Marine Corps at a number greater than the number otherwise authorized by law up to the number equal to the fiscal-year 2008 baseline plus 13,000.

(c)

Purpose of increases

The purposes for which increases may be made in Army and Marine Corps active duty end strengths under this section are—

(1)

to support operational missions; and

(2)

to achieve transformational reorganization objectives, including objectives for increased numbers of combat brigades and battalions, increased unit manning, force stabilization and shaping, and rebalancing of the active and reserve component forces.

(d)

Relationship to presidential waiver authority

Nothing in this section shall be construed to limit the President’s authority under section 123a of title 10, United States Code, to waive any statutory end strength in a time of war or national emergency.

(e)

Relationship to other variance authority

The authority under this section is in addition to the authority to vary authorized end strengths that is provided in subsections (e) and (f) of section 115 of title 10, United States Code.

(f)

Budget treatment

(1)

Fiscal Years 2009 and 2010 budgets

The budget for the Department of Defense for fiscal years 2009 and 2010 as submitted to Congress shall comply, with respect to funding, with subsections (c) and (d) of section 691 of title 10, United States Code.

(2)

Other increases

If the Secretary of Defense plans to increase the Army or Marine Corps active duty end strength for a fiscal year under this section, then the budget for the Department of Defense for that fiscal year as submitted to Congress shall include the amounts necessary for funding that active duty end strength in excess of the fiscal year 2008 active duty end strength authorized for that service under section 401.

(g)

Definitions

In this section:

(1)

Fiscal-year 2008 baseline

The term fiscal-year 2008 baseline, with respect to the Army and Marine Corps, means the active-duty end strength authorized for those services in section 401.

(2)

Active-duty end strength

In this subsection, the term active-duty end strength means the strength for active-duty personnel of one of the Armed Forces as of the last day of a fiscal year.

(h)

Repeal of other discretionary authority to temporarily increase Army and Marine Corps active duty end strengths

(1)

Base law

Section 403 of the Ronald W. Reagan National Defense Authorization Act for Fiscal Year 2005 (Public Law 108–375; 10 U.S.C. 115 note) is repealed.

(2)

Delayed amendment

Section 403 of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109–364; 120 Stat. 2169) is repealed.

404.

Increase in authorized strengths for Army officers on active duty in the grade of major

The portion of the table in section 523(a)(1) of title 10, United States Code, relating to the Army is amended to read as follows:

Total number of commissioned officers (excluding officers in categories specified in subsection (b)) on active dutyNumber of officers who may be serving on active duty in grade of:
MajorLieutenant ColonelColonel
Army:
20,0007,7685,2531,613
25,0008,6895,6421,796
30,0009,6116,0301,980
35,00010,5326,4192,163
40,00011,4546,8072,347
45,00012,3757,1962,530
50,00013,2977,5842,713
55,00014,2187,9732,897
60,00015,1408,3613,080
65,00016,0618,7503,264
70,00016,9839,1383,447
75,00017,9039,5273,631
80,00018,8259,9153,814
85,00019,74610,3043,997
90,00020,66810,6924,181
95,00021,58911,0814,364
100,00022,51111,4694,548
110,00024,35412,2464,915
120,00026,19713,0235,281
130,00028,04013,8005,648
170,00035,41216,9087,116

.

405.

Increase in authorized strengths for Navy officers on active duty in the grades of lieutenant commander, commander, and captain

The table in section 523(a)(2) of title 10, United States Code, is amended to read as follows:

Total number of commissioned officers (excluding officers in categories specified in subsection (b)) on active dutyNumber of officers who may be serving on active duty in grade of:
Lieutenant CommanderCommanderCaptain
Navy:
30,0007,6985,2692,222
33,0008,1895,5012,334
36,0008,6805,7332,447
39,0009,1725,9652,559
42,0009,6636,1972,671
45,00010,1556,4292,784
48,00010,6466,6602,896
51,00011,1366,8893,007
54,00011,6287,1213,120
57,00012,1187,3523,232
60,00012,6097,5833,344
63,00013,1007,8133,457
66,00013,5918,0443,568
69,00014,2458,3523,718
72,00017,5179,8904,467

.

B

Reserve Forces

411.

End strengths for Selected Reserve

(a)

In general

The Armed Forces are authorized strengths for Selected Reserve personnel of the reserve components as of September 30, 2008, as follows:

(1)

The Army National Guard of the United States, 351,300.

(2)

The Army Reserve, 205,000.

(3)

The Navy Reserve, 67,800.

(4)

The Marine Corps Reserve, 39,600.

(5)

The Air National Guard of the United States, 106,700.

(6)

The Air Force Reserve, 67,500.

(7)

The Coast Guard Reserve, 10,000.

(b)

End strength reductions

The end strengths prescribed by subsection (a) for the Selected Reserve of any reserve component shall be proportionately reduced by—

(1)

the total authorized strength of units organized to serve as units of the Selected Reserve of such component which are on active duty (other than for training) at the end of the fiscal year; and

(2)

the total number of individual members not in units organized to serve as units of the Selected Reserve of such component who are on active duty (other than for training or for unsatisfactory participation in training) without their consent at the end of the fiscal year.

(c)

End strength increases

Whenever units or individual members of the Selected Reserve of any reserve component are released from active duty during any fiscal year, the end strength prescribed for such fiscal year for the Selected Reserve of such reserve component shall be increased proportionately by the total authorized strengths of such units and by the total number of such individual members.

412.

End strengths for Reserves on active duty in support of the reserves

Within the end strengths prescribed in section 411(a), the reserve components of the Armed Forces are authorized, as of September 30, 2008, the following number of Reserves to be serving on full-time active duty or full-time duty, in the case of members of the National Guard, for the purpose of organizing, administering, recruiting, instructing, or training the reserve components:

(1)

The Army National Guard of the United States, 29,240.

(2)

The Army Reserve, 15,870.

(3)

The Navy Reserve, 11,579.

(4)

The Marine Corps Reserve, 2,261.

(5)

The Air National Guard of the United States, 13,944.

(6)

The Air Force Reserve, 2,721.

413.

End strengths for military technicians (dual status)

The minimum number of military technicians (dual status) as of the last day of fiscal year 2008 for the reserve components of the Army and the Air Force (notwithstanding section 129 of title 10, United States Code) shall be the following:

(1)

For the Army Reserve, 8,249.

(2)

For the Army National Guard of the United States, 26,502.

(3)

For the Air Force Reserve, 9,909.

(4)

For the Air National Guard of the United States, 22,553.

414.

Fiscal year 2008 limitation on number of non-dual status technicians

(a)

Limitations

(1)

National guard

Within the limitation provided in section 10217(c)(2) of title 10, United States Code, the number of non-dual status technicians employed by the National Guard as of September 30, 2008, may not exceed the following:

(A)

For the Army National Guard of the United States, 1,600.

(B)

For the Air National Guard of the United States, 350.

(2)

Army reserve

The number of non-dual status technicians employed by the Army Reserve as of September 30, 2008, may not exceed 595.

(3)

Air force reserve

The number of non-dual status technicians employed by the Air Force Reserve as of September 30, 2008, may not exceed 90.

(b)

Non-Dual status technicians defined

In this section, the term non-dual status technician has the meaning given that term in section 10217(a) of title 10, United States Code.

415.

Maximum number of reserve personnel authorized to be on active duty for operational support

During fiscal year 2008, the maximum number of members of the reserve components of the Armed Forces who may be serving at any time on full-time operational support duty under section 115(b) of title 10, United States Code, is the following:

(1)

The Army National Guard of the United States, 17,000.

(2)

The Army Reserve, 13,000.

(3)

The Navy Reserve, 6,200.

(4)

The Marine Corps Reserve, 3,000.

(5)

The Air National Guard of the United States, 16,000.

(6)

The Air Force Reserve, 14,000.

416.

Future authorizations and accounting for certain reserve component personnel authorized to be on active duty or full-time National Guard duty to provide operational support

(a)

Review of operational support missions performed by certain reserve component personnel

(1)

Review required

The Secretary of Defense shall conduct a review of the long-term operational support missions performed by members of the reserve components authorized under section 115(b) of title 10 United States Code to be on active duty or full-time National Guard duty for the purpose of providing operational support, with the objectives of such review being—

(A)

minimizing the number of reserve component members who perform such service for a period greater than 1095 consecutive days, or cumulatively for 1095 days out of the previous 1460 days; and

(B)

determining which long-term operational support missions being performed by such members would more appropriately be performed by members of the Armed Forces on active duty under other provisions of title 10, United States Code, or by full-time support personnel of reserve components.

(2)

Submission of results

Not later than March 1, 2008, the Secretary shall submit to Congress the results of the review, including a description of the adjustments in Department of Defense policy to be implemented as a result of the review and such recommendations for changes in statute, as the Secretary considers to be appropriate.

(b)

Improved accounting for reserve component personnel providing operational support

Section 115(b) of title 10, United States Code, is amended by adding at the end the following new paragraph:

(4)

As part of the budget justification materials submitted by the Secretary of Defense to Congress in support of the end strength authorizations required under subparagraphs (A) and (B) of subsection (a)(1) for fiscal year 2009 and each fiscal year thereafter, the Secretary shall provide the following:

(A)

The number of members, specified by reserve component, authorized under subparagraphs (A) and (B) of paragraph (1) who were serving on active duty or full-time National Guard duty for operational support beyond each of the limits specified under subparagraphs (A) and (B) of paragraph (2) at the end of the fiscal year preceding the fiscal year for which the budget justification materials are submitted.

(B)

The number of members, specified by reserve component, on active duty for operational support who, at the end of the fiscal year for which the budget justification materials are submitted, are projected to be serving on active duty or full-time National Guard duty for operational support beyond such limits.

(C)

The number of members, specified by reserve component, on active duty or full-time National Guard duty for operational support who are included in, and counted against, the end strength authorizations requested under subparagraphs (A) and (B) of subsection (a)(1).

(D)

A summary of the missions being performed by members identified under subparagraphs (A) and (B).

.

417.

Revision of variances authorized for Selected Reserve end strengths

Section 115(f)(3) of title 10, United States Code, is amended by striking “2 percent” and inserting “3 percent”.

C

Authorization of Appropriations

421.

Military personnel

There is hereby authorized to be appropriated to the Department of Defense for military personnel for fiscal year 2008 a total of $115,439,889,000. The authorization in the preceding sentence supersedes any other authorization of appropriations (definite or indefinite) for such purpose for fiscal year 2008.

422.

Armed Forces Retirement Home

There is authorized to be appropriated for fiscal year 2008 from the Armed Forces Retirement Home Trust Fund the sum of $61,624,000 for the operation of the Armed Forces Retirement Home.

423.

Offsetting transfers from National Defense Stockpile Transaction Fund

Not later than 60 days after the date of the enactment of this Act, the Secretary of Defense shall transfer $150,000,000 from the unobligated balances of the National Defense Stockpile Transaction Fund to the Miscellaneous Receipts Fund of the United States Treasury to offset estimated costs arising from section 702 and the amendments made by such section.

V

Military Personnel Policy

Subtitle A—Officer Personnel Policy

Sec. 501. Assignment of officers to designated positions of importance and responsibility.

Sec. 502. Increase in years of commissioned service threshold for discharge of probationary officers and for use of force shaping authority.

Sec. 503. Special promotion authority for Navy career military professors.

Subtitle B—Reserve Component Matters

Sec. 511. Mandatory separation of Reserve officers in the grade of lieutenant general or vice admiral after completion of 38 years of commissioned service.

Sec. 512. Constructive service credit upon original appointment of reserve officers in certain health care professions.

Sec. 513. Maximum period of temporary Federal recognition of person as Army National Guard officer or Air Force Reserve officer.

Sec. 514. Military technicians (dual status) in the Selected Reserve.

Sec. 515. Working group on reintegration of reserve component members returning from deployment.

Sec. 516. National Guard yellow ribbon reintegration program.

Sec. 517. Advance notice to members of reserve components of deployment in support of contingency operations.

Subtitle C—Education and Training

Sec. 521. Reduction or elimination of service obligation in an Army Reserve or Army National Guard troop program unit for certain persons selected as medical students at Uniformed Services University of the Health Sciences.

Sec. 522. Increase in annual limit on number of ROTC scholarships under Army Reserve and Army National Guard program.

Sec. 523. Revisions to authority to pay tuition for off-duty training or education.

Sec. 524. National Defense University master’s degree programs.

Sec. 525. Recodification in title 38, United States Code, of certain educational assistance programs for members of the reserve components.

Sec. 526. Secretary of Defense evaluation of the adequacy of the degree-granting authorities of certain military universities and educational institutions.

Sec. 527. Navy Junior Reserve Officers’ Training Corps unit for Southold, Mattituck, and Greenport high schools.

Subtitle D—General Service Authorities

Sec. 531. Authority to reduce required service obligation for initial appointment of qualified health professionals as officers in critical specialties.

Sec. 532. Reenlistment in former enlisted grade after service as an officer.

Subtitle E—Military Justice and Legal Assistance Matters

Sec. 541. Authority to designate certain civilian employees of the Federal Government as eligible for legal assistance from Department of Defense legal staff resources.

Subtitle F—Decorations and Awards

Sec. 551. Authorization and request for award of Medal of Honor to Leslie H. Sabo, Jr., for acts of valor during the Vietnam War.

Sec. 552. Authorization and request for award of Medal of Honor to Henry Svehla for acts of valor during the Korean War.

Sec. 553. Authorization and request for award of Medal of Honor to Woodrow W. Keeble for acts of valor during the Korean War.

Sec. 554. Authorization and request for award of Medal of Honor to Private Philip G. Shadrach for acts of valor during the Civil War.

Sec. 555. Authorization and request for award of Medal of Honor to Private George D. Wilson for acts of valor as one of Andrews Raiders during the Civil War.

Sec. 556. Cold War Victory Medal.

Subtitle G—Impact Aid and Defense Dependents Education System

Sec. 561. Tuition assistance for military dependents in overseas areas where schools operated by Defense Dependents' Education System are not reasonably available.

Sec. 562. Continuation of authority to assist local educational agencies that benefit dependents of members of the Armed Forces and Department of Defense civilian employees.

Subtitle H—Other Matters

Sec. 571. Extension of authority to accept gifts, devises, or bequests to benefit members of the Armed Forces, dependents, and civilian employees of the Department of Defense.

Sec. 572. Uniform performance policies for military bands and other musical units.

Sec. 573. Repeal of limitation on number of academies of Department of Defense STARBASE Program in a single State.

Sec. 574. Combat veterans mentoring program for current members of the Armed Forces.

Sec. 575. Recognition of members of the Monuments, Fine Arts, and Archives program of the Civil Affairs and Military Government Sections of the Armed Forces during and following World War II.

Sec. 576. Program to commemorate 50th anniversary of the Vietnam War.

A

Officer Personnel Policy

501.

Assignment of officers to designated positions of importance and responsibility

(a)

Continuation in grade while awaiting orders

Section 601(b) of title 10, United States Code, is amended by striking paragraph (4) and inserting the following new paragraph:

(4)

at the discretion of the Secretary of Defense, while the officer is awaiting orders after being relieved from the position designated under subsection (a) or by law to carry one of those grades, but not for more than 60 days beginning on the day the officer is relieved from the position, unless, during such period, the officer is placed under orders to another position designated under subsection (a) or by law to carry one of those grades, in which case paragraph (2) will also apply to the officer.

.

(b)

Conforming amendment regarding general and flag officer ceilings

Section 525(e) of such title is amended by striking paragraph (2) and inserting the following new paragraph:

(2)

At the discretion of the Secretary of Defense, an officer of that armed force who has been relieved from a position designated under section 601(a) of this title or by law to carry one of the grades specified in such section, but only during the 60-day period beginning on the date on which the assignment of the officer to the first position is terminated or until the officer is assigned to a second such position, whichever occurs first.

.

502.

Increase in years of commissioned service threshold for discharge of probationary officers and for use of force shaping authority

(a)

Active-duty list officers

(1)

Extended probationary period

Paragraph (1)(A) of section 630 of title 10, United States Code, is amended by striking five years and inserting six years.

(2)

Section heading

The heading of such section is amended by striking five years and inserting six years.

(3)

Table of sections

The item relating to such section in the table of sections at the beginning of subchapter III of chapter 36 of such title is amended to read as follows:

630. Discharge of commissioned officers with less than six years of active commissioned service or found not qualified for promotion for first lieutenant or lieutenant (junior grade).

.

(b)

Officer force shaping authority

Section 647(b)(1) of such title is amended by striking 5 years both places it appears and inserting six years.

(c)

Reserve officers

(1)

Extended probationary period

Subsection (a)(1)(A) of section 14503 of such title is amended by striking five years and inserting six years.

(2)

Section heading

The heading of such section is amended by striking five years and inserting six years.

(3)

Table of sections

The item relating to such section in the table of sections at the beginning of chapter 1407 of such title is amended to read as follows:

14503. Discharge of officers with less than six years of commissioned service or found not qualified for promotion to first lieutenant or lieutenant (junior grade).

.

503.

Special promotion authority for Navy career military professors

(a)

Removal from chapter 36 promotion process

Paragraph (2) of section 641 of title 10, United States Code, is amended to read as follows:

(2)

The director of admissions, dean, and permanent professors at the United States Military Academy, the registrar, dean, and permanent professors at the United States Air Force Academy, and permanent professors at the United States Naval Academy.

.

(b)

Establishment of special promotion process

Chapter 603 of such title is amended by inserting after section 6970 the following new section:

6970a.

Permanent professors: promotion

(a)

Promotion authority

An officer of the Navy or Marine Corps serving as a permanent professor at the Naval Academy in the grade of commander or lieutenant colonel may be recommended for promotion to the grade of captain or colonel, as the case may be.

(b)

Eligibility for promotion

An officer described in subsection (a) is not eligible for promotion under this section until after the date on which the officer completes six years of service as a permanent professor or career military professor.

(c)

Actual promotion

The promotion of an officer recommended for promotion under this section is subject to appointment of the officer to the higher grade by the President, by and with the advice and consent of the Senate.

.

(c)

Clerical amendment

The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 6970 the following new item:

6970a. Permanent professors: promotion.

.

B

Reserve Component Matters

511.

Mandatory separation of Reserve officers in the grade of lieutenant general or vice admiral after completion of 38 years of commissioned service

(a)

Mandatory separation

Section 14508 of title 10, United States Code, is amended—

(1)

by redesignating subsections (c), (d), and (e) as subsections (e), (f), and (g), respectively; and

(2)

by inserting after subsection (b) the following new subsection (c):

(c)

Thirty-eight years of service for lieutenant generals and vice admirals

Unless retired, transferred to the Retired Reserve, or discharged at an earlier date, each reserve officer of the Army, Air Force, or Marine Corps in the grade of lieutenant general and each reserve officer of the Navy in the grade of vice admiral shall, 30 days after completion of 38 years of commissioned service, be separated in accordance with section 14514 of this title.

.

(b)

Clerical amendments

Such section is further amended—

(1)

in subsection (a), by inserting for brigadier generals and rear admirals (Lower half) after grade in the subsection heading; and

(2)

in subsection (b), by inserting for major generals and rear admirals after grade in the subsection heading.

512.

Constructive service credit upon original appointment of reserve officers in certain health care professions

(a)

Inclusion of additional health care professions

Paragraph (2) of section 12207(b) of title 10, United States Code, is amended to read as follows:

(2)
(A)

If the Secretary of Defense determines that the number of officers in a health profession described in subparagraph (B) who are serving in an active status in a reserve component of the Army, Navy, or Air Force in grades below major or lieutenant commander is critically below the number needed in such health profession by such reserve component in such grades, the Secretary of Defense may authorize the Secretary of the military department concerned to credit any person who is receiving an original appointment as an officer for service in such health profession with a period of constructive credit in such amount (in addition to any amount credited such person under paragraph (1)) as will result in the grade of such person being that of captain or, in the case of the Navy Reserve, lieutenant.

(B)

The types of health professions referred to in subparagraph (A) include the following:

(i)

Any health profession performed by officers in the Medical Corps of the Army or the Navy or by officers of the Air Force designated as a medical officer.

(ii)

Any health profession performed by officers in the Dental Corps of the Army or the Navy or by officers of the Air Force designated as a dental officer.

(iii)

Any health profession performed by officers in the Medical Service Corps of the Army or the Navy or by officers of the Air Force designated as a medical service officer or biomedical sciences officer.

(iv)

Any health profession performed by officers in the Army Medical Specialist Corps.

(v)

Any health profession performed by officers of the Nurse Corps of the Army or the Navy or by officers of the Air Force designated as a nurse.

(vi)

Any health profession performed by officers in the Veterinary Corps of the Army or by officers designated as a veterinary officer.

.

(b)

Conforming amendment

Paragraph (3) of such section is amended by striking a medical or dental officer and inserting officers covered by paragraph (2).

513.

Maximum period of temporary Federal recognition of person as Army National Guard officer or Air Force Reserve officer

Section 308(a) of title 32, United States Code, is amended in the last sentence by striking six months and inserting one year.

514.

Military technicians (dual status) in the Selected Reserve

(a)

Retention of military technicians who lose dual status due to combat-related disability

Section 10216 of title 10, United States Code, is amended by inserting after subsection (f) the following new subsection:

(g)

Retention of military technicians who lose dual status due to combat-related disability

(1)

Notwithstanding subsection (d) of this section or subsections (a)(3) and (b) of section 10218 of this title, if a military technician (dual status) loses such dual status as the result of a combat-related disability (as defined in section 1413a of this title), the person may be retained as a non-dual status technician so long as—

(A)

the combat-related disability does not prevent the person from performing the non-dual status functions or position; and

(B)

the person, while a non-dual status technician, is not disqualified from performing the non-dual status functions or position because of performance, medical, or other reasons.

(2)

A person so retained shall be removed not later than 30 days after becoming eligible for an unreduced annuity and becoming 60 years of age.

(3)

Persons retained under the authority of this subsection do not count against the limitations of section 10217(c) of this title.

.

(b)

Temporary employment authority

Subsection (a) of such section is amended by adding at the end the following new paragraph:

(4)

The secretary of a military department may temporarily waive the requirements of subsection (a)(1)(B) in order to fill a military technician (dual status) position while that position is vacant as a result of the mobilization of the technician normally assigned to that position under a call to active duty for a period of more than 30 days under section 12301, 12302, or 12304 of this title in support of a contingency operation. In no case may the waiver authority be used in connection with any position for more than two years. The Secretary of Defense shall prescribe regulations to carry out this paragraph.

.

(c)

Deferral of Mandatory Separation

Subsection (f) of such section is amended—

(1)

by striking The Secretary of the Army and inserting (1) The Secretary of the Army and the Secretary of the Air Force;

(2)

by striking the military technician (dual status) reaches age 60 and attains eligibility for an unreduced annuity (as defined in section 10218(c) of this title). and inserting the following:

the military technician (dual status)—

(A)

reaches age 60 and attains eligibility for an unreduced annuity; or

(B)

attains eligibility for an unreduced annuity after age 60, but in no case may the separation be deferred for more than 30 days after the person reaches age 62.

; and

(3)

by adding at the end the following new paragraph:

(2)

For purposes of this subsection, the determination of whether a technician is eligible for an unreduced annuity shall be made in the manner provided by section 10218(d) of this title.

.

515.

Working group on reintegration of reserve component members returning from deployment

(a)

Working Group Required

The Secretary of Defense shall establish within the Department of Defense a working group to identify and assess the reintegration needs of members of the reserve components who return from overseas operational deployment.

(b)

Members

The working group shall consist of 16 members, to be appointed by the Secretary of Defense. The Secretary shall attempt to achieve a balance of members on the working group from, at a minimum, the following:

(1)

The Department of Defense.

(2)

The Department of Veterans Affairs.

(3)

One member each from the Army National Guard of the United States, the Army Reserve, the Navy Reserve, the Marine Corps Reserve, the Air National Guard of the United States, and the Air Force Reserve.

(4)

At least one dependent of a member of the Army National Guard or Air National Guard who has been deployed overseas.

(5)

At least one dependent of a member of the Army Reserve, Navy Reserve, Marine Corps Reserve, or Air Force Reserve who has been deployed overseas.

(6)

One State adjutant general.

(7)

Representatives of other Federal agencies and non-Federal members, as considered appropriate by the Secretary.

(c)

Responsibilities

The working group shall—

(1)

identify and assess the needs of members of the reserve components returning from deployment in making the transition to civilian life, including members who have experienced multiple recent deployments and members who have been wounded or injured during deployment, and identify and assess the needs of the families of such members;

(2)

develop recommendations on means of improving assistance to such members in meeting the needs identified in paragraph (1) on their return from deployment and in meeting the need of their families identified in paragraph (1); and

(3)

assess the current transition and reintegration programs employed by the reserve components for members and their families following redeployment.

(d)

Elements of assessment

The assessment required by subsection (c)(3) shall include—

(1)

a comparison of existing reintegration programs by service, State, or command;

(2)

an analysis of participation of other Federal agencies in current programs;

(3)

the costs associated with different programs;

(4)

identification of best practices from existing programs; and

(5)

a recommended plan for incorporating the best practices into current reserve component demobilization activities.

(e)

Consultation

In carrying out its responsibilities under subsection (c), the working group shall consult with the following:

(1)

Representatives of organizations that assist wounded or injured members of the reserve components.

(2)

Representatives of organizations that assist family members of members of the reserve components.

(3)

Representatives of such other public or private organizations and entities as the working group considers appropriate.

(f)

Report

(1)

Report required

Not later than 180 days after the date of the enactment of this Act, the working group shall submit to the Secretary of Defense and Congress a report on its activities under subsection (c).

(2)

Elements

The report shall include the following:

(A)

The results of the identifications and assessments required under subsection (c).

(B)

The recommendations developed under subsection (c)(2), including recommendations regarding the following:

(i)

The provision of outreach and assistance to members of the reserve components returning from deployment and the provision of outreach and assistance to their families.

(ii)

The improvement of collaboration between the public and private sectors in order to ensure the successful transition of such members and their families upon the return of such members from deployment.

(3)

Availability to public

The Secretary shall take appropriate actions to make the report available to the public, including through the internet web site of the Department of Defense.

516.

National Guard yellow ribbon reintegration program

(a)

Establishment

The Secretary of Defense, in coordination with the Chief of the National Guard Bureau, shall establish a national combat veteran reintegration program to provide National Guard members and their families with sufficient information, services, referral, and proactive outreach opportunities throughout the entire deployment cycle. This program shall be known as the Yellow Ribbon Reintegration Program. The Secretary may also use funds made available to carry out this section to support reintegration programs for members of the Army Reserve, Marine Corps Reserve, Navy Reserve, and Air Force Reserve and their families.

(b)

Purpose

The Yellow Ribbon Reintegration Program shall consist of informational events and activities for reserve component members, their families, and community members through the four phases of the deployment cycle:

(1)

Pre-deployment.

(2)

Deployment.

(3)

Demobilization.

(4)

Post-deployment-reconstitution.

(c)

Consultation

The National Guard Bureau Chief shall consult with the following parties during establishment of the program:

(1)

The Adjutant General of the Minnesota National Guard and officials associated with the State’s Beyond the Yellow Ribbon Reintegration Program, the Adjutant General of New Hampshire, the Adjutant General of Oregon, and the Adjutant General of Washington.

(2)

Adjutants General of the remaining States and territories.

(d)

Organization

(1)

Executive agent

The Secretary shall designate the National Guard Bureau as the Department of Defense executive agent for the Yellow Ribbon Reintegration Program.

(2)

Establishment of the office for reintegration programs

(A)

In general

The National Guard Bureau shall establish the Office for Reintegration Programs within the National Guard Bureau Joint Staff. This office shall administer all reintegration programs in coordination with State National Guard organizations. The office shall be responsible for coordination with existing National Guard family and support programs. The Directors of the Army National Guard and Air National Guard may appoint liaison officers to work with the permanent office staff. The office shall closely coordinate with the Army National Guard and Air National Guard Directorates for Manpower and Personnel with respect to existing family support structure, mobilization schedules, training schedules, training plans and programs, and any other personnel issues.

(B)

Establishment of a center for excellence in reintegration

The Office for Reintegration Programs shall establish a Center for Excellence in Reintegration within the office. The Center shall collect and analyze lessons learned and suggestions from State National Guard organizations with existing or developing reintegration programs. The Center shall also assist in developing training aids and briefing materials and training representatives from State National Guard organizations. Representatives from State National Guard organizations with successful reintegration programs may augment the Office staff.

(3)

Advisory board

(A)

Appointment

The Chief of the National Guard Bureau shall appoint an advisory board to analyze and report areas of success and areas for necessary improvements. The advisory board shall include, but is not limited to, the Director of the Army National Guard, the Director of the Air National Guard, the Assistant Secretary of Defense for Reserve Affairs, an Adjutant General on a rotational basis as determined by the Chief of the National Guard Bureau, the Director of the National Guard Bureau Manpower and Personnel Directorate (J-1), and any other Department of Defense, Federal Government agency, or outside organization as determined by the Chief of the National Guard Bureau. The members of the advisory board may designate representatives in their stead.

(B)

Schedule

The advisory board shall meet on a schedule as determined by the Chief of the National Guard Bureau.

(C)

Initial reporting requirement

The advisory board shall issue internal reports as necessary and shall submit an initial report to the Committees on Armed Services not later than 180 days after the end of a one-year period from establishment of the Office for Reintegration Programs. This report shall contain—

(i)

an evaluation of the reintegration program’s implementation by State National Guard organizations;

(ii)

an assessment of any unmet resource requirements;

(iii)

an assessment of the reintegration program’s further inclusion of other reserve component members and the necessity for further expansion to incorporate all the reserve components; and

(iv)

recommendations regarding closer coordination between the Office of Reintegration Programs and State National Guard organizations.

(D)

Annual reports

The advisory board shall submit annual reports to the Committees on Armed Services of the Senate and House of Representatives following the initial report by the first week in March of subsequent years following the initial report.

(4)

State deployment cycle support teams

The Office for Reintegration Programs shall employ personnel to administer the Yellow Ribbon Reintegration Program at the State level. The Chief of the National Guard Bureau shall assign State Deployment Cycle Support Team members based on State need, geographical dispersion, and military population. The Office for Reintegration Programs is encouraged to employ wounded service members and returning combat veterans whenever possible. The primary function of team members shall be—

(A)

developing and managing the reintegration curriculum;

(B)

contracting and recruiting for necessary service providers; and

(C)

ensuring that providers’ skills adapt to the unique military nature of the reintegration program.

(e)

Program

(1)

In general

The Office for Reintegration Programs shall analyze the demographics, placement of State Family Assistance Centers (FAC), and FAC resources before a mobilization alert is issued to affected State National Guard organizations. The Office of Reintegration Programs shall consult with affected State National Guard organizations following the issuance of a mobilization alert and implement the reintegration events in accordance with the Reintegration Program phase model.

(2)

Pre-deployment phase

The pre-deployment phase shall constitute the time from first notification of mobilization until deployment of the mobilized National Guard unit. Events and activities shall focus on providing education and ensuring the readiness of service members, families, and communities for the rigors of a combat deployment.

(3)

Deployment phase

The deployment phase shall constitute the period from deployment of the mobilized National Guard unit until the unit arrives at a demobilization station inside the continental United States. Events and services provided shall focus on the challenges and stress associated with separation and having a member in a combat zone. Information sessions shall utilize State National Guard resources in coordination with the Employer Support of Guard and Reserve Office, Transition Assistance Advisors, and the State Family Programs Director.

(4)

Demobilization phase

(A)

In general

The demobilization phase shall constitute the period from arrival of the National Guard unit at the demobilization station until its departure for home station. In the interest of returning members as soon as possible to their home stations, reintegration briefings during the demobilization phase shall be minimized. State Deployment Cycle Support Teams are encouraged, however, to assist demobilizing members in enrolling in the Department of Veterans Affairs system using form 1010EZ during the Demobilization Phase. State Deployment Cycle Support Teams may provide other events from the initial reintegration activity as determined by the State National Guard organizations. Remaining events shall be conducted during the post-deployment-reconstitution phase.

(B)

Initial reintegration activity

The purpose of this reintegration program is to educate service members about the resources that are available to them and to connect members to service providers who can assist them in overcoming the challenges of reintegration

(5)

Post-deployment-reconstitution phase

(A)

In general

The post-deployment-reconstitution phase shall constitute the period from arrival at home station until 180 days following demobilization. Activities and services provided shall focus on reconnecting service members with their families and communities and providing resources and information necessary for successful reintegration. Reintegration events shall begin with elements of the Initial Reintegration Activity program that were not completed during the demobilization phase.

(B)

30-day, 60-day, and 90-day reintegration activities

The State National Guard organizations shall hold reintegration activities at the 30-day, 60-day, and 90-day interval following demobilization. These activities shall focus on reconnecting service members and family members with the service providers from initial reintegration activity to ensure service members and their families understand what benefits they are entitled to and what resources are available to help them overcome the challenges of reintegration. The reintegration activities shall also provide a forum for service members and families to address negative behaviors related to combat stress and transition.

(C)

Service member pay

Service members shall receive appropriate pay for days spent attending the Reintegration Activities at the 30-day, 60-day, and 90-day interval.

(D)

Monthly individual reintegration program

The Office for Reintegration Programs, in coordination with State National Guard organizations, shall offer a monthly reintegration program for individual service members released from active duty or formerly in a medical hold status. The program shall focus on the special needs of this service member subset and the Office for Reintegration Programs shall develop an appropriate program of services and information.

517.

Advance notice to members of reserve components of deployment in support of contingency operations

(a)

Advance notice required

The Secretary of Defense shall ensure that a member of a reserve component who will be called or ordered to active duty for a period of more than 30 days in support of a contingency operation (as defined in section 101(a)(13) of title 10, United States Code) receives notice in advance of the mobilization date. At a minimum the notice shall be provided not less than 30 days before the mobilization date, but with a goal of 90 days before the mobilization date.

(b)

Reduction or waiver of notice requirement

The Secretary of Defense may waive the requirement of subsection (a), or authorize shorter notice than the minimum specified in such subsection, during a war or national emergency declared by the President or Congress or to meet mission requirements. If the waiver or reduction is made on account of mission requirements, the Secretary shall submit to Congress a report detailing the reasons for the waiver or reduction and the mission requirements at issue.

C

Education and Training

521.

Reduction or elimination of service obligation in an Army Reserve or Army National Guard troop program unit for certain persons selected as medical students at Uniformed Services University of the Health Sciences

Paragraph (3) of section 2107a(b) of title 10, United States Code, is amended to read as follows:

(3)
(A)

Subject to subparagraph (C), in the case of a person described in subparagraph (B), the Secretary may, at any time and with the consent of the person, modify an agreement described in paragraph (1)(F) submitted by the person for the purpose of reducing or eliminating the troop program unit service obligation specified in the agreement and to establish, in lieu of that obligation, an active duty service obligation.

(B)

Subparagraph (A) applies with respect to the following persons:

(i)

A cadet under this section at a military junior college.

(ii)

A cadet or former cadet under this section who is selected under section 2114 of this title to be a medical student at the Uniformed Services University of the Health Sciences.

(iii)

A cadet or former cadet under this section who signs an agreement under section 2122 of this title for participation in the Armed Forces Health Professions Scholarship and Financial Assistance program.

(C)

The modification of an agreement described in paragraph (1)(F) may be made only if the Secretary determines that it is in the best interests of the United States to do so.

.

522.

Increase in annual limit on number of ROTC scholarships under Army Reserve and Army National Guard program

Subsection (h) of section 2107a of title 10, United States Code, is amended by striking 416 and inserting 424.

523.

Revisions to authority to pay tuition for off-duty training or education

(a)

Inclusion of Coast Guard

Section 2007(a) of title 10, United States Code, is amended by striking Subject to subsection (b), the Secretary of a military department and inserting Subject to subsections (b) and (c), the Secretary concerned.

(b)

Commissioned officers on active duty

Section 2007(b) of title 10, United States Code, is amended—

(1)

in paragraph (1)—

(A)

by inserting after commissioned officer on active duty the following: (other than a member of the Ready Reserve);

(B)

by striking the Secretary of the military department concerned and inserting the Secretary concerned; and

(C)

by striking or full-time National Guard duty both places it appears; and

(2)

in paragraph (2)—

(A)

in the matter preceding subparagraph (A), by striking the Secretary of the military department and inserting the Secretary concerned;

(B)

in subparagraph (B), by inserting after active duty service the following: for which the officer was ordered to active duty; and

(C)

in subparagraph (C), by striking Secretary and inserting Secretary concerned.

(c)

Authority to pay tuition assistance to members of the Ready Reserve

Section 2007(c) of title 10, United States Code, is amended to read as follows:

(c)

In the case of a member of the Ready Reserve, the following provisions apply:

(1)

If the member is an officer of the Selected Reserve, or of the Ready Reserve but not of the Selected Reserve, the Secretary concerned may not pay charges under subsection (a) unless the officer agrees to remain a member of the Selected Reserve or of the Ready Reserve (as applicable) for at least four years after completion of the education or training for which the charges are paid.

(2)

If the member is an enlisted member in the Selected Reserve, or in the Ready Reserve but not in the Selected Reserve, the Secretary concerned may order the member to serve, after completion of the education or training for which the charges are paid, in the Selected Reserve or in the Ready Reserve (as applicable) for such period of time as the Secretary concerned prescribes, but not for more than four years.

(3)

In addition, if the member is a member of the Individual Ready Reserve, the Secretary concerned may not pay charges under subsection (a) unless the Secretary concerned, based upon the needs of the service and the military skills or specialties of the member, selects the member for participation under this section. The Secretary concerned shall designate the military skills or specialties of members to be eligible for selection under this section.

.

(d)

Conforming amendment

Section 2007 of title 10, United States Code, is further amended—

(1)

by striking subsection (d); and

(2)

by redesignating subsections (e) and (f) as subsections (d) and (e), respectively.

(e)

Repayment

Subsection (e) of such section, as so redesignated by subsection (d), is amended—

(1)

by striking an officer and inserting a member;

(2)

by striking subsection (b) and inserting this section;

(3)

by striking of active duty; and

(4)

by striking the officer and inserting the member.

(f)

Regulations

Such section is further amended by adding at the end the following new subsection:

(f)

This section shall be administered under regulations prescribed by the Secretary of Defense or, with respect to the Coast Guard when it is not operating as a service in the Navy, the Secretary of Homeland Security.

.

524.

National Defense University master’s degree programs

(a)

In general

Section 2163 of title 10, United States Code, is amended—

(1)

by striking the heading and inserting the following:

2163.

National Defense University: master’s degree programs

;

(2)

in subsection (a), by inserting after master of science the following: or master of arts; and

(3)

in subsection (b), by adding at the end the following new paragraph:

(4)

Master of arts in strategic security studies

The degree of master of arts in strategic security studies, to graduates of the University who fulfill the requirements of the program at the School for National Security Executive Education.

.

(b)

Clerical amendment

The table of sections at the beginning of chapter 108 of such title is amended by striking the item relating to section 2163 and inserting the following new item:

2163. National Defense University: master’s degree programs.

.

(c)

Applicability to 2006-2007 graduates

Paragraph (4) of section 2163(b) of title 10, United States Code (as added by subsection (a) of this section), applies to any person who becomes a graduate on or after September 6, 2006.

525.

Recodification in title 38, United States Code, of certain educational assistance programs for members of the reserve components

(a)

In general

Part III of title 38, United States Code, is amended by inserting after chapter 32 the following new chapter:

33

EDUCATIONAL ASSISTANCE FOR MEMBERS OF THE RESERVE COMPONENTS

Subchapter I—Members of the Selected Reserve

Sec.

3301. Educational assistance program: establishment; amount.

3302. Eligibility for educational assistance.

3303. Time limitation for use of entitlement.

3304. Termination of assistance.

3305. Failure to participate satisfactorily; penalties.

3306. Administration of program

3307. Reports to Congress.

Subchapter II—Reserve Component Members Supporting Contingency Operations and Certain Other Operations

3321. Purpose.

3322. Educational assistance program.

3323. Eligibility for educational assistance.

3324. Time limitation for use of entitlement.

3325. Termination of assistance.

3326. Administration of program.

I

Members of the Selected Reserve

3301.

Educational assistance program: establishment; amount

(a)

Establishment

To encourage membership in units of the Selected Reserve of the Ready Reserve, the Secretary of Veterans Affairs, shall establish and maintain a program to provide educational assistance to members of the Selected Reserve of the Ready Reserve of the Armed Forces. The Secretary of each military department shall, under regulations prescribed by the Secretary of Defense, provide to individuals who meet the eligibility requirements under section 3302 of this title the opportunity to receive educational assistance under this subchapter and shall maintain a program to increase the rate of educational assistance under this subchapter in accordance with subsection (i).

(b)

Amount of payment

(1)

Each educational assistance program established under subsection (a) shall provide for payment by the Secretary of Veterans Affairs of an educational assistance allowance to each person entitled to educational assistance under this subchapter who is pursuing a program of education. Except as provided in subsections (d) through (f), the educational assistance allowance shall be paid at the rates in effect under the former chapter 1606 of title 10, as in effect immediately before the date of the enactment of the National Defense Authorization Act for Fiscal Year 2008, as increased under paragraph (3).

(2)

For each month of less than half-time pursuit of a program of education, educational assistance under this subchapter shall be paid at a rate of 25 percent of the amount payable for a month of full-time pursuit of a program of education, except that no payment may be made to a person for less than half-time pursuit if tuition assistance is otherwise available to the person for such pursuit from the military department concerned.

(3)

With respect to any fiscal year, the Secretary shall provide a percentage increase (rounded to the nearest dollar) in the rates payable under subparagraphs (A), (B), and (C) of paragraph (1) equal to the percentage by which—

(A)

the Consumer Price Index (all items, United States city average) for the 12-month period ending on the June 30 preceding the beginning of the fiscal year for which the increase is made, exceeds

(B)

such Consumer Price Index for the 12-month period preceding the 12-month period described in subparagraph (A).

(c)

Approved programs of education; maximum months of assistance

(1)

Educational assistance may be provided under this subchapter for pursuit of any program of education that is an approved program of education for purposes of chapter 30 of this title.

(2)

Subject to section 3695 of this title, the maximum number of months of educational assistance that may be provided to any person under this subchapter is 36 (or the equivalent thereof in part-time educational assistance).

(3)
(A)

Notwithstanding any other provision of this subchapter or chapter 36 of this title, any payment of an educational assistance allowance described in subparagraph (B) of this paragraph shall not—

(i)

be charged against the entitlement of any individual under this subchapter; or

(ii)

be counted toward the aggregate period for which section 3695 of this title limits an individual's receipt of assistance.

(B)

The payment of the educational assistance allowance referred to in subparagraph (A) of this paragraph is the payment of such an allowance to the individual for pursuit of a course or courses under this subchapter if the Secretary of Veterans Affairs finds that the individual—

(i)

had to discontinue such course pursuit as a result of being ordered to serve on active duty under section 12301(a), 12301(d), 12301(g), 12302, or 12304 of title 10; and

(ii)

failed to receive credit or training time toward completion of the individual's approved educational, professional, or vocational objective as a result of having to discontinue, as described in clause (i), the individual's course pursuit.

(C)

The period for which, by reason of this subsection, an educational assistance allowance is not charged against entitlement or counted toward the applicable aggregate period under section 3695 of this title shall not exceed the portion of the period of enrollment in the course or courses for which the individual failed to receive credit or with respect to which the individual lost training time, as determined under subparagraph (B)(ii).

(d)

Programs of apprenticeship

(1)

Except as provided in paragraph (2), the amount of the monthly educational assistance allowance payable to a person pursuing a full-time program of apprenticeship or other on-the-job training under this subchapter is—

(A)

for each of the first six months of the person's pursuit of such program, 75 percent of the monthly educational assistance allowance otherwise payable to such person under this subchapter;

(B)

for each of the second six months of the person's pursuit of such program, 55 percent of such monthly educational assistance allowance; and

(C)

for each of the months following the first 12 months of the person's pursuit of such program, 35 percent of such monthly educational assistance allowance.

(2)

In any month in which any person pursuing a program of education consisting of a program of apprenticeship or other on-the-job training fails to complete 120 hours of training, the amount of the monthly educational assistance allowance payable under this subchapter to the person shall be limited to the same proportion of the applicable full-time rate as the number of hours worked during such month, rounded to the nearest 8 hours, bears to 120 hours.

(3)
(A)

Except as provided in subparagraph (B), for each month that such person is paid a monthly educational assistance allowance under this subchapter, the person's entitlement under this subchapter shall be charged at the rate of—

(i)

75 percent of a month in the case of payments made in accordance with paragraph (1)(A);

(ii)

55 percent of a month in the case of payments made in accordance with paragraph (1)(B); and

(iii)

35 percent of a month in the case of payments made in accordance with paragraph (1)(C).

(B)

Any such charge to the entitlement shall be reduced proportionately in accordance with the reduction in payment under paragraph (2).

(e)

Correspondence courses

(1)
(A)

The amount of the educational assistance allowance payable under this subchapter to a person who enters into an agreement to pursue, and is pursuing, a program of education exclusively by correspondence is an amount equal to 55 percent of the established charge which the institution requires nonveterans to pay for the course or courses pursued by such person.

(B)

For purposes of subparagraph (A), the term established charge means the lesser of—

(i)

the charge for the course or courses determined on the basis of the lowest extended time payment plan offered by the institution and approved by the appropriate State approving agency; or

(ii)

the actual charge to the person for such course or courses.

(C)

Such allowance shall be paid quarterly on a pro rata basis for the lessons completed by the person and serviced by the institution.

(2)

In each case in which the amount of educational assistance is determined under paragraph (1), the period of entitlement of the person concerned shall be charged with one month for each amount equal to the amount of the monthly rate payable under subsection (b)(1)(A) for the fiscal year concerned which is paid to the individual as an educational assistance allowance.

(f)

Flight training

(1)

The Secretary of Veterans Affairs may approve the pursuit of flight training (in addition to a course of flight training that may be approved under section 3680A(b) of this title) by an individual entitled to educational assistance under this subchapter if—

(A)

such training is generally accepted as necessary for the attainment of a recognized vocational objective in the field of aviation;

(B)

the individual possesses a valid private pilot certificate and meets, on the day the individual begins a course of flight training, the medical requirements necessary for a commercial pilot certificate; and

(C)

the flight school courses meet Federal Aviation Administration standards for such courses and are approved by the Federal Aviation Administration and the State approving agency.

(2)

Each individual who is pursuing a program of education consisting exclusively of flight training approved as meeting the requirements of paragraph (1) shall be paid an educational assistance allowance under this subchapter in the amount equal to 60 percent of the established charges for tuition and fees which similarly circumstanced nonveterans enrolled in the same flight course are required to pay.

(3)

No educational assistance allowance may be paid under this subchapter to an individual for any month during which such individual is pursuing a program of education consisting exclusively of flight training until the Secretary has received from that individual and the institution providing such training a certification of the flight training received by the individual during that month and the tuition and other fees charged for that training.

(4)

The period of entitlement of an individual pursuing a program of education described in paragraph (1) shall be charged with one month for each amount equal to the amount of the monthly rate payable under subsection (b)(1)(A) for the fiscal year concerned which is paid to that individual as an educational assistance allowance for such program.

(5)

The number of solo flying hours for which an individual may be paid an educational assistance allowance under this subsection may not exceed the minimum number of solo flying hours required by the Federal Aviation Administration for the flight rating or certification which is the goal of the individual's flight training.

(g)

Individualized tutorial assistance

(1)
(A)

Subject to subparagraph (B), the Secretary of Veterans Affairs shall approve individualized tutorial assistance for any person entitled to educational assistance under this subchapter who—

(i)

is enrolled in and pursuing a postsecondary course of education on a half-time or more basis at an educational institution; and

(ii)

has a deficiency in a subject required as a part of, or which is prerequisite to, or which is indispensable to the satisfactory pursuit of, the program of education.

(B)

The Secretary of Veterans Affairs shall not approve individualized tutorial assistance for a person pursuing a program of education under this paragraph unless such assistance is necessary for the person to successfully complete the program of education.

(2)
(A)

Subject to subparagraph (B), the Secretary of Veterans Affairs shall pay to a person receiving individualized tutorial assistance pursuant to paragraph (1) a tutorial assistance allowance. The amount of the allowance payable under this paragraph may not exceed $100 for any month, nor aggregate more than $1,200. The amount of the allowance paid under this paragraph shall be in addition to the amount of educational assistance allowance payable to a person under this subchapter.

(B)

A tutorial assistance allowance may not be paid to a person under this paragraph until the educational institution at which the person is enrolled certifies that—

(i)

the individualized tutorial assistance is essential to correct a deficiency of the person in a subject required as a part of, or which is prerequisite to, or which is indispensable to the satisfactory pursuit of, an approved program of education;

(ii)

the tutor chosen to perform such assistance is qualified to provide such assistance and is not the person's parent, spouse, child (whether or not married or over eighteen years of age), brother, or sister; and

(iii)

the charges for such assistance do not exceed the customary charges for such tutorial assistance.

(3)
(A)

A person's period of entitlement to educational assistance under this subchapter shall be charged only with respect to the amount of tutorial assistance paid to the person under this subsection in excess of $600.

(B)

A person's period of entitlement to educational assistance under this subchapter shall be charged at the rate of one month for each amount of assistance paid to the individual under this section in excess of $600 that is equal to the amount of the monthly educational assistance allowance which the person is otherwise eligible to receive for full-time pursuit of an institutional course under this subchapter.

(h)

Courses beyond baccalaureate degree

A program of education in a course of instruction beyond the baccalaureate degree level shall be provided under this subchapter, subject to the availability of appropriations.

(i)

Special skills

(1)

In the case of a person who has a skill or specialty designated by the Secretary of the military department concerned as a skill or specialty in which there is a critical shortage of personnel or for which it is difficult to recruit or, in the case of critical units, retain personnel, the Secretary of the military department concerned may increase the rate of the educational assistance allowance applicable to that person to such rate in excess of the rate prescribed under subparagraphs (A) through (D) of subsection (b)(1) as the Secretary of Defense considers appropriate, but the amount of any such increase may not exceed $350 per month.

(2)

In the case of a person who has a skill or specialty designated by the Secretary of the military department concerned as a skill or specialty in which there is a critical shortage of personnel or for which it is difficult to recruit or, in the case of critical units, retain personnel, who is eligible for educational benefits under chapter 30 (other than section 3012) of this title and who meets the eligibility criteria specified in subparagraphs (A) and (B) of section 3302(a)(1) of this title, the Secretary of the military department concerned may increase the rate of the educational assistance allowance applicable to that person to such rate in excess of the rate prescribed under section 3015 of this title as the Secretary of Defense considers appropriate, but the amount of any such increase may not exceed $350 per month.

(3)

The authority provided by paragraphs (1) and (2) shall be exercised by the Secretaries of the military departments under regulations prescribed by the Secretary of Defense.

(j)

Licensing and certification

(1)

Subject to paragraph (3), the amount of educational assistance payable under this subchapter for a licensing or certification test described in section 3452(b) of this title is the lesser of $2,000 or the fee charged for the test.

(2)

The number of months of entitlement charged in the case of any individual for such licensing or certification test is equal to the number (including any fraction) determined by dividing the total amount of educational assistance paid such individual for such test by the full-time monthly institutional rate of educational assistance which, but for paragraph (1), such individual would otherwise be paid under subsection (b).

(3)

In no event shall payment of educational assistance under this subsection for such a test exceed the amount of the individual's available entitlement under this subchapter.

3302.

Eligibility for educational assistance

(a)

Eligibility

A person who—

(1)

after June 30, 1985—

(A)

enlists, reenlists, or extends an enlistment as a Reserve for service in the Selected Reserve for a period of not less than six years; or

(B)

is appointed as, or is serving as, a reserve officer and agrees to serve in the Selected Reserve for a period of not less than six years in addition to any other period of obligated service in the Selected Reserve to which the person may be subject; and

(2)

before applying for benefits under this section, has completed the requirements of a secondary school diploma (or an equivalency certificate);

is entitled to educational assistance under section 3301 of this title.
(b)

Active duty for training required

Educational assistance may not be provided to a member under this subchapter until the member has completed the initial period of active duty for training required of the member.

(c)

Notification

Each person who becomes entitled to educational assistance under subsection (a) shall at the time the person becomes so entitled be given a statement in writing summarizing the provisions of this subchapter and stating clearly and prominently the substance of sections 3304 and 3305 of this title as such sections may apply to the person. At the request of the Secretary of Veterans Affairs, the Secretary of Defense shall transmit a notice of entitlement for each such person to that Secretary.

(d)

Bar from dual eligibility

A person who serves in the Selected Reserve may not receive credit for such service under both the program established by chapter 30 of this title and the program established by this subchapter but shall elect (in such form and manner as the Secretary of Veterans Affairs may prescribe) the program to which such service is to be credited. However, a person may not receive credit under the program established by this subchapter for service (in any grade) on full-time active duty or full-time National Guard duty for the purpose of organizing, administering, recruiting, instructing, or training the reserve components in a position which is included in the end strength required to be authorized each year by section 115(a)(1)(B) of title 10.

3303.

Time limitation for use of entitlement

(a)

Time limitation

Except as provided in subsection (b), the period during which a person entitled to educational assistance under this subchapter may use such person's entitlement expires (1) at the end of the 14-year period beginning on the date on which such person becomes entitled to such assistance, or (2) on the date the person is separated from the Selected Reserve, whichever occurs first.

(b)

Exceptions

(1)

In the case of a person—

(A)

who is separated from the Selected Reserve because of a disability which was not the result of the individual's own willful misconduct incurred on or after the date on which such person became entitled to educational assistance under this subchapter; or

(B)

who, on or after the date on which such person became entitled to educational assistance under this subchapter ceases to be a member of the Selected Reserve during the period beginning on October 1, 1991, and ending on December 31, 2001, by reason of the inactivation of the person's unit of assignment or by reason of involuntarily ceasing to be designated as a member of the Selected Reserve pursuant to section 10143(a) of title 10,

the period for using entitlement prescribed by subsection (a) shall be determined without regard to clause (2) of such subsection.
(2)

The provisions of section 3031(f) of this title shall apply to the period of entitlement prescribed by subsection (a).

(3)

The provisions of section 3031(d) of this title shall apply to the period of entitlement prescribed by subsection (a) in the case of a disability incurred in or aggravated by service in the Selected Reserve.

(4)

In the case of a member of the Selected Reserve of the Ready Reserve who serves on active duty pursuant to an order to active duty issued under section 12301(a), 12301(d), 12301(g), 12302, or 12304 of title 10—

(A)

the period of such active duty service plus four months shall not be considered in determining the expiration date applicable to such member under subsection (a); and

(B)

the member may not be considered to have been separated from the Selected Reserve for the purposes of clause (2) of such subsection by reason of the commencement of such active duty service.

3304.

Termination of assistance

Educational assistance may not be provided under this subchapter—

(1)

to a member receiving financial assistance under section 2107 of title 10 as a member of the Senior Reserve Officers' Training Corps program; or

(2)

to a member who fails to participate satisfactorily in required training as a member of the Selected Reserve.

3305.

Failure to participate satisfactorily; penalties

(a)

Penalties

At the option of the Secretary of the military department concerned, in consultation with the Secretary of Veterans Affairs, a member of the Selected Reserve of an armed force who does not participate satisfactorily in required training as a member of the Selected Reserve during a term of enlistment or other period of obligated service that created entitlement of the member to educational assistance under this subchapter, and during which the member has received such assistance, may—

(1)

be ordered to active duty for a period of two years or the period of obligated service the person has remaining under section 3302 of this title, whichever is less; or

(2)

be subject to repayment requirements prescribed by the Secretary of Veterans Affairs that are similar to the repayment provisions under section 303a(e) of title 37.

(b)

Collection of funds

The Secretary of Veterans Affairs shall collect any amount required to be repaid under subsection (a)(2).

(c)

Effect of Repayment

Any repayment under subsection (a)(2) shall not affect the period of obligation of a member to serve as a Reserve in the Selected Reserve.

3306.

Administration of program

(a)

Payments

(1)

Except as provided under paragraph (2), payments for educational assistance under this subchapter shall be made from funds appropriated or otherwise made available to the Department of Veterans Affairs for fiscal year 2009 or any subsequent fiscal year for the payment of readjustment benefits.

(2)

Payments for increases in rates of educational assistance under section 3301(i) shall be made from amounts in the Department of Defense Education Benefits Fund under section 2006 of title 10. Amounts for such payments shall be made available to the Secretary in accordance with the provisions of section 2006(d) of title 10.

(b)

Program management

Except as otherwise provided in this subchapter, the provisions of sections 3470, 3471, 3474, 3476, 3482(g), 3483, and 3485 of this title and the provisions of subchapters I and II of chapter 36 of this title (with the exception of sections 3686(a) and 3687) shall be applicable to the provision of educational assistance under this subchapter. The term ‘eligible veteran’ and the term ‘person’, as used in those provisions, shall be deemed for the purpose of the application of those provisions to this subchapter to refer to a person eligible for educational assistance under this subchapter.

(c)

Application of benefits

The Secretary of Veterans Affairs may not make a distinction in the application of educational assistance benefits under this subchapter on the basis of whether a person who is eligible for educational assistance under this subchapter first became so eligible under former chapter 1606 of title 10, as in effect immediately on September 30, 2008.

3307.

Biennial report to Congress

The Secretary of Veterans Affairs, in coordination with the Secretary of Defense, shall submit to Congress a report not later than March 1 of each odd-numbered year concerning the operation of the educational assistance program established by this subchapter during the preceding two fiscal years. Each such report shall include the number of members of the Selected Reserve of the Ready Reserve of each armed force receiving, and the number entitled to receive, educational assistance under this subchapter during those fiscal years. The Secretary may submit the report more frequently and adjust the period covered by the report accordingly.

II

Reserve Component Members Supporting Contingency Operations and Certain Other Operations

3321.

Purpose

The purpose of this subchapter is to provide educational assistance to members of the reserve components called or ordered to active service in response to a war or national emergency declared by the President or Congress, in recognition of the sacrifices that those members make in answering the call to duty.

3322.

Educational assistance program

(a)

Program Establishment

The Secretary of Veterans Affairs, shall establish and maintain a program as prescribed in this subchapter to provide educational assistance to members of the Ready Reserve of the Armed Forces. The Secretary of each military department shall, under regulations prescribed by the Secretary of Defense, provide to individuals who meet the eligibility requirements under section 3323 of this title the opportunity to receive educational assistance under this subchapter.

(b)

Authorized Education Programs

Educational assistance may be provided under this subchapter for pursuit of any program of education that is an approved program of education for purposes of chapter 30 of this title.

(c)

Benefit Amount

(1)

The educational assistance program established under subsection (a) shall provide for payment by the Secretary of Veterans Affairs of an educational assistance allowance to each member entitled to educational assistance under this subchapter who is pursuing a program of education authorized under subsection (b).

(2)

The educational assistance allowance provided under this subchapter shall be based on the applicable percent under paragraph (4) to the applicable rate provided under section 3015 of this title for a member whose entitlement is based on completion of an obligated period of active duty of three years.

(3)

The educational assistance allowance provided under this section for a person who is undertaking a program for which a reduced rate is specified in chapter 30 of this title, that rate shall be further adjusted by the applicable percent specified in paragraph (4).

(4)

The adjusted educational assistance allowance under paragraph (2) or (3), as applicable, shall be—

(A)

40 percent in the case of a member of a reserve component who performed active service for 90 consecutive days but less than one continuous year;

(B)

60 percent in the case of a member of a reserve component who performed active service for one continuous year but less than two continuous years; or

(C)

80 percent in the case of a member of a reserve component who performed active service for two continuous years or more.

(d)

Maximum Months of Assistance

(1)

Subject to section 3695 of this title, the maximum number of months of educational assistance that may be provided to any member under this subchapter is 36 (or the equivalent thereof in part-time educational assistance).

(2)
(A)

Notwithstanding any other provision of this subchapter or chapter 36 of this title, any payment of an educational assistance allowance described in subparagraph (B) shall not—

(i)

be charged against the entitlement of any individual under this subchapter; or

(ii)

be counted toward the aggregate period for which section 3695 of this title limits an individual's receipt of assistance.

(B)

The payment of the educational assistance allowance referred to in subparagraph (A) is the payment of such an allowance to the individual for pursuit of a course or courses under this subchapter if the Secretary of Veterans Affairs finds that the individual—

(i)

had to discontinue such course pursuit as a result of being ordered to serve on active duty under section 12301(a), 12301(d), 12301(g), 12302, or 12304 of title 10; and

(ii)

failed to receive credit or training time toward completion of the individual's approved educational, professional, or vocational objective as a result of having to discontinue, as described in clause (i), the individual's course pursuit.

(C)

The period for which, by reason of this subsection, an educational assistance allowance is not charged against entitlement or counted toward the applicable aggregate period under section 3695 of this title shall not exceed the portion of the period of enrollment in the course or courses for which the individual failed to receive credit or with respect to which the individual lost training time, as determined under subparagraph (B)(ii).

(e)

Availability of Assistance for Licensing and Certification Tests

The provisions of section 3301(j) of this title shall apply to the provision of educational assistance under this subchapter, except that, in applying such section under this subchapter, the reference to subsection (b) in paragraph (2) of such section is deemed to be a reference to subsection (c) of this section.

(f)

Flight Training

The Secretary of Veterans Affairs may approve the pursuit of flight training (in addition to a course of flight training that may be approved under section 3680A(b) of this title) by an individual entitled to educational assistance under this subchapter if—

(1)

such training is generally accepted as necessary for the attainment of a recognized vocational objective in the field of aviation;

(2)

the individual possesses a valid private pilot certificate and meets, on the day the member begins a course of flight training, the medical requirements necessary for a commercial pilot certificate; and

(3)

the flight school courses meet Federal Aviation Administration standards for such courses and are approved by the Federal Aviation Administration and the State approving agency.

3323.

Eligibility for educational assistance

(a)

Eligibility

On or after September 11, 2001, a member of a reserve component is entitled to educational assistance under this subchapter if the member—

(1)

served on active duty in support of a contingency operation for 90 consecutive days or more; or

(2)

in the case of a member of the Army National Guard of the United States or Air National Guard of the United States, performed full time National Guard duty under section 502(f) of title 32 for 90 consecutive days or more when authorized by the President or Secretary of Defense for the purpose of responding to a national emergency declared by the President and supported by Federal funds.

(b)

Disabled Members

Notwithstanding the eligibility requirements in subsection (a), a member who was ordered to active service as prescribed under subsection (a)(1) or (a)(2) but is released from duty before completing 90 consecutive days because of an injury, illness or disease incurred or aggravated in the line of duty shall be entitled to educational assistance under this subchapter at the rate prescribed in section 3322(c)(4)(A) of this title.

(c)

Written Notification

(1)

Each member who becomes entitled to educational assistance under subsection (a) shall be given a statement in writing prior to release from active service that summarizes the provisions of this subchapter and stating clearly and prominently the substance of section 3325 of this title as such section may apply to the member.

(2)

At the request of the Secretary of Veterans Affairs, the Secretary of the military department concerned shall transmit a notice of entitlement for each such member to that Secretary.

(d)

Bar From Dual Eligibility

A member who qualifies for educational assistance under this subchapter may not receive credit for such service under both the program established by chapter 30 of this title and the program established by this subchapter but shall make an irrevocable election (in such form and manner as the Secretary of Veterans Affairs may prescribe) as to the program to which such service is to be credited.

(e)

Bar From Duplication of Educational Assistance Allowance

(1)

Except as provided in paragraph (2), an individual entitled to educational assistance under this subchapter who is also eligible for educational assistance under subchapter I of this chapter, chapter 30, 31, 32, or 35 of this title, or under the Hostage Relief Act of 1980 (Public Law 96–449; 5 U.S.C. 5561 note) may not receive assistance under more than one such programs and shall elect (in such form and manner as the Secretary of Veterans Affairs may prescribe) under which program the member elects to receive educational assistance.

(2)

The restriction on duplication of educational assistance under paragraph (1) does not apply to the entitlement of educational assistance under section 3301(i) of this title.

3324.

Time limit for use of entitlement

(a)

Duration of Entitlement

Except as provided in subsection (b), a member remains entitled to educational assistance under this subchapter while serving—

(1)

in the Selected Reserve of the Ready Reserve, in the case of a member called or ordered to active service while serving in the Selected Reserve; or

(2)

in the Ready Reserve, in the case of a member ordered to active duty while serving in the Ready Reserve (other than the Selected Reserve).

(b)

Duration of Entitlement for Disabled Members

(1)

In the case of a person who is separated from the Ready Reserve because of a disability which was not the result of the individual's own willful misconduct incurred on or after the date on which such person became entitled to educational assistance under this subchapter, such person's entitlement to educational assistance expires at the end of the 10-year period beginning on the date on which such person became entitled to such assistance.

(2)

The provisions of subsections (d) and (f) of section 3031 of this title shall apply to the period of entitlement prescribed by paragraph (1).

3325.

Termination of assistance

(a)

In General

Except as provided in subsection (b), educational assistance may not be provided under this subchapter, or if being provided under this subchapter, shall be terminated—

(1)

if the member is receiving financial assistance under section 2107 of title 10 as a member of the Senior Reserve Officers' Training Corps program; or

(2)

when the member separates from the Ready Reserve, as provided for under section 3324(a)(1) or section 3324(a)(2), as applicable, of this title.

(b)

Exception

Under regulations prescribed by the Secretary of Defense, educational assistance may be provided under this subchapter to a member of the Selected Reserve of the Ready Reserve who incurs a break in service in the Selected Reserve of not more than 90 days if the member continues to serve in the Ready Reserve during and after such break in service.

3326.

Administration of program

(a)

Payments

Payments for educational assistance under this subchapter shall be made from funds appropriated or otherwise made available to the Department of Veterans Affairs for fiscal year 2009 or any subsequent fiscal year for the payment of readjustment benefits.

(b)

Program Management

Except as otherwise provided in this subchapter, the provisions of sections 3470, 3471, 3474, 3476, 3482(g), 3483, and 3485 of this title and the provisions of subchapters I and II of chapter 36 of this title (with the exception of sections 3686(a) and 3687) shall be applicable to the provision of educational assistance under this subchapter. The term eligible veteran and the term person, as used in those provisions, shall be deemed for the purpose of the application of those provisions to this subchapter to refer to a person eligible for educational assistance under this subchapter.

(c)

Application of benefits

The Secretary of Veterans Affairs may not make a distinction in the application of educational assistance benefits under this subchapter on the basis of whether a person who is eligible for educational assistance under this subchapter first became so eligible under former chapter 1607 of title 10, as in effect immediately on September 30, 2008.

.

(b)

Transfer of amounts for benefits accrued before October 1, 2008

(1)

Fiscal year 2009

By not later than October 1, 2008, the Secretary of Defense shall transfer to the Secretary of Veterans Affairs from the funds in the Department of Defense Education Benefits Fund under section 2006 of title 10, United States Code, that are attributable to armed forces education liabilities under chapters 1606 and 1607 of such title (other than such liabilities under section 16131(i) of such title) that accrue before such date, such funds as may be required by the Secretary of Veterans Affairs to make payments with respect to such liabilities during fiscal year 2009. Such amounts shall be deposited into the Readjustment Benefits Account of the Department of Veterans Affairs and shall be used only by the Secretary of Veterans Affairs to make payments of educational assistance under chapter 33 of title 38, United States Code, as added by subsection (a). Funds deposited in the Readjustment Benefits Account under this paragraph may not be used to pay any benefit that is payable from the Readjustment Benefits Account other than a payment of educational assistance under chapter 33 of title 38, United States Code, as added by subsection (a).

(2)

Treatment of receipts

Receipts that would otherwise be credited to the account established for the payment of benefits under the Department of Defense Education Benefits Fund under section 2006 of title 10, United States Code, for the payment of benefits under the chapters 1606 and 1607 of such title (other than such benefits under section 16131(i) of such title), shall be credited to the Readjustment Benefits Account of the Department of Veterans Affairs and merged with funds deposited in that account under paragraph (1), to be available for the same purposes and subject to the same limitations as such funds.

(3)

Agreement for subsequent fiscal years

By not later than October 1, 2008, the Secretary of Defense and the Secretary of Veterans Affairs shall enter into an agreement under which the Secretary of Defense shall transfer to the Secretary of Veterans Affairs all remaining funds in the Department of Defense Education Benefits Fund under section 2006 of title 10, United States Code, that are attributable to armed forces liabilities under the former chapters 1606 and 1607 of such title (other than such liabilities under section 16131(i) of such title) that accrue before such date. Such amounts shall be deposited into the education account of the Readjustment Benefits Account of the Department of Veterans Affairs and shall be available to the Secretary of Veterans Affairs to make payments of educational assistance under chapter 33 of title 38, United States Code, as added by subsection (a).

(4)

Report

By not later than October 1, 2008, the Secretary of Defense shall submit to the congressional defense committees, the Committee on Veterans Affairs of the Senate, and the Committee on Veterans Affairs of the House of Representatives a detailed report on the agreement between the Secretary of Defense and the Secretary of Veterans Affairs and the status of the transfer of funds described in paragraph (2). Such report shall include the date on which the Secretary of Defense has agreed to complete such transfer.

(c)

Clerical amendments

The tables of chapters at the beginning of title 38, United States Code, and at the beginning of part III of such title, are each amended by inserting after the item relating to chapter 32 the following new item:

“33. Educational Assistance for Members of the Reserve Components3301”.
(d)

Technical and conforming amendments

(1)

Conforming Amendments on Bar on Dual Eligibility for Benefits

(A)

Section 3033 of title 38, United States Code, is amended—

(i)

in subsection (a)(1), by striking chapter 106 or 107 of title 10 and inserting under subchapter I or subchapter II of chapter 33 of this title, under chapter 107 of title 10; and

(ii)

in subsection (c), by striking chapter 106 of title 10 and inserting subchapter I of chapter 33 of this title.

(B)

Section 3221(f) of such title is amended by striking chapter 106 of title 10 and inserting subchapter I of chapter 33 of this title.

(C)

Section 3681 of such title is amended—

(i)

in subsection (a), by striking 34, 35, or 36 of this title or 106 or 107 of title 10, and inserting 33, 34, 35, or 36 of this title; and

(ii)

in subsection (b)—

(I)

in paragraph (1), by inserting before the period the following: , and subchapters I and II of chapter 33 of this title; and

(II)

in paragraph (2), by striking Chapters 106 and and inserting Chapter.

(2)

Conforming Amendments Relating to Department of Defense Education Benefits Fund

(A)

Definition of armed forces education liabilities

Paragraph (1) of section 2006(b) of title 10, United States Code, is amended to read as follows:

(1)

The term armed forces education liabilities means liabilities of the armed forces for benefits under chapter 30 and section 3301(i) of title 38 and for Department of Defense benefits under paragraphs (3) and (4) of section 510(e) of this title, including funds provided by the Secretary of Homeland Security for education liabilities for the Coast Guard when it is not operating as a service in the Department of the Navy.

.

(B)

Definition of normal cost

Paragraph (2) of such section is amended by striking subparagraph (C) and inserting the following new subparagraph:

(C)

The present value of the future Department of Defense benefits payable from the Fund (including funds from the Department in which the Coast Guard is operating) for educational assistance under section 3301(i) of title 38 to persons who during such period become entitled to such assistance.

.

(3)

Cross-Reference Amendments

(A)

Chapter 106 of title 10, united states code

(i)

Section 2131 of title 10, United States Code, is amended to read as follows:

2131.

Reference to subchapter I of chapter 33 of title 38

Provisions of law related to educational assistance for members of the Selected Reserve under the Montgomery GI Bill program, as formerly set forth in this chapter and chapter 1606 of this title, are set forth in subchapter I of chapter 33 of title 38 (beginning with section 3301 of title 38).

.

(ii)

The table of sections at the beginning of chapter 106 of such title is amended by striking the item relating to section 2131 and inserting the following new item:

2131. Reference to subchapter I of chapter 33 of title 38.

.

(B)

Chapter 1606 of title 10, united states code

Chapter 1606 of such title is amended by striking all after the chapter heading and inserting the following:

Sec.

16131. Reference to subchapter I of chapter 33 of title 38.

16131.

Reference to subchapter I of chapter 33 of title 38

Provisions of law related to educational assistance for members of the Selected Reserve under the Montgomery GI Bill program, as formerly set forth in this chapter, are set forth in subchapter I of chapter 33 of title 38 (beginning with section 3301 of that title).

.

(C)

Chapter 1607 of title 10, united states code

Chapter 1607 of such title is amended by striking all after the chapter heading and inserting the following:

Sec.

16161. Reference to subchapter II of chapter 33 of title 38.

16161.

Reference to subchapter II of chapter 33 of title 38

Provisions of law related to educational assistance for members of the reserve components of the Armed Forces supporting contingency operations and certain other operations, as formerly set forth in this chapter, are set forth in subchapter II of chapter 33 of title 38 (beginning with section 3321 of that title).

.

(4)

Additional Conforming Amendments

(A)

Title 38, united states code

(i)

Section 3485 of title 38, United States Code, is amended—

(I)

in subsection (a)(4)(E), by striking chapter 1606 or 1607 of title 10 and inserting chapter 33 of this title;

(II)

in subsection (b), by striking chapter 30, 31, 32, or 34 of this title or chapter 1606 or 1607 of title 10, and inserting chapter 30, 31, 32, 33, or 34 of this title; and

(III)

in subsection (e)(1)—

(aa)

by striking , chapter 30, 31, 32, 35, or 36 of this title, or chapter 1606 or 1607 of title 10 and inserting or chapter 30, 31, 32, 33, 35, or 36 of this title; and

(bb)

by striking section 2135 of such title and inserting section 3305 of this title.

(ii)

Section 3672(c) of such title is amended—

(I)

in paragraph (3)(A), by striking chapters 30 and 35 of this title and chapter 1606 of title 10 and inserting chapters 30, 33, and 35 of this title; and

(II)

in paragraph (4), by striking chapter 30 or 35 of this title, or chapter 1606 of title 10, as the case may be and inserting chapter 30, 33, or 35 of this title.

(iii)

Section 3674 of such title is amended—

(I)

in subsection (a)(1), by striking and chapter 106 of title 10; and

(II)

in subsection (c), by inserting 33, after 32,.

(iv)

Section 3680A(d)(1) of such title is amended—

(I)

by striking or under chapter 106 of title 10 the first place it appears; and

(II)

by striking or chapter 30, 31, 32, or 35 of this title or under chapter 106 of title 10 and inserting or chapter 30, 31, 32, 33, or 35 of this title.

(v)

Section 3684A(a)(1) of such title is amended by striking chapter 30 or 32 of this title or in chapter 106 of title 10 and inserting chapter 30, 32, or 33 of this title.

(vi)

Section 3688(b) of such title is amended by striking , chapter 30, 32, or 35 of this title, or chapter 106 of title 10 and inserting or chapter 30, 32, 33, or 35 of this title.

(vii)

Section 3689 of such title is amended by inserting 33, after 32, each place it appears.

(viii)

Section 3692 of such title is amended—

(I)

in subsection (a), by striking or 35 of this title and chapter 1606 of title 10 and inserting 33, or 35 of this title; and

(II)

in subsection (b), by striking , chapters 30, 32, and 35 of this title, and chapter 1606 of title 10 and inserting and chapters 30, 32, 33, and 35 of this title.

(ix)

Section 3695(a) of such title is amended—

(I)

by striking paragraph (4) and inserting the following new paragraph (4):

(4)

Chapters 30, 32, 34, 35, and 36 of this title and subchapters I and II of chapter 33 of this title.

; and

(II)

in paragraph (5), by striking , 1606, 1607,.

(x)

Section 3697(a) of such title is amended by striking chapter 30, 32, 34, or 35 of this title, or chapter 106 of title 10, and inserting chapter 30, 32, 33, 34, or 35 of this title.

(xi)

Section 3697A(b)(1) of such title is amended by striking or 32 of this title or chapter 106 and inserting 32, or 33 of this title or chapter.

(B)

Title 10, united states code

Section 510(h) of title 10, United States Code, is amended—

(i)

in paragraph (1)—

(I)

in subparagraph (A), by striking additional educational assistance under chapter 1606 of this title or to basic educational assistance under subchapter II of chapter 30 of title 38 and inserting basic educational assistance under subchapter II of chapter 30 of title 38 or educational assistance under subchapter I of chapter 33 of that title; and

(II)

in subparagraph (B)—

(aa)

by striking chapter 1606 of this title or chapter 30 of title 38 and inserting chapter 30 or subchapter I of chapter 33 of title 38; and

(bb)

by striking either such chapter each place it appears and inserting either such provisions; and

(ii)

in paragraph (3)(A), by striking educational assistance under chapter 1606 of this title and all that follows through as the case may be and inserting basic educational assistance under chapter 30 of title 38 or educational assistance under subchapter I of chapter 33 of that title from an entitlement to such basic educational assistance under chapter 30 of that title or educational assistance under subchapter I of chapter 33 of that title, as the case may be.

(C)

Elementary and secondary education act of 1965

Section 2304(g) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6674(g)) is amended by striking chapter 30 of title 38 or chapter 1606 of title 10 and inserting chapter 30 or 33 of title 38.

(D)

Internal Revenue Code of 1986

Section 25A(g)(2)(B) of the Internal Revenue Code of 1986 is amended by striking chapter 30, 31, 32, 34, or 35 of title 38, United States Code, or under chapter 1606 of title 10, United States Code and inserting chapter 30, 31, 32, 33, 34, or 35 of title 38, United States Code.

(e)

Effective date

This section and the amendments made by this section shall take effect on October 1, 2008.

526.

Secretary of Defense evaluation of the adequacy of the degree-granting authorities of certain military universities and educational institutions

(a)

Evaluation required

The Secretary of Defense shall carry out an evaluation of the degree-granting authorities provided by title 10, United States Code, to the academic institutions specified in subsection (b). The evaluation shall assess whether the current process, under which each degree conferred by each institution must have a statutory authorization, remains adequate, appropriate, and responsive enough to meet emerging military service education requirements.

(b)

Specified institutions

The academic institutions covered by subsection (a) are the following:

(1)

The National Defense University.

(2)

The Army War College and the United States Army Command and General Staff College.

(3)

The College of Naval Warfare and the College of Naval Command and Staff.

(4)

The United States Naval Postgraduate School.

(5)

Air University and the United States Air Force Institute of Technology.

(6)

The Marine Corps University.

(c)

Report

Not later than April 1, 2008, the Secretary shall submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives a report on the evaluation. The report shall include the results of the evaluation and any recommendations for changes to policy or law that the Secretary considers appropriate.

527.

Navy Junior Reserve Officers’ Training Corps unit for Southold, Mattituck, and Greenport high schools

For purposes of meeting the requirements of section 2031(b) of title 10, United States Code, the Secretary of the Navy may, and to the extent the schools request shall, treat any two or more of the following schools (all in Southold, Suffolk County, New York) as a single institution:

(1)

Southold High School.

(2)

Mattituck High School.

(3)

Greenport High School.

D

General Service Authorities

531.

Authority to reduce required service obligation for initial appointment of qualified health professionals as officers in critical specialties

Section 651 of title 10, United States Code, is amended by adding at the end the following new subsection:

(c)

For the armed forces under the jurisdiction of the Secretary of Defense, the Secretary may reduce the total initial period of required service to less than the minimum otherwise established pursuant to subsection (a) in the case of the initial appointment of a commissioned officer in a critically short health professional specialty, as determined by the Secretary. The period of required service may not be reduced to less than two years.

.

532.

Reenlistment in former enlisted grade after service as an officer

(a)

Regular Army

Section 3258 of title 10, United States Code, is amended—

(1)

in subsection (a)—

(A)

by striking a Reserve officer and inserting an officer; and

(B)

by striking a temporary appointment and inserting an appointment; and

(2)

in subsection (b)—

(A)

in paragraph (1), by striking a Reserve officer and inserting an officer; and

(B)

in paragraph (2), by striking Reserve.

(b)

Regular air force

Section 8258 of such title is amended—

(1)

in subsection (a)—

(A)

by striking a reserve officer and inserting an officer; and

(B)

by striking a temporary appointment and inserting an appointment; and

(2)

in subsection (b)—

(A)

in paragraph (1), by striking a Reserve officer and inserting an officer; and

(B)

in paragraph (2), by striking Reserve.

E

Military Justice and Legal Assistance Matters

541.

Authority to designate certain civilian employees of the Federal Government as eligible for legal assistance from Department of Defense legal staff resources

Section 1044(a) of title 10, United States Code, is amended by adding at the end the following new paragraph:

(6)

Civilian employees of the Federal Government serving with, or preparing to serve with, an armed force in support of a contingency operation, as designated in regulations prescribed by the Secretary concerned.

.

F

Decorations and Awards

551.

Authorization and request for award of Medal of Honor to Leslie H. Sabo, Jr., for acts of valor during the Vietnam War

(a)

Authorization

Notwithstanding the time limitations specified in section 3744 of title 10, United States Code, or any other time limitation with respect to the awarding of certain medals to persons who served in the Armed Forces, the President is authorized and requested to award the Medal of Honor under section 3741 of such title to Leslie H. Sabo, Jr., for the acts of valor during the Vietnam War described in subsection (b).

(b)

Acts of valor described

The acts of valor referred to in subsection (a) are the actions of Leslie H. Sabo, Jr., on May 10, 1970, as a member of the United States Army serving in the grade of Specialist Four in the Republic of Vietnam with Company B of the 3d Battalion, 506th Infantry Regiment, 101st Airborne Division.

552.

Authorization and request for award of Medal of Honor to Henry Svehla for acts of valor during the Korean War

(a)

Authorization

Notwithstanding the time limitations specified in section 3744 of title 10, United States Code, or any other time limitation with respect to the awarding of certain medals to persons who served in the Armed Forces, the President is authorized and requested to award the Medal of Honor under section 3741 of such title to Henry Svehla for the acts of valor described in subsection (b).

(b)

Acts of valor described

The acts of valor referred to in subsection (a) are the actions of Henry Svehla on June 12, 1952, as a member of the United States Army serving in the grade of Private First Class in Korea with Company F of the 32d Infantry Regiment, 7th Infantry Division.

553.

Authorization and request for award of Medal of Honor to Woodrow W. Keeble for acts of valor during the Korean War

(a)

Waiver of time limitations

Notwithstanding the time limitations specified in section 3744 of title 10, United States Code, or any other time limitation with respect to the awarding of certain medals to persons who served in the Armed Forces, the President is authorized and requested to award the Medal of Honor under section 3741 of such title to Woodrow W. Keeble for the acts of valor described in subsection (b).

(b)

Acts of valor described

The acts of valor referred to in subsection (a) are the actions of Woodrow W. Keeble of the United States Army as an acting platoon leader on October 20, 1950, during the Korean War.

554.

Authorization and request for award of Medal of Honor to Private Philip G. Shadrach for acts of valor during the Civil War

(a)

Authorization

Notwithstanding the time limitations specified in section 3744 of title 10, United States Code, or any other time limitation with respect to the awarding of certain medals to persons who served in the Armed Forces, the President is authorized and requested to award the Medal of Honor under section 3741 of title 10, United States Code, posthumously to Private Philip G. Shadrach of Company K, 2nd Ohio Volunteer Infantry Regiment for the acts of valor described in subsection (b).

(b)

Acts of valor described

The acts of valor referred to in subsection (a) are the actions of Philip G. Shadrach as one of Andrews Raiders during the Civil War on April 12, 1862.

555.

Authorization and request for award of Medal of Honor to Private George D. Wilson for acts of valor as one of Andrews Raiders during the Civil War

(a)

Authorization

The President is authorized and requested to award the Medal of Honor under section 3741 of title 10, United States Code, posthumously to Private George D. Wilson of Company B, 2nd Ohio Volunteer Infantry Regiment for the acts of valor described in subsection (b).

(b)

Acts of valor described

The acts of valor referred to in subsection (a) are the actions of George D. Wilson as one of Andrews Raiders during the Civil War on April 12, 1862.

556.

Cold War Victory Medal

(a)

Authority

Chapter 57 of title 10, United States Code, is amended by adding at the end the following new section:

1135.

Cold War Victory Medal

(a)

Medal authorized

The Secretary concerned shall issue a service medal, to be known as the Cold War Victory Medal, to persons eligible to receive the medal under subsection (b). The Cold War Victory Medal shall be of an appropriate design approved by the Secretary of Defense, with ribbons, lapel pins, and other appurtenances.

(b)

Eligible persons

The following persons are eligible to receive the Cold War Victory Medal:

(1)

A person who—

(A)

performed active duty or inactive duty training as an enlisted member during the Cold War;

(B)

completed the person’s initial term of enlistment or, if discharged before completion of such initial term of enlistment, was honorably discharged after completion of not less than 180 days of service on active duty; and

(C)

has not received a discharge less favorable than an honorable discharge or a release from active duty with a characterization of service less favorable than honorable.

(2)

A person who—

(A)

performed active duty or inactive duty training as a commissioned officer or warrant officer during the Cold War;

(B)

completed the person’s initial service obligation as an officer or, if discharged or separated before completion of such initial service obligation, was honorably discharged after completion of not less than 180 days of service on active duty; and

(C)

has not been released from active duty with a characterization of service less favorable than honorable and has not received a discharge or separation less favorable than an honorable discharge.

(c)

One award authorized

Not more than one Cold War Victory Medal may be issued to any person.

(d)

Issuance to representative of deceased

If a person described in subsection (b) dies before being issued the Cold War Victory Medal, the medal shall be issued to the person’s representative, as designated by the Secretary concerned.

(e)

Replacement

Under regulations prescribed by the Secretary concerned, a Cold War Victory Medal that is lost, destroyed, or rendered unfit for use without fault or neglect on the part of the person to whom it was issued may be replaced without charge.

(f)

Application for medal

The Cold War Victory Medal shall be issued upon receipt by the Secretary concerned of an application for such medal, submitted in accordance with such regulations as the Secretary prescribes.

(g)

Uniform regulations

The Secretary of Defense shall ensure that regulations prescribed by the Secretaries of the military departments under this section are uniform so far as is practicable.

(h)

Definition

In this section, the term Cold War means the period beginning on September 2, 1945, and ending at the end of December 26, 1991.

.

(b)

Clerical amendment

The table of sections at the beginning of such chapter is amended by adding at the end the following new item:

1135. Cold War Victory Medal.

.

G

Impact Aid and Defense Dependents Education System

561.

Tuition assistance for military dependents in overseas areas where schools operated by Defense Dependents' Education System are not reasonably available

Section 1407(b)(1) of the Defense Dependents’ Education Act of 1978 (20 U.S.C. 926(b)(1)) is amended in the first sentence by inserting , including private boarding schools in the United States, after attend schools.

562.

Continuation of authority to assist local educational agencies that benefit dependents of members of the Armed Forces and Department of Defense civilian employees

(a)

Assistance to schools with significant numbers of military dependent students

Of the amount authorized to be appropriated pursuant to section 301(5) for operation and maintenance for Defense-wide activities, $50,000,000 shall be available only for the purpose of providing assistance to local educational agencies under subsection (a) of section 572 of the National Defense Authorization Act for Fiscal Year 2006 (Public Law 109–163; 119 Stat. 3271; 20 U.S.C. 7703b).

(b)

Assistance to schools with enrollment changes due to base closures, force structure changes, or force relocations

Of the amount authorized to be appropriated pursuant to section 301(5) for operation and maintenance for Defense-wide activities, $15,000,000 shall be available only for the purpose of providing assistance to local educational agencies under subsection (b) of such section 572.

(c)

Local educational agency defined

In this section, the term local educational agency has the meaning given that term in section 8013(9) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7713(9)).

H

Other Matters

571.

Extension of authority to accept gifts, devises, or bequests to benefit members of the Armed Forces, dependents, and civilian employees of the Department of Defense

Section 2601(b)(4) of title 10, United States Code, is amended by striking December 31, 2007 and inserting December 31, 2010.

572.

Uniform performance policies for military bands and other musical units

(a)

In general

(1)

Consolidation of separate authorities

Chapter 49 of title 10, United States Code, is amended by inserting after section 973 the following new section:

974.

Uniform performance policies for military bands and other musical units

(a)

Restrictions on competition and remuneration

Bands, ensembles, choruses, or similar musical units of the armed forces, including individual members of such a unit performing in an official capacity, may not—

(1)

perform music in competition with local civilian musicians; or

(2)

receive remuneration for official performances.

(b)

Members

A member of a band, ensemble, chorus, or similar musical unit of the armed forces may perform music in the member’s personal capacity, as an individual or part of a group, for remuneration or otherwise, if the member does not wear a military uniform for the performance, does not identify himself or herself as a member of the armed forces in connection with the performance, and complies with all applicable regulations and standards of conduct.

(c)

Recordings

Bands, ensembles, choruses, or similar musical units of the armed forces, when authorized pursuant to Department of Defense regulations, may produce recordings for distribution to the public at a cost not to exceed production and distribution expenses. The proceeds from such recordings shall be credited to the appropriation used to cover production and distribution expenses.

(d)

Competition defined

(1)

In this section, the term perform music in competition with local civilian musicians includes performances—

(A)

that are more than incidental to events that are not supported solely by appropriated funds and are not free to the public; and

(B)

of background, dinner, dance, or other social music at events, regardless of location, that are not supported solely by appropriated funds.

(2)

The term does not include performances—

(A)

at official Federal Government events that are supported solely by appropriated funds;

(B)

at concerts, parades, and other events that are patriotic events or celebrations of national holidays and are free to the public; or

(C)

that are incidental, such as short performances of military or patriotic music to open or close events, to events that are not supported solely by appropriated funds, in compliance with applicable rules and regulations.

.

(2)

Clerical amendment

The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 973 the following new item:

974. Uniform performance policies for military bands and other musical units.

.

(b)

Repeal of separate service authorities

(1)

Repeal

Sections 3634, 6223, and 8634 of such title are repealed.

(2)

Table of sections

(A)

The table of sections at the beginning of chapter 349 of such title is amended by striking the item relating to section 3634.

(B)

The table of sections at the beginning of chapter 565 of such title is amended by striking the item relating to section 6223.

(C)

The table of sections at the beginning of chapter 849 of such title is amended by striking the item relating to section 8634.

573.

Repeal of limitation on number of academies of Department of Defense STARBASE Program in a single State

Section 2193b(c) of title 10, United States Code, is amended by striking paragraph (3).

574.

Combat veterans mentoring program for current members of the Armed Forces

(a)

Program required

The Secretary of Defense, in coordination with the Secretaries of the military departments, shall institute a program to give veterans of the Armed Forces who have served in combat the opportunity to meet on a regular basis with, to inform, to exchange ideas with, and to mentor current members of the Armed Forces.

(b)

Elements of program

The program may build on existing programs within the military departments, where they exist, and shall focus on providing members of the Armed Forces, particularly military personnel and leaders at the small unit level, varied perspectives on both the human and military aspects of war from those who have experienced it. In carrying out the program, the Secretary shall seek to provide opportunities for the combat veterans not only to meet with current members of the Armed Forces before and after their deployment to combat zones, but also during deployments.

575.

Recognition of members of the Monuments, Fine Arts, and Archives program of the Civil Affairs and Military Government Sections of the Armed Forces during and following World War II

Congress hereby—

(1)

recognizes the men and women who served in the Monuments, Fine Arts, and Archives program (MFAA) under the Civil Affairs and Military Government Sections of the United States Armed Forces for their heroic role in the preservation, protection, and restitution of monuments, works of art, and other artifacts of inestimable cultural importance in Europe and Asia during and following World War II;

(2)

recognizes that without their dedication and service, many more of the world’s artistic and historic treasures would have been destroyed or lost forever amidst the chaos and destruction of World War II;

(3)

acknowledges that the detailed catalogues, documentation, inventories, and photographs developed and compiled by MFAA personnel during and following World War II, have made, and continue to make, possible the restitution of stolen works of art to their rightful owners; and

(4)

commends and extols the members of the MFAA for establishing a precedent for action to protect cultural property in the event of armed conflict, and by their action setting a standard not just for one country, but for people of all nations to acknowledge and uphold.

576.

Program to commemorate 50th anniversary of the Vietnam War

(a)

Commemorative program

The Secretary of Defense shall conduct a program to commemorate the 50th anniversary of the Vietnam War. In conducting the commemorative program, the Secretary shall coordinate, support, and facilitate other programs and activities of the Federal Government, State and local governments, and other persons and organizations in commemoration of the Vietnam War.

(b)

Commencement and duration of program

The commemorative program shall commence not later than 180 days after the date of the enactment of this Act and continue through December 31, 2025. The Secretary of Defense shall determine the schedule of major events and priority of efforts during that period in order to ensure achievement of the objectives specified in subsection (c).

(c)

Commemorative activities and objectives

The commemorative program may include activities and ceremonies to achieve the following objectives:

(1)

To thank and honor veterans of the Vietnam War, including personnel who were held as prisoners of war or listed as missing in action, for their service and sacrifice on behalf of the United States and to thank and honor the families of these veterans.

(2)

To highlight the service of the Armed Forces during the Vietnam War and the contributions of Federal agencies and governmental and non-governmental organizations that served with, or in support of, the Armed Forces.

(3)

To pay tribute to the contributions made on the home front by the people of the United States during the Vietnam War.

(4)

To highlight the advances in technology, science, and medicine related to military research conducted during the Vietnam War.

(5)

To recognize the contributions and sacrifices made by the allies of the United States during the Vietnam War.

(d)

Names and symbols

The Secretary of Defense shall have the sole and exclusive right to use the name The United States of America Vietnam War Commemoration, and such seal, emblems, and badges incorporating such name as the Secretary may lawfully adopt. Nothing in this section may be construed to supersede rights that are established or vested before the date of the enactment of this Act.

(e)

Commemorative fund

(1)

Establishment and administration

There is established in the Treasury of the United States an account to be known as the Department of Defense Vietnam War Commemoration Fund (in this section referred to as the Fund). The Fund shall be administered by the Secretary of Defense.

(2)

Use of fund

The Secretary shall use the assets of the Fund only for the purpose of conducting the commemorative program and shall prescribe such regulations regarding the use of the Fund as the Secretary considers to be necessary.

(3)

Deposits

There shall be deposited into the Fund—

(A)

amounts appropriated to the Fund;

(B)

proceeds derived from the Secretary’s use of the exclusive rights described in subsection (d);

(C)

donations made in support of the commemorative program by private and corporate donors; and

(D)

funds transferred to the Fund by the Secretary from funds appropriated for fiscal year 2008 and subsequent years for the Department of Defense.

(4)

Availability

Subject to subsection (g)(2), amounts deposited under paragraph (3) shall constitute the assets of the Fund and remain available until expended.

(5)

Budget request

Beginning with the budget justification materials submitted by the Secretary in support of the budget of the President for fiscal year 2009, the Secretary shall establish a separate budget line for the commemorative program. In the budget justification materials, the Secretary shall—

(A)

identify and explain the amounts expended for the commemorative program in the year preceding the budget request;

(B)

identify and explain the amounts being requested to support the commemorative program for the fiscal year of the budget request and two subsequent years; and

(C)

present a summary of the fiscal status of the Fund.

(f)

Acceptance of voluntary services

(1)

Authority to accept services

Notwithstanding section 1342 of title 31, United States Code, the Secretary of Defense may accept from any person voluntary services to be provided in furtherance of the commemorative program.

(2)

Treatment of volunteers

A person providing voluntary services under this subsection shall be considered to be a Federal employee for purposes of chapter 81 of title 5, United States Code, relating to compensation for work-related injuries. The person shall also be considered a special governmental employee for purposes of standards of conduct and sections 202, 203, 205, 207, 208, and 209 of title 18, United States Code. A person who is not otherwise employed by the Federal Government shall not be considered to be a Federal employee for any other purpose by reason of the provision of voluntary services under this subsection.

(3)

Reimbursement of incidental expenses

The Secretary may provide for reimbursement of incidental expenses incurred by a person providing voluntary services under this subsection. The Secretary shall determine which expenses are eligible for reimbursement under this paragraph.

(g)

Final report

(1)

Report required

Not later than 60 days after the end of the commemorative period specified in subsection (b), the Secretary of Defense shall submit to Congress a report containing an accounting of—

(A)

all of the funds deposited into and expended from the Fund;

(B)

any other funds expended under this section; and

(C)

any unobligated funds remaining in the Fund.

(2)

Treatment of unobligated funds

Unobligated amounts remaining in the Fund as of the end of the commemorative period specified in subsection (b) shall be held in the Fund until transferred by law.

(h)

Limitation on expenditures

Total expenditures from the Fund, using amounts appropriated to the Department of Defense, may not exceed $5,000,000 for fiscal year 2008 or for any subsequent fiscal year to carry out the commemorative program.

(i)

Authorization of appropriations

There is authorized to be appropriated $3,000,000 to the Fund for fiscal year 2008.

VI

Compensation and Other Personnel Benefits

Subtitle A—Pay and Allowances

Sec. 601. Fiscal year 2008 increase in military basic pay.

Sec. 602. Basic allowance for housing for reserve component members without dependents who attend accession training while maintaining a primary residence.

Sec. 603. Income replacement payments for reserve component members experiencing extended and frequent mobilization for active duty service.

Sec. 604. Participation of members of the uniformed services in Thrift Savings Plan.

Sec. 605. Enhancement of referral bonus to encourage service in the Army.

Sec. 606. Guaranteed pay increase for members of the Armed Forces of one-half of one percentage point higher than Employment Cost Index.

Subtitle B—Bonuses and Special and Incentive Pays

Sec. 611. Extension of certain bonus and special pay authorities for reserve forces.

Sec. 612. Extension of certain bonus and special pay authorities for health care professionals.

Sec. 613. Extension of special pay and bonus authorities for nuclear officers.

Sec. 614. Extension of authorities relating to payment of other bonuses and special pays.

Sec. 615. Increase in incentive special pay and multiyear retention bonus for medical officers.

Sec. 616. Increase in dental officer additional special pay.

Sec. 617. Definition of sea duty for career sea pay to include multi-crew ships.

Sec. 618. Reenlistment bonus for members of the Selected Reserve.

Sec. 619. Availability of Selected Reserve accession bonus for persons who previously served in the Armed Forces for a short period.

Sec. 620. Availability of nuclear officer continuation pay for officers with more than 26 years of commissioned service.

Sec. 621. Waiver of years-of-service limitation on receipt of critical skills retention bonus.

Sec. 622. Accession bonus for participants in the Armed Forces Health Professional Scholarship and Financial Assistance Program.

Sec. 623. Payment of assignment incentive pay for Reserve members serving in combat zone for more than 22 months.

Sec. 624. Increase in maximum monthly rate of hardship duty pay.

Subtitle C—Travel and Transportation Allowances

Sec. 631. Allowance for participation in Reserve screening conducted through electronic means.

Sec. 632. Allowance for civilian clothing for members of the Armed Forces traveling in connection with medical evacuation.

Sec. 633. Moving expenses for JROTC instructors who agree to serve in hard-to-fill positions.

Sec. 634. Transportation of additional motor vehicle of members on change of permanent station to or from nonforeign areas outside the continental United States.

Sec. 635. Payment of inactive duty training travel costs for certain Selected Reserve members.

Subtitle D—Retired Pay and Survivor Benefits

Sec. 641. Disregarding periods of confinement of member in determining benefits for dependents who are victims of abuse by the member.

Sec. 642. Continuation of authority for members of the Armed Forces to designate a recipient for a portion of the death gratuity.

Sec. 643. Recoupment of annuity amounts previously paid, but subject to offset for dependency and indemnity compensation.

Sec. 644. Special survivor indemnity allowance for persons affected by required Survivor Benefit Plan annuity offset for dependency and indemnity compensation.

Sec. 645. Expansion of combat-related special compensation eligibility for chapter 61 military retirees with fewer than 20 years of creditable service.

Subtitle E—Commissary and Nonappropriated Fund Instrumentality Benefits

Sec. 651. Access to Defense Commissary and Exchange System by surviving spouse and dependents of certain disabled veterans.

Sec. 652. Authority to continue commissary and exchange benefits for certain involuntarily separated members of the Armed Forces.

Sec. 653. Authorization of installment deductions from pay of employees of executive branch instrumentalities to collect indebtedness to the United States.

Subtitle F—Consolidation of Special Pay, Incentive Pay, and Bonus Authorities

Sec. 661. Consolidation of special pay, incentive pay, and bonus authorities of the uniformed services.

Sec. 662. Transitional provisions.

Subtitle G—Other Matters

Sec. 671. Expansion of education loan repayment program for members of the Selected Reserve.

Sec. 672. Ensuring entry into United States after time abroad for permanent resident alien military spouses and children.

Sec. 673. Overseas naturalization for military spouses and children.

A

Pay and Allowances

601.

Fiscal year 2008 increase in military basic pay

(a)

Waiver of Section 1009 adjustment

The adjustment to become effective during fiscal year 2008 required by section 1009 of title 37, United States Code, in the rates of monthly basic pay authorized members of the uniformed services shall not be made.

(b)

Increase in basic pay

Effective on January 1, 2008, the rates of monthly basic pay for members of the uniformed services are increased by 3.5 percent.

(c)

Source of funds for portion of fiscal year 2008 obligations

During fiscal year 2008, the funds necessary to satisfy the obligations incurred by the Department of Defense to provide the increase under subsection (b) in the rates of monthly basic pay for members of the Army, Navy, Air Force, and Marine Corps in excess of 3 percent shall be derived from amounts appropriated pursuant to the authorization of appropriations in section 1514 for military personnel accounts of the Department.

602.

Basic allowance for housing for reserve component members without dependents who attend accession training while maintaining a primary residence

(a)

Availability of allowance

Section 403(g)(1) of title 37, United States Code, is amended—

(1)

by inserting to attend accession training, after active duty the first place it appears; and

(2)

by inserting a comma after contingency operation the first place it appears.

(b)

Source of funds for portion of fiscal year 2008 obligations

During fiscal year 2008, the funds necessary to satisfy the obligations incurred by the Department of Defense as a result of the amendment made by subsection (a)(1) to provide a basic allowance for housing for reserve component members without dependents who attend accession training while maintaining a primary residence shall be derived from amounts appropriated pursuant to the authorization of appropriations in section 1514 for military personnel accounts of the Department.

(c)

Effective date

The amendments made by subsection (a) shall apply with respect to months beginning on or after October 1, 2007.

603.

Income replacement payments for reserve component members experiencing extended and frequent mobilization for active duty service

(a)

Clarification regarding when payments required

Subsection (a) of section 910 of title 37, United States Code, is amended by inserting before the period at the end of the first sentence the following: , when the total monthly military compensation of the member is less than the average monthly civilian income of the member.

(b)

Eligibility

Subsection (b) of such section is amended to read as follows:

(b)

Eligibility

(1)

A member of a reserve component is entitled to a payment under this section for any full month of active duty of the member, when the total monthly military compensation of the member is less than the average monthly civilian income of the member, while the member is on active duty under an involuntary mobilization order, following the date on which the member—

(A)

completes 540 continuous days of service on active duty under an involuntary mobilization order;

(B)

completes 720 cumulative days on active duty under an involuntary mobilization order during the previous 1,800 days; or

(C)

is involuntarily mobilized for service on active duty for a period of 180 days or more within 180 days after the date of the member’s separation from a previous period of active duty for a period of 180 days or more.

(2)

The entitlement of a member of a reserve component to a payment under this section also shall commence or, if previously commenced under paragraph (1), shall continue if the member—

(A)

satisfies the required number of days on active duty specified in subparagraph (A) or (B) of paragraph (1) or was involuntarily mobilized as provided in subparagraph (C) of such paragraph; and

(B)

is retained on active duty under subparagraph (A) or (B) of section 12301(h)(1) of title 10 because of an injury or illness incurred or aggravated while the member was assigned to duty in an area for which special pay under section 310 of this title is available.

.

(c)

Termination of authority

Subsection (g) of such section is amended to read as follows:

(g)

Termination

No payment shall be made to a member under this section for months beginning after December 31, 2008, unless the entitlement of the member to payments under this section commenced on or before that date.

.

604.

Participation of members of the uniformed services in Thrift Savings Plan

(a)

Semi-monthly deposit of member’s contributions

Section 1014 of title 37, United States Code, is amended by adding at the end the following new subsection:

(c)

Notwithstanding subsection (a), in the case of a member of the uniformed services who has elected to participate in the Thrift Savings Plan under section 211 of this title, one-half of the monthly contribution of the member to the Plan shall be made in midmonth.

.

(b)

Semi-monthly repayment of borrowed amounts

Section 211 of such title is amended by adding at the end the following new subsection:

(e)

Repayment of amounts borrowed from member account

If a loan is issued to a member under section 8433(g) of title 5 from funds in the member’s account in the Thrift Savings Plan, repayment of the loan shall be required on the same semi-monthly basis as authorized for contributions to the Fund under section 1014(c) of this title.

.

605.

Enhancement of referral bonus to encourage service in the Army

(a)

Individuals eligible for bonus

Section 645 of the National Defense Authorization Act for Fiscal Year 2006 (Public Law 109–163; 119 Stat. 3310) is amended—

(1)

in subsection (a)(1), by striking enlists and inserting enlists, or is appointed as an officer to serve in a health profession designated by the Secretary,; and

(2)

in subsection (b), by inserting or appointment after enlisting both places it appears.

(b)

Effective date

The amendments made by this section shall apply with respect to bonuses payable under section 645 of the National Defense Authorization Act for Fiscal Year 2006 on or after the date of the enactment of this Act.

606.

Guaranteed pay increase for members of the Armed Forces of one-half of one percentage point higher than Employment Cost Index

(a)

Increase

Section 1009(c)(2) of title 37, United States Code, is amended fiscal years 2004, 2005, and 2006 and inserting fiscal years 2009 through 2012.

(b)

Applicability

The amendment made by subsection (a) shall only apply with respect to the Army, Navy, Air Force and Marine Corps, including reserve components thereof.

B

Bonuses and Special and Incentive Pays

611.

Extension of certain bonus and special pay authorities for reserve forces

(a)

Selected reserve reenlistment bonus

Section 308b(g) of title 37, United States Code, is amended by striking December 31, 2007 and inserting December 31, 2009.

(b)

Selected reserve affiliation or enlistment bonus

Section 308c(i) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(c)

Special pay for enlisted members assigned to certain high priority units

Section 308d(c) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(d)

Ready reserve enlistment bonus for persons without prior service

Section 308g(f)(2) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(e)

Ready Reserve enlistment and reenlistment bonus for persons with prior service

Section 308h(e) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(f)

Selected Reserve enlistment bonus for persons with prior service

Section 308i(f) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

612.

Extension of certain bonus and special pay authorities for health care professionals

(a)

Nurse officer candidate accession program

Section 2130a(a)(1) of title 10, United States Code, is amended by striking December 31, 2007 and inserting December 31, 2009.

(b)

Repayment of education loans for certain health professionals who serve in the Selected Reserve

Section 16302(d) of such title is amended by striking January 1, 2008 and inserting January 1, 2010.

(c)

Accession bonus for registered nurses

Section 302d(a)(1) of title 37, United States Code, is amended by striking December 31, 2007 and inserting December 31, 2009.

(d)

Incentive special pay for nurse anesthetists

Section 302e(a)(1) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(e)

Special pay for Selected Reserve health professionals in critically short wartime specialties

Section 302g(e) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(f)

Accession bonus for dental officers

Section 302h(a)(1) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(g)

Accession bonus for pharmacy officers

Section 302j(a) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(h)

Accession bonus for medical officers in critically short wartime specialties

Section 302k(f) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(i)

Accession bonus for dental specialist officers in critically short wartime specialties

Section 302l(g) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

613.

Extension of special pay and bonus authorities for nuclear officers

(a)

Special pay for Nuclear-Qualified officers extending Period of active service

Section 312(f) of title 37, United States Code, is amended by striking December 31, 2007 and inserting December 31, 2009.

(b)

Nuclear career accession bonus

Section 312b(c) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(c)

Nuclear career annual incentive bonus

Section 312c(d) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

614.

Extension of authorities relating to payment of other bonuses and special pays

(a)

Aviation officer retention bonus

Section 301b(a) of title 37, United States Code, is amended by striking December 31, 2007 and inserting December 31, 2009.

(b)

Assignment incentive pay

Section 307a(g) of such title is amended by striking December 31, 2008 and inserting December 31, 2009.

(c)

Reenlistment bonus for active members

Section 308(g) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(d)

Enlistment bonus

Section 309(e) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(e)

Retention bonus for members with critical military skills or assigned to high priority units

Section 323(i) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(f)

Accession bonus for new officers in critical skills

Section 324(g) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(g)

Incentive Bonus for Conversion to Military Occupational Specialty to Ease Personnel Shortage

Section 326(g) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(h)

Incentive Bonus for Transfer Between the Armed Forces

Section 327(h) of such title is amended by striking December 31, 2009 and inserting December 31, 2010.

(i)

Accession bonus for officer candidates

Section 330(f) of such title is amended by striking December 31, 2007 and inserting December 31, 2009.

(j)

Army referral bonus

Subsection (h) of section 645 of the National Defense Authorization Act for Fiscal Year 2006 (Public Law 109–163; 119 Stat. 3310), as redesignated by section 624(e) of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109–364; 120 Stat. 2258), is amended by striking December 31, 2007 and inserting December 31, 2009.

615.

Increase in incentive special pay and multiyear retention bonus for medical officers

(a)

Incentive special pay

Section 302(b)(1) of title 37, United States Code, is amended by striking $50,000 and inserting $75,000.

(b)

Multiyear retention bonus

Section 301d(a)(2) of such title is amended by striking $50,000 and inserting $75,000.

616.

Increase in dental officer additional special pay

Section 302b(a)(4) of title 37, United States Code, is amended—

(1)

by striking shall be paid at the following rates in the matter preceding subparagraph (A) and inserting shall not exceed the following:;

(2)

in subparagraph (A), by striking $4,000 and inserting $10,000; and

(3)

in subparagraph (B), by striking $6,000 and inserting $12,000.

617.

Definition of sea duty for career sea pay to include multi-crew ships

Section 305a(e)(1)(A) of title 37, United States Code, is amended—

(1)

by striking or at the end of clause (ii); and

(2)

by adding at the end the following new clause:

(iv)

while serving as an off-cycle crewmember of a multi-crewed ship; or

.

618.

Reenlistment bonus for members of the Selected Reserve

(a)

Minimum term of reenlistment or enlistment extension

Subsection (a)(2) of 308b of title 37, United States Code, is amended by striking his enlistment for a period of three years or for a period of six years and inserting an enlistment for a period of at least three years.

(b)

Maximum bonus amount

Subsection (b)(1) of such section is amended by striking may not exceed and all that follows through the end of the paragraph and inserting may not exceed $15,000..

(c)

Conforming amendment regarding eligibility requirements

Subsection (c) of such section is amended—

(1)

by striking the subsection heading and paragraph (1) and inserting Waiver of condition on eligibility.—; and

(2)

by striking paragraph (1)(B) or.

619.

Availability of Selected Reserve accession bonus for persons who previously served in the Armed Forces for a short period

Section 308c(c)(1) of title 37, United States Code, is amended by inserting before the semicolon the following: or has served in the armed forces, but was released from such service before completing the basic training requirements of the armed force of which the person was a member and the service was characterized as either honorable or uncharacterized.

620.

Availability of nuclear officer continuation pay for officers with more than 26 years of commissioned service

Section 312 of title 37, United States Code, is amended—

(1)

in subsection (a)(3), by striking 26 years and inserting 30 years; and

(2)

in subsection (e)(1), by striking 26 years and inserting 30 years.

621.

Waiver of years-of-service limitation on receipt of critical skills retention bonus

Section 323(e) of title 37, United States Code, is amended by adding at the end the following new paragraph:

(4)

The Secretary of Defense, or the Secretary of Homeland Security with respect to the Coast Guard when it is not operating as a service in the Navy, may waive the limitations in paragraph (1) with respect to a member who, during the period of active duty or service in an active status in a reserve component for which the bonus is being offered, is assigned duties in a skill designated as critical under subsection (b)(1). The authority to grant a waiver under this paragraph may not be delegated below the Undersecretary of Defense for Personnel and Readiness or the Deputy Secretary of the Department of Homeland Security.

.

622.

Accession bonus for participants in the Armed Forces Health Professional Scholarship and Financial Assistance Program

(a)

Accession bonus authorized

Subchapter I of chapter 105 of title 10, United States Code, is amended by adding at the end the following new section:

2128.

Accession bonus for members of the program

(a)

Availability of bonus

The Secretary of Defense may offer a person who enters into an agreement under section 2122(a)(2) of this title an accession bonus of not more than $20,000 as part of the agreement.

(b)

Repayment

A person who receives an accession bonus under this section, but fails to comply with the agreement under section 2122(a)(2) of this title or to commence or complete the active duty obligation imposed by section 2123 of this title, shall be subject to the repayment provisions of section 303a(e) of title 37.

.

(b)

Clerical amendment

The table of sections at the beginning of such subchapter is amended by adding at the end the following new item:

2128. Accession bonus for members of the program.

.

623.

Payment of assignment incentive pay for Reserve members serving in combat zone for more than 22 months

(a)

Payment

The Secretary of a military department may pay assignment incentive pay under section 307a of title 37, United States Code, to a member of a reserve component under the jurisdiction of the Secretary for each month during the eligibility period of the member determined under subsection (b) during which the member served for any portion of the month in a combat zone associated with Operating Enduring Freedom or Operation Iraqi Freedom in excess of 22 months of qualifying service.

(b)

Eligibility period

The eligibility period for a member extends from January 1, 2005, through the end of the active duty service of the member in a combat zone associated with Operating Enduring Freedom or Operation Iraqi Freedom if the service on active duty during the member’s most recent period of mobilization to active duty began before January 19, 2007.

(c)

Amount of payment

The monthly rate of incentive pay payable to a member under this section is $1,000.

(d)

Qualifying service

For purposes of this section, qualifying service includes cumulative mobilized service on active duty under sections 12301(d), 12302, and 12304 of title 10, United States Code, during the period beginning on January 1, 2003, through the end of the member’s active duty service during the member’s most recent period of mobilization to active duty beginning before January 19, 2007.

624.

Increase in maximum monthly rate of hardship duty pay

(a)

Increase

Effective October 1, 2007, section 305(a) of title 37, United States Code, is amended by striking $750 and inserting $1,500.

(b)

Funding source

Of the amounts authorized to be appropriated to the Department of Defense for military personnel accounts for fiscal year 2008, not more than $79,000,000 shall be available to cover the additional costs incurred to implement the amendment made by subsection (a).

C

Travel and Transportation Allowances

631.

Allowance for participation in Reserve screening conducted through electronic means

(a)

Allowance for electronic reserve screening

Section 433 of title 37, United States Code, is amended—

(1)

in subsection (a), by inserting Allowance for muster duty.—(1) before Under;

(2)

by redesignating subsection (b) as paragraph (2) of subsection (a), and in such paragraph, as so redesignated, by striking this section and inserting paragraph (1); and

(3)

by inserting before subsection (c) the following new subsection (b):

(b)

Allowance for electronic screening

(1)

Under uniform regulations prescribed by the Secretaries concerned, a member of the Individual Ready Reserve may be paid a stipend when the member participates, through electronic means, in the screening performed pursuant to section 10149 of title 10, in lieu of muster duty performed under section 12319 of such title.

(2)

The amount of the stipend paid to a member under paragraph (1) may not exceed $50 in any calendar year.

.

(b)

Payment requirements

Subsection (c) of such section is amended—

(1)

by inserting Payment requirements.— before the first sentence;

(2)

by striking allowance each place it appears and inserting allowances;

(3)

by inserting or screening after muster duty both places it appears; and

(4)

by striking serving, as commutation and inserting serving. The allowance under subsection (a) is provided as commutation.

(c)

Prohibitions

Such section is further amended—

(1)

in subsection (d)—

(A)

by inserting Bar to inactive duty compensation.— before A member; and

(B)

by inserting or screening through electronic means after muster duty; and

(2)

by adding at the end the following new subsection:

(e)

Bar to retirement credit

The participation by a member in screening for which a stipend is paid under subsection (b) shall not be credited in determining entitlement to, or in computing, retired pay under chapter 1223 of title 10.

.

(d)

Clerical amendments

(1)

Section heading

The heading of such section is amended to read as follows:

433.

Allowance for muster duty or for participation in Reserve screening

.

(2)

Table of sections

The table of sections at the beginning of chapter 7 of title 37, United States Code, is amended by striking the item relating to section 433 and inserting the following new item:

433. Allowance for muster duty or for participation in Reserve screening.

.

(e)

Conforming amendments to other laws

(1)

Bar to dual compensation for inactive-duty training

Section 206 of such title is amended by adding at the end the following new subsection:

(f)

A member of the National Guard or of a reserve component of a uniformed service may not be paid under this section if the member receives a stipend under section 433(b) of this title for the same period.

.

(2)

Bar to retirement credit

Section 12732(b) of title 10, United States Code, is amended by inserting after paragraph (7) the following new paragraph:

(8)

Participation, through electronic means, in the screening performed pursuant to section 10149 of this title, regardless of whether or not a stipend is paid under section 433(b) of title 37 for such participation.

.

632.

Allowance for civilian clothing for members of the Armed Forces traveling in connection with medical evacuation

Section 1047(a) of title 10, United States Code, is amended by inserting and luggage after civilian clothing both places it appears.

633.

Moving expenses for JROTC instructors who agree to serve in hard-to-fill positions

Section 2031(d) of title 10, United States Code, is amended—

(1)

by redesignating paragraph (2) as paragraph (3); and

(2)

by inserting after paragraph (1) the following new paragraph (2):

(2)
(A)

An individual so employed may, if the institution concerned so agrees, be reimbursed by the institution for the moving expenses incurred by the individual to fill the position concerned, separate from any other amount paid to the individual. Subject to subparagraph (B), the Secretary concerned may enter into an agreement with such an institution under which the Secretary reimburses the institution for the amount the institution reimburses the individual. Reimbursements by the Secretary concerned under this paragraph shall be made from funds appropriated for that purpose.

(B)

Such a reimbursement by the Secretary concerned may be made only if, as determined by the Secretary concerned—

(i)

the position to be filled by the individual is a hard-to-fill position, based on geographic or economic factors;

(ii)

the individual has entered into a written agreement with the institution to serve in that position for at least two years; and

(iii)

making the reimbursement is in the national interest.

.

634.

Transportation of additional motor vehicle of members on change of permanent station to or from nonforeign areas outside the continental United States

(a)

Authority to transport additional motor vehicle

Subsection (a) of section 2634 of title 10, United States Code, is amended—

(1)

by striking the sentence following paragraph (4);

(2)

by redesignating paragraphs (1), (2), (3), and (4) as subparagraphs (A), (B), (C), and (D), respectively;

(3)

by inserting (1) after (a); and

(4)

by adding at the end the following new paragraph:

(2)

One additional motor vehicle of a member (or a dependent of the member) may be transported as provided in paragraph (1) if—

(A)

the member is ordered to make a change of permanent station to or from a nonforeign area outside the continental United States and the member has at least one dependent of driving age who will use the motor vehicle; or

(B)

the Secretary concerned determines that a replacement for the motor vehicle transported under paragraph (1) is necessary for reasons beyond the control of the member and is in the interest of the United States and the Secretary approves the transportation in advance.

.

(b)

Technical and conforming amendments

Such subsection is further amended—

(1)

by striking his dependents and inserting a dependent of the member;

(2)

by striking him and inserting the member;

(3)

by striking his) and inserting the member);

(4)

by striking his new and inserting the member’s new; and

(5)

in paragraph (1)(C), as redesignated by subsection (a), by striking clauses (1) and (2) and inserting subparagraphs (A) and (B).

(c)

Effective date

Paragraph (2)(A) of subsection (a) of section 2634 of title 10, United States Code, as added by subsection (a)(4), shall apply with respect to orders issued on or after the date of the enactment of this Act for members of the Armed Forces to make a change of permanent station to or from nonforeign areas outside the continental United States.

635.

Payment of inactive duty training travel costs for certain Selected Reserve members

(a)

Payment of travel costs authorized

Chapter 7 of title 37, United States Code, is amended by inserting after section 408 the following new section:

408a.

Travel and transportation allowances: inactive duty training or unit training assembly outside of commuting distance of duty station

(a)

Allowance authorized

Under regulations prescribed by the Secretary concerned, if a member of the Selected Reserve who occupies a specialty designated by the Secretary for purposes of this section performs inactive duty training or attends a unit training assembly outside of the commuting limits of the member’s station for the purpose of maintaining mission readiness, the Secretary may reimburse the member for travel expenses in an amount not to exceed $300 for the training or assembly.

(b)

Duration of authority

Reimbursement may not be provided under this section for travel costs incurred before October 1, 2008, or after December 31, 2014.

.

(b)

Clerical amendment

The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 408 the following new item:

408a. Travel and transportation allowances: inactive duty training or unit training assembly outside of commuting distance of duty station.

.

D

Retired Pay and Survivor Benefits

641.

Disregarding periods of confinement of member in determining benefits for dependents who are victims of abuse by the member

Section 1408(h)(10) of title 10, United States Code, is amended by adding at the end the following new subparagraph:

(C)

In determining under paragraph (2)(A) whether a member of the armed forces became eligible to be retired from the armed forces on the basis of years of service so that a spouse or dependent child of the member is eligible to receive payment under this subsection, the Secretary concerned shall consider as creditable service by the member any periods of confinement served by the member before convening authority action on the record of trial related to the misconduct that resulted in the termination of the eligibility of the member to receive retired pay.

.

642.

Continuation of authority for members of the Armed Forces to designate a recipient for a portion of the death gratuity

Effective as of October 1, 2007, subsection (d) of section 1477 of title 10, United States Code, as amended by section 1316 of the U.S. Troop Readiness, Veterans’ Care, Katrina Recovery, and Iraq Accountability Appropriations Act, 2007, is amended by striking During the period beginning on the date of the enactment of this subsection and ending on September 30, 2007, a person and inserting A person.

643.

Recoupment of annuity amounts previously paid, but subject to offset for dependency and indemnity compensation

(a)

Limitation on recoupment; notification requirements

Section 1450(c) of title 10, United States Code, is amended by adding at the end the following new paragraph:

(3)

Limitation on recoupment of offset amount

Any amount subject to offset under this subsection that was previously paid to the surviving spouse or former spouse shall be recouped only to the extent that the amount paid exceeds any amount to be refunded under subsection (e). In notifying a surviving spouse or former spouse of the recoupment requirement, the Secretary shall provide the spouse or former spouse—

(A)

a single notice of the net amount to be recouped or the net amount to be refunded, as applicable, under this subsection or subsection (e);

(B)

a written explanation of the statutory requirements for recoupment of the offset amount and for refund of any applicable amount deducted from retired pay;

(C)

a detailed accounting of how the offset amount being recouped and retired pay deduction amount being refunded were calculated; and

(D)

contact information for a person who can provide information about the offset recoupment and retired pay deduction refund processes and answer questions the surviving spouse or former spouse may have about the requirements, processes, or amounts.

.

(b)

Application

Paragraph (3) of subsection (c) of section 1450 of title 10, United States Code, as added by subsection (a), shall apply with respect to the recoupment on or after April 1, 2008, of amounts subject to offset under such subsection.

644.

Special survivor indemnity allowance for persons affected by required Survivor Benefit Plan annuity offset for dependency and indemnity compensation

(a)

Provision of allowance

Section 1450 of title 10, United States Code, is amended by adding at the end the following new subsection:

(m)

Special survivor indemnity allowance

(1)

Provision of allowance

The Secretary concerned shall pay a monthly special survivor indemnity allowance under this subsection to the surviving spouse or former spouse of a member of the uniformed services to whom section 1448 of this title applies if—

(A)

the surviving spouse or former spouse is entitled to dependency and indemnity compensation under section 1311(a) of title 38; and

(B)

the eligibility of the surviving spouse or former spouse for an annuity under section 1448 of this title is affected by subsection (c) of this section.

(2)

Amount of payment

The amount of the allowance paid to an eligible survivor under paragraph (1) for a month shall be equal to the lesser of—

(A)

$40; or

(B)

the amount of the annuity for that month subject to offset under subsection (c).

(3)

Status of payments

An allowance paid under this subsection does not constitute an annuity, and amounts so paid are not subject to adjustment under any other provision of law.

(4)

Source of funds

The special survivor indemnity allowance shall be paid from amounts in the Department of Defense Military Retirement Fund established under section 1461 of this title.

.

(b)

Effective date

Subsection (m) of section 1450 of title 10, United States Code, as added by subsection (a), shall take effect on October 1, 2008, and shall apply to the month beginning on that date and subsequent months through the month ending on February 28, 2016. Effective on March 1, 2016, such subsection shall terminate. No special survivor indemnity allowance may be paid to any person by reason of such subsection for any period before October 1, 2008.

645.

Expansion of combat-related special compensation eligibility for chapter 61 military retirees with fewer than 20 years of creditable service

(a)

Eligibility

Subsection (c) of section 1413a of title 10, United States Code, is amended by striking entitled to retired pay who— and all that follows through the end of paragraph (1) and inserting the following:

who—

(1)

is entitled to retired pay (other than by reason of section 12731b of this title); and

.

(b)

Computation

Subsection (b) of such section is amended—

(1)

in paragraph (1), by striking In the case of and inserting Subject to paragraph (4), in the case of; and

(2)

by adding at the end the following new paragraph:

(4)

Chapter 61 disability retirees with fewer than 20 years of service

In the case of an eligible combat-related disabled uniformed services retiree who is retired under chapter 61 of this title with at least 15 years of creditable service, but fewer than 20 years of creditable service, and who receives veterans disability compensation for a disability rated at least 60 percent, the amount of the payment under paragraph (1) for any month shall be reduced by the amount (if any) by which—

(A)

the amount of the member’s retired pay under chapter 61 of this title; exceeds

(B)

the amount equal to 2½ percent of the member’s years of creditable service multiplied by the member’s retired pay base under section 1406(b)(1) or 1407 of this title, whichever is applicable to the member.

.

(c)

Effective date

The amendments made by this section shall take effect on October 1, 2008, and shall apply to payments for the month beginning on that date and subsequent months through the month ending on September 30, 2015. Effective on October 1, 2015, the amendments made by this section shall terminate and subsection (c) of section 1413a of title 10, United States Code, shall be amended to appear as it did on September 30, 2008.

E

Commissary and Nonappropriated Fund Instrumentality Benefits

651.

Access to Defense Commissary and Exchange System by surviving spouse and dependents of certain disabled veterans

(a)

Revision of regulations and instructions

The Secretary of Defense shall revise the regulations and instructions described in subsection (b) as necessary to ensure access to the Defense Commissary and Exchange System by the surviving spouse and dependents of a veteran who had a service-connected disability rated at 100 percent (total), based on an application submitted by the veteran, although the disability rating was awarded posthumously. Such access shall be provided in the same manner and to the same extent as other surviving spouses and dependents covered by such regulations and instructions.

(b)

Covered regulations and instructions

The regulations and instructions referred to in subsection (a) are the following:

(1)

Armed Services Commissary Regulations (DoD Regulations 1330.17-R, April 1987).

(2)

Armed Services Exchange Regulations (DoD Instruction 1330.21, July, 14, 2005).

(3)

The instruction pertaining to identification cards (ID) cards for members of the uniformed services, their dependents, and other eligible individuals (DoD Instruction 1000.13, December 5, 1997).

652.

Authority to continue commissary and exchange benefits for certain involuntarily separated members of the Armed Forces

(a)

Resumption for members involuntarily separated from active duty

Section 1146 of title 10, United States Code, is amended—

(1)

by inserting (a) Members involuntarily separated from active duty.— before The Secretary of Defense;

(2)

in the first sentence, by striking October 1, 1990, and ending on December 31, 2001 and inserting October 1, 2007, and ending on December 31, 2012; and

(3)

in the second sentence, by striking the period beginning on October 1, 1994, and ending on December 31, 2001 and inserting the same period.

(b)

Extension to members involuntarily separated from Selected Reserve

Such section is further amended by adding at the end the following new subsection:

(b)

Members involuntarily separated from Selected Reserve

The Secretary of Defense shall prescribe regulations to allow a member of the Selected Reserve of the Ready Reserve who is involuntarily separated from the Selected Reserve as a result of the exercise of the force shaping authority of the Secretary concerned under section 647 of this title or other force shaping authority during the period beginning on October 1, 2007, and ending on December 31, 2012, to continue to use commissary and exchange stores during the two-year period beginning on the date of the involuntary separation of the member in the same manner as a member on active duty. The Secretary of Homeland Security shall implement this provision for Coast Guard members involuntarily separated during the same period.

.

653.

Authorization of installment deductions from pay of employees of executive branch instrumentalities to collect indebtedness to the United States

(a)

Coverage of executive branch instrumentalities

Section 5514(a)(5)(B) of title 5, United States Code, is amended by striking judicial and inserting executive, judicial,

(b)

Effective date

The amendment made by subsection (a) shall take effect on the date of the enactment of this Act and apply with respect to debt incurred before, on, or after that date.

F

Consolidation of Special Pay, Incentive Pay, and Bonus Authorities

661.

Consolidation of special pay, incentive pay, and bonus authorities of the uniformed services

(a)

Consolidation

Chapter 5 of title 37, United States Code, is amended—

(1)

by inserting before section 301 the following subchapter heading:

I

Existing Special Pay, Incentive Pay, and Bonus Authorities

; and

(2)

by adding at the end the following new subchapters:

II

Consolidation of Special Pay, Incentive Pay, and Bonus Authorities

331.

General bonus authority for enlisted members

(a)

Authority to provide bonus

The Secretary concerned may pay a bonus under this section to a person, including a member of the armed forces, who—

(1)

enlists in an armed force;

(2)

enlists in or affiliates with a reserve component of an armed force;

(3)

reenlists, voluntarily extends an enlistment, or otherwise agrees to serve—

(A)

for a specified period in a designated career field, skill, or unit of an armed force; or

(B)

under other conditions of service in an armed force;

(4)

transfers from a regular component of an armed force to a reserve component of that same armed force or from a reserve component of an armed force to the regular component of that same armed force; or

(5)

transfers from a regular component or reserve component of an armed force to a regular component or reserve component of another armed force, subject to the approval of the Secretary with jurisdiction over the armed force to which the member is transferring.

(b)

Service eligibility

A bonus authorized by subsection (a) may be paid to a person or member only if the person or member agrees under subsection (d)—

(1)

to serve for a specified period in a designated career field, skill, unit, or grade; or

(2)

to meet some other condition of service imposed by the Secretary concerned.

(c)

Maximum amount and method of payment

(1)

Maximum amount

The Secretary concerned shall determine the amount of a bonus to be paid under this section, except that—

(A)

a bonus paid under paragraph (1) or (2) of subsection (a) may not exceed $50,000 for a minimum two-year period of obligated service agreed to under subsection (d); and

(B)

a bonus paid under paragraph (3), (4), or (5) of subsection (a) may not exceed $40,000 for a minimum one-year period of obligated service agreed to under subsection (d).

(2)

Lump sum or installments

A bonus under this section may be paid in a lump sum or in periodic installments, as determined by the Secretary concerned.

(3)

Fixing bonus amount

Upon acceptance by the Secretary concerned of the written agreement required by subsection (d), the total amount of the bonus to be paid under the agreement shall be fixed.

(d)

Written agreement

To receive a bonus under this section, a person or member determined to be eligible for the bonus shall enter into a written agreement with the Secretary concerned that specifies—

(1)

the amount of the bonus;

(2)

the method of payment of the bonus under subsection (c)(2);

(3)

the period of obligated service; and

(4)

the type or conditions of the service.

(e)

Relationship to other pay and allowances

A bonus paid to a person or member under this section is in addition to any other pay and allowance to which a member is entitled.

(f)

Relationship to prohibition on bounties

A bonus authorized under this section is not a bounty for purposes of section 514(a) of title 10.

(g)

Repayment

A person or member who receives a bonus under this section and who fails to complete the period of service, or meet the conditions of service, for which the bonus is paid, as specified in the written agreement under subsection (d), shall be subject to the repayment provisions of section 373 of this title.

(h)

Regulations

This section shall be administered under regulations prescribed by—

(1)

the Secretary of Defense, with respect to the armed forces under the jurisdiction of the Secretary of Defense; and

(2)

the Secretary of Homeland Security, with respect to the Coast Guard when it is not operating as a service in the Navy.

332.

General bonus authority for officers