Text: S.1376 — 114th Congress (2015-2016)All Information (Except Text)

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Placed on Calendar Senate (05/19/2015)

Calendar No. 88

114th CONGRESS
1st Session
S. 1376

[Report No. 114–49]


To authorize appropriations for fiscal year 2016 for military activities of the Department of Defense, for military construction, and for defense activities of the Department of Energy, to prescribe military personnel strengths for such fiscal year, and for other purposes.


IN THE SENATE OF THE UNITED STATES

May 19, 2015

Mr. McCain, from the Committee on Armed Services, reported the following original bill; which was read twice and placed on the calendar


A BILL

To authorize appropriations for fiscal year 2016 for military activities of the Department of Defense, for military construction, and for defense activities of the Department of Energy, to prescribe military personnel strengths for such fiscal year, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. Short title.

This Act may be cited as the “National Defense Authorization Act for Fiscal Year 2016”.

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

(a) Divisions.—This Act is organized into four 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.

(4) Division D—Funding tables.

(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.

Sec. 4. Budgetary effects of this Act.

DIVISION A—DEPARTMENT OF DEFENSE AUTHORIZATIONS

TITLE I—PROCUREMENT

Subtitle A—Authorization of appropriations


Sec. 101. Authorization of appropriations.

Subtitle B—Navy programs


Sec. 111. Amendment to cost limitation baseline for CVN–78 class aircraft carrier program.

Sec. 112. Limitation on availability of funds for USS JOHN F. KENNEDY (CVN–79).

Sec. 113. Limitation on availability of funds for USS ENTERPRISE (CVN–80).

Sec. 114. Modification of CVN–78 class aircraft carrier program.

Sec. 115. Limitation on availability of funds for Littoral Combat Ship.

Sec. 116. Extension and modification of limitation on availability of funds for Littoral Combat Ship.

Sec. 117. Construction of additional Arleigh Burke destroyer.

Sec. 118. Fleet Replenishment Oiler Program.

Sec. 119. Reporting requirement for Ohio-class replacement submarine program.

Subtitle C—Air Force programs


Sec. 131. Limitations on retirement of B–1, B–2, and B–52 bomber aircraft.

Sec. 132. Limitation on retirement of Air Force fighter aircraft.

Sec. 133. Limitation on availability of funds for F–35A aircraft procurement.

Sec. 134. Prohibition on retirement of A–10 aircraft.

Sec. 135. Prohibition on availability of funds for retirement of EC–130H Compass Call aircraft.

Sec. 136. Limitation on transfer of C–130 aircraft.

Sec. 137. Limitation on use of funds for T–1A Jayhawk aircraft.

Sec. 138. Restriction on retirement of the Joint Surveillance Target Attack Radar System (JSTARS), EC-130H Compass Call, and Airborne Early Warning and Control (AWACS) Aircraft.

Sec. 139. Sense of Congress regarding the OCONUS basing of the F–35A aircraft.

Sec. 140. Sense of Congress on F–16 Active Electronically Scanned Array (AESA) radar upgrade.

Subtitle D—Defense-wide, Joint, and Multiservice Matters


Sec. 151. Report on Army and Marine Corps modernization plan for small arms.

TITLE II—RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

Subtitle A—Authorization of appropriations


Sec. 201. Authorization of appropriations.

Subtitle B—Program Requirements, Restrictions, and Limitations


Sec. 211. Centers for Science, Technology, and Engineering Partnership.

Sec. 212. Department of Defense technology offset program to build and maintain the military technological superiority of the United States.

Sec. 213. Reauthorization of defense research and development rapid innovation program.

Sec. 214. Reauthorization of Global Research Watch program.

Sec. 215. Science and technology activities to support business systems information technology acquisition programs.

Sec. 216. Expansion of eligibility for financial assistance under Department of Defense Science, Mathematics, and Research for Transformation program to include citizens of countries participating in The Technical Cooperation Program.

Sec. 217. Streamlining the Joint Federated Assurance Center.

Sec. 218. Limitation on availability of funds for development of the Shallow Water Combat Submersible.

Sec. 219. Limitation on availability of funds for distributed common ground system of the Army.

Sec. 220. Limitation on availability of funds for distributed common ground system of the United States Special Operations Command.

Subtitle C—Other matters


Sec. 231. Assessment of air-land mobile tactical communications and data network requirements and capabilities.

Sec. 232. Study of field failures involving counterfeit electronic parts.

Sec. 233. Demonstration of Persistent Close Air Support capabilities.

Sec. 234. Airborne data link plan.

Sec. 235. Report on Technology Readiness Levels of the technologies and capabilities critical to the Long Range Strike Bomber aircraft.

TITLE III—OPERATION AND MAINTENANCE

Subtitle A—Authorization of Appropriations


Sec. 301. Authorization of appropriations.

Subtitle B—Energy and Environment


Sec. 311. Modification of energy management reporting requirements.

Sec. 312. Report on efforts to reduce high energy costs at military installations.

Sec. 313. Southern Sea Otter Military Readiness Areas.

Subtitle C—Logistics and Sustainment


Sec. 321. Repeal of limitation on authority to enter into a contract for the sustainment, maintenance, repair, or overhaul of the F117 engine.

Subtitle D—Reports


Sec. 331. Modification of annual report on prepositioned materiel and equipment.

Subtitle E—Limitations and Extensions of Authority


Sec. 341. Modification of requirements for transferring aircraft within the Air Force inventory.

Sec. 342. Limitation on use of funds for Department of Defense sponsorships, advertising, or marketing associated with sports-related organizations or sporting events.

Sec. 343. Temporary authority to extend contracts and leases under ARMS initiative.

Subtitle F—Other Matters


Sec. 351. Streamlining of Department of Defense management and operational headquarters.

Sec. 352. Adoption of retired military working dogs.

Sec. 353. Modification of required review of projects relating to potential obstructions to aviation.

Sec. 354. Pilot program on intensive instruction in certain Asian languages.

TITLE IV—MILITARY PERSONNEL AUTHORIZATIONS

Subtitle A—Active Forces


Sec. 401. End strengths for active forces.

Sec. 402. Enhancement of authority for management of end strengths for military personnel.

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 2016 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. Chief of the National Guard Bureau authority to increase certain end strengths applicable to the Army National Guard.

Subtitle C—Authorization of Appropriations


Sec. 421. Military personnel.

TITLE V—MILITARY PERSONNEL POLICY

Subtitle A—Officer Personnel Policy


Sec. 501. Authority of promotion boards to recommend officers of particular merit be placed at the top of the promotion list.

Sec. 502. Minimum grades for certain corps and related positions in the Army, Navy, and Air Force.

Sec. 503. Enhancement of military personnel authorities in connection with the defense acquisition workforce.

Sec. 504. Enhanced flexibility for determination of officers to continue on active duty and for selective early retirement and early discharge.

Sec. 505. Authority to defer until age 68 mandatory retirement for age of a general or flag officer serving as Chief or Deputy Chief of Chaplains of the Army, Navy, or Air Force.

Sec. 506. Reinstatement of enhanced authority for selective early discharge of warrant officers.

Sec. 507. Authority to conduct warrant officer retired grade determinations.

Subtitle B—Reserve Component Management


Sec. 511. Authority to designate certain reserve officers as not to be considered for selection for promotion.

Sec. 512. Clarification of purpose of reserve component special selection boards as limited to correction of error at a mandatory promotion board.

Sec. 513. Reconciliation of contradictory provisions relating to citizenship qualifications for enlistment in the reserve components of the Armed Forces.

Sec. 514. Authority for certain Air Force reserve component personnel to provide training and instruction regarding pilot instructor training.

Subtitle C—General Service Authorities


Sec. 521. Duty required for eligibility for preseparation counseling for members being discharged or released from active duty.

Sec. 522. Expansion of pilot programs on career flexibility to enhance retention of members of the Armed Forces.

Sec. 523. Sense of Senate on development of gender-neutral occupational standards for occupational assignments in the Armed Forces.

Subtitle D—Member Education and Training

PART I—EDUCATIONAL ASSISTANCE REFORM


Sec. 531. Limitation on tuition assistance for off-duty training or education.

Sec. 532. Termination of program of educational assistance for reserve component members supporting contingency operations and other operations.

Sec. 533. Reports on educational levels attained by certain members of the Armed Forces at time of separation from the Armed Forces.

Sec. 534. Sense of Congress on transferability of unused education benefits to family members.

Sec. 535. No entitlement to unemployment insurance while receiving Post-9/11 Education Assistance.

PART II—OTHER MATTERS


Sec. 536. Repeal of statutory specification of minimum duration of in-resident instruction for courses of instruction offered as part of Phase II joint professional military education.

Sec. 537. Quality assurance of certification programs and standards for professional credentials obtained by members of the Armed Forces.

Sec. 538. Support for athletic programs of the United States Military Academy.

Sec. 539. Online access to the higher education component of the Transition Assistance Program.

Subtitle E—Military Justice


Sec. 546. Modification of Rule 304 of the Military Rules of Evidence relating to the corroboration of a confession or admission.

Sec. 547. Modification of Rule 104 of the Rules for Courts-Martial to establish certain prohibitions concerning evaluations of Special Victims' Counsel.

Sec. 548. Right of victims of offenses under the Uniform Code of Military Justice to timely disclosure of certain materials and information in connection with prosecution of offenses.

Sec. 549. Enforcement of certain crime victims' rights by the Court of Criminal Appeals.

Sec. 550. Release to victims upon request of complete record of proceedings and testimony of courts-martial in cases in which sentences adjudged could include punitive discharge.

Sec. 551. Representation and assistance of victims by Special Victims' Counsel in questioning by military criminal investigators.

Sec. 552. Authority of Special Victims' Counsel to provide legal consultation and assistance in connection with various Government proceedings.

Sec. 553. Enhancement of confidentiality of restricted reporting of sexual assault in the military.

Sec. 554. Establishment of Office of Complex Investigations within the National Guard Bureau.

Sec. 555. Modification of deadline for establishment of Defense Advisory Committee on Investigation, Prosecution, and Defense of Sexual Assault in the Armed Forces.

Sec. 556. Comptroller General of the United States reports on prevention and response to sexual assault by the Army National Guard and the Army Reserve.

Sec. 557. Sense of Congress on the service of military families and on sentencing retirement-eligible members of the Armed Forces.

Subtitle F—Defense Dependents Education and Military Family Readiness


Sec. 561. Continuation of authority to assist local educational agencies that benefit dependents of members of the Armed Forces and Department of Defense civilian employees.

Sec. 562. Impact aid for children with severe disabilities.

Sec. 563. Authority to use appropriated funds to support Department of Defense student meal programs in domestic dependent elementary and secondary schools located outside the United States.

Sec. 564. Biennial surveys of military dependents on military family readiness matters.

Subtitle G—Miscellaneous Reporting Requirements


Sec. 571. Extension of semiannual reports on the involuntary separation of members of the Armed Forces.

Sec. 572. Remotely piloted aircraft career field manning shortfalls.

Subtitle H—Other Matters

PART I—FINANCIAL LITERACY AND PREPAREDNESS OF MEMBERS OF THE ARMED FORCES


Sec. 581. Improvement of financial literacy and preparedness of members of the Armed Forces.

Sec. 582. Financial literacy training with respect to certain financial services for members of the uniformed services.

Sec. 583. Sense of Congress on financial literacy and preparedness of members of the Armed Forces.

PART II—OTHER MATTERS


Sec. 586. Authority for applications for correction of military records to be initiated by the Secretary concerned.

Sec. 587. Recordation of obligations for installment payments of incentive pays, allowances, and similar benefits when payment is due.

Sec. 588. Enhancements to Yellow Ribbon Reintegration Program.

Sec. 589. Priority processing of applications for Transportation Worker Identification Credentials for members undergoing discharge or release from the Armed Forces.

Sec. 590. Issuance of Recognition of Service ID Cards to certain members separating from the Armed Forces.

Sec. 591. Revised policy on network services for military services.

Sec. 592. Increase in number of days of active duty required to be performed by reserve component members for duty to be considered Federal service for purposes of unemployment compensation for ex-servicemembers.

TITLE VI—COMPENSATION AND OTHER PERSONNEL BENEFITS

Subtitle A—Pay and Allowances


Sec. 601. Fiscal year 2016 increase in military basic pay.

Sec. 602. Modification of percentage of national average monthly cost of housing usable in computation of basic allowance for housing inside the United States.

Sec. 603. Extension of authority to provide temporary increase in rates of basic allowance for housing.

Sec. 604. Basic allowance for housing for married members of the uniformed services assigned for duty within normal commuting distance and for other members living together.

Sec. 605. Repeal of inapplicability of modification of basic allowance for housing to benefits under the laws administered by the Secretary of Veterans Affairs.

Sec. 606. Limitation on eligibility for supplemental subsistence allowances to members serving outside the United States and associated territory.

Sec. 607. Availability of information.

Subtitle B—Bonuses and Special and Incentive Pays


Sec. 611. One-year extension of certain bonus and special pay authorities for reserve forces.

Sec. 612. One-year extension of certain bonus and special pay authorities for health care professionals.

Sec. 613. One-year extension of special pay and bonus authorities for nuclear officers.

Sec. 614. One-year extension of authorities relating to title 37 consolidated special pay, incentive pay, and bonus authorities.

Sec. 615. One-year extension of authorities relating to payment of other title 37 bonuses and special pays.

Sec. 616. Increase in maximum annual amount of nuclear officer bonus pay.

Sec. 617. Repeal of obsolete authority to pay bonus to encourage Army personnel to refer persons for enlistment in the Army.

Subtitle C—Travel and Transportation Allowances


Sec. 621. Repeal of obsolete special travel and transportation allowance for survivors of deceased members from the Vietnam conflict.

Subtitle D—Disability Pay, Retired Pay, and Survivor Benefits

PART I—RETIRED PAY REFORM


Sec. 631. Thrift Savings Plan participation for members of the uniformed services.

Sec. 632. Modernized retirement system for members of the uniformed services.

Sec. 633. Lump sum payments of certain retired pay.

Sec. 634. Continuation pay after 12 years of service for members of the uniformed services participating in the modernized retirement systems.

Sec. 635. Authority for retirement flexibility for members of the uniformed services.

Sec. 636. Treatment of Department of Defense Military Retirement Fund as a qualified trust.

PART II—OTHER MATTERS


Sec. 641. Death of former spouse beneficiaries and subsequent remarriages under Survivor Benefit Plan.

Sec. 642. Transitional compensation and other benefits for dependents of members of the Armed Forces ineligible to receive retired pay as a result of court-martial sentence.

Subtitle E—Commissary and Non-Appropriated Fund Instrumentality Benefits and Operations


Sec. 651. Commissary system matters.

Sec. 652. Plan on privatization of the defense commissary system.

Sec. 653. Comptroller General of the United States report on the Commissary Surcharge, Non-appropriated Fund, and Privately-Financed Major Construction Program.

TITLE VII—HEALTH CARE PROVISIONS

Subtitle A—TRICARE and Other Health Care Benefits


Sec. 701. Urgent care authorization under the TRICARE program.

Sec. 702. Modifications of cost-sharing requirements for the TRICARE Pharmacy Benefits Program.

Sec. 703. Expansion of continued health benefits coverage to include discharged and released members of the Selected Reserve.

Sec. 704. Expansion of reimbursement for smoking cessation services for certain TRICARE beneficiaries.

Sec. 705. Pilot program on treatment of members of the Armed Forces for post-traumatic stress disorder related to military sexual trauma.

Subtitle B—Health Care Administration


Sec. 711. Access to health care under the TRICARE program.

Sec. 712. Portability of health plans under the TRICARE program.

Sec. 713. Improvement of mental health care provided by health care providers of the Department of Defense.

Sec. 714. Comprehensive standards and access to contraception counseling for members of the Armed Forces.

Sec. 715. Waiver of recoupment of erroneous payments due to administrative error under the TRICARE program.

Sec. 716. Designation of certain non-Department mental health care providers with knowledge relating to treatment of members of the Armed Forces.

Sec. 717. Limitation on conversion of military medical and dental positions to civilian medical and dental positions.

Sec. 718. Extension of authority for joint Department of Defense-Department of Veterans Affairs Medical Facility Demonstration Fund.

Sec. 719. Extension of authority for DOD-VA Health Care Sharing Incentive Fund.

Sec. 720. Pilot program on incentive programs to improve health care provided under the TRICARE program.

Subtitle C—Reports and Other Matters


Sec. 731. Publication of certain information on health care provided by the Department of Defense through the Hospital compare website of the Department of Health and Human Services.

Sec. 732. Publication of data on patient safety, quality of care, satisfaction, and health outcome measures under the TRICARE program.

Sec. 733. Annual report on patient safety, quality of care, and access to care at military medical treatment facilities.

Sec. 734. Report on plans to improve experience with and eliminate performance variability of health care provided by the Department of Defense.

Sec. 735. Report on plan to improve pediatric care and related services for children of members of the Armed Forces.

Sec. 736. Report on preliminary mental health screenings for individuals becoming members of the Armed Forces.

Sec. 737. Comptroller General report on use of quality of care metrics at military treatment facilities.

TITLE VIII—ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED MATTERS

Subtitle A—Acquisition Policy and Management


Sec. 801. Role of service chiefs in the acquisition process.

Sec. 802. Expansion of rapid acquisition authority.

Sec. 803. Middle tier of acquisition for rapid prototyping and rapid fielding.

Sec. 804. Amendments to other transaction authority.

Sec. 805. Use of alternative acquisition paths to acquire critical national security capabilities.

Sec. 806. Secretary of Defense waiver of acquisition laws to acquire vital national security capabilities.

Sec. 807. Acquisition authority of the Commander of United States Cyber Command.

Sec. 808. Advisory panel on streamlining and codifying acquisition regulations.

Sec. 809. Review of time-based requirements process and budgeting and acquisition systems.

Sec. 810. Improvement of program and project management by the Department of Defense.

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


Sec. 821. Preference for fixed-price contracts in determining contract type for development programs.

Sec. 822. Applicability of cost and pricing data and certification requirements.

Sec. 823. Risk-based contracting for smaller contract actions under the Truth in Negotiations Act.

Sec. 824. Limitation on use of reverse auction and lowest price technically acceptable contracting methods.

Sec. 825. Rights in technical data.

Sec. 826. Procurement of supplies for experimental purposes.

Sec. 827. Extension of authority to acquire products and services produced in countries along a major route of supply to Afghanistan.

Sec. 828. Reporting related to failure of contractors to meet goals under negotiated comprehensive small business subcontracting plans.

Sec. 829. Competition for religious services contracts.

Sec. 830. Treatment of interagency and State and local purchases when the Department of Defense acts as contract intermediary for the General Services Administration.

Sec. 831. Pilot program for streamlining awards for innovative technology projects.

Subtitle C—Provisions Relating to Major Defense Acquisition Programs


Sec. 841. Acquisition strategy required for each major defense acquisition program.

Sec. 842. Risk reduction in major defense acquisition programs.

Sec. 843. Designation of milestone decision authority.

Sec. 844. Revision of Milestone A decision authority responsibilities for major defense acquisition programs.

Sec. 845. Revision of Milestone B decision authority responsibilities for major defense acquisition programs.

Sec. 846. Tenure and accountability of program managers for program development periods.

Sec. 847. Tenure and accountability of program managers for program execution periods.

Sec. 848. Repeal of requirement for stand-alone manpower estimates for major defense acquisition programs.

Sec. 849. Penalty for cost overruns.

Sec. 850. Streamlining of reporting requirements applicable to Assistant Secretary of Defense for Research and Engineering regarding major defense acquisition programs.

Sec. 851. Configuration Steering Boards for cost control under major defense acquisition programs.

Subtitle D—Provisions Relating to Commercial Items


Sec. 861. Inapplicability of certain laws and regulations to the acquisition of commercial items and commercially available off-the-shelf items.

Sec. 862. Market research and preference for commercial items.

Sec. 863. Continuing validity of commercial item determinations.

Sec. 864. Treatment of commercial items purchased as major weapon systems.

Sec. 865. Limitation on conversion of procurements from commercial acquisition procedures.

Sec. 866. Treatment of goods and services provided by nontraditional contractors as commercial items.

Subtitle E—Other Matters


Sec. 871. Streamlining of requirements relating to defense business systems.

Sec. 872. Acquisition workforce.

Sec. 873. Unified information technology services.

Sec. 874. Cloud strategy for Department of Defense.

Sec. 875. Development period for Department of Defense information technology systems.

Sec. 876. Revisions to pilot program on acquisition of military purpose non-developmental items.

Sec. 877. Extension of the Department of Defense Mentor-Protégé pilot program.

Sec. 878. Improved auditing of contracts.

Sec. 879. Survey on the costs of regulatory compliance.

Sec. 880. Government Accountability Office report on bid protests.

Sec. 881. Steps to identify and address potential unfair competitive advantage of technical advisors to acquisition officials.

Sec. 882. HUBZone qualified disaster areas.

Sec. 883. Base closure HUBZones.

TITLE IX—DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT


Sec. 901. Update of statutory specification of functions of Chairman of the Joint Chiefs of Staff relating to advice on requirements, programs, and budget.

Sec. 902. Reorganization and redesignation of Office of Family Policy and Office of Community Support for Military Families with Special Needs.

Sec. 903. Repeal of requirement for annual Department of Defense funding for Ocean Research Advisory Panel.

TITLE X—GENERAL PROVISIONS

Subtitle A—Financial Matters


Sec. 1001. General transfer authority.

Sec. 1002. Annual audit of financial statements of Department of Defense components by independent external auditors.

Sec. 1003. Treatment as part of the base budget of certain amounts authorized for overseas contingency operations upon enactment of an Act revising the Budget Control Act discretionary spending limits for fiscal year 2016.

Sec. 1004. Sense of Senate on sequestration.

Subtitle B—Counter-Drug Activities


Sec. 1011. Extension of authority to support unified counterdrug and counterterrorism campaign in Colombia.

Sec. 1012. Extension and expansion of authority to provide additional support for counter-drug activities of certain foreign governments.

Subtitle C—Naval Vessels and Shipyards


Sec. 1021. Studies of fleet platform architectures for the Navy.

Sec. 1022. Amendment to National Sea-Based Deterrence Fund.

Sec. 1023. Extension of authority for reimbursement of expenses for certain Navy mess operations afloat.

Subtitle D—Counterterrorism


Sec. 1031. Prohibition on use of funds to construct or modify facilities in the United States to house detainees transferred from United States Naval Station, Guantanamo Bay, Cuba.

Sec. 1032. Limitation on the transfer or release of individuals detained at United States Naval Station, Guantanamo Bay, Cuba.

Sec. 1033. Reenactment and modification of certain prior requirements for certifications relating to transfer of detainees at United States Naval Station, Guantanamo Bay, Cuba, to foreign countries and other foreign entities.

Sec. 1034. Authority to temporarily transfer individuals detained at United States Naval Station, Guantanamo Bay, Cuba, to the United States for emergency or critical medical treatment.

Sec. 1035. Prohibition on use of funds for transfer or release to Yemen of individuals detained at United States Naval Station, Guantanamo Bay, Cuba.

Sec. 1036. Report on current detainees at United States Naval Station, Guantanamo Bay, Cuba, determined or assessed to be high risk or medium risk.

Sec. 1037. Report to Congress on memoranda of understanding with foreign countries regarding transfer of detainees at United States Naval Station, Guantanamo Bay, Cuba.

Sec. 1038. Semiannual reports on use of United States Naval Station, Guantanamo Bay, Cuba, and any other Department of Defense or Bureau of Prisons prison or other detention or disciplinary facility in recruitment and other propaganda of terrorist organizations.

Sec. 1039. Extension and modification of authority to make rewards for combating terrorism.

Subtitle E—Miscellaneous Authorities and Limitations


Sec. 1041. Assistance to secure the southern land border of the United States.

Sec. 1042. Protection of Department of Defense installations.

Sec. 1043. Strategy to protect United States national security interests in the Arctic region.

Sec. 1044. Extension of limitations on the transfer to the regular Army of AH–64 Apache helicopters assigned to the Army National Guard.

Sec. 1045. Treatment of certain previously transferred Army National Guard helicopters as counting against number transferrable under exception to limitation on transfer of Army National Guard helicopters.

Sec. 1046. Management of military technicians.

Sec. 1047. Sense of Congress on consideration of the full range of Department of Defense manpower worldwide in decisions on the proper mix of military, civilian, and contractor personnel to accomplish the National Defense Strategy.

Sec. 1048. Sense of Senate on the United States Marine Corps.

Subtitle F—Studies and Reports


Sec. 1061. Repeal of reporting requirements.

Sec. 1062. Termination of requirement for submittal to Congress of reports required of the Department of Defense by statute.

Sec. 1063. Annual submittal to Congress of munitions assessments.

Sec. 1064. Potential role for United States ground forces in the Pacific theater.

Subtitle G—Other Matters


Sec. 1081. Technical and clerical amendments.

Sec. 1082. Authority to provide training and support to personnel of foreign ministries of defense.

Sec. 1083. Expansion of outreach for veterans transitioning from serving on active duty.

Sec. 1084. Modification of certain requirements applicable to major medical facility lease for a Department of Veterans Affairs outpatient clinic in Tulsa, Oklahoma.

TITLE XI—CIVILIAN PERSONNEL MATTERS


Sec. 1101. Required probationary period for new employees of the Department of Defense.

Sec. 1102. Delay of periodic step increase for civilian employees of the Department of Defense based upon unacceptable performance.

Sec. 1103. Procedures for reduction in force of Department of Defense civilian personnel.

Sec. 1104. United States Cyber Command workforce.

Sec. 1105. One-year extension of authority to waive annual limitation on premium pay and aggregate limitation on pay for Federal civilian employees working overseas.

Sec. 1106. Five-year extension of expedited hiring authority for designated defense acquisition workforce positions.

Sec. 1107. One-year extension of discretionary authority to grant allowances, benefits, and gratuities to civilian personnel on official duty in a combat zone.

Sec. 1108. Extension of rate of overtime pay for Department of the Navy employees performing work aboard or dockside in support of the nuclear-powered aircraft carrier forward deployed in Japan.

Sec. 1109. Expansion of temporary authority to make direct appointments of candidates possessing bachelor's degrees to scientific and engineering positions at science and technology reinvention laboratories.

Sec. 1110. Extension of authority for the civilian acquisition workforce personnel demonstration project.

Sec. 1111. Pilot program on dynamic shaping of the workforce to improve the technical skills and expertise at certain Department of Defense laboratories.

Sec. 1112. Pilot program on temporary exchange of financial management and acquisition personnel.

Sec. 1113. Pilot program on enhanced pay authority for certain acquisition and technology positions in the Department of Defense.

Sec. 1114. Pilot program on direct hire authority for veteran technical experts into the defense acquisition workforce.

Sec. 1115. Direct hire authority for technical experts into the defense acquisition workforce.

TITLE XII—MATTERS RELATING TO FOREIGN NATIONS

Subtitle A—Training and Assistance


Sec. 1201. One-year extension of funding limitations for authority to build the capacity of foreign security forces.

Sec. 1202. Extension and expansion of authority for reimbursement to the Government of Jordan for border security operations.

Sec. 1203. Extension of authority to conduct activities to enhance the capability of foreign countries to respond to incidents involving weapons of mass destruction.

Sec. 1204. Redesignation, modification, and extension of National Guard State Partnership Program.

Sec. 1205. Authority to provide support to national military forces of allied countries for counterterrorism operations in Africa.

Sec. 1206. Authority to build the capacity of foreign military intelligence forces.

Sec. 1207. Prohibition on assistance to entities in Yemen controlled by the Houthi movement.

Sec. 1208. Report on potential support for the vetted Syrian opposition.

Subtitle B—Matters Relating to Afghanistan, Pakistan, and Iraq


Sec. 1221. Drawdown of United States forces in Afghanistan.

Sec. 1222. Extension and modification of Commanders' Emergency Response Program.

Sec. 1223. Extension of authority to transfer defense articles and provide defense services to the military and security forces of Afghanistan.

Sec. 1224. Extension and modification of authority for reimbursement of certain coalition nations for support provided to United States military operations.

Sec. 1225. Prohibition on transfer to violent extremist organizations of equipment or supplies provided by the United States to the Government of Iraq.

Sec. 1226. Report on lines of communication of Islamic State of Iraq and the Levant and other foreign terrorist organizations.

Sec. 1227. Modification of protection for Afghan allies.

Sec. 1228. Extension of authority to support operations and activities of the Office of Security Cooperation in Iraq.

Sec. 1229. Sense of Senate on support for the Kurdistan Regional Government.

Subtitle C—Matters Relating to Iran


Sec. 1241. Modification and extension of annual report on the military power of Iran.

Subtitle D—Matters Relating to the Russian Federation


Sec. 1251. Ukraine Security Assistance Initiative.

Sec. 1252. Eastern European Training Initiative.

Sec. 1253. Increased presence of United States ground forces in Eastern Europe to deter aggression on the border of the North Atlantic Treaty Organization.

Sec. 1254. Sense of Congress on European defense and North Atlantic Treaty Organization spending.

Sec. 1255. Additional matters in annual report on military and security developments involving the Russian Federation.

Sec. 1256. Report on alternative capabilities to procure and sustain nonstandard rotary wing aircraft historically procured through Rosoboronexport.

Subtitle E—Matters Relating to the Asia-Pacific Region


Sec. 1261. South China Sea Initiative.

Sec. 1262. Sense of Congress reaffirming the importance of implementing the rebalance to the Asia-Pacific region.

Sec. 1263. Sense of Senate on Taiwan asymmetric military capabilities and bilateral training activities.

Subtitle F—Reports and Related Matters


Sec. 1271. Item in quarterly reports on assistance to counter the Islamic State of Iraq and the Levant on forces ineligible to receive assistance due to a gross violation of human rights.

Sec. 1272. Report on bilateral agreement with Israel on joint activities to establish an anti-tunneling defense system.

Sec. 1273. Sense of Senate and report on Qatar fighter aircraft capability contribution to regional security.

Subtitle G—Other Matters


Sec. 1281. NATO Special Operations Headquarters.

Sec. 1282. Two-year extension and modification of authorization for non-conventional assisted recovery capabilities.

TITLE XIII—COOPERATIVE THREAT REDUCTION


Sec. 1301. Specification of Cooperative Threat Reduction funds.

Sec. 1302. Funding allocations.

TITLE XIV—OTHER AUTHORIZATIONS

Subtitle A—Military Programs


Sec. 1401. Working capital funds.

Sec. 1402. National Defense Sealift Fund.

Sec. 1403. Chemical Agents and Munitions Destruction, Defense.

Sec. 1404. Drug Interdiction and Counter-Drug Activities, Defense-wide.

Sec. 1405. Defense Inspector General.

Sec. 1406. Defense Health Program.

Subtitle B—Other Matters


Sec. 1411. Authority for transfer of funds to joint Department of Defense-Department of Veterans Affairs Medical Facility Demonstration Fund for Captain James A. Lovell Health Care Center, Illinois.

Sec. 1412. Authorization of appropriations for Armed Forces Retirement Home.

Sec. 1413. Inspections of the Armed Forces Retirement Home by the Inspector General of the Department of Defense.

TITLE XV—AUTHORIZATION OF ADDITIONAL APPROPRIATIONS FOR OVERSEAS CONTINGENCY OPERATIONS

Subtitle A—Authorization of Appropriations


Sec. 1501. Purpose.

Sec. 1502. Overseas contingency operations.

Sec. 1503. Procurement.

Sec. 1504. Research, development, test, and evaluation.

Sec. 1505. Operation and maintenance.

Sec. 1506. Military personnel.

Sec. 1507. Working capital funds.

Sec. 1508. Drug Interdiction and Counter-Drug Activities, Defense-wide.

Sec. 1509. Defense Inspector General.

Sec. 1510. Defense Health Program.

Sec. 1511. Counterterrorism Partnerships Fund.

Subtitle B—Financial Matters


Sec. 1521. Treatment as additional authorizations.

Sec. 1522. Special transfer authority.

Subtitle C—Limitations, Reports, and Other Matters


Sec. 1531. Afghanistan Security Forces Fund.

Sec. 1532. Joint Improvised Explosive Device Defeat Fund.

Sec. 1533. Availability of Joint Improvised Explosive Device Defeat Fund funds for training of foreign security forces to defeat improvised explosive devices.

TITLE XVI—STRATEGIC PROGRAMS, CYBER, AND INTELLIGENCE MATTERS

Subtitle A—Space Activities


Sec. 1601. Integrated policy to deter adversaries in space.

Sec. 1602. Principal advisor on space control.

Sec. 1603. Exception to the prohibition on contracting with Russian suppliers of rocket engines for the evolved expendable launch vehicle program.

Sec. 1604. Elimination of launch capabilities contracts under evolved expendable launch vehicle program.

Sec. 1605. Allocation of funding for evolved expendable launch vehicle program.

Sec. 1606. Inclusion of plan for development and fielding of a full-up engine in rocket propulsion system development program.

Sec. 1607. Limitations on availability of funds for the Defense Meteorological Satellite program.

Sec. 1608. Quarterly reports on Global Positioning System III space segment, Global Positioning System operational control segment, and Military Global Positioning System user equipment acquisition programs.

Sec. 1609. Plan for consolidation of acquisition of commercial satellite communications services.

Sec. 1610. Council on Oversight of the Department of Defense Positioning, Navigation, and Timing Enterprise.

Sec. 1611. Analysis of alternatives for wide-band communications.

Sec. 1612. Expansion of goals for pilot program for acquisition of commercial satellite communication services.

Sec. 1613. Streamline commercial space launch activities.

Subtitle B—Cyber warfare, cyber security, and related matters


Sec. 1621. Authorization of military cyber operations.

Sec. 1622. Designation of Department of Defense entity responsible for acquisition of critical cyber capabilities.

Sec. 1623. Incentive for submittal to Congress by President of integrated policy to deter adversaries in cyberspace.

Sec. 1624. Authorization for procurement of relocatable Sensitive Compartmented Information Facility.

Sec. 1625. Evaluation of cyber vulnerabilities of major weapon systems of the Department of Defense.

Sec. 1626. Assessment of capabilities of United States Cyber Command to defend the United States from cyber attacks.

Sec. 1627. Biennial exercises on responding to cyber attacks against critical infrastructure.

Subtitle C—Nuclear Forces


Sec. 1631. Designation of Air Force officials to be responsible for policy on and procurement of nuclear command, control, and communications systems.

Sec. 1632. Comptroller General of the United States review of recommendations relating to the nuclear security enterprise.

Sec. 1633. Assessment of global nuclear environment.

Sec. 1634. Deadline for Milestone A decision on long-range standoff weapon.

Sec. 1635. Availability of Air Force procurement funds for certain commercial off-the-shelf parts for intercontinental ballistic missile fuzes.

Sec. 1636. Sense of Congress on policy on the nuclear triad.

Subtitle D—Missile Defense Programs


Sec. 1641. Plan for expediting deployment time of continental United States interceptor site.

Sec. 1642. Additional missile defense sensor coverage for the protection of the United States homeland.

Sec. 1643. Air defense capability at North Atlantic Treaty Organization missile defense sites.

Sec. 1644. Availability of funds for Iron Dome short-range rocket defense system.

Sec. 1645. Israeli cooperative missile defense program codevelopment and potential coproduction.

Sec. 1646. Development and deployment of multiple-object kill vehicle for missile defense of the United States homeland.

Sec. 1647. Requirement to replace capability enhancement I exoatmospheric kill vehicles.

Sec. 1648. Airborne boost phase defense system.

Sec. 1649. Extension of limitation on providing certain sensitive missile defense information to the Russian Federation.

Sec. 1650. Extension of requirement for Comptroller General of the United States review and assessment of missile defense acquisition programs.

Subtitle E—Other matters


Sec. 1661. Measures in response to violations of the Intermediate-Range Nuclear Forces Treaty by the Russian Federation.

Sec. 1662. Modification of notification and assessment of proposal to modify or introduce new aircraft or sensors for flight by the Russian Federation under the Open Skies Treaty.

Sec. 1663. Milestone A decision for the Conventional Prompt Global Strike Weapons System.

DIVISION B—MILITARY CONSTRUCTION AUTHORIZATIONS


Sec. 2001. Short title.

Sec. 2002. Expiration of authorizations and amounts required to be specified by law.

TITLE XXI—ARMY MILITARY CONSTRUCTION


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 2013 project.

Sec. 2106. Extension of authorizations of certain fiscal year 2012 projects.

Sec. 2107. Extension of authorizations of certain fiscal year 2013 projects.

Sec. 2108. Additional authority to carry out certain fiscal year 2016 project.

Sec. 2109. Limitation on construction of new facilities at Guantanamo Bay, Cuba.

TITLE XXII—NAVY MILITARY CONSTRUCTION


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. Extension of authorizations of certain fiscal year 2012 projects.

Sec. 2206. Extension of authorizations of certain fiscal year 2013 projects.

TITLE XXIII—AIR FORCE MILITARY CONSTRUCTION


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 2010 project.

Sec. 2306. Modification of authority to carry out certain fiscal year 2014 project.

Sec. 2307. Modification of authority to carry out certain fiscal year 2015 project.

Sec. 2308. Extension of authorization of certain fiscal year 2012 project.

Sec. 2309. Extension of authorization of certain fiscal year 2013 project.

TITLE XXIV—DEFENSE AGENCIES MILITARY CONSTRUCTION


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

Sec. 2402. Authorized energy conservation projects.

Sec. 2403. Authorization of appropriations, Defense Agencies.

Sec. 2404. Modification of authority to carry out certain fiscal year 2012 project.

Sec. 2405. Extension of authorizations of certain fiscal year 2012 projects.

Sec. 2406. Extension of authorizations of certain fiscal year 2013 projects.

Sec. 2407. Modification and extension of authority to carry out certain fiscal year 2014 project.

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

Subtitle A—Project authorizations and authorization of appropriations


Sec. 2601. Authorized Army National Guard construction and land acquisition projects.

Sec. 2602. Authorized Army Reserve construction and land acquisition projects.

Sec. 2603. Authorized Navy Reserve and Marine Corps Reserve construction and land acquisition projects.

Sec. 2604. Authorized Air National Guard construction and land acquisition projects.

Sec. 2605. Authorized Air Force Reserve construction and land acquisition projects.

Sec. 2606. Authorization of appropriations, National Guard and Reserve.

Subtitle B—Others matters


Sec. 2611. Modification and extension of authority to carry out certain fiscal year 2013 project.

Sec. 2612. Modification of authority to carry out certain fiscal year 2015 projects.

Sec. 2613. Extension of authorizations of certain fiscal year 2012 projects.

Sec. 2614. Extension of authorizations of certain fiscal year 2013 projects.

TITLE XXVII—BASE REALIGNMENT AND CLOSURE ACTIVITIES


Sec. 2701. Authorization of appropriations for base realignment and closure activities funded through Department of Defense base closure account.

Sec. 2702. Prohibition on conducting additional base realignment and closure (BRAC) round.

TITLE XXVIII—MILITARY CONSTRUCTION GENERAL PROVISIONS

Subtitle A—Military Construction Program and military family housing changes


Sec. 2801. Authority for acceptance and use of contributions for certain mutually beneficial projects.

Sec. 2802. Change in authorities relating to scope of work variations for military construction projects.

Sec. 2803. Extension of temporary, limited authority to use operation and maintenance funds for construction projects outside the United States.

Sec. 2804. Modification of reporting requirement on in-kind construction and renovation payments.

Sec. 2805. Lab modernization pilot program.

Sec. 2806. Conveyance to Indian tribes of certain housing units.

Subtitle B—Real Property and Facilities Administration


Sec. 2811. Utility system conveyance authority.

Sec. 2812. Leasing of non-excess property of military departments and Defense Agencies; treatment of value provided by local education agencies and elementary and secondary schools.

Sec. 2813. Modification of facility repair notification requirement.

Sec. 2814. Increase of threshold of notice and wait requirement for certain facilities for reserve components and parity with authority for unspecified minor military construction and repair projects.

Subtitle C—Land Conveyances


Sec. 2821. Release of reversionary interest retained as part of conveyance to the Economic Development Alliance of Jefferson County, Arkansas.

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.

Subtitle B—Program Authorizations, Restrictions, and Limitations


Sec. 3111. Responsive capabilities program.

Sec. 3112. Long-term plan for meeting national security requirements for unencumbered uranium.

Sec. 3113. Defense nuclear nonproliferation management plan.

Sec. 3114. Plan for deactivation and decommissioning of nonoperational defense nuclear facilities.

Sec. 3115. Hanford Waste Treatment and Immobilization Plant contract oversight.

Sec. 3116. Assessment of emergency preparedness of defense nuclear facilities.

Sec. 3117. Laboratory- and facility-directed research and development programs.

Sec. 3118. Limitation on bonuses for employees of the National Nuclear Security Administration who engage in improper program management.

Sec. 3119. Modification of authorized personnel levels of the Office of the Administrator for Nuclear Security.

Sec. 3120. Modification of submission of assessments of certain budget requests relating to the nuclear weapons stockpile.

Sec. 3121. Repeal of phase three review of certain defense environmental cleanup projects.

Sec. 3122. Modifications to cost-benefit analyses for competition of management and operating contracts.

Sec. 3123. Review of implementation of recommendations of the Congressional Advisory Panel on the Governance of the Nuclear Security Enterprise.

TITLE XXXII—DEFENSE NUCLEAR FACILITIES SAFETY BOARD


Sec. 3201. Authorization.

DIVISION D—FUNDING TABLES


Sec. 4001. Authorization of amounts in funding tables.

Sec. 4002. Clarification of applicability of undistributed reductions of certain operation and maintenance funding among all operation and maintenance funding.

TITLE XLI—PROCUREMENT


Sec. 4101. Procurement.

Sec. 4102. Procurement for overseas contingency operations.

TITLE XLII—RESEARCH, DEVELOPMENT, TEST, AND EVALUATION


Sec. 4201. Research, development, test, and evaluation.

Sec. 4202. Research, development, test, and evaluation for overseas contingency operations.

TITLE XLIII—OPERATION AND MAINTENANCE


Sec. 4301. Operation and maintenance.

Sec. 4302. Operation and maintenance for overseas contingency operations.

TITLE XLIV—MILITARY PERSONNEL


Sec. 4401. Military personnel.

Sec. 4402. Military personnel for overseas contingency operations.

TITLE XLV—OTHER AUTHORIZATIONS


Sec. 4501. Other authorizations.

Sec. 4502. Other authorizations for overseas contingency operations.

TITLE XLVI—MILITARY CONSTRUCTION


Sec. 4601. Military construction.

TITLE XLVII—DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS


Sec. 4701. Department of Energy national security programs.

SEC. 3. Congressional defense committees.

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

SEC. 4. Budgetary effects of this Act.

The budgetary effects of this Act, for the purposes of complying with the Statutory Pay-As-You-Go Act of 2010, shall be determined by reference to the latest statement titled “Budgetary Effects of PAYGO Legislation” for this Act, jointly submitted for printing in the Congressional Record by the Chairmen of the House and Senate Budget Committees, provided that such statement has been submitted prior to the vote on passage in the House acting first on the conference report or amendment between the Houses.

DIVISION ADepartment of Defense Authorizations

TITLE IProcurement

subtitle AAuthorization of appropriations

SEC. 101. Authorization of appropriations.

Funds are hereby authorized to be appropriated for fiscal year 2016 for procurement for the Army, the Navy and the Marine Corps, the Air Force, and Defense-wide activities, as specified in the funding table in section 4101.

subtitle BNavy programs

SEC. 111. Amendment to cost limitation baseline for CVN–78 class aircraft carrier program.

Section 122(a)(2) of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109–364; 120 Stat. 2104), as amended by section 121(a) of the National Defense Authorization Act for Fiscal Year 2014 (Public Law 113–66; 127 Stat. 691), is further amended by striking “$11,498,000,000” and inserting “$11,398,000,000”.

SEC. 112. Limitation on availability of funds for USS JOHN F. KENNEDY (CVN–79).

(a) Limitation.—Of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for procurement for the USS JOHN F. KENNEDY (CVN–79), $100,000,000 may not be obligated or expended until the date on which the Secretary of the Navy submits to the Committees on Armed Services of the Senate and of the House of Representatives the certification required under subsection (b) and the reports required under subsection (c) and (d).

(b) Certification regarding full ship shock trials.—The Secretary of the Navy shall submit to the Committees on Armed Services of the Senate and of the House of Representatives a certification that the Navy will conduct by not later than September 30, 2017, full ship shock trials on the USS GERALD R. FORD (CVN–78).

(c) Report.—

(1) IN GENERAL.—Not later than 90 days after the date of the enactment of this Act, the Secretary of the Navy shall submit to the Committees on Armed Services of the Senate and of the House of Representatives a report that evaluates cost issues related to the USS JOHN F. KENNEDY (CVN–79) and the USS ENTERPRISE (CVN–80).

(2) ELEMENTS.—The report required under paragraph (1) shall include the following elements:

(A) Options to achieve ship end cost of no more than $10,000,000,000.

(B) Options to freeze the design of CVN–79 for CVN–80, with exceptions only for changes due to full ship shock trials or other significant test and evaluation results.

(C) Options to reduce the plans cost for CVN–80 to less than 50 percent of the CVN–79 plans cost.

(D) Options to transition all non-nuclear government furnished equipment, including launch and arresting equipment, to contractor furnished equipment.

(E) Options to build the ships at the most economic pace, such as four years between ships.

(F) A business case analysis for the Enterprise Air Search Radar modification to CVN–79 and CVN–80.

(G) A business case analysis for the two-phase CVN–79 delivery proposal and impact on fleet deployments.

(d) Report.—

(1) IN GENERAL.—Not later than April 1, 2016, the Secretary of the Navy shall submit to the Committees on Armed Services of the Senate and of the House of Representatives a report on potential requirements, capabilities, and alternatives for future development of aircraft carriers that would replace or supplement the CVN–78 class aircraft carrier.

(2) ELEMENTS.—The report required under paragraph (1) shall include the following elements:

(A) A description of fleet, sea-based tactical aviation capability requirements for a range of operational scenarios beginning in the 2025 timeframe.

(B) A description of alternative aircraft carrier designs that meet the requirements described under subparagraph (A).

(C) A description of nuclear and non-nuclear propulsion options.

(D) A description of tonnage options ranging from less than 20,000 tons to greater than 100,000 tons.

(E) Requirements for unmanned systems integration from inception.

(F) Developmental, procurement, and lifecycle cost assessment of alternatives.

(G) A notional acquisition strategy for development and construction of alternatives.

(H) A description of shipbuilding industrial base considerations and a plan to ensure opportunity for competition among alternatives.

(I) A description of funding and timing considerations related to developing the Annual Long-Range Plan for Construction of Naval Vessels required under section 231 of title 10, United States Code.

SEC. 113. Limitation on availability of funds for USS ENTERPRISE (CVN–80).

(a) Limitation.—Of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for advance procurement for the USS ENTERPRISE (CVN–80), $191,400,000 may not be obligated or expended until the Secretary of the Navy submits to the Committees on Armed Services of the Senate and the House of Representatives the certification required under subsection (b) and the report required under subsection (c).

(b) Certification regarding CVN–80 design.—The Secretary of the Navy shall submit to the Committees on Armed Services of the Senate and the House of Representatives a certification that the design of CVN–80 will repeat that of CVN–79, with modifications only for significant test and evaluation results or significant cost reduction initiatives that still meet threshold requirements.

(c) Report.—

(1) IN GENERAL.—Not later than 90 days after the date of the enactment of this Act, the Secretary of the Navy shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report that details the plans costs related to the USS ENTERPRISE (CVN–80).

(2) ELEMENTS.—The report required under paragraph (1) shall include the following elements, reported by total cost and cost by fiscal year, with a detailed description and a justification for why each cost is recurring and attributable to CVN–80:

(A) Overall plans.

(B) Propulsion plant detail design.

(C) Platform detail design.

(D) Lead yard services and hull planning yard.

(E) Platform detail design (Steam and Electric Plant Planning Yard).

(F) Other.

SEC. 114. Modification of CVN–78 class aircraft carrier program.

Subsection (f) of section 122 of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109–364; 120 Stat. 2104), as added by section 121(c) of the National Defense Authorization Act for Fiscal Year 2014 (Public Law 113–66; 127 Stat. 692), is amended by adding at the end the following new paragraph:

“(3) (A) As part of the report required under paragraph (1), the Secretary of the Navy shall include a description of new design and engineering changes to CVN–78 class aircraft carriers if applicable.

“(B) The additional reporting requirement in subparagraph (A) shall include, with respect to CVN–78 class aircraft carriers in each reporting period—

“(i) any design or engineering change with an associated cost greater than $5,000,000;

“(ii) program or ship cost increases for each design or engineering change identified in subparagraph (A); and

“(iii) cost reduction achieved.

“(C) The Secretary of the Navy and Chief of Naval Operations shall each personally sign (not autopen) the additional reporting requirement in subparagraph (A). This certification may not be delegated. The certification shall include a determination that each change—

“(i) serves the national security interests of the United States;

“(ii) cannot be deferred to a future ship due to operational necessity, safety, or substantial cost reduction that still meets threshold requirements; and

“(iii) was personally reviewed and endorsed by the Secretary of the Navy and Chief of Naval Operations.”.

SEC. 115. Limitation on availability of funds for Littoral Combat Ship.

Of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for research and development, design, construction, procurement or advanced procurement of materials for the Littoral Combat Ships designated as LCS 33 or subsequent, not more than 25 percent may be obligated or expended until the Secretary of the Navy submits to the Committees on Armed Services of the Senate and the House of Representatives each of the following:

(1) A Capabilities Based Assessment to assess capability gaps and associated capability requirements and risks for the upgraded Littoral Combat Ship, which is proposed to commence with LCS 33. This assessment shall conform with the Joint Capabilities Integration and Development System, including Chairman of the Joint Chiefs of Staff Instruction 3170.01H.

(2) A certification that the Joint Requirements Oversight Council has validated an updated Capabilities Development Document for the upgraded Littoral Combat Ship.

(3) A report describing the upgraded Littoral Combat Ship modernization, which shall, at a minimum, include the following elements:

(A) A description of capabilities that the LCS program delivers, and a description of how these relate to the characteristics of the future joint force identified in the Capstone Concept for Joint Operations, concept of operations, and integrated architecture documents.

(B) A summary of analyses and studies conducted on LCS modernization.

(C) A concept of operations for LCS modernization ships at the operational level and tactical level describing how they integrate and synchronize with joint and combined forces to achieve the Joint Force Commander’s intent.

(D) A description of threat systems of potential adversaries that are projected or assessed to reach initial operational capability within 15 years against which the lethality and survivability of the LCS should be determined.

(E) A plan and timeline for LCS modernization program execution.

(F) A description of system capabilities required for LCS modernization, including key performance parameters and key system attributes.

(G) A plan for family of systems or systems of systems synchronization.

(H) A plan for information technology and national security systems supportability.

(I) A plan for intelligence supportability.

(J) A plan for electromagnetic environmental effects (E3) and spectrum supportability.

(K) A description of assets required to achieve initial operational capability (IOC) of an LCS modernization increment.

(L) A schedule and initial operational capability and full operational capability definitions.

(M) A description of doctrine, organization, training, materiel, leadership, education, personnel, facilities, and policy considerations.

(N) A description of other system attributes.

(4) A plan for future periodic combat systems upgrades, which are necessary to ensure relevant capability throughout the Littoral Combat Ship or Frigate class service lives, using the process described in paragraph (3).

SEC. 116. Extension and modification of limitation on availability of funds for Littoral Combat Ship.

Section 124(a) of the National Defense Authorization Act for Fiscal Year 2014 (Public Law 113–66; 127 Stat. 693), as amended by section 123 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3314), is further amended—

(1) by striking “this Act, the Carl Levin and Howard P. ‘Buck’ McKeon National Defense Authorization Act for Fiscal Year 2015, or otherwise made available for fiscal years 2014 or 2015” and inserting “this Act, the National Defense Authorization Act for Fiscal Year 2016, or otherwise made available for fiscal years 2014, 2015, or 2016”; and

(2) by adding at the end the following new paragraphs:

“(6) A Littoral Combat Ship seaframe acquisition strategy for the Littoral Combat Ships designated as LCS 25 through LCS 32, including upgrades to be installed on these ships that were identified for the upgraded Littoral Combat Ship, which is proposed to commence with LCS 33.

“(7) A Littoral Combat Ship mission module acquisition strategy to reach the total acquisition quantity of each mission module.

“(8) A cost and schedule plan to outfit Flight 0 and Flight 0+ Littoral Combat Ships with capabilities identified for the upgraded Littoral Combat Ship.

“(9) A current Test and Evaluation Master Plan for the Littoral Combat Ship Mission Modules, approved by the Director of Operational Test and Evaluation, which includes the performance levels expected to be demonstrated during developmental testing for each component and mission module prior to commencing the associated operational test phase.”.

SEC. 117. Construction of additional Arleigh Burke destroyer.

(a) In general.—The Secretary of the Navy may enter into a contract beginning with the fiscal year 2016 program year for the procurement of one Arleigh Burke class destroyer in addition to the ten DDG–51s in the fiscal year 2013 through 2017 multiyear procurement contract or for one DDG–51 in fiscal year 2018. The Secretary may employ incremental funding for such procurement.

(b) Condition on Out-year Contract Payments.—A contract entered into under subsection (a) shall provide that any obligation of the United States to make a payment under such contract for any fiscal year after fiscal year 2016 is subject to the availability of appropriations for that purpose for such fiscal year.

SEC. 118. Fleet Replenishment Oiler Program.

(a) Contract authority.—The Secretary of the Navy may enter into one or more contracts to procure up to six Fleet Replenishment Oilers. Such procurements may also include advance procurement for Economic Order Quantity (EOQ) and long lead time materials, beginning with the lead ship, commencing not earlier than fiscal year 2016.

(b) Liability.—Any contract entered into under subsection (a) shall provide that any obligation of the United States to make a payment under the contract is subject to the availability of appropriations for that purpose, and that total liability to the government for termination of any contract entered into shall be limited to the total amount of funding obligated at the time of termination.

SEC. 119. Reporting requirement for Ohio-class replacement submarine program.

The Secretary of Defense shall include in the budget justification materials for the Ohio-class replacement submarine program submitted to Congress in support of the Department of Defense budget for that fiscal year (as submitted with the budget of the President under section 1105(a) of title 31, United States Code) a report including the following elements, described in terms of both fiscal 2010 and current fiscal year dollars:

(1) Lead ship end cost (with plans).

(2) Lead ship end cost (less plans).

(3) Lead ship non-recurring engineering cost.

(4) Average follow-on ship cost.

(5) Average operations and sustainment cost per hull per year.

(6) Office of the Under Secretary of Defense for Acquisition, Technology, and Logistics average follow-on ship affordability target.

(7) Office of the Under Secretary of Defense for Acquisition, Technology, and Logistics operations and sustainment cost per hull per year affordability target.

subtitle CAir Force programs

SEC. 131. Limitations on retirement of B–1, B–2, and B–52 bomber aircraft.

(a) In general.—Except as provided in subsection (b), no B–1, B–2, or B–52 bomber aircraft may be retired during a fiscal year prior to initial operational capability (IOC) of the LRS–B unless the Secretary of Defense certifies, in the materials submitted in support of the budget of the President for that fiscal year (as submitted to Congress under section 1105(a) of title 31, United States Code), that—

(1) the retirement of the aircraft is required to reallocate funding and manpower resources to enable LRS–B to reach IOC and full operational capability (FOC); and

(2) the Secretary has concluded that retirements of B–1, B–2, and B–52 bomber aircraft in the near-term will not detrimentally affect operational capability.

(b) Exception.—A certification described in sub-section (a) is not required with respect to the retirement of B–1 bomber aircraft carried out in accordance with section 132(c)(2) of the National Defense Authorization Act for Fiscal Year 2012 (Public Law 112–81; 125 Stat. 1320).

SEC. 132. Limitation on retirement of Air Force fighter aircraft.

(a) Inventory requirement.—Section 8062 of title 10, United States Code, is amended by adding at the end the following new subsection:

“(i) Inventory requirement.— (1) Effective October 1, 2015, the Secretary of the Air Force shall maintain a total aircraft inventory of fighter aircraft of not less than 1,950 aircraft, and a total primary mission aircraft inventory (combat-coded) of not less than 1,116 fighter aircraft.

“(2) In this subsection:

“(A) The term ‘fighter aircraft’ means an aircraft that—

“(i) is designated by a mission design series prefix of F– or A–;

“(ii) is manned by one or two crewmembers; and

“(iii) executes single-role or multi-role missions, including air-to-air combat, air-to-ground attack, air interdiction, suppression or destruction of enemy air defenses, close air support, strike control and reconnaissance, combat search and rescue support, or airborne forward air control.

“(B) The term ‘primary mission aircraft inventory’ means aircraft assigned to meet the primary aircraft authorization to a unit for the performance of its wartime mission.”.

(b) Limitation on retirement of Air Force fighter aircraft.—

(1) LIMITATION.—The Secretary of the Air Force may not proceed with a decision to retire fighter aircraft in any number that would reduce the total number of such aircraft in the Air Force total active inventory (TAI) below 1,950, and shall maintain a minimum of 1,116 fighter aircraft designated as primary mission aircraft inventory (PMAI).

(2) ADDITIONAL LIMITATIONS ON RETIREMENT OF FIGHTER AIRCRAFT.—The Secretary of the Air Force may not retire fighter aircraft from the total active inventory as of the date of the enactment of this Act until the later of the following:

(A) The date that is 30 days after the date on which the Secretary submits the report required under paragraph (3).

(B) The date that is 30 days after the date on which the Secretary certifies to the congressional defense committees that—

(i) the retirement of such fighter aircraft will not increase the operational risk of meeting the National Defense Strategy; and

(ii) the retirement of such aircraft will not reduce the total fighter force structure below 1,950 fighter aircraft or the primary mission aircraft inventory below 1,116.

(3) REPORT ON RETIREMENT OF AIRCRAFT.—The Secretary of the Air Force shall submit to the congressional defense committees a report setting forth the following:

(A) The rationale for the retirement of existing fighter aircraft and an operational analysis of replacement fighter aircraft that demonstrates performance of the designated mission at an equal or greater level of effectiveness as the retiring aircraft.

(B) An assessment of the implications for the Air Force, the Air National Guard, and the Air Force Reserve of the force mix ratio of fighter aircraft.

(C) Such other matters relating to the retirement of fighter aircraft as the Secretary considers appropriate.

(c) Reports on fighter aircraft.—

(1) IN GENERAL.—At least 90 days before the date on which a fighter aircraft is retired, the Secretary of the Air Force, in consultation with (where applicable) the Director of the Air National Guard or Chief of the Air Force Reserve, shall submit to the congressional defense committees a report on the proposed force structure and basing of fighter aircraft.

(2) ELEMENTS.—Each report submitted under paragraph (1) shall include the following elements:

(A) A list of each aircraft in the inventory of fighter aircraft, including for each such aircraft—

(i) the mission design series type;

(ii) the variant; and

(iii) the assigned unit and military installation where such aircraft is based.

(B) A list of each fighter aircraft proposed for retirement, including for each such aircraft—

(i) the mission design series type;

(ii) the variant; and

(iii) the assigned unit and military installation where such aircraft is based.

(C) A list of each unit affected by a proposed retirement listed under subparagraph (B) and a description of how such unit is affected.

(D) For each military installation and unit listed under subparagraph (B)(iii), a description of changes, if any, to the designed operational capability (DOC) statement of the unit as a result of a proposed retirement.

(E) A description of any anticipated changes in manpower authorizations as a result of a proposed retirement listed under subparagraph (B).

(d) Fighter aircraft defined.—In this section, the term “fighter aircraft” has the meaning given the term in subsection (i)(2)(A) of section 8062 of title 10, United States Code, as added by subsection (a) of this section.

SEC. 133. Limitation on availability of funds for F–35A aircraft procurement.

Of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for aircraft procurement, Air Force, not more than $4,285,000,000 may be made available for the procurement of F–35A aircraft until the Secretary of Defense certifies to the congressional defense committees that F–35A aircraft delivered in fiscal year 2018 will have full combat capability as currently planned with Block 3F hardware, software, and weapons carriage.

SEC. 134. Prohibition on retirement of A–10 aircraft.

(a) Prohibition on availability of funds for retirement.—None of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for the Air Force may be obligated or expended to retire, prepare to retire, or place in storage or on backup aircraft inventory status any A–10 aircraft.

(b) Additional limitations on retirement.—

(1) IN GENERAL.—In addition to the limitation in subsection (a), during the period before December 31, 2016, the Secretary of the Air Force may not retire, prepare to retire, or place in storage or on backup flying status any A–10 aircraft.

(2) MINIMUM INVENTORY REQUIREMENT.—The Secretary of the Air Force shall ensure the Air Force maintains a minimum of 171 A–10 aircraft designated as primary mission aircraft inventory (PMAI).

(c) Prohibition on availability of funds for significant reductions in manning levels.—None of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for the Air Force may be obligated or expended to make significant reductions to manning levels with respect to any A–10 aircraft squadrons or divisions.

(d) Additional limitation on significant reductions in manning levels.—-In addition to the limitation in subsection (c), during the period before December 31, 2016, the Secretary of the Air Force may not make significant reductions to manning levels with respect to any A–10 aircraft squadrons or divisions.

(e) Study on replacement capability requirements or mission platform for the A–10 aircraft.—

(1) INDEPENDENT ASSESSMENT REQUIRED.—

(A) IN GENERAL.—The Secretary of the Air Force shall commission an appropriate entity outside the Department of Defense to conduct an assessment of the required capabilities or mission platform to replace the A–10 aircraft. This assessment would represent preparatory work to inform an analysis of alternatives.

(B) ELEMENTS.—The assessment required under subparagraph (A) shall include each of the following:

(i) Future needs analysis for the current A–10 aircraft mission set to include troops-in-contact/close air support, air interdiction, strike control and reconnaissance, and combat search and rescue support in both contested and uncontested battle environments. At a minimum, the needs analysis should specifically address the following areas:

(I) The ability to safely and effectively conduct troops-in-contact/danger close missions or missions in close proximity to civilians in the presence of the air defenses found with enemy ground maneuver units.

(II) The ability to effectively target and destroy moving, camouflaged, or dug-in troops, artillery, armor, and armored personnel carriers.

(III) The ability to remain within visual range of friendly forces and targets to facilitate responsiveness to ground forces and minimize re-attack times.

(IV) The ability to safely conduct close air support beneath low cloud ceilings and in reduced visibilities at low airspeeds in the presence of the air defenses found with enemy ground maneuver units.

(V) The capability to enable the pilot and aircraft to survive attacks stemming from small arms, machine guns, MANPADs, and lower caliber anti-aircraft artillery organic or attached to enemy ground forces and maneuver units.

(VI) The ability to communicate effectively with ground forces and downed pilots, including in communications jamming or satellite-denied environments.

(VII) The ability to execute the missions described in subclauses (I), (II), (III), and (IV) in a GPS- or satellite-denied environment with or without sensors.

(VIII) The ability to deliver multiple lethal firing passes and sustain long loiter endurance to support friendly forces throughout extended ground engagements.

(IX) The ability to operate from unprepared dirt, grass, and narrow road runways and to generate high sortie rates under these austere conditions.

(ii) Identification and assessment of gaps in the ability of existing and programmed mission platforms in providing required capabilities to conduct missions specified in clause (i) in both contested and uncontested battle environments.

(iii) Assessment of operational effectiveness of existing and programmed mission platforms to conduct missions specified in clause (i) in both contested and uncontested battle environments.

(iv) Assessment of probability of likelihood of conducting missions requiring troops-in-contact/close air support operations specified in clause (i) in contested environments as compared to uncontested environments.

(v) Any other matters the independent entity or the Secretary of the Air Force determines to be appropriate.

(2) REPORT.—

(A) IN GENERAL.—Not later than September 30, 2016, the Secretary of the Air Force shall submit to the congressional defense committees a report that includes the assessment required under paragraph (1).

(B) FORM.—The report required under subparagraph (A) may be submitted in classified form, but shall also contain an unclassified executive summary and may contain an unclassified annex.

(3) NONDUPLICATION OF EFFORT.—If any information required under paragraph (1) has been included in another report or notification previously submitted to Congress by law, the Secretary of the Air Force may provide a list of such reports and notifications at the time of submitting the report required under paragraph (2) in lieu of including such information in the report required under paragraph (2).

SEC. 135. Prohibition on availability of funds for retirement of EC–130H Compass Call aircraft.

(a) Prohibition on retirement.—None of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for the Air Force may be obligated or expended to retire, prepare to retire, or place in storage or backup aircraft inventory status any EC–130H Compass Call aircraft.

(b) Additional limitations on retirement of EC–130h compass call aircraft.—In addition to the limitation in subsection (a), during the period preceding December 31, 2016, the Secretary of the Air Force may not retire, prepare to retire, or place in storage or on backup flying status any EC-130H Compass Call aircraft.

(c) Report on retirement of EC–130h compass call aircraft.—Not later than September 30, 2016, the Secretary of the Air Force shall submit to the congressional defense committees a report setting forth the following:

(1) The rationale for the retirement of existing EC–130H Compass Call aircraft, including an operational analysis of the impact of such retirements on combatant commander warfighting requirements.

(2) A plan for how the Air Force will fulfill the capability requirement of the EC–130H mission, transition the mission capabilities of the EC–130H into a replacement platform, or integrate the required capabilities into other mission platforms.

(3) Such other matters relating to the required mission capabilities and transition of the EC–130H Compass Call fleet as the Secretary considers appropriate.

SEC. 136. Limitation on transfer of C–130 aircraft.

None of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for the Air Force may be obligated or expended to transfer from one facility of the Department of Defense to another any C–130H aircraft, initiate any C–130 manpower authorization adjustments, retire or prepare to retire any C–130H aircraft, or close any C–130H unit until 90 days after the date on which the Secretary of the Air Force, in consultation with the Secretary of the Army, and after certification by the commanders of the XVIII Airborne Corps, 82nd Airborne Division and United States Army Special Operations Command, certifies to the Committees on Armed Services of the Senate and of the House of Representatives that—

(1) the United States Air Force will maintain dedicated C–130 wings to support the daily training and contingency requirements of the XVIII Airborne Corps, 82nd Airborne Division, and United States Army Special Operations Command at manning levels required to support and operate the number of aircraft that existed as part of regular and reserve Air Force operations in support of such units as of September 30, 2014; and

(2) failure to maintain such Air Force operations will not adversely impact the daily training requirement of those airborne and special operations units.

SEC. 137. Limitation on use of funds for T–1A Jayhawk aircraft.

None of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for avionics modification to the T–1A Jayhawk aircraft may be obligated or expended until 30 days after the Secretary of the Air Force submits to the congressional defense committees the report required under section 142 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3320).

SEC. 138. Restriction on retirement of the Joint Surveillance Target Attack Radar System (JSTARS), EC-130H Compass Call, and Airborne Early Warning and Control (AWACS) Aircraft.

The Secretary of the Air Force may not retire any operational Joint Surveillance Target Attack Radar System (JSTARS), EC-130H Compass Call, or Airborne Early Warning and Control (AWACS) aircraft until the follow-on replacement aircraft program enters Low-Rate Initial Production.

SEC. 139. Sense of Congress regarding the OCONUS basing of the F–35A aircraft.

(a) Finding.—Congress finds that the Department of Defense is continuing its process of permanently stationing the F–35 aircraft at installations in the Continental United States (in this section referred to as “CONUS”) and forward-basing Outside the Continental United States (in this section referred to as “OCONUS”).

(b) Sense of Congress.—It is the sense of Congress that the Secretary of the Air Force, in the strategic basing process for the F–35A aircraft, should continue to consider the benefits derived from sites that—

(1) are capable of hosting fighter-based bilateral and multilateral training opportunities with international partners;

(2) have sufficient airspace and range capabilities and capacity to meet the training requirements;

(3) have existing facilities to support personnel, operations, and logistics associated with the flying mission;

(4) have limited encroachment that would adversely impact training or operations; and

(5) minimize the overall construction and operational costs.

SEC. 140. Sense of Congress on F–16 Active Electronically Scanned Array (AESA) radar upgrade.

(a) Findings.—Congress makes the following findings:

(1) National Guard F–16 aircraft are protecting the United States from terrorist air attack from inside or outside the contiguous United States 24 hours a day, 365 days a year.

(2) These aircraft, stationed throughout the United States, are tasked with the zero-fail mission of guarding and securing United States airspace.

(3) The United States is facing an increased threat from both state and non-state actors.

(4) The National Guard F–16 aircraft performing the Aerospace Control Alert (ACA) mission are operating legacy radar systems.

(5) Air Force Chief of Staff General Mark Welsh testified to Congress in March 2015, stating, “We need to develop an AESA radar plan for our F–16s who are conducting the homeland defense mission in particular.”

(6) First Air Force, United States Northern Command, issued a Joint Urgent Operational Need (JUON) request in March 2015 for radar upgrades to its F–16 fleet.

(b) Sense of Congress.—It is the sense of Congress that—

(1) it is essential to our Nation’s defense that Air Force aircraft modification funding is made available to purchase these Active Electronically Scanned Array (AESA) radars as the United States Air Force bridges the gap between 4th and 5th generation fighters;

(2) the United States Government must invest in radar upgrades which ensure that 4th generation aircraft succeed at this zero-fail mission; and

(3) the First Air Force JUON request should be met as soon as possible.

subtitle DDefense-wide, Joint, and Multiservice Matters

SEC. 151. Report on Army and Marine Corps modernization plan for small arms.

(a) Report required.—Not later than one year after the date of the enactment of this Act, the Secretary of the Army and the Secretary of the Navy shall jointly submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the plan of the Army and the Marine Corps to modernize small arms for the Army and the Marine Corps during the 15-year period beginning on the date of such plan, including the mechanisms to be used to promote competition among suppliers of small arms and small arms parts in achieving the plan.

(b) Small arms.—The small arms covered by the plan under subsection (a) shall include the following:

(1) Pistols.

(2) Carbines.

(3) Rifles and automatic rifles.

(4) Light machine guns.

(5) Such other small arms as the Secretaries consider appropriate for purposes of the report required by subsection (a).

(c) Non-standard small arms.—In addition to the arms specified in subsection (b), the plan under subsection (a) shall also address non-standard small arms not currently in the small arms inventory of the Army or the Marine Corps.

TITLE IIResearch, Development, Test, and Evaluation

subtitle AAuthorization of appropriations

SEC. 201. Authorization of appropriations.

Funds are hereby authorized to be appropriated for fiscal year 2016 for the use of the Department of Defense for research, development, test, and evaluation as specified in the funding table in section 4201.

subtitle BProgram Requirements, Restrictions, and Limitations

SEC. 211. Centers for Science, Technology, and Engineering Partnership.

(a) In general.—Chapter 139 of title 10, United States Code, is amended by inserting after section 2367 the following new section:

§ 2368. Centers for Science, Technology, and Engineering Partnership

“(a) Designation.— (1) The Secretary of Defense, in coordination with the Secretaries of the military departments, shall designate each science and technology reinvention laboratory as a Center for Science, Technology, and Engineering Partnership in the recognized core competencies of the designee.

“(2) The Secretary of Defense shall establish a policy to encourage the Secretary of each military department to reengineer management and business processes and adopt best-business and personnel practices at their Centers for Science, Technology, and Engineering Partnership in connection with their core competency requirements, so as to serve as recognized leaders in their core competencies throughout the Department of Defense and in the national technology and industrial base (as defined in section 2500 of this title).

“(3) The Secretary of Defense, acting through the directors of the Centers for Science, Technology, and Engineering Partnership, may conduct one or more pilot programs, consistent with applicable requirements of law, to test any practices referred to in paragraph (2) that the Directors determine could—

“(A) improve the efficiency and effectiveness of operations at Centers for Science, Technology, and Engineering Partnership;

“(B) improve the support provided by the Centers for the Department of Defense users of the services of the Centers; and

“(C) enhance capabilities by reducing the cost and improving the performance and efficiency of executing laboratory missions.

“(4) In this subsection, the term ‘science and technology reinvention laboratory’ means a science and technology reinvention laboratory designated under section 1105 of the National Defense Authorization Act for Fiscal Year 2010 (Public Law 111–84; 10 U.S.C. 2358 note).

“(b) Public-private partnerships.— (1) To achieve one or more objectives set forth in paragraph (2), the Secretary may authorize and establish incentives for the Director of a Center for Science, Technology, and Engineering Partnership to enter into public-private cooperative arrangements (in this section referred to as a ‘public-private partnership’) to provide for any of the following:

“(A) For employees of the Center, private industry, or other entities outside the Department of Defense to perform (under contract, subcontract, or otherwise) work related to the core competencies of the Center, including any work that involves one or more core competencies of the Center.

“(B) For private industry or other entities outside the Department of Defense to use, for any period of time determined to be consistent with the needs of the Department of Defense, any facilities or equipment of the Center that are not fully used for Department of Defense activities.

“(2) The objectives for exercising the authority provided in paragraph (1) are as follows:

“(A) To maximize the use of the capacity of a Center for Science, Technology, and Engineering Partnership.

“(B) To reduce or eliminate the cost of ownership and maintenance of a Center by the Department of Defense.

“(C) To reduce the cost of research and testing activities of the Department of Defense.

“(D) To leverage private sector investment in—

“(i) such efforts as research and equipment recapitalization for a Center; and

“(ii) the promotion of the undertaking of commercial business ventures based on the core competencies of a Center, as determined by the director of the Center.

“(E) To foster cooperation between the armed forces, academia, and private industry.

“(F) To increase access by a Center to a skilled technical workforce that can contribute to the effective and efficient execution of Department of Defense missions.

“(c) Private sector use of excess capacity.—Any facilities or equipment of a Center for Science, Technology, and Engineering Partnership made available to private industry may be used to perform research and testing activities in order to make more efficient and economical use of Government-owned facilities and encourage the creation and preservation of jobs to ensure the availability of a workforce with the necessary research and technical skills to meet the needs of the armed forces.

“(d) Crediting of amounts for performance.—Amounts received by a Center for Science, Technology, and Engineering Partnership for work performed under a public-private partnership may—

“(1) be credited to the appropriation or fund, including a working-capital fund, that incurs the cost of performing the work; or

“(2) be used by the Director of the Center as the Director considers appropriate and consistent with section 219 of the Duncan Hunter National Defense Authorization Act for Fiscal Year 2009 (Public Law 110–417; 10 U.S.C. 2358 note).

“(e) Availability of excess equipment to private-sector partners.—Equipment or facilities of a Center for Science, Technology, and Engineering Partnership may be made available for use by a private-sector entity under this section only if—

“(1) the use of the equipment or facilities will not have a significant adverse effect on the performance of the Center or the ability of the Center to achieve its mission, as determined by the Director of the Center; and

“(2) the private-sector entity agrees—

“(A) to reimburse the Department of Defense for the direct and indirect costs (including any rental costs) that are attributable to the entity’s use of the equipment or facilities, as determined by that Secretary; and

“(B) to hold harmless and indemnify the United States from—

“(i) any claim for damages or injury to any person or property arising out of the use of the equipment or facilities, except under the circumstances described in section 2563(c)(3) of title 10, United States Code; and

“(ii) any liability or claim for damages or injury to any person or property arising out of a decision by the Secretary to suspend or terminate that use of equipment or facilities during a war or national emergency.

“(f) Construction of provision.—Nothing in this section may be construed to authorize a change, otherwise prohibited by law, from the performance of work at a Center for Science, Technology, and Engineering Partnership by Department of Defense personnel to performance by a contractor.”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 139 of such title is amended by inserting after the item relating to section 2367 the following new item:


“2368. Centers for Science, Technology, and Engineering Partnership.”.

SEC. 212. Department of Defense technology offset program to build and maintain the military technological superiority of the United States.

(a) Program established.—

(1) IN GENERAL.—The Secretary of Defense shall establish a technology offset program to build and maintain the military technological superiority of the United States by—

(A) accelerating the fielding of offset technologies that would help counter technological advantages of potential adversaries of the United States, including directed energy, low-cost, high-speed munitions, autonomous systems, undersea warfare, cyber technology, and intelligence data analytics, developed using Department of Defense research funding and accelerating the commercialization of such technologies; and

(B) developing and implementing new policies and acquisition and business practices.

(2) GUIDELINES.—Not later than one year after the date of the enactment of this Act, the Secretary shall issue guidelines for the operation of the program, including—

(A) criteria for an application for funding by a military department, defense agency, or a combatant command;

(B) the purposes for which such a department, agency, or command may apply for funds and appropriate requirements for technology development or commercialization to be supported using program funds;

(C) the priorities, if any, to be provided to field or commercialize offset technologies developed by certain types of Department research funding; and

(D) criteria for evaluation of an application for funding or changes to policies or acquisition and business practices by a department, agency, or command for purposes of the program.

(b) Development of directed energy strategy.—

(1) IN GENERAL.—Not later than one year after the date of the enactment of this Act, the Secretary, in consultation with such officials and third-party experts as the Secretary considers appropriate, shall develop a directed energy strategy to ensure that the United States directed energy technologies are being developed and deployed at an accelerated pace.

(2) COMPONENTS OF STRATEGY.—The strategy required by paragraph (1) shall include the following:

(A) A technology roadmap for directed energy that can be used to manage and assess investments and policies of the Department in this high priority technology area.

(B) Proposals for legislative and administrative action to improve the ability of the Department to develop and deploy technologies and capabilities consistent with the directed energy strategy.

(C) An approach to program management that is designed to accelerate operational prototyping of directed energy technologies and develop cost-effective, real-world military applications for such technologies.

(3) BIENNIAL REVISIONS.—Not less frequently than once every 2 years, the Secretary shall revise the strategy required by paragraph (1).

(4) SUBMITTAL TO CONGRESS.— (A) Not later than 90 days after the date on which the Secretary completes the development of the strategy required by paragraph (1) and not later than 90 days after the date on which the Secretary completes a revision to such strategy under paragraph (3), 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 copy of such strategy.

(B) The strategy submitted under subparagraph (A) shall be submitted in unclassified form, but may include a classified annex.

(c) Applications for funding.—

(1) IN GENERAL.—Under the program, the Secretary shall, not less frequently than annually, solicit from the heads of the military departments, the defense agencies, and the combatant commands applications for funding to be used to enter into contracts, cooperative agreements, or other transaction agreements entered into pursuant to section 845 of the National Defense Authorization Act for Fiscal Year 1994 (Public Law 103–160; 10 U.S.C. 2371 note) with appropriate entities for the fielding or commercialization of technologies.

(2) TREATMENT PURSUANT TO CERTAIN CONGRESSIONAL RULES.—Nothing in this section shall be interpreted to require any official of the Department of Defense to provide funding under this section to any earmark as defined pursuant to House Rule XXI, clause 9, or any congressionally directed spending item as defined pursuant to Senate Rule XLIV, paragraph 5.

(d) Funding.—

(1) IN GENERAL.—Subject to the availability of appropriations for such purpose, of the amounts authorized to be appropriated for research, development, test, and evaluation, Defense-wide for fiscal year 2016, not more than $400,000,000 may be used for any such fiscal year for the program established under subsection (a).

(2) AMOUNT FOR DIRECTED ENERGY.—Of this amount, not more than $200,000,000 may be used for activities in the field of directed energy.

(e) Transfer authority.—

(1) IN GENERAL.—The Secretary may transfer funds available for the program to the research, development, test, and evaluation accounts of a military department, defense agency, or a combatant command pursuant to an application, or any part of an application, that the Secretary determines would support the purposes of the program.

(2) SUPPLEMENT NOT SUPPLANT.—The transfer authority provided in this subsection is in addition to any other transfer authority available to the Department of Defense.

(f) Termination.—

(1) IN GENERAL.—The authority to carry out a program under this section shall terminate on September 30, 2020.

(2) TRANSFER AFTER TERMINATION.—Any amounts made available for the program that remain available for obligation on the date the program terminates may be transferred under subsection (e) during the 180-day period beginning on the date of the termination of the program.

SEC. 213. Reauthorization of defense research and development rapid innovation program.

(a) Extension of program.—Section 1073 of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111–383; 10 U.S.C. 2359a note) is amended—

(1) in subsection (d), by striking “2015” and inserting “2020”; and

(2) in subsection (g), by striking “September 30, 2015” and inserting “September 30, 2020”.

(b) Modification of guidelines for operation of program.—Subsection (b) of such section is amended—

(1) by amending paragraph (1) to read as follows:

“(1) The issuance of an annual broad agency announcement or the use of any other competitive or merit-based processes by the Department of Defense for candidate proposals in support of defense acquisition programs as described in subsection (a).”;

(2) in paragraph (3), by striking the second sentence;

(3) in paragraph (4)—

(A) in the first sentence, by striking “be funded under the program for more than two years” and inserting “receive more than a total of two years of funding under the program”; and

(B) by striking the second sentence; and

(4) by adding at the end, the following new paragraphs:

“(5) Mechanisms to facilitate transition of follow-on or current projects carried out under the program into defense acquisition programs, through the use of the authorities of section 819 of the National Defense Authorization Act for Fiscal year 2010 (Public Law 111–84; 10 U.S.C. 2302 note) or such other authorities as may be appropriate to conduct further testing, low rate production, or full rate production of technologies developed under the program.

“(6) Projects are selected using merit based selection procedures and the selection of projects is not subject to undue influence by Congress or other Federal agencies.”.

(c) Repeal of report requirement.—Such section is further amended—

(1) by striking subsection (f); and

(2) by redesignating subsection (g) as subsection (f).

SEC. 214. Reauthorization of Global Research Watch program.

Section 2365 of title 10, United States Code, is amended—

(1) in paragraphs (1) and (2) of subsection (b), by inserting “and private sector persons” after “foreign nations” both places it appears; and

(2) in subsection (f), by striking “September 30, 2015” and inserting “September 30, 2025”.

SEC. 215. Science and technology activities to support business systems information technology acquisition programs.

(a) In general.—The Secretary of Defense, acting through the Undersecretary of Acquisition, Technology, and Logistics, the Deputy Chief Management Officer, and the Chief Information Officer shall establish a set of science, technology, and innovation activities to improve the acquisition outcomes of major automated information systems through improved performance and reduced developmental and life cycle costs.

(b) Execution of activities.—The activities established under subsection (a) shall be carried out by such military departments and defense agencies as the Under Secretary and the Deputy Chief Management Officer consider appropriate.

(c) Activities.—The set of activities established under subsection (a) may include the following:

(1) Development of capabilities in Department of Defense laboratories, test centers, and Federally-funded research and development centers to provide technical support for acquisition program management and business process re-engineering activities.

(2) Funding of intramural and extramural research and development activities as described in subsection (d).

(d) Funding of intramural and extramural research and development.—

(1) IN GENERAL.—In carrying out the set of activities required by subsection (a), the Secretary may award grants or contracts to eligible entities to carry out intramural or extramural research and development in areas of interest described in paragraph (3).

(2) ELIGIBLE ENTITIES.—For purposes of this subsection, an eligible entity includes the following:

(A) Entities in the defense industry.

(B) Institutions of higher education.

(C) Small businesses.

(D) Nontraditional defense contractors (as defined in section 2302 of title 10, United States Code).

(E) Federally-funded research and development centers, primarily for the purpose of improving technical expertise to support acquisition efforts.

(F) Nonprofit research institutions.

(G) Government laboratories and test centers, primarily for the purpose of improving technical expertise to support acquisition efforts.

(3) AREAS OF INTEREST.—The areas of interest described in this paragraph are the following:

(A) Management innovation, including personnel and financial management policy innovation.

(B) Business process re-engineering.

(C) Systems engineering of information technology business systems.

(D) Cloud computing to support business systems and business processes.

(E) Software development, including systems and techniques to limit unique interfaces and simplify processes to customize commercial software to meet the needs of the Department of Defense.

(F) Hardware development, including systems and techniques to limit unique interfaces and simplify processes to customize commercial hardware to meet the needs of the Department of Defense.

(G) Development of methodologies and tools to support development and operational test of large and complex business systems.

(H) Analysis tools to allow decision makers to balance between requirements, costs, technical risks, and schedule in major automated information system acquisition programs

(I) Information security in major automated information system systems.

(J) Innovative acquisition policies and practices to streamline acquisition of information technology systems.

(K) Such other areas as the Secretary considers appropriate.

(e) Priorities.—

(1) IN GENERAL.—In carrying out the set of activities required by subsection (a), the Secretary shall give priority to—

(A) projects that—

(i) address the innovation and technology needs of the Department of Defense; and

(ii) support activities of initiatives, programs and offices identified by the Under Secretary and Deputy Chief Management Officer; and

(B) the projects and programs identified in paragraph (2).

(2) PROJECTS AND PROGRAMS IDENTIFIED.—The projects and programs identified in this paragraph are the following:

(A) Major automated information system programs.

(B) Projects and programs under the oversight of the Deputy Chief Management Officer.

(C) Projects and programs relating to defense procurement acquisition policy.

(D) Projects and programs of the Defense Contract Audit Agency.

(E) Military and civilian personnel policy development for information technology workforce.

SEC. 216. Expansion of eligibility for financial assistance under Department of Defense Science, Mathematics, and Research for Transformation program to include citizens of countries participating in The Technical Cooperation Program.

Section 2192a(b)(1)(A) of title 10, United States Code, is amended by inserting “or a country the government of which is a party to The Technical Cooperation Program (TTCP) memorandum of understanding of October 24, 1995” after “United States”.

SEC. 217. Streamlining the Joint Federated Assurance Center.

Section 937(c)(2) of the National Defense Authorization Act for Fiscal Year 2014 (Public Law 113–66; 10 U.S.C. 2224 note) is amended—

(1) in subparagraph (C), by striking “, in coordination with the Center for Assured Software of the National Security Agency,”; and

(2) in subparagraph (E), by striking “, in coordination with the Defense Microelectronics Activity,”.

SEC. 218. Limitation on availability of funds for development of the Shallow Water Combat Submersible.

(a) Limitation.—Of the amounts authorized to be appropriated in this Act or otherwise made available for fiscal year 2016 for Special Operations Command for development of the Shallow Water Combat Submersible, not more than 25 percent may be obligated or expended until the date that is 15 days after the later of the date on which—

(1) the Under Secretary of Defense for Acquisition, Technology, and Logistics designates a civilian official responsible for oversight and assistance to Special Operations Command for all undersea mobility programs; and

(2) the Under Secretary, in coordination with the Assistant Secretary of Defense for Special Operations and Low-Intensity Conflict, submits to the congressional defense committees the report described in subsection (b).

(b) Report described.—The report described in this subsection is a report on the Shallow Water Combat Submersible that includes the following:

(1) An analysis of the reasons for cost and schedule overruns associated with the Shallow Water Combat Submersible program.

(2) A revised timeline for initial and full operational capability of the Shallow Water Combat Submersible.

(3) The projected cost to meet the total unit acquisition objective.

(4) A plan to prevent, identify, and mitigate any additional cost and schedule overruns.

(5) A description of such opportunities as may be to recover cost or schedule.

(6) A description of such lessons as the Under Secretary may have learned from the Shallow Water Combat Submersible program that could be applied to future undersea mobility acquisition programs.

(7) Such other matters as the Under Secretary considers appropriate.

SEC. 219. Limitation on availability of funds for distributed common ground system of the Army.

(a) Limitation.—Of the amounts authorized to be appropriated for fiscal year 2016 for the Department of Defense by section 201 and available for research, development, test, and evaluation, Army, for the distributed common ground system of the Army as specified in the funding tables in title XLII, not more than 75 percent may be obligated or expended until the Secretary of the Army—

(1) conducts a review of the program planning for the distributed common ground system of the Army; and

(2) submits to the appropriate congressional committees the report required by subsection (b)(1).

(b) Report.—

(1) IN GENERAL.—The Secretary shall submit to the appropriate congressional committees a report on the review of the distributed common ground system of the Army conducted under subsection (a)(1).

(2) MATTERS INCLUDED.—The report under paragraph (1) shall include the following:

(A) A review of the segmentation of Increment 2 of the distributed common ground system program of the Army into discrete software components with the associated requirements of each component.

(B) Identification of each component of Increment 2 of the distributed common ground system of the Army for which commercial software exists that is capable of fulfilling most or all of the system requirements for each such component.

(C) A cost analysis of each such commercial software that compares performance with projected cost.

(D) Determination of the degree to which commercial software solutions are compliant with the standards required by the framework and guidance for the Intelligence Community Information Technology Enterprise, the Defense Intelligence Information Enterprise, and the Joint Information Environment.

(E) Identification of each component of Increment 2 of the distributed common ground system of the Army that the Secretary determines may be acquired through competitive means.

(F) An acquisition plan for Increment 2 of the distributed common ground system of the Army that prioritizes the acquisition of commercial software components, including a data integration layer, in time to meet the projected deployment schedule for Increment 2.

(G) A review of the timetable for the distributed common ground system program of the Army in order to determine whether there is a practical, executable acquisition strategy, including the use of operational capability demonstrations, that could lead to an initial operating capability of Increment 2 of the distributed common ground system of the Army prior to fiscal year 2017.

(c) Appropriate congressional committees defined.—In this section, the term “appropriate congressional committees” means—

(1) the congressional defense committees; and

(2) the Select Committee on Intelligence of the Senate and the Permanent Select Committee on Intelligence of the House of Representatives.

SEC. 220. Limitation on availability of funds for distributed common ground system of the United States Special Operations Command.

(a) Limitation.—Of the amounts authorized to be appropriated for fiscal year 2016 for the Department of Defense by section 201 and available for research, development, test, and evaluation, Defense-wide, for the United States Special Operations Command for the distributed common ground system, not more than 75 percent may be obligated or expended until the Commander of the United States Special Operations Command submits to the congressional defense committees the report required by subsection (b).

(b) Report required.—The Commander shall submit to the congressional defense committees a report on the distributed common ground system. Such report shall include the following:

(1) A review of the segmentation of the distributed common ground system special operations forces program into discrete software components with the associated requirements of each component.

(2) Identification of each component of the distributed common ground system special operations forces program for which commercial software exists that is capable of fulfilling most or all of the system requirements for each such component.

(3) A cost analysis of each such commercial software that compares performance with projected cost.

(4) A determination of the degree to which commercial software solutions are compliant with the standards required by the framework and guidance for the Intelligence Community Information Technology Enterprise, the Defense Intelligence Information Enterprise, and the Joint Information Environment.

(5) Identification of each component of the distributed common ground system special operations forces program that the Commander determines may be acquired through competitive means.

(6) An assessment of the extent to which elements of the distributed common ground system special operations forces program could be modified to increase commercial acquisition opportunities.

(7) An acquisition plan that leads to full operational capability prior to fiscal year 2019.

subtitle COther matters

SEC. 231. Assessment of air-land mobile tactical communications and data network requirements and capabilities.

(a) Assessment required.—The Director of Cost Assessment and Program Evaluation, in consultation with the Director of Operational Test and Evaluation, shall contract with an independent entity to conduct a comprehensive assessment of current and future requirements and capabilities of the Department of Defense with respect to an air-land ad hoc, mobile tactical communications, and data network, including the technological feasibility, suitability, and survivability of such a network.

(b) Elements.—The assessment required under subsection (a) shall include the following elements:

(1) Concepts, capabilities, and capacities of current or future communications and data network systems to meet the requirements of current or future tactical operations effectively, efficiently, and affordably.

(2) Software requirements and capabilities, particularly with respect to communications and data network waveforms.

(3) Hardware requirements and capabilities, particularly with respect to receiver/transmission technology, tactical communications, and data radios at all levels and on all platforms, all associated technologies, and their integration, compatibility, and interoperability.

(4) Any other matters that in the judgment of the independent entity are relevant or necessary to a comprehensive assessment of tactical networks or networking.

(c) Independent entity.—The Director of Cost Assessment and Program Evaluation shall select an independent entity with direct, long-standing, and demonstrated experience and expertise in program test and evaluation of concepts, requirements, and technologies for joint tactical communications and data networking to perform the assessment under subsection (a).

(d) Report required.—Not later than April 30, 2016, the Secretary of Defense shall submit to the congressional defense commitments a report including the findings and recommendations of the assessment conducted under subsection (a), together with the Secretary's comments.

(e) Availability of funds.—The Secretary of Defense shall use funds authorized by this Act or otherwise made available for fiscal year 2016 for Operation and Maintenance, Defense-wide to carry out activities under this section.

(f) Limitation on obligation of funds.—The Secretary of the Army may not obligate or expend more than 50 percent of the funds authorized by this Act or otherwise made available for fiscal year 2016 for Other Procurement, Army and available for the Warfighter Information Network—Tactical (Increment 2) until the Secretary of Defense submits the report required under subsection (d).

SEC. 232. Study of field failures involving counterfeit electronic parts.

(a) In general.—The Secretary of Defense shall conduct a hardware assurance study to assess the presence, scope, and effect on Department of Defense operations of counterfeit electronic parts that have passed through the Department supply chain and into field systems.

(b) Execution and technical analysis.—

(1) IN GENERAL.—The Secretary shall direct the federation established under section 937(a)(1) of the National Defense Authorization Act for Fiscal Year 2014 (Public Law 113–66; 10 U.S.C. 2224 note) to coordinate execution of the study required by subsection (a) using capabilities of the Department in effect on the day before the date of the enactment of this Act to conduct technical analysis on a sample of failed electronic parts in field systems.

(2) ELEMENTS.—The technical analysis required by paragraph (1) shall include the following:

(A) Selection of a representative sample of electronic component types, including digital, mixed-signal, and analog integrated circuits.

(B) An assessment of the presence of counterfeit parts, including causes and attributes of failures of any identified counterfeit part.

(C) For components found to have counterfeit parts present, an assessment of the impact of the counterfeit part in the failure mechanism.

(D) For cases with counterfeit parts contributing to the failure, a determination of the failure attributes, factors, and effects on subsystem and system level reliability, readiness, and performance.

(c) Recommendations.—As part of the study required by subsection (a), the Secretary shall develop recommendations for such legislative and administrative action, including budget requirements, as the Secretary considers necessary to conduct sampling and technical hardware analysis of counterfeit parts in identified areas of high concern.

(d) Report.—

(1) IN GENERAL.—Not later than 540 days after the date of the enactment of this Act, the Secretary shall submit to the congressional defense committees a report on the study carried out under subsection (a).

(2) CONTENTS.—The report required by paragraph (1) shall include the following:

(A) The findings of the Secretary with respect to the study conducted under subsection (a).

(B) The recommendations developed under subsection (c).

SEC. 233. Demonstration of Persistent Close Air Support capabilities.

(a) Joint demonstration required.—The Secretary of the Air Force, the Secretary of the Army, and the Director of the Defense Advanced Research Projects Agency shall jointly conduct a demonstration of the Persistent Close Air Support (PCAS) capability in fiscal year 2016.

(b) Parameters of demonstration.—

(1) SELECTION AND EQUIPMENT OF AIRCRAFT.—As part of the demonstration required by subsection (a), the Secretary of the Air Force shall select and equip at least two aircraft for use in the demonstration that the Secretary otherwise intends to use for close air support, as identified by the United States Air Force Close Air Support Forum.

(2) CLOSE AIR SUPPORT OPERATIONS.—The demonstration required by subsection (a) shall include close air support operations that involve the following:

(A) Multiple tactical radio networks representing diverse ground force user communities.

(B) Two-way digital exchanges of situational awareness data, video, and calls for fire between aircraft and ground users without modification to aircraft operational flight profiles.

(C) Real-time sharing of blue force, aircraft, and target location data to reduce risks of fratricide.

(D) Lightweight digital tools based on commercial-off-the-shelf technology for pilots and joint tactical air controllers.

(E) Operations in simple and complex operating environments.

(c) Assessment.—The Secretary of the Air Force, the Secretary of the Army, and the Director of the Defense Advanced Research Projects Agency shall jointly—

(1) assess the effect of the capabilities demonstrated as part of the demonstration required by subsection (a) on—

(A) the time required to conduct close air support operations;

(B) the effectiveness of blue force in achieving tactical objectives; and

(C) the risk of fratricide and collateral damage; and

(2) estimate the costs that would be incurred in transitioning the technology used in the Persistent Close Air Support capability to the Army and the Air Force.

SEC. 234. Airborne data link plan.

(a) Plan required.—The Under Secretary of Defense for Acquisition, Technology, and Logistics and the Vice Chairman of the Joint Chiefs of Staff shall jointly, in consultation with the Secretary of the Air Force and the Secretary of the Navy, develop a plan—

(1) to provide objective survivable communications gateways to enable—

(A) the secure dissemination of national and tactical intelligence information to fourth-generation fighter aircraft and supporting airborne platforms and to low-observable penetrating platforms such as the F–22 and F–35; and

(B) the secure reception and dissemination of sensor data from low-observable penetrating aircraft, such as the F–22 and F–35;

(2) to provide secure data sharing between the fifth-generation fighter aircraft of the Air Force, Navy, and Marine Corps, with minimal changes to the outer surfaces of the aircraft and to aircraft operational flight programs; and

(3) to enable secure data sharing between fifth-generation and fourth-generation aircraft in jamming environments.

(b) Additional plan requirements.—The plan required by subsection (a) shall include non-proprietary and open systems approaches that are compatible with the Rapid Capabilities Office Open Mission Systems initiative of the Air Force and the Future Airborne Capability Environment initiative of the Navy.

(c) Prohibition.—No funds may be obligated or expended by the Department of Defense on the interim communications initiatives identified as Talon Hate and Multi-Domain Adaptable Processing System until the congressional defense committees are briefed by the Under Secretary or the Vice Chairman about the plan required by subsection (a).

SEC. 235. Report on Technology Readiness Levels of the technologies and capabilities critical to the Long Range Strike Bomber aircraft.

(a) Report required.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to Congress a report on the Technology Readiness Levels (TRLs) of the technologies and capabilities critical to the Long Range Strike Bomber aircraft.

(b) Review by Comptroller General of the United States.—Not later than 60 days after the report of the Secretary is submitted under subsection (a), the Comptroller General of the United States shall review the report and submit to the congressional defense committees an assessment of the matters contained in the report.

TITLE IIIOperation and Maintenance

subtitle AAuthorization of Appropriations

SEC. 301. Authorization of appropriations.

Funds are hereby authorized to be appropriated for fiscal year 2016 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, as specified in the funding table in section 4301.

subtitle BEnergy and Environment

SEC. 311. Modification of energy management reporting requirements.

Section 2925(a) of title 10, United States Code, is amended—

(1) by striking paragraphs (4) and (7);

(2) by redesignating paragraphs (5), (6), (8), (9), (10), (11), and (12) as paragraphs (4), (5), (6), (7), (8), (9), and (10), respectively;

(3) by amending paragraph (7), as redesignated by paragraph (2) of this section, to read as follows:

“(7) A description and estimate of the progress made by the military departments in meeting current high performance and sustainable building standards under the Unified Facilities Criteria.”;

(4) by amending paragraph (9), as redesignated by such paragraph (2), to read as follows:

“(9) Details of all commercial utility outages caused by threats and those caused by hazards at military installations that last eight hours or longer, whether or not the outage was mitigated by backup power, including non-commercial utility outages and Department of Defense-owned infrastructure, including the total number and location of outages, the financial impact of the outages, and measure taken to mitigate outages in the future at the affected locations and across the Department of Defense.”; and

(5) by adding at the end the following new paragraph:

“(11) At the discretion of the Secretary of Defense, a classified annex, as appropriate.”.

SEC. 312. Report on efforts to reduce high energy costs at military installations.

(a) Report.—

(1) REPORT REQUIRED.—Not later than 270 days after the date of the enactment of this Act, the Under Secretary of Defense for Acquisition, Technology, and Logistics, in conjunction with the assistant secretaries responsible for installations and environment for the military services and the Defense Logistics Agency, shall submit to the congressional defense committees a report detailing the efforts to achieve cost savings at military installations with high energy costs.

(2) ELEMENTS.—The report required under paragraph (1) shall include the following elements:

(A) A comprehensive, installation-specific assessment of feasible and mission-appropriate energy initiatives supporting energy production and consumption at military installations with high energy costs.

(B) An assessment of current sources of energy in areas with high energy costs and potential future sources that are technologically feasible, cost-effective, and mission-appropriate for military installations.

(C) A comprehensive implementation strategy to include required investment for feasible energy efficiency options determined to be the most beneficial and cost-effective, where appropriate, and consistent with Department of Defense priorities.

(D) An explanation on how military services are working collaboratively in order to leverage lessons learned on potential energy efficiency solutions.

(E) An assessment of extent of which activities administered under the Federal Energy Management Program could be used to assist with the implementation strategy.

(F) An assessment of State and local partnership opportunities that could achieve efficiency and cost savings, and any legislative authorities required to carry out such partnerships or agreements.

(3) COORDINATION WITH STATE AND LOCAL AND OTHER ENTITIES.—In preparing the report required under paragraph (1), the Under Secretary may work in conjunction and coordinate with the States containing areas of high energy costs, local communities, and other Federal departments and agencies.

(b) Definitions.—In this section, the term “high energy costs” means costs for the provision of energy by kilowatt of electricity or British Thermal Unit of heat or steam for a military installation in the United States that is in the highest 20 percent of all military installations for a military department.

SEC. 313. Southern Sea Otter Military Readiness Areas.

(a) Establishment of the Southern Sea Otter Military Readiness Areas.—Chapter 631 of title 10, United States Code, is amended by adding at the end the following new section:

§ 7235. Establishment of the Southern Sea Otter Military Readiness Areas

“(a) Establishment.—The Secretary of the Navy shall establish areas, to be known as ‘Southern Sea Otter Military Readiness Areas’, for national defense purposes. Such areas shall include each of the following:

“(1) The area that includes Naval Base Ventura County, San Nicolas Island, and Begg Rock and the adjacent and surrounding waters within the following coordinates:


“N. Latitude/W. Longitude
33°27.8′/119°34.3′
33°20.5′/119°15.5′
33°13.5′/119°11.8′
33°06.5′/119°15.3′
33°02.8′/119°26.8′
33°08.8′/119°46.3′
33°17.2′/119°56.9′
33°30.9′/119°54.2′.

“(2) The area that includes Naval Base Coronado, San Clemente Island and the adjacent and surrounding waters running parallel to shore to 3 nautical miles from the high tide line designated by part 165 of title 33, Code of Federal Regulations, on May 20, 2010, as the San Clemente Island 3NM Safety Zone.

“(b) Activities within the Southern Sea Otter Military Readiness Areas.—

“(1) INCIDENTAL TAKINGS UNDER ENDANGERED SPECIES ACT OF 1973.—Sections 4 and 9 of the Endangered Species Act of 1973 (16 U.S.C. 1533, 1538) shall not apply with respect to the incidental taking of any southern sea otter in the Southern Sea Otter Military Readiness Areas in the course of conducting a military readiness activity.

“(2) INCIDENTAL TAKINGS UNDER MARINE MAMMAL PROTECTION ACT OF 1972.—Sections 101 and 102 of the Marine Mammal Protection Act of 1972 (16 U.S.C. 1371, 1372) shall not apply with respect to the incidental taking of any southern sea otter in the Southern Sea Otter Military Readiness Areas in the course of conducting a military readiness activity.

“(3) TREATMENT AS SPECIES PROPOSED TO BE LISTED.—For purposes of conducting a military readiness activity, any southern sea otter while within the Southern Sea Otter Military Readiness Areas shall be treated for the purposes of section 7 of the Endangered Species Act of 1973 (16 U.S.C. 1536) as a member of a species that is proposed to be listed as an endangered species or a threatened species under section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533).

“(c) Removal.—Nothing in this section or any other Federal law shall be construed to require that any southern sea otter located within the Southern Sea Otter Military Readiness Areas be removed from the Areas.

“(d) Revision or termination of exceptions.—The Secretary of the Interior may revise or terminate the application of subsection (b) if the Secretary of the Interior, in consultation with the Secretary of the Navy and the Marine Mammal Commission, determines that military activities occurring in the Southern Sea Otter Military Readiness Areas are impeding the southern sea otter conservation or the return of southern sea otters to optimum sustainable population levels.

“(e) Monitoring.—

“(1) IN GENERAL.—The Secretary of the Navy shall conduct monitoring and research within the Southern Sea Otter Military Readiness Areas to determine the effects of military readiness activities on the growth or decline of the southern sea otter population and on the near-shore ecosystem. Monitoring and research parameters and methods shall be determined in consultation with the Service and the Marine Mammal Commission.

“(2) REPORTS.—Not later than 24 months after the date of the enactment of this section and every three years thereafter, the Secretary of the Navy shall report to Congress and the public on monitoring undertaken pursuant to paragraph (1).

“(f) Definitions.—In this section:

“(1) SOUTHERN SEA OTTER.—The term ‘southern sea otter’ means any member of the subspecies Enhydra lutris nereis.

“(2) TAKE.—The term ‘take’—

“(A) when used in reference to activities subject to regulation by the Endangered Species Act of 1973 (16 U.S.C. 1531 et seq.), shall have the meaning given such term in that Act; and

“(B) when used in reference to activities subject to regulation by the Marine Mammal Protection Act of 1972 (16 U.S.C. 1361 et seq.) shall have the meaning given such term in that Act.

“(3) INCIDENTAL TAKING.—The term ‘incidental taking’ means any take of a southern sea otter that is incidental to, and not the purpose of, the carrying out of an otherwise lawful activity.

“(4) MILITARY READINESS ACTIVITY.—The term ‘military readiness activity’ has the meaning given that term in section 315(f) of the Bob Stump National Defense Authorization Act for Fiscal Year 2003 (16 U.S.C. 703 note) and includes all training and operations of the armed forces that relate to combat and the adequate and realistic testing of military equipment, vehicles, weapons, and sensors for proper operation and suitability for combat use.

“(5) OPTIMUM SUSTAINABLE POPULATION.—The term ‘optimum sustainable population’ means, with respect to any population stock, the number of animals that will result in the maximum productivity of the population or the species, keeping in mind the carrying capacity of the habitat and the health of the ecosystem of which they form a constituent element.”.

(b) Clerical amendment.—The table of sections at the beginning of such chapter is amended by adding at the end the following new item:


“7235. Establishment of the Southern Sea Otter Military Readiness Areas.”.

(c) Conforming amendment.—Section 1 of Public Law 99–625 (16 U.S.C. 1536 note) is repealed.

subtitle CLogistics and Sustainment

SEC. 321. Repeal of limitation on authority to enter into a contract for the sustainment, maintenance, repair, or overhaul of the F117 engine.

Section 341 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3345) is repealed.

subtitle DReports

SEC. 331. Modification of annual report on prepositioned materiel and equipment.

Section 2229a(a)(8) of title 10, United States Code, is amended to read as follows:

“(8) A list of any equipment used in support of contingency operations slated for retrograde and subsequent inclusion in the prepositioned stocks.”.

subtitle ELimitations and Extensions of Authority

SEC. 341. Modification of requirements for transferring aircraft within the Air Force inventory.

(a) Modification of requirements.—Section 345 of the National Defense Authorization Act for Fiscal Year 2011 (Public Law 111–383; 10 U.S.C. 8062 note) is amended—

(1) in subsection (a)—

(A) by striking the first sentence and inserting the following: “Before making an aircraft transfer described in subsection (c), the Secretary of the Air Force shall ensure that a written agreement regarding such transfer has been entered into between the Chief of Staff of the Air Force and the Director of the Air National Guard or the Chief of Air Force Reserve.”; and

(B) in paragraph (3), by striking “depot”;

(2) by amending subsection (b) to read as follows:

“(b) Submittal of agreements to the Department of Defense and Congress.—The Secretary of the Air Force may not take any action to transfer an aircraft until the Secretary ensures that the Air Force has complied with applicable Department of Defense regulations and, for a transfer described in subsection (c)(1), until the Secretary submits to the congressional defense committees an agreement entered into pursuant to subsection (a) regarding the transfer of the aircraft.”; and

(3) by adding at the end the following new subsections:

“(c) Covered aircraft transfers.— (1) An aircraft transfer described in this subsection is the transfer (other than as specified in paragraph (2)) from a reserve component of the Air Force to the regular component of the Air Force of—

“(A) the permanent assignment of an aircraft that terminates a reserve component’s equitable interest in the aircraft; or

“(B) possession of an aircraft for a period in excess of 90 days.

“(2) Paragraph (1) does not apply to the following:

“(A) A routine temporary transfer of possession of an aircraft from a reserve component that is made solely for the benefit of the reserve component for the purpose of maintenance, upgrade, conversion, modification, or testing and evaluation.

“(B) A routine permanent transfer of assignment of an aircraft that terminates a reserve component’s equitable interest in the aircraft if notice of the transfer has previously been provided to the congressional defense committees and the transfer has been approved by the Secretary of Defense pursuant to Department of Defense regulations.

“(C) A transfer described in paragraph (1)(A) when there is a reciprocal permanent assignment of an aircraft from the regular component of the Air Force to the reserve component that does not degrade the capability of, or reduce the total number of, aircraft assigned to the reserve component.

“(d) Return of aircraft after routine temporary transfer.—In the case of an aircraft transferred from a reserve component of the Air Force to the regular component of the Air Force for which an agreement under subsection (a) is not required by reason of subparagraph (A) of subsection (c)(2), possession of the aircraft shall be transferred back to the reserve component upon completion of the work described in such subparagraph.”.

(b) Conforming amendment.—Subsection (a)(7) of such section is amended by striking “Commander of the Air Force Reserve Command” and inserting “Chief of Air Force Reserve”.

(c) Technical amendments to delete references to aircraft ownership.—Subsection (a) of such section is further amended by striking “the ownership of” each place it appears.

SEC. 342. Limitation on use of funds for Department of Defense sponsorships, advertising, or marketing associated with sports-related organizations or sporting events.

No amounts authorized to be appropriated for the Department of Defense by this Act or otherwise made available to the Department may be used for any sponsorship, advertising, or marketing associated with a sports-related organization or sporting event until the Under Secretary of Defense for Personnel and Readiness, in consultation with the Director of Accessions Policy—

(1) conducts a review of current contracts and task orders for such sponsorships, advertising, and marketing (as awarded by the regular and reserve components of the Armed Forces) in order to assess—

(A) whether such sponsorships, advertising, and marketing are effective in meeting the recruiting objectives of the Department;

(B) whether consistent metrics are used to evaluate the effectiveness of each such activity in generating leads and recruit accessions; and

(C) whether the return on investment for such activities is sufficient to warrant continuing use of Department funds for such activities; and

(2) submits to the Committees on Armed Services of the Senate and the House of Representatives a report that includes—

(A) a description of the actions being taken to coordinate efforts of the Department relating to such sponsorships, advertising, and marketing, and to minimize duplicative contracts for such sponsorships, advertising, and marketing, as applicable; and

(B) the results of the review required by paragraph (1), including an assessment of the extent to which continuing use of Department funds for such sponsorships, advertising, and marketing is warranted in light of the review and the actions described pursuant to subparagraph (A).

SEC. 343. Temporary authority to extend contracts and leases under ARMS initiative.

Contracts or subcontracts entered into pursuant to section 4554(a)(3)(A) of title 10, United States Code, on or before the date that is five years after the date of the enactment of this Act may include an option to extend the term of the contract or subcontract for an additional 25 years.

subtitle FOther Matters

SEC. 351. Streamlining of Department of Defense management and operational headquarters.

(a) Comprehensive review of headquarters.—

(1) IN GENERAL.—The Secretary of Defense shall conduct a comprehensive review of the management and operational headquarters of the Department of Defense for purposes of consolidating and streamlining headquarters functions.

(2) ELEMENTS.—The review required by paragraph (1) shall address the following:

(A) The extent, if any, to which the staff of the Secretaries of the military departments and the Chiefs of Staff of the Armed Forces have duplicative staff functions and services and could be consolidated into a single service staff.

(B) The extent, if any, to which the staff of the Office of the Secretary of Defense, the military departments, the Defense Agencies, and temporary organizations have duplicative staff functions and services and could be streamlined with respect to—

(i) performing oversight and making policy;

(ii) performing staff functions and services specific to the military department concerned;

(iii) performing multi-department staff functions and services; and

(iv) performing functions and services across the Department of Defense with respect to intelligence collection and analysis.

(C) The extent, if any, to which the Joint Staff, the combatant commands, and their subordinate service component commands have duplicative staff functions and services that could be shared, consolidated, eliminated, or otherwise streamlined with—

(i) the Joint Staff performing oversight and execution;

(ii) the staff of the combatant commands performing only staff functions and services specific to the combatant command concerned; and

(iii) the staff of the service component commands of the combatant commands performing only staff functions and services specific to the service component command concerned.

(D) The extent, if any, to which reductions in military and civilian end-strength in management or operational headquarters could be used to create, build, or fill shortages in force structure for operational units.

(E) The extent, if any, to which revisions are required to the Defense Officers Personnel Management Act, including requirements for officers to serve in joint billets, the number of qualifying billets, the rank structure in the joint billets, and the joint qualification requirement for officers to be promoted while serving for extensive periods in critical positions such as program managers of major defense acquisition programs, and officers in units of component forces supporting joint commands, in order to achieve efficiencies, provide promotion fairness and equity, and obtain effective governance in the management of the Department of Defense.

(F) The structure and staffing of the Joint Staff, and the number, structure, and staffing of the combatant commands and their subordinate service component commands, including, in particular—

(i) whether or not the staff organization of each such entity has documented and periodically validated requirements for such entity;

(ii) whether or not there are an appropriate number of combatant commands relative to the requirements of the National Security Strategy, the Quadrennial Defense Review, and the National Military Strategy; and

(iii) whether or not opportunities exist to consolidate staff functions and services common to the Joint Staff and the service component commands into a single staff organization that provides the required functions, services, capabilities, and capacities to the Chairman of the Joint Chiefs of Staff and supported combatant commanders, and if so—

(I) where in the organizational structure such staff functions, services, capabilities, and capacities would be established; and

(II) whether or not the military departments could execute such staff functions, services, capabilities, and capacities while executing their requirements to organize, train, and equip the Armed Forces.

(G) The statutory and regulatory authority of the combatant commands to establish subordinate joint commands or headquarters, including joint task forces, led by a general or flag officer, and the extent, if any, to which the combatant commands have used such authority—

(i) to establish temporary or permanent subordinate joint commands or headquarters, including joint task forces, led by general or flag officers;

(ii) to disestablish temporary or permanent subordinate joint commands or headquarters, including joint task forces, led by general or flag officers;

(iii) to increase requirements for general and flag officers in the joint pool which are exempt from the end strength limitations otherwise applicable to general and flag officers in the Armed Forces;

(iv) to participate in the management of joint officer qualification in order to ensure the efficient and effective quality and quantity of officers needed to staff headquarters functions and services and return to the services officers with required professional experience and skills necessary to remain competitive for increased responsibility and authority through subsequent assignment or promotion, including by identifying—

(I) circumstances, if any, in which officers spend a disproportionate amount of time in their careers to attain joint officer qualifications with corresponding loss of opportunities to develop in the service-specific assignments needed to gain the increased proficiency and experience to qualify for service and command assignments; and

(II) circumstances, if any, in which the military departments detail officers to joint headquarters staffs in order to maximize the number of officers receiving joint duty credit with a focus on the quantity, instead of the quality, of officers achieving joint duty credit;

(v) to establish commanders’ strategic planning groups, advisory groups, or similar parallel personal staff entities that could risk isolating function and staff processes, including an assessment of the justification used to establish such personal staff organizations and their impact on the effectiveness and efficiency of organizational staff functions, services, capabilities, and capacities; and

(vi) to ensure the identification and management of officers serving or having served in units in subordinate service component or joint commands during combat operations and did not receive joint credit for such service.

(3) CONSULTATION.—The Secretary shall, to the extent practicable and as the Secretary considers appropriate, conduct the review required by paragraph (1) in consultation with such experts on matters covered by the review who are independent of the Department of Defense.

(4) REPORT.—Not later than March 1, 2016, the Secretary shall submit to the congressional defense committees a report setting forth the results of the review required by paragraph (1).

(b) Plan on reduction in amounts used for administration in fiscal years 2016 through 2019.—

(1) IN GENERAL.—Not later than January 31, 2016, the Secretary of Defense shall submit to the congressional defense committees, and implement, a plan designed to ensure that the amount used by the Department of Defense for administration from amounts authorized to be appropriated for a fiscal year for operation and maintenance shall be as follows:

(A) In fiscal year 2016, an amount that is 7.5 percent less than the amount authorized to be appropriated for fiscal year 2015 for operation and maintenance, Defense-wide, and available for administration (in this paragraph referred to as the “fiscal year 2015 administration amount”).

(B) In fiscal year 2017, an amount that is 15 percent less than the fiscal year 2015 administration amount.

(C) In fiscal year 2018, an amount that is 22.5 percent less than the fiscal year 2015 administration amount.

(D) In fiscal year 2019, an amount that is 30 percent less than the fiscal year 2015 administration amount.

(2) ACHIEVEMENT OF REDUCTIONS.—As part of meeting the requirements in paragraph (1), the plan shall provide for reductions in personnel (including military and civilian personnel of the Department of Defense and contract personnel in support of the Department) in the Office of the Secretary of Defense, the secretariats and military staffs of the military departments, the staffs of the Defense Agencies, the staffs of the Joint Staff, the staffs of the combatant commands, and the staffs of their subordinate service component commands.

(3) EXCLUSION.—The plan may not meet the requirements in paragraph (1) through reductions in funding for administration for the following:

(A) The United States Special Operations Command.

(B) The Department of Defense Education Activity.

(C) Any classified program.

(D) Any program relating to sexual assault prevention and response.

(c) Comptroller General of the United States reports.—Not later than 90 days after the end of each of fiscal years 2016, 2017, 2018, and 2019, the Comptroller General of the United States shall submit to the congressional defense committees a report setting forth the assessment of the Comptroller General of the extent to which the Department of Defense met the applicable requirement in subsection (b)(1) during such fiscal year.

(d) Limitation on availability of funds for contract personnel support for OSD.—In each of fiscal years 2017, 2018, 2019, and 2020, amounts authorized to be appropriated for the Department of Defense and available for the Office of the Secretary of Defense may not be obligated or expended for contract personnel in support of the Office of the Secretary of Defense until the Secretary of Defense certifies to the congressional defense committees that the applicable requirement in subsection (b)(1) was met during the preceding fiscal year.

SEC. 352. Adoption of retired military working dogs.

(a) Transfer for adoption.—Subsection (f) of section 2583 of title 10, United States Code, is amended in the matter preceding paragraph (1) by striking “may transfer” and inserting “shall transfer”.

(b) Preference in adoption for former handlers.—Such section is further amended—

(1) by redesignating subsection (g) as subsection (h); and

(2) by inserting after subsection (f) the following new subsection (g):

“(g) Preference in adoption of retired military working dogs for former handlers.— (1) In providing for the adoption under this section of a retired military working dog described in paragraph (1) or (3) of subsection (a), the Secretary of the military department concerned shall accord a preference to the former handler of the dog unless the Secretary determines that adoption of the dog by the former handler would not be in the best interests of the dog.

“(2) In the case of a dog covered by paragraph (1) with more than one former handler seeking adoption of the dog at the time of adoption, the Secretary shall provide for the adoption of the dog by such former handler whose adoption of the dog will best serve the interests of the dog and such former handlers. The Secretary shall make any determination required by this paragraph with respect to a dog following consultation with the kennel master of the unit at which the dog was last located before adoption under this section.

“(3) Nothing in this subsection shall be construed as altering, revising, or overriding any policy of a military department for the adoption of military working dogs by law enforcement agencies before the end of the dogs' useful lives.”.

SEC. 353. Modification of required review of projects relating to potential obstructions to aviation.

Section 358 of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111–383; 124 Stat. 4200; 49 U.S.C. 44718 note) is amended—

(1) in subsection (c)—

(A) in paragraph (3), by striking “from State and local officials or the developer of a renewable energy development or other energy project” and inserting “from a State government, an Indian tribal government, a local government, a landowner, or the developer of an energy project”; and

(B) in paragraph (4), by striking “readiness, and” and all that follows through the period at the end and inserting “readiness and to clearly communicate actions being taken by the Department of Defense to the party requesting an early project review under this section.”;

(2) in subsection (d)(2)(B), by striking “as high, medium, or low”; and

(3) in subsection (j), by adding at the end the following new paragraph:

“(4) The term ‘landowner’ means a person or other legal entity that owns a fee interest in real property on which a proposed energy project is planned to be located.”.

SEC. 354. Pilot program on intensive instruction in certain Asian languages.

(a) Pilot program authorized.—The Secretary of Defense may, in consultation with the National Security Education Board, carry out a pilot program to assess the feasibility and advisability of providing scholarships in accordance with the David L. Boren National Security Education Act of 1991 (50 U.S.C. 1901 et seq.) to individuals otherwise eligible for scholarships under that Act for intensive language instruction in a covered Asian language.

(b) Covered Asian language.—For purposes of this section, a covered Asian language is any of the five Asian languages that would be treated as a language in which deficiencies exist for purposes of section 802(a)(1)(A) of the David L. Boren National Security Education Act of 1991 (50 U.S.C. 1902(a)(2)(A)) if the National Security Education Board could treat an additional five Asian languages as a language in which such deficiencies exist.

(c) Use of scholarships.—Notwithstanding any provision of the David L. Boren National Security Education Act of 1991, a scholarship awarded pursuant to the pilot program may be used for intensive language instruction in—

(1) the United States; or

(2) a country in which the covered Asian language concerned is spoken by a significant portion of the population (as determined by the Secretary for purposes of the pilot program).

(d) National Security Education Board defined.—In this section, the term “National Security Education Board” means the National Security Education Board established pursuant to section 803 of the David L. Boren National Security Education Act of 1991 (50 U.S.C. 1903).

(e) Termination.—No scholarship may be awarded under the pilot program after the date that is five years after the date on which the pilot program is established.

TITLE IVMilitary Personnel Authorizations

subtitle AActive Forces

SEC. 401. End strengths for active forces.

The Armed Forces are authorized strengths for active duty personnel as of September 30, 2016, as follows:

(1) The Army, 475,000.

(2) The Navy, 329,200.

(3) The Marine Corps, 184,000.

(4) The Air Force, 317,000.

SEC. 402. Enhancement of authority for management of end strengths for military personnel.

(a) Repeal of specification of permanent end strengths to support two major regional contingencies.—

(1) REPEAL.—Section 691 of title 10, United States Code, is repealed.

(2) CLERICAL AMENDMENT.—The table of sections at the beginning of chapter 39 of such title is amended by striking the item relating to section 691.

(b) Enhanced authority for end strength management.—

(1) SECRETARY OF DEFENSE AUTHORITY.—Subsection (f) of section 115 of title 10, United States Code, is amended by striking “increase” each place it appears and inserting “vary”.

(2) SERVICE SECRETARY AUTHORITY.—Subsection (g) of such section is amended—

(A) in paragraph (1), by striking “increase” each place it appears and inserting “vary”; and

(B) in paragraph (2), by striking “increase” each place it appears and inserting “variance”.

subtitle BReserve Forces

SEC. 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, 2016, as follows:

(1) The Army National Guard of the United States, 342,000.

(2) The Army Reserve, 198,000.

(3) The Navy Reserve, 57,400.

(4) The Marine Corps Reserve, 38,900.

(5) The Air National Guard of the United States, 105,500.

(6) The Air Force Reserve, 69,200.

(7) The Coast Guard Reserve, 7,000.

(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.

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

(a) Findings.—The Senate makes the following findings:

(1) Several States routinely recruit and retain members of the Army National Guard of the United States in excess of State authorizations to offset States that do not recruit to State authorizations.

(2) The States that routinely recruit and retain members of the Army National Guard of the United States in excess of authorizations do not receive any extra full-time operational support duty personnel to support excess members.

(b) Sense of Senate.—It is the sense of the Senate that the National Guard Bureau should account for States that routinely recruit and retain members in excess of State authorizations when allocating full-time operational support duty personnel.

(c) End strengths.—Within the end strengths prescribed in section 411(a), the reserve components of the Armed Forces are authorized, as of September 30, 2016, 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, 30,770.

(2) The Army Reserve, 16,261.

(3) The Navy Reserve, 9,934.

(4) The Marine Corps Reserve, 2,260.

(5) The Air National Guard of the United States, 14,748.

(6) The Air Force Reserve, 3,032.

(d) Allocation among States.—In allocating Reserves on full-time duty in the Army National Guard of the United States authorized by subsection (c)(1) among the States, the Chief of the National Guard Bureau shall take into account the actual number of members of the Army National Guard of the United States serving in each State as of September 30 each year.

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

The minimum number of military technicians (dual status) as of the last day of fiscal year 2016 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 National Guard of the United States, 26,099.

(2) For the Army Reserve, 7,395.

(3) For the Air National Guard of the United States, 22,104.

(4) For the Air Force Reserve, 9,814.

SEC. 414. Fiscal year 2016 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, 2016, 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, 2016, 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, 2016, 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.

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

During fiscal year 2016, 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.

SEC. 416. Chief of the National Guard Bureau authority to increase certain end strengths applicable to the Army National Guard.

(a) Authority.—Subject to subsection (b), the Chief of the National Guard Bureau may increase each of the end strengths for fiscal year 2016 applicable to the Army National Guard as follows:

(1) The end strength for Selected Reserve personnel of the Army National Guard of the United States in section 411(a)(1) by up to 3,000 members in addition to the number specified in section 411(a)(1).

(2) The end strength for Reserves serving on full-time duty for the purpose of organizing, administering, recruiting, instructing, or training for the Army National Guard of the United States specified in section 412(1) by up to 615 Reserves in addition to the number specified in section 412(1).

(3) The end strength for military technicians (dual status) for the Army National Guard of the United States specified in section 413(1) by up to 1,111 technicians in addition to the number specified in section 413(1).

(b) Limitation.—The Chief of the National Guard Bureau may increase an end strength using the authority in subsection (a) only if such increase is paid for out of funds appropriated for fiscal year 2016 for Operation and Maintenance, Army National Guard.

subtitle CAuthorization of Appropriations

SEC. 421. Military personnel.

(a) Authorization of appropriations.—Funds are hereby authorized to be appropriated for fiscal year 2016 for the use of the Armed Forces and other activities and agencies of the Department of Defense for expenses, not otherwise provided for, for military personnel, as specified in the funding table in section 4401.

(b) Construction of authorization.—The authorization of appropriations in subsection (a) supersedes any other authorization of appropriations (definite or indefinite) for such purpose for fiscal year 2016.

TITLE VMilitary Personnel Policy

subtitle AOfficer Personnel Policy

SEC. 501. Authority of promotion boards to recommend officers of particular merit be placed at the top of the promotion list.

(a) Authority of promotion boards To recommend officers of particular merit Be placed at top of promotion list.—Section 616 of title 10, United States Code, is amended by adding at the end the following new subsection:

“(g) (1) In selecting the officers to be recommended for promotion, a selection board may, when authorized by the Secretary of the military department concerned, recommend officers of particular merit, from among those officers selected for promotion, to be placed at the top of the promotion list promulgated by the Secretary under section 624(a)(1) of this title.

“(2) The determination whether an officer is an officer of particular merit for purposes of this subsection shall be made in accordance with criteria prescribed by the Secretary of the military department concerned for such purposes.

“(3) The number of such officers placed at the top of the promotion list may not exceed the number equal to 10 percent of the maximum number of officers that the board is authorized to recommend for promotion in such competitive category. If the number determined under this subsection is less than one, the board may recommend one such officer.

“(4) No officer may be recommended to be placed at the top of the promotion list unless the officer receives the recommendation of at least three-quarters of the members of a board for such placement.

“(5) For the officers recommended to be placed at the top of the promotion list, the board shall recommend the order in which these officers should be promoted.”.

(b) Officers of particular merit appearing at top of promotion list.—Section 624(a)(1) of such title is amended by inserting “, except such officers of particular merit who were approved by the President and recommended by the board to be placed at the top of the promotion list under section 616(g) of this title as these officers shall be placed at the top of the promotion list in the order recommended by the board” after “officers on the active-duty list”.

SEC. 502. Minimum grades for certain corps and related positions in the Army, Navy, and Air Force.

(a) Army.—

(1) CHIEF OF LEGISLATIVE LIAISON.—Section 3023(a) of title 10, United States Code, is amended in the second sentence by striking “the grade of major general” and inserting “a grade above the grade of colonel”.

(2) ASSISTANT SURGEON GENERAL.—Section 3039(b) of such title is amended by striking the last sentence and inserting the following new sentence: “An officer appointed to that position shall be an officer in a grade above the grade of colonel.”.

(3) CHIEF OF THE NURSE CORPS.—Section 3069(b) of such title is amended by striking “whose regular grade” and all that follows through “major general.” and inserting “. An officer appointed to that position shall be an officer in a grade above the grade of colonel.”.

(4) CHIEF OF THE VETERINARY CORPS.—Section 3084 of such title is amended by striking the last sentence and inserting the following new sentence: “An officer appointed to that position shall be an officer in a grade above the grade of lieutenant colonel.”.

(b) Navy.—

(1) CHIEF OF LEGISLATIVE AFFAIRS.—Section 5027(a) of title 10, United States Code, is amended by striking “the grade of rear admiral” and inserting “a grade above the grade of captain”.

(2) CHIEF OF THE DENTAL CORPS.—Section 5138 of such title is amended—

(A) by striking subsections (a) and (b) and inserting the following new subsection (a):

“(a) There is a Chief of the Dental Corps in the Department of the Navy. An officer assigned to that position shall be an officer in a grade above the grade of captain.”; and

(B) by redesignating subsections (c) and (d) as subsections (b) and (c), respectively.

(3) DIRECTORS OF MEDICAL CORPS.—Section 5150(c) of such title is amended—

(A) in the first sentence, by striking “for promotion” and all that follows through the end of the sentence and inserting a period; and

(B) by inserting after the first sentence the following new sentence: “An officer so selected shall be an officer in a grade above the grade of captain.”.

(c) Air Force.—

(1) CHIEF OF LEGISLATIVE LIAISON.—Section 8023(a) of title 10, United States Code, is amended in the second sentence by striking “the grade of major general” and inserting “a grade above the grade of colonel”.

(2) CHIEF OF THE NURSE CORPS.—Section 8069(b) of such title is amended by striking “whose regular grade” and all that follows through “major general.” and inserting “. An officer appointed to that position shall be an officer in a grade above the grade of colonel.”.

(3) ASSISTANT SURGEON GENERAL FOR DENTAL SERVICES.—Section 8081 of such title is amended by striking the second sentence and inserting the following new sentence: “An officer appointed to that position shall be an officer in a grade above the grade of colonel.”.

(d) Transition.—In the case of an officer who on the date of the enactment of this Act is serving in a position that is covered by an amendment made by this section, the continued service of that officer in such position after the date of the enactment of this Act shall not be affected by that amendment.

SEC. 503. Enhancement of military personnel authorities in connection with the defense acquisition workforce.

(a) Inclusion of acquisition matters within joint matters for officer management.—

(1) JOINT MATTERS.—Subsection (a)(1) of section 688 of title 10, United States Code, is amended—

(A) in subparagraph (D), by striking “or” at the end;

(B) in subparagraph (E), by striking the period at the end and inserting “; or”; and

(C) by adding at the end the following new subparagraph:

“(E) acquisition addressed by military personnel acting under chapter 87 of this title.”.

(2) JOINT DUTY ASSIGNMENT.—Subsection (b)(1)(A) of such section is amended by striking “limited to assignments in which” and all that follows and inserting “limited to—

“(i) assignments in which the officer gains significant experience in joint matters; and

“(ii) assignments pursuant to chapter 87 of this title; and”.

(b) Requirements for military personnel in the acquisition field.—

(1) CONSULTATION OF SERVICE CHIEFS IN POLICIES AND GUIDANCE.—Subsection (a) of section 1722a of title 10, United States Code, is amended by inserting after “such military department)” the following: “, in consultation with the Chief of Staff of the Army, the Chief of Naval Operations, the Chief of Staff of the Air Force, and the Commandant of the Marine Corps (with respect to the armed force under the jurisdiction of each),”.

(2) ENHANCED CAREER PATHS FOR PERSONNEL.—Subsection (b) of such section is amended—

(A) in paragraph (1), by inserting “single-tracked” before “career path”;

(B) by redesignating paragraphs (2) and (3) as paragraphs (3) and (4), respectively; and

(C) by inserting after paragraph (1) the following new paragraph (2):

“(2) A dual-tracked career path that attracts the highest quality officers and enlisted personnel and allows them to gain experience in, and receive credit for, a primary career in combat arms and a functional secondary career in the acquisition field in order to more closely align the military operational requirements and acquisition workforces of each armed force.”.

(c) Joint professional military education.—

(1) INCLUSION OF BUSINESS AND COMMERCIAL TRAINING IN JOINT PROFESSIONAL MILITARY EDUCATION.—Subsection (a) of section 2151 of title 10, United States Code, is amended—

(A) by inserting “(1)” before “Joint professional military education”; and

(B) by striking the second sentence and inserting the following new paragraphs:

“(2) The subject matter to be covered by joint professional military education shall include at least the following:

“(A) National Military Strategy.

“(B) Joint planning at all levels of war.

“(C) Joint doctrine.

“(D) Joint command and control.

“(E) Joint force and joint requirements development.

“(F) Operational contract support.

“(3) In lieu of the subject matters covered by paragraph (2), or in supplement to one or more of such matters, the subject matter to be covered by joint professional military education may include subjects addressed in training programs under section 2013(a) of this title by, in, or through organizations described in paragraph (2)(D) of that section.”.

(2) SENIOR LEVEL SERVICE SCHOOLS.—Subsection (b)(1) of such section is amended by adding at the end the following new subparagraph:

“(E) A training program section 2013(a) of this title by, in, or through an organization described in paragraph (2)(D) of that section.”.

(3) THREE-PHASE APPROACH.—Section 2154(a)(2) of such title is amended—

(A) in the matter preceding subparagraph (A), by striking “in residence at”;

(B) by striking subparagraph (A) and inserting the following new subparagraph (A):

“(A) in residence at the Joint Forces Staff College;”; and

(C) in subparagraph (B), by striking “a senior level service school” and inserting “in residence at a senior level service school, or by, in, or though a senior level service school described in section 2151(b)(1)(E) of this title,”.

(4) JOINT PROFESSIONAL MILITARY EDUCATION PHASE II.—Section 2155 of such title is amended—

(A) in subsection (b)—

(i) in the subsection caption, by inserting “for joint military subjects” after “Phase II requirements”; and

(ii) by inserting “described in section 2151(a)(2) of this title” after “joint professional military education”;

(B) in subsection (c)—

(i) in the subsection caption, by inserting “for joint military subjects” after “Curriculum content”;

(ii) by striking “section 2151(a)” and inserting “section 2151(a)(2)”; and

(iii) by inserting “described in such section” after “joint professional military education”;

(C) by redesignating subsection (d) as subsection (e);

(D) by inserting after subsection (c) the following new subsection (d):

“(d) Curriculum content for business and commercial training.—The curriculum for Phase II joint professional military education described in section 2151(a)(3) of this title shall include such matters as the Secretary shall specify in connection with training programs described in that section in order to satisfy requirements for successful performance in the acquisition or acquisition-related field.”; and

(E) in subsection (e), as redesignated by subparagraph (C), by inserting “(other than a service school described in section 2151(b)(1)(E) of this title)” after “senior level service school”.

(d) Acquisition-related functions of service chiefs.—Section 2547 of title 10, United States Code, is amended—

(1) in subsection (b), by striking “this subsection” the first place it appears and inserting “subsection (a)”;

(2) by redesignating subsection (c) as subsection (d); and

(3) by inserting after subsection (b) the following new subsection (c):

“(c) Annual report on promotion rates for officers in acquisition positions.— (1) Not later than January 1 each year, the Chief of Staff of the Army, the Chief of Naval Operations, the Chief of Staff of the Air Force, and the Commandant of the Marine Corps shall each submit to Congress a report on the promotion rates during the preceding fiscal year of officers who are serving in, or have served in, positions covered by chapter 87 of this title, and officers who have been certified under that chapter, in the grades specified in paragraph (2). If promotion rates for any such grade of officers failed to meet objectives for the fiscal year concerned for promotion rates for such grade, the chief of the armed force concerned shall include in the report for such fiscal year information on such failure and on the actions taken or to be taken by such chief to prevent further such failures.

“(2) The grades specified in this paragraph are as follows:

“(A) The grade of colonel (or captain, in the case of the Navy).

“(B) The grade of lieutenant colonel (or commander, in the case of the Navy).

“(C) The grade of major (or lieutenant commander, in the case of the Navy).”.

SEC. 504. Enhanced flexibility for determination of officers to continue on active duty and for selective early retirement and early discharge.

Section 638a(d)(2) of title 10, United States Code, is amended by striking “officers considered—” and all that follows and inserting “officers considered.”.

SEC. 505. Authority to defer until age 68 mandatory retirement for age of a general or flag officer serving as Chief or Deputy Chief of Chaplains of the Army, Navy, or Air Force.

(a) Authority.—Section 1253 of title 10, United States Code, is amended by adding at the end the following new subsection:

“(c) Exception for Chiefs of Chaplains and Deputy Chiefs of Chaplains.—The Secretary of the military department concerned may defer the retirement under subsection (a) of an officer serving in a general or flag officer grade who is the Chief of Chaplains or Deputy Chief of Chaplains of that officer's armed force. Such a deferment may not extend beyond the first day of the month following the month in which the officer becomes 68 years of age.”.

(b) Conforming amendments.—

(1) HEADING.—The heading of such section is amended by striking “exception” and inserting “exceptions”.

(2) TABLE OF SECTIONS.—The table of sections at the beginning of chapter 63 of such title is amended in the item relating to section 1253 by striking “exception” and inserting “exceptions”.

SEC. 506. Reinstatement of enhanced authority for selective early discharge of warrant officers.

Section 580a of title 10, United States Code, is amended—

(1) in subsection (a), by striking “November 30, 1993, and ending on October 1, 1999” and inserting “October 1, 2015, and ending on October 1, 2019”; and

(2) in subsection (c)—

(A) by striking paragraph (3); and

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

SEC. 507. Authority to conduct warrant officer retired grade determinations.

Section 1371 of title 10, United States Code, is amended—

(1) by inserting “highest” after “in the”; and

(2) by striking “that he held on the day before the date of his retirement, or in any higher warrant officer grade”.

subtitle BReserve Component Management

SEC. 511. Authority to designate certain reserve officers as not to be considered for selection for promotion.

Section 14301 of title 10, United States Code, is amended by adding at the end the following new subsection:

“(j) Certain officers not To be considered for selection for promotion.—The Secretary of the military department concerned may provide that an officer who is in an active status, but is in a duty status in which the only points the officer accrues under section 12732(a)(2) of this title are pursuant to subparagraph (C)(i) of that section (relating to membership in a reserve component), shall not be considered for selection for promotion at any time the officer otherwise would be so considered. Any such officer may remain on the reserve active-status list.”.

SEC. 512. Clarification of purpose of reserve component special selection boards as limited to correction of error at a mandatory promotion board.

Section 14502(b) of title 10, United States Code, is amended—

(1) in paragraph (1)—

(A) in the matter preceding subparagraph (A), by striking “a selection board” and inserting “a mandatory promotion board convened under section 14101(a) of this title”; and

(B) in subparagraphs (A) and (B), by striking “selection board” and inserting “mandatory promotion board”; and

(2) in the first sentence of paragraph (3), by striking “selection board” and inserting “mandatory promotion board”.

SEC. 513. Reconciliation of contradictory provisions relating to citizenship qualifications for enlistment in the reserve components of the Armed Forces.

Section 12102(b) of title 10, United States Code, is amended by striking paragraphs (1) and (2) and inserting the following new paragraphs:

“(1) that person has met the citizenship or residency requirements established in section 504(b)(1) of this title; or

“(2) that person is authorized to enlist by the Secretary concerned under section 504(b)(2) of this title.”.

SEC. 514. Authority for certain Air Force reserve component personnel to provide training and instruction regarding pilot instructor training.

(a) Authority.—

(1) IN GENERAL.—During fiscal year 2016, the Secretary of the Air Force may authorize personnel described in paragraph (2) to provide training and instruction regarding pilot instructor training to the following:

(A) Members of the Armed Forces on active duty.

(B) Members of foreign military forces who are in the United States.

(2) PERSONNEL.—The personnel described in this paragraph are the following:

(A) Members of the reserve components of the Air Force on active Guard and Reserve duty (as that term is defined in section 101(d) of title 10, United States Code) who are not otherwise authorized to conduct the training described in paragraph (1) due to the limitations in section 10216 of title 10, United States Code.

(B) Members of the Air Force who are military technicians (dual status) who are not otherwise authorized to conduct the training described in paragraph (1) due to the limitations in section 328(b) of title 32, United States Code

(3) LIMITATION.—The total number of personnel described in paragraph (2) who may provide training and instruction under the authority in paragraph (1) at any one time may not exceed 50.

(4) FEDERAL TORT CLAIMS ACT.—Members of the uniformed services described in paragraph (2) who provide training and instruction pursuant to the authority in paragraph (1) shall be covered by the Federal Tort Claims Act for purposes of any claim arising from the employment of such individuals under that authority.

(b) Report.—Not later than 180 days after the date of the enactment of this Act, the Secretary of the Air Force shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report setting forth a plan to eliminate pilot instructor shortages within the Air Force using authorities available to the Secretary under current law.

subtitle CGeneral Service Authorities

SEC. 521. Duty required for eligibility for preseparation counseling for members being discharged or released from active duty.

(a) Requirement for 180 continuous days of active duty service for eligibility.—Subparagraph (A) of section 1142(a)(4) of title 10, United States Code, is amended by inserting “continuous” after “first 180”.

(b) Exclusion of training from periods of active duty.—Such section is further amended by adding at the end the following new subparagraph:

“(C) For purposes of subparagraph (A), the term ‘active duty’ does not include full-time training duty, annual training duty, and attendance, while in the active military service, at a school designated as a service school by law or by the Secretary of the military department concerned.”.

SEC. 522. Expansion of pilot programs on career flexibility to enhance retention of members of the Armed Forces.

Section 533 of the Duncan Hunter National Defense Authorization Act for Fiscal Year 2009 (10 U.S.C. prec. 701 note) is amended by striking subsections (b) and (c).

SEC. 523. Sense of Senate on development of gender-neutral occupational standards for occupational assignments in the Armed Forces.

(a) Finding.—The Senate remains interested in the integration of women into the combat arms of the Armed Forces and the development of gender-neutral occupational standards for occupational assignments in the Armed Forces.

(b) Sense of Senate.—It is the sense of the Senate that—

(1) the development of gender-neutral occupational standards is vital in determining the occupational assignments of all members of the Armed Forces;

(2) studies being conducted by the Armed Forces are important to the development of these standards and should incorporate the best scientific practices available; and

(3) the Armed Forces should consider such studies on these standards carefully in order to ensure that—

(A) such studies do not result in unnecessary barriers to service in the Armed Forces; and

(B) all decisions on occupational assignments in the Armed Forces—

(i) are based on an objective analysis of the tasks required to perform the occupational assignment concerned; and

(ii) do not negatively impact the required combat capabilities of the Armed Forces, including units whose primary mission is to engage in direct combat at the tactical level.

subtitle DMember Education and Training

PART IEducational Assistance Reform

SEC. 531. Limitation on tuition assistance for off-duty training or education.

Section 2007(a) of title 10, United States Code, is amended by inserting “, but only if the Secretary determines that such education or training is likely to contribute to the member’s professional development” after “during the member’s off-duty periods”.

SEC. 532. Termination of program of educational assistance for reserve component members supporting contingency operations and other operations.

(a) In general.—Chapter 1607 of title 10, United States Code, is amended by adding at the end the following new section:

§ 16167. Sunset

“(a) Sunset.—The authority to provide educational assistance under this chapter shall terminate on the date that is four years after the date of the enactment of the National Defense Authorization Act for Fiscal Year 2016.

“(b) Limitation on provision of assistance pending sunset.—Notwithstanding any other provision of this chapter, during the period beginning on the date of the enactment of the National Defense Authorization Act for Fiscal Year 2016 and ending on the date that is four years after the date of the enactment of that Act, educational assistance may be provided under this chapter only to a member otherwise eligible for educational assistance under this chapter who received educational assistance under this chapter for a course of study at an educational institution for the enrollment period at the educational institution that immediately preceded the date of the enactment of that Act.”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 1607 of such title is amended by adding at the end the following new item:


“16167. Sunset.”.

SEC. 533. Reports on educational levels attained by certain members of the Armed Forces at time of separation from the Armed Forces.

(a) Annual reports required.—Each Secretary concerned shall submit to Congress each year a report on the educational levels attained by members of the Armed Forces described in subsection (b) under the jurisdiction of such Secretary who separated from the Armed Forces during the preceding year.

(b) Covered members.—The members of the Armed Forces described in this subsection are members of the Armed Forces who transferred unused education benefits to family members pursuant to section 3319 of title 38, United States Code, while serving as members of the Armed Forces.

(c) Secretary concerned defined.—In this section, the term “Secretary concerned” has the meaning given that term in section 101 of title 38, United States Code.

SEC. 534. Sense of Congress on transferability of unused education benefits to family members.

(a) In general.—It is the sense of Congress that each Secretary concerned should—

(1) exercise the authority in section 3319(a) of title 38, United States Code, relating to the transferability of unused education benefits to family members, in a manner that encourages the retention of individuals in the Armed Forces; and

(2) be more selective in permitting such transferability.

(b) Definitions.—In this section, the terms “Armed Forces” and “Secretary concerned” have the meaning given such terms in section 101 of title 38, United States Code.

SEC. 535. No entitlement to unemployment insurance while receiving Post-9/11 Education Assistance.

Section 8525(b) of title 5, United States Code, is amended—

(1) in paragraph (1), by striking “or” after the semicolon;

(2) in paragraph (2), by striking the period and inserting “; or”; and

(3) by adding at the end the following new paragraph:

“(3) an educational assistance allowance under chapter 33 of title 38.”.

PART IIOther Matters

SEC. 536. Repeal of statutory specification of minimum duration of in-resident instruction for courses of instruction offered as part of Phase II joint professional military education.

(a) Repeal of statutory requirement for in-resident instruction.—Section 2154(a)(2)(A) of title 10, United States Code, is amended by striking “taught in residence at” and inserting “offered through”.

(b) Repeal of statutory durational minimum.—

(1) REPEAL.—Section 2156 of such title is repealed.

(2) CLERICAL AMENDMENT.—The table of sections at the beginning of chapter 107 of such title amended by striking the item relating to section 2156.

SEC. 537. Quality assurance of certification programs and standards for professional credentials obtained by members of the Armed Forces.

Section 2015 of title 10, United States Code, as amended by section 551 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3376), is further amended—

(1) by redesignating subsections (c) and (d) as subsections (d) and (e), respectively; and

(2) by inserting after subsection (b) the following new subsection (c):

“(c) Quality assurance of certification programs and standards.— (1) Commencing not later than three years after the date of the enactment of the National Defense Authorization Act for Fiscal Year 2016, each Secretary concerned shall ensure that any credentialing program used in connection with the program under subsection (a) is accredited by an accreditation body that meets the requirements specified in paragraph (2).

“(2) The requirements for accreditation bodies specified in this paragraph are requirements that an accreditation body—

“(A) be an independent body that has in place mechanisms to ensure objectivity and impartiality in its accreditation activities;

“(B) meet a recognized national or international standard that directs its policy and procedures regarding accreditation;

“(C) apply a recognized national or international certification standard in making its accreditation decisions regarding certification bodies and programs;

“(D) conduct on-site visits, as applicable, to verify the documents and records submitted by credentialing bodies for accreditation;

“(E) have in place policies and procedures to ensure due process when addressing complaints and appeals regarding its accreditation activities;

“(F) conduct regular training to ensure consistent and reliable decisions among reviewers conducting accreditations; and

“(G) meet such other criteria as the Secretary concerned considers appropriate in order to ensure quality in its accreditation activities.”.

SEC. 538. Support for athletic programs of the United States Military Academy.

(a) In general.—Chapter 403 of title 10, United States Code, is amended by adding at the end the following new section:

§ 4362. Support of athletic and physical fitness programs

“(a) Authority.—

“(1) CONTRACTS AND COOPERATIVE AGREEMENTS.—The Secretary of the Army may enter into contracts and cooperative agreements with the Army West Point Athletic Association for the purpose of supporting the athletic and physical fitness programs of the Academy. Notwithstanding section 2304(k) of this title, the Secretary may enter such contracts or cooperative agreements on a sole source basis pursuant to section 2304(c)(5) of this title. Notwithstanding chapter 63 of title 31, a cooperative agreement under this section may be used to acquire property or services for the direct benefit or use of the Academy.

“(2) FINANCIAL CONTROLS.— (A) Before entering into a contract or cooperative agreement under paragraph (1), the Secretary shall ensure that such contract or agreement includes appropriate financial controls to account for Academy and Association resources in accordance with accepted accounting principles.

“(B) Any such contract or cooperative agreement shall contain a provision that allows the Secretary, at the Secretary’s discretion, to review the financial accounts of the Association to determine whether the operations of the Association—

“(i) are consistent with the terms of the contract or cooperative agreement; and

“(ii) will not compromise the integrity or appearance of integrity of any program of the Department of the Army.

“(3) LEASES.—Section 2667(h) of this title shall not apply to any leases the Secretary may enter into with the Association for the purpose of supporting the athletic and physical fitness programs of the Academy.

“(b) Support services.—

“(1) AUTHORITY.—To the extent required by a contract or cooperative agreement under subsection (a), the Secretary may provide support services to the Association while the Association conducts its support activities at the Academy. The Secretary may provide support services described in paragraph (2) only if the Secretary determines that the provision of such services is essential for the support of the athletic and physical fitness programs of the Academy.

“(2) SUPPORT SERVICES DEFINED.— (A) In this subsection, the term ‘support services’ includes utilities, office furnishings and equipment, communications services, records staging and archiving, audio and video support, and security systems in conjunction with the leasing or licensing of property.

“(B) Such term includes—

“(i) housing for Association personnel on United States Army Garrison, West Point, New York; and

“(ii) enrollment of dependents of Association personnel in elementary and secondary schools under the same criteria applied to dependents of Federal employees under section 2164(a) of this title, except that educational services provided pursuant to this clause shall be provided on a reimbursable basis.

“(3) NO LIABILITY OF THE UNITED STATES.—Any such support services may only be provided without any liability of the United States to the Association.

“(c) Acceptance of support.—

“(1) SUPPORT RECEIVED FROM THE ASSOCIATION.—Notwithstanding section 1342 of title 31, the Secretary may accept from the Association funds, supplies, and services for the support of the athletic and physical fitness programs of the Academy. For the purposes of this section, employees or personnel of the Association may not be considered to be employees of the United States.

“(2) FUNDS RECEIVED FROM NCAA.—The Secretary may accept funds from the National Collegiate Athletic Association to support the athletic and physical fitness programs of the Academy.

“(3) LIMITATION.—The Secretary shall ensure that contributions under this subsection and expenditure of funds pursuant to subsection (e) do not reflect unfavorably on the ability of the Department of the Army, any of its employees, or any member of the armed forces to carry out any responsibility or duty in a fair and objective manner, or compromise the integrity or appearance of integrity of any program of the Department of the Army, or any individual involved in such a program.

“(d) Trademarks and service marks.—

“(1) LICENSING, MARKETING, AND SPONSORSHIP AGREEMENTS.—An agreement under subsection (a) may, consistent with section 2260 of this title (other than subsection (d) of such section), authorize the Association to enter into licensing, marketing, and sponsorship agreements relating to trademarks and service marks identifying the Academy, subject to the approval of the Secretary of the Army.

“(2) LIMITATIONS.—No licensing, marketing, or sponsorship agreement may be entered into under paragraph (1) if—

“(A) such agreement would reflect unfavorably on the ability of the Department of the Army, any of its employees, or any member of the armed forces to carry out any responsibility or duty in a fair and objective manner; or

“(B) the Secretary determines that the use of the trademark or service mark would compromise the integrity or appearance of integrity of any program of the Department of the Army, or any individual involved in such a program.

“(e) Retention and use of funds.—

“(1) IN GENERAL.—Any funds received by the Secretary under this section other than money rentals received for property leased pursuant to section 2667 of this title shall be used by the Academy for one or more of the following purposes:

“(A) To benefit participating cadets.

“(B) To enhance the ability of the Academy to compete against other colleges and universities.

“(2) AVAILABILITY OF FUNDS.—Funds described in paragraph (1) shall remain available until expended.

“(f) Service on Association Board of Directors.—The Association is a designated entity for which authorization under sections 1033(a) and 1589(a) of this title may be provided.

“(g) Conditions.—The authority provided in this section with respect to the Association is available only so long as the Association continues—

“(1) to qualify as a nonprofit organization under section 501(c)(3) of the Internal Revenue Code of 1986 and operates in accordance with this section, the law of the State of New York, and the constitution and bylaws of the Association; and

“(2) to operate exclusively to support the athletic and physical fitness programs of the Academy.

“(h) Association defined.—In this section, the term ‘Association’ means the Army West Point Athletic Association.”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 403 of such title is amended by adding at the end the following new item:


“4362. Support of athletic and physical fitness programs.”.

SEC. 539. Online access to the higher education component of the Transition Assistance Program.

(a) Notice to program participants of availability of component online through the Department of Defense.—If a member of the Armed Forces, veteran, or dependent requests a certificate of eligibility from the Secretary of Veterans Affairs to prove the eligibility of the member, veteran, or dependent, as the case may be, for educational assistance under chapter 33 of title 38, United States Code, the Secretary shall notify the member, veteran, or dependent of the availability of the higher education component of the Transition Assistance Program (TAP) on the Transition GPS Standalone Training Internet website of the Department of Defense.

(b) Availability of component online through the Department of Veterans Affairs.—

(1) IN GENERAL.—The Secretary of Defense shall, in collaboration with the Secretary of Veterans Affairs, assess the feasibility of—

(A) providing access for veterans and dependents to the higher education component of the Transition Assistance Program on the eBenefits Internet website of the Department of Veterans Affairs; and

(B) tracking the completion of that component through that Internet website.

(2) REPORT TO CONGRESS.—The Secretary of Defense shall submit to Congress a report setting forth a description of the cost and length of time required to provide access and begin tracking completion of the higher education component of the Transition Assistance Program as described in paragraph (1).

subtitle EMilitary Justice

SEC. 546. Modification of Rule 304 of the Military Rules of Evidence relating to the corroboration of a confession or admission.

Not later than 180 days after the date of the enactment of this Act, Rule 304(c) of the Military Rules of Evidence shall be modified as follows:

(1) To provide that an admission or a confession of the accused may be considered as evidence against the accused on the question of guilt or innocence only if independent evidence, either direct or circumstantial, has been admitted into evidence which would tend to establish the trustworthiness of the admission or confession.

(2) To provide that not every element or fact contained in the admission or confession must be independently proven for the admission or confession to be admitted into evidence in its entirety.

(3) To strike the rule that if independent evidence raises an inference of the truth of some but not all of the essential facts admitted, the confession or admission may be considered as evidence against the accused only with respect to those essential facts stated in the confession or admission that are corroborated by the independent evidence.

(4) With respect to the quantum of evidence needed to establish corroboration, to provide that the independent evidence need raise only an inference of the truth of the admission or confession.

SEC. 547. Modification of Rule 104 of the Rules for Courts-Martial to establish certain prohibitions concerning evaluations of Special Victims' Counsel.

Not later than 180 days after the date of the enactment of this Act, Rule 104(b) of the Rules for Courts-Martial shall be modified to provide that the prohibitions concerning evaluations established by that Rule shall apply to the giving of a less favorable rating or evaluation to any member of the Armed Forces serving as a Special Victims' Counsel because of the zeal with which such counsel represented a victim.

SEC. 548. Right of victims of offenses under the Uniform Code of Military Justice to timely disclosure of certain materials and information in connection with prosecution of offenses.

Section 806b(a) of title 10, United States Code (article 6b(a) of the Uniform Code of Military Justice), is amended—

(1) by redesignating paragraphs (3) through (8) as paragraphs (4) through (9), respectively; and

(2) by inserting after paragraph (2) the following new paragraph (3):

“(3) The right to the timely disclosure by trial counsel to the victim (or the Special Victims' Counsel of the victim if the victim is so represented) of the following:

“(A) Any charges and specifications related to the offense.

“(B) Any motions filed by trial counsel or defense counsel in connection with the court-martial of the offense, unless otherwise protected from disclosure.

“(C) All statements by the accused related to the offense.

“(D) Any statement by the victim in connection with the offense that is in the possession of the government.

“(E) Any portions relating to the victim in any report of an investigation of the offense that is in the possession of the government.

“(F) In the event the staff judge advocate advises pursuant to section 834 of this title (article 34) that any charge or specification in connection with the offense not be referred for trial, the advice making such recommendation, with such advice to be so provided before the convening authority acts on the advice.”.

SEC. 549. Enforcement of certain crime victims' rights by the Court of Criminal Appeals.

Section 806b of title 10, United States Code (article 6b of the Uniform Code of Military Justice), is amended—

(1) by redesignating subsection (d) as subsection (e); and

(2) by inserting after subsection (c) the following new subsection (d):

“(d) Enforcement of certain rights by Court of Criminal Appeals.— (1) (A) If the victim of an offense under this chapter believes that a preliminary hearing ruling under section 832 of this title (article 32), or a court-martial ruling, violates the victim's rights afforded by a section (article) or rule specified in paragraph (2), the victim may file an interlocutory appeal of such ruling by petitioning the Court of Criminal Appeals for an order to require the judge advocate conducting such preliminary hearing, or the court-martial, as the case may be, to comply with the section (article) or rule, as applicable.

“(B) A victim of an offense under this chapter who is subject to an order to submit to a deposition notwithstanding the fact that the victim shall be available to testify at the court-martial of the offense may file an interlocutory appeal of such order by petitioning the Court of Criminal Appeals for an order to quash such order.

“(C) The Court of Criminal Appeals shall provide a de novo review of the question or questions raised by a petition filed under this paragraph. A single judge or panel of judges shall take up and decide the petition within 72 hours after the petition is filed.

“(2) Paragraph (1)(A) applies with respect to the protections afforded by the following:

“(A) This section (article).

“(B) Military Rule of Evidence 412, relating to the admission of evidence regarding a victim's sexual background.

“(C) Military Rule of Evidence 513, relating to the psychotherapist-patient privilege.

“(D) Military Rule of Evidence 514, relating to the victim advocate-victim privilege.

“(E) Military Rule of Evidence 615, relating to the exclusion of witnesses.

“(3) The proceedings of a preliminary hearing under section 832 of this title (article 32), or a court-martial, may not be stayed or subject to a continuance of more than five days for purposes of enforcing this subsection. If the Court of Criminal Appeals denies the relief sought, the reasons for the denial shall be clearly stated on the record in a written opinion.”.

SEC. 550. Release to victims upon request of complete record of proceedings and testimony of courts-martial in cases in which sentences adjudged could include punitive discharge.

(a) In general.—Section 854(e) of title 10, United States Code (article 54(e) of the Uniform Code of Military Justice), is amended—

(1) by inserting “(1)” after “(e)”;

(2) in paragraph (1), as so designated, by inserting “or the victim requests such records” before the period at the end of the first sentence; and

(3) by adding at the end the following new paragraphs:

“(2) In the case of a general or special court-martial involving an offense (other than an offense covered by paragraph (1)) for which the sentence as adjudged could include punitive discharge from the armed forces, a copy of all prepared records of the proceedings of the court-martial shall be given to the victim of the offense if the victim requests such records.

“(3) Records given to a victim under this subsection at the request of the victim in a case where the court-martial concerned resulted in the acquittal of the accused may include restrictions on release or use of such records or information in such records in order to protect the privacy or other interests of the accused.”.

(b) Effective date.—The amendments made by subsection (a) shall take effect on the date of the enactment of this Act, and shall apply with respect to courts-martial first convened on or after that date.

SEC. 551. Representation and assistance of victims by Special Victims' Counsel in questioning by military criminal investigators.

Section 1044e(f) of title 10, United States Code, is amended by adding at the end the following new paragraph:

“(3) (A) In carrying out paragraph (1), a military criminal investigator seeking to question an individual eligible for the assistance of a Special Victims' Counsel under this section shall inform the individual of the individual's right to be represented by a Special Victims' Counsel in connection with such questioning.

“(B) If an individual described in subparagraph (A) requests representation by a Special Victims' Counsel in connection with questioning described in that subparagraph—

“(i) a Special Victims' Counsel shall represent and assist the individual during and in connection with such questioning;

“(ii) the military criminal investigator shall contact and question the individual only through the Special Victims' Counsel representing the individual; and

“(iii) the military criminal investigation may not contact or question the individual without the consent of such Special Victims' Counsel.

“(C) Nothing in this paragraph confers any right on an accused under investigation.

“(D) A violation of this paragraph shall not be a basis for the suppression of any statement of an individual described in subparagraph (A), or derivative evidence of such a statement, in a proceeding against a person accused with committing an offense against such individual.”.

SEC. 552. Authority of Special Victims' Counsel to provide legal consultation and assistance in connection with various Government proceedings.

Section 1044e(b) of title 10, United States Code, is amended—

(1) by redesignating paragraph (9) as paragraph (10); and

(2) by inserting after paragraph (8) the following new paragraph (9):

“(9) Legal consultation and assistance in connection with—

“(A) any complaint against the Government, including an allegation under review by an inspector general and a complaint regarding equal employment opportunities;

“(B) any request to the Government for information, including a request under section 552a of title 5 (commonly referred to as a 'Freedom of Information Act request'); and

“(C) any correspondence or other communications with Congress.”.

SEC. 553. Enhancement of confidentiality of restricted reporting of sexual assault in the military.

(a) Preemption of State law to ensure confidentiality of reporting.—Subsection (b) of section 1565b of title 10, United States Code, is amended by adding at the end the following new paragraph:

“(3) In the case of information disclosed pursuant to paragraph (1), any State law or regulation that would require an individual specified in paragraph (2) to disclose the personally identifiable information of the adult victim or alleged perpetrator of the sexual assault to a State or local law enforcement agency shall not apply, except when reporting is necessary to prevent or mitigate a serious and imminent threat to the health or safety of an individual.”.

(b) Clarification of scope.—Paragraph (1) of such subsection is amended by striking “a dependent” and inserting “an adult dependent”.

(c) Definitions.—Such section is further amended by adding at the end the following new subsection:

“(c) Definitions.—In this section:

“(1) SEXUAL ASSAULT.—The term ‘sexual assault’ includes the offenses of rape, sexual assault, forcible sodomy, aggravated sexual contact, abusive sexual contact, and attempts to commit such offenses, as punishable under applicable Federal or State law.

“(2) STATE.—The term ‘State’ includes the District of Columbia, the Commonwealth of Puerto Rico, the Commonwealth of the Northern Mariana Islands, and any territory or possession of the United States.”.

SEC. 554. Establishment of Office of Complex Investigations within the National Guard Bureau.

(a) In general.—Chapter 1101 of title 10, United States Code, is amended by adding at the end the following new section:

§ 10509. Office of Complex Investigations

“(a) In general.—There is in the National Guard Bureau an Office of Complex Investigations (in this section referred to as the ‘Office’) under the authority, direction, and control of the Chief of the National Guard Bureau.

“(b) Disposition and functions.—The Office shall be organized, trained, equipped, and managed to conduct administrative investigations in order to assist the States in the organization, maintenance, and operation of the National Guard as follows:

“(1) In investigations of allegations of sexual assault involving members of the National Guard.

“(2) In Investigations in circumstances involving members of the National Guard in which other law enforcement agencies within the Department of Defense do not have, or have limited, jurisdiction or authority to investigate.

“(3) In investigations in such other circumstances involving members of the National Guard as the Chief of the National Guard Bureau may direct.

“(c) Scope of investigative authority.—Individuals performing investigations described in subsection (b)(1) are authorized—

“(1) to have access to all records, reports, audits, reviews, documents, papers, recommendations, or other material available to the applicable establishment which relate to programs and operations with respect to the National Guard; and

“(2) to request such information or assistance as may be necessary for carrying out those duties from any Federal, State, or local governmental agency or unit thereof.”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 1101 of such title is amended by adding at the end the following new item:


“10509. Office of Complex Investigations.”.

SEC. 555. Modification of deadline for establishment of Defense Advisory Committee on Investigation, Prosecution, and Defense of Sexual Assault in the Armed Forces.

Section 546(a)(2) of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3374; 10 U.S.C. 1561 note) is amended by striking “not later than” and all that follows and inserting “not later than 90 days after the date of the enactment of the National Defense Authorization Act for Fiscal Year 2016.”.

SEC. 556. Comptroller General of the United States reports on prevention and response to sexual assault by the Army National Guard and the Army Reserve.

(a) Initial report.—Not later than April 1, 2016, the Comptroller General of the United States shall submit to Congress a report on the preliminary assessment of the Comptroller General (made pursuant to a review conducted by the Comptroller General for purposes of this section) of the extent to which the Army National Guard and the Army Reserve—

(1) have in place policies and programs to prevent and respond to incidents of sexual assault involving members of the Army National Guard or the Army Reserve, as applicable;

(2) provide medical and mental health care services to members of the Army National Guard or the Army Reserve, as applicable, following a sexual assault; and

(3) have identified whether the nature of service in the Army National Guard or the Army Reserve, as the case may be, poses challenges to the prevention of or response to sexual assault.

(b) Additional reports.—If after submitting the report required by subsection (a) the Comptroller General makes additional assessments as a result of the review described in that subsection, the Comptroller General shall submit to Congress such reports on such additional assessments as the Comptroller General considers appropriate.

SEC. 557. Sense of Congress on the service of military families and on sentencing retirement-eligible members of the Armed Forces.

(a) Findings.—Congress makes the following findings:

(1) Military families serve alongside their member of the Armed Forces, enduring hardships, lending support, and contributing to the member’s career. These family members endure frequent moves, long periods of separation, and other unique hardships associated with military life.

(2) Innocent family members are sometimes inadvertently punished when the member they depend on forfeits retirement benefit eligibility due to a court-martial sentence.

(3) When a retirement-eligible member forfeits retirement eligibility, that member’s innocent family members lose the security of benefits they had planned for and helped earn.

(4) Military juries may choose to impose unjustly light sentences on convicted members out of concern for the innocent family members when a just sentence would require stripping the member of retirement eligibility.

(b) Sense of Congress.—It is the sense of Congress—

(1) that military juries should not face the difficult choice between imposing a fair sentence or protecting the benefits of a member of the Armed Forces for the sake of innocent family members;

(2) that innocent military family members of retirement-eligible members should not be made to forgo benefits they have sacrificed for and helped to earn; and

(3) to welcome the opportunity to work with the Department of Defense to develop the necessary laws and regulations to improve the military justice system and to protect the benefits that military families have helped earn.

subtitle FDefense Dependents Education and Military Family Readiness

SEC. 561. 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 for fiscal year 2016 by section 301 and available for operation and maintenance for Defense-wide activities as specified in the funding table in section 4301, $25,000,000 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; 20 U.S.C. 7703b).

(b) 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)).

SEC. 562. Impact aid for children with severe disabilities.

Of the amount authorized to be appropriated for fiscal year 2016 pursuant to section 301 and available for operation and maintenance for Defense-wide activities as specified in the funding table in section 4301, $5,000,000 shall be available for payments under section 363 of the Floyd D. Spence National Defense Authorization Act for Fiscal Year 2001 (as enacted into law by Public Law 106–398; 114 Stat. 1654A–77; 20 U.S.C. 7703a).

SEC. 563. Authority to use appropriated funds to support Department of Defense student meal programs in domestic dependent elementary and secondary schools located outside the United States.

(a) Authority.—Section 2243 of title 10, United States Code, is amended—

(1) in subsection (a)—

(A) by striking “the defense dependents’ education system” and inserting “overseas defense dependents’ schools”; and

(B) by striking “students enrolled in that system” and inserting “students enrolled in such a school”;

(2) in subsection (d), by striking “Department of Defense dependents' schools which are located outside the United States” and inserting “overseas defense dependents’ schools”; and

(3) by adding at the end the following new subsection:

“(e) Overseas defense dependents’ school defined.—In this section, the term ‘overseas defense dependents’ school’ means the following:

“(1) A school established as part of the defense dependents' education system provided for under the Defense Dependents' Education Act of 1978 (20 U.S.C. 921 et seq.).

“(2) An elementary or secondary school established pursuant to section 2164 of this title that is located in a territory, commonwealth, or possession of the United States.”.

(b) Conforming amendments.—

(1) HEADING AMENDMENT.—The heading of such section is amended by inserting “defense” after “overseas”.

(2) TABLE OF SECTIONS.—The table of sections at the beginning of subchapter I of chapter 134 of such title is amended in the item relating to section 2243 by inserting “defense” after “overseas”.

SEC. 564. Biennial surveys of military dependents on military family readiness matters.

(a) Biennial surveys required.—The Director of the Office of Family Policy of the Department of Defense shall undertake every other year a survey of adult dependents of members of the Armed Forces on the matters specified in subsection (b). Participation by dependents in the survey shall be voluntary.

(b) Matters.—The matters specified in this subsection are the following:

(1) Mental health of dependents of members of the Armed Forces.

(2) Incidence of suicide and suicidal ideation among dependents of members of the Armed Forces.

(3) Incidence of divorce among dependents of members of the Armed Forces.

(4) Incidence of spousal abuse, child abuse, sexual assault, and harassment among dependents of members of the Armed Forces.

(5) Financial health and financial literacy of military families.

(6) Employment and education of dependents of members of the Armed Forces.

(7) Adequacy and availability of child care for dependents of members of the Armed Forces.

(8) Quality of programs for military families.

(9) Such other matters relating to military family readiness as the Director considers appropriate.

subtitle GMiscellaneous Reporting Requirements

SEC. 571. Extension of semiannual reports on the involuntary separation of members of the Armed Forces.

Section 525(a) of the National Defense Authorization Act for Fiscal Year 2013 (Public Law 112–239; 126 Stat. 1724) is amended by striking “calendar years 2013 and 2014” and “each of calendar years 2013 through 2017”.

SEC. 572. Remotely piloted aircraft career field manning shortfalls.

(a) Limitation.—Of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2016 for operation and maintenance for the Office of the Secretary of the Air Force, not more than 85 percent may be obligated or expended until a period of 15 days has elapsed following the date on which the Secretary of the Air Force submits to the congressional defense committees the report described in subsection (b).

(b) Report required.—

(1) IN GENERAL.—Not later than 60 days after the date of enactment of this Act, the Secretary of the Air Force shall submit to the congressional defense committees a report on remotely piloted aircraft career field manning levels and actions the Air Force will take to rectify personnel shortfalls.

(2) ELEMENTS.—The report required under paragraph (1) shall include the following elements:

(A) A description of current and projected manning requirements and inventory levels for remotely piloted aircraft systems.

(B) A description of rated and non-rated officer and enlisted manning policies for authorization and inventory levels in effect for remotely piloted aircraft systems and units, to include whether remotely piloted aircraft duty is considered as a permanent Air Force Specialty Code or treated as an ancillary single assignment duty, and if both are used, the division of authorizations between permanently assigned personnel and those who will return to a different primary career field.

(C) Comparisons to other Air Force manned combat aircraft systems and units with respect to personnel policies, manpower authorization levels, and projected personnel inventory.

(D) Identification and assessment of mitigation actions to increase unit manning levels, including recruitment and retention bonuses, incentive pay, use of enlisted personnel, and increased weighting to remotely piloted aircraft personnel on promotion boards, and to ensure the school house for remotely piloted aircraft personnel is sufficient to meet increased manning demands.

(E) Analysis demonstrating the requirements determination for how remotely piloted aircraft pilot and sensor operators are selected, including whether individuals are prior rated or non-rated qualified, what prerequisite training or experience is necessary, and required and types of basic and advanced qualification training for each mission design series of remotely piloted aircraft in the Air Force inventory.

(F) Recommendations for changes to existing legislation required to implement mitigation actions.

(G) An assessment of the authorization levels of government civilian and contractor support required for sufficiency of remotely piloted aircraft career field manning.

(H) A description and associated timeline of actions the Air Force will take to increase remotely piloted aircraft career field manpower authorizations and manning levels to at least the equal of the normative levels of manning and readiness of all other combat aircraft career fields.

(I) A description of any other matters concerning remotely piloted aircraft career field manning levels the Secretary of the Air Force determines to be appropriate.

(3) FORM.—The report required under paragraph (1) may be submitted in classified form, but shall also contain an unclassified executive summary and may contain an unclassified annex.

(4) NONDUPLICATION OF EFFORT.—If any information required under paragraph (1) has been included in another report or notification previously submitted to Congress by law, the Secretary of the Air Force may provide a list of such reports and notifications at the time of submitting the report required under this subsection in lieu of including such information in the report.

subtitle HOther Matters

PART IFinancial Literacy and Preparedness of Members of the Armed Forces

SEC. 581. Improvement of financial literacy and preparedness of members of the Armed Forces.

(a) In general.—Section 992 of title 10, United States Code, is amended—

(1) in subsection (a)—

(A) in the subsection heading, by striking “consumer education” and inserting “financial literacy training”;

(B) in paragraph (1), by striking “education” in the matter preceding subparagraph (A) and inserting “financial literacy training”;

(C) in paragraph (2)—

(i) in the matter preceding subparagraph (A), by striking “as”;

(ii) in subparagraph (A)—

(I) by inserting “as” before “a component”;

(II) by striking “orientation”; and

(III) by striking “and” after the semicolon;

(iii) by redesignating subparagraph (B) as subparagraph (J); and

(iv) by inserting after subparagraph (A) the following new subparagraphs:

“(B) upon arrival at the first duty station;

“(C) upon arrival at each duty station following the first duty station in the case of each member in pay grade E–4 or below or in pay grade O–3 or below;

“(D) on the date of promotion, in the case of each member in pay grade E–5 or below or in pay grade O–4 or below;

“(E) when the member vests in the Thrift Savings Plan (TSP);

“(F) at each major life event during the member’s service, such as—

“(i) marriage;

“(ii) divorce;

“(iii) birth of first child; or

“(iv) disabling sickness or condition;

“(G) during leadership training;

“(H) during pre-deployment training and during post-deployment training;

“(I) at transition points in military service, such as—

“(i) transition from a regular component to a reserve component;

“(ii) separation from service; or

“(iii) retirement; and”; and

(v) in subparagraph (J), as redesignated by clause (iii), by inserting “as” before “a component”;

(D) in paragraph (3), by striking “(2)(B)” and inserting “(2)(J)”; and

(E) by adding at the end the following new paragraph:

“(4) The Secretary concerned shall prescribe regulations setting forth any additional events and circumstances (other than those described in paragraph (2)) for which the Secretary determines that training under this subsection shall be required.”.

(b) Financial literacy and preparedness survey.—Such section is further amended—

(1) by redesignating subsection (d) as subsection (e); and

(2) by inserting after subsection (c) the following new subsection (d):

“(d) Financial literacy and preparedness survey.— (1) The Director of the Defense Manpower Data Center shall annually include in the status of forces survey a survey of the status of the financial literacy and preparedness of members of the armed forces.

“(2) The results of the annual financial literacy and preparedness survey—

“(A) shall be used by each of the Secretaries concerned as a benchmark to evaluate and update training provided under this section; and

“(B) shall be submitted to the Committees on Armed Services of the Senate and the House of Representatives.”.

(c) Additional financial services covered by literacy training.—Subsection (e) of such section, as redesignated by subsection (b)(1) of this section, is amended by adding at the end the following new paragraph:

“(4) Health insurance, budget management, Thrift Savings Plan (TSP), retirement lump sum payments (including rollover options and tax consequences), and Survivor Benefit Plan (SBP) .”.

(d) Conforming and clerical amendments.—

(1) SECTION HEADING.—The heading of such section is amended to read as follows:

§ 992. Financial literacy training: financial services”.

(2) TABLE OF SECTIONS.—The table of sections at the beginning of chapter 50 of such title is amended by striking the item related to section 992 and inserting the following new item:


“992. Financial literacy training: financial services.”.

SEC. 582. Financial literacy training with respect to certain financial services for members of the uniformed services.

(a) In general.—The Secretary concerned shall provide the financial literacy training under section 992 of title 10, United States Code, for the financial services described in paragraph (4) of section 992(e) of such title (as amended and added by section 581 of this Act) to members of the uniformed services under the jurisdiction of such Secretary commencing not later than six months after the date of the enactment of this Act.

(b) Definitions.—In this section, the terms “uniformed services” and “Secretary concerned” have the meaning given such terms in section 101(a) of title 10, United States Code.

SEC. 583. Sense of Congress on financial literacy and preparedness of members of the Armed Forces.

It is the sense of Congress that—

(1) the Secretary of Defense should strengthen arrangements with other departments and agencies of the Federal Government, as well as with nonprofit organizations, in order to improve the financial literacy and preparedness of members of the Armed Forces; and

(2) the Chairman of the Joint Chiefs of Staff and the Chiefs of Staff of the Armed Forces should provide support for the financial literacy and preparedness training carried out under section 992 of title 10, United States Code (as amended by section 581 of this Act).

PART IIOther Matters

SEC. 586. Authority for applications for correction of military records to be initiated by the Secretary concerned.

Section 1552(b) of title 10, United States Code, is amended—

(1) by striking “or his heir or legal representative” and inserting “(or the claimant’s heir or legal representative) or the Secretary concerned”; and

(2) by striking “he discovers” and inserting “discovering”.

SEC. 587. Recordation of obligations for installment payments of incentive pays, allowances, and similar benefits when payment is due.

(a) In general.—Chapter 19 of title 37, United States Code, is amended by adding at the end the following new section:

§ 1015. Recordation of installment payment obligations for incentive pays and similar benefits

“(a) In general.—In the case of any pay, allowance, bonus, or other benefit described in subsection (b) that is paid to a member of the uniformed services on an installment basis, each installment payment shall be charged to appropriations that are available for obligation at the time such payment is payable.

“(b) Covered pay and benefits.—Subsection (a) applies to any incentive pay, special pay, or bonus, or similar periodic payment of pay or allowances, or of educational benefits or stipends, that is paid to a member of the uniformed services under this title or title 10.”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 19 of such title is amended by adding at the end the following new item:


“1015. Recordation of installment payment obligations for incentive pays and similar benefits.”.

SEC. 588. Enhancements to Yellow Ribbon Reintegration Program.

(a) Scope and purpose.—Section 582 of the National Defense Authorization Act for Fiscal Year 2008 (10 U.S.C. 10101 note) is amended—

(1) in subsection (a), by striking “combat veteran”; and

(2) in subsection (b), by striking “informational events and activities” and inserting “information, events, and activities”.

(b) Eligibility.—Such section is further amended—

(1) in subsection (a), by striking “National Guard and Reserve members and their families” and inserting “eligible individuals”;

(2) in subsection (b), by striking “members of the reserve components of the Armed Forces, their families,” and inserting “eligible individuals”;

(3) in subsection (d)(2)(C), by striking “members of the Armed Forces and their families” and inserting “eligible individuals”;

(4) in subsection (h), in the matter preceding paragraph (1)—

(A) by striking “members of the Armed Forces and their family members” and inserting “eligible individuals”; and

(B) by striking “such members and their family members” and inserting “such eligible individuals”;

(5) in subsection (j), by striking “members of the Armed Forces and their families” and inserting “eligible individuals”;

(6) in subsection (k), by striking “individual members of the Armed Forces and their families” and inserting “eligible individuals”; and

(7) by adding at the end the following new subsection:

“(l) Eligible individuals.—For the purposes of this section, the term ‘eligible individual’ means a member of a reserve component, a member of their family, or a designated representative who the Secretary of Defense determines to be eligible for the Yellow Ribbon Reintegration Program.”.

(c) Office for Reintegration Programs.—

(1) OVERSIGHT OF YELLOW RIBBON REINTEGRATION PROGRAM.—Paragraph (1)(A) of subsection (d) of such section is amended by striking the second and third sentence and inserting “The office shall exercise oversight over the Yellow Ribbon Reintegration Program, and shall be responsible for coordination with State National Guard and Reserve organizations, including existing family and support programs.”.

(2) PARTNERSHIPS TO PROVIDE QUALITY OF LIFE SERVICES.—Paragraph (1)(B) of such subsection is amended by striking “substance abuse and mental health treatment services” and inserting “substance abuse, mental health treatment, and other quality of life services”.

(3) GRANT AUTHORITY.—Such subsection is further amended by adding at the end the following new paragraph:

“(3) GRANTS.—The Office for Reintegration Programs may make grants to conduct data collection, trend analysis, and curriculum development, and to prepare reports, in support of activities under this section.”.

(d) Coordination with Coast Guard Reserve.—Such section is further amended—

(1) in subsection (d)(1)(A), by striking “and Air Force Reserve” and inserting “Air Force Reserve, and Coast Guard Reserve”; and

(2) in subsection (e)(1), by striking “and Air Force Reserve” and inserting “Air Force Reserve, and Coast Guard Reserve”.

(e) Due date of advisory board annual report.—Subsection (e)(4) of such section is amended by striking “March” and inserting “April”.

(f) Support teams.—Subsection (f) of such section is amended—

(1) in the matter preceding paragraph (1), by striking “administer the Yellow Ribbon Reintegration Program at the State level” and inserting “support and assist State National Guard and Reserve organization reintegration efforts”; and

(2) by amending paragraph (1) to read as follows:

“(1) to provide reintegration curriculum and information;”.

(g) Operation of program.—

(1) ENHANCED FLEXIBILITY.—Subsection (g) of such section is amended to read as follows:

“(g) Operation of program.—

“(1) IN GENERAL.—The Office for Reintegration Programs shall assist State National Guard and Reserve organizations with the development and provision of information, events, and activities to support the health and well-being of eligible individuals before, during, and after periods of activation, mobilization, or deployment.

“(2) FOCUS OF INFORMATION, EVENTS, AND ACTIVITIES.—

“(A) BEFORE ACTIVATION, MOBILIZATION, OR DEPLOYMENT.—Before such a period, the information, events, and activities described in paragraph (1) should focus on preparing eligible individuals and affected communities for the rigors of activation, mobilization, and deployment.

“(B) DURING ACTIVATION, MOBILIZATION, OR DEPLOYMENT.—During such a period, the information, events, and activities described in paragraph (1) should focus on—

“(i) helping eligible individuals cope with the challenges and stress associated with such period;

“(ii) decreasing the isolation of eligible individuals during such period; and

“(iii) preparing eligible individuals for the challenges associated with reintegration.

“(C) AFTER ACTIVATION, MOBILIZATION, OR DEPLOYMENT.—After such a period, the information, events, and activities described in paragraph (1) should focus on—

“(i) reconnecting the member with their families, friends, and communities;

“(ii) providing information on employment opportunities;

“(iii) helping eligible individuals deal with the challenges of reintegration;

“(iv) ensuring that eligible individuals understand what benefits they are entitled to and what resources are available to help them overcome the challenges of reintegration; and

“(v) providing a forum for addressing negative behaviors related to operational stress and reintegration.

“(3) MEMBER PAY.—Members shall receive appropriate pay for days spent attending such events and activities.

“(4) MINIMUM NUMBER OF EVENTS AND ACTIVITIES.—State National Guard and Reserve organizations shall provide to eligible individuals—

“(A) one event or activity before a period of activation, mobilization, or deployment;

“(B) one event or activity during a period of activation, mobilization, or deployment; and

“(C) two events or activities after a period of activation, mobilization, or deployment.”.

(2) CONFORMING AMENDMENTS.—Such section is further amended—

(A) in subsection (a), by striking “throughout the entire deployment cycle”;

(B) in subsection (b)—

(i) in the subsection heading, by striking “; Deployment Cycle”; and

(ii) by striking “well-being through the 4 phases” through the end of the subsection and inserting “well-being.”;

(C) in subsection (d)(2)(C), by striking “throughout the deployment cycle described in subsection (g)”; and

(D) in subsection (f), by striking “State Deployment Cycle” in the subsection heading.

(h) Additional permitted outreach service.—Subsection (h) of such section is amended by adding at the end the following new paragraph:

“(16) Stress management and positive coping skills.”.

(i) Support of department-Wide suicide prevention efforts.—Such section is further amended by inserting after subsection (h) the following new subsection:

“(i) Support of suicide prevention efforts.—The Office for Reintegration Programs shall assist the Defense Suicide Prevention Office and the Defense Centers of Excellence for Psychological Health and Traumatic Brain Injury to collect and analyze information, suggestions, and best practices from State National Guard and Reserve organizations with respect to suicide prevention and community response programs.”.

(j) Technical amendments.—Such section is further amended—

(1) in subsection (d)(1)(B), by striking “Substance Abuse and the Mental Health Services Administration” and inserting “Substance Abuse and Mental Health Services Administration”; and

(2) in subsection (e)(3)(C), by striking “Office of Reintegration Programs” and inserting “Office for Reintegration Programs”.

SEC. 589. Priority processing of applications for Transportation Worker Identification Credentials for members undergoing discharge or release from the Armed Forces.

(a) Priority processing.—The Secretary of Defense shall consult with the Secretary of Homeland Security to afford a priority in the processing of applications for a Transportation Worker Identification Credential (TWIC) to applications submitted by members of the Armed Forces who are undergoing separation, discharge, or release from the Armed Forces under honorable conditions, with such priority to provide for the review and adjudication of such an application by not later than 14 days after submittal, unless an appeal or waiver applies or further application documentation is necessary. The priority shall be so afforded commencing not later than 180 days after the date of the enactment of this Act to members who undergo separation, discharge, or release from the Armed Forces after the date on which the priority so commences being afforded.

(b) Memorandum of understanding.—The Secretary of Defense and the Secretary of Homeland Security shall enter into a memorandum of understanding in connection with achieving the requirement in subsection (a).

(c) Report.—Not later than one year after the date of the enactment of this Act, the Secretary of Defense and the Secretary of Homeland Security shall jointly submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the implementation of the requirements of this section. The report shall set forth the following:

(1) The memorandum of understanding required pursuant to subsection (b).

(2) A description of the number of individuals who applied for, and the number of individuals who have been issued, a Transportation Worker Identification Credential pursuant to the memorandum of understanding as of the date of the report.

(3) If any applications for a Transportation Worker Identification Credential covered by paragraph (2) were not reviewed and adjudicated within the deadline specified in subsection (a), a description of the reasons for the failure and of the actions being taken to assure that future applications for a Credential are reviewed and adjudicated within the deadline.

SEC. 590. Issuance of Recognition of Service ID Cards to certain members separating from the Armed Forces.

(a) Issuance required.—

(1) IN GENERAL.—The Secretary of Defense shall issue to each covered individual a card that identifies such individual as a veteran and includes a photo of the individual and the name of the individual.

(2) DESIGNATION.—A card issued under paragraph (1) may be known as a “Recognition of Service ID Card”.

(b) Covered individuals.—For purposes of this section, a “covered individual” is an individual who is undergoing discharge or release from the Armed Forces (other than as the result of a punitive discharge adjudicated as part of a sentence at a court-martial after the effective date of this section) on or after the effective date provided for in subsection (e).

(c) Collection of amounts.—

(1) IN GENERAL.—The Secretary may collect from civilian employees of the Department of Defense and contractor personnel of the Department who are issued a replacement card for a lost or stolen Department of Defense identification card such amount as the Secretary considers appropriate to defray the cost of the issuance of cards under subsection (a), and to implement the issuance of cards without the assignment of additional personnel for that purpose.

(2) TREATMENT OF AMOUNTS.—The Secretary shall deposit amounts collected under this subsection to the account or accounts providing funds for the issuance of cards under subsection (a).

(d) Recognition of Recognition of Service ID Cards for reduced prices of services, consumer products, and pharmaceuticals.—The Secretary of Defense may work with national retail chains that offer reduced prices on services, consumer products, and pharmaceuticals to veterans to ensure that such retail chains recognize cards issued under subsection (a) for purposes of offering reduced prices on services, consumer products, and pharmaceuticals.

(e) Effective date.—This section shall take effect on the date that is one year after the date of the enactment of this Act.

SEC. 591. Revised policy on network services for military services.

(a) Establishment of policy.—It is the policy of the United States that the Secretary of Defense shall minimize and reduce, to the maximum extent practicable, the number of uniformed military personnel providing network services to military installations within the United States.

(b) Prohibition.—Except as provided in subsection (c), each military service shall be prohibited from using uniform military personnel to provide network services to military installations within the United States 2 years after the date of the enactment of this Act.

(c) Exception.—Nothing in subsection (b) shall be construed as prohibiting the use of military personnel providing network services in support of combatant commands, special operations, the intelligence community, or the United States Cyber Command, including training for these organizations.

(d) Waiver.—The Secretary of Defense or the Chief Information Officer may waive the prohibition in subsection (b) if necessary for the safety of human life, protection of property, or providing network services in support of a combat operation.

(e) Report.—

(1) IN GENERAL.—Not later than March 30, 2016, the Chief Information Officer shall submit to the congressional defense committees a plan for the transition of the current performance of network services from military personnel to other means.

(2) ELEMENTS.—The report required under paragraph (1) shall include the following elements:

(A) An assessment of the costs of using military personnel versus other means to provide network services for the military services.

(B) An estimate of the savings of transitioning the current performance of network services from military personnel to other means.

(C) An estimate of the number of military personnel that could be reallocated for military-unique missions.

(f) Validation of cost and savings estimates.—The report required under subsection (e) shall be validated by the Director of Cost Assessment and Program Evaluation.

SEC. 592. Increase in number of days of active duty required to be performed by reserve component members for duty to be considered Federal service for purposes of unemployment compensation for ex-servicemembers.

(a) Increase of number of days.—Section 8521(a)(1) of title 5, United States Code, is amended by striking “90 days” in the matter preceding subparagraph (A) and inserting “180 days”.

(b) Effective date.—The amendment made by subsection (a) shall take effect on the date of the eanctment of this Act, and shall apply with respect to periods of Federal service commencing on or after that date.

TITLE VICompensation and Other Personnel Benefits

subtitle APay and Allowances

SEC. 601. Fiscal year 2016 increase in military basic pay.

(a) Waiver of section 1009 adjustment.—The adjustment to become effective during fiscal year 2016 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, 2016, the rates of monthly basic pay for members of the uniformed services are increased by 1.3 percent for enlisted member pay grades, warrant officer pay grades, and commissioned officer pay grades below pay grade O–7.

(c) Application of Executive Schedule Level II ceiling on payable rates for general and flag officers.—Section 203(a)(2) of title 37, United States Code, shall be applied for rates of basic pay payable for commissioned officers in pay grades O–7 through O–10 during calendar year 2016 by using the rate of pay for level II of the Executive Schedule in effect during 2014.

SEC. 602. Modification of percentage of national average monthly cost of housing usable in computation of basic allowance for housing inside the United States.

(a) Modification of percentage usable.—Section 403(b)(3)(B) of title 37, United States Code, is amended by striking “one percent” and inserting “five percent”.

(b) Effective date.—The amendment made by subsection (a) shall take effect on January 1, 2016, and shall apply with respect to computations of monthly amounts of basic allowance for housing inside the United States that occur for years beginning on or after that date.

SEC. 603. Extension of authority to provide temporary increase in rates of basic allowance for housing.

Section 403(b)(7)(E) of title 37, United States Code, is amended by striking “December 31, 2015” and inserting “December 31, 2016”.

SEC. 604. Basic allowance for housing for married members of the uniformed services assigned for duty within normal commuting distance and for other members living together.

(a) BAH for married members assigned for duty within normal commuting distance.—Section 403 of title 37, United States Code, is amended by adding at the end the following new subsection:

“(p) Single allowance for married members assigned for duty within normal commuting distance.—In the event two members of the uniformed services entitled to receive a basic allowance for housing under this section are married to one another and are each assigned for duty within normal commuting distance, basic allowance for housing under this section shall be paid only to the member having the higher pay grade, or to the member having rank in grade if both members have the same pay grade, and at the rate payable for a member of such pay grade with dependents (regardless of whether or not such members have dependents).”.

(b) BAH for other members living together.—Such section is further amended by adding at the end the following new subsection:

“(q) Reduced allowance for members living together.— (1) In the event two or more members of the uniformed services who are entitled to receive a basic allowance for housing under this section live together, basic allowance for housing under this section shall be paid to each such member at the rate as follows:

“(A) In the case of such a member in a pay grade below pay grade E–4, the rate otherwise payable to such member under this section.

“(B) In the case of such a member in a pay grade above pay grade E–3, the rate equal to the greater of—

“(i) 75 percent of the rate otherwise payable to such member under this section; or

“(ii) the rate payable for a member in pay grade E–4 without dependents.

“(2) This subsection does not apply to members covered by subsection (p).”.

(c) Effective date.—

(1) IN GENERAL.—The amendments made by this section shall take effect on October 1, 2015, and shall, except as provided in paragraph (2), apply with respect to allowances for basic housing payable for months beginning on or after that date.

(2) PRESERVATION OF CURRENT BAH FOR MEMBERS WITH UNINTERRUPTED ELIGIBILITY FOR BAH.—Notwithstanding any amendment made by this section, the monthly amount of basic allowance for housing payable to a member of the uniformed services under section 403 of title 37, United States Code, as of September 30, 2015, shall not be reduced by reason of such amendment so long as the member retains uninterrupted eligibility for such basic allowance for housing within an area of the United States or within an overseas location (as applicable).

SEC. 605. Repeal of inapplicability of modification of basic allowance for housing to benefits under the laws administered by the Secretary of Veterans Affairs.

(a) Repeal.—Subsection (b) of section 604 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291) is repealed.

(b) Effective date.—The amendment made by subsection (a) shall take effect on January 1, 2016.

SEC. 606. Limitation on eligibility for supplemental subsistence allowances to members serving outside the United States and associated territory.

Section 402a(b) of title 37, United States Code, is amended—

(1) in paragraph (1), by inserting “and paragraph (4)” after “subsection (d)”; and

(2) by adding at the end the following new paragraph:

“(4) After September 30, 2016, a member is eligible for a supplemental subsistence allowance under this section only if the member is serving outside the United States, the Commonwealth of Puerto Rico, the United States Virgin Islands, or Guam.”.

SEC. 607. Availability of information.

In administering the supplemental nutrition assistance program established under the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.), the Secretary of Agriculture shall ensure that any safeguards that prevent the use or disclosure of information obtained from applicant households shall not prevent the use of that information by, or the disclosure of that information to, the Secretary of Defense for purposes of determining the number of applicant households that contain one or more members of a regular component or reserve component of the Armed Forces.

subtitle BBonuses and Special and Incentive Pays

SEC. 611. One-year extension of certain bonus and special pay authorities for reserve forces.

The following sections of title 37, United States Code, are amended by striking “December 31, 2015” and inserting “December 31, 2016”:

(1) Section 308b(g), relating to Selected Reserve reenlistment bonus.

(2) Section 308c(i), relating to Selected Reserve affiliation or enlistment bonus.

(3) Section 308d(c), relating to special pay for enlisted members assigned to certain high-priority units.

(4) Section 308g(f)(2), relating to Ready Reserve enlistment bonus for persons without prior service.

(5) Section 308h(e), relating to Ready Reserve enlistment and reenlistment bonus for persons with prior service.

(6) Section 308i(f), relating to Selected Reserve enlistment and reenlistment bonus for persons with prior service.

(7) Section 478a(e), relating to reimbursement of travel expenses for inactive-duty training outside of normal commuting distance.

(8) Section 910(g), relating to income replacement payments for reserve component members experiencing extended and frequent mobilization for active duty service.

SEC. 612. One-year extension of certain bonus and special pay authorities for health care professionals.

(a) Title 10 authorities.—The following sections of title 10, United States Code, are amended by striking “December 31, 2015” and inserting “December 31, 2016”:

(1) Section 2130a(a)(1), relating to nurse officer candidate accession program.

(2) Section 16302(d), relating to repayment of education loans for certain health professionals who serve in the Selected Reserve.

(b) Title 37 authorities.—The following sections of title 37, United States Code, are amended by striking “December 31, 2015” and inserting “December 31, 2016”:

(1) Section 302c-1(f), relating to accession and retention bonuses for psychologists.

(2) Section 302d(a)(1), relating to accession bonus for registered nurses.

(3) Section 302e(a)(1), relating to incentive special pay for nurse anesthetists.

(4) Section 302g(e), relating to special pay for Selected Reserve health professionals in critically short wartime specialties.

(5) Section 302h(a)(1), relating to accession bonus for dental officers.

(6) Section 302j(a), relating to accession bonus for pharmacy officers.

(7) Section 302k(f), relating to accession bonus for medical officers in critically short wartime specialties.

(8) Section 302l(g), relating to accession bonus for dental specialist officers in critically short wartime specialties.

SEC. 613. One-year extension of special pay and bonus authorities for nuclear officers.

The following sections of title 37, United States Code, are amended by striking “December 31, 2015” and inserting “December 31, 2016”:

(1) Section 312(f), relating to special pay for nuclear-qualified officers extending period of active service.

(2) Section 312b(c), relating to nuclear career accession bonus.

(3) Section 312c(d), relating to nuclear career annual incentive bonus.

SEC. 614. One-year extension of authorities relating to title 37 consolidated special pay, incentive pay, and bonus authorities.

The following sections of title 37, United States Code, are amended by striking “December 31, 2015” and inserting “December 31, 2016”:

(1) Section 331(h), relating to general bonus authority for enlisted members.

(2) Section 332(g), relating to general bonus authority for officers.

(3) Section 333(i), relating to special bonus and incentive pay authorities for nuclear officers.

(4) Section 334(i), relating to special aviation incentive pay and bonus authorities for officers.

(5) Section 335(k), relating to special bonus and incentive pay authorities for officers in health professions.

(6) Section 336(g), relating to contracting bonus for cadets and midshipmen enrolled in the Senior Reserve Officers' Training Corps.

(7) Section 351(h), relating to hazardous duty pay.

(8) Section 352(g), relating to assignment pay or special duty pay.

(9) Section 353(i), relating to skill incentive pay or proficiency bonus.

(10) Section 355(h), relating to retention incentives for members qualified in critical military skills or assigned to high priority units.

SEC. 615. One-year extension of authorities relating to payment of other title 37 bonuses and special pays.

The following sections of title 37, United States Code, are amended by striking “December 31, 2015” and inserting “December 31, 2016”:

(1) Section 301b(a), relating to aviation officer retention bonus.

(2) Section 307a(g), relating to assignment incentive pay.

(3) Section 308(g), relating to reenlistment bonus for active members.

(4) Section 309(e), relating to enlistment bonus.

(5) Section 316a(g), relating to incentive pay for members of precommissioning programs pursuing foreign language proficiency.

(6) Section 324(g), relating to accession bonus for new officers in critical skills.

(7) Section 326(g), relating to incentive bonus for conversion to military occupational specialty to ease personnel shortage.

(8) Section 327(h), relating to incentive bonus for transfer between Armed Forces.

(9) Section 330(f), relating to accession bonus for officer candidates.

SEC. 616. Increase in maximum annual amount of nuclear officer bonus pay.

(a) Increase.—Section 333(d)(1)(A) of title 37, United States Code, is amended by striking “$35,000” and inserting “$50,000”.

(b) Effective date.—The amendment made by subsection (a) shall take effect on January 1, 2016, and shall apply with respect to agreements entered into under section 333 of title 37, United States Code, on or after that date.

SEC. 617. Repeal of obsolete authority to pay bonus to encourage Army personnel to refer persons for enlistment in the Army.

(a) Repeal.—Section 3252 of title 10, United States Code, is repealed.

(b) Clerical amendment.—The table of sections at the beginning of chapter 333 of such title is amended by striking the item relating to section 3252.

subtitle CTravel and Transportation Allowances

SEC. 621. Repeal of obsolete special travel and transportation allowance for survivors of deceased members from the Vietnam conflict.

Section 481f of title 37, United States Code, is amended by striking subsection (d).

subtitle DDisability Pay, Retired Pay, and Survivor Benefits

PART IRetired Pay Reform

SEC. 631. Thrift Savings Plan participation for members of the uniformed services.

(a) Modernized retirement system.—Section 8440e of title 5, United States Code, is amended by striking subsection (e) and inserting the following:

“(e) Modernized retirement system.—

“(1) TSP CONTRIBUTIONS.—The Secretary concerned shall make contributions to the Thrift Savings Fund, in accordance with section 8432, except to the extent the requirements under such section are modified by this subsection, for the benefit of a member who—

“(A) first enters a uniformed service on or after January 1, 2018; or

“(B) makes an election described in section 1409(b)(4)(B) or 12739(f) of title 10.

“(2) MAXIMUM AMOUNT.—The amount contributed under this subsection by the Secretary concerned for the benefit of a member described in paragraph (1) for any pay period shall be not more than 5 percent of such member’s basic pay for such pay period.

“(3) TIMING AND DURATION OF CONTRIBUTIONS.—

“(A) AUTOMATIC CONTRIBUTIONS.—The Secretary concerned shall make a contribution described in section 8432(c)(1) under this subsection for the benefit of a member described in paragraph (1) for any pay period during the period that—

“(i) begins on or after the day that is 60 days after the date the member first enters a uniformed service; and

“(ii) ends on the day such member completes 20 years of service as a member of the uniformed services.

“(B) MATCHING CONTRIBUTIONS.—The Secretary concerned shall make a contribution described in section 8432(c)(2) under this subsection for the benefit of a member described in paragraph (1) for any pay period during the period that—

“(i) begins on or after the day that is 2 years and 1 day after the date the member first enters a uniformed service; and

“(ii) ends on the day such member completes 20 years of service as a member of the uniformed services.

“(4) PROTECTIONS FOR SPOUSES AND FORMER SPOUSES.—Section 8435 shall apply to a member described in paragraph (1) in the same manner as such section is applied to an employee or Member under such section.

“(5) DEFINITION OF SECRETARY CONCERNED.—In this subsection the term ‘Secretary concerned’ has the meaning given the term in section 101 of title 37.”.

(b) Automatic enrollment in TSP.—Section 8432(b)(2) of title 5, United States Code, is amended—

(1) in subparagraph (D)(ii)—

(A) by striking “(ii) Members” and inserting “(ii)(I) Except as provided in subclause (II), members”; and

(B) by adding at the end the following:

“(II) A member described in section 8440e(e)(1) shall be an eligible individual for purposes of this paragraph.”; and

(2) by adding at the end the following:

“(F) Notwithstanding any other provision of this paragraph, a member described in section 8440e(e)(1) who has declined automatic enrollment into the Thrift Savings Plan shall be automatically reenrolled, on January 1 of the year succeeding the year for which the determination is made, to make contributions under subsection (a) at the default percentage of basic pay.

“(G) In this paragraph the term ‘member’ has the meaning given the term in section 211 of title 37.”.

(c) Vesting.—Section 8432(g) of title 5, United States Code, is amended—

(1) in paragraph (2)—

(A) in subparagraph (A)(iii), by striking “or” after the semicolon;

(B) in subparagraph (B), by striking the period and inserting “; or”; and

(C) by adding at the end the following:

“(C) 2 years of service in the case of a member of the uniformed services.”; and

(2) by adding at the end the following:

“(6) For purposes of this subsection, a member of the uniformed services shall be considered to have separated from Government employment if the member is discharged or released from service in the uniformed services.”.

(d) Thrift Savings Plan default investment fund.—Section 8438(c)(2) of title 5, United States Code, as amended by section 2(a) of the Smarter Savings Act (Public Law 113–255), is amended—

(1) in subparagraph (A), by striking “(A) Consistent with the requirements of subparagraph (B), if an” and inserting “If an”; and

(2) by striking subparagraph (B).

(e) Conforming amendments.—

(1) Section 211 of title 37, United States Code, is amended—

(A) by striking subsection (d); and

(B) by redesignating subsection (e) as subsection (d).

(2) Section 8432b(c)(2)(B) of title 5, United States Code, is amended by striking “(including pursuant to an agreement under section 211(d) of title 37)”.

(f) Actions to assure implementation by effective date.—

(1) IN GENERAL.—The Secretaries concerned, the Director of the Office of Personnel Management, and the Federal Retirement Thrift Investment Board shall each and jointly take appropriate actions to ensure the full and effective commencement of the implementation of the amendments made by this section as of January 1, 2018.

(2) SECRETARY CONCERNED DEFINED.—In this subsection, the term “Secretary concerned” has the meaning given that term in section 101 of title 37, United States Code.

(g) Effective dates.—

(1) MODERNIZED RETIREMENT SYSTEM.—The amendment made by subsection (a) shall take effect on the date of the enactment of this Act.

(2) OTHER AMENDMENTS.—The amendments made by subsections (b) through (e) shall take effect on January 1, 2018.

SEC. 632. Modernized retirement system for members of the uniformed services.

(a) Modernized retirement system.—

(1) IN GENERAL.—Section 1409(b) of title 10, United States Code, is amended by adding at the end the following new paragraph:

“(4) MODERNIZED RETIREMENT SYSTEM.—

“(A) REDUCED MULTIPLIERS FOR MEMBERS RECEIVING TSP MATCHING CONTRIBUTIONS.—Notwithstanding paragraphs (1), (2), and (3), in the case of a member who first becomes a member of the uniformed services after January 1, 2018, or a member who makes the election described in subparagraph (B)—

“(i) subparagraph (A) of paragraph (1) shall be applied by substituting ‘2’ for ‘2½”;

“(ii) clause (i) of paragraph (3)(B) shall be applied by substituting ‘60 percent’ for ‘75 percent’; and

“(iii) subclause (I) of paragraph (3)(B)(ii) shall be applied by substituting ‘2’ for ‘2½’.

“(B) ELECTION TO PARTICIPATE IN MODERNIZED RETIREMENT SYSTEM.—

“(i) ELECTION.—A member of a uniformed service serving on January 1, 2018, may elect to accept the reduced multipliers described in subparagraph (A) for purposes of calculating the retired pay of the member.

“(ii) EFFECT OF ELECTION.—A member making the election described in clause (i) shall—

“(I) have the retired pay of the member calculated using the reduced multipliers described in subparagraph (A);

“(II) receive Thrift Savings Plan (TSP) matching contributions pursuant to section 8440e(e) of title 5 for periods of service between the completion of 2 years of service and the completion of 20 years of service in accordance with paragraph (3)(B) of such section; and

“(III) be eligible for lump sum payments under section 1415 of this title.

“(iii) ELECTION PERIOD.—

“(I) IN GENERAL.—Except as provided in subclauses (II) and (III), a member of a uniformed service may make the election described in clause (i) during the period that begins on July 1, 2018, and ends on December 31, 2018.

“(II) HARDSHIP EXTENSION.—The Secretary concerned may extend the election period described in subclause (I) for a member who experiences a hardship as determined by the Secretary concerned.

“(III) MEMBERS EXPERIENCING BREAK IN SERVICE.—A member of a uniformed service returning to service after a break in service in which falls the election period specified in subclause (I) shall make the election described in clause (i) on the date of the reentry into service of the member.

“(iv) NO RETROACTIVE MATCHING CONTRIBUTIONS PURSUANT TO ELECTION.—Thrift Savings Plan matching contributions may not be made for a member under this subparagraph for any pay period beginning before the date of the member's election under clause (i).

“(C) REGULATIONS.—Each Secretary concerned shall prescribe regulations to implement this paragraph.”.

(2) NON-REGULAR SERVICE.—Section 12739 of such title is amended by adding at the end the following new subsection:

“(f) Modernized retirement system.—

“(1) REDUCED MULTIPLIERS FOR PERSONS RECEIVING TSP MATCHING CONTRIBUTIONS.—In the case of a person who first performs reserve component service after January 1, 2018, after not having performed regular or reserve component service on or before that date, or a person who makes the election described in paragraph (2)—

“(A) paragraph (2) of subsection (a) shall be applied by substituting ‘2 percent’ for ‘2½ percent’;

“(B) subparagraph (A) of subsection (c)(2) shall be applied by substituting ‘60 percent’ for ‘75 percent’; and

“(C) clause (ii) of subsection (c)(2)(B) shall be applied by substituting ‘2 percent’ for ‘2½ percent’.

“(2) ELECTION TO PARTICIPATE IN MODERNIZED RETIREMENT SYSTEM.—

“(A) ELECTION.—A person performing reserve component service on January 1, 2018, may elect to accept the reduced multipliers described in paragraph (1) for purposes of calculating the retired pay of the person.

“(B) EFFECT OF ELECTION.—A person making the election described in subparagraph (A) shall—

“(i) have the retired pay of the person calculated using the reduced multipliers described in paragraph (1):

“(ii) receive Thrift Savings Plan (TSP) matching contributions pursuant to section 8440e(e) of title 5 for periods of service between the completion of 2 years of service and the completion of 20 years of service in accordance with paragraph (3)(B) of such section; and

“(iii) be eligible for lump sum payments under section 1415 of this title.

“(C) ELECTION PERIOD.—

“(i) IN GENERAL.—Except as provided in clauses (ii) and (iii), a person performing reserve component service may make the election described in subparagraph (A) during the period that begins on July 1, 2018, and ends on December 31, 2018.

“(ii) HARDSHIP EXTENSION.—The Secretary concerned may extend the election period described in clause (i) for a person who experiences a hardship as determined by the Secretary concerned.

“(iii) PERSONS EXPERIENCING BREAK IN SERVICE.—A person returning to reserve component service after a break in reserve component service in which falls the election period specified in clause (i) shall make the election described in subparagraph (A) on the date of the reentry into service of the person.

“(iv) NO RETROACTIVE MATCHING CONTRIBUTIONS PURSUANT TO ELECTION.—Thrift Savings Plan matching contributions may not be made for a person under this paragraph for any pay period beginning before the date of the person's election under subparagraph (A).

“(3) REGULATIONS.—Each Secretary concerned shall prescribe regulations to implement this subsection.”.

(b) Coordinating amendments to other retirement authorities.—

(1) DISABILITY, WARRANT OFFICERS, AND DOPMA RETIRED PAY.—

(A) COMPUTATION OF RETIRED PAY.—The table in section 1401(a) of title 10, United States Code, is amended—

(i) in paragraph (1) in column 2 of formula number 1, by striking “2½% of years of service credited to him under section 1208” and inserting “the retired pay multiplier determined for the member under section 1409 of this title”;

(ii) in paragraph (1) in column 2 of formula number 2, by striking “2½% of years of service credited to him under section 1208” and inserting “the retired pay multiplier determined for the member under section 1409 of this title”; and

(iii) in column 2 of each of formula number 4 and formula number 5, by striking “section 1409(a)” and inserting “section 1409”.

(B) CLARIFICATION REGARDING MODERNIZED RETIREMENT SYSTEM.—Section 1401a(b) of such title is amended—

(i) by redesignating paragraph (5) as paragraph (6); and

(ii) by inserting after paragraph (4) the following new paragraph (5):

“(5) ADJUSTMENTS FOR PARTICIPANTS IN MODERNIZED RETIREMENT SYSTEM.—Notwithstanding paragraph (3), if a member makes the election described in section 1409(b)(4) of this title, the Secretary shall increase the retired pay of such member in accordance with paragraph (2).”.

(2) NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION COMMISSIONED OFFICER CORPS ACT OF 2002.—Paragraph (2) of section 245(a) of the National Oceanic and Atmospheric Administration Commissioned Officer Corps Act of 2002 (33 U.S.C. 3045(a)) is amended to read as follows:

“(2) the retired pay multiplier determined under section 1409 of such title for the number of years of service that may be credited to the officer under section 1405 of such title as if the officer's service were service as a member of the Armed Forces.”.

(3) TITLE 37, UNITED STATES CODE.—

(A) 15-YEAR CAREER STATUS BONUS REPAYMENT.—Subsection (f) of section 354 of title 37, United States Code, is amended—

(i) by striking “If a” and inserting “(1) If a”; and

(ii) by adding at the end the following new paragraph:

“(2) If a person who is paid a bonus under this section subsequently makes an election described in section 1409(b)(4) or 12739(f) of title 10, the person shall repay any bonus payments received under this section in the same manner as repayments are made under section 373 of this title.”.

(B) SUNSET AND CONTINUATION OF PAYMENTS.—Such section 354 is further amended by adding at the end the following new subsection:

“(g) Sunset and continuation of payments.— (1) A Secretary concerned may not pay a new bonus under this section after December 31, 2017.

“(2) Subject to subsection (f)(2), the Secretary concerned may continue to make payments after December 31, 2017, for bonuses that were awarded under this section on or before that date.”.

(4) PUBLIC HEALTH SERVICE ACT.—Paragraph (4) of section 211(a) of the Public Health Service Act (42 U.S.C. 212) is amended—

(A) in the matter preceding subparagraph (A), by striking “at the rate of 2 ½ per centum of the basic pay of the highest grade held by him as such officer” and inserting “calculated by multiplying the retired pay base determined under section 1406 of title 10, United States Code, by the retired pay multiplier determined under section 1409 of such title for the numbers of years of service credited to the officer under this paragraph”; and

(B) in the matter following subparagraph (B)(iii)—

(i) in subparagraph (C), by striking “such pay, and” and inserting “such pay,”; and

(ii) in subparagraph (D), by striking “such basic pay.” and inserting “such basic pay, and (E) in the case of any officer who makes the election described in section 1409(b)(4) of title 10, United States Code, subparagraph (C) shall be applied by substituting ‘40 per centum’ for ‘50 per centum’ each place the term appears and subparagraph (D) shall be applied by substituting ‘60 per centum’ for ‘75 per centum’.”.

(c) Effective dates.—

(1) MODERNIZED RETIREMENT SYSTEMS.—The amendments made by subsection (a) shall take effect on the date of the enactment of this Act.

(2) COORDINATING AMENDMENTS.—

(A) IN GENERAL.—Except as provided in subparagraph (B), the amendments made by subsection (b) shall take effect on January 1, 2018.

(B) TITLE 37 AMENDMENTS.—The amendments made by paragraph (3) of subsection (b) shall take effect on the date of the enactment of this Act.

SEC. 633. Lump sum payments of certain retired pay.

(a) Lump sum payments of certain retired pay.—

(1) IN GENERAL.—Chapter 71 of title 10, United States Code, is amended by adding at the end the following new section:

§ 1415. Lump sum payment of certain retired pay

“(a) Definitions.—In this section:

“(1) COVERED RETIRED PAY.—The term ‘covered retired pay’ means retired pay under—

“(A) this title;

“(B) title 14;

“(C) the National Oceanic and Atmospheric Administration Commissioned Officer Corps Act of 2002 (33 U.S.C. 3001 et seq.); or

“(D) the Public Health Service Act (42 U.S.C. 201 et seq.).

“(2) ELIGIBLE PERSON.—The term ‘eligible person’ means a person who—

“(A) (i) first becomes a member of a uniformed service on or after January 1, 2018; or

“(ii) makes the election described in section 1409(b)(4) or 12739(f) of this title; and

“(B) does not retire or separate under chapter 61 of this title.

“(3) RETIREMENT AGE.—The term ‘retirement age’ has the meaning given the term in section 216(l) of the Social Security Act (42 U.S.C. 416(l)).

“(b) Election of lump sum payment of certain retired pay.—

“(1) IN GENERAL.—An eligible person entitled to covered retired pay (including an eligible person who is entitled to such pay by reason of an election described in subsection (a)(2)(A)(ii)) may elect—

“(A) to receive a lump sum payment of the discounted present value at the time of the election of the amount of the covered retired pay that the eligible person is otherwise entitled to receive for the period beginning on the date of retirement and ending on the date the eligible person attains the eligible person’s retirement age; or

“(B) to receive—

“(i) a lump sum payment of an amount equal to 50 percent of the amount otherwise receivable by the eligible person pursuant to subparagraph (A); and

“(ii) a monthly amount during the period described in subparagraph (A) equal to 50 percent of the amount of monthly covered retired pay the eligible person is otherwise entitled to receive during such period.

“(2) DISCOUNTED PRESENT VALUE.—The Secretary of Defense shall compute the discounted present value of amounts of covered retired pay that an eligible person is otherwise entitled to receive for a period for purposes of paragraph (1)(A) by—

“(A) estimating the aggregate amount of retired pay the person would receive for the period, taking into account cost-of-living adjustments under section 1401a of this title projected by the Secretary at the time the person separates from service and would otherwise begin receiving covered retired pay; and

“(B) reducing the aggregate amount estimated pursuant to subparagraph (A) by an appropriate percentage determined by the Secretary—

“(i) using average personal discount rates (as defined and calculated by the Secretary taking into consideration applicable and reputable studies of personal discount rates for military personnel and past actuarial experience in the calculation of personal discount rates under this paragraph); and

“(ii) in accordance with generally accepted actuarial principles and practices.

“(3) TIMING OF ELECTION.—An eligible person shall make the election under this subsection not later than 90 days before the date of the retirement of the eligible person from the uniformed services.

“(4) SINGLE PAYMENT OR COMBINATION OF PAYMENTS.—An eligible person may elect to receive a lump sum payment under this subsection in a single payment or in a combination of payments.

“(5) COMMENCEMENT OF PAYMENT.—An eligible person who makes an election under this subsection shall receive the lump sum payment, or the first installment of a combination of payments of the lump sum payment if elected under paragraph (4), as follows:

“(A) Not later than 60 days after the date of the retirement of the eligible person from the uniformed services.

“(B) In the case of an eligible person who is a member of a reserve component, not later than 60 days after the later of—

“(i) the date on which the eligible person attains 60 years of age; or

“(ii) the date on which the eligible person first becomes entitled to covered retired pay.

“(6) NO SUBSEQUENT ADJUSTMENT.—An eligible person who accepts payment of a lump sum under this subsection may not seek the review of or otherwise challenge the amount of the lump sum in light of any variation in cost-of-living adjustments under section 1401a of this title, actuarial assumptions, or other factors used by the Secretary in calculating the amount of the lump sum that occur after the Secretary pays the lump sum.

“(c) Resumption of monthly annuity.—

“(1) GENERAL RULE.—Subject to paragraph (2), an eligible person who makes an election described in subsection (b) shall be entitled to receive the eligible person’s monthly covered retired pay calculated in accordance with paragraph (2) after the eligible person attains the eligible person’s retirement age.

“(2) RESTORATION OF FULL RETIREMENT AMOUNT AT RETIREMENT AGE.—The retired pay of an eligible person who makes an election described in subsection (a) shall be recomputed, effective on the first day of the first month beginning after the person attains the eligible person’s retirement age, so as to be an amount equal to the amount of covered retired pay to which the eligible person would otherwise be entitled on that date if the annual increases, in the retired pay of the eligible person made to reflect changes in the Consumer Price Index, had been made in accordance with section 1401a of this title.

“(d) Payment of retired pay to persons not making election.—An eligible person who does not make the election described in subsection (b) shall be paid the retired pay to which the eligible person is otherwise entitled under the applicable provisions of law referred to in subsection (a)(1).

“(e) Regulations.—The Secretary of Defense concerned shall prescribe regulations to carry out the provisions of this section.”.

(2) CLERICAL AMENDMENT.—The table of sections at the beginning of chapter 71 of such title is amended by adding at the end the following new item:


“1415. Lump sum payment of certain retired pay.”.

(3) PAYMENTS FROM DEPARTMENT OF DEFENSE MILITARY RETIREMENT FUND.—Section 1463(a)(1) of title 10, United States Code, is amended by striking “or 1414” and inserting “, 1414, or 1415”.

(b) Offset of veterans pension and compensation by amount of lump sum payments.—Section 5304 of title 38, United States Code, is amended by adding at the end the following new subsection:

“(d) (1) Other than amounts payable under section 1413a or 1414 of title 10, the amount of pension and compensation benefits payable to a person under this title shall be reduced by the amount of any lump sum payment made to such person under section 1415 of title 10.

“(2) The Secretary shall collect any reduction under paragraph (1) from amounts otherwise payable to the person under this title, including pension and compensation payable under this title, before any pension and compensation payments under this title may be paid to the person.”.

SEC. 634. Continuation pay after 12 years of service for members of the uniformed services participating in the modernized retirement systems.

(a) Continuation pay.—

(1) IN GENERAL.—Subchapter II of chapter 5 of title 37, United States Code, is amended by adding at the end the following new sections:

§ 356. Continuation pay after 12 years of service: members participating in modernized retirement systems

“(a) Continuation pay.—

“(1) IN GENERAL.—The Secretary concerned shall make a payment of continuation pay to each member of the uniformed services under the jurisdiction of the Secretary who—

“(A) (i) first becomes a member of a uniformed service after January 1, 2018; or

“(ii) subject to paragraph (2), makes the election described in section 1409(b)(4) or 12739(f) of title 10; and

“(B) after the date on which the member satisfies the applicable requirement in subparagraph (A)—

“(i) completes 12 years of service; and

“(ii) enters into an agreement with the Secretary to serve for an additional 4 years of obligated service.

“(2) ELIGIBILITY DEPENDENT ON ELECTION BEFORE COMPLETION OF 12 YEARS OF SERVICE.—A member who makes an election described in paragraph (1)(A)(ii) after the member completes 12 years of service is not eligible for continuation pay under this section.

“(b) Amount.—The amount of continuation pay payable to a member under this section shall be the amount that is equal to—

“(1) in the case of a member of a regular component—

“(A) the monthly basic pay of the member at 12 years of service multiplied by 2.5; plus

“(B) at the discretion of the Secretary concerned, the monthly basic pay of the member at 12 years of service multiplied by such number of months (not to exceed 13 months) as the Secretary concerned shall specify in the agreement of the member under subsection (a); and

“(2) in the case of a member of a reserve component—

“(A) the amount of monthly basic pay to which the member would be entitled at 12 years of service if the member were a member of a regular component multiplied by 0.5; plus

“(B) at the discretion of the Secretary concerned, the amount of monthly basic pay described in subparagraph (A) multiplied by such number of months (not to exceed 6 months) as the Secretary concerned shall specify in the agreement of the member under subsection (a).

“(c) Timing of payment.—The Secretary concerned shall pay continuation pay under this section to a member when the member completes 12 years of service.

“(d) Lump sum or installments.—A member may elect to receive continuation pay under this section in a lump sum or in a series of not more than 4 payments.

“(e) Relationship to other pay and allowances.—Continuation pay under this section is in addition to any other pay or allowance to which the member is entitled.

“(f) Repayment.—A member who receives continuation pay under this section and fails to complete the obligated service required under subsection (a)(2)(B)(ii) shall be subject to the repayment provisions of section 373 of this title.

“(g) Regulations.—Each Secretary concerned shall prescribe regulations to carry out this section.”.

(2) CLERICAL AMENDMENT.—The table of sections at the beginning of chapter 5 of such title is amended by adding at the end the following new item:


“356. Continuation pay after 12 years of service: members participating in modernized retirement systems.”.

(b) Effective date.—The amendments made by subsection (a) shall take effect on January 1, 2018, and shall apply with respect to agreements entered into under section 356 of title 37, United States Code, after that date.

SEC. 635. Authority for retirement flexibility for members of the uniformed services.

(a) Authority for retirement flexibility.—Chapter 63 of title 10, United States Code, is amended by adding at the end the following new item:

§ 1276. Retirement flexibility: authority to modify years of service required for retirement for particular occupational specialities or other groupings

“(a) Authority.—Notwithstanding any other provision of law, the Secretary concerned may modify the years of service required for an eligible member to retire, to greater than or fewer than 20 years of service, in order to facilitate management actions that shape the personnel profile or correct manpower shortages within an occupational specialty or other grouping of members of the uniformed services.

“(b) Eligible member defined.—In this section, the term ‘eligible member’ means a member of the uniformed services working in an occupational specialty or other grouping designated by the Secretary concerned as in need of a management action described in subsection (a).

“(c) Notice-and-wait.—

“(1) NOTICE REQUIRED.—The Secretary concerned shall submit to Congress notice of any proposed modification under subsection (a).

“(2) LIMITATION.—The Secretary concerned may not implement a proposed modification under subsection (a) until one year after the day on which the notice of the modification is submitted to Congress under paragraph (1).

“(d) Applicability.—The Secretary concerned may only modify the required years of service under subsection (a) for an eligible member who first becomes a member of a uniformed service on or after the date of the expiration of the one year period described in subsection (c)(2) that is applicable to the occupational specialty or other grouping in which the eligible member works.”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 63 of such title is amended by adding at the end the following new item:


“1276. Retirement flexibility: authority to modify years of service required for retirement for particular occupational specialities or other groupings.”.

SEC. 636. Treatment of Department of Defense Military Retirement Fund as a qualified trust.

(a) In general.—Chapter 74 of title 10, United States Code, is amended by adding at the end the following new section:

§ 1468. Treatment as a qualified trust

“For purposes of the Internal Revenue Code of 1986 (26 U.S.C. 1 et seq.)—

“(1) the Fund shall be treated as a trust described in section 401(a) of such Code (26 U.S.C. 401(a)) which is exempt from taxation under section 501(a) of such Code (26 U.S.C. 501(a)); and

“(2) any contribution to, or distribution from, the Fund shall be treated in the same manner as contributions to or distributions from such a trust.”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 74 of such title is amended by adding at the end the following new item:


“1468. Treatment as a qualified trust.”.

PART IIOther Matters

SEC. 641. Death of former spouse beneficiaries and subsequent remarriages under Survivor Benefit Plan.

(a) In general.—Section 1448(b) of title 10, United States Code, is amended by adding at the end the following new paragraph:

“(7) EFFECT OF DEATH OF FORMER SPOUSE BENEFICIARY.—

“(A) TERMINATION OF PARTICIPATION IN PLAN.—A person who elects to provide an annuity to a former spouse under paragraph (2) or (3) and whose former spouse subsequently dies is no longer a participant in the Plan, effective on the date of death of the former spouse.

“(B) AUTHORITY FOR ELECTION OF NEW SPOUSE BENEFICIARY.—If a person’s participation in the Plan is discontinued by reason of the death of a former spouse beneficiary, the person may elect to resume participation in the Plan and to elect a new spouse beneficiary as follows:

“(i) MARRIED ON THE DATE OF DEATH OF FORMER SPOUSE.—A person who is married at the time of the death of the former spouse beneficiary may elect to provide coverage to that person’s spouse. Such an election must be received by the Secretary concerned within one year after the date of death of the former spouse beneficiary.

“(ii) MARRIAGE AFTER DEATH OF FORMER SPOUSE BENEFICIARY.—A person who is not married at the time of the death of the former spouse beneficiary and who later marries may elect to provide spouse coverage. Such an election must be received by the Secretary concerned within one year after the date on which that person marries.

“(C) EFFECTIVE DATE OF ELECTION.—The effective date of election under this paragraph shall be as follows:

“(i) An election under subparagraph (B)(i) is effective as of the first day of the first calendar month following the death of the former spouse beneficiary.

“(ii) An election under subparagraph (B)(ii) is effective as of the first day of the first calendar month following the month in which the election is received by the Secretary concerned.

“(D) LEVEL OF COVERAGE.—A person making an election under subparagraph (B) may not reduce the base amount previously elected.

“(E) PROCEDURES.—An election under this paragraph shall be in writing, signed by the participant, and made in such form and manner as the Secretary concerned may prescribe.

“(F) IRREVOCABILITY.—An election under this paragraph is irrevocable.”.

(b) Effective date.—Paragraph (7) of section 1448(b) of title 10, United States Code, as added by subsection (a), shall apply with respect to any person whose former spouse beneficiary dies on or after the date of the enactment of this Act.

(c) Applicability to former spouse deaths before enactment.—

(1) IN GENERAL.—A person—

(A) who before the date of the enactment of this Act had a former spouse beneficiary under the Survivor Benefit Plan who died before that date; and

(B) who on the date of the enactment of this Act is married,

may elect to provide spouse coverage for such spouse under the Plan, regardless of whether the person married such spouse before or after the death of the former spouse beneficiary. Any such election may only be made during the one-year period beginning on the date of the enactment of this Act.

(2) EFFECTIVE DATE OF ELECTION IF MARRIED AT LEAST A YEAR AT DEATH FORMER SPOUSE.—If the person providing the annuity was married to the spouse beneficiary for at least one year at the time of the death of the former spouse beneficiary, the effective date of such election shall be the first day of the first month after the death of the former spouse beneficiary.

(3) OTHER EFFECTIVE DATE.—If the person providing the annuity married the spouse beneficiary after (or during the one-year period preceding) the death of the former spouse beneficiary, the effective date of the election shall be the first day of the first month following the first anniversary of the person’s marriage to the spouse beneficiary.

(4) RESPONSIBILITY FOR PREMIUMS.—A person electing to participate in the Plan under this subsection shall be responsible for payment of all premiums due from the effective date of the election.

SEC. 642. Transitional compensation and other benefits for dependents of members of the Armed Forces ineligible to receive retired pay as a result of court-martial sentence.

(a) In general.—Chapter 53 of title 10, United States Code, is amended by inserting after section 1059 the following new section:

§ 1059a. Dependents of members of the armed forces ineligible to receive retired pay as a result of court-martial sentence: transitional compensation and other benefits; commissary and exchange benefits

“(a) Authority To pay compensation.—The Secretary of Defense, with respect to the armed forces (other than the Coast Guard when it is not operating as a service in the Navy), and the Secretary of Homeland Security, with respect to the Coast Guard when it is not operating as a service in the Navy, may each carry out a program under which the Secretary may pay monthly transitional compensation in accordance with this section to dependents or former dependents of a member of the armed forces described in subsection (b) who is under the jurisdiction of the Secretary.

“(b) Members covered.—This section applies in the case of a member of the armed forces eligible for retired or retainer pay under this title for years of service who—

“(1) is separated from the armed forces pursuant to the sentence of a court-martial as a result of misconduct while a member; and

“(2) has eligibility to receive retired pay terminated pursuant to such sentence.

“(c) Recipient of payments.— (1) In the case of a member of the armed forces described in subsection (b), the Secretary may pay compensation under this section to dependents or former dependents of the member as follows:

“(A) If the member was married at the time of the commission of the offense resulting in separation from the armed forces, such compensation may be paid to the spouse or former spouse to whom the member was married at that time, including an amount for each, if any, dependent child of the member who resides in the same household as that spouse or former spouse.

“(B) If there is a spouse or former spouse who is or, but for subsection (d)(2), would be eligible for compensation under this section and if there is a dependent child of the member who does not reside in the same household as that spouse or former spouse, compensation under this section may be paid to each such dependent child of the member who does not reside in that household.

“(C) If there is no spouse or former spouse who is or, but for subsection (d)(2), would be eligible under this section, compensation under this section may be paid to the dependent children of the member.

“(2) A dependent or former dependent of a member described in subsection (b) is not eligible for transitional compensation under this section if the Secretary concerned determines (under regulations prescribed under subsection (g)) that the dependent or former dependent either—

“(A) was an active participant in the conduct constituting the offense under chapter 47 of this title (the Uniform Code of Military Justice) for which the member was convicted and separated from the armed forces; or

“(B) did not cooperate with the investigation of such conduct.

“(d) Commencement and duration of payment.— (1) Payment of transitional compensation under this section shall commence—

“(A) as of the date the court-martial sentence is adjudged if the sentence, as adjudged, includes—

“(i) a dismissal, dishonorable discharge, or bad conduct discharge; and

“(ii) forfeiture of all pay and allowances; or

“(B) if there is a pretrial agreement that provides for disapproval or suspension of the dismissal, dishonorable discharge, bad conduct discharge, or forfeiture of all pay and allowances, as of the date of the approval of the court-martial sentence by the person acting under section 860(c) of this title (article 60(c) of the Uniform Code of Military Justice) if the sentence, as approved, includes—

“(i) an unsuspended dismissal, dishonorable discharge, or bad conduct discharge; and

“(ii) forfeiture of all pay and allowances.

“(2) Paragraphs (2) and (3) of subsection (e), paragraphs (1) and (2) of subsection (g), and subsections (f) and (h) of section 1059 of this title shall apply in determining—

“(A) the amount of transitional compensation to be paid under this section;

“(B) the period for which such compensation may be paid; and

“(C) the circumstances under which the payment of such compensation may or will cease.

“(e) Commissary and exchange benefits.—A dependent or former dependent who receives transitional compensation under this section shall, while receiving such payments, be entitled to use commissary and exchange stores in the same manner as provided in subsection (j) of section 1059 of this title.

“(f) Coordination of benefits.— (1) The Secretary concerned may not make payments to a spouse or former spouse under both this section, on the one hand, and section 1059, 1408(h), or 1408(i) of this title, on the other hand. In the case of a spouse or former spouse for whom a court order provides for payments pursuant to section 1408(h) or 1408(i) of this title and to whom the Secretary offers payments under this section or section 1059 of this title, the spouse or former spouse shall elect which payments to receive.

“(2) Upon the cessation of payments of transitional compensation to a spouse or former spouse under this section pursuant to subsection (d)(2), a spouse or former spouse who elected payments of transitional compensation under this section and either remains or becomes eligible for payments under section 1408(h) or 1408(i) of this title, as applicable, may commence receipt of payments under such section 1408(h) or 1408(i) in accordance with such section.

“(g) Regulations.—The Secretary of Defense shall prescribe regulations to carry out this section with respect to the armed forces (other than the Coast Guard when it is not operating as a service in the Navy). The Secretary of Homeland Security shall prescribe regulations to carry out this section with respect to the Coast Guard when it is not operating as a service in the Navy.

“(h) Dependent child defined.—In this section, the term ‘dependent child’, with respect to a member or former member of the armed forces referred to in subsection (b), has the meaning given such term in subsection (l) of section 1059 of this title, except that status as a ‘dependent child’ shall be determined as of the date on which the member described in subsection (b) is convicted of the offense concerned.”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 53 of such title is amended by inserting after the item relating to section 1059 the following new item:


“1059a. Dependents of members of the armed forces ineligible to receive retired pay as a result of court-martial sentence: transitional compensation and other benefits; commissary and exchange benefits.”.

(c) Conforming amendment.—Subsection (i) of section 1059 of title 10, United States Code, is amended to read as follows:

“(i) Coordination of benefits.—The Secretary concerned may not make payments to a spouse or former spouse under both this section, on the one hand, and section 1059a, 1408(h), or 1408(i) of this title, on the other hand. In the case of a spouse or former spouse for whom a court order provides for payments pursuant to section 1408(h) or 1408(i) of this title and to whom the Secretary offers payments under this section or section 1059a of this title, the spouse or former spouse shall elect which payments to receive.”.

subtitle ECommissary and Non-Appropriated Fund Instrumentality Benefits and Operations

SEC. 651. Commissary system matters.

(a) Operating expenses.—Section 2483 of title 10, United States Code, is amended—

(1) in subsection (b)—

(A) in paragraph (4), by striking “supplies and”;

(B) by striking (5); and

(C) by redesignating paragraph (6) as paragraph (5); and

(2) by adding at the end the following new subsections:

“(d) Transportation costs for certain goods and supplies.—Appropriated funds may be used to pay any costs associated with the transportation of commissary goods and supplies to overseas areas, but only to the extent that the working capital fund for commissary operations is reimbursed for the payment of such costs. The sales prices in commissary stores worldwide shall be adjusted in an equal percentage to the extent necessary to provide sufficient gross revenues from such sales to make such reimbursements.

“(e) Uniform system-wide pricing.—The defense commissary system shall be managed with the objective of attaining uniform system-wide pricing.”.

(b) Pricing and surcharges.—Section 2484 of such title is amended—

(1) by striking subsection (e) and inserting the following new subsection (e):

“(e) Sales price establishment.—The Secretary of Defense shall establish the sales price of merchandise sold in, at, or by commissary stores in amounts sufficient to finance operating expenses as prescribed in section 2483(b) of this title and the replenishment of inventories.”; and

(2) in subsection (h)—

(A) in the subsection caption, by striking “and maintenance” and inserting “maintenance, and purchase of operating supplies”; and

(B) in paragraph (1)(A)—

(i) in clause (i), by striking “and” at the end;

(ii) in clause (ii), by striking the period at the end and inserting “; and”; and

(iii) by adding at the end the following new clause:

“(iii) to purchase operating supplies for commissary stores.”.

(c) Overseas transportation.—Section 2643(b) of such title is amended by striking the first sentence and inserting the following new sentence: “Defense working capital funds may be used to cover the transportation costs of commissary goods and supplies as provided in section 2483(d) of this title.”.

SEC. 652. Plan on privatization of the defense commissary system.

(a) Plan required.—

(1) IN GENERAL.—Not later than March 1, 2016, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report setting forth a plan for the privatization, in whole or in part, of the defense commissary system of the Department of Defense.

(2) CONSULTATION.—The Secretary shall consult with major grocery retailers in the continental United States in developing the plan.

(b) Elements.—

(1) PLAN ELEMENTS.—The plan required by subsection (a) shall ensure the provision of high quality grocery goods and products, discount savings to patrons, and high levels of customer satisfaction while achieving savings for the Department of Defense.

(2) REPORT ELEMENTS.—The report required by subsection (a) should include—

(A) an evaluation of the current rates of basic pay and basic allowance for subsistence payable to members of the Armed Forces, and an assessment whether such pay and allowance should be adjusted to ensure that members maintain purchasing power for grocery goods and products under the plan; and

(B) an estimate of any initial and long-term costs or savings to the Department as a result of the implementation of the plan.

(3) RECOMMENDATIONS FOR LEGISLATIVE ACTION.—The plan shall include recommendations for such legislative action as the Secretary considers appropriate to implement the plan.

(c) Comptroller General of the United States assessment of plan.—Not later than 120 days after the submittal of the report required by subsection (a), the Comptroller General of the United States shall submit to the committees of Congress referred to in that subsection a report setting forth an assessment by the Comptroller General of the plan set forth in the report required by that subsection.

(d) Pilot program on privatization.—

(1) PILOT PROGRAM REQUIRED.—Commencing as soon as practicable after the submittal to Congress of the report required by subsection (c), the Secretary shall carry out a pilot program to assess the feasibility and advisability of the plan set forth in the report required by subsection (a).

(2) NUMBER AND LOCATION OF COMMISSARIES.—The pilot program shall involve not fewer than five commissaries selected by the Secretary for purposes of the pilot program from among commissaries in the largest markets of the defense commissary system in the United States.

(3) SCOPE OF PILOT PROGRAM.—The Secretary shall carry out the pilot program in accordance with the plan described in paragraph (1) as modified by the Secretary in light of the assessment of the plan by the Comptroller General pursuant to subsection (c). The Secretary shall submit to the Committees on Armed Services of the Senate and the House of Representatives a notice on any modifications made to the plan for purposes of the pilot program in light of the assessment.

(4) ADDITIONAL ELEMENT ON ONLINE PURCHASES.—In an addition to any requirements under paragraph (3), the Secretary may include in the pilot program a component designed to permit eligible beneficiaries of the defense commissary system in the catchment areas of the commissaries selected for participation in the pilot program to order and purchase grocery goods and products otherwise available through the defense commissary system through the Internet and to receive items so ordered through home delivery.

(5) DURATION.—The duration of the pilot program shall be two years.

(6) REPORT.—Not later than 180 days after the completion of the pilot program, the Secretary shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the pilot program, including—

(A) an assessment of the feasibility and advisability of carrying out the plan described in paragraph (1), as modified, if at all, as described in paragraph (3); and

(B) a description of any modifications to the plan the Secretary considers appropriate in light of the pilot program.

SEC. 653. Comptroller General of the United States report on the Commissary Surcharge, Non-appropriated Fund, and Privately-Financed Major Construction Program.

(a) In general.—Not later than 180 days after the date of the enactment of this Act, the Comptroller General of the United States shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the Commissary Surcharge, Non-appropriated Fund and Privately-Financed Major Construction Program of the Department of Defense.

(b) Elements.—The report under subsection (a) shall include the following:

(1) An assessment whether the Secretary of Defense has established policies and procedures to ensure the timely submittal to the committees of Congress referred to in subsection (a) of notice on construction projects proposed to be funded through the program referred to in that subsection.

(2) An assessment whether the Secretaries of the military departments have developed and implemented policies and procedures to comply with the policies and directives of the Department of Defense for the submittal to such committees of Congress of notice on such construction projects.

(3) An assessment whether the Secretary of Defense has established policies and procedures to notify such committees of Congress when such construction projects have been commenced without notice to Congress.

(4) An assessment whether construction projects described in paragraph (3) have been completed before submittal of notice to Congress as described in that paragraph and, if so, a list of such projects.

TITLE VIIHealth Care Provisions

subtitle ATRICARE and Other Health Care Benefits

SEC. 701. Urgent care authorization under the TRICARE program.

(a) Urgent care.—

(1) IN GENERAL.—In accordance with the regulations prescribed under this section, a covered beneficiary under the TRICARE program shall have access to up to four urgent care visits per year under that program without the need for preauthorization for such visits.

(2) REGULATIONS.—Not later than 180 days after the date of the enactment of this Act, the Secretary shall prescribe regulations to carry out paragraph (1).

(b) Publication.—The Secretary shall—

(1) publish information on any modifications made pursuant to subsection (a) to the authorization requirements for the receipt of urgent care under the TRICARE program—

(A) on the primary Internet website that is available to the public of the Department; and

(B) on the primary Internet website that is available to the public of each military medical treatment facility; and

(2) ensure that such information is made available on the primary Internet website that is available to the public of each current managed care contractor that has established a health care provider network under the TRICARE program.

(c) Definitions.—In this section, the terms “covered beneficiary” and “TRICARE program” have the meaning given such terms in section 1072 of title 10, United States Code.

SEC. 702. Modifications of cost-sharing requirements for the TRICARE Pharmacy Benefits Program.

Paragraph (6) of section 1074g(a) of title 10, United States Code, is amended to read as follows:

“(6) (A) In the case of any of the years 2016 through 2025, the cost-sharing amounts under this subsection shall be determined in accordance with the following table:


“For: The cost-sharing amount for 30-day supply of a retail generic is: The cost-sharing amount for 30-day supply of a retail formulary is: The cost-sharing amount for a 90-day supply of a mail order generic is: The cost-sharing amount for a 90-day supply of a mail order formulary is: The cost-sharing amount for a 90-day supply of a mail order non-formulary is:
2016 $8 $28 $0 $28 $54
2017 $8 $30 $0 $30 $58
2018 $8 $32 $0 $32 $62
2019 $9 $34 $9 $34 $66
2020 $10 $36 $10 $36 $70
2021 $11 $38 $11 $38 $75
2022 $12 $40 $12 $40 $80
2023 $13 $43 $13 $43 $85
2024 $14 $45 $14 $45 $90
2025 $14 $46 $14 $46 $92

“(B) For any year after 2025, the cost-sharing amounts under this subsection shall be equal to the cost-sharing amounts for the previous year adjusted by an amount, if any, determined by the Secretary to reflect changes in the costs of pharmaceutical agents and prescription dispensing, rounded to the nearest dollar.

“(C) Notwithstanding subparagraphs (A) and (B), the cost-sharing amounts under this subsection for any year for a dependent of a member of the uniformed services who dies while on active duty, a member retired under chapter 61 of this title, or a dependent of such a member shall be equal to the cost-sharing amounts, if any, for 2015.”.

SEC. 703. Expansion of continued health benefits coverage to include discharged and released members of the Selected Reserve.

(a) In general.—Subsection (b) of section 1078a of title 10, United States Code, is amended—

(1) by redesignating paragraphs (2) through (4) as paragraphs (3) through (5), respectively; and

(2) by inserting after paragraph (1) the following new paragraph (2):

“(2) A member of the Selected Reserve of the Ready Reserve of a reserve component of the armed forces who—

“(A) is discharged or released from service in the Selected Reserve, whether voluntarily or involuntarily, under other than adverse conditions, as characterized by the Secretary concerned;

“(B) immediately preceding that discharge or release, is eligible to enroll in TRICARE Standard coverage under section 1076d of this title; and

“(C) after that discharge or release, would not otherwise be eligible for any benefits under this chapter.”.

(b) Notification of eligibility.—Subsection (c)(2) of such section is amended by inserting “or subsection (b)(2)” after “subsection (b)(1)”.

(c) Election of coverage.—Subsection (d) of such section is amended—

(1) by redesignating paragraphs (2) through (4) as paragraphs (3) through (5), respectively; and

(2) by inserting after paragraph (1) the following new paragraph (2):

“(2) In the case of a member described in subsection (b)(2), the written election shall be submitted to the Secretary concerned before the end of the 60-day period beginning on the later of—

“(A) the date of the discharge or release of the member from service in the Selected Reserve; and

“(B) the date the member receives the notification required pursuant to subsection (c).”.

(d) Coverage of dependents.—Subsection (e) of such section is amended by inserting “or subsection (b)(2)” after “subsection (b)(1)”.

(e) Period of continued coverage.—Subsection (g)(1) of such section is amended—

(1) by redesignating subparagraphs (B) through (D) as subparagraphs (C) through (E); and

(2) by inserting after subparagraph (A) the following new subparagraph (B):

“(B) in the case of a member described in subsection (b)(2), the date which is 18 months after the date the member ceases to be eligible to enroll in TRICARE Standard coverage under section 1076d of this title;”.

(f) Conforming amendments.—Such section is further amended—

(1) in subsection (c)—

(A) in paragraph (3), by striking “subsection (b)(2)” and inserting “subsection (b)(3)”; and

(B) in paragraph (4), by striking “subsection (b)(3)” and inserting “subsection (b)(4)”;

(2) in subsection (d)—

(A) in paragraph (3), as redesignated by subsection (c)(1), by striking “subsection (b)(2)” and inserting “subsection (b)(3)”;

(B) in paragraph (4), as so redesignated, by striking “subsection (b)(3)” and inserting “subsection (b)(4)”; and

(C) in paragraph (5), as so redesignated, by striking “subsection (b)(4)” and inserting “subsection (b)(5)”;

(3) in subsection (e), by striking “subsection (b)(2) or subsection (b)(3)” and inserting “subsection (b)(3) or subsection (b)(4)”; and

(4) in subsection (g)—

(A) in paragraph (1)—

(i) in subparagraph (C), as redesignated by subsection (e)(1), by striking “subsection (b)(2)” and inserting “subsection (b)(3)”;

(ii) in subparagraph (D), as so redesignated, by striking “subsection (b)(3)” and inserting “subsection (b)(4)”; and

(iii) in subparagraph (E), as so redesignated, by striking “subsection (b)(4)” and inserting “subsection (b)(5)”;

(B) in paragraph (2)—

(i) by striking “paragraph (1)(B)” and inserting “paragraph (1)(C)”; and

(ii) by striking “subsection (b)(2)” and inserting “subsection (b)(3)”; and

(C) in paragraph (3)—

(i) by striking “paragraph (1)(C)” and inserting “paragraph (1)(D)”; and

(ii) by striking “subsection (b)(3)” and inserting “subsection (b)(4)”.

SEC. 704. Expansion of reimbursement for smoking cessation services for certain TRICARE beneficiaries.

Section 713(f) of the Duncan Hunter National Defense Authorization Act for Fiscal Year 2009 (Public Law 110–417; 122 Stat. 4503) is amended—

(1) in paragraph (1)(A), by striking “during fiscal year 2009”;

(2) in paragraph (1)(B), by striking “during such period”; and

(3) in paragraph (2), by striking “during fiscal year 2009” and inserting “after September 30, 2008”.

SEC. 705. Pilot program on treatment of members of the Armed Forces for post-traumatic stress disorder related to military sexual trauma.

(a) In general.—The Secretary of Defense may conduct a pilot program to provide intensive outpatient programs to treat members of the Armed Forces suffering from post-traumatic stress disorder resulting from military sexual trauma, including treatment for substance abuse, depression, and other issues related to such conditions.

(b) Grants to community partners.—

(1) IN GENERAL.—The Secretary of Defense may carry out the pilot program through the award of grants to community partners described in paragraph (2).

(2) COMMUNITY PARTNERS.—A community partner described in this paragraph is a private health care organization or institution that—

(A) provides health care to members of the Armed Forces;

(B) provides evidence-based treatment for psychological and neurological conditions that are common among members of the Armed Forces, including post-traumatic stress disorder, traumatic brain injury, substance abuse, and depression;

(C) provides health care, support, and other benefits to family members of members of the Armed Forces; and

(D) provides health care under the TRICARE program (as that term is defined in section 1072 of title 10, United States Code).

(c) Requirements of grant recipients.—Each community partner awarded a grant under subsection (b) shall—

(1) carry out intensive outpatient programs of short duration to treat members of the Armed Forces suffering from post-traumatic stress disorder resulting from military sexual trauma, including treatment for substance abuse, depression, and other issues related to such conditions;

(2) use evidence-based and evidence-informed treatment strategies in carrying out such programs;

(3) share clinical and outreach best practices with other community partners participating in the pilot program; and

(4) annually assess outcomes for members of the Armed Forces individually and throughout the community partner with respect to the treatment of conditions described in paragraph (1).

(d) Federal share.—The Federal share of the costs of a program carried out by a community partner using a grant under this section may not exceed 50 percent.

(e) Termination.—The Secretary of Defense may not carry out the conduct of the pilot program after the date that is three years after the date of the enactment of this Act.

subtitle BHealth Care Administration

SEC. 711. Access to health care under the TRICARE program.

(a) Access to health care.—

(1) IN GENERAL.—The Secretary of Defense shall ensure that covered beneficiaries under the TRICARE program seeking an appointment for health care under such program at a military medical treatment facility obtain such an appointment at such facility within the wait-time goals specified for the receipt of such health care pursuant to the health care access standards established under subsection (b).

(2) USE OF CONTRACT AUTHORITY.—If a covered beneficiary is unable to obtain an appointment within the wait-time goals described in paragraph (1), such covered beneficiary shall be offered an appointment within such wait-time goals with a health care provider with which a contract has been entered into under the TRICARE program.

(b) Standards for access to care.—

(1) IN GENERAL.—Not later than 180 days after the date of the enactment of this Act, the Secretary shall establish health care access standards, including wait-time goals for appointments, for the receipt of health care under the TRICARE program, whether received at military medical treatment facilities or from health care providers with which a contract has been entered into under such program.

(2) CATEGORIES OF CARE.—The health care access standards established under paragraph (1) shall include standards with respect to the following categories of health care:

(A) Primary care, including pediatric care, maternity care, gynecological care, and other subcategories of primary care.

(B) Specialty care, including behavioral health care and other subcategories of specialty care.

(3) MODIFICATIONS.—The Secretary may modify the health care access standards established under paragraph (1) whenever the Secretary considers the modification of such standards appropriate.

(4) PUBLICATION.—The Secretary shall publish the health care access standards established under paragraph (1), and any modifications to such standards, in the Federal Register and on a publicly accessible Internet website of the Department of Defense.

(c) Publication of appointment wait times.—

(1) IN GENERAL.—Not later than 180 days after the date of the enactment of this Act, the Secretary shall publish on a publicly accessible Internet website of each military medical treatment facility that offers a category or subcategory of health care covered by the standards under subsection (b)(2) the average wait-time for a covered beneficiary for an appointment at such facility for the receipt of each such category and subcategory of health care.

(2) MODIFICATIONS.—Whenever there is a modification of a wait-time for a category or subcategory of health care published under this subsection, the Secretary shall publish on a publicly accessible Internet website of each military medical treatment facility that provides such category or subcategory of health care the modified wait-time for such category or subcategory of health care.

(d) Definitions.—In this section, the terms “covered beneficiary” and “TRICARE program” have the meaning given such terms in section 1072 of title 10, United States Code.

SEC. 712. Portability of health plans under the TRICARE program.

(a) Health plan portability.—

(1) IN GENERAL.—The Secretary of Defense shall ensure that covered beneficiaries under the TRICARE program who are covered under a health plan under such program are able to seamlessly access health care under such health plan in each TRICARE program region.

(2) REGULATIONS.—Not later than 180 days after the date of the enactment of this Act, the Secretary shall prescribe regulations to carry out paragraph (1).

(b) Mechanisms to ensure portability.—In carrying out subsection (a), the Secretary shall do the following:

(1) Provide for the automatic electronic transfer of demographic, enrollment, and claims information between the contractors responsible for administering the TRICARE program in each TRICARE region when covered beneficiaries under the TRICARE program relocate between such regions.

(2) Ensure such covered beneficiaries are able to obtain a new primary health care provider within ten days of undergoing such relocation.

(3) Develop a process for such covered beneficiaries to receive urgent care without preauthorization while undergoing such relocation.

(c) Publication.—The Secretary shall—

(1) publish information on any modifications made pursuant to subsection (a) with respect to the ability of covered beneficiaries under the TRICARE program who are covered under a health plan under such program to access health care in each TRICARE region on the primary Internet website of the Department that is available to the public; and

(2) ensure that such information is made available on the primary Internet website that is available to the public of each current contractor responsible for administering the TRICARE program.

(d) Definitions.—In this section, the terms “covered beneficiary” and “TRICARE program” have the meaning given such terms in section 1072 of title 10, United States Code.

SEC. 713. Improvement of mental health care provided by health care providers of the Department of Defense.

(a) Training on recognition and management of risk of suicide.—

(1) INITIAL TRAINING.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall ensure that all primary care and mental health care providers of the Department of Defense receive, or have already received, evidence-based training on the recognition and assessment of individuals at risk for suicide and the management of such risk.

(2) ADDITIONAL TRAINING.—The Secretary shall ensure that providers who receive, or have already received, training described in paragraph (1) receive such additional training thereafter as may be required based on evidence-based changes in health care practices.

(b) Assessment of mental health workforce.—

(1) IN GENERAL.—Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report assessing the mental health workforce of the Department of Defense and the long-term mental health care needs of members of the Armed Forces and their dependents for purposes of determining the long-term requirements of the Department for mental health care providers.

(2) ELEMENTS.—The report submitted under paragraph (1) shall include an assessment of the following:

(A) The number of mental health care providers of the Department of Defense as of the date of the submittal of the report, disaggregated by specialty, including psychiatrists, psychologists, social workers, mental health counselors, and marriage and family therapists.

(B) The number of mental health care providers that are anticipated to be needed by the Department.

(C) The types of mental health care providers that are anticipated to be needed by the Department.

(D) Locations in which mental health care providers are anticipated to be needed by the Department.

(c) Plan for development of procedures to measure mental health data.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a plan for the Department of Defense to develop procedures to compile and assess data relating to the following:

(1) Outcomes for mental health care provided by the Department.

(2) Variations in such outcomes among different medical facilities of the Department.

(3) Barriers, if any, to the implementation by mental health care providers of the Department of the clinical practice guidelines and other evidence-based treatments and approaches recommended for such providers by the Secretary.

SEC. 714. Comprehensive standards and access to contraception counseling for members of the Armed Forces.

(a) Purpose.—The purpose of this section is to ensure that all health care providers employed by the Department of Defense who provide care for members of the Armed Forces, including general practitioners, are provided, through clinical practice guidelines, the most current evidence-based and evidence-informed standards of care with respect to methods of contraception and counseling on methods of contraception.

(b) Clinical practice guidelines.—

(1) IN GENERAL.—Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall compile clinical practice guidelines for health care providers described in subsection (a) on standards of care with respect to methods of contraception and counseling on methods of contraception for members of the Armed Forces.

(2) SOURCES.—The Secretary shall compile clinical practice guidelines under this subsection from among clinical practice guidelines established by appropriate health agencies and professional organizations, including the following:

(A) The United States Preventive Services Task Force.

(B) The Centers for Disease Control and Prevention.

(C) The Office of Population Affairs of the Department of Health and Human Services.

(D) The American College of Obstetricians and Gynecologists.

(E) The Association of Reproductive Health Professionals.

(F) The American Academy of Family Physicians.

(G) The Agency for Healthcare Research and Quality.

(3) UPDATES.—The Secretary shall from time to time update the list of clinical practice guidelines compiled under this subsection to incorporate into such guidelines new or updated standards of care with respect to methods of contraception and counseling on methods of contraception.

(4) DISSEMINATION.—

(A) INITIAL DISSEMINATION.—As soon as practicable after the compilation of clinical practice guidelines pursuant to paragraph (1), but commencing not later than one year after the date of the enactment of this Act, the Secretary shall provide for rapid dissemination of the clinical practice guidelines to health care providers described in subsection (a).

(B) UPDATES.—As soon as practicable after the adoption under paragraph (3) of any update to the clinical practice guidelines compiled pursuant to this subsection, the Secretary shall provide for the rapid dissemination of such clinical practice guidelines, as so updated, to health care providers described in subsection (a).

(C) PROTOCOLS.—Clinical practice guidelines, and any updates to such guidelines, shall be disseminated under this paragraph in accordance with administrative protocols developed by the Secretary for that purpose.

(c) Clinical decision support tools.—

(1) IN GENERAL.—Not later than one year after the date of the enactment of this Act, the Secretary shall, in order to assist health care providers described in subsection (a), develop and implement clinical decision support tools that reflect, through the clinical practice guidelines compiled pursuant to subsection (b), the most current evidence-based and evidence-informed standards of care with respect to methods of contraception and counseling on methods of contraception.

(2) UPDATES.—The Secretary shall from time to time update the clinical decision support tools developed under this subsection to incorporate into such tools new or updated guidelines on methods of contraception and counseling on methods of contraception.

(3) DISSEMINATION.—Clinical decision support tools, and any updates to such tools, shall be disseminated under this subsection in accordance with administrative protocols developed by the Secretary for that purpose. Such protocols shall be similar to the administrative protocols developed under subsection (b)(4)(C).

(d) Access to contraception counseling.—As soon as practicable after the date of the enactment of this Act, the Secretary shall ensure that women members of the Armed Forces have access to comprehensive counseling on the full range of methods of contraception provided by health care providers described in subsection (a) during health care visits, including visits as follows:

(1) During predeployment health care visits, including counseling that provides specific information women need regarding the interaction between anticipated deployment conditions and various methods of contraception.

(2) During health care visits during deployment.

(3) During annual physical examinations.

(e) Incorporation into surveys of questions on servicewomen experiences with family planning services and counseling.—

(1) IN GENERAL.—Not later than 90 days after the date of the enactment of this Act, the Secretary shall integrate into the surveys by the Department of Defense specified in paragraph (2) questions designed to obtain information on the experiences of women members of the Armed Forces—

(A) in accessing family planning services and counseling;

(B) in using family planning methods, including information on which method was preferred and whether deployment conditions affected the decision on which family planning method or methods to be used; and

(C) with respect to women members of the Armed Forces who are pregnant, whether the pregnancy was intended.

(2) COVERED SURVEYS.—The surveys into which questions shall be integrated as described in paragraph (1) are the following:

(A) The Health Related Behavior Survey of Active Duty Military Personnel.

(B) The Health Care Survey of Department of Defense Beneficiaries.

(f) Education on family planning for members of the Armed Forces.—

(1) EDUCATION PROGRAMS.—Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall establish a uniform standard curriculum to be used in education programs on family planning for all members of the Armed Forces, including both men and women members.

(2) SENSE OF CONGRESS.—It is the sense of Congress that the education programs described in paragraph (1) should use the latest technology available to efficiently and effectively deliver information to members of the Armed Forces.

(3) ELEMENTS.—The uniform standard curriculum under paragraph (1) shall include the following:

(A) Information for members of the Armed Forces on active duty to make informed decisions regarding family planning.

(B) Information about the prevention of unintended pregnancy and sexually transmitted infections, including human immunodeficiency virus (HIV).

(C) Information on the importance of providing comprehensive family planning for members of the Armed Forces, and their commanding officers, and on the positive impact family planning can have on the health and readiness of the Armed Forces.

(D) Current, medically accurate information.

(E) Clear, user-friendly information on the full range of methods of contraception and where members of the Armed Forces can access their chosen method of contraception.

(F) Information on all applicable laws and policies so that members are informed of their rights and obligations.

(G) Information on patients’ rights to confidentiality.

(H) Information on the unique circumstances encountered by members of the Armed Forces, and the effects of such circumstances on the use of contraception.

SEC. 715. Waiver of recoupment of erroneous payments due to administrative error under the TRICARE program.

(a) In general.—Chapter 55 of title 10, United States Code, is amended by inserting after section 1095f the following new section:

§ 1095g. TRICARE program: waiver of recoupment of erroneous payments due to administrative error

“(a) Waiver of recoupment.—The Secretary of Defense may waive recoupment from a covered beneficiary who has benefitted from an erroneous TRICARE payment in a case in which each of the following applies:

“(1) The payment was made due to an administrative error by an employee of the Department of Defense or a contractor under the TRICARE program.

“(2) The covered beneficiary (or in the case of a minor, the parent or guardian of the covered beneficiary) had a good faith, reasonable belief that the covered beneficiary was entitled to the benefit of such payment under this chapter.

“(3) The covered beneficiary relied on the expectation of such entitlement.

“(4) The Secretary determines that a waiver of recoupment of such payment is necessary to prevent an injustice.

“(b) Responsibility of contractor.—In any case in which the Secretary waives recoupment under subsection (a) and the administrative error was on the part of a contractor under the TRICARE program, the Secretary shall, consistent with the requirements and procedures of the applicable contract, impose financial responsibility on the contractor for the erroneous payment.

“(c) Finality of determinations.—Any determination by the Secretary under this section to waive or decline to waive recoupment under subsection (a) is a final determination and shall not be subject to appeal or judicial review.”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 55 of such title is amended by inserting after the item relating to section 1095f the following new item:


“1095g. TRICARE program: waiver of recoupment of erroneous payments due to administrative error.”.

SEC. 716. Designation of certain non-Department mental health care providers with knowledge relating to treatment of members of the Armed Forces.

(a) Mental health provider readiness designation.—

(1) IN GENERAL.—Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall develop a system by which any non-Department mental health care provider that meets eligibility criteria established by the Secretary relating to the knowledge described in paragraph (2) receives a mental health provider readiness designation from the Department of Defense.

(2) KNOWLEDGE DESCRIBED.—The knowledge described in this paragraph is the following:

(A) Knowledge and understanding with respect to the culture of members of the Armed Forces and family members and caregivers of members of the Armed Forces.

(B) Knowledge with respect to evidence-based treatments that have been approved by the Department for the treatment of mental health issues among members of the Armed Forces.

(b) Availability of information on designation.—

(1) REGISTRY.—The Secretary of Defense shall establish and update as necessary a registry that is available to the public of all non-Department mental health care providers that are currently designated under subsection (a)(1).

(2) PROVIDER LIST.—The Secretary shall update all lists maintained by the Secretary of non-Department mental health care providers that provide mental health care under the laws administered by the Secretary by indicating the providers that are currently designated under subsection (a)(1).

(c) Non-Department mental health care provider defined.—In this section, the term “non-Department mental health care provider”—

(1) means a health care provider that—

(A) specializes in mental health;

(B) is not a health care provider of the Department of Defense; and

(C) provides health care to members of the Armed Forces; and

(2) includes psychiatrists, psychologists, psychiatric nurses, social workers, mental health counselors, marriage and family therapists, and other mental health care providers designated by the Secretary of Defense.

SEC. 717. Limitation on conversion of military medical and dental positions to civilian medical and dental positions.

(a) Limited authority for conversion.—Chapter 49 of title 10, United States Code, is amended by inserting after section 976 the following new section:

§ 977. Conversion of military medical and dental positions to civilian medical and dental positions: limitation

“(a) Requirements relating to conversion.—A military medical or dental position within the Department of Defense may not be converted to a civilian medical or dental position unless the Secretary of Defense determines that—

“(1) the position is not a military essential position;

“(2) conversion of the position would not result in the degradation of medical or dental care or the medical or dental readiness of the armed forces; and

“(3) conversion of the position to a civilian medical or dental position is more cost effective than retaining the position as a military medical or dental position, consistent with Department of Defense Instruction 7041.04.

“(b) Definitions.—In this section:

“(1) The term ‘military medical or dental position’ means a position for the performance of health care functions within the armed forces held by a member of the armed forces.

“(2) The term ‘civilian medical or dental position’ means a position for the performance of health care functions within the Department of Defense held by an employee of the Department or of a contractor of the Department.

“(3) The term ‘military essential’, with respect to a position, means that the position must be held by a member of the armed forces, as determined in accordance with regulations prescribed by the Secretary.

“(4) The term ‘conversion’, with respect to a military medical or dental position, means a change of the position to a civilian medical or dental position, effective as of the date of the manning authorization document of the military department making the change (through a change in designation from military to civilian in the document, the elimination of the listing of the position as a military position in the document, or through any other means indicating the change in the document or otherwise).”.

(b) Clerical amendment.—The table of sections at the beginning of chapter 49 of such title is amended by inserting after the item relating to section 976 the following new item:


“977. Conversion of military medical and dental positions to civilian medical and dental positions: limitation.”.

(c) Repeal of related prohibition.—Section 721 of the National Defense Authorization Act for Fiscal Year 2008 (10 U.S.C. 129c note) is repealed.

SEC. 718. Extension of authority for joint Department of Defense-Department of Veterans Affairs Medical Facility Demonstration Fund.

Section 1704(e) of the National Defense Authorization Act for Fiscal Year 2010 (Public Law 111–84; 123 Stat. 2573), as amended by section 722 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291), is further amended by striking “September 30, 2016” and inserting “September 30, 2017”.

SEC. 719. Extension of authority for DOD-VA Health Care Sharing Incentive Fund.

Section 8111(d)(3) of title 38, United States Code, is amended by striking “September 30, 2015” and inserting “September 30, 2020”.

SEC. 720. Pilot program on incentive programs to improve health care provided under the TRICARE program.

(a) Pilot program.—The Secretary of Defense shall carry out a pilot program to assess whether a reduction in the rate of increase in health care spending by the Department of Defense and an enhancement of the operation of the military health system may be achieved by developing and implementing value-based incentive programs to encourage health care providers under the TRICARE program (including physicians, hospitals, and others involved in providing health care to patients) to improve the following:

(1) The quality of health care provided to covered beneficiaries under the TRICARE program.

(2) The experience of covered beneficiaries in receiving health care under the TRICARE program.

(3) The health of covered beneficiaries.

(b) Incentive programs.—

(1) DEVELOPMENT.—In developing an incentive program under this section, the Secretary shall—

(A) consider the characteristics of the population of covered beneficiaries affected by the incentive program;

(B) consider how the incentive program would impact the receipt of health care under the TRICARE program by such covered beneficiaries;

(C) establish or maintain a reasonable assurance that such covered beneficiaries will have timely access to health care during operation of the incentive program;

(D) ensure that there are no additional financial costs to such covered beneficiaries of implementing the incentive program; and

(E) consider such other factors as the Secretary considers appropriate.

(2) ELEMENTS.—With respect to an incentive program developed and implemented under this section, the Secretary shall ensure that—

(A) the size, scope, and duration of the incentive program is reasonable in relation to the purpose of the incentive program; and

(B) appropriate criteria and data collection are used to ensure adequate evaluation of the feasibility and advisability of implementing the incentive program throughout the TRICARE program.

(3) USE OF EXISTING MODELS.—In developing an incentive program under this section, the Secretary may adapt a value-based incentive program conducted by the Centers for Medicare & Medicaid Services or any other governmental or commercial health care program.

(c) Termination.—The authority of the Secretary to carry out the pilot program under this section shall terminate on December 31, 2019.

(d) Report.—Not later than March 15, 2019, the Secretary shall submit to the congressional defense committees a report on the pilot program that includes the following:

(1) An assessment of each incentive program developed and implemented under this section, including whether such incentive program—

(A) improves the quality of health care provided to covered beneficiaries, the experience of covered beneficiaries in receiving health care under the TRICARE program, or the health of covered beneficiaries;

(B) reduces the rate of increase in health care spending by the Department of Defense; or

(C) enhances the operation of the military health system.

(2) Such recommendations for administrative or legislative action as the Secretary considers appropriate in light of the pilot program, including to implement any such incentive program or programs throughout the TRICARE program.

(e) Definitions.—In this section, the terms “covered beneficiary” and “TRICARE program” have the meanings given those terms in section 1072 of title 10, United States Code.

subtitle CReports and Other Matters

SEC. 731. Publication of certain information on health care provided by the Department of Defense through the Hospital compare website of the Department of Health and Human Services.

(a) Memorandum of understanding required.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall enter into a memorandum of understanding with the Secretary of Health and Human Services for the provision by the Secretary of Defense of such information as the Secretary of Health and Human Services may require to report and make publicly available information on quality of care and health outcomes regarding patients at military medical treatment facilities through the Hospital Compare Internet website of the Department of Health and Human Services, or any successor Internet website.

(b) Information provided.—The information provided by the Secretary of Defense to the Secretary of Health and Human Services under subsection (a) shall include the following:

(1) Measures of the timeliness and effectiveness of the health care provided by the Department of Defense.

(2) Measures of the prevalence of—

(A) readmissions, including the 30-day readmission rate;

(B) complications resulting in death, including the 30-day mortality rate;

(C) surgical complications; and

(D) health care related infections.

(3) Survey data of patient experiences, including the Hospital Consumer Assessment of Healthcare Providers and Systems or any similar survey developed by the Department of Defense.

(4) Any other measures or data required of or reported with respect to hospitals participating in the Medicare program under title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.).

SEC. 732. Publication of data on patient safety, quality of care, satisfaction, and health outcome measures under the TRICARE program.

(a) In general.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall publish on an Internet website of the Department of Defense that is available to the public data on all measures used by the Department to assess patient safety, quality of care, patient satisfaction, and health outcomes for health care provided under the TRICARE program at each military medical treatment facility.

(b) Updates.—The Secretary shall publish an update to the data published under subsection (a) not less frequently than once each quarter during each fiscal year.

(c) Accessibility.—The Secretary shall ensure that the data published under subsection (a) and updated under subsection (b) is accessible to the public through the primary Internet website of the Department and the primary Internet website of the military medical treatment facility with respect to which such data applies.

(d) TRICARE program defined.—In this section, the term “TRICARE program” has the meaning given such terms in section 1072 of title 10, United States Code.

SEC. 733. Annual report on patient safety, quality of care, and access to care at military medical treatment facilities.

(a) In general.—Not later than March 1 each year beginning in 2016, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a comprehensive report on patient safety, quality of care, and access to care at military medical treatment facilities.

(b) Elements.—Each report required by subsection (a) shall include the following:

(1) The number of sentinel events, as defined by the Joint Commission, that occurred at military medical treatment facilities during the year preceding the submittal of the report, disaggregated by—

(A) military medical treatment facility; and

(B) military department with jurisdiction over such facilities.

(2) With respect to each sentinel event described in paragraph (1)—

(A) a synopsis of such event; and

(B) a description of any actions taken by the Secretary of the military department concerned in response to such event, including any actions taken to hold individuals accountable.

(3) The number of practitioners providing health care in military medical treatment facilities that were reported to the National Practitioner Data Bank during the year preceding the submittal of the report.

(4) The results of any internal analyses conducted by the Patient Safety Center of the Department of Defense during such year on matters relating to patient safety at military medical treatment facilities.

(5) With respect to each military medical treatment facility—

(A) the current accreditation status of such facility, including any recommendations for corrective action made by the relevant accrediting body;

(B) any policies or procedures implemented during such year by the Secretary of the military department concerned that were designed to improve patient safety, quality of care, and access to care at such facility;

(C) data on surgical and maternity care outcomes during such year;

(D) data on appointment wait times during such year; and

(E) data on patient safety, quality of care, and access to care as compared to standards established by the Department with respect to patient safety, quality of care, and access to care.

SEC. 734. Report on plans to improve experience with and eliminate performance variability of health care provided by the Department of Defense.

(a) Comprehensive report.—

(1) IN GENERAL.—Not later than 180 days after the date of enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a comprehensive report setting forth the current and future plans of the Secretary, with estimated dates of completion, to carry out the following:

(A) To improve the experience of beneficiaries with health care provided in military medical treatment facilities and through purchased care.

(B) To eliminate performance variability with respect to the provision of such health care.

(2) ELEMENTS.—The comprehensive report required by paragraph (1) shall include the plans of the Secretary of Defense, in consultation with the Secretaries of the military departments, as follows:

(A) To align performance measures for health care provided in military medical treatment facilities with performance measures for health care provided through purchased care.

(B) To improve underperformance in the provision of health care by the Department of Defense by eliminating performance variability with respect to the provision of health care in military medical treatment facilities and through purchased care.

(C) To use innovative, high-technology services to improve access to care, coordination of care, and the experience of care in military medical treatment facilities and through purchased care.

(D) To collect and analyze data throughout the Department with respect to health care provided in military medical treatment facilities and through purchased care to improve the quality of such care, patient safety, and patient satisfaction.

(E) To develop a performance management system, including by adoption of common measures for access to care, quality of care, safety, and patient satisfaction, that holds medical leadership throughout the Department personally accountable for sustained improvement of performance.

(F) To use such other methods as the Secretary considers appropriate to improve the experience of beneficiaries with and eliminate performance variability with respect to health care received from the Department.

(b) Comptroller General report.—

(1) IN GENERAL.—Not later than 180 days after the submittal of the comprehensive report required by subsection (a), the Comptroller General of the United States shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the plans of the Secretary of Defense set forth in the comprehensive report submitted under such subsection.

(2) ELEMENTS.—The report required by paragraph (1) shall include the following:

(A) An assessment whether the plans included in the comprehensive report submitted under subsection (a) will, with respect to members of the Armed Forces and covered beneficiaries under the TRICARE program—

(i) improve health outcomes;

(ii) create lasting health value; and

(iii) ensure that such individuals are able to equitably obtain quality health care in all military medical treatment facilities and through purchased care.

(B) An assessment whether such plans can be reasonably achieved within the estimated dates of completion set forth by the Department under such subsection.

(C) An assessment whether any such plan would require legislative action for the implementation of such plan.

(D) An assessment whether the Department of Defense has adequately budgeted amounts to fund the carrying out of such plans.

(c) Definitions.—In this section:

(1) The term “purchased care” means health care provided pursuant to a contract entered into under the TRICARE program.

(2) The terms “covered beneficiary” and “TRICARE program” have the meaning given such terms in section 1072 of title 10, United States Code.

SEC. 735. Report on plan to improve pediatric care and related services for children of members of the Armed Forces.

(a) In general.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report setting forth a plan of the Department of Defense to improve pediatric care and related services for children of members of the Armed Forces.

(b) Elements.—The report required by subsection (a) shall include the following:

(1) In order to ensure that children receive developmentally-appropriate and age-appropriate health care services from the Department, a plan to align preventive pediatric care under the TRICARE program with—

(A) standards for such care as required by the Patient Protection and Affordable Care Act (Public Law 111–148);

(B) guidelines established for such care by the Early and Periodic Screening, Diagnosis, and Treatment program under the Medicaid program carried out under title XIX of the Social Security Act (42 U.S.C. 1396 et seq.); and

(C) recommendations by organizations that specialize in pediatrics.

(2) A plan to develop a uniform definition of “pediatric medical necessity” for the Department that aligns with recommendations of organizations that specialize in pediatrics in order to ensure that a consistent definition of such term is used in providing health care in military medical treatment facilities and by health care providers under the TRICARE program.

(3) A plan to revise certification requirements for residential treatment centers of the Department to expand the access of children of members of the Armed Forces to services at such centers.

(4) A plan to develop measures to evaluate and improve access to pediatric care, coordination of pediatric care, and health outcomes for such children.

(5) A plan to include an assessment of access to pediatric specialty care in the annual report to Congress on the effectiveness of the TRICARE program.

(6) A plan to improve the quality of and access to behavioral health care under the TRICARE program for such children, including intensive outpatient and partial hospitalization services.

(7) A plan to mitigate the impact of permanent changes of station and other service-related relocations of members of the Armed Forces on the continuity of health care services received by such children who have special medical or behavioral health needs.

(8) A plan to mitigate deficiencies in data collection, data utilization, and data analysis to improve pediatric care and related services for children of members of the Armed Forces.

(c) TRICARE program defined.—In this section, the term “TRICARE program” has the meaning given such term in section 1072 of title 10, United States Code.

SEC. 736. Report on preliminary mental health screenings for individuals becoming members of the Armed Forces.

(a) Report on recommendations in connection with screenings.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on mental health screenings of individuals enlisting or accessioning into the Armed Forces before enlistment or accession.

(b) Elements.—The report under subsection (a) shall include the following:

(1) Recommendations with respect to establishing a secure, electronically-based preliminary mental health screening of members of the Armed Forces to bring mental health screenings to parity with physical screenings of members.

(2) Recommendations with respect to the composition of the mental health screening, evidenced-based best practices, and how to track changes in mental health screenings relating to traumatic brain injuries, post-traumatic stress disorder, and other conditions.

(c) Coordination and consultation.—The Secretary shall prepare the report under subsection (a)—

(1) in coordination with the Secretary of Veterans Affairs, the Secretary of Health and Human Services, and the surgeons general of the military departments; and

(2) in consultation with experts in the field, including the National Institute of Mental Health of the National Institutes of Health.

SEC. 737. Comptroller General report on use of quality of care metrics at military treatment facilities.

(a) In general.—Not later than one year after the date of the enactment of this Act, the Comptroller General of the United States shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the use by the Department of Defense of metrics with respect to the quality of care provided at military treatment facilities.

(b) Elements.—The report required by subsection (a) shall include the following:

(1) The extent to which the Department of Defense and each military department use metrics to monitor and assess the quality of care provided at military treatment facilities.

(2) How, if at all, the use of such metrics varies among the Department of Defense and each military department.

(3) The extent to which the Department of Defense and each military department use the information from such metrics to identify and address issues such as the performance of individual health care providers and areas in need of improvement system-wide.

(4) The extent to which the Department of Defense and each military department oversee the process of using metrics to monitor and assess the quality of care provided at military treatment facilities.

TITLE VIIIAcquisition Policy, Acquisition Management, and Related Matters

subtitle AAcquisition Policy and Management

SEC. 801. Role of service chiefs in the acquisition process.

(a) Service chiefs as customer of acquisition process.—

(1) IN GENERAL.—Chapter 149 of title 10, United States Code, is amended by inserting after section 2546 the following new section:

§ 2546a. Customer-oriented acquisition system

“(a) Objective.—It shall be the objective of the defense acquisition system to meet the needs of its customers in the most cost-effective manner practicable. The acquisition policies, directives, and regulations of the Department of Defense shall be modified as necessary to ensure the development and implementation of a customer-oriented acquisition system.

“(b) Customer.—The customer of the defense acquisition system is the military service that will have primary responsibility for fielding the system or systems acquired. The customer is represented with regard to a major defense acquisition program by the Secretary of the relevant military department and the Chief of the relevant military service.

“(c) Role of customer.—The customer of a major defense acquisition program shall be responsible for balancing resources against priorities on the acquisition program and ensuring that appropriate trade-offs are made among cost, schedule, technical feasibility, and performance on a continuing basis throughout the life of the acquisition program.”.

(2) CLERICAL AMENDMENT.—The table of sections at the beginning of chapter 149 of such title is amended by inserting after the item relating to section 2546 the following new item:


“2546a. Customer-oriented acquisition system.”.

(b) Responsibilities of chiefs.—Section 2547(a) of title 10, United States Code, is amended—

(1) by redesignating paragraphs (2) through (6) as paragraphs (3) through (7), respectively;

(2) by inserting after paragraph (1) the following new paragraph:

“(2) Decisions regarding the balancing of resources and priorities, and associated trade-offs among cost, schedule, technical feasibility, and performance on major defense acquisition programs.”; and

(3) in paragraph (6), as redesignated by paragraph (1) of this subsection, by striking “The development” and inserting “The development and management”.

(c) Responsibilities of military deputies.—Section 908(d) of the National Defense Authorization Act for Fiscal Year 2008 (Public Law 110–181; 122 Stat. 278; 10 U.S.C. 2430 note) is amended to read as follows:

“(d) Duties of principal military deputies.—Each Principal Military Deputy to a service acquisition executive shall be responsible for—

“(1) keeping the Chief of Staff of the Armed Force concerned informed of the progress of major defense acquisition programs;

“(2) informing the Chief of Staff on a continuing basis of any developments on major defense programs, which may require new or revisited trade-offs among cost, schedule, technical feasibility, and performance, including—

“(A) significant cost growth or schedule slippage; and

“(B) requirements creep (as defined in section 2547(c)(1) of title 10, United States Code); and

“(3) ensuring that the views of the Chief of Staff on cost, schedule, technical feasibility, and performance trade-offs are strongly considered by program managers and program executive officers in all phases of the acquisition process.”.

(d) Conforming amendments.—

(1) JOINT REQUIREMENTS OVERSIGHT COUNCIL.—Section 181(d) of title 10, United States Code, is amended by adding at the end the following new paragraph:

“(3) The Council shall seek, and strongly consider, the views of the Chiefs of Staff of the Armed Forces, in their roles as customers of the acquisition system, on matters pertaining to trade-offs among cost, schedule, technical feasibility, and performance under subsection (b)(1)(C) and the balancing of resources with priorities pursuant to subsection (b)(3).”.

(2) MILESTONE A DECISIONS.—The chief of the relevant military service shall advise the milestone decision authority for a major defense acquisition program of the chief’s views on cost, schedule, technical feasibility, and performance trade-offs that have been made with regard to the program, as provided in section 2366a(a)(2) of title 10, United States Code, as amended by section 844 of this Act, prior to a Milestone A decision on the program.

(3) MILESTONE B DECISIONS.—The chief of the relevant military service shall advise the milestone decision authority for a major defense acquisition program of the chief’s views on cost, schedule, technical feasibility, and performance trade-offs that have been made with regard to the program, as provided in section 2366b(b)(3) of title 10, United States Code, as amended by section 845 of this Act, prior to a Milestone B decision on the program.

(4) DUTIES OF CHIEFS.—

(A) Section 3033(d)(5) of title 10, United States Code, is amended by striking “section 171” and inserting “sections 171 and 2547”.

(B) Section 5033(d)(5) of title 10, United States Code, is amended by striking “section 171” and inserting “sections 171 and 2547”.

(C) Section 5043(e)(5) of title 10, United States Code, is amended by striking “section 171” and inserting “sections 171 and 2547”.

(D) Section 8033(d)(5) of title 10, United States Code, is amended by striking “section 171” and inserting “sections 171 and 2547”.

SEC. 802. Expansion of rapid acquisition authority.

Section 806(c) of the Bob Stump National Defense Authorization Act for Fiscal Year 2003 (Public Law 107–314; 10 U.S.C. 2302 note) is amended to read as follows:

“(c) Response to combat emergencies and certain urgent operational needs.—

“(1) DETERMINATION OF NEED FOR RAPID ACQUISITION AND DEPLOYMENT.— (A) In the case of any supplies and associated support services that, as determined in writing by the Secretary of Defense, are urgently needed to eliminate a documented deficiency that has resulted in combat casualties, or is likely to result in combat casualties, the Secretary may use the procedures developed under this section in order to accomplish the rapid acquisition and deployment of the needed supplies and associated support services.

“(B) In the case of any supplies and associated support services that, as determined in writing by the Secretary of Defense, are urgently needed to eliminate a documented deficiency that impacts an ongoing or anticipated contingency operation and that, if left unfulfilled, could potentially result in loss of life or critical mission failure, the Secretary may use the procedures developed under this section in order to accomplish the rapid acquisition and deployment of the needed supplies and associated support services.

“(C) (i) In the case of any supplies and associated support services that, as determined in writing by the Secretary of Defense without delegation, are urgently needed to eliminate a deficiency that as the result of a cyber attack has resulted in critical mission failure, the loss of life, property destruction, or economic effects, or if left unfilled is likely to result in critical mission failure, the loss of life, property destruction, or economic effects, the Secretary may use the procedures developed under this section in order to accomplish the rapid acquisition and deployment of the needed offensive or defensive cyber capabilities, supplies, and associated support services.

“(ii) In this subparagraph, the term ‘cyber attack’ means a deliberate action to alter, disrupt, deceive, degrade, or destroy computer systems or networks or the information or programs resident in or transiting these systems or networks.

“(2) DESIGNATION OF SENIOR OFFICIAL RESPONSIBLE.— (A) Whenever the Secretary makes a determination under subparagraph (A), (B), or (C) of paragraph (1) that certain supplies and associated support services are urgently needed to eliminate a deficiency described in that subparagraph, the Secretary shall designate a senior official of the Department of Defense to ensure that the needed supplies and associated support services are acquired and deployed as quickly as possible, with a goal of awarding a contract for the acquisition of the supplies and associated support services within 15 days.

“(B) Upon designation of a senior official under subparagraph (A), the Secretary shall authorize that official to waive any provision of law, policy, directive, or regulation described in subsection (d) that such official determines in writing would unnecessarily impede the rapid acquisition and deployment of the needed supplies and associated support services. In a case in which the needed supplies and associated support services cannot be acquired without an extensive delay, the senior official shall require that an interim solution be implemented and deployed using the procedures developed under this section to minimize adverse consequences resulting from the urgent need.

“(3) USE OF FUNDS.— (A) In any fiscal year in which the Secretary makes a determination described in subparagraph (A), (B), or (C) of paragraph (1), the Secretary may use any funds available to the Department of Defense for acquisitions of supplies and associated support services if the determination includes a written finding that the use of such funds is necessary to address the deficiency in a timely manner.

“(B) The authority of this section may only be used to acquire supplies and associated support services—

“(i) in the case of determinations by the Secretary under paragraph (1)(A), in an amount aggregating not more than $200,000,000 during any fiscal year;

“(ii) in the case of determinations by the Secretary under paragraph (1)(B), in an amount aggregating not more than $200,000,000 during any fiscal year; and

“(iii) in the case of determinations by the Secretary under paragraph (1)(C), in an amount aggregating not more than $200,000,000 during any fiscal year.

“(4) NOTIFICATION TO CONGRESSIONAL DEFENSE COMMITTEES.— (A) In the case of a determination by the Secretary under paragraph (1)(A), the Secretary shall notify the congressional defense committees of the determination within 15 days after the date of the determination.

“(B) In the case of a determination by the Secretary under paragraph (1)(B) the Secretary shall notify the congressional defense committees of the determination at least 10 days before the date on which the determination is effective.

“(C) A notice under this paragraph shall include the following:

“(i) The supplies and associated support services to be acquired.

“(ii) The amount anticipated to be expended for the acquisition.

“(iii) The source of funds for the acquisition.

“(D) A notice under this paragraph shall be sufficient to fulfill any requirement to provide notification to Congress for a new start program.

“(E) A notice under this paragraph shall be provided in consultation with the Director of the Office of Management and Budget.

“(5) TIME FOR TRANSITIONING TO NORMAL ACQUISITION SYSTEM.—Any acquisition initiated under this subsection shall transition to the normal acquisition system not later than two years after the date on which the Secretary makes the determination described in paragraph (1) with respect to the supplies and associated support services concerned.

“(6) LIMITATION ON OFFICERS WITH AUTHORITY TO MAKE A DETERMINATION.—The authority to make a determination under subparagraph (A), (B), or (C) of paragraph (1) may be exercised only by the Secretary or Deputy Secretary of Defense.”.

SEC. 803. Middle tier of acquisition for rapid prototyping and rapid fielding.

(a) Guidance required.—Not later than 180 days after the date of the enactment of this Act, the Under Secretary of Defense for Acquisition, Technology, and Logistics, in consultation with the Comptroller of the Department of Defense and the Vice Chairman of the Joint Chiefs of Staff, shall establish guidance for a “middle tier” of acquisition programs that are intended to be completed in a period of two to five years.

(b) Acquisition pathways.—The guidance required by subsection (a) shall cover the following two acquisition pathways:

(1) RAPID PROTOTYPING.—The rapid prototyping pathway shall provide for the use of innovative technologies to rapidly develop fieldable prototypes to demonstrate new capabilities and meet emerging military needs. The objective of an acquisition program under this pathway shall be to field a prototype that can be demonstrated in an operational environment and provide for a residual operational capability within five years of the development of an approved requirement.

(2) RAPID FIELDING.—The rapid fielding pathway shall provide for the use of proven technologies to field production quantities of new or upgraded systems with minimal development required. The objective of an acquisition program under this pathway shall be to begin production within six months and complete fielding within five years of the development of an approved requirement.

(c) Expedited process.—

(1) IN GENERAL.—The guidance required by subsection (a) shall provide for a streamlined and coordinated requirements, budget, and acquisition process that results in the development of an approved requirement for each program in a period of not more than six months from the time that the process is initiated. Programs that are subject to the guidance shall not be subject to the Joint Capabilities Integration and Development System Manual and Department of Defense Directive 5000.01, except to the extent specifically provided in the guidance.

(2) RAPID PROTOTYPING.—With respect to the rapid prototyping pathway, the guidance shall include—

(A) a merit-based process for the consideration of innovative technologies and new capabilities to meet needs communicated by the Joint Chiefs of Staff and the combatant commanders;

(B) a process for developing and implementing acquisition and funding strategies for the program;

(C) a process for cost-sharing with the military departments on rapid prototype projects, to ensure an appropriate commitment to the success of such projects;

(D) a process for demonstrating and evaluating the performance of fieldable prototypes developed pursuant to the program in an operational environment; and

(E) a process for transitioning successful prototypes to new or existing acquisition programs for production and fielding under the rapid fielding pathway or the traditional acquisition system.

(3) RAPID FIELDING.—With respect to the rapid fielding pathway, the guidance shall include—

(A) a merit-based process for the consideration of existing products and proven technologies to meet needs communicated by the Joint Chiefs of Staff and the combatant commanders;

(B) a process for demonstrating performance and evaluating for current operational purposes the proposed products and technologies;

(C) a process for developing and implementing acquisition and funding strategies for the program; and

(D) a process for considering lifecycle costs and addressing issues of logistics support and system interoperability.

(4) STREAMLINED PROCEDURES.—The guidance for the programs may provide for any of the following streamlined procedures:

(A) The service acquisition executive of the military department concerned shall appoint a program manager for such program from among candidates from among civilian employees or members of the armed forces who have significant and relevant experience managing large and complex programs.

(B) The program manager for each program shall report with respect to such program directly, without intervening review or approval, to the service acquisition executive of the military department concerned.

(C) The service acquisition executive of the military department concerned shall evaluate the job performance of such manager on an annual basis. In conducting an evaluation under this paragraph, a service acquisition executive shall consider the extent to which the manager has achieved the objectives of the program for which the manager is responsible, including quality, timeliness, and cost objectives.

(D) The program manager of a defense streamlined program shall be authorized staff positions for a technical staff, including experts in business management, contracting, auditing, engineering, testing, and logistics, to enable the manager to manage the program without the technical assistance of another organizational unit of an agency to the maximum extent practicable.

(E) The program manager of a defense streamlined program shall be authorized, in coordination with the users of the equipment and capability to be acquired and the test community, to make trade-offs among life-cycle costs, requirements, and schedules to meet the goals of the program.

(F) The service acquisition executive, acting in coordination with the defense acquisition executive, shall serve as the milestone decision authority for the program.

(G) The program manager of a defense streamlined program shall be provided a process to expeditiously seek a waiver from Congress from any statutory or regulatory requirement that the program manager determines adds little or no value to the management of the program.

(d) Rapid prototyping fund.—

(1) IN GENERAL.—The Secretary of Defense shall establish a fund to be known as the “Department of Defense Rapid Prototyping Fund” to provide funds, in addition to other funds that may be available for acquisition programs under the rapid prototyping pathway established pursuant to this section. The Fund shall be managed by a senior official of the Department of Defense designated by the Under Secretary of Defense for Acquisition, Technology, and Logistics. The Fund shall consist of amounts appropriated to the Fund and amounts credited to the Fund pursuant to section 849 of this Act.

(2) TRANSFER AUTHORITY.—Amounts available in the Fund may be transferred to a military department for the purpose of carrying out an acquisition program under the rapid prototyping pathway established pursuant to this section. Any amount so transferred shall be credited to the account to which it is transferred. The transfer authority provided in this subsection is in addition to any other transfer authority available to the Department of Defense.

(3) CONGRESSIONAL NOTICE.—The senior official designated to manage the Fund shall notify the congressional defense committees of all transfers under paragraph (2). Each notification shall specify the amount transferred, the purpose of the transfer, and the total projected cost and estimated cost to complete the acquisition program to which the funds were transferred.

SEC. 804. Amendments to other transaction authority.

(a) Authority of the Defense Advanced Research Projects Agency to carry out certain prototype projects.—

(1) IN GENERAL.—Chapter 193 of title 10, United States Code, is amended by inserting after section 2371a the following new section:

§ 2371b. Authority of the Defense Advanced Research Projects Agency to carry out certain prototype projects

“(a) Authority.— (1) Subject to paragraph (2), the Director of the Defense Advanced Research Projects Agency, the Secretary of a military department, or any other official designated by the Secretary of Defense may, under the authority of section 2371 of this title, carry out prototype projects that are directly relevant to enhancing the mission effectiveness of military personnel and the supporting platforms, systems, components, or materials proposed to be acquired or developed by the Department of Defense, or to improvement of platforms, systems, components, or materials in use by the armed forces.

“(2) The authority of this section—

“(A) may be exercised for a prototype project that is expected to cost the Department of Defense in excess of $50,000,000 but not in excess of $250,000,000 (including all options) only upon a written determination by the senior procurement executive for the agency as designated for the purpose of section 1702(c) of title 41, or, for the Defense Advanced Research Projects Agency or the Missile Defense Agency, the director of the agency that—

“(i) the requirements of subsection (d) will be met; and

“(ii) the use of the authority of this section is essential to promoting the success of the prototype project; and

“(B) may be exercised for a prototype project that is expected to cost the Department of Defense in excess of $250,000,000 (including all options) only if—

“(i) the Under Secretary of Defense for Acquisition, Technology, and Logistics determines in writing that—

“(I) the requirements of subsection (d) will be met; and

“(II) the use of the authority of this section is essential to meet critical national security objectives; and

“(ii) the congressional defense committees are notified in writing at least 30 days before such authority is exercised.

“(3) The authority of a senior procurement executive or director of the Defense Advanced Research Projects Agency or Missile Defense Agency under paragraph (2)(A), and the authority of the Under Secretary of Defense for Acquisition, Technology, and Logistics under paragraph (2)(B), may not be delegated.

“(b) Exercise of authority.—

“(1) Subsections (e)(1)(B) and (e)(2) of such section 2371 shall not apply to projects carried out under subsection (a).

“(2) To the maximum extent practicable, competitive procedures shall be used when entering into agreements to carry out projects under subsection (a).

“(c) Comptroller general access to information.— (1) Each agreement entered into by an official referred to in subsection (a) to carry out a project under that subsection that provides for payments in a total amount in excess of $5,000,000 shall include a clause that provides for the Comptroller General, in the discretion of the Comptroller General, to examine the records of any party to the agreement or any entity that participates in the performance of the agreement.

“(2) The requirement in paragraph (1) shall not apply with respect to a party or entity, or a subordinate element of a party or entity, that has not entered into any other agreement that provides for audit access by a Government entity in the year prior to the date of the agreement.

“(3) (A) The right provided to the Comptroller General in a clause of an agreement under paragraph (1) is limited as provided in subparagraph (B) in the case of a party to the agreement, an entity that participates in the performance of the agreement, or a subordinate element of that party or entity if the only agreements or other transactions that the party, entity, or subordinate element entered into with Government entities in the year prior to the date of that agreement are cooperative agreements or transactions that were entered into under this section or section 2371 of this title.

“(B) The only records of a party, other entity, or subordinate element referred to in subparagraph (A) that the Comptroller General may examine in the exercise of the right referred to in that subparagraph are records of the same type as the records that the Government has had the right to examine under the audit access clauses of the previous agreements or transactions referred to in such subparagraph that were entered into by that particular party, entity, or subordinate element.

“(4) The head of the contracting activity that is carrying out the agreement may waive the applicability of the requirement in paragraph (1) to the agreement if the head of the contracting activity determines that it would not be in the public interest to apply the requirement to the agreement. The waiver shall be effective with respect to the agreement only if the head of the contracting activity transmits a notification of the waiver to Congress and the Comptroller General before entering into the agreement. The notification shall include the rationale for the determination.

“(5) The Comptroller General may not examine records pursuant to a clause included in an agreement under paragraph (1) more than three years after the final payment is made by the United States under the agreement.

“(d) Appropriate use of authority.— (1) The Secretary of Defense shall ensure that no official of an agency enters into a transaction (other than a contract, grant, or cooperative agreement) for a prototype project under the authority of this section unless one of following conditions is met:

“(A) There is at least one nontraditional defense contractor participating to a significant extent in the prototype project.

“(B) All parties to the transaction other than the Federal Government are innovative small businesses and non-traditional contractors with unique capabilities relevant to the prototype project.

“(C) At least one third of the total cost of the prototype project is to be paid out of funds provided by parties to the transaction other than the Federal Government.

“(D) The senior procurement executive for the agency determines in writing that exceptional circumstances justify the use of a transaction that provides for innovative business arrangements or structures that would not be feasible or appropriate under a contract.

“(2) (A) Except as provided in subparagraph (B), the amounts counted for the purposes of this subsection as being provided, or to be provided, by a party to a transaction with respect to a prototype project that is entered into under this section other than the Federal Government do not include costs that were incurred before the date on which the transaction becomes effective.

“(B) Costs that were incurred for a prototype project by a party after the beginning of negotiations resulting in a transaction (other than a contract, grant, or cooperative agreement) with respect to the project before the date on which the transaction becomes effective may be counted for purposes of this subsection as being provided, or to be provided, by the party to the transaction if and to the extent that the official responsible for entering into the transaction determines in writing that—

“(i) the party incurred the costs in anticipation of entering into the transaction; and

“(ii) it was appropriate for the party to incur the costs before the transaction became effective in order to ensure the successful implementation of the transaction.

“(e) Definitions.—In this section:

“(1) The term ‘nontraditional defense contractor’ has the meaning given the term under section 2302(9) of this title.

“(2) The term ‘small business’ means a small business concern as defined under section 3 of the Small Business Act (15 U.S.C. 632).

“(f) Follow-on production contracts or transactions.— (1) A transaction entered into under this section for a prototype project may provide for the award of a follow-on production contract or transactions to the participants in the transaction.

“(2) A follow-on production contract or transaction provided for in a transaction under paragraph (1) may be awarded to the participants in the transaction without the use of competitive procedures, notwithstanding the requirements of section 2304 of this title, if—

“(A) competitive procedures were used for the selection of parties for participation in the transaction; and

“(B) the participants in the transaction successfully completed the prototype project provided for in the transaction.

“(3) Contracts and transactions entered into pursuant to this subsection may be awarded using the authority in subsection (a), under the authority of chapter 137 of this title, or under such procedures, terms, and conditions as the Secretary of Defense may establish by regulation.

“(g) Authority to provide prototypes and follow-on production items as government furnished equipment.—An agreement entered pursuant to the authority of subsection (a) or a follow-on contract entered pursuant to the authority of subsection (f) may provide for prototypes or follow-on production items to be provided to another contractor as government-furnished equipment.

“(h) Applicability of procurement ethics requirements.—An agreement entered into under the authority of this section shall be treated as a Federal agency procurement for the purposes of chapter 21 of title 41.”.

(2) CLERICAL AMENDMENT.—The table of sections at the beginning of chapter 139 of such title is amended by inserting after the item relating to section 2371a the following new item:


“2371b. Authority of the Defense Advanced Research Projects Agency to carry out certain prototype projects.”.

(b) Modification to definition of non-traditional contractor.—Section 2302(9) of such title is amended to read as follows:

“(9) The term ‘nontraditional defense contractor’, with respect to a procurement or with respect to a transaction authorized under section 2371(a) of this title, means an entity that—

“(A) is not currently performing and has not performed, for at least the one-year period preceding the solicitation of sources by the Department of Defense for the procurement or transaction, any contract or subcontract that is subject to full coverage under the cost accounting standards prescribed pursuant to 1502 of title 41 and the regulations implementing such section; and

“(B) has not been awarded, for at least the one-year period preceding the solicitation of sources by the Department of Defense for the procurement or transaction, any other contract under which the contractor was required to submit certified cost or pricing data under section 2306a of this title.”.

(c) Repeal of obsolete authority.—Section 845 of the National Defense Authorization Act for Fiscal Year 1994 (Public Law 103–160; 10 U.S.C. 2371 note) is hereby repealed.

(d) Technical and conforming amendment.—Section 1601(c)(1) of the National Defense Authorization Act for Fiscal Year 2004 (Public Law 108–136; 10 U.S.C. 2370a note) is amended by restating subparagraph (B) to read as follows:

“(B) sections 2371 and 2371b of title 10, United States Code.”.

SEC. 805. Use of alternative acquisition paths to acquire critical national security capabilities.

(a) Guidelines.—The Secretary of Defense shall establish procedures and guidelines for alternative acquisition pathways to acquire capital assets and services that meet critical national security needs. The guidelines shall—

(1) be separate from existing acquisition procedures and guidelines;

(2) be supported by streamlined contracting, budgeting, and requirements processes;

(3) establish alternative acquisition paths based on the capabilities being bought and the time needed to deploy these capabilities; and

(4) maximize the use of flexible authorities in existing law and regulation.

(b) Report.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the congressional defense committees a report that includes a summary of the guidelines established under subsection (a) and recommendations for any legislation necessary to meet the objectives set forth in subsection (a) and to implement the guidelines established under such subsection.

SEC. 806. Secretary of Defense waiver of acquisition laws to acquire vital national security capabilities.

(a) Waiver authority.—The Secretary of Defense is authorized to waive any provision of acquisition law or regulation described in subsection (c) for the purpose of acquiring a capability that would not otherwise be available to the Armed Forces of the United States, upon a determination that—

(1) the acquisition of the capability is in the vital national security interest of the United States;

(2) the application of the law or regulation to be waived would impede the acquisition of the capability in a manner that would undermine the national security of the United States; and

(3) the underlying purpose of the law or regulation to be waived can be addressed in a different manner or at a different time.

(b) Designation of responsible official.—Whenever the Secretary of Defense makes a determination under subsection (a)(1) that the acquisition of a capability is in the vital national security interest of the United States, the Secretary shall designate a senior official of the Department of Defense who shall be personally responsible and accountable for the rapid and effective acquisition and deployment of the needed capability. The Secretary shall provide the designated official such authority as the Secretary determines necessary to achieve this objective, and may use the waiver authority in subsection (a) for this purpose.

(c) Acquisition laws and regulations.—

(1) IN GENERAL.—Upon a determination described in subsection (a), the Secretary of Defense is authorized to waive any provision of law or regulation addressing—

(A) the establishment of a requirement or specification for the capability to be acquired;

(B) research, development, test, and evaluation of the capability to be acquired;

(C) production, fielding, and sustainment of the capability to be acquired; or

(D) solicitation, selection of sources, and award of contracts for the capability to be acquired.

(2) LIMITATIONS.—Nothing in this subsection authorizes the waiver of—

(A) the requirements of this section;

(B) any provision of law imposing civil or criminal penalties; or

(C) any provision of law governing the proper expenditure of appropriated funds.

(d) Report to Congress.—The Secretary of Defense shall notify the congressional defense committees at least 30 days before exercising the waiver authority under subsection (a). Each such notice shall include—

(1) an explanation of the basis for determining that the acquisition of the capability is in the vital national security interest of the United States;

(2) an identification of each provision of law or regulation to be waived; and

(3) for each provision identified pursuant to paragraph (2)—

(A) an explanation of why the application of the provision would impede the acquisition in a manner that would undermine the national security of the United States; and

(B) a description of the time or manner in which the underlying purpose of the law or regulation to be waived will be addressed.

(e) Non-delegation.—The authority of the Secretary to waive provisions of laws and regulations under subsection (a) is non-delegable.

SEC. 807. Acquisition authority of the Commander of United States Cyber Command.

(a) Authority.—

(1) IN GENERAL.—The Commander of the United States Cyber Command shall be responsible for, and shall have the authority to conduct, the following acquisition activities:

(A) Development and acquisition of cyber operations-peculiar equipment and capabilities.

(B) Acquisition of cyber capability-peculiar equipment, capabilities, and services.

(2) ACQUISITION FUNCTIONS.—Subject to the authority, direction, and control of the Secretary of Defense, the Commander shall have authority to exercise the functions of the head of an agency under chapter 137 of title 10, United States Code.

(b) Command acquisition executive.—

(1) IN GENERAL.—The staff of the Commander shall include a command acquisition executive, who shall be responsible for the overall supervision of acquisition matters for the United States Cyber Command. The command acquisition executive shall have the authority—

(A) to negotiate memoranda of agreement with the military departments to carry out the acquisition of equipment, capabilities, and services described in subsection (a)(1) on behalf of the Command;

(B) to supervise the acquisition of equipment, capabilities, and services described in subsection (a)(1);

(C) to represent the Command in discussions with the military departments regarding acquisition programs for which the Command is a customer; and

(D) to work with the military departments to ensure that the Command is appropriately represented in any joint working group or integrated product team regarding acquisition programs for which the Command is a customer.

(2) DELIVERY OF ACQUISITION SOLUTIONS.—The command acquisition executive of the United States Cyber Command shall be—

(A) responsible to the Commander for rapidly delivering acquisition solutions to meet validated cyber operations-peculiar requirements;

(B) subordinate to the defense acquisition executive in matters of acquisition;

(C) subject to the same oversight as the service acquisition executives; and

(D) included on the distribution list for acquisition directives and instructions of the Department of Defense.

(c) Acquisition personnel.—

(1) IN GENERAL.—The Secretary of Defense shall provide the United States Cyber Command with the personnel or funding equivalent to ten full-time equivalent personnel to support the Commander in fulfilling the acquisition responsibilities provided for under this section with experience in—

(A) program acquisition;

(B) the Joint Capabilities Integration and Development System Process;

(C) program management;

(D) system engineering; and

(E) costing.

(2) EXISTING PERSONNEL.—The personnel provided under this subsection shall be provided from among the existing personnel of the Department of Defense.

(d) Inspector general activities.—The staff of the Commander of the United States Cyber Command shall on a periodic basis include a representative from the Department of Defense Office of Inspector General who shall conduct internal audits and inspections of purchasing and contracting actions through the United States Cyber Command and such other Inspector General functions as may be assigned.

(e) Budget.—In addition to the activities of a combatant command for which funding may be requested under section 166(b) of title 10, United States Code, the budget proposal of the United States Cyber Command shall include requests for funding for—

(1) development and acquisition of cyber operations-peculiar equipment; and

(2) acquisition of other capabilities or services that are peculiar to offensive cyber operations activities.

(f) Cyber Operations Procurement Fund.—There is authorized to be appropriated for each of fiscal years 2016 through 2021, out of funds made available for procurement, Defense-wide, $75,000,000 for a Cyber Operations Procurement Fund to support acquisition activities provided for under this section.

(g) Rule of construction regarding intelligence and special activities.—Nothing in this section shall be construed to constitute authority to conduct any activity which, if carried out as an intelligence activity by the Department of Defense, would require a notice to the Select Committee on Intelligence of the Senate and the Permanent Select Committee on Intelligence of the House of Representatives under title V of the National Security Act of 1947 (50 U.S.C. 3091 et seq.).

(h) Sunset.—

(1) IN GENERAL.—The authority under this section shall terminate on September 30, 2021.

(2) LIMITATION ON DURATION OF ACQUISITIONS.—The authority under this section does not include major defense acquisitions or acquisitions of foundational infrastructure or software architectures the duration of which is expected to last more than five years.

SEC. 808. Advisory panel on streamlining and codifying acquisition regulations.

(a) Establishment.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall establish under the sponsorship of the Defense Acquisition University and the National Defense University an advisory panel on streamlining acquisition regulations.

(b) Membership.—The panel shall be composed of at least nine individuals who are recognized experts in acquisition and procurement policy. In making appointments to the advisory panel, the Under Secretary shall ensure that the members of the panel reflect diverse experiences in the public and private sectors.

(c) Duties.—The panel shall—

(1) review the acquisition regulations applicable to the Department of Defense with a view toward streamlining and improving the efficiency and effectiveness of the defense acquisition process and maintaining defense technology advantage; and

(2) make any recommendations for the amendment or repeal of such regulations that the panel considers necessary, as a result of such review, to—

(A) establish and administer appropriate buyer and seller relationships in the procurement system;

(B) improve the functioning of the acquisition system;

(C) ensure the continuing financial and ethical integrity of defense procurement programs;

(D) protect the best interests of the Department of Defense; and

(E) eliminate any regulations that are unnecessary for the purposes described in subparagraphs (A) through (D).

(d) Administrative matters.—

(1) IN GENERAL.—The Secretary of Defense shall provide the advisory panel established pursuant to subsection (a) with timely access to appropriate information, data, resources, and analysis so that the advisory panel may conduct a thorough and independent assessment as required under such subsection.

(2) INAPPLICABILITY OF FACA.—The requirements of the Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to the advisory panel established pursuant to subsection (a).

(e) Report.—

(1) PANEL REPORT.—Not later than two years after the date on which the Secretary of Defense establishes the advisory panel, the panel shall transmit a final report to the Secretary.

(2) ELEMENTS.—The final report shall contain a detailed statement of the findings and conclusions of the panel, including—

(A) a history of each current acquisition regulation and a recommendation as to whether the regulation and related law (if applicable) should be retained, modified, or repealed; and

(B) such additional recommendations for legislation as the panel considers appropriate.

(3) INTERIM REPORTS.— (A) Not later than 6 months and 18 months after the date of the enactment of this Act, the Secretary of Defense shall submit a report to or brief the congressional defense committees on the interim findings of the panel with respect to the elements set forth in paragraph (2).

(B) The panel shall provide regular updates to the Secretary of Defense for purposes of providing the interim reports required under this paragraph.

(4) FINAL REPORT.—Not later than 30 days after receiving the final report of the advisory panel, the Secretary of Defense shall transmit the final report, together with such comments as the Secretary determines appropriate, to the congressional defense committees.

(f) Defense Acquisition Workforce Development Fund support.—The Secretary of Defense may use amounts available in the Department of Defense Acquisition Workforce Development Fund established under section 1705 of title 10, United States Code, to support activities of the advisory panel under this section.

SEC. 809. Review of time-based requirements process and budgeting and acquisition systems.

(a) Time-based requirements process.—The Secretary of Defense and the Chairman of the Joint Chiefs of Staff shall review the requirements process with the goal of establishing an agile and streamlined system that develops requirements that provide stability and foundational direction for acquisition programs. The requirements system should be informed by technological market research and provide a time-based or phased distinction between capabilities needed to be deployed urgently, within 2 years, within 5 years, and longer than 5 years.

(b) Budgeting and acquisition systems.—The Secretary of Defense shall review and ensure that the acquisition and budgeting systems are structured to meet time-based or phased requirements in a manner that is predictable, cost effective, and efficient and takes advantage of emerging technological developments. The Secretary shall make all necessary changes in regulation and policy to achieve a time-based requirements, budgeting, and acquisition system and shall identify and report to Congress within 180 days after the date of the enactment of this Act on any statutory impediments to achieving such a system.

SEC. 810. Improvement of program and project management by the Department of Defense.

(a) Department-wide responsibilities of Secretary of Defense.—In fulfilling the responsibilities under chapter 87 of title 10, United States Code, the Secretary of Defense shall—

(1) develop Department-wide standards, policies, and guidelines for program and project management for the Department of Defense based on appropriate and applicable nationally accredited standards for program and project management;

(2) develop polices to monitor compliance with the standards, policies, and guidelines developed under paragraph (1); and

(3) engage with the private sector on matters relating to program and project management for the Department.

(b) Responsibilities of USD (ATL).—In fulfilling the responsibilities under chapter 87 of title 10, United States Code, for the military departments and the Defense Agencies, the Under Secretary of Defense for Acquisition, Technology, and Logistics shall—

(1) advise and assist Secretary of Defense with respect Department of Defense practices related to program and project management;

(2) review programs identified as high-risk in program and project management by the Government Accountability Office, and make recommendations for actions to be taken by the Secretary to mitigate such risks;

(3) assess matters of importance to the workforce in program and project management, including—

(A) career development and workforce development;

(B) policies to support continuous improvement in program and project management; and

(C) major challenges of the Department in managing programs and projects; and

(4) advise on the development and applicability of standards Department-wide for program and project management transparency.

(c) Responsibilities of acquisition executives.—In fulfilling the responsibilities under chapter 87 of title 10, United States Code, for the military departments, the service acquisition executives (in consultation with the Chiefs of the Armed Forces with respect to military program managers), and the component acquisition executives for the Defense Agencies, shall—

(1) ensure the compliance of the department or Agency concerned with standards, policies, and guidelines for program and project management for the Department of Defense developed by the Secretary of Defense under subsection (a)(1); and

(2) ensure the effective career development of program managers through—

(A) training and educational opportunities for program managers, including exchange programs with the private sector;

(B) mentoring of current and future program managers by experienced public and private sector senior executives and program managers;

(C) continued refinement of career paths and career opportunities for program managers;

(D) incentives for the recruitment of highly qualified individuals to serve as program managers;

(E) improved means of collecting and disseminating best practices and lessons learned to enhance program management; and

(F) improved methods to support improved data gathering and analysis for program management and oversight purposes.

(d) Deadline for standards, policies, and guidelines.—Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall issue the standards, policies, and guidelines required by subsection (a)(1). The Secretary shall provide Congress an interim update on the progress made in implementing this section not later than six months after the date of the enactment of this Act.

subtitle BAmendments to General Contracting Authorities, Procedures, and Limitations

SEC. 821. Preference for fixed-price contracts in determining contract type for development programs.

(a) Establishment of preference.—Not later than 180 days after the date of the enactment of this Act, the Defense Federal Acquisition Regulation Supplement shall be revised to establish a preference for fixed-price contracts, including fixed-price incentive fee contracts, in the determination of contract type for development programs.

(b) Technical and conforming changes.—Section 818(c) of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109–364; 120 Stat. 2329) is amended—

(1) in the first sentence, by inserting “or major automated information system” after “major defense acquisition program”; and

(2) by striking the second sentence.

SEC. 822. Applicability of cost and pricing data and certification requirements.

Section 2306a(b)(1) of title 10, United States Code, is amended—

(1) in subparagraph (B), by striking “; or” and inserting a semicolon;

(2) in subparagraph (C), by striking the period at the end and inserting “; or”; and

(3) by adding at the end the following new subparagraph:

    “(D) to the extent such data relates to an offset agreement in connection with a contract for the sale of a weapon system or defense-related item to a foreign country or foreign firm.”.

SEC. 823. Risk-based contracting for smaller contract actions under the Truth in Negotiations Act.

(a) Increase in thresholds.—Subsection (a) of section 2306a of title 10, United States Code, is amended—

(1) in paragraph (1)—

(A) by striking “December 5, 1990” each place it appears and inserting “January 15, 2016”;

(B) by striking “$500,000” each place it appears and inserting “$5,000,000”; and

(C) by striking “$100,000” each place it appears and inserting “$750,000”; and

(2) in paragraph (7), by striking “fiscal year 1994 constant dollar value” and inserting “fiscal year 2016 constant dollar value”.

(b) Risk-based contracting.—Subsection (c) of such section is amended to read as follows:

“(c) Cost or pricing data on below-threshold contracts.—

“(1) AUTHORITY TO REQUIRE SUBMISSION.—Subject to paragraph (4), when certified cost or pricing data are not required to be submitted by subsection (a) for a contract, subcontract, or modification of a contract or subcontract, such data may nevertheless be required to be submitted by the head of the procuring activity, if the head of the procuring activity—

“(A) determines that such data are necessary for the evaluation by the agency of the reasonableness of the price of the contract, subcontract, or modification of a contract or subcontract; or

“(B) requires the submission of such data in accordance with a risk-based contracting approach established pursuant to paragraph (3).

“(2) WRITTEN DETERMINATION REQUIRED.—In any case in which the head of the procuring activity requires certified cost or pricing data to be submitted under paragraph (1)(A), the head of the procuring activity shall justify in writing the reason for such requirement.

“(3) RISK-BASED CONTRACTING.—The head of an agency shall establish a risk-based sampling approach under which the submission of certified cost or pricing data may be required for a risk-based sample of contracts, the price of which is expected to exceed the dollar amount in subsection (a)(1)(A)(ii), but not the amount in subsection (a)(1)(A)(i). The authority to require certified cost or pricing data under this paragraph shall not apply to any contract of an offeror that has not been awarded, for at least the one-year period preceding the issuance of a solicitation for the contract, any other contract in excess of the amount in subsection (a)(1)(A)(i) under which the offeror was required to submit certified cost or pricing data under this section.

“(4) EXCEPTION.—The head of the procuring activity may not require certified cost or pricing data to be submitted under this subsection for any contract or subcontract, or modification of a contract or subcontract, covered by the exceptions in subparagraph (A) or (B) of subsection (b)(1).

“(5) DELEGATION OF AUTHORITY PROHIBITED.—The head of a procuring activity may not delegate functions under this subsection.”.

SEC. 824. Limitation on use of reverse auction and lowest price technically acceptable contracting methods.

Not later than 180 days after the date of the enactment of this Act, the Federal Acquisition Regulation and the Defense Supplement to the Federal Acquisition Regulation shall be amended—

(1) to prohibit the use by the Department of Defense of reverse auction or lowest price technically acceptable contracting methods for the procurement of personal protective equipment where the level of quality or failure of the item could result in combat casualties; and

(2) to establish a preference for the use of best value contracting methods for the procurement of such equipment.

SEC. 825. Rights in technical data.

(a) Rights in technical data relating to major weapon systems.—Paragraph (2) of section 2321(f) of title 10, United States Code, is amended to read as follows:

“(2) In the case of a challenge to a use or release restriction that is asserted with respect to technical data of a contractor or subcontractor for a major system or a subsystem or component thereof on the basis that the major weapon system, subsystem, or component was developed exclusively at private expense—

“(A) the presumption in paragraph (1) shall apply—

“(i) with regard to a commercial subsystem or component of a major system, if the major system was acquired as a commercial item in accordance with section 2379(a) of this title;

“(ii) with regard to a component of a subsystem, if the subsystem was acquired as a commercial item in accordance with section 2379(b) of this title; and

“(iii) with regard to any other component, if the component is a commercially available off-the-shelf item or a commercially available off-the-shelf item with modifications of a type customarily available in the commercial marketplace or minor modifications made to meet Federal Government requirements; and

“(B) in all other cases, the challenge to the use or release restriction shall be sustained unless information provided by the contractor or subcontractor demonstrates that the item was developed exclusively at private expense.”.

(b) Government-industry advisory panel.—

(1) ESTABLISHMENT.—Not later than 90 days after the date of the enactment of this Act, the Secretary of Defense, acting through the Under Secretary of Defense for Acquisition, Technology, and Logistics, shall establish a government-industry advisory panel for the purpose of reviewing sections 2320 and 2321 of title 10, United States Code, regarding rights in technical data and the validation of proprietary data restrictions and the regulations implementing such sections, for the purpose of ensuring that such statutory and regulatory requirements are best structured to serve the interests of the taxpayers and the national defense.

(2) MEMBERSHIP.—The panel shall be chaired by an individual selected by the Under Secretary, and the Under Secretary shall ensure that—

(A) the government members of the advisory panel are knowledgeable about technical data issues and appropriately represent the three military departments, as well as the legal, acquisition, logistics, and research and development communities in the Department of Defense; and

(B) the private sector members of the advisory panel include independent experts and individuals appropriately representative of the diversity of interested parties, including large and small businesses, traditional and non-traditional government contractors, prime contractors and subcontractors, suppliers of hardware and software, and institutions of higher education.

(3) SCOPE OF REVIEW.—In conducting the review required by paragraph (1), the advisory panel shall give appropriate consideration to the following factors:

(A) Ensuring that the Department of Defense does not pay more than once for the same work.

(B) Ensuring that Department of Defense contractors are appropriately rewarded for their innovation and invention.

(C) Providing for cost-effective reprocurement, sustainment, modification, and upgrades to Department of Defense systems.

(D) Encouraging the private sector to invest in new products, technologies, and processes relevant to the missions of the Department of Defense.

(E) Ensuring that the Department of Defense has appropriate access to innovative products, technologies, and processes developed by the private sector for commercial use.

(4) FINAL REPORT.—Not later than September 30, 2016, the advisory panel shall submit its final report and recommendations to the Secretary of Defense. Not later than 60 days after receiving the report, the Secretary shall submit a copy of the report, together with any comments or recommendations, to the congressional defense committees.

SEC. 826. Procurement of supplies for experimental purposes.

(a) Additional procurement authority.—Subsection (a) of section 2373 of title 10, United States Code, is amended by inserting “transportation, energy, medical, space-flight,” before “and aeronautical supplies”.

(b) Applicability of chapter 137 of title 10, United States Code.—Subsection (b) of such section is amended by striking “only when such purchases are made in quantity” and inserting “only when such purchases are made in quantities greater than necessary for experimentation, technical evaluation, assessment of operational utility, or safety or to provide a residual operational capability”.

SEC. 827. Extension of authority to acquire products and services produced in countries along a major route of supply to Afghanistan.

Section 801(f) of the National Defense Authorization Act for Fiscal Year 2010 (Public Law 111–84; 123 Stat. 2399), as most recently amended by section 832(a) of the National Defense Authorization Act for Fiscal Year 2014 (Public Law 113–66; 127 Stat. 814), is further amended by striking “December 31, 2015” and inserting “December 31, 2016”.

SEC. 828. Reporting related to failure of contractors to meet goals under negotiated comprehensive small business subcontracting plans.

Paragraph (2) of section 834(d) of the National Defense Authorization Act for Fiscal Years 1990 and 1991 (15 U.S.C. 637 note), as added by section 821(d)(2) of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (