1 

DCMA Administrative Record for FY 2013 Furlough Appeals 

TABLE OF CONTENTS

Location

(tab)

Agency 

File Part

Date Document Source

1 Part 1 of 5 9/16/2013 DOD Comptroller Hale affidavit Agency

2 8/6/2013 Background Briefing on the Status of the DOD 

Civilian Furlough Planning Efforts in The Pentagon 

Briefing Room

Agency

3 8/6/2013 SECDEF Chuck Hagel’s Message on Reducing 

Civilian Furloughs

Agency

4 7/10/2013 DCMA Furlough Information (Web) Agency

5 7/6/2013 DCMA Furlough Resources and Info Agency

6 6/28/2013 ASD memo “Civilian Furloughs and Total Force 

Management”

Agency

7 5/30/2013 FY 13 Administrative Furlough Requirements

For Deciding Officials

Agency

8 5/23/2013 Additional Guidance for Handling Budgetary 

Uncertainty in FY 2013”

Agency

9 5/21/2013 OASD Supplemental Guidance on LWOP For DOD 

Civilian Employees on Administrative Furlough”

Agency

10 5/14/2013 Department of Defense Background Briefing on 

Civilian Furloughs from the Pentagon

Agency

11 5/14/2013 SECDEF Memo, “Furloughs” Agency

12 5/14/2013 DCMA Director Williams Message on Furloughs Agency 

13 5/6/2013 DCMA Director Williams Message on Furloughs Agency

14 4/4/2013 Ongoing Implementation of the Joint Committee 

Sequestration

Agency

15 3/21/2013 DCMA Director Williams Message on Furloughs Agency

16 3/21/2013 OSD Statement Delay of Implementing Furlough 

Notices

Agency

17 Part 2 of 5 3/8/2013 OPM Guidance on Administrative Furloughs (with 

supplements)

Agency

18 3/5/2013 USD Additional Guidance for Handling Budget 

Uncertainty for FY 2013

Agency

19 3/1/2013 DSD letters to various state Governors Agency

20 3/1/2013 MOU between AFGE Council C170 and DCMA Agency/ 

AFGE

21 3/1/2013 EO President, Issuance of Sequestration Order 

Pursuant to Section 215A of the BB and Emergency 

Deficit Control Act of 1985 as Amended

Agency

22 3/1/2013 Sequestration Order for FY 2013 Agency

23 3/1/2013 DOD Press Briefing on Sequestration from the

Pentagon

Agency
2 

24 Part 3 of 5 2/27/2013 EO President, Agency Responsibilities For 

Implementation of Potential Joint Committee 

Sequestration

Agency

25 2/21/2013 OASD, “Total Force Management and Budgetary 

Uncertainty”

Agency

26 2/20/2013 SDEF Preparation for Potential Sequestration 

Agency On March 1 and Furlough Notifications

Agency

27 1/14/2013 OMB Memo, “Planning for Uncertainty with 

Respect to Fiscal Year 2013 Budgetary Resources” 

Agency 

28 1/10/2013 DSD, “Handling Budgetary Uncertainty in FY 

2013” 

Agency 

29 1/2/2013 “American Taxpayer Relief Act of 2012” Agency 

30 12/20/2012 SECDEF “Implications of Ongoing Fiscal Cliff 

Negotiations”

Agency 

31 9/25/2012 Guidance on FY 2013 Joint Committee 

Sequestration

Agency 

32 7/31/2012 Issues Raised by Potential Sequestration Pursuant to 

Section 251A of the Balanced Budget and 

Emergency Deficit Control Act of 1985 

Agency 

33 6/3/2012 DSD “Guidance for Limitations on Aggregate 

Amount Available for Contracted Services” 

Agency 

34 3/2/2012 USD “Guidance Related to the Utilization of 

Agency Military Manpower to Perform Certain 

Functions”

Agency

35 3/1/2012 Organization Chart of the DOD SECDEF Agency

36 12/1/2011 USD, “Prohibition on converting Certain Functions 

to Contract Performance”

Agency

37 8/2/2011 “Budget Control Act of 2011” Agency

38 4/12/2010 DODI “Policy and Procedures for Determining

Workforce Mix”

Agency

39 Part 4 of 5 1/11/2006 AFGE Council C170 and DCMA CBA Agency/

AFGE

40 Part 5 of 5 10 USC § 113 “Secretary of Defense” Agency

41 10 USC § 111 “Executive Departments” Agency

42 5 CFR § 752 Agency

43 5 CFR § 359 Agency
1

DCMA Administrative Record for FY 2013 Furlough Appeals

TABLE OF CONTENTS

Part 1

Location

(tab)

Agency 

File Part

Date Document Source

1 Part 1 of 5 9/16/2013 DOD Comptroller Hale affidavit Agency

2 8/6/2013 Background Briefing on the Status of the DOD 

Civilian Furlough Planning Efforts in The Pentagon 

Briefing Room

Agency

3 8/6/2013 SECDEF Chuck Hagel’s Message on Reducing 

Civilian Furloughs

Agency

4 7/10/2013 DCMA Furlough Information (Web) Agency

5 7/6/2013 DCMA Furlough Resources and Info Agency

6 6/28/2013 ASD memo “Civilian Furloughs and Total Force 

Management”

Agency

7 5/30/2013 FY 13 Administrative Furlough Requirements

For Deciding Officials

Agency

8 5/23/2013 Additional Guidance for Handling Budgetary 

Uncertainty in FY 2013”

Agency

9 5/21/2013 OASD Supplemental Guidance on LWOP For DOD 

Civilian Employees on Administrative Furlough”

Agency

10 5/14/2013 Department of Defense Background Briefing on 

Civilian Furloughs from the Pentagon

Agency

11 5/14/2013 SECDEF Memo, “Furloughs” Agency

12 5/14/2013 DCMA Director Williams Message on Furloughs Agency 

13 5/6/2013 DCMA Director Williams Message on Furloughs Agency

14 4/4/2013 Ongoing Implementation of the Joint Committee 

Sequestration

Agency

15 3/21/2013 DCMA Director Williams Message on Furloughs Agency

16 3/21/2013 OSD Statement Delay of Implementing Furlough 

Notices

Agency
Personal Background 

UNITED STATES OF AMERICA 

MERIT SYSTEMS PROTECTION BOARD 

DECLAMTION OF ROBERT F. HALE 

I, Robert F. Hale, beving personal knowledge of the facts contained in this declaration 

and being competent to testify to them, hereby state as follows: 

1. I currently serve as the Under Secretary of Defense (Comptroller)/ChiefFinancial 

Officer in the United States Department of Defense ("DoD" or "the Department"). I have held 

this position since February 2009 following my nomination by President Barack Obama. 

confirmation by the United States Senate, and appointment by President Obama. 

2. Prior to my appointment, I served as the Executive Director of the American 

Society of Military Comptrollers (ASMC), the professional association of Defense financial 

managers. As Executive Director, I led the ASMC's certification program (the Certified Defense 

Financial Manager program), and oversaw other training programs, the society's professional 

journal, and the ASMC's National Professional Development Institute, an mmual conference 

attracting more than 3,500 participants. Prior to my ASMC tenure, from 1994 to 200 I, I served 

in the Pentagon as the Assistant Secretary of the Air Force (Financial Management and 

Comptroller), where I was responsible for armual budgets in excess of$70 billion, efforts to 

streamline Air Force financial management, and compliance with the Chief Financial Officers 

Act. In addition, from 1982 to 1994, I headed the National Security Division at the 

Congressional Budget Office, developing quantitative analyses of major defense budget issues 

and testifying frequently before congressional committees. During my career, I was also a 

senior fellow and bead of the acquisition and grants management group at LMI, a consulting finn 

DCMA Administrative Record for FY 2013 Furlough Appeals 001
specializing in service to the Federal government. I also spent 3 years as an active duty officer in 

the U.S. Navy and served as a staff analyst and study director at the Center for Naval Analysis. 

3. I graduated with honors from Stanford University with a Bachelor of Science 

(B.S.) in mathematics and statistics. I also hold a Master's degree in operations research from 

Stanford and a Master of Business Administration (MBA) degree from the George Washington 

University. I am a Certified Defense Financial Manager (CDFM). I am a fellow of the National 

Academy of Public Administration and a past member of the Defense Business Board, a highlevel Pentagon advisory panel. In addition, I am the recipient of the Department of Defense 

Exceptional Public Service Award, the Air Force Distinguished Service Award, and the National 

Defense Medal. 

4. In my current position as Under Secretary of Defense (Comptroller), I am the 

principal advisor to Secretary of Defense Hagel on all budgetary and fiscal matters, including the 

development and execution of DoD's annual budget of more than $500 billion, which pays for 

day-to--day and wartime requirements. As Chief Financial Officer, I also oversee the 

Department's financial policy, financial management systems, and business modernization 

efforts. I served in the same capacity for former Secretaries of Defense Panetta and Gates. 

Qyeniew of Seauestration and Its Impact on the Department of Defense 

5. As the Department's Comptroller, I have advised both Secretary Hagel and 

former Secretary Panetta regarding the Department's reduced funding levels and the impact of 

sequestration on the Department's budget and the various options, including furloughs, for 

addressing such impact. I advised that an administrative furlough was a management tool that 

would result in a predictable, recurring amount of money being available for use by the 

2 

DCMA Administrative Record for FY 2013 Furlough Appeals 002
Department to contribute to addressing the negative fiscal impacts of sequestration, operating for 

a full-year under a continuing resolution, and increasing war requirements. 

6. By way of background, the Budget Control Act (BCA) of2011, which was 

enacted in August 2011, provided for a projected $1.2 trillion in automatic spending cuts, if 

Congress failed to enact deficit reduction legislation by adopting the recommendations of the 

Joint Select Committee on Deficit Reduction by January 15,2012. The cuts were to be evenly 

divided: (1) over a 9-yearperiod beginning in 2013 and ending in 2021, and (2) between defense 

spending and discretionary domestic spending. Known as sequestration (or sequester). the above 

process of automatic spending cuts was intended as a means of encouraging compromise on 

deficit reduction efforts. When no such compromise was reached, however, the mandatory 

budget cuts (including $109 billion in total cuts for fiscal year 2013) were scheduled to go into 

effect on January 2, 2013. Passage of the American Taxpayer Relief Act on January 2, 2013, 

delayed the mandatory budget cuts until March I, 2013. 

7. As of February 2013, the Department anticipated, absent another postponement or 

a compromise, that by the end of the following month, its share of the sequester for fiscal year 

2013 would result in an approximate $42 billion reduction in the Department's total 

discretionary budgetary topline (later recalculated by the Office of Management and Budget at 

$37 billion) with virtually every budget account in the Department's budget- including wartime 

funding but excluding military personnel accounts - cut by as much as 9 percent. 

8. In addition to sequestration, the Department anticipated further budgetary 

constraints if the funding levels for the remainder of fiscal year 2013 were to stay in effect at the 

then-current funding levels allowed by the continuing resolution (CR). A CR is an 

appropriations act that funds specified Federal agencies or the entire Federal government until a 

3 

DCMA Administrative Record for FY 2013 Furlough Appeals 003
specified date or for the remainder of the fiscal year when agreement cannot be reached on one 

or more of the regular appropriation acts. Typically it proportionally allocates budget authority 

into accounts based on amounts appropriated in the prior year appropriations acts. Thus, the lack 

of a regular DoD appropriations act for fiscal year 2013 created, among other things, the 

additional constraint of having money in the wrong appropriation accounts. Specifically, under 

the then-existing CR, the Department had too many dollars in the investment accounts and too 

few dollars in the operation and maintenance (O&M) accounts. 

9. Finally, by February 2013 the Department faced costs of wartime operations in excess 

of those that were estimated two years earlier when budgets were prepared. At that point we 

estimated that we could be short as much as $10 billion in wartime operating costs. 

10. These various factors- sequestration, misallocation of funds under the CR., 

unexpectedly high wartime costs- all affected the DoD budget, especially the Operation and 

Maintenance (O&M) portion of the budget, which funds the costs for many of our civilian 

employees. Taken together, these factors left us facing shortfalls of$40 billion or roughly 20 

percent of O&M funding for active forces. 

Initial Considerations Regarding tbe Furlough of Department of Defense Civilian 

Employees 

11. In response to sequestration and other shortfalls, the DoD determined that if it had 

to operate under reduced funding levels for an extended period of time, it would have to consider 

furloughs and other actions to ensure it could execute its core mission and to bring its 

expenditmes down to appropriated levels. As an initial overriding objectiv~. the Department had 

to protect the warfighter. This objective meant, however, that there would be larger and more 

disproportionate cuts in the MiJitary Departments' O&M accounts supporting the base budget for 

4 

DCMA Administrative Record for FY 2013 Furlough Appeals 004
the active forces and from which most civilian Positions are funded. The need to protect 

warfighter funds added to the Department's O&M problems. 

12. As of late February 2013, the Department had already begun taking many nearterm actions in an attempt to slow spending and avoid more draconian cuts at a later time. Such 

actions included severe cutbacks in travel and training conferences; civilian hiring freezes; 

layoffs of more than 7,500 temporary and tenn employees; sharp cutbacks in facilities 

maintenance (by as much as 90 percent in the remainder of the year); cutbacks in base 

> 

operations; reduction of the number of aircraft carriers, embarked air wings, and accompanying 

defensive and support ships deployed to the Persian Gulf; reductions in the scope of and period 

of perfonnance of contracts; and delay of contracting actions until the next fiscal year. However, 

the Department recognized at that time that if sequestration and the CR were to last throughout 

fiscal year 2013, many more far-reaching changes would be required, including cutbacks and 

delays in virtually every investment program in the Department (some 2,500 of them) and the 

furlough of civilian personnel. 

13. As a result, on February 20, 2013, Secretary of Defense Panetta notified DoD 

civilian employees and the Congress about the potential for such furloughs for up to 22 days 

(176 hours). As I noted that same day in a DoD Press Briefing on "Civilian Furlough Planning 

Efforts," although the Department would strongly prefer not to impose furloughs, the 

Department believed that it had no choice but to do so absent further action by Congress, given 

the severe budget constraints outlined above. As I then stated, 

We're more than 20 percent short in O&M, with 7 months to go, much higher in 

some of the services, particularly the Anny. Civilian personnel make up a 

substantial part of DoD O&M funding. We can't do reductions in force, 

especially at this point in the year. They'd cost us money in this year because of 

unused leave and severance pay, so furloughs are really the only way we have to 

quickly cut civilian personnel funding. 

5 

DCMA Administrative Record for FY 2013 Furlough Appeals 005
14. During the plaitning for possible furloughs, the Secretary detennined that, 

as a matter of policy, there would be only limited exceptions to any furloughs that were 

imposed. Exceptions would include civilians directly involved in support of wartime 

operations, those needed for protection of life and property, and those involved in a few 

programs of particularly high priority (especially programs directly and significantly 

affecting military readiness). Remaining furloughs would be implemented in a fair and 

even manner across the breadth of the Department (including the Military Departments). 

We estimated that furloughs of22 days would reduce DoD expenditures by $4 to $5 

billion. 

15. On March 21,2013, Congress passed H.R. 933, the "Consolidated and Further 

Continuing Appropriations Act, 2013," (hereafter referred to as "the Act") which, in part, 

provided fiscal year 2013 full-year appropriations through September 30, 2013, for various 

Federal agencies, including the Department of Defense, and which modified some aspects of 

sequestration. Although it retained the overall sequestration spending cuts and their across-theboard nature, and did not provide sufficient funding to cover the OCO shortfalls, it aligned 

funding closer to the fiscal year 2013 budget request for DoD and provided limited transfer 

authority to the Department, which is an authority to move money from one account (e.g., 

Procurement) to another (e.g., O&M) in order to provide some flexibility during budget 

execution. In anticipation of the President's signing Public Law No. 113-6, on March 21,2013, 

the Department delayed issuance of furlough notices to allow the Department to analyze 

carefully the impact of the Act on the Department's resources. After March 26,2013, when 

President Obama signed H.R. 933 into law as Public Law No. 113~6, the Department no longer 

operated under the CR tenns and conditions. This corrected approximately $11 billion of the 

6 

DCMA Administrative Record for FY 2013 Furlough Appeals 006
shortfall in the Militaiy Departments' base O&M accounts that resulted from operating under the 

CR at the fiscal year 2012 funding levels and authorized a total of$7.5 billion in general and 

special transfer authority under sections 8005 and 9002, respectively. 

16. However, even after enactment of this appropriations legislation, the Department 

still faced an O&M shortfall in excess of $30 billion. In efforts to minimize the adverse effects 

of the sequester, and of the overall O&M shortfall, the Department pursued various courses of 

action. In addition to the short-term actions mentioned above, the Department imposed farreaching cutbacks in training and maintenance. In April the Air Force began shutting down all 

flying at 12 combat-coded fighter and bomber squadrons and curtailed exercises, acts that 

seriously reduced military readiness. By April the Army had already cancelled seven combat 

training center rotations - culminating training events that are necessary to ready units for 

deployment- and five brigade-level exercises. The Department of the Navy also cut back 

steaming days and flying hours across the Navy and Marine Corps. The military services also cut 

back funding for weapons maintenance. In addition, the Department of the Navy delayed 

deployment of the USS TRUMAN carrier strike group to the Persian Gulf, curtailed the sailing 

of the USNS COMFORT to the United States Southern command area of responsibility, and 

cancelled four other ship deployments. 

17. By late April these various actions had reduced the estimated O&M shortfall to 

about $11 billion, mostly in our wartime budget and mostly in the Army. Faced with a limited 

number of options to close this gap, and with wtcertainty about the Department's ability to 

identify and gain Congressional acceptance of further budget cuts, on May 14 the Secretary 

announced his intention to impose furloughs on civilian personnel rather than making even larger 

cuts in training and maintenance that would have further eroded military readiness. Overall, the 

7 

DCMA Administrative Record for FY 2013 Furlough Appeals 007
furloughs impacted approximately 650,000 (or about 85%) of the Department's approximately 

767,000 civilian employees paid directly by DoD funds. Rather than the 22 days estimated 

earlier, the Secretary reviewed budget projections and decided that furloughs could be limited to 

a maximum of 11 days (88 hours). We estimated that furloughs of 11 days would save DoD 

about $2 billion, avoiding substantial further cuts in training and maintenance. The Department 

began the required "impact and implementation" bargaining with unions and began the process 

of issuing required notifications to employees and furloughs began during the week of July 8. 

Inclusion of Working Capital Fund Employees 

18. On June 21,2013, a bipartisan group of31 Members of Congress sent a letter to 

the Secretary of Defense expressing "concern about the determination that civilian workers at 

enrities funded through Defense Working Capital funds are subject to furlough." Specifically, 

the members inquired as to the legality of furloughing civilians in these funds in light of 

section 129 of title 10 of the United States Code. 

19. On July 5, 2013, acting based on the Advice of the DoD Office of General 

Counsel, I responded on behalf of Secretary Hagel. In my letter, which is attached hereto as 

Attachment l, I noted that the short-term furlough directed by the Department of Defense does 

not contradict any of the various prohibitions which are set forth in section 129. As I further 

explained, to the contrary, 

Section 129 directs the Department to manage our civilian workforce based on 

workload and on the "funds made available to the department for such fiscal 

year." The $37 billion reduction levied on the Department by sequestration is a 

m<\ior cause of these furloughs, and therefore our actions satisfy the requirements 

of section 129. Indeed, section 129 directs the Department to manage our civilian 

workforce based on workload and funding. 

As for your cost concerns, furloughs of all DoD civilians will save about $2 

billion in fiscal year 2013, including more than $500 million associated with 

8 

DCMA Administrative Record for FY 2013 Furlough Appeals 008
reduced personnel costs in working capital fund activities. These working capital 

fund personnel savings provide us the flexibility to adjust maintenance funding 

downward to meet higher-priority needs. The Air Force, for example. currently 

expects to reduce funded orders in their working capital funds by about $700 

million to meet higher-priority needs while the Army expects to reduce orders by 

$500 million. 

See Attachment 1. 

20. Having imposed furloughs, the Department undertook extensive efforts to identify 

budget changes that would close the remaining gap and, if possible, reduce cutbacks in training 

and impose fewer furlough days. In mid-May the Department prepared and submitted two 

Omnibus reprogramming requests that sought permission from the congressional defense 

committees to move funds totaling about $9.6 billion from lower priority budget lines to higher 

priority budget lines. When the congressional committees did not approve all of the Omnibus 

reprogramming requests, the Department submitted two additional reprogramming actions on 

July 22, 2013, that included about $1 billion of replacement sources for those sources that one or 

more of the committees had denied or deferred. These reprogrammings moved furlough savings 

and funds for lower-priority activities to areas of highest budgetary need. The law limits the 

amount of funds that can be transferred annually under reprogrammings, and these two 

reprogramming actions used aimost all of DoD's transfer authority for FY 20!3. Second, 

pursuant to existing authorities, the Department transferred responsibilities for some specific 

programs and missions from one Department of Defense component to another and used other 

available means to reallocate the financial burden for supporting the warfighter. For example, on 

July IS, 20I3, pursuant to section 16S(c) of title 10 of the United States Code, the Deputy 

Secretary of Defense assigned to the Secretary of the Navy the responsibility for providing up to 

$450 million for support to U.S. Forces in Afghanistan that previously had been the 

responsibility of the Army under the Logistics Civil Augmentation Program (LOGCAP). The 

9 

DCMA Administrative Record for FY 2013 Furlough Appeals 009
Navy ultimately provided $310 million for the support to U.S. Forces in Afghanistan using the 

Army's LOGCAP contract. On July 15,2013, pursuant to section 257I(b) of title 10 of the 

United States Code, the Deputy Secretary also directed the Director for the Defense Logistics 

Agency to reduce the standard prices for jet and grotu1d fuel procured under the authority of 

section 2208 of title 10 of the United States Code and provided to DoD customers in connection 

with military operations conducted in Afghanistan, retroactive to March 1, 2013 (to coincide 

with the President's sequestration order). This effectively tapped funds av&lable to the Defense 

Logistics Agency to support the warfighting costs that would otherwise have been borne by the 

military departments. 

The Furlough Outcome 

21. Since Congress approved most of the Department's large reprogranuning requests 

that were submitted in mid-May and late-July, giving the Department flexibility to move funds 

across accounts, together with the facts that the Military Departments were aggressive in 

identifYing ways to hold down costs, and that the Department was able to transfer some 

responsibilities for funding specific programs and missions using existing authorities, the 

Department was successful in shifting savings (including furlough savings) to meet its highest 

priority needs. As a result, the Department was able to close the remaining budgetary gap and 

abide by legally binding spending caps. DoD was also able to accomplish two high-priority 

goals: a reduction in furlough days, and modest improvements in training and readiness. 

Specifically, DoD was able to reduce furloughs from a maximum of II days to 6 days (48 hours) 

for most DoD civilian employees. 

I certify under penalty of perjury that the foregoing is true and correct. 

10 

DCMA Administrative Record for FY 2013 Furlough Appeals 010
Dated: September 16,2013 

Robert F. Hale 

11 

DCMA Administrative Record for FY 2013 Furlough Appeals 011
COMPTROLLER 

UNDER SECRETARY OF DEFENSE 

1 1 00 DEFENSE PENTAGON 

WASHINGTON, DC 20301-1 100 

The Honorable Derek Kilmer 

U.S. House of Representatives 

Washington, DC 20515 

Dear Congressman Kilmer: 

JUl -5 2013 

Thank you for your letter of June 21,2013 concerning the furlough of working capital 

fund civilians of the Department of Defense (DoD). Secretary of Defense Hagel asked me to 

respond on his behalf. I can say in summary that in FY 2013 DoD faced a budget cut of$37 

billion caused by sequestration, in addition to shortfalls in wartime funding. The Department 

does not want to furlough any of its valued civilian employees but must do so to help meet these 

budgetary shortfalls. Furloughs of civilians at working capital fund activities are legal and result 

in personnel cost savings. 

Secretary Hagel regrets having to furlough any DoD civilian employees, whether they 

serve in the Department's working capital fund activities or elsewhere. Unfortunately, in FY 

2013 DoD faces a large shortfall in our operating budgets both because of sequestration and a 

lack of funds to meet all our wartime operating requirements. The Department has taken many 

steps to close this shortfall including sharp cuts in facilities maintenance, hiring freezes, and 

layoffs of temporary and term employees. DoD has asked Congress to let us "reprogram" or 

move money from our investment accounts into operating accounts to help pay DoD's wartime 

bills, though our Congressional Committees have not yet approved a significant part of that 

request. The Department has also cut back sharply on training and maintenance, actions that 

have led to serious damage to our readiness. Finally, and reluctantly, DoD has imposed 

furloughs for up to 11 days on most of its civilian employees. 

You requested the Department's views on the legality of furloughing civilians in working 

capital fund activities, in particular with respect to section 129 of title 10, United States Code. 

The Department believes short-term furloughs of working capital fimd civilians- who are 

indirectly fimded Govenunent employees -- are permissible under that statute. Indirectly funded 

Government employees may not be subjected to constraints or limitations based on the number 

of such personnel who may be employed on the last day of a fiscal year, and may not be 

managed on the basis of man years, end strength, full-time equivalent positions, or maximwn 

nwnber of employees. They also may not be controlled Wider any policy of a Military 

Department Secretary with respect to civilian manpower resources. A short-term furlough 

directed by the Secretary of Defense does not contradict these prohibitions. Further, Section 129 

directs the Department to manage our civilian workforce based on workload and on the "funds 

made available to the department for such fiscal year". The $37 billion reduction levied on the 

Department by sequestration is a major cause of these furloughs, and therefore our actions satisfy 

the requirements of section 129. Indeed, section 129 directs the Department to manage our 

civilian workforce based on workload and funding. 

DCMA Administrative Record for FY 2013 Furlough Appeals 012
As for your cost concerns, furloughs for all DoD civilians will save about $2 billion in 

FY 2013, including more than $500 million associated with reduced personnel costs in working 

capital fund activities. These working capital fund personnel savings provide us the flexibility to 

adjust maintenance funding downward to meet higher-priority needs. The Air Force, for 

example, currently expects to reduce funded orders in their working capital funds by about $700 

million to meet higher-priority needs while the Army expects to reduce orders by $500 million. 

Because Congress has not yet approved about $2.5 billion of our reprogramming request as of 

the date of this letter, it is unfortunately possible that these maintenance cutbacks may have to be 

increased. 

The Secretary and the Department appreciate and share your concerns for the efficiency 

of our operations, the welfare of our civilian employees, and the impact of furloughs on our 

defense communities. The Department is also seriously concerned with the adverse effects on 

readiness caused by cutbacks in training and maintenance. The best way for Congress to address 

all these concerns to is to pass a balanced deficit reduction plan that the President can sign and 

then repeal sequestration. 

An identical letter is being provided to the other signatories to your letter. 

Sincerely, 

Robert F. Hale 

DCMA Administrative Record for FY 2013 Furlough Appeals 013
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Pl'flenter: Senior Defense Offtclale Atlllllst06,2013 

Background Briefing on the Stllllla of the Detanse Departmanra ClYman FUrlough Planning £frorts In lhe Pentagon Briefing Raom 

SENIOR DEFENSE OFFICIAL: Qkey. Wei~ !Oday, Seaalary Hagel announced -and llhiic you now tiave ~-thai as pert of DOD's Dfforts to 

Improve prcdudMty and ~ess. we'll be reduci'lg the furlough days for OOD's civilian emplcyees from up to 11 days to six day$. Mel for most DOD 

civilian employees, lhatwill mean~ will encr no:d week. 

Last May, when we raluetMtly decided to Impose~ of up to 11 days, we faced a .tlatlallln cxr oparallng budge! at lhat lima of about $11 

billion, pm.;:lpally ourwartkne budget We had anady Imposed tiring fraezell. at facilities' mainl111111110e, and laid ell' temporary employatls, as wem as many 

other actlons. We had sharp!~ cut lrElnJng and maln!erlance, whit1l litis 8dllenaly atracted military madileas. 

So as of three montha ago, furloughs ol11 days, which would havB savad about $.2 billion, ware one o1 the Jlmllld available options lhat we had to 

~ lh9 ramalning budgetary gap v.ilhotrt further<:Uisln training and maJI'IIenlwlca. Sui 8VIIO at the tina he DllllOU"ICed- 8'ld 10 Sacmary Hagel raJuc:tantl)' 

mB<!a tha dedaicn to Impose them. But even as he made thsl antiOtii"ICamenl, tha seaalaly said thai he'd lly to l"llduca the I"I<RI!bar of days If he could do 10 

without further cuts In !raining and malnlenenca • 

Since then. Congrasa h1111lmi1(0"Hef 111081 of ala-ga raprogrammlng that WBI'l!qUaS!ed to li!t I.IS move money Into cur oparaHng acoounta.. The l8fV!c:as 

havaldanlified $00la chwlgas that 181 us redJce costs. And wa'va been aggressive about shifting 1\.nds into lhoaa saMc:e accounta !hat have the most 

problems. . 

As a result, wa"ve been able to aecomplllh two goala, two kay QO.Sia. Wrlve made $00le modest lmproyemen!sln tranlng. The Ar Faroe, for example, 

is ~ egain for most ollts squadron8, 8'ld tha Army is lna"aasing $0018 organizational training. And wa"ve baan able to reduce the number elf furloughed 

-

v.tlila this is Y«Y poai!lve /I8W8 for the department and for our valued civilian workers -and I CliO say parsonally, it's great - I fael groat abaul H -

wa'ra stru facing some ~or chullengea. M~ readiness is dagraciad heading Into 2014. We stJl Mild several monlha and substantial fi.Jncf01g to racovar. And yet. 2014 Is a year lhal's gong to feature groat uncer1alnty, as much as I c:en remember any lima In wor100g with the defense budge~ and ij may faatura 

soma additiooalaurtarity. 

Fac:ad with all of ltlls unoettairiy, wa cannot be IIII"D wtlal wiU hDppeo next year, but Sacratary liagelwallslo assll"fl our civilian employeaslhal we"U 

do eYel)'lhing posslbla to avoid lmpos11g furloughs again ll8ld year. The IMK'rBiar)l and au of us want to thank oor clviia'lworkers ror their padance and 

dedication dumg lh=a extraordlnOOiy Iough tlmaa. OW dadica!ad cMiiao &mployaas make a miJoreonll"itMioo to national &eQ.Irity. And we a~ look forward 

to ona day puWng this d"dfiCUH parlod behind us. 

And with !hal. m stop and wa would ba glad to enlartaln yo<.r questions. 

FACILITATOR: If I ClllOJd and ff ~ c!Gesn1 upsatW"I)'body. wa'va got time to taka 8Y81ybodys quasliorls, I think, jL:Sito make it easy, ifwaall!rt with 

Tony and just want dcwn lha front row and than go 10 the leCOIId row and go down, we o;:eo gat ava')'body's questions. If you dcrlt hav& one or it"8 been 

passed. you JUSI pas.s. okay? 

0: Two questions. One, roughly irs about $1 billion In &BYi'lqs you found. And een you explain how you foW"KI K from tho l'$lrograda of equipment In 

Afghanislan? In English, explain what INI meMo. 

SENIOR DEFENSE OFFICIAL: Wal~ yeah. we went from $2 billion In savings, right, Tooy, to-from flnoughs to about $1 billion. I mean. !hera ora 

lots or ways thai we accomplished thai and the lntJoJng tocreases, but let rna adches lha QU8SiiOn you a.sk 

Thera's a numbor of piacas ol equipment 0"1 Afghanlslan !hal we Identify that ~ 1"101 going to have to move in fi50111'13. It doesn"l mean at aoma 

ful""' poln! soma o1 !hom will not need to coma home, but that ill what led 10 the cootai'lerl from the Army 10 reduce what'S e&llad second d&sllnatloo 

transpot!ation. 

0: Rooghly how much was thai at the billion? 

SENIOR DEFENSE OFFICIAL: That's about a billion dollars that !hey won't need 1n roscal '13 for sarond destination transportation. 

0: Okay, lhanko. 

a: aut they wiH need 111n tis<:al '14? 

SENIOR DEFENSE OFFICIAL: Possibly. I mean. ifs 11 fluid sllualion. And wa11 be maldng 8S$8ssmants of cosl-benati! analyses o1 what to bring homalhars possible. 

0: Sony. IN! wasn1 mY question. 

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SENIOR DEFENSE OFFICIAL: Okay. Thai CCII.Vlts. (laughlor.) No. 

Q: Yeah. Can you - can you jus! give us sort rJ like a COUple of the, like, hiGher PfOflle oc more In Englioh-y k01d of rucplanalion of the reprogramming requests? Ul<.e can we -that we can po;nt to as speeHic things !hat have made this change possible? 

SENIOR DEFENSE OFFICIAL: It totaled $9.6 toUlon It ptlmerily moved money from our acqu;sition accounts, and !hera there ware about :200 

programs that had varying sizes of reductOO.. Soma!imes ccntn>cts had been delay<l<l Some!imes we just made a decision lhiu was lower priorily. And 

~OS! of the money got moved i11o otr operating accoll'l!s, pnncipally the OVEtls&as contingency opemlion fuods Md princip&Jiy lh9 Army, which had the 

b<ggest shortfalls. Doeo that help? 

0: So - so money was reprogrammed from olhBr areas ilto - primarily into ~hose two accounts? And thai was th9 $liVIngs that allowed .. 

SENIOR DEFENSE OFFICIAL: It was p;rt or it I mean. you know, we did a lot of different things. It reminds me of pouring water and mUk in the glass at some lima and when II overflows blaming the milk. I mean, I ean1 pld< one thing. There were a whole sanas of actions ....., took, rnding reduced <XlStt. 

Reprogramming was very Important. And we ara also able to shift around 50mll olherlixlding from the Navy, som111Dwer priolity Navy programs into the 

Army. So It's a bunch of different things. 

And ~ wasn't just furlough days. We biOOQht back same training. 

a: Oh, ol<ay. 

SENIOR DEFENSE OFFICIAL: The Air Fore~!, as I said. is flying all Hs combat -as squadroos again. thoU{tl it will take them months to catch up frOm 

a three-mon!h stand«Jwn - or oot flying, and the Army has mEKia !IOITle sma111oaeases in training of about six brigade combat teams. 

a: trs groat that you're able to do this, but !hera ant going to be some people \100 say, well. you know, they crlad wcH, basically. They rucaggerated 

the axtent of the problem and now they've - yoo know. theYve fixad \!. How 00 yoo respond to that? 

SENIOR DEFENSE OFFICIAL: Welt. I respond by going back lhree months ago and sa)'ing Wll faced enormous uncartaioty. I think as graat as I can remember any time in the defensu bulget And at that point. we were short $11 bittlcn. M05t of it was OCO func:tng. And I got to ten you, you know, ~ was 

one of the things yoo wake up and niltl! and you go, how am I going to make th~ WOO'!<? Or how's the departmeot going to maku this work? 

We d<ln'l know. I mean, Wll know- the reprogramming was there, but irs nol e guarantee. Thooe ere single comnit!eu veto Items. And w11 didn1.oet 

all of it We didn't know about somu of the things like identifying funding Wll wouldn1 neud for trensportation cc•t•. The Air Force found some reductions r. weapons system sustainment We era able. est mentioned, to mDVB 6001e lower priority Navy money to areas we needed a more. 

So there were a whets bunch of things that bo"oke in our favor, but three months ego. with $11 b~lion short, I doo"l think we had a lot of chclice, unless 

we weffl willing to cut more training and maintenance. And we feR that we hadl done that as much as wa shoold. 

But I hear yc:o.r point. And. you know. hindsight- there's a old saying in the budget world that lime is the best budgut analyst If yoo wea longer. you'll 

know mora. And we do know more than wa did three months ego. 

0: Just maybe onu qulck sort of question on the nurnbenl. The buying back the furlough days Is going to cost about -is n $900 mmion -

SENIOR DEFENSE OFFICIAL Yeah. about - a little iltss than $1 biJiion We ware goilg to save about $2 bUJion with 11 days. 1111 bit a little more than $1 billion with six. 

a: So thll<ll"s lila!. And then how much In some of the other changea lor the Air Force combat flying snd the Arnly - 110 what's -can you give ua sort of a brood total of tho amount savings? 

SENIOR DEFENSE OFFICIAL: You know, it's prcbebly another l>alf-bltrJcn or !10 lor tralnlng. around $400 million in the Air Force, and l don1 have a 

precisa numbur for the Atmy, but- but probably around $1 bimon in buying back fu1ough days and then some - perllaps $500 million of add&d ccais 

associated with buying back some training. 

0: So - okay. And then ovemll. then, lhars lika $1.5 b~lion or somalh~ that in recent wee~<s you've been able to find. And was some of that 

identified, would you ~~By, as a raw~ cf. you know, all the services looking lor m-oney or everyone look!ng lor money? And have you kind of come -do you 

thillr. )'llu're nearing kind ot the and of all these liltlu typea of savings you can fnd? Or ls this sometlllng you can do again aod again and again, as nruct year 

dawns? 

SENIOR DEFENSE OFFICIAl: So, remember, we statted $11 billion in the hole three months ago. We had to find thut. plus a l~tle more to allow us to 

make somu of these restorels. And as rve said. ~ cama through a variuly offac!OI"S, reprogramming, identifying some costs we could 11ilher put off or, in SQme 

cases. 00 without, put oflln the case of a second deslination transportation, llr\d some aggressive movilg money around of some Marine Corps money. lor 

rucample. into the Almy. 

All of tho» got us to that point Is thura more? Wet~ probably e liUie bit, but I suspect that we'va largely- you know. we"ve largely com11lo the end of 

the ropu. I mean, sometimes toward the end of tOO year, there w.iU a~ays be some la~oul. but wa feel at this point we're conr.dent we can gel dcrwn to six, but 

six is where irs going to stop. 

0: Wall, I guess. just to make my- I wll'llto be clear. As you look ahead to next year, I mean, with that whole $54 bitUon. have you sort of done all 

the tittle whining )'OU can? Or can you just dolt all ovar a~? 

SENIOR DEFENSE OFFICIAL Oh. there will be-there's atweys- ~ probably dousn'l soond good PnaudibleJ to ~~BY wiggling, but there era always 

chan""s that go on. And, yes, !hera w~t be again next year, oopecielty when yoUre in lhB middle of a war. I mean, we put together tha budget we're going to 

star1 executing on October 1st mora than a year ago. And then there w~l -there era uncartslntie!l and there will be changes. 

And, of course. looking IOIWM:l to ne>rt year, we don't reatly have any idea right 0011 whafs going to be appropriated. l meen, ff we - ff we go with the 

sequester-level capa, we"m going to be down $52 blCion from the pmsldoors requesl 

a: Two kinds of gl"lll"K.IIar-level questionS. fll"$\ for defenn official lwei. Doos this mean that DODEA schools are not going to be furloughed? 

SENIOR DEFENSE OFFICIAL So DOOEA schools have several different categorius. They have t2-monlh employees that will be furloughed. And 

then hod lhe tO-month umplcyees. those that am the educatots and the support staff. So they were to be furloughed five days altha beginning of the next 

school year, which would have sun been in fiscal '13. 

W... have decided to exempt them from fu'lough, and so !heir school years. wm •tM on time, and then the teachers and tile suppc~r1 staff that wera 

iniUally g.Sng to be lurloulfled are now not go"ng to be !Woug-.ed 

a' Okay. And -thanks. The se<Xlnd question, delern;e otf!Cial one, you menliCinad somehow lha Navy had given some money to the Almy or - does 

that- does that happen nonnally? And how- I mean, irs nlcu of them. How did they do it? 

SENIOR DEFENSE OFFICIAL: 'Nell, in that case. they pllid a bill thsllhe)l had the legal authority to pay, one of the OCO bills for lOGCAP. l woulc'n' 

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say its routine. but these are 1101 routna limes. And we've had to look 110"0.!.11 1M department and try to malce some $hills il order to get ttrougtl this year. 

Q: How much WBII H? 

SENIOR DEFENSE OFFICIAL: • was about $300 mil/On, if I recaft'. 

Q: So they just wrote a cheek rot the Army, soSENIOR DEFENSE OFFICIAL: Wall, they jus! paid a bllllhat they had the legal authority lo pay, or the ~~~directed them to pay a billlhey had 

I&Qal authority to pay. 

Q: O!cay. 

0: MY ~flit question for senior dsrense clllcial ilwnber lwg. Given !hat we're just less !han two months ooA from fiscal '14, WI\IJl contingency piMs are you mekhg In Ierma of clvflan worl<force, e/thw fUrlough, reductions In fOR;:e, 91 cetera. for f.scal '14 If aequestnltlon does OQCU(1 

SENIOR DEFENSE OFFICIAL: Well, 1-yoolo'lcMr, rm goilg to ra~81'11te what -wha! defense oll"ocial m.mbetone said, that these a-e hugely 

I..I10J!tah tMnes. 1 mean, the de,Dmtmant's 1101 gone lh'ough this before .. AOO I also reiterate what Seae!ary Hagel•ays. 111111 we will try lo avoid li.noughs as 

m~aswe possiblycannexl year, 

But we haven't receilled our budgeL Wa don't know what wa face going ~o '14. And we're going to haw! to make piDml based vpon that oomber. But 

riglll. na.v. we're really going to WCI!Ic to avolO' a_ f<rlouglt 

0: And h<:lw about a redUction In Ioree? 

SENIOR DEFENSE OFFICIAL: I think evety -you know, everythk'lg Is on lhe table. And !hat can pccentially be on the table, should It be needed. 

Andteductlon n force Is not SOiflOihlng !hal we 11m on and turn Dff. H can -we'Ve dQoe reduclicrn In forces \rihln lha hlsl year, and It has notlllng to do wtth 

tequeslnlllon. H hu somelhng to do wilh theping lhe Ioree u ~ Is n&eded. So it's potenU&IIy not as widespread, but~ Is dooe as 11 shap'rlg tool. 

O: Mil no ptennng o.nc~erwey at lhls paint? 

SENIOR OEFE~SE OFFICIAL: Righi now, everything Is an the lebls. 

Q; Okay. Question for 800ior defense of!icial ru:J1ber one. Once Wfire peat lisc:al'13, Is there going to be -do you have any plan on producing a1y 

sort cf -1111y 11flar-ect1on report on how ~ achlavad !he $37 billion cd.7 Bacause from the outside, fi'lridy, it looks rather m)'Sfarious. 

SENIOR DEFENSE OFFICIAL: Wei~ I mea1, we will, In the sen$8 lhat you'll-~~ budget next yesrthal has an eclual i'l it And irs 11 good point lhat 

we maybe fiB9d to be helpful. About 20- I can give you some rough Ideas- about S20 billion <::ame out of the "fl''nnlons and malnlananca acoounls. The 

olhar$17 blllioncameoulolour i'lvutmentecc;ounts. I'm talked sial about !hem, bu!Wtuallyeveryoneofour tneftemawasad a percanl81d]ustlhe 

whol& array of changes !hat got made to aocommodate those, Bul I heir you-;, our spare tine, we prttlabiy owe you aoms help to understand how we got 

·~ a: so youwll provideSENIOR DEFENSE OFFICIAL: Let me-let me taka lhat one. rm concemed -I mlla'1, we're teeing, furloughs or OOl an enormous workload as we try to get e ,_ budgot for '14 poCentldy. I hope not, 1M poten~ally, and 1111 weU aa budgeta f<K !he out.years. 

a: 1 guess my onty quullon would be, 110 these furloughs end !hls week: or naxl week? rn have toSENIOR DEFENSE OFFICIAL: For mOll! employees, theyWdlendnext week. 

Q: Do you have a n.mber? 

SENIOR DEFENSE OFFICIAL: H malty depends upon -If the kldMdualreceivlld theitftrlgugh leiter on the week cf a July, and If they pertlcipatlld in 

the lu:lough one dey a week, that would take them air days, whil::h would ~ '18 IKM.n, to the 17th of~ And so that'11he cak:ulation. So mO&t Dllhe 

1orc:e thai WliS furloughed w1111l'urlollohed in !hat mamll', 

a: okay. 

Q: Senior ofl1c:lal two, rm sony, can l11!1\ about schools again? 

SENIOR DEFENSE OFFICIAL: Yes. 

0: To go llvcugh -ere you saying no -no Ml<lughs now for any school per&Ofl'l9l? Vot!sl'sthe llituation? 

SENIOR DEFENSE OFFICIAL: So there was a g<~~~.~p of i'ldiv!duats. educators and support staff !hat were goi'lg to be furloughed lor fills furblgh 

daya B! Ilia b&glnni'lg of the na)d sdlool year, which IO<!Uiclstart at lha end of AugJSI2013. So lhay were going lo have five furlough days between Augus! 

and Saplsmber of2013. which WDUid be the '13-'14 school year. These lodividue!s Wit not recel'le IWly fur1cugh days. The &chool year wiU start and and 

without furlough days. 

0: Okay. 

SENIOR OEFENSE OFFICIAL: Well, let me say, tho school year for fiscal year '13 will not have any IUrfcugh d~ We ere really trying not to flxtoug/1 

in fiscal Y1J&' '14, but we havanl raeeived a bu(!get yet 

o: ntpess. 

0: First of au, 1 really like the milk-watarthilg. (laughter.] I wish k was en the reeord. f4llyway, my real que$1icn, t mey hava missed it at the top, but 

the $300 mlllon transfer or the bill thatlha Navy paid, arelhere olhar bills fike that, lhat either the Navy cr anolhar S«Vica paid, aey, on behalf of the Army? Or ... 

SENIOR DEFENSE OFFICIAL: No other satvices. We ware eble to transfer some money -fool fUnds by lclwaring fuel prices thai would have come OU1 of !he worldng cap~al fund, but I don't beUeve there are any other lllrVice bills. 

a: So only that one- $300 m~lion bNI? 

SENIOR DEFENSE OFFICIAL: H's sctuatty lha Marine Corps, but in lha J)e.partment cl lhe Navy, it's Marine C<lrp.'l. 

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Q: Okay. 

0: For daten.sa official ,...,.,ber one, you !elk about unce11ainly in tlscal '14. How helpful would it 00 to know what post-2014 troop m.mbers SfB in 

Af9'laolslal for )'DU 1M'S? 

SENIOR DEFENSE OFFICIAL: Well, I think !hal one - !hare am bigger issues there lhan budgaL Cer!ainly at some point we're going to need to know 

thai in ardor lo do a foscal '1S budge~ but Wll're 110! a - llhlnk the timing ot !hoM depends more- or <s more impottant than we know It in order to -to execute a respoosibkl c!rawdown than ~ Is lor !he budget. 

0: Quesllon for senior defense offldal one. You mentioned some ol the money was moved using legal authorities given lo DOD to shift funds around. 

Thera's been some criticism that the Pentagon hasn't fully laken advantage of some of theS&- these atilltorilies while, on lhe same hand, arguing for more 

llexililily in spending of these funds. I guess what I wanted 10 ask you Is, is this move sort of a precursor to using more of lhasa alllhonlies as - more of 

these aulhorilles even more, as the number aunch ~ind of contlnoas? 

SENIOR DEFENSE OFFICIAL: WeU, our auti\Qitles are praltyllmited, frrily, and nonnally we doo't do shifts of !hal sort, because the oilier serv>ces 

plamed on lhall\.nding and how to usa n, but lhasa wara extmordinaly time&. If we face extmordinary tlmas again next year, ~·11 probably look at everything 

we can tagaUy do. 

1 realize the tsSIJe of flexibility has been raised, but rm trying to think of spear-.e eoncams that !lava bean ra-..ed that we 'IW!ran"t using flexib~"Y that we 

Q; Did you think that- yooh. there were- there were some areas, patticule~y in - llhlnk ~was 01 O&M that -that Congress had legislated and that 

DOD halt>"! fuUy exercised 

SENIOR DEFENSE OFFICIAL: Yeah, I mean. I think we did. We got a budget from them in Mardi, which helpod a lot, because we got the money in 

the light pots. but ij didn't add any money, but ~ wculd - th~ would ha¥9 been much worse without thaL so that was helpful. W.. certainly made fuU use of 

'"" 

So t"m not sure- not sure of the spocif!Cll. but, you know, we will look again nBlCt year. Let's hope next year Is more stable. but n irs not. then we witt 

look at everything ~ can do to try to carry out what was our goal throoghout this, and that is to minimize the adverse etrects on our mtssO:ln. Everything we 

did was with that In mind, including the modest buybacks of training and the - and the raduc!O:lns in ft.Wiough days. 

Q: Are there any others that ara being I!Xe<npted because of this change? 

SENIOR DEFENSE OFFICIAL: No, juslthe teachers. well the teacher$ and support staff 

0: Right. 

a: One minor one. Has anybodySENIOR DEFENSE OFFICIAL: l dorlt know how many teachers, t can take ~ for the reconi 

SENIOR DEFENSE OFFICIAl: Let me get back to you with the numbet" about It 

FACIUTATOR Accupie more minutes. 

0: I know some people OOJid take/ike a week cr take all - has anyone taken mora sUe days? 

SENIOR DEFENSE OFFICIAL: There is po1ential 

SENIOR DEFENSE OFFICIAL: We don't know. 

SENIOR DEFENSE OFFICIAL: Thall don1 know. 

Q: Cooldbe? 

SENIOR DEFENSE OFFICIAL: Pardon me? 

Q: That could ha•e happened. ff you had the authority to ... 

SENIOR DEFENSE .OFFICIAL: It couldha•ehappened, yes. 

SENIOR DEFENSE OFFICIAL: rm pleased to say wa didn"t manage this from hera. 

0: No. but I wouid assume lhay would just get their money back. 

SENIOR DEFENSE OFFICIAL: Well, we're working 1l1foogh that issue. 

SENIOR DEFENSE OFFICIAL: rm SU"aw!l'll hear about il 

Q: Sure. {laughter.) 

0: How would you eharadllril:a tha Impact of the furloughs <>n the department? Do you see" any laoting repereuulcns? 

SENIOR DEFENSE OFFICIAL: You want to go ahead and !"II follow? 

SENIOR DEFENSE OFFICIAL: I woold tell you that this was one of the hardest things we e.erl\ad to do. And - and I can't emphas-Ize enough the 

uncerteinty of the world that we're Iring In right now. And I a!so can't emphasize enough the qual<ty and the ;>fofeas;,ausm and the dedication Qf our civilian 

employees. 1 meM. they -they really am the glue that holds us tOgether. I mean. they're hera all the time doing their Jab. 

So their morale has drastlcally been atrected. And not only tha~ the producUvily of the WOik that theY do has been affected. All acrosa the board- and 

if you were hera lor the fnt ~me we had a pross conference, what I said was that 80 - about 85 percent of our eiviian wor100rce works outside of this natklnal 

capital region. So ~·s not just a Washington. D.C., phenomenon. Thia Is a worldwide phenomeoon. hew it el!eds the total Department of Defunse, whether 

it"& in ovr depots or whetl1er trs in shipbuilding or whether irs people that pmcess promotions or people who WOik ill our hospitals. It is across the bQard. 

And it'• boon devastaling lor DUf civilian empTO)'e<.ls. end It's been very har-d lor the servlcamember who relies on ff'IB days a week, of work from these 

people. 

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SENIOR DEFENSE OFFICIAL: Let me give you a couple of examples. II slowed wak at depots, which is going 10 mesn w~va gat mah!sneoce that 

dlait get acccmpJiehecf, -going 10 gel pushed ctr until n8Jd year. rm worried about our contracting ol!iciall having enough tlma to ge1 all those func;!s obligated· 

• I fhink they will, and we wiJI -we will!<' back to normal overtime ntes Bflar th91ur1ough is over. It has eert8lnly adver.ely afleeted llnancial management and how many people Sllln~ gelling the rapcrto done on time. We've m!ued some deadlines at DFAS becBusa we cfocln't have the paop/8 to do 1t. o.....- call 

carter tmes are growing In DFAS. v.tlen people ask llboullhalr pay, they're having to wa~ Ianger. AU cllhese thhgs, I think, ail tangible signs lhsl it has 

reciJced OU" productivity, llhlnk. signifk:anb'y. 

FACILITATOR: Tlmeforonemore ••• 

0: The billion dollars -the buD< of the furlough buyback was from the Nmy'1 deciSion on the second destination lrMsportation? 

SENIOR DEFENSE OFFICIAL; You don1lika my wa!er and mine, do yoo? I mean, look al ft lhat way, bu! there are a Whole bl.nch of olher things lha1 

cortribule lo the p/11$ $Ide and a bundl to !he mioos si:le, as wall. It's hatd to pick Dna and SB)IIhat lhars what caused It 

0: You said a bil~on dclllar$? 

SENIOR DEFENSE OFFICIAL: Yes, I mean, lhey'fe about the oama siza, sa I suppose, but- but, Tony, we made a let ol-found a numbet of ways 

10 AVil funds and a runber ofwaya we wanled lo apend money. And k's hard forma to pick ona 8lld malch it up. 

0: 111a1 was ona or !he blgoesl cat&Qol1es, lhcugh. Is thai COI'I'OCI? 

SENIOR OEFENSE OFFICIAL; II waa a algnilicanl eav!ngs. 

0: Thank you. 

SENIOR OEFENSE OFFICIAL; The reprogram was probably !he bfiXIG&t alngle lhlng. 

FACILITATOR: Waif, thank you, again, for shorl notica and the Interest n lhls topic, tu we have to gal alleast ona of our offlcials off to a meeting right now. So thankl again. If you got additional qvestlona, you should have lhG aacratwy'a atalameot You have !he m8100 going out to lha department And 

wa'rehappylo taka quasllons In lhe press ollice. 

IQ!I Email A Copy 

Main Menu 

• 

Additional Unks 

• 

http://www.defense.gov/transcripts/transcript.aspx?transcriptid=5283 8/14/2013 

DCMA Administrative Record for FY 2013 Furlough Appeals 018
Defense.gov News Release: Secretary Of Defense Chuck lfagel's Message on Reducing C ... Page I of2 

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United States Department of Defense 

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u.s. o..,.rtmont of o.tenoa Otllce oftna ~•1.1<11 Secretay o1 DeJorae (l>Ybllc All'aQ) 

News Release 

Orlll>o Web: 

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P\tllic contact: lliW:IIIW!W,!I!:!C!Jg.qgyDa!li!IJX!I'c9mn'ref!lj!'j!l! 

or +1 (703) 571-3343 

Secretary Of Deranse Chuck Hagal'a Mes~ on Reducing Clvlll•n Fui'IDUghs 

No. 565-13 

August 06, 2013 

llitlon I SMOU'lCIId my dec:isk>o on May 14 to impose fu~oughs oh.p 10 11 days on civilian employeea to help elcsa the budget gap caused by 

sequestrllllon, I alSO SBid we wou~ do everythi-og possllle to lind the money to reduce furklugh days for our people. Wth the end of the fiscal year next 

month, m1109gers acros.s the DoD are making f~nal decisions nacesaary to ensure we make lhe $37 billion spending Cltls mandated by sequslrallon, while 

also dolng evelylhlng possible to lim~ damage to flililsry readlness and our WO/IdorQI. We are joined In this rega-d by manegers in noo..:lefensa agencies 

who are also working to aceommodale sequestm!lon CUis while minimizing mluion damage. As part of that elfort at lhe D<:lpenment ll( Defense, ram 

aniiO\.O"ICing today that, thanks lo the DoD's effort• to Identify aavings and help from Congress, we wiU reduce the lo!al numbers of furlough days fer DoD 

civilian employees from 11 to sbc. 

'Mlen sequaslralioo look affect en March 1, DoD laced shortfal~ ol more th~ $30 bnlioo in its budget lor day-I<Hiay openllhg costs beceusa of 

sequeslralioll and problems with wartime funding. At thai point we faced the WKY real pcsslb~ity ol unpaid fu1oughs for c:Miien employees ol up lo 22 day~-

As early as Jaruary, DoD leaders began makilg p.WnfuJ and far ""'d:llng changes lo close th~ shortfall'. civilian hhingfl'e9.1:es, layoff$ of lempormy 

workers, signifiCB!l! culs in facilities malnlei\Snc:e, and mom. We elso shio:ply cut tminlng and malnlenance. The Ai' Foree Slopped flying in many squadroos, 

the NS\Iy kept ships In port, and the Army cenc:elled tralni-og 8'/MIS. These actions have seriously reduced multary readiness. 

By early May, even slle.r taking lhasa Slep$. we sl~l faced day-to-day budgatary mortfalls o1 $11 b<micn. At !hat point I decided that Cltttlng any deeper 

into traln"ll19 and maintenance wouid jeopWizu ou- core reac~;,au mission and natklnal security, which is why 1 Mnounc:ecf furloughs of 11 days. 

Hoping to be able lo redUCa furloughs, we submitted a large reprogr..,rning proposello Congress in May, asking !ham to let us move funds from 

acquisitial accounts into day-1<>--da)t operaUng accounts. Congress approved most ll( this requesl in lela July, and we are working with them to meal 

remaining IIBedS. We are also expeflancing less lhsn ~~>pectad cosls in some areas, such as transportaUon ct equipment out of Afl1umlstan. lr'oh!!r-e 

nacessmy, we have talcan aggmssi'la ectial to IrMa!« funds among setVic:as and ageo:::ies. And the l'urlcoctos have saved us money, 

As arasult of these management in~ialives, reduced costs, and reprogramming from Congress, we have detemlinad lhel we can make some 

improvements in training and readineu end stin meat !he saquestm!lon cuto_ The Ait Fotca has beg\.ollly!ng again In key squadrons, the lvmy has Increased 

fUnding for organizational training al oolacted un~s. anct the Navy has raalarted some maintenance anct ordered deployment• that Olherwloo wou1c:1 not have happened. 'Mli!e we are stm depending en furlough saW!gs, we wU! be able to make o.p our bu:!getary shortfall In this fiscal year with fewer furlough days than 

ln~ially announced 

This has be9n one of the mOll! votati~ and uncertain bu:!get cydes the Department of Defenoo has ever experienc:ecf. Our fiscal plaming haa been 

conducted under a cloud of uncarteintywlth the impos~OO of Hquestration and changing rules as Congress made adjUSiments to our spending authorities. 

All we look ahead to f<Seal year 2014, less than two months away, the Department of Defense s~ll faces major fiscal challangas. Jf Congress doos not change the Budget Conllol Act, DoD wiU be foreed lo Cit! an add~k>nal $52 biUion in FY 2014, startng en Oclcllar 1. ThO. raprannla 40 peiC:en\ mora than this 

yea~s sequestar-mandaled cuts of $37 bi!rlcn. Facing this uncertainty, I cannot be SUIB what will happen OOXI year, 1M I wanllo assure our civilian employees 

lhal we wiU do everylhlng possible 10 avoid mora furloughs. 

1 want to thank our cMf1all workEns lor their patience and dedication dlli"hg lhasa extraordinarily tough fimes; and lor their oon!O-luad seiYice and 

devotion to our department end our country. I know hON d'dfiCUH thio has been for all of you and your famUies, Your C<>ntribuliorl to national aec:urily Is 

invaluable, and I fool< forward to one day pv!Ung this dfficuH perifld behlrid us. Thank you and God Bleu you and your families. 

Secretary Hagers Memorandum can be viewed at hH?•ffw:ml.d!lle!>AA-$WifhcmeAAll!ures/2013/docs.P0&!613 Furloll9h Reciuc!lons 00! 

--------------------~'"::""=:·=·''~'"'~" -~-·------ --

Main Menu 

http://www.defense.gov/releases/release.aspx?releaseid=I6191 R/14/?01 1 

DCMA Administrative Record for FY 2013 Furlough Appeals 019
DCMA Furlough Information Page I of2 

OCMA Fur1ough Guidance 

Welcome to the DCMA Furlough Guidance Webpage. 

DCMA has established this Furlough Pla110lng web page to ensure all OCMA employees have access to information m!ated to lhB 2013 Administrative Fur1ough. This web 

page Is dedi;:ated to answering your qu651Jons and addressing your concerns. 

OCMA has been direc!ed to conduct a furlough. We have provided Information and links on this web page that may answer your questions as "you plan for your furlough. We 

wHI conllnueto update this page as lnlormatlon is rncelved. For any questions !hat o;:annot be answered via lhBse sites, you are encouraged to send your questions to 

furlough@dcma.mil. 

The Defense Department has revised from 14 to 11 the numberoldaya clvman employees are to be fur1oughed this year due 10 the budget sequSBter. Employees will be 

discontinuously furloughed no earlier than July 8, 2013 through the end oflhe fiscal year. 

Important New lnfonnallon: 

Assistant Secretary of Defense, Readiness and Force Management, F. Vollrath, provided in a memorandum dated June 28, 2013, "On furlough days, furloughed civilians are 

no1aulhorized to perform official duties at their permanent or temporary duty station. at home, or at an allamate site, including communicating by BlackBeny oro !her mobile 

device. In ali:Htion, civilian personnel subject to furloi.!Qh shall not be required to worl<. beyond their regu~rly scheduled and compansated times on non· furlough days to malle 

up lor wor11. lost as a result of furlough. nor shall employees in peY status perform wor11. beyond their regularly scheduled hore to compensate lor worldoadlprt>duclivlly loss of 

!hooo who are in tur1oi.!Qh smrus.· The memorandum Is posted below under"Additlonal Documenmfion." 

It is important to note that DCMA continues to maintain flexible and compressed worl<.schedules during the 2013 furlough period. therefore furlough times may be calculated 

in terms of hours rather than days. In lhese cases, the prwfslon above refere to furlough houre. 

Director's MesBBges: 

DCMA Speelflc Information: 

DCMA employees have askBd the questions provided In the attached··simi~rquastrons have been grouped together. Additional questions and answers will be posted delly.j 

DCMA frequently Asked Questions 122-May-13) 

Process Covering Potential for Administrat<ve Furlough for FY 2013 !Between DCMA & AFGEl 

Amendment (30-May-13) 

Employee Resoun:es Related to Furlough: NEW I 

2013 Furlough ReSOUI'CGS 

Supporting Documentation: 

ASD Memo Total Force Manaaement and Budoetarv U/\Cer1Sinlv !21-Feb-13) 

SECDEF Memo PreparaUons for Potential Seguestratlon on March 1 and Furlough Ngtificatlons (20-Feb-131 

Additional Documents: 

http://www .dcma.mil/furlough/ 

r Bargaining Obligations, (5·Mar-13) 

Program- Administrative Furlough, 23-May-13) 

7110/2013 

DCMA Administrative Record for FY 2013 Furlough Appeals 020
DCMA Furlough Information 

OPM Gulda~e- Addendum 7 (TravelTime as Hoors of Work. 10-Jun-13) 

Additional Links: 

http://www.dcma.mil/furlough/ 

Page2 of2 

7110/2013 

DCMA Administrative Record for FY 2013 Furlough Appeals 021
DEFENSE CONTRACT MANAGEMENT AGENcY 

2013 Furlough Resources and Information 

With Department of Defense furloughs scheduled to begin on Monday, July 8, 2013, DCMA is 

providing resource information to help everyone navigate effectively through this difficult 

period. 

1 Furlough Website and E-mail Address 

Furlough Website: Employees can access extensive information about the furlough to include 

OPM Guidance, furlough overview, guides on budgeting, TSP Furlough Fact Sheet, overall 

guidance and policy, and much, much more at www.dcma.mil/furlough. 

Furlough E-mail Address: Email furlough@dcma.mil to get answers to your questions. 

EAP Services I 

The Employee Assistance Program (EAP) is available 24/7 to assist you as you cope with the 

effects oftbe furlough. Calll-800-222-0364 (TTY: 1-888-262-7848) or go online at 

WW'N.worklife4you.com for assistance. International callers should call314-387-4701 and ask 

the operator to reverse the charges. For international TTY callers, please have the relay operator 

make the initial call because collect calls can only be authorized by voice. Once authorized, the 

TTY machine may be used. New website users should use registration code "dcma" to register. 

PERSONALIZED REFERRALS: Specialists are accessible 24/7 to help you find a variety of 

resources including legal and financial support, alternate child and senior care options that meet 

your budget, community services, assistance programs (food, utilities, transportation, etc.), 

housing options, and much more. 

ONLINE TOOLS: Access tips, checklists, articles, podcasts, webinars, calculators, and other 

resources on topics including guidance for hard times, budgeting, saving, credit and debt, 

mortgages/foreclosure, staying healthy, coping with stress, conquering substance abuse, 

understanding child and senior care options, and more. 

DCMA Administrative Record for FY 2013 Furlough Appeals 022
FREE EDUCATIONAL GUIDES: Get helpful guides including Building a Better Credit 

Report, Choosing and Using Credit Cards, Finding a Lawyer That is Right for You, and more. 

LIVE INTERACTIVE WEBINARS: Interact with the presenter to ask questions and clarifY 

information. You can attend from anywhere-all you need is a computer and an internet 

connection. Please visit https://dcma.motivation.cc to register. 

• July 10,2013: "Emergency Preparedness" 12:00-1:00 p.m. EDT• 

• July 24,2013: "Planrdng, Prioritizing, & Organizing Your Time" 12:00-1:00 p.m. EDT' 

• August 7, 2013: "Smart Shopping" 2:00-3:00 p.m. EDT* 

• August 21,2013: "Overcoming Debt" 12:00-1:00 p.m. EDT' 

*These are live webinars, so please remember to adjust the start time for your time zone. 

View past webinars, including "Budgeting Basics," "Stress Management," and other previously 

recorded webinars, at www.worklife4you.com. Just click the On Demand Library module on the 

right hand side of the home page to access webinars on a variety of topics. 

Please note that the webinars carmot be currently accessed using DCMA computers due to issues 

with the webhost. The technology needed to allow access has been procured and is slated to be 

deployed by September 2013. Until then, they can be accessed at any time using a non-DCMA 

computer. 

Other Resources 

CFC-Supported Charities 

With the furlough fast approaching, the loss of income may put some employees in a particularly 

tough spot economically, in the short-term. Reach out to the Combined Federal Campaign 

(CFC) programs to help you get through it. They have a wide-variety of programs that can assist 

with finding community services such as food assistance, shelter, non-emergency medical care, 

and prescription discounts; scholarships and loans; substance abuse assistance; adult and child 

care~ and more. Visit www.opm.gov/combined-federal-campaignl and click "Finding Local 

Campaigns" to discover resources in your area. 

United Way 

Over 300 United Ways and their local community partners are engaged in activities and 

initiatives to help build the fmancial stability of families in their communities. Visit their 

. website at www.unitedway.org for information on the education, income, and health resources 

they offer. 

DCMA Administrative Record for FY 2013 Furlough Appeals 023
DCMA Specific Frequently Asked Questions 

Pay/Leave/Schedules 

I. Q. Does DCMA plan to shut down operations one day a week and remain open daily 

with employees opting for Fridays or Mondays off? 

A. Currently, there is no overall plan to shut down operations one day a week. 

Decisions regarding furlough days will be made to minimize adverse impact to the 

mission and ensure continuity of operations and may vary, but as a general rule will 

be scheduled for 8 hours per week. 

2. Q. Can an employee elect to take the II furlough days consecutively? 

A. Currently, the guidance from the Department of Defense requires employees to be 

furloughed on discontinuous (intennittent) days for no more than 16 hours per pay 

period. 

3. Q. Will employees be removed from Alternate Work Schedules and moved to 8 

hour work days during the furlough? 

A. Employees will not automatically be removed from alternate work schedules; 

however, some work schedules may be impacted due to pressing mission needs. 

4. Q. How will furlough affect employees working part time? 

A. Furlough time off for part-time employees will be prorated based on the 

employee's work schedule. For further guidance, please reference OPM's F AQ's 

(Section L/Furlough Time Oft). 

https :1/swww .dcma.mil/furlough/files/OPM Adminstrative Furlough Guidance. pdf 

5. Q. Will the telework benefit be available for employees during the furlough? 

A. Employees will not automatically be removed from telework; however some 

telework arrangements may be impacted due to pressing mission needs. 

6. Q. Will use or lose be affected by the furlough? 

A. Employees should schedule use or lose leave in accordance with established 

procedures to avoid forfeiture at the end of the leave year. 

7. Q. How does an employee stop their contribution to the Combined Federal 

Campaign (CFC)? 

DCMA Administrative Record for FY 2013 Furlough Appeals 024
A. The employee must contact their local Customer Service Representative or make 

your request via the centralized mailbox (FinancialLiaisonCenter.Inbox@dcma.mil) 

to place a stop on funds being deducted from their Leave and Earning Statements 

(LES) for the purpose ofCFC. 

8. Q. Can an employee request to be furloughed as a way of reducing the hours of 

furlough required of other employees? 

A. An employee cannot request to be furloughed. A furlough is an agency adverse 

action that places an employee in a temporary non-duty, non-pay status because of 

lack of work or funds, or other non-disciplinary reasons. For full guidance please see: 

http://www.opm.gov/policy-data-oversight/pay-leave/fw·Iough-guidance/guidancefor-administrative-furloughs.pdf 

9. Q. How will an employee on FMLA utilizing sick leave for 3 months be affected by 

sequestration? 

A. Agencies have discretion in determining whether to furlough employees who are in 

L WOP status, since both furloughs and LWOP are periods of non-pay status. 

Employees may already be scheduled for L WOP for a variety of reasons and for 

various lengths oftime on either a continuous or discontinuous basis. Agencies are 

responsible for determining (1) whether employees already scheduled for 

L WOP during a period when administrative furloughs are being conducted will be 

subject to furlough and (2) the hours of furlough required of such employees. For 

additional guidance on this topic, please see: 

https://swww.dcma.miVfurlough/files/addendum4.pdf 

10. Q. Will there be provisions for the continued incurrence of Travel Comp Time 

(earned) during the furlough? 

A. Employee entitlements to earn compensatory time for travel. will not be affected by 

furlough. 

11. Q. Will civilian employees be able to schedule their furlough hours in blocks when 

they are performing reserve duty? For example, if an employee takes two weeks of 

leave without pay during the furlough period, will all 80 hours ofLWOP is 

applicable to the 176 hours each employee will be required to take as furlough? 

A. Employees who are in L WOP status during an administrative furlough will receive 

credit for their time in that status towards any remaining scheduled furlough hours. 

DCMA Administrative Record for FY 2013 Furlough Appeals 025
12. Q. Can agencies furlough employees who are on approved leave without pay 

(L WOP) during a time when administrative furloughs are being conducted for other 

employees? 

A. Employees who are in L WOP status during an administrative furlough will receive 

credit for their time in that status towards any remaining scheduled furlough hours. 

• During an administrative furlough, employees issued furlough notices will be 

subject to scheduled furlough time until an approved period ofLWOP begins. 

• Once the previous furlough hours served plus LWOP hours taken during an 

administrative furlough equals the number of furlough hours required during 

the administrative furlough, no additional furlough time will be required. 

• When a period ofL WOP ends during the administrative furlough, the 

employee will be subject to the remaining balance of furlough time, if any. 

13.Q. !fan employee is on approved leave without pay (L WOP), but affected by the 

furlough, would the employee be furloughed and L WOP terminated? 

A. Employees who are in L WOP status during an administrative furlough will receive 

credit for their time in that status towards any remaining scheduled furlough hours. 

During an administrative furlough, employees issued furlough notices will be subject 

to scheduled furlough time until an approved period ofLWOP begins. 

14.Q. How will employees be compensated during the furlough if they work outside of 

their basic workweek? 

A. Employees who are required to work hours outside of a basic workweek during 

which they have been furloughed are compensated with their rate of basic pay if 

overtime thresholds have not been met, and/or with overtime pay or compensatory 

time off in lieu of overtime pay, as appropriate, once the threshold have been met. 

Most employees are subject to a 40-hour weekly overtime threshold and an 8-hour 

daily overtime threshold. For example, if an employee is ordered to work 8 additional 

hours outside the basic workweek, these hours are substituted for the 8/urlough 

hours, and in essence the employee has worked a regular 40-hour workweek. 

15. Q. Will overtime pay be calculated based on an 8 hour work day or a 40 hour work 

week? 

A. Overtime pay provided under title 5 USC is pay for hours of work officially 

ordered or approved in excess of 8 hours in a day or 40 hours in an administrative 

workweek. 

DCMA Administrative Record for FY 2013 Furlough Appeals 026
• FLSA exempt employees who work full-time, part-time, or intermittent tours 

of duty are eligible for title 5 overtime pay. Employees in SL and ST positions 

are covered by the premium pay provisions under title 5. 

• For employees with rates ofbasic pay equal to or less than the rate of basic pay 

for GS-10, step 1, the overtime hourly rate is the employee's hourly rate of 

basic pay multiplied by 1.5. For employees with rates of basic pay greater than 

the basic pay for GS-1 0, step I, the overtime hourly rate is the greater of: the 

hourly rate of basic pay for GS-10, step I, multiplied by 1.5, or the employee's 

hourly rate of basic pay. 

Overtime pay for nonexempt employees is computed under the Fair Labor Standards 

Act (FLSA). A non-exempt employee is compensated for all hours of work in excess 

of 8 in a day or 40 in a workweek. All overtime work that is ordered or approved or 

"suffered or permitted" must be compensated. 

• Under the FLSA, overtime pay is determined by multiplying the employee's 

"straight time rate of pay" by all overtime hours worl<ed PLUS one-half of the 

employee's "hourly regular rate of pay" times all overtime hours worked. 

• Any applicable special rate supplement or locality payment is included in the 

"total remuneration" and "straight time rate of pay" when computing overtime 

pay under the FLSA (ex. Sunday premium pay, night pay) 

17. Q. May compensatory time off be utilized during furlough? 

A. Yes. Compensatory time off is merely an alternative form of payment for 

overtime work. As such, the value of an hour of compensatory time off is equal to 

the overtime hourly rate that is payable in dollars. 

• Compensatory time off may be approved in lieu of overtime pay for irregular 

or occasional overtime work for both FLSA exempt and nonexempt 

employees. Compensatory time off can also be approved for a prevailing rate 

employee, but there is no authority to require that any prevailing rate (wage) 

employee be compensated for irregular or occasional overtime work by 

granting camp time off. 

• An employee must use accrued compensatory time off by the end of the 26th 

pay period after the pay period during which it was earned. If the accrued 

camp time is not used within this timeframe, the employee is paid for the 

earned comp time off at the overtime rate in effect when earned. 

DCMA Administrative Record for FY 2013 Furlough Appeals 027
18. Q. Where can I find help ifl encounter financial difficulties as a result of 

furlough? 

A. Furlough financial assistance is available through the Employee Assistance 

Program. DCMA Furlough Resources at https://www.dcma.mil/furlough. 

19. Q. If an employee has already taken L WOP for military duty in this fiscal year, is 

any of that applicable towards that employee's furlough requirement? 

A No. During an administrative furlough, an employee may not substitute leave 

or other forms of paid time off for any hours or days designated as furlough time 

off(e.g. annual, sick, court, or military leave, etc.) 

20. Q. Employee is taking two weeks of military leave during the furlough period, do 

they still need to count two furlough days within the period or are they exempt 

while charging to military leave. 

A. An employee who uses paid military leave must still take furlough days. If the 

employee chooses instead to use LWOP for his military AT, he would receive 

credit for time in L WOP status towards any remaining scheduled furlough hours; 

in other words, all days in L WOP status would be credited towards his remaining 

furlough days. 

TSP/High 3NERANSIP 

I. Q. Will an employee's High 3 be affected by Furlough/Sequestration? 

A. Generally, furlough will not impact a High 3 computation. Please refer to OPM 

Furlough Guidance Section: Employee Assistance, Question l at 

http://www.opm.gov/furlough. 

2. Q. What ramifications are there for items that are based on a percentage of earnings 

like TSP and Life insurance? 

A. See TSP Fact Sheet at https://www.tsp.gov/index.shtml 

3. Q. Will VERANSIP be offered this fiscal year? 

A. VERANSIP will not be offered to DCMA employees this fiscal year as a result of 

budget uncertainties or furlough. These authorities are used to permanently reduce 

the number of personnel employed or to restructure the workforce to meet mission 

objectives without reducing the overall number of personnel. 

DCMA Administrative Record for FY 2013 Furlough Appeals 028
Performance 

1. Q. Will performance awards be affected by furlough? 

A. Consistent with guidance from the Office of Management and Budget (OMB 

Bulletin #M-13-05), DCMA will not issue discretionary monetary awards (e.g., 

performance awards, special acts, QSis, etc.) Wltil further notice. 

2. Q. Will metrics be adjusted to offset the reduced time employees have to complete 

their work? 

A. Supervisors will guide adjustments of plans. 

Keystone/Pathways/852 Fundingffraining 

I. Q. If Keystones are unable to get the training they need due to budgetary issues, will 

the employee be penalized? 

A. Employees will not be penalized if required training becomes Wiavailable due to 

conditions beyond the employee's control. 

2. Q. If sequestration cuts take effect for FY13 and FY14, and all travel is restricted, will 

employees be penalized for not completing non-CBT core DAWIA courses? 

A. There is currently no restriction plarmed for DA WIA related training; in the event 

restrictions must be placed on DA WIA related training events, any modification to the 

24 month requirement will be addressed by AT &L for implementation across the 

Department. 

3. Q. How will I be furloughed if! am attending an extended training class such as the 

two week DAU class? 

A. The Department guidance is to generally target 8 hours per week but it is 

recognized this may not always be feasible, achievable, or a smart business decision 

to keep rigidly to that guidance. I want to remind you all as you are making 

scheduling decisions for your folks that some degree of :flexibility exists. Extended 

TDY or training, critical mission requirements, employee requests, etc., may occur 

that will necessitate that furlough hours be taken on a slightly modified basis - and 

hours in a week or pay period may be modified to accommodate specific situations. 

For example, an employee attending a two-week training course during the pay period 

DCMA Administrative Record for FY 2013 Furlough Appeals 029
may not be able to have furlough hours scheduled that pay period. The 16 hours 

"missed" during that pay period should be redistributed immediately before and/or 

after the training. For long-term TDY and training, it is feasible to schedule furlough 

days at the TDY/training site--the employee will continue to receive per diem and 

lodging for the day, but no work or training would be performed and the employee 

would not be paid. To the extent possible, these employees should follow the 

furlough guidance from the school they are attending. This is something that, as a 

supenrisor, you will need to closely monitor. 

General Questions 

I. Q. Am I allowed to file for unemployment compensation if we are furloughed? 

A. Rules for unemployment eligibility vary by State. Please refer to OPM Furlough 

Guidance in Section H (Employee Assistance). http://www.opm.gov/policy-dataov ers ightlpay -leave/furlough-guidance/ guidance-for-administrative-fur toughs. pdf 

2. Q. Will I be able to seek additional employment during a furlough to compensate for 

lost wages? 

A. While on furlough, an individual remains an employee of the Federal Government. 

Therefore, executive branch-wide standards of ethical conduct and rules regarding 

outside employment continue to apply when an individual is furloughed (specifically, 

the executive branch-wide standards of ethical conduct at 5 CFR part 2635). In 

addition, there are specific statutes that prohibit certain outside activities, and agencyspecific supplemental rules that require prior approval of, and sometimes prohibit, 

outside employment. Therefore, before engaging in outside employment, an employee 

should review these regulations and then consult his or her agency ethics official to 

learn if there are any agency-specific supplemental rules governing the employee. 

3. Q. Who determines whether someone is deemed ''mission essential"? 

A. The term 11Mission Essentialrr is not entirely relevant to a furlough action of this 

type. DCMA employees will be deemed "excepted" during furlough if they fall into 

one of two categories: foreign national employee or a civilian deployed to a combat 

zone. Every other civilian employee--852 funded mission essential, veterans, 

supenrisors, or SES members, will be furloughed and treated in the exact same 

marmer. 

DCMA Administrative Record for FY 2013 Furlough Appeals 030
4. Q. Bargaining Unit employees will be given 30 days advance notice prior to furlough 

taking place. Will Non-Bargaining Unit employees be treated the same? 

A. Yes. All employees, regardless of bargaining unit status, will receive a 30-day 

advance notice period. 

5. Q. How will veterans be treated during a furlough? 

A. Veterans will not be exempt from furlough. 

6. Q. Could there be a RIF? 

A. RIF actions are not anticipated this fiscal year. They could actually cost more 

money this year than they would save due to separation expenses and payout of 

accrued leave. 

7. Q. Will there be a freeze on PCS? 

A. There is no plan to freeze PCS at this time but approvals are decided on a case-bycase basis. 

8. Q. What are the status of negotiations between DCMA and AFGE Council 170? 

A. A Memorandum of Understanding between DCMA and AFGE Council 170 has 

been signed and can be viewed at 

http://www.dcma.mil/furlough/files/MOU Furlough.pdf 

9. Q. IfDCMA's budget is cut due to sequestration, will the Notice of Transfer of Work 

letter sent in early November to certain HQ and Center employee's be rescinded? 

A. No, the HQ Center Realignment effort is still in process. 

10. Q. Will any work-life programs be cut as a result of the sequestration or furlough; 

such as authorized time for physical fitness activity? 

A. Generally, work-life programs, such as authorized time for physical fitness, will 

not be affected as a result of sequestration or furlough, unless mission requirements 

warrant. 

II. Q. Will DCMA's OCONOS employees lose LQA on the day they are furloughed? 

A. In accordance with DSSR 132.2.b, an employee would not lose LQA. DSSR 

l32.2.b- while the employee is in non-pay status not in excess of30 calendar days at 

any one time, LQA grants will continue. For periods in non-pay status longer than 30 

DCMA Administrative Record for FY 2013 Furlough Appeals 031
calendar days, payment shall be suspended as of the day the employee enters such 

status, and payment is not made for any part of such period. 

12. Q, How does an employee stop their contribution to the Thrift Savings Plan (TSP)? 

A, In order to stop or change your Thrift Savings Plan (TSP) you must do so 

electronically tbru the Employee Benefits Information System (EBIS). This database 

can be found at https://www.abc.army.mil/index.htm. If you are having difficulty 

navigating the system, please call the Army Benefits Center (ABC) at (877) 276-

9287. If you are having a CAC issue and are unable to access your AKO email 

address or you are a new DCMA employee, the ABC hotline will be able to make 

your election for you. 

13. Q. Will OPM consider an "open season" for employees to change benefits 

(particularly FEHB)? 

A. Although there will not be an Open Season just for the impending furlough, there 

are FEHB Event Codes that are applicable in a furlough situation. For example, the 

following FEHB events codes may be used: 

IE code- Should be used in the event the employee is working on a Part-time 

schedule and an SF-50 is completed to change their work schedule (from part-time to 

full-time or vice-versa) or work hours. This event code will allow an employee to 

change to self-only, self-family or cancel their coverage. 

1 G code- Should be used for full-time employees who have insufficient pay to cover 

their FEHB premiums. These employees will be provided the option to cancel or 

change to self-only coverage within 31 days of insufficient pay notice. When full pay 

resumes, the employee has 60 days to elect to continue coverage. 

lD code- Should be used when an employee terminated their coverage and is 

returning to a full pay status, the employee will have 60 days from the date of their 

return to full pay status to elect health coverage. 

You can view other qualifYing life event (QLE) codes that can be made outside of 

Open Season at the link below: 

http://www.opm.gov/healthcare-insurancelhealthcare!referencematerials/reference/enrollment/ 

DCMA Administrative Record for FY 2013 Furlough Appeals 032
Subsequently, you will be notified by your employing agency if your salary becomes 

insufficient to pay your FEHB premiums. When notified you will be given the option 

to pay directly, incur a debt, or pre-pay premiums. Consequently, if you choose to 

incur a debt, you must agree to pay the resulting debt in full and allow the debt to be 

collected from your pay once you return to a full pay status. 

14. Q. What are the procedures or policies for participants in the event of a furlough 

schedule? 

A. The same MTBP procedures/policies apply whether in regular status or furlough. 

Participants in the mass transit benefit program should always claim monthly benefits 

in amormts up to their most recently approved mass transit enrollment application (not 

to exceed the maximum statutory monthly limit). , they need only adjust their 

monthly claims according to the days they will actually be commuting (taking into 

accormt furlough days, and as always, A WS, telework, etc.). Any benefits not used 

by participants expire at the end of each month. Unused benefits do not roll over to 

the next month. 

15. Q. If a new employee comes on board during the furlough period, what rules apply 

when placing the employee under the furlough? 

A. Per OPM guidance, an agency must give a 30 day notice to employees who are 

being furloughed, employees must be given a 7 day response period before they can 

be placed on furlough. The Notice ofFurlough can be given to the employee on the 

first day of employment and the furlough will go into effect after the requisite periods 

have passed. 

16. Q. What PLAS code do employees use for furlough days? 

A. The week of July 8, 2013 officially started the furlough period for all 

Department of Defense (DoD) employees. During this time, the correct PLAS code 

on the day of furlough will be KE. 

17. Q. How many days or hours of :furlough will a new employee have to serve? 

A. The number of days required for furlough will be pro-rated based on the week the 

employee begins the furlough. Examples are provided in the scheduling guidance 

document posted below under DCMA Specific Information. 

18. 

DCMA Administrative Record for FY 2013 Furlough Appeals 033
18. Q. Does placement in furlough status cause a full-time employee to be converted to 

part-time or a part-time employee to be converted to a reduced part-time work 

schedule? 

A. No. Placement in furlough status or any other kind of temporary nonpay, nonduty 

status does not affect the nature of an employee's official work schedule as full-time 

or part-time. For a full-time employee who is furloughed during a 40-hour basic 

workweek, the employee continues to have a full-time 40-hour basic workweek. For 

a part-time employee who is furloughed, the part-time tour of duty established for 

leave usage pmposes also remains the same. 

19. Q. May an employee volunteer to do his or her job on a nonpay basis during any 

hours or days designated as furlough time off? 

A. No. Unless otherwise authorized by law, an agency may not accept the voluntary 

services of an employee. (See 31 U.S. C. 1342.) 

20. Q. Will an employee's Federal Flexible Spending Account Program (FSAFEDS) be 

impacted during an administrative furlough? 

A. The employee's FSAFEDS coverage continues, and allotments made by the 

employee continue if the employee's salary in each pay period is sufficient to cover 

the deduction(s). If the employee's salary is insufficient to cover his or her 

allotment(s), then incurred eligible health care expenses will not be reimbursed until 

the allotments are successfully restarted (in which case the remaining allotments 

would be recalculated over the remaining pay periods to match the employee's annual 

election amount). Incurred eligible dependent care expenses may be reimbursed up to 

whatever balance is in the employee's dependent care account, as long as the 

expenses incurred allow the employee (or employee's spouse if married) to work, 

look for work or attend school full-time. Once dependent care allotments are 

successfully restarted, remaining allotments would be recalculated over the remaining 

pay periods to match the employee's annual election amount. 

Security Questions 

1. Q. If I can't meet my financial obligations can it impact my security clearance? 

A. Security clearance determinations are made based on a "whole person" principle. 

Decisions regarding eligibility for access to classified information take into account 

factors that could·cause a conflict of interest and place a person in the position of 

having to choose between his or her commitment to the United States, including the 

commitment to protect classified information, and any other compelling loyalty. 

When a person's life history shows evidence of unreliability or untrustworthiness, 

DCMA Administrative Record for FY 2013 Furlough Appeals 034
questions arise whether the person can be relied on and trusted to exercise the 

responsibility necessary for working in a secure environment where protecting 

classified information is paramount. Financial issues are one of many considerations 

taken into account when trying to determine whether a person is an acceptable 

security risk. As a category, financial problems are a leading reason a security 

clearance is revoked or not granted. A single financial misfortune may not in and of 

itself cause a loss of clearance. Rather, it would be a factor to be considered among 

many others: 

•Are they unable or unwilling to pay their debts? 

• Is there evidence of unexplained affluence? 

•Do they file annual Federal, state, or local income tax returns as required? 

•Is the financial difficulty a result of drug use or alcohol abuse? 

•Do they have a history of gambling or other risky financial behavior? 

• Was the financial misfortune an isolated incident or part of a pattern, or cycle of 

debt? 

•Has the individual acted responsibly? (i.e. notified and worked with creditors) 

•Has the individual been open and honest with his or her leadership about the issue 

or have they tried to cover it up? 

2. Q. What should I do to minimize the effects on my security clearance if and when I 

find myself unable to meet my financial obligations? 

A. You should immediately contact your creditors and explain the situation. You 

should document each interaction with the creditor to the maximum extent possible. 

Many creditors are willing to work with their customers in such situations. For 

example, if the creditor agrees to lower payments for a period oftime, you should ask 

for that agreement in writing or email. This will allow you to provide the adjudicator 

with the documented evidence that you were acting responsible given the situation. 

Additionally, you should keep your security office informed if you are experiencing 

or beginning to experience difficulty meeting your financial obligations. 

3. Q. What kinds offmancial hardships should I report to my Security Office if they 

occur? 

DCMA Administrative Record for FY 2013 Furlough Appeals 035
A. You should notifY the DCMA Security Office at 

PERSONNELSECURITYMAILBOX@DCMA.MIL and your supervisor in writing 

if, because of furlough, you: (I) face bankruptcy, (2) are unable to pay Federal, state 

or other taxes required by law or ordinance, (3) require credit counseling, ( 4) become 

delinquent on alimony or child support payments, (5) have a judgment entered against 

you for failure to meet financial obligations, (6) have liens placed against you, (7) 

become delinquent on a Federal debt, (8) have possessions or property repossessed, 

(9) default on loans, (10) have accounts turned over to a collection agency, (II) have 

credit accounts suspended, charged off, or cancelled for failure to pay as agreed, (12) 

are evicted for non-payment, (13) have wages garnished in order to satisfy a fmancial 

obligation, or (14) become over 120 days delinquent on a debt. Providing 

notification demonstrates responsibility which can mitigate any security concerns 

about the debts themselves. 

DCMA Administrative Record for FY 2013 Furlough Appeals 036
ADMINISTRATIVE FURLOUGH SCHEDULING GUIDANCE FOR NEW 

EMPLOYEES 

New employees reporting for duty at DCMA must be given a Notice of Proposed 

Furlough by the new supervisor upon arrival. The employee will have seven calendar 

days from the date this notice is received to make a written and/or verbal reply to the 

deciding official. The proposal provides the employee a 30-calendar day notice period 

starting from the date the proposal is received. After the seven-calendar day reply period 

has expired, the employee must be given a Notice of Decision to Furlough prior to the 

expiration of the 30-calendar day notice period. If the decision is to furlough the 

employee, the employee will begin the furlough no sooner than 30 calendar days after the 

proposal notice is received. The number of days required for furlough will be pro-rated 

based on the week the employee begins the furlough. 

Examples: 

Employee A-Enters on duty with DCMA effective 17 June 2013 and receives the 

Notice of Proposed Furlough on the same date (30-calendar day notice period begins). 

The employee's seven-calendar day reply period expires on 24 June 2013. The employee 

receives the Notice of Decision to Furlough on 25 June 2013. 

The employee's first effective date of furlough is 18 July 20!3. The employee will serve 

one furlough day (eight hours) on either 18 or 19 July 2013. The employee's furlough is 

reduced by one day (eight hours) and will serve ten days of furlough for the remaining 

furlough period. 

The employee is identified as an exception in AutoNOA (Reason #21, Delayed issuance 

of furlough proposal notice). A manual furlough RPA is submitted through DCPDS with 

an effective date of 18 July 2013. 

Employee B- Enters on duty with DCMA effective I July 2013 and receives the Notice 

of Proposed Furlough on the same date (30-calendar day notice period begins). 

The employee's seven-calendar day reply period expires on 8 July. The employee 

receives the Notice ofDecision to Furlough on 9 July 2013. 

The employee's first effective date of furlough is I August 2013. The employee will 

serve one furlough day (eight hours) on either I or 2 August 2013. The employee's 

furlough is reduced by three days (24 hours) and will serve eight days of furlough for the 

remaining furlough period. 

DCMA Administrative Record for FY 2013 Furlough Appeals 037
The employee is identified as an exception in AutoNOA (Reason #21, Delayed issuance 

of furlough proposal notice).A manual furlough RP A is submitted through DCPDS with 

an effective date of l August 20!3. 

Employee C-Enters on duty with DCMA effective 15 July 20!3 and receives the 

Notice ofproposed Furlough on 16 July 20!3 (30-calendar day notice period begins). 

The employee's seven-calendar day reply period expires on 23 July 20!3. The employee 

receives the Notice of Decision to Furlough on 29 July 20!3. 

The employee's first effective date of furlough is 16 August 20!3. The employee will 

serve one furlough day (eight hours) on 16 August 2013. The employee's furlough is 

reduced by five days (40 hours) and will serve six days of furlough for the remaining 

furlough period. 

A manual furlough RP A is submitted through DCPDS with an effective date of 

16 August 2013. 

DCMA Administrative Record for FY 2013 Furlough Appeals 038
ADMINISTRATIVE FURLOUGH SCHEDULING EXAMPLES FOR 

TDYffRAINING 

Employee A- Scheduled to attend a one-week training class 29 July- 2 August 2013. 

Employee travels on Sunday, 28 July, and either Friday, 2 August or Saturday, 3 August. 

The DCMA employee will adjust the one furlough day (eight hours) "missed" while in 

training to the week before or the week following the training. 

Employee B -Scheduled to attend a two-week DAU training class 30 July- 8 August 

2013. DAU scheduled furlough days are Monday, 29 July, and Friday, 9 August. The 

DCMA employee travels on Monday, 29 July, and Friday, 9 August. The DCMA 

employee will adjust the two furlough days (16 hours) "missed" while in training to the 

week before or the week following the training. For example, the DCMA employee will 

schedule two furlough days the week of22 July and two furlough days the week of 

12 August to make up the "missed" 16 hours of furlough while in training. 

Employee C- Scheduled to attend a four-week DAU training class 30 July- 21 August 

2013. DAU scheduled furlough days are Monday, 29 July; Friday, 9 August; and 

Thursday and Friday, 22 and 23 August. The DCMA employee travels on Monday, 

29 July, and Thursday, 22 August. The DCMA employee is furloughed on Friday, 

9 August, and Friday 23 August. The DCMA employee will adjust the two additional 

furlough days (16 hours) "missed" while in training to the week before or the week 

following the training. For example, the DCMA employee will schedule two furlough 

days the week of22 July and two furlough days the week of26 August to make up the 

"missed" 16 hours of furlough while in training. 

Employee D- Scheduled for TDY 23-26 July 2013. The employee's original furlough 

schedule included a furlough day on 22 July. The employee will travel on 22 July and 

reschedule the one furlough day (eight hours) to the week before or the week following 

the TDY. 

DCMA Administrative Record for FY 2013 Furlough Appeals 039
ASSISTANT SECRETARY OF DEFENSE 

4000 DEFENSE PENTAGON 

WASHINGTON, D.C. 20301-4000 

READiNESS AND 

FORCE MANAGEIIENT JUN 2 8 2013 

MEMORANDUM FOR: SEE DISTRJBUTION 

SUBJECT: Civilian Furloughs and Total Force Management 

Reference: (a) Secretary of Defense Memorandwn, "Furloughs", dated 14 May 2013 

The Secretary of Defense, per reference (a), directed civilian furloughs beginning July 8, 2013. 

Reference (a) also provided for certam exceptions to the civilian furloughs to minimize adverse effects 

on mission. Tbis memorandwn provides additional guidance related to the Total Force of active and 

reserve military, civilians, and contracted support during the time-period of civilian furloughs. 

While civilian furloughs will undoubtedly disrupt the mission and have a negative impact on 

productivity, it has been detennined that the risk associated with that workload loss, while 

unavoidable, is acceptable. On furlough days, furloughed civilians are not authorized to perform 

official duties at their permanent or temporary duty station, at home, or at an alternate site, including 

communicating by BlackBerry or other mobile device. In addition, civilian personnel subject to 

furlough shall not be required to work beyond their regularly scheduled and compensated times on 

non-furlough days to make up for work lost as a result of furlough. nor shall employees in pay status 

perform work beyond their regularly scheduled hours to compensate for the workload/productivity loss 

of those who are in furlough status. 

Accordingly~ Component heads, installation commanders, and line managers shall take steps to 

manage workload, but must ensure that borrowed military manpower is not used to compensate for 

work resulting from a civilian furlough. To do so would be inconsistent with the Secretary's intent and 

the Department's commitment to protect the viability of the All-Volunteer Force. 

Additionally. in accordance with the. Department's statutory requirements, contractors are 

prohibited from being assigned or pennitted to perfonn additional work or duties to compensate for the 

workload/productivity loss resulting from the civilian furlough. 

To protect against further hann to morale and productivity- which the Secretary of Defense 

warned against- compliance with the above is critical. Please ensure maximum distribution of this 

memorandwn throughout your organization. 

___:;j ~21/. ~ .. ~ .. '1 -- p; ~-- F. E. Vollrath 

DCMA Administrative Record for FY 2013 Furlough Appeals 040
DEFENSE CONTRACT MANAGEMENT AGENCY 

3901 A AVENUE, BUILDING 10500 

FORT LEE, VA23801·1809 

INTERNAL MANAGEMENT GUIDANCE- FOR OFFICIAL USE ONLY 

MEMORANDUM FOR DEPUTY DIRECTOR 

CHIEF OPERATING OFFICER MAY 3 0 2013 

REGIONAL COMMANDERS 

EXECUTIVE DIRECTOR, SPECIAL PROGRAMS 

EXECUTIVE DIRECTOR, INTERNATIONAL 

EXECUTIVE DIRECTOR, CONTRACTS 

GENERAL COUNSEL 

SUBJECT: TASKING: FY 13 Administrative Furlough Requirements for Deciding Officials 

Suspense: June 5, 2013 THROUGH NO LATER THAN July 5, 2013 

As indicated in the original Furlough Tasking Memorandum, an administrative furlough 

will be instituted for all DCMA civilian .employees, except direct and in-dir~t hire foreign 

national employees~ civilians deployed in combat zones and 9ivilians deployed in Africa; and 

Foreign MiJitary Sales (FMS) employees Whose positions are exclusiVely funded from FMS 

Administrative and FMS Case Funds and from Foreign Military Financing Accounts. The 

furlough will be on discontinuous (intermittent) days for no more than 11 workdays or 88_ hours. 

Generally, each employee will be furloughed for no more than 8 hours per week during the 

period between July 8, 2013 and September 30,2013. 

Proposing Officials (normally first line supervisors) were tasked with issuing the Notice 

of Proposed Furlough during the period May 28 through June 5, 2013. Management officials 

were designated to receive the employee's oral reply and will provide Deciding Officials a 

Memorandum for Record summarizing_ the employee's oral reply. The employee reply period 

ends during the period June 4 through June 12, 2013 (seven calendar days from the date the 

Notice of Proposed Furlough was received by the employee). 

As Deciding Officials, you are charged with fully considering any replies (written and/or 

oral) and issuing the Notice of Decision to Furlough. Deciding Officials are accountable for 

making final decisions on furloughs for individual employees after carefully considering the 

employee's reply, if any, and the needs of the Agency. Deciding Officials must also ensure final 

decisions are made in cases where an employee does not submit a reply. Deciding Officials will 

have the authority to execute the full range of options with respect to providing relief in 

individual employee cases. This authority includes, but is not limited to, reducing the number of 

days/hours an individual employee is furloughed, or granting the individual employee an 

exception from the furlough altogether. Agency templates have been developed for the Notice of 

Decision to Furlough and cannot be amended or changed. 

NOTE: If the decision is made to grant partial or total relief from the furlough, the 

Deciding Official must contact the servicing Labor and Employee Relations Specialist for 

assistance in preparing the Notice of Decision to Furlough. 

DCMA Administrative Record for FY 2013 Furlough Appeals 041
EMPLOYEES ON TEMPORARY APPOINTMENTS AND REEMPLOYED 

ANNUITANTS: These employees do not have the same statutory procedural rights as 

permanent employees. Therefore, employees on temporary appointments and reemployed 

annuitants will not receive a Notice of Proposed Furlough. The Notice of Furlough will be 

issued by the designated Deciding Officials during the period NOT EARLIER THAN June 5 

through NO LATER THAN July 5 (Previously provided as Attachment E in the original 

Furlough Tasking Memorandum). 

As a reminder, a DCMA Memorandum of Understanding addressing the Agency's 

Administrative Furlough Plan has been negotiated with the American Federation of Government 

Employees, Council I 70. Further negotiation of the Agency's Administrative Furlough Plan and 

supplemental guidance are not authorized at any leveL 

Attachment A provides a template for the Notice of Decision to Furlough where the 

employee made an oral and/or written reply 

Attachment B provides a template for the Notice of Decision to Furlough where the 

employee did not make a reply 

Attachment C provides procedures for issuing the Notice of Decision to Furlough 

Attachment D provides a liSting of Merit-Systems Protection Board Regional Offices 

(required for insertion in the Notice of Decision to Furlough} 

Attachment E provides the MSPB Appeal Form (attachment to Notice of Decision to 

Furlough) 

Reguirement{s) Summarv: 

TI1e foliowing outlines requirements and actions to be taken by Deciding Officials: 

• NOT EARLIER THAN June 5 through NO LATER THAN July 5: Deciding Officials 

issue the Notice of Decision to Furlough (Notice of Decision to Furlough templates 

and procedures are at Attachments A, B. and C) 

• Attach MSPB Appeal Form to Notice of Decision to· Furlough 

• Ensure a complete record of each individual actio.n is maintained (Notice of Proposed 

Furlough; Written Reply (if any); Memorandum for Record of Oral Reply (if any); 

Supporting Documents provided by employee (if any); and Notice of Decision to 

Furlough 

• June 5 through NO LATER THAN July 5: Issue Notice to Furlough to temporary 

employees and reemployed annuitants 

• July 8: First workday an en1ployee may be furloughed 

Reporting and Recordkeeping Requirements: A sep-arate Tasking Memorandum will follow 

to outline specific reporting and recordkeeping requirements. 

Resource Impact: 

• Approximately one to four hours per mnployee. 

2 

DCMA Administrative Record for FY 2013 Furlough Appeals 042
Administrative Information: 

• PLAS Code for this task: 223B 

• This tasking memo has been coordinated with appropriate headquarters operational 

leadership. 

• POC: The Labor and Employee Relations Specialist, Human Capital Directorate, in 

accordance with organizational assignments (Previously provided as Attachment I in the 

original Furlough Ta~ing Memorandum). 

Attachments: 

As stated 

'--""ecutive Director 

Human Capital 

3 

DCMA Administrative Record for FY 2013 Furlough Appeals 043
DISTRIBUTION: 

SECRETARIES OF THE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOINT CHIEFS OF STAFF 

UNDER SECRETARIES OF DEFENSE 

DEPUTY CHIEF MANAGEMENT OFFICER 

CO~ERSOFTHECOMBATANTCOMMANDS 

DIRECTOR, COST ASSESSMENT AND PROGRAM EVALUATION 

DIRECTOR, OPERATIONAL TEST AND EVALUATION 

GENERAL COUNSEL OF TilE DEPARTMENT OF DEFENSE 

INSPECTOR GENERAL OF TilE DEPARTMENT OF DEFENSE 

ASSISTANT SECRETARIES OF DEFENSE 

DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER 

ASSIST ANTS TO THE SECRETARY OF DEFENSE 

DIRECTOR, ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF THE DEFENSE AGENCIES 

DIRECTORS OF THE DOD FIELD ACTIVITIES 

DCMA Administrative Record for FY 2013 Furlough Appeals 044
UNDER SECRETARY Of" DEFENSE 

1 1 CO DEFEi..,SE PENTAGON 

WASHINGTON .. DC 20301-1 100· 

UAY 23 2013 

MEMORANDUM FOR: SEE DISTRIBUTION 

SUBJECT: Additional Guidance for Handling Budgetary Uncertainty in Fiscal Year 2013 

References: (a) D_eputy Secre1ary ofDerense's memorandum on '"'Hnndling Bu~getary 

Uncertainty in Fiscal Year 2013." dated January 10,2013 

(b) USD(C) Memorandum "Additional Guid1Uice on Handling j3udget Uncertainty 

in fiscal Year 2013," March 5, 2013 ·Rescinded 

(c) DoD Directive 4515.12, DoD Support for Tmvel of Members and Employees of 

Congress · 

(d) Title 10, United Stl!tes Co.de § 10~1. "Bilateral or regional coQperatlon 

programs: payment of personnel expenses" . 

(e) DoD Instruction 10!5.15, Establishrnent,Managernent<l!ld Contrul of Non· 

appropriated Fund.ltWrurnentalities and Financial Management of Supporting 

Resoun;:es 

(f) Title 10, United States Code§ 14.91, "Funeml honors functions at funerals for 

veterans»· 

(g) Title 31 United Stotes.Code § 1353, "Acceptimce ofTravel and Related 

Expenses from Non-Federal Soufces,' 

The putpose of this memorandum is to provide additional guidance to reference (a) to 

ensure cons'istency in the-treatment of issues across the Department ofDefen.se {DoD) -as the 

Department implements sequestratiurt-D.Ild the funding provided in th~ Con.soUdated and Further 

Continuing Appropriations Act, 2013 (Public Law 113-6). All DoD Components need to ensure 

that funding for wartime opeiJitions is protected and critical priority requiremenls for national 

security are funded within the limited resources and flexibilities provided. Effective 

inlmediately. the guidance in tbis·memo~dum super$edes:the _guidance p_rovided in reference 

(b), und subsequent clarifications, \vhicb are hereby rescirtded. 

Congressional Tra,.·el-Sonport 

The Department will strictly enforce DoD's policies in its supponoftravel by 

congn>ssional delegationS (CODELs) imd congressional staffdelegstions (STAFFDELs). It is 

DoD policy that support for approved travel ofmcmbets and employees of Congress shall be 

provided on an economical basis. upon rcque.si _from Congress. pursmmt-to la\v or wbere 

necessary lo carry out DoD dUtie~HtrJd responsibilities~ Orgmiizatidns shaJl. enSure that trU\·el of 

members ond employees of Congress ls sponsored by1he DoD on/ywhere.lhe purpose- of the 

tra,·el is of primary interest to and be_ur.; a substamkil-re"lationship_ to _programs Or activities of· 

DoD and is not solely tOr the purpos-e of engendering goodwill or obtuining possible _future· 

he-nefits. Specific guidance is-included in reference (t;). Some specific poliCies worth 

hiehlilliltinl! include: - - -

DCMA Administrative Record for FY 2013 Furlough Appeals 045
• Military airlift will not be used for CODELs if commercial airlift is rea5onably available. 

• Within the Continentfll United State.!! (CONUS), no CODELs may use military 

airlift as commercial airlift is readily available. 

• Military airlift may be authorized for' CODELs Outside the CONUS if cmnmcrciul 

airlift is limited or unsafe; every eflOrt must be made to minimize costs. 

• Spouses may accompany members if there is ail official function as long as they 

pay their ovm expens€:s and do not increase the number or size of aircraft required. 

• Minimum number of congressional members for militnry airlift originating in CONUS, 

• No Jess than five m~Itlbers for large aircraft. 

• No tess than three members for small aircraft. 

• Tickets purchased by DoD for CODELs, STAFFDELs, and liaison escorts. 

• Must be economy cla..'ls; individuals may upgrade u.l their ovm expense. 

• DoD does not pay for a-member's personal staff traveling to his/her home 

Stnte/Distriet; this includes travel, lodging, meals, or escorts. 

• Ali itineraries for CODELs/STAFFDELs must be approved by the escorting Service's 

2-star Legislative Afthlrs Di'rectorto ensure that the itinerary is an e!licient use of 

taxpayer funds. 

Tuition Assistance 

The ServiceS are to restore-funding fortuitioh asSistance· to the budgeted level for the 

remainder of FiscaJ Year-2013, without reduction for sequestration. ·In addition. the Services 

will not implement any management controls/restrictions that did not exist prior to the tuition 

assistance stoppage. This will meet, .and- eXceed, the requirement in section 8129 (Requirement 

to Continue Provision of Tuition Assistance for Metnbers of the Anned Forces) of division C of 

Public Law 113-6 [Department of Defense Appropriations Act, 2013). 

Diseretiooary Monetary Awards for Civilians 

In the Office of Management and Budget (OMB) Bulletin #M-13-1 I. Ongoing 

Implementation of the Joint Committee Sequestration, dated April 4. 2013, the Controller 

provides the following guidance with regard to discretionary monetary awards: 

"OMB Memorandum fJ .. ()5{Agency Responsibilities tOr Implementation 

of Potential Joint Committee Sequestration] dircclS that discretionary monetary 

awilrds should not be issued wh.ile sequestration is in place, unless issuance of 

such awards is Iegaiiy required. Discretionary monetary awards include annual 

performance awards, group awludsj and special act cash awards 1 which comprise 

n sizeable mujoriry of awards and incentives provided by the Federal 

Government to employees. Until further notice~ agencies should not issue such 

monetary awards from sequestered accounts unless agency cow1sel detennines 

, 

DCMA Administrative Record for FY 2013 Furlough Appeals 046
the awards are legally required. legal requirements incl~de comP.Iiance with 

provisions i'n collective bargaining agteements.govem.ing awardS.1 

Consistent with past guidance, eenain types of incentives are.not 

considered discretionary monetary awards for the putpOses of this. policy. These 

include quality step increases (QSls); trnvel incentives recognizing employee 

savings on official tn,lvel; foreit.rn language awards for misSion-critical "language 

needs; recruitment, retention, 'a.J_ld- relocation· incentives· (3Rs ); s(Udent loan 

repayments; and time-off awards; Wllile tbese items are permitted, in light of 

current budgetary constrnints, they sbould be used only on a highly limited basis 

and in circwnstartCcs where they are necessary and "'tiiical to maintaining the 

agency's miSsion. In addition, consistent with ~he policy set foi:'th -in--the 

Guidance on Awards for Fiscal Yelll'l! 201 J .and 20J2,}ointly.issued by the 

Office of Personnel Management (OPM) and OMB otl Jcne 10, ZOI i, spending 

for QSis and 3 Rs should not exceed the level ofspending on such incentives for 

fiscal year 2010. · 

With respect to Federal poJiHCaJ appoin~ees, agertc~es,sho"uld continue to 

follow the policy set forth in the Auglist3, 2010 Presidential Memorandum, 

Freeze on Discretionary Awards, Bonus~s, and Similar Paymer)ts for FedetaJ 

Political Appointees. OPM pW~iously issued g·uidnnce-on intplementatioh. of 

this memorandum. !• 

The Office of the Undot Secretaiy of Defense for Persortnel and Readiness will be issuing 

supplemental guidance on award limitations forDoD civilians. · 

Participation in lbtetnationaJ Events 

The Department should limit its participatillll in international even~ except in those 

instances where individuals lll'e slU)poning Foreign.Milil!lty Sales and the funds supPorting these 

efforts ani not being seqUestered because .the a~Counts:are exempt from sequestration. 

Components may conlinue·to participate in military ex-erciseS and 1o conduct military~tomi1itW')' en-gagement activities. inc1uding participation by DoD personnel-in_ bilatercll or regional 

conferences. seminars, or- similar meetings if the appropriate conference approval authority 

detennines thnt- t.he .attendance of such personrtel at-suCh conference, setninar; or,sil'rii1at meeting 

is in the national security interests of the United States. In addition, Components may conrinue to 

use- in accordance with established guidance and npproval procedures- the authority provided 

by reference (d) to-pay travel and subsistcm:e·costs-for defen··se personnel- from- deve1oping 

countries in order for ilietn to attend coritCtences. seminars, Ot similar meetings c;onsidered in-the 

interest ofU.S. nariona:l-sccuri'ty. In this period Of sequestered budgeis. however, COmponent 

He01ds should take particular care to ensure that any mililary-to-militaryengagement activities. 

including corifercnces. seminnrs~ or similar meetin_gs,.are mission·criti~ and that the goals ofthe: 

l Consistent with legal TC(jUircments. :~gencits may consider engaging in,discussions with t=mploy~· excloSive. 

representatives to explore re\•isions to such provisions-in ex-isting c-ollective' bargaining agreements. in· RlCDghition of 

thi!' ~uiWmce' 

3 

DCMA Administrative Record for FY 2013 Furlough Appeals 047
activity cannot be deterred or Olet tluuugh other means. We also ask that vou take into account 

factors that could result in special SCilJtiny of an event 7 including size. cos~ and location. 

Utilization_ofmilitary musical units or cercmoi:Lial units in rni.l.itary~to-milhary engagement 

activities will require the cOncurrence of the: Office Of the AssistQJlt to the Secretary of Defense 

for Public Aftairs before approval. 

Demoustratioo Flving 

Ali aerial demonstrations. including flyovers~jump team demonstrations. and participation 

in civilian air-shows and military open houses were to cease· as of April 1. 2013. consistent with 

previous direction. Flyovers in support ofmilitar)• funerals will be given special consideration. 

To ensure consistency across the De~>aronent all exceptions and waivers for demonstration Hying 

will require the concurrence of the Office of the Assistant to the Secretary of Defense for Public 

Affairs before approval. 

Support to !\'on-DoD Organizations and Special Even Ill 

All military support to non-DoD organizations and speciaJ events tbr outreach purposes 

beyond a military installation*s local area is prohibited. MiJitmy support to outreach activities in 

the locaJ area is permitted so long as the support is provided using only local assets and 

personnel, and is at no cost tcdhe Department. This includes, but is not limited to, military 

equipment displays at civilian air·shows, military open houses, Fleet and Service weeks, and 

CONUS-based ship homeport visitS, and in parades and civic events. The use of nonappropriated funds (NAF) to hOst military installation open houses in support of authorized NAF 

programs is pennitted in accordance with reference (e). Tb ensure consistency across the 

Department, all eX"ceptions and waivt::rs for support to non-DoD organizationS and special events 

wiJl require the concurrence of the Office of the Assistant to the Secretary of Defense for Public 

Affairs before approvaL Thi.s section does not apply to DoD Cotnponl!nt Recruiting Marketing 

activities using Recruiting assets, National Guard outreach activities funded solely by State funds, 

and attendance by DoD personnel at u non·DoD hosted conference. 

Military Musical Unit(and Ceremonial Unit) Travel 

As a matter of policy, mi1itary musical and ceremonial units will not be permitted lo trnvd 

beyond their re.spective dut)' station~s local area for-any purpose, including support lo another 

military installation. even if such travel-could be conducted at no cost to DoD. Units may 

continue to perform locally both on and ofT military installations. including for the purpose of 

producing and distributing audio and video recordings~ as long as those performances, 

productions and distributions are at no cost to the Department. To ensure consistency across theDepartment, all exceptions and waivers will require lhc concuttencc of the Offici! of the Assistant 

to the Secretary of Defense for Public AtTairs before approval. Presidential Wreath-Laying 

Ceremonies are exempt from this restriction. In addition, MHitary Funeral Honors Details arc 

e.'i:empt from 1his restriction and \\il11:0ntinue to be executed in accordance \Yith Service 

Department policies and reference (f). 

·l 

DCMA Administrative Record for FY 2013 Furlough Appeals 048
Official Sncecbes and-Related Travel Expenses- for DoD Pei"5ollnel 

Department of Defense personnel may not travel beyond !he looal area at DoD cost, 

including to deJiver official speeches. unless the activity is deemetlmission·critical. Each 

organization in the Office oftlu! SecrelaryofDefens;: (OSD), Service Component or Combatant 

Cori1mand (COCOM) js responsible for making this ·~ission critical'f detennination, 

Expenditure of DoD travel funds to support a mission critical official speech musi be approved 

by the member' srespective OSD organization, service Component or COCOM leadership. The 

Department may continue to accept unsolicited .travel benefits from non·Fedetat sOu~s- in 

accordance 'With .reference (g). However, all expenses: for nQn-:mission ctiticnl travel must be 

covered by the non-Federal source, including pet diem, lodging, meals, tranSPortation and all 

other travel~ related expenses. 

Conference Attendance 

As you know, the Deputy Secretary of De fens;: has issued guidance requiring that all 

CQnferences. be misSiOn critical. There are aiso :certal~;U,dividlla1s wh·b musfapprove 

conferences. depending on their nature and·size. lfyou bave·quesHons1ibout t,bis.guidance.1t is 

available for review at: http://dcmo,defense.govlproducts-and-serviceslconference-policiescontrolslindex.html. 

Even under sequestraiion, we do not waot to probibitcoliferences, inCluding hosting of or 

attendance at DoD-hosled confereD£cs or attendance at confutenceshostedby noo•DoD entities. 

However, in this period of seq~eslered budgets, we ask that commanders: and rtumagers take 

particular care to be :certain that conferences are indeed rt:Lission critical. imd that the goaJs o(theconference cannot be met through ot_her IJl.DanS. ·we aleo.'ask.that you-take-into _account factors 

that could result in special scrutiny of conferences· including size. cost, and locations that are 

remote from the workplace of most participanis. Particular care shoul.d be exercised in assessing 

the nt.>ed for conferences held overselts"or in other 1ocations 'likely to attract special attention. 

If, after weighing the above considerations, travel approving officials determine that 

attendance at conferences hosted by non-Federal sources dw:ing sequestration is still appropriate. 

if asked. the host may he informed of DoD's authority to accept poyments for travel, subsistence, 

and related expenses pursu"!'t to reference (g). Payments for travel expenses under reference (g) 

may nol be solicited. Apart from this statute, we do not have authority to accept reimbursements 

ffom non~Federa1 entities in a manner that can be used to offset DoD's costs of participation in a 

non-Federal source•s ccnterem:e. All DoD travel approving officin1s should ensure that DoD 

employees attend only those conferences that satisfY the criteria set forth in the preceding 

paragraph and that. wherever appropriate. ali travel, subsistence-and _related expenses incurred by 

DoD are reimbursed in-accordance with reference (g). 

DCMA Administrative Record for FY 2013 Furlough Appeals 049
OFFICE OF THE ASSISTANT SECRETARY OF DEFENSE 

4000 DEFENSE PENTAGON 

WASHINGTON, D.C. 20301-4000 

MAY 21 2013 

MEMORANDUM FOR: SEE DIS1RIBUTION 

SUBJECT: Supplemental Guidance on Leave Without Pay Status for the Department of 

Defense Civilian Employees during an Administrative Furlough 

On March 5, 2013, the Office of Personnel Management revised the Guidance for 

Administrative Furloughs. The revision states "Agencies have discretion in determining whether 

to furlough employees who are in Leave Without Pay (L WOP) status, since both furloughs and 

L WOP are periods of non-pay status." 

This memorandwn provides the Department of Defense supplemental guidance on the 

treatment of employees who are in L WOP status during an administrative furlough. For 

consistency and fairness, this guidance applies to emplOyees in all categories of L WOP, 

including employees on leave under the Family and Medical Leave Act (FMLA) and AbsentUniformed Service Leave (A-US). The guidance achieves required civilian payroll savings 

while maximizing productivity without creating additional financial burden for employees. 

Employees who are in L WOP status during an administrative furlough will receive credit 

for their time in that status towards any remaining scheduled furlough bows. 

• During an administrative furlough, employees issued furlough notices will be subject 

to scheduled furlough time until ao approved period of L WOP begins. 

• Once the previous furlough hows served plus L WOP hours taken during an 

arhninistrative furlough equals the number of furlough hours required during the 

arhninistrative furlough, no additional furlough time will be required. 

• When a period of L WOP ends during the administrative furlough, the employee will 

be subject to the remaining balance of furlough time, if any. 

• Managers and supervisors are advised to limit discretionary L WOP to the maximum 

extent practicable during the administrative furlough. 

• L WOP taken prior to or after the administrative furlough will not be credited toward 

required furlough time. 

• Tills guidance does not supersede any past practice or collective bargaining 

agreement. All bargaining obligations must be met prior to implementing a change in 

conditions of employment based on this guidance. 

DCMA Administrative Record for FY 2013 Furlough Appeals 050
If you have questions about this guidance, my point of contact is Mr. Seth Shulman, 

Chief, Compensation Division, Defense Civilian Personnel Advisory Service. He can be reached 

at (571) 372-1617, or seth.shulman@cprns.osd.mil. 

lf~i" JY(- B~ Paige Hinkle-Bowles 

Deputy Assistant Secretary 

Civilian Personnel Policy· 

2 

DCMA Administrative Record for FY 2013 Furlough Appeals 051
DISTRIBUTION: ASSISTANT G-I FOR CIVILIAN PERSONNEL POLICY 

(DEPARTMENT OF TilE ARMY) 

DEPUTY ASSIST ANT SECRETARY, CIVILIAN HUMAN RESOURCES 

(DEPARTMENT OF THE NAVY) 

DIRECTOR, PERSONNEL POLICY 

(DEPARTMENT OF AIR FORCE) 

DIRECTOR FOR MANPOWER AND PERSONNEL (11) 

(JOINT CHIEFS OF STAFF) 

DIRECTOR, PERSONNEL AND SECURITY 

(DEPARTMENT OF DEFENSE INSPECTOR GENERAL) 

DIRECTOR, HUMAN RESOURCES MANAGEMENT 

(DEFENSE COMMISSARY AGENCY) 

CHIEF, HUMAN RESOURCES MANAGEMENT DIVISION 

(DEFENSE CONTRACT AUDIT AGENCY) 

CHIEF, CIVILIAN PERSONNEL DIVISION 

(DEFENSE THREAT REDUCTION AGENCY) 

DIRECTOR, CIVILIAN HUMAN RESOURCES MANAGEMENT 

(UNIFORMED SERVICES UNIVERSITY OF THE HEAL Til 

SCIENCES) 

DIRECTOR FOR HUMAN RESOURCES 

(NATIONAL GUARD BUREAU) 

DIRECTOR FOR HUMAN RESOURCES (DEFENSE HUMAN 

RESOURCES ACTIVITY) 

DIRECTOR FOR CORPORATE RESOURCES 

(DEFENSE FINANCE AND ACCOUNTING SERVICE) 

DIRECTOR, MANPOWER PERSONNEL AND SECURITY 

(DEFENSE INFORMATION SYSTEMS AGENCY) 

CHIEF, OFFICE FOR HUMAN RESOURCES 

(DEFENSE INTELLIGENCE AGENCY) 

DIRECTOR, HUMAN RESOURCES OFFICER 

(DEFENSE SECURITY SERVICE) 

EXECUTIVE DIRECTOR, HUMAN RESOURCES 

(DEFENSE LOGISTICS AGENCY) 

DIRECTOR, HUMAN RESOURCES 

(NATIONAL GEOSPATIAL-INTELLIGENCE AGENCY) 

DIRECTOR, HUMAN RESOURCES SERVICES 

(NATIONAL SECURITY AGENCY) 

DIRECTOR, HUMAN RESOURCES 

(DEPARTMENT OF DEFENSE EDUCATION ACTIVITY) 

DIRECTOR FOR HUMAN RESOURCES 

(WASHINGTON HEADQUARTERS SERVICES) 

EXECUTIVE DIRECTOR, HUMAN RESOURCES 

(DEFENSE CONTRACT MANAGEMENT AGENCY) 

3 

DCMA Administrative Record for FY 2013 Furlough Appeals 052
Defense.gov News Transcript: Department of Defense Background Briefing on Civilian F.,. Page I of 8 

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News Transcript 

Prvsenter: Senior Department of OefenMt Oflldala llay 14,2013 

Department of Defense Baekground Br!elfilg on Civilian Furloughs fronllhe pentagon 

MODERATOR: So !hank yru for jolrllr!g us this afternoon. 

AI yoo know, the seaetary /IQ made a decision with respect 10 furklugh&, whk:h he amoo.nce<~]ust about an IKKr ago. 8ut, we thought that you may 

haw aome ad!;litlooal questions about how the department came to this clacislon and llcMr the fmoughl will be Implemented. 

And so, we wanted to give you an oppato.nty to be able 10 talk to some of CJ.Jf"lnlor sullject matler experta on this. 

Pho_to ~ ... ,. 

Wook In Pilot<>•- -- It Is a backgrould briefingo, so we haVO proylded !he bona fides fa' eadl of <M" aenkr otrdllls he!v. bull guenfol' QU81tian ptJfpOS8S, we have senior 

DoD Info ··--P.,Oi'g/11 Gl Biil--

·-- :n-on..r'....,bllltv 

COmmunity 

Rellttlon& 

s .... i.Sirlpos 

Rocovary A.;-- - ·-·-~r.; Mop 

officiB! one and seniorolllcial two, If you want to direct ft to a partiaJlar ildMcbal, or you CIWl ask rot eilher one of !hem to a'ISW« a. 

Obviously, by their lilies !hera, they come -they have different experti58s 'Mthln the dep;lrtmoot. 

And our jHn Is we -you -I think most or you have gotlen the~ slalarnerrt on this, and ,Mlbably waldled What he said lo the department 

employees. So It's our plsn, realy, just 1o gat rlghl fnlo quostloot and take <:are of the busln&$s that you need to take care of and !hen get out or here. 

So, with that, Lila why don1 you start.,. oft then, and VHJtt go to Coll1n~ and then 1o Tony, and we'U eaew'-a we go from lheno. 

0: Senior Dele.-..e Olrociat Nt..mbw Ooa, the aactDtary alluded 1o this brieflydlri'lg lhls town hall, about next- ttis fiscal year 14. Cao you dear up 11 

litllu bit aOOut, there's " 1 pereent raise tot: Qv!llans, a,opan!nlly, In lhllt, but would sequaslra!ion -how- what doe• the outlook for nmo:t yur lock IQ<e. 

consldi!Mg sequestration 11ndSENIOR DEFENSE OFFICIAL: I wish I knew. I honestly don't There'& 11 wide rang1 or possllimies. We could geU budget 11Qf88menl. 11 brOIId one, In wllich case I thjnk we'd hllva 11 dec:ertt $hot at apprapriallOn near the president's budget luvel 

Both lhe Housa and Senata budget resolutions, these things they set- you're 18/lliliar'Mih them -ware at the ptesklanl's lavet torfOSCIII14. 

Al the other extreme, I gueu the proceaa could stay broken and we ooutd end up on a contrung rasolt.Aion 111 the sequester levels. 

M 1111" as the pay raise, sequester, doesn't- you can~ actually sffect raises 1'1!1" 118 In sequesll'lllion. So II Corlgresl wara lo llppi'OVe that 1 pen;ent 

raise, people would get ll 'Mtelher th~ will or no~ I clorl'l know. We propcsad 8 raise of 1 pereeo!for both military and ciY!Iiarlln fiScal year 14. but we also 

proposed 8 0.5 percent ...,;.., In 13 and that's not going to happen. 

Q: '..vould you- (tnaudllle)- two things. First off, do you know the total r"JJmber yet or how many c:lvlllaos this wilt Include, wj;h ell the &lCemptloos 

lhBt a'& now Included? And then, art you give us a aense of the ded&lorHnaklng behind making this art aeross.vta.boanf flXIough for au eivillaos despUa the 

fact that saveral of the services said that !hey may not have to, that they could fnd the money? 

tt saems - rm not- rm certainly not a budge! expert, buU seems liktl ir:sralatlvely unprecedented to say, "Welt. you know, Navy and M8ilne Colps, 

you doo'lllave to do this. bul we're going to make you do ~ 8tl'fW"Y·" And so can you tell u~ a little bll about the declsiorHnaking. pleesa? 

SENIOR DEFENSE OFFICIAL: Sura. There'' about 800,000 paid -civilians paid by tha Oepertment of Defense. About 120,000 will be exempt. so 

it's not really across the board. Thera are some catagoriQ of Bl«<mp!ions. And lllhou!d add, there are some Issues yet to be resolved with regard to 

intelligence personnel that couldlncraase that 120.000, but right now ir~ aboul15 parcenl 

kt terms or the dedsiDn. and spadfocetty like the Navy and some agendos. In any OI'QSII~IIon this broad, this complex, you're going to have 

organlzalloos with differing budgetary situatioos. And soma may tu.ve boon In a ailuatiDn where th~ could Oo leas furloughs. 

ft was Ot.M" judgment that we wanted to mlrlimil:a adverse affects on mission aaoss the enti"a departmeni. And so whet we '11111 do to the exlant we1ra 

perm~led by IIIW 1•. axcep1 fer lhDsa who are axcapted, we wm furlough tha remall'lder of our civiRansl!lld then move mllllll)' 8I'IIUld ID try to mlrtimlztt adverse 

aff&cts 011 readioen And we '11111 do probably SOII'Ill of lhsl n thiS r&pn:>grarnmlnlil that hasnl made~ up ID tha Hill ye~ bu! I hope wJl soon. AndW<:I may look at O!heroptiDIII 8S well. 

a: I dorlt undenttaod what -wt>eo you say "min&nlze adVarM elfec:ts 011 readiness," how doeS Increasing the number of civilians to be li.xtoughed 

mlnimil:e -the lmpaet -(Inaudible)? 

SENIOR DEFENSE OFFICIAl.: WeU, ifW<l- I!" the Navy has the funds, say, 1D avoid l<lfloughs. and now they 1\Jrtough, we may be able to move some 

mOOB)IIniO the other seMces tllel. have mora problems. And the Army and lha Navy deflllllely need to flx!ough, and thB)I're the ones that have mada the big cuts In trai"lilg and readin&lls -the Army, Navy. Tile Air Fa""'. I should say, has stopped !lying In 12 5QUadrtll18. Army has canceled its combat training 

rolalion for the most part, et c;etera. 

http://www.defeose.gov/transcripts/traoscript.aspx?transcriptid=5239 8/14/2013 

DCMA Administrative Record for FY 2013 Furlough Appeals 053
Defense.gov News Transcript: Department of Defense Backgronnd Briefing on Civilian F... Page 2 of 8 

0: - (inaudible) -money that would, ff they wwe furtoughiog Ovilians n IM Navy and Maline Corps, &Om a of that money that will be saved from the 

furloughs will now go to the Amly - (inalldible)? 

SENIOR DEFENSE OFFICIAL: Right, or we maY just and up dolng a fdtle less for the Navy, and the repi'Cigmmmlrlg is probably the way we do it. 

0: Can y<>u ro<:oncilfl !he figures on total runberof civilians? From 1ha podUn a m.mber of times, clfl<:lals have stated that ;rs about 750,000 who 

would be ellgble. Yoo)ust sa\<1800,000. 

SENIOR DEFENSE OFFICIAL: The 800,000 indudes foreign naUonal emplcyees. Theta are about 50,000 of them. So H depends -foreign na1ional 

employees are ;n the 800,000. so the 750,000 would excluda fO!eign nstional empklyeas. 

0: But for purposes of clear reporting, n•s 750,000 minus about 120,000. 

SENIOR DEFENSE OFFICIAL: No, I>Ciually It's 000,000 minus 120,000 because we've exempted the foreign national employees. You're looking st me- son n·s 750,000, it would be less 70,000, ~I'm ao;ng llv:tmath ~ghL 

So, all right? 

0: - {inaudibte) - really a ftgure of7SO.ooo- (~udible). 

SENIOR DEFENSE OFFICTAl: And, you knew, yoo can define II in lois of differen1 ways. And you couk:llogically BJCclude foreign na!ionals. They're 

nol U.S. citizens. obviously. But they am -some of them ata paid by the department and so wa normally include them in our totals. 

Q: 1 have a $OOOI1d quesTion. The appropriallons biU requests a reporllo Congress In sadion 807 - 0007, laying oul the elfecls of sequesTration kif 

baselinB purposes, kif raprogmmmlng- purposea. liloham does that sian<!? And wiU thai spell oul for the Industry wllo ca.-as how their particular programs will 

lis c:ut by sequestration? 

SENIOR DEFENSE OFFICIAL: Yeah,~ should. I m&a'l, we need lode- (inaud•ble)- 14 -I think I'Ve gollhat right- Senior Defense Official One isn1 entirely sura of !his answer so I'll gel tlack to you iftm wrong. But I believe thai it's the baseline rapor1 !hal we do before. And it's almost done. You can 

imagine !hat ~ is a lillie trickier 10 do this year, but ~is am~ dona. 

And if I'm wrong about that, give ma a chance tow~ through- {inaudiblo) -and I'll corrac!ll 

0: Thank you. 

MODERATOR: let's - Iars- finish the first rtiW befote we move lo lha second rrm. so we'll go to Luis and then we'll go over ham, and then wa•n M 

the second rr:m. I tlink we'll gat IIV"'YbodY !hal has quesUons. 

a: so justlo cli>"rfy, every single service Is now gonna have furloughs? And wer~~ltla ravels of civilians adjusted will-in each 011e? r mean, which one 

comes off gelling better? 

SENIOR DEFENSE OFFICIAL: Well, I don't know the answer lo that, actually, Yes, they'll aU have some furloughs for sure. I don't know who would 

have the highest parcentaga exemptions. It-rt - I'm just not sure. I naed lo chad< lhat 

We didn't really think about H in those !arms, frankly. 

0: But the Na"}' proposal was basically we can do wHhout the furloughs. Now they will hava lo cany out these furloughs, lhat's fi9ht? 

SENIOR DEFENSE OFFICIAL: Correct. Now we a"' excludiOg'lheir shipyard workers. These ar~~ the people that work in publiC shipyards and do 

nuclear maintenance. And we did that for m<ssion "'IISOflS. Irs a vary long planning process. And the"''re - there'm -a V91Y long periOd for maintananca. 

VefY I<Hie abiliTy to catch up, and we're dealing with ~\t>marinas and can18(S, which are small in number but high In value. And so on mission grounds we decided that we would exempt shipyerd WO<kers. 

MODERATOR: Go ever he"' to the right 

0: Theoks. I want to make su"' that I understlrldthe runbers correc;t~y. 'Mlen I added up the tabla !hats in this memo, comes out to aboul68,000 

worJ<ers. Thatlilcludas 11.000 OODEA [Department of Defense Education Aclivily] employees. IW !hay considered eKemptions or am they semi examp~ cr 

(CROSSTALK) 

SENIOR DEFENSE OFFICIAL: They are considered semi BJCempt. Them was a group DfOODEA employees that will be axempl and then the 

taacl1ers and the fac:u~y will be furloughed ror a tots! of five days at the begimlng of next school y&ar. 

Qu- wmm~marrt 10 -to our sa!VIca men and women who have children In thase schools ia that they will get a acaad~ad school year. Summer school 

wm be held, and then the begiMing of ne>ct school y~we will work with five furlough days. 

0: So follow-<~p. - {llaOO•ble) -out of the 68,000 -that was my rcughcalc;vlaUon - and !he 50,000 foreign nationals, is that where you gat the 

120,000-

(CROSSTALK) 

SENIOR DEFENSE OFFtCTAl: Soundssbou! righl tome. 

SENIOR DEFENSE OFFICIAL: Adds up. r havoo1 done that calc:ula!lorl either, a~h the nice gentleman who did all lhasa numbers is in -

(inaudible). So hB gave me the 120,000 and I think Irs right. 

MODERATOR: -(inaudible) -on thO fnt row? If not wejJ move- lora just go from my right lo left. So go ahead. 

a: Senior Defense OffiCial Two- r guess, eitharcf you- you just met1f10r1Bd frYe IUrlough days, as I understand it, for teachers. 

SENIOR DEFENSE OFFICIAL: ForDODEA. 

a: Right. 

Aside from the runber of people to be furloughed. are - is -are the- <s lha length of time of each particular furlough different or is it lha same? Am 

If it's d<l'lerent, whars the range of differenca- you know, one day to 14 days to- I mean, do you know tha parameters? 

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SENIOR DEFENSE OFFICIAL: The-the gOOg VI proposition is tllat ltliJ majority of our employees Who wll be ~ed will be ~ up 1o 11 

days. And that's what tho secretarys reuer sald. DODEA is a &pecial category because of having very specific rules for educatifO Blld makrtg sore \hal they 

have an acaediled school year. 

They're, I think- I l'll!ed )'OOr cl8fillcatlon oollis. I think PFPA {Fentegon Force Proledion Aoeocy], the Pentagon police, might be furloughed a little 

dlfforenllySENIOR DEFENSE OFFICIAL: rm nol sura_ 

SENIOR DEFENSE OFFICIAL: Yeah. So I <:a1 get back to you en !:hal But the going-In proposition Is 11 da)lllSENIOR DEFENSE OFFICIAL: Yeah, forth& (rest m~ority hare 81 11. 

SENIOR DEFENSE OFFICIAL: Yeah, for11. 

Q: - (lnaudiblfl) -said up to 11 days. Does !hal meanltmight beonedaycrlwo days? 

SENIOR DEFENSE OFFICIAL: No, I think thai-what I'm saying lslilal righlncr.v our employees w!M be furlouQhed for 11 dsys. 

SENIOR DEFENSE OFFICIAl.:. Remember, Saaelary lfegal did osy ths! ~we C8"l and our budget p8mlita, 81 the end of the )'9'11" we may slop a bit 

aa~. And, the!Vfore, the up to 11. It could be alfWebit lass than 11. 

lhls? 

SENIOR DEFENSE OFFICIAL: rm sorry, The Oepartrnent or Del'enu Education Ae1ivity. 

SENIOR DEFENSE OFFICIAL: Come on, speak: Pentagon. (l.augh!w.) 

(CROSSTAU() 

Q: -eight years heno. 

SENIOR DEFENSE OFFICIAL: Eight years. Well, I don't know, 

lilt makes you feel bel!ar, I forge! them. 

SENIOR DEFENSE OFFICIAL: We have 8 wflola system oftnancial managamant lila\ !hay-\hallha employees c;:an eartaWyw«k tiYough. And, In 

fact. n was just recently thai we had a vary latgelnancial management fl!lrhere In the Penlagcn for them. 

0: But nolhlrlg speciG/ to this furlough ~ 

SENIOR DEFENSE OFFICIAL: No, it's not -lltla!evw we hava will oertaill)l take cere of that financial management arena 

Q; I have a couple questions. One, first for $econd Senior Defense Oflidal Two. 'Miars the anUcipa!ad Impact 011 the department's operations 

because c( thaH furloughs? 

SENIOR DEFENSE OFFICIAL: Weill think lhallhe anlicipalea' fmP8C:I is- can <;:1etr.1y be the morale of 01r employan I will tall you that we value 

fN8tY !ingla civilian employaa that-that works In the Department of Defense . .And 8S percent of them work cut.kle ollhe National Capjtal Region, and II1BY 

all add value to lhe mission lhet we do as a lot81 fofao. And lheYre <::leat1y pan <rf thai IolBI fo<oe. 

But when an fndivklual loses 20 perwnt <rf lheir pay, which, lhars what wiU happen when we furlough. \hal has to lmpad lhem, dearly, financially and 

clearly morels-win. 

r believe \hal \hay wnl COI'I!irua to partonn 10 en acrn~able mamar. Sui rm so.n that there witt be some morale Jmpaot. 

SENIOR DEFENSE OFFICIAL: I'd like to add lo that. I mean, lhasa people aren'l doing Powerf>onl 8lldes in the Pertagon. I mallll, they're mostly 

outsifa of lhe Pentagon. A$ (inaudobla) aid. \hay fix 01r ahP, our tanko, QUI' plenas. They stair Qlll'hospllels. lhay'ra teachers in our $Chools. 

Elgh!y pei'ClMI of lhe firiiW1081 manage,. in the department are cMtlans. And it's probably sin liar to \hal for contracting. 

We'ru going lo have p(Cblema In terms of getliiQ money obligated, In eJosa-out, penonnel81affs to handle fllfooghs. We're going to delay 

maintenance. I think we will sa~ousl)l adv<!rsaly alfact lhe produc!WI!y in almost allaeas - support 8'889 of the Dapartman! of Derensa. 

This Is 8 - it's 1101 somath!ng we want«! to do. 

1 hope -I hope thars clear from the sacretarys memo, but rd ~a to und81SC0i8 il 

Q: -(Inaudible) -the 20 percent figure \hal you just eieed? 

SENIOR DEFENSE OFFICIAL: 'Miat? 

a: 20 percent of their pay? 

SENIOR DEFENSE OFFICIAL: We~. ifthetra furloughed one day a week every week, thars 20 percent of their pa)'Chedl. 

0: How doe, lhal tie in with the 11 dayl.l? I'm SOlly. 

SENIOR DEFENSE OFFICIAL: OM day a weok, a will begin oo July Slh. And so 0<1!1 day a wee!<, they'll lose 20 percanl of their pay -of their weukly 

pay, right. 

a: I understand lha~ tu I thought you said 11 ft.riough day3 for the entire fiscal year. 

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SENIOR DEFENSE OFFICIAL: SIXEI. And durilg those - dOOng those weeks when they're furtoughed, eat:h week they"ll lose 20 percent 

{CROSSTALK) 

SENIOR DEFENSE OFFICIAl: Jl's not the whole year. 

{CROSSTALK) 

SENIOR DEFENSE OFFICIAl: Yeah, righl 

{CROSSTALK) 

Q: And do you anticfPata any impact - are you seeing any impact on attrition? I mean, are people retiring, voluntarily separeting, at this polrt? Do 

ycu anlicipata any? 

SENIOR DEFENSE OFFICIAL: Right now. we don't see a mejor Impact on thai, of people ratiring. rm sure that people will reUre, but wa haven1 seen 

a push tawards lhal 

SENIOR DEFENSE OFFICIAl: I might give yoo an anecdotaL We had one ind'Nidt~al that left my organ!zstil!fl and said ~ wes becausa of this, bull 

think he would have ret~ed alaome point fairly soon, So I wouldn1 exlrepolate; 7.8 pert:e11t unamploymen~ or whatever it Is right now. does Cteal& an 

eowronmsnl where there aren't a lot of jobs out there. · 

a: can you go back to what happens on the begi'lning of October, assuming you have astraight CR [contin<Jing resolution) that - then we just end 

sequester. IMlat'a the anticipated impoot on DOD's budget? And what are you doing at this point to prepare for it? Is them a posslbilityfurtOIJitls could 

conlh.Je in FY [~seal year) 14? 

SENIOR DEFENSE OFFICIAL: WeU. in tenns- ~ would be about a $:52 bimon cut below our request if we remain at sequester revels. So it wwr be 

Sl)(iQOJS. Secretary Ha~l has direded tho strategi= choices and management. review, lhe SCMR as we call i~ and it Is looking at the kinds of choices wa wii! 

have to make. 

As Sacretsry Hagel said today, we can1 nda out ti.rllughs, but we'ra sure going to do ou- demdast 10 avoid them. And lhls tinte, we will have more 

lima to prepare and we are thinking ac:tively about how, ff we have to, we wouk! acoomrnodala that So, as I said, I think wa'n do everything we can to avoid 

them. 

a: And lastly, on the shipyard rucemption, I'm anady hearing complaints that tha$e ere polillcally motivated; that members of Congrass who 

reprasenl thoSe shipyards were very vocal in defense o/ them. Haw do you re:spond 10 that? 

SENIOR DEFENSE OFFICIAl: Well, there wm be lob of members of Congrau who will oppDUI o!her ones, too. Sut it was based on mission 

grOUlds. I mean, we'ra talking about overhauls that- that last months, somatlmes more than a yaM. 1hay ara planned wall in advance. Had we delayed 

them, we would have - wa have very lltUe abjfity to make a up. These are highly tedwlical. We're talking aOOUI nuclear safety. All these worl<ars do nuclear 

maintenance. So that we- we coukln~just brilg n other people to make H up when we had mora funds. 1hay wouldn't have the tm'nlng. 

And so we wera really lalklng about seriously ad'lersely affocting our ability to deploy carriers end submarines. And we made a decision that that was 

too serious an advefsa ef!ecl on mission. 

{CROSSTALK) 

Q: - {Inaudible)- follow up on 008 of lllo5a last ones. &dually. {InaUdible) -the thlnki.-.g that furloughs are soma poteotial pos.sibility in 14. Is that a 

change? Because a senMJr dafunse otf!Cia~ who may or may not be in this room, has said baiera that you just would not do them io 14. You'd probably do 

RIFs [reductions ln force) or other knds of-{insudible), 

SENIOR DEFENSE OFFICIAL: Well, that was probably senior defense official one. speal<ng with hfs haar1, oat necessarily his head. J sure hope we 

don't, personally, butt understand we can't knaw the futtxe fully. But rn U'ldat&COIB what Saaatary Hagel said juet a few minutes ago. We'ra going 10 dO our 

damdB!It to avoid lt. 

a: Than quickly on the e.afaty o/ t~e and property exemptions, the Department of Navy has far and away the mostln that category - 7,500. Nobody 

ersa is evan dose. The next closest is 900 in the Air Fon:6 and !hera's a big GSP behind them. v.tly are there so many in the OON [Department of Navy]? 

SENIOR DEFENSE OFFICIAL: We'Ve got a lot of -I think there were s.hipyard ES.sues. I'm trying to remember now. This is a couple months ago wa 

did this. 

1 believe thara wara ln - In mx:lear safety and ship iSsues, but rd - I think t better gat bad!. to you with a better answer because I'm not - rm not 

lrackiJo fully. Let me get beck to you. 

0: let's go here and than we'll work the third and fourth row. 

Q: 1 just have 008 question. 1ve there -there are rul&s against civilian emp!Qyees working other jobs, ~ke. lel's say they wanted to work one deY s 

weak. Aren't there -can you describe what those rules are or-

(CROSSTALK) 

a: - if you're sml working for the govenvnan~ so even though they're off that dey, they're still und..- those rules, right? So whars the -

SENIOR DEFENSE OFFICIAL: They are sWI go•ernmant employees. Al>solutely. Even though that tlley are ~ for lhat one day. And OPM 

[Off'!a! of Personnel Management] has spacifoc rules in place, and they arathe Web sae al:>out what !hay are. 

There is -there is e- a waiver. ff you will, lor add~~~ employment, that the employee would need to follow, should they want to - to go through 

that process. 

Q: -{inaudible)-

SENIOR DEFENSE OFFICIAL: ! would have ll"t back to you. SUI rt- we follow- they ara not DOD !Department of Defense] rules, thay are OPM 

rules. 

MODERATOR: You gtly$ in the bacl< of the room. I saw a few hands. Go ahead. 

0: - {lnaudibla) -the memo, but when do the leHers QO out? 

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SENIOR DEFENSE OFFICIAL: Tiley go out be1Ween the 28th of May anc!lhe 5th of Jooe. 

0; And lho5e receiving them have seven days to reply. Does that mean thai !hay can -they can make an argument, you know, don't- don't flxbugh me, fu1ough 80111ebody el$8? v.tlBI1 

SENIOR DEFENSE OFFICIAL: They can respond. Fh~ lhey can reopood to the designated - their d9$1gnated offic:lalln lhslseven days with 

iusf&slion of why 1/lay should be polantlally in !ha lllCempl category. 

Tha designated olliclal willrovisw al of !hatjustillcatioo and make a dedsian. 

0: 'M1o sends the leHers? Wlo signs the IIIII«$? 'Mio do they go out from? 

SENIOR DEFENSE OFFICIAL: lfsa deslgnaled cfficla~ which is Glower level, rH use the ta:m "CCmmander." They're not all commanders. 

Q; Can ycu just -can you des<:ribe. what do lha letlera actually "f? 

SENIOR DEFENSE OFFICIAL: The lotters 81'8 very spec/fie. Thay say that yoo w~l be- wt/re proposing a fU1oogh for X amOU'II ol days, $1artlng at 

X -at a cartaln lima, which would be on 8 July. ArtJ theYre addressad to each lndiY!dual employ&e. 

So irs nola - irs a- il'e a template letter. But HCh indtvkbal employee getS their own specific letter. 

MODERATOR; lei'S go over here and then bad! and then bac:k 

O: 'Mien H comes to !he aclulll ehooshg of a day, do the empbyees get some saY 11 what day they get oil? AAd at the same time, as you -you aa an agency, I mean, can we 8leped that 20 peteent cf lha 660,000 will be gone. on 1111)' given day, atartlng July 8th? 

Uke how are you -haw ara ~managing havilg ano<4l people lhal are on? 

SENIOR DEFENSE OFFICIAL: For «<ample, let me give you an aJCIII'Iple of commissariell, Commissaries more !han Mlelywi! be cbsGd one day a 

weak. lheywilt, more than likely, &elect one day tlvci.9lout au !he o:~~~~minaty S)'!llem. And they will do that bec:<luso lhal is -everybody will know when 

lhal day 18. They can plan !heir ~hopping atOind lhat particular day. And they ox.ld Qmft the delillerles on that particular day. 

So that would bee maeon lhal commlneOOs WOJid cb$ll on one particulllf day. 

The hospitals, the school svsteffls, ,PO(antlally lila dt!pQis, will be jtldged by lhek' personal supefVisor on which day $9V«<II employees could poten!lally 

be fu1oughed. so we won't dose e hospital. We won~ dose the depot. We'l keep lhilgs running, but the day will be l'lllgO!Iatlld by lhll hdMdual super -or 

dellgnaJed offlclal. 

a: How much monav doyouthlri< yrxJra golngtosaveifyoukeepall11 days-fiKiough 11 daya? How much money is lhat? 

SENIOR DE~ENSE OFFICIAl: $1.8 billiol'l for the 11 days, wfth the exeeptlons lhet we're planning now. 

(CROSSTALK) 

SENIOR DEFENSE OFFICIAL: Yes, 'blllon" withe 'b." 

a: Sacretery Hagel laft open the possibility of reducing this A.rthar. 'Mlat would have to happen to make that happen this year, short of sequestration .. .,_ 

SENIOR DEFENSE OFFICIAL: Well, fii'B!, nola"ge, unantic:lpalad costs W<lUid be very nice. The Uni!Bd Stales c'ongmss epprtl'o"ing the majority. if 

notal of the l"&pi"Ogltlmming lhall hclpe we'll sand to them wlhin a few days. And than wrtra going 1o just have to put our heads together and try to scoop up 

every dollllfwe e.... toward the end. 

I mean, It's a decantral!zed orgMizatlon and we deal, aspedafv with operations and mantenGnca dollats, and thou""' !he mejor 0r1e11 effected 

hete. And so oU'"eonvnands pass ~ out to lhlllr besea. lheYra executing II. We're going to have to work dosoly with them toward the end of the year to see 

whets they am aid Whether or not we can make this happen. 

But I'm CCIIr1&g on the Incentives. Allar ell, lhc¥m !he employers of mSfl)" of these ciYilians, 10 rm hclpi">g. and I ttink they wil work with us and we'll 

SIHI \Ohat we can do. 

0: You meniioned lhallhe teq.llramant to have an the sasvices implement some lOYal of furlough Is to actli&vtllarijar savings. How do you prlorit~ 

lhe distribution of those savings? In other words, islt raadi'leas? How do vou priorilla? 

SENIOR DEFENSE OFFICIAL: Wetl, first I want to make clear that the overall goal is to m~im!%11 adverse effects on missions. And I stale n that way 

b&CII\Isa we are devastating the maci"Ulells of lhls mii~IIIY right now, bvl we want to milimlze that 

Subject to meetng thai gael. consistency and la"mass was SQmethinel we conskleiBd. So as tho3a decisions were msde, )'1)11 know, ~a 8GfVice has 

mora readiless problema than another one, we might -we probably wouldn't take money from them. We'd jus! reprogram money less Into their- thek' 

par1icular eceaunt IVld llhlnk you'~ 11111 some oflhal as we send this reprogramming forward. 

So the g0111 if to meet lhal mission, mlni'nitilg adverse eft"ects, partlcula1y madness. ~ already made the euts we believe we can. In laclliUea 

melnt9111111Ce, we"Ve essentlalty stoppad n 8JCo;epl lor 3Sfety of lite end properly. WG've cut back on base operating costs. WG have hiring freezas. no1 across 

lhe board, bul. many ol them era In a11ect. 

1 mean, we've done a let of those tasks. Irs really now dawn to trailing Dnd malnt8tliii"IC:e. Irs actually mora m81rllenance at the moment ~·ve 

mede about as many ttairmg cuts es we can. end still meet ll&lll:ls In Afghanistan and depioym<:ln!s. So wdra really now dawn to further cuts would come out 

of msntar.anca, which buys "" prob~s in flscal14. II means we won'! have !he- weapons systems ready to deploy. 

So, we'll use lhe crilerta minimizing !hose aspect11. 

(CROSSTALK) 

MODERATOR: -(lnaudible)-wartto mal< a suraev!llyDnalhathadeqoostlon, had a chenca lo ask lhem. We'!Jsae nwe"ve go1 a fewmore-

(n&OObla). 

0: ihanks. (lnauclb!a)- the empklyeas whtl galluriQughed -(inaudible) - wr~a e IaUer slating why they shouldn't be futloughad Is financial 

hardship a ""'"on !hal !hay mlghC bo considered? 

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SENIOR DEFENSE OFFICIAL: No. ifs truly not, unfor!unately. You Mow. this is a very, very toogh decision and we o..nderstand that it will craale 

financial hardships across the boafd But !hat is not th&- a sura reason for -tot 8Xempting frQm furlougt1. ' 

a: So what would be some of the raasoos thai would? 

SENIOR OEFENSE OFFICIAl: Boy, I rea~y- yau know, at the lop oi my head - I don't know- {inaudible) - n yau can help rna out hera but 1 really 

can't-can1thinkofa -of a raaSOI11ightnow. ' 

I think the inc:tillk!ual supervisor- orlha indivkb..,l designated official would have to ravO.W what the employ&e &Ubmil$ to - lo weigh that against what he or she needs 10 do mission-wise in <><dar to accompjWJihat mission, 

SENIOR DEFENSE OFFICIAL: And I SUPJl(lse !hera could be a ciro.rnstaoce that where a person had a miss;on-critical asped that we jusl couldn'l 

recognize fran -from her<!, and that- thai a local commarnler mlghtlaka that ;,to aCCOU'll. 

And, Indeed, if you mila' the memo, they have soma ve;y small euthori1y 10 do SQme furlOUgh exemp1ions on their own. 

let me jusl say, SBilioo' Defanse Offlclal One would li<e to say, this conversation is kind of bloodless. And I understand we're tryjng 10 answer your 

questions. But I want to repeat wtlal you may have heard me say before, this is one of the most d.mstefut Iaska rve had ;, moo-a than 30 years of 

government service. 

I mean, we are- we depend on lhasa people to- to do all the things I milntioned befor<l. And many of them wotlt for me- nol many of them, but a 

sman numbers work for me. And I - I jusl -I find ~ vety distasleful I mean, I just want to- Senioo- OffiCial One woold Joke to be on I'BCO(d as not being 

bloodless. 

And now, rn gobadr.tobeingthe- [llllltJCiibie). (Laughter.) 

SENIOR DEFENSE OFFICIAL: But Senior Omclal Two woold lldlo what you sald, lhatlrsa -irs a YBtY pailful process. And it - It wasn1 made 

~ghlly; it was made with a lot of paln and anguish. · 

MODERATOR: All rigl1t - (Otaudoble) - Lat'a lake a couple real quid< ones, if we have0: Jusl a quick question. You mentioned at tha beg1Mi1g some posslble, dowMhe·road changes, something 81 DIA. I~ that - (inaudible)-

lnteiUgence, or -

(CROSSTALK) 

SENIOR OEFENSE OFFICIAl.: We need to wO<k out with the national inlelligance lclk8 BJclldly whet furloo,oghs the people funded by the national 

intellogence program, if any, have been. And they were not inclUded in the 120,000 estimate. 

0: Right. llhought- I gooss I thought I'd seen something where those- In 1he MIP [Mi~tary Intelligence Progawn] group would have furloughs and 

those In NIP [Nalionallntelllgence ProQillmJ would not Is that -

(CROSSTALK) 

SENIOR DEFENSE OFFICIAl.: 'Mlat lha memo' seys /S those in NIP, N-I.P, would be datermloed by the d~ectcr of national inle~igence_ And I don't 

know -1 mean I think he's -he's made pretty clear where he's headinQ, but I donl know if he's formally seld a. Ancll thought, heck, ask them, so that we can 

adjust our ml'l1ben. 

Q: Okay. So thars lhe part you're s.ayio(l is not sure. But enyone - are there e~emptions in- wijhjn the mil~ary? 

(CROSSTALK) 

SENIOR OEFENSE OFFICIAl: I dcn1 thii-k them are more. t mean, them may be a few of 1lleOO onesles and lwosies. And, you know, as they go 

bad< oot and - I don't -but I don1 think lhere are going to be ~changes. 

1 mean, we wam 10 give -we don1 want to run this with a 6,ll!Xknile SQ'BWd'iver ~ W9 can avoid it We r&elly wanl otr commanders to have some 

latitude. But we will -I also don~ expeet !hem to come back and say r want 5,000 moo-a 8)(81llpfoons. So them better be a heck ore good reason. 

(CROSSTALK) 

0: - (inaudible) -at one point - (inaudible)- a lot of 1he membefs of Congress and public are going to say, ''Mty the hell don't you cut oul an F-35 Of a Jntoral combat shlp or ground combat vehicle, ~a inSiolad of people?' 

This is not a lot of money for this department. Irs kind of staggeringly low amount And yet it"S causing all this pain - (inaudible). And I empathize 

with that. 

SENIOR DEFENSE OFFICIAL WeU, forst, wewot~ldn't haoe theauthoritylodo lhal, Tony, I mean, becalts.e thiS sequestration Is by ac;:count. And so, 

I have to get ft out of the O&M [Operations and Manegemeot )aceount. 

And 1 could only reprogram, but I'm us'ong avery dime- almost every dime ;, lmnsfer authority I have, so I wouldn't be able to toke anymore out of 

lnvestmenl 

And, second, 1 mean the problem is we've already made so many cuts. we've cut out almost all facilities malnlenance. We've stepped fiy;,g at 12 

combal-codad squadrons. We've cut cut ell training /Oialions, 8Xcepl for deploying U'lits at - at lrwfn and Polk. 

We've done -and -and a whole lot of otheraxtras I read otr weekly report and a just -dozens d 8Xercises w<lre stopping. We've stepped most 

ceremonial everything pretty much.' 

(CROSSTALK) 

SENIOR DEFENSE OFFICIAL So wdve already done au these things. lfw& were gonna gat that S1.8 bUilon- I krlaw it doesn't sound toke much - '" 

8 three-month period or even the six thai we have left, we would haoe had 10 go alter mere mainlananca or further shutdowns of ~r~its. And I think Secretary 

Hagel decided, and I befiBVe it was the righl del:l~icn. thai that isn~ something we ought to do -would go too far. 

a: (otr mic) lhls is - (inatJCiible) - didn1 have discretion to Cllt across from different accounts. You had to-

(CROSSTALK) 

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SENIOR DEFENSE OFFICIAl: Well, II certairlly didn't help. I mean, I would have preferred to have more lnltlsfer authority, We asked fori~ and it 

justdd11 happen and 1rs not goilg to happen. so~ eertailly didn1 help. 

Q: The number of days -said 11. All things being perfect \award the end ol'the year, whether lhere're eny llucluatlons - (Inaudible) - c;:an lh& 

number fluctuate above 11 or you're only talking about lluduations belowSENIOR DEFENSE OFFICIAL; No. 

(CROSSTALK) 

SENIOR DEFENSE OFFICIAL: Below. 

SENIOR DEFENSE OFFICIAl: Ire up lo 11. 

0: So eleven is the top lioe -

SENIOR DEFENSE OFFICIAL: Ril!hl 

0: Thanks. 

MODERATOR: The last question today. 

Q: And to fellow up on Tony's quo'1ioo &boullho relllllvely 11111aD amot.nt of money oompara!Wely -O>mpared to the amount of the sequesler, is there 

- I was talking Ia one union offiCial who SIIW this as a poitk:8!ly drMJn dadsion; !hat DOD hopes lhal now people on the Hill will respond by cenceling !he 

~est« or mitigating the Impact Oa you help with lha!? And is -was lhat a motive? 

SENIOR DEFENSE OFFICIAL: That doean'l sen llc& ire goma happlo to me. I mean, fd SU'flllke them to, but I'm not antieipotlng l. 

And, you know, I can tell p.~, ~was not polillcal)' motivated. I wa•ln oo these meetings. We wwe aayilg, 'All rigtt, what am we gonna do? How 

much m0111 m8lnlenanca are we goons cun Mia! &n~we QOMa all? A1u we gonna go after aviation marntananc:e? Are we gonna start CUlling ba$8 ops by 

cia~ airfields?' 

And we just fell thatlhoaa steps which we WO!Jd hiiYe had to taka to get !hat $1.8 billion, ~n everything elsa wa'vu dona, would hava had aericlu9 actverse Bf!ac:ts on OU' mission, ,and tll!lr' why we mads this decision. 

MOOI:RATOR: Okay, I WllOilo thank you all for coming !Oday. Wl'l have takan 8 couple 0( questions. The press offiee will havalll!l answers to the 

taken quastiona this afternoon So- (Inaudible)- righl here as wan 81-(Inaudible)- are tag-learning lh!$1n 1t1e press oii'Joe. so on lhl> taken quesllon9 11 

you went to c:hac;k back with them they'll hava lhem fcryw. 

Thanks very much. 

~ pr!n!or·f11end!y IJernloo llDI fmall A Cgoy 

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http://www.defense.gov/transcripts/traoscript.aspx?transcriptid=5239 8/14/2013 

DCMA Administrative Record for FY 2013 Furlough Appeals 059
SECRETARY OF DEFENSE 

1000 DEFENSE PENTAGON 

WASHINGTON, DC 20301-1000 

MAY 1 4 Z013 

MEMORANDUM FOR SECRETARIES OF THE MIUTARY DEPARTMENTS 

SUBJECT: Furlough. 

CHAIRMANOFTHEJOlNTCHIEFSOF STAFF . 

UNDER SECRETARIES OF DEFENSE 

DEPUlY CHIBFMANAGEMBNt OFFICER 

CH)llJJS OF THEMIUTARYSBl!.VICBS 

COMMANDBl!.s OF THE COMBATANT COMMANDS 

CHIEF OF THENATIONAL.GUARD BUREAU 

DIRECToR, .COST ASSESsMENT AND l'ROGRAM 

EVALUATION 

DIRB<:'J'O){. OPEMTIONAL TEST~ EVALUATION' 

GENERAVCOI)I'fSEL OF'nfB.J)g>Al!,~QF.IlBFEN~~. · . 

·INSPECTO!l:GENBRAL<WTHEDEPAR:TMBNT OF DEFENSE 

ASSISTANT SBCRETAIUBS OFbEFENSB 

DEI'ARTMBNtOFDEFltNSBCHIEFINFORMATIONOFFICER' 

ASSISTANts TO TilE SECRETARY OF DEFENSE 

DIRECTOR,ADMINtS'I'RATIOJ-1 AND M;\NAGEMEN'T 

DIRECTOR, NET AsSESsMENT . . ··. 

DIRBCTORs'()F THEDEE'ENSEAGENC!Jl.S. 

·DIRECTORS OF TfiE Dbt>'FIELD .1\.c'ttVrriEs . 

This memo directs defenSe lllllllagers to prepare to furloughJJIO!ll Dq>a!:lmeirt of Defense 

(DoD) civilians for up to 11 days, The sche<iule for furlougbs,,imd·SOID<>'~~~ns, are 

described later in tbis•mll!llO .and in the attachment. !•have.~ this decision vei:y rilltll;I!I!Jtly, 

because I know that the fildoughs Win tllsttlpt lives andjmpactboD o~OIIs, (ill~ With• 

the. senior civilian and.lirlJiiary leadership of the Department, have•spentconsidetable tin16 

reviewing information related to the need for furloughs,aod I would like to share.with you the 

reasoning that led me to this difficult de<iision. 

Major budgetary shortfall$ drove the basic furlough de<iision. Qn Maid> 1, sequeslralion 

went into effect across the federsl govemment DoD's budget forFY 2013 WIIS redUCed by $37 

billion, including $20 billion in the operation and maintenance(O&M) lleeounts that paym)my 

of our civilian worl<ers. In addition, because our wartime blldget is also subject to sequeS1ration, 

we must utilize funds originally blldgeted for other purposes in olller to provide.om troops at war 

with every resouroe they need. To compound our problems, whClll we estimaW<l future wartime 

operating costs more than a year ago, we planned on fuel costs below what we are currently 

experiencing. Taken together, all these factors lead to .a shortfall in our O&M accounts of more 

than $30 billion- a level that exceeds 15 percent of our budget request, withfewerthansix 

months left in the fiscal year in which to accommodare this dramatic reduction in available 

resources. 

DCMA Administrative Record for FY 2013 Furlough Appeals 060
We are taking actions to reduce this shortfall. One main priority has governed our 

decisions: to minimize the adverse effects on our-military mission, including military readiness. 

With this in mind, early this calendar year we cut back sharply on facilities maintenance and 

worked to hold down base operating costs- decisions we knew would build a backlog of 

maintenance and adversely affeci our bases. We are also preparing a request to Congress that 

would permit us to shift some funding from investment and military personnel accounts into the 

O&M accounts. If approved by Congress, this Initiative- known as a reprogremming -would 

help close the gap. 

But these actions are not en0ugh. We have begun making sharp cuts in the training and 

maintenance of our operating forees- cutbacks that are seriously harming military readiness. 

The Army, for example, has terminated most remaining FY 2013 training rotations at its combat 

training centers. The Air Force has or soon will stop all flying at about one-third ofits combatcoded squadrons in the active forces. The Navy and Marine Corps are cutting back on training 

and on deployments - including a' decision not to .send a second carrier slrike group to the Gulf. 

These are only a few of the many cutbacks we have made in training and maintenance. These 

actions reduce our ability to handle future military contingency needs, both this year and in 

subsequent years. 

Even after taking all these actions, we are still short of needed operating fundsfor FY 

2013, and we carmot rule out unexpected increases in costs during the next few months. So we 

confront a difficult set of trade offs. We can make even larger cutbacks in training and 

maintenance, further reducing readiness to handle contingency operations and putting into even 

greater jeopardy our military readiness in future fiscal years. Alternatively, we can furlough 

civilian personnel to help close the gap and, knowing that moraie, productivity and reediness 

would be affected. This is an unpleasant set of choices, but this is the situation we face. 

Before making a decision, I sought advice and inputs from senior leaders in the military 

departments and agencies as well as advice from my se-nior civilian and military staff. I asked 

them to keep in-mind our fimdamental criterion to minimize adverse mission dfe~ts and, subject 

to that criterion,_ to ensure reasOnable consistency ·and fairness across the Department for any 

furloughs tbst we impose. 

Based on all these inputs, I have decided to direct furloughs of up to II days for most of 

the Department's civilian personnel. Furloughs for up to II days represent about half of the 22 

days that can legaiJy be imposed in a year and also about half the number we had originally 

plarmed. This halving of previous furlough phms reflects vigorous efforts to meet our budgetary 

shortfalls through actions other than furloughs as well as Congressional passage of an 

appropriations bill in late March t]latreduced the shortfalls in our operating budget and 

expectations of CongreSsional action on our reprogramming-request. 

Furlougba will be imposed in every military department as well as aimost every agency 

and in our working capital funds. All of our civilian employees are important, and I would 

prefer not to furlough any of them. However, there will only be limited exceptions driven by law 

and by the need to minimize harm to mission execution. We will except civilians deployed to 

combat zones and civilians necessary to protect life and property (but only to the extent needed 

to provide that proteetion). A few categories of workers will be excepted for specific mission 

reasons while. some categories of workers will be excepted because furloughing them would not 

DCMA Administrative Record for FY 2013 Furlough Appeals 061
free up money for critical DoD mission needs. The attachment proVides details regatdiDg 

approved exceptions. Fewer than one fifth of all civilians paid with appropriated~ds will be 

excepted from furloughs. ·· 

The planning and implemen~tion of furloughs will be carried out based on the scbedule 

below: 

• May 28 - June S: Furlough proposal notices will be served to individual employees 

subject to furloughs. 

• JIUle 4- June·l2: Individna! employee reply periods end 7"cilletidardsys frol!l ~n 

the proposal was received, unless Com~ent procedures allow fo• a diffilrent ~ly 

period. 

• !IUle 5 -July 5: Furlough decision letters will be seryed to individual employees 

subject to furloughs, depending on wben the proposal was received: and prior to the 

first day of furlough. · 

• July 8: Furlough period &gins no earlierthantbis.date. 

We will begin furloughs oit:Tilly 8 attherate.Qfl'f\ltloughdayf>er-k.forli!Oit 

personnel. For now, we plan to continue furloughs thtough.lhe en:d ofFY2!!13. 'l'hatSclledule 

would lead to II furloughdays-onefifthofthe weekfor.aboutone quarteroftheyear .. 

Moreover, I am directing all componen~ to monitpr funding clo~y..for the ·relilalluler ofFY 

2013. If our budgetacy situation permitS us to end furloughs early ,I wmi!d.sttouSly Jl!"fufto do 

so. That is a decision I will ·lll!lki later in the year. 

Consistent ·with lhis memo and witlrapplicable.lawi'Blld.ruJes,i:OIDmaDden and · .. · 

managerS will have the ati!hority to develop the specifics offurloughJ>ro<;edures i'! ordet.to 

minimize adverse mission effects and also limit the bann to morale and·pl-qductivity,·"Furthet 

bargaining with unions may also be required. The lJnder Secretary fot Per8onnel and Readiness 

has already issued guidance as appropriate regatding per8Qllll01 and 110ionissues.related to 

furloughs and will issue addiiiona! guidance as needed. Overall. coordinaiionofsequester and 

furlough policies will betbe rtj!ponsibility of the t)nderSecretaryofbefense{<i=ptl)lller). 

Each of the Department's civilian employees makes an imporlailt contributi~ntotbe readiness of our Department.to meet the nation's national security needs. I uitderslaod'thst the 

decision to impose furloughs imposes finsncia! burdens on our valued emplOyees, banns overall 

morale, and corrodes the long-term ability oflhe Department to carry out.tbe natioua! aerense 

mission. I deeply regret this decision. I wiU conti®e to urge thst o\11' lllllion's leaders reach an 

agreement to reduce the deficit and de>-trigger sequestration. If no agreement is reaebed, !will 

continue to look fur ways to limit the. adverse effects pf sequestration and associated budgetsry 

shortfulls both on the men and women of the D~ent ofDefense, and on oUr natioua! 

defense. 

Attachment: 

All stated. 

DCMA Administrative Record for FY 2013 Furlough Appeals 062
Department of Defense Furlough Exceptions 

This attachment provides Components with final dispositions on categorical exceptions to 

the Department of Defense (DoD) plan to furlough civilian employees for a maximum of 88 

hours or 11 discontinuOus Workdays because of the current fmancial crisis caused by a 

sequestration for Fiscal Year (FY) 2013, increased costs for ongoing Overseas Contingency 

Operations,: and -other eme·rging-requiremfmts. In order to minimize adverse effects on miSsion, 

employees in the following categories are excepted from furlough for the reasons noted: 

a) In order to avoid harm to war ~orts, all employees deployed (in a Temporary Duty status) 

or temporarily assil:Ded (to include Temporary Change of Stl!tion) to a combat zone (as 

defined in notes below) are excepted from furlough. 

b) In order to avoid harm to mission, those employees necessary to protect safety oflife and 

properly are excepted to the extent necessary to protect life and properly. This includes 

selected medical personrtel. Laterp()rtions of this attae)unent provide details. 

c) Employees in Navy shipyards will be except~ from furl0ugh because it would be 

particularly diflicult to make up delays inmaintem\nce work on nuclear vessels and these 

vessels are_criticalto mission SU.cces~ .. AU·other·depot employees, whether mission~funded 

or working capital fund employees, will be subject to furlongh. 

d) Furloughs for employees funded with National Intelligence Program (NW) funds will be 

determined by the Director of National Intelligence. Employees funded with Military 

Intelligence Program (MJP) funds will be~ubject to furlougli 

e) Because there would be no saviQgs, Foreigo Military Sales (FMS) employees whose 

positions are exclusively funded from FMSAdministrative and FMS case funds (case 

number may be reqnired to validate fundiug source) and from Foreign Military Financing 

accounts are excepted frol!l furlougli Furloughing employees in this category would not 

reduce the expenditure of DoD budgetary resources and so would not assist in meeting 

sequestration reductions. The FMS case-funded positions funded in whole or part by DoD 

appropriations (to include ''pseudo'FMS"·cases)are subject to furlough. 

f) By law, all individuals appointed by the Presideot, with Senate confurnation, who are not 

covered by the leave system in title 5, U.S. Code, chapter 63, or an equivalent forrnalleave 

system, are eXcepted from furlough. 

g) All employees funded by non-appropriated funds (NAF) 1 (regardless of source ofNAF 

funding) are excepted from furlough. Furloughing employees in this category would not 

reduce the DoD bud'get and so would-not assist in meeting sequestration reductions. 

h) All Outside Contiguous United States foreigo national employees, many of whom are subject 

to Status of Forces Agreemeots, are excepted from furlough because their situation vary 

greatly by country/region and because, in some cases, they are paid by host governments. 

1 NAF employees are not covere'd by lhe requirements and procedures applicable to furloughs Qfappropriated fund 

employees under FY13 sequestration. However, NAF employees may be furloughed under DoD NAF and 

Component policies and procedures for business-based reasons. 

DCMA Administrative Record for FY 2013 Furlough Appeals 063
i) Any employees who are not paid directly by accounts included in tbeDepartmel)t of ": 

Defense-Military (subfunction 051) budget are excepted from furlough. For example, this 

would include employees funded by the Arlington National Ceme!llry (705 function) aild 

DoD Civil Works (various non-051 functions) programs. These excq>tionshave been 

identified by the Components. Furloughing these employees would not reduce the 

expenditure of DoD budgetary resources and so would .not assist in meeting sequestration 

reductions. 

The following portion of this document provides:th<i definil\velist.of additional.approved 

exceptions beyond those lis!lld in tile preceding paragt)iph. The excq>tions approVed for the 

safety of life and proteetion of property cstegory are granted with the understanding"thst these 

are the minimum exceptions needed to maintain openttliii!B and provide security on a 24/7 basis 

and that furloughing these employees would result in the Dqlllrtment incurring additiol1lll costs 

for premi001 pay. Sinillarly, the exceptions fur the tnt!Qical ~.are approved with the 

understanding these exceptions preserve the rilininlumJll,Yel ofpeisQ.!l.!le!" nee<l.ed to~~ 

quality of care in 241? etnergency"rooms and other cri:tlclil care,areas;:such ail IJehavi<>nl\ltcaith, 

wounded warrior support, aild diSabilitY evillnstion: Furlo(lgliing.thlos~H~tl!ployees Wt>U!d:result 

in unacceptable care being provided, aildthe"DOJ>artment.l'!ould ill•nr iru;reased costs f<»; " 

premium pay or 1RICARE. The "excq>tion for Child D.Velopmeut CenterS is grantedwtth:the 

understanding that this is the IqinimUI!llevel needed to ri>ailltain accreditation and mainiain " " 

quality care for children inmliitary fantilies. Some Departll)entofDer~ Education Aetivity 

employees, while not excepted from furlough, may onlY be furloughed When they lite in •PaY 

ststus. Therefore, they will on1y be subjectto furlough for up" to five days "Ill th<f"begl!11iing of!he 

20l3 .. school year. · 

Recognizing that circQD1stances can change in this dynamic environment, thoSecretaries 

of the Military DePartments, and the Principal Staff ASsistants for the Defense Agen¢ies and 

Field Activities, may approve up to SO additional individual, missi!ln-based, excq>tions ·~ · needed to OJ:!Sure safe and efficient operations of their resp()Ctive Departmeuts. Any such 

exception must be r<fJ)orted to the ActiDg Under Secretary ofDefense (US D) forPe~SPnnel and .. 

Readiness and the USD Comptroller. There are no otltet'spprov<>d exeeptiOils J>fbvidecl ~<>n 

the Components' submissions. Furlolighptoposal Mtioos slioU!d'beissuedto'a!Hmpa.;rted : · employees beginnirig May 28, 2013. · · 

Relative to the review and decision on individual employee requests for exception, per 

guidance issued via the Principal Deputy ASsistant Secretary of Defense, Readiness and Force 

Management, memorandum, dated March 13, 2013, activitieS. shon1d deSigna!!> the Deciding . Official. The desigtlsled Deciding Official will be no lower than a locallnstella,tion Commander, 

senior civilian or equivillent who would be in tile best position:· to detenuine thHairllrid equitable 

application of the furlough. Deciding Official responsibilities may not be further deleg~~ted. 

Deciding Officials are charged with, ·and are accountable for, malcil)g final decisions on furloughs 

for individual employees after oarefully considering the employee's r<fj)ly, if any, and the needs of 

the Department. Deciding Officials must also ensure they make final decisions in cases where an 

employee does not submit a reply. Deciding OfficiaiS will have the authority to execute the full 

range of options with respect to providing relief in individual employee cases. This authority 

includes, but is not limited ·to, reducing the munber of days/hours an individual employee is 

furloughed, or granting the individual employee an exc<fption from the fuilough altoget!ler. 

2 

DCMA Administrative Record for FY 2013 Furlough Appeals 064
Component Safety of Medical Others Comments 

Life& Personnel 

Pronertv 

DoN 7,543 1,418 212CIVPERS C!VPERS deployed at sea 

. at Sea are subject to furlough upon 

return from deployment 

4,712 CIVMARS are subject to 

CIVMARS furlough upon return from 

deployment 

514 Maintain safety standards 

Appropriated and quality of care 

Fund(APF) 

Child 

Development 

Centers 

(CDCs) 

15 Support tO clasSified 

programs 

28,000 Shipyard Workers, General 

1,657 Shipyard WOrkers, Nuclear 

and Naval Reactors Staff 

USA 263 Up to 555APF Maintain safety standards 

6,600 CDC and ·quality of care 

Employees 

75 ARNG Dual Status 

Technicians for Aleru, 

Firefighting, Personnel 

RecoVery and other 

missions 

17 Support to classified 

programs 

257 Non-immigrant employees 

requiring H-lB ·visas at 

Defense Language Institute 

3 

DCMA Administrative Record for FY 2013 Furlough Appeals 065
Component Safety of Medical Others Comments Lif•.:v PersOnnel 

Prone 

USAF 933 410 62 Support to classified 

ptogra!DS 

1,123 ANG Dual Status 

Technicians for Alerts, 

Firefjghting, Petsonnel . Rerovery.. Snd Other 

missioils 

30 Students Intel School & FLETC 

94 Multi-IOC Heating/Waste Water Plant 

2417 plan1 minim~ safe mftlllliog--

·. Operaton; 

2 Contingency Fhmner!! 

! . 

3 Special Low Enforcement . 

Pay 

1,634 APF Mainbliri ..u;,ty siiDJdards 

CDCs and~ity:Qt"!!ff< · .·· .. '-, " 

DLA 363 . . 

. 

DA&M 623 546 amli'Om tlie'Pentagon 

Force·.Profeption Agency; the 

remaining 77 are: WashingtOn 

Headquarters Services for 

Pentagon Sl!f"'y''and.'1fllergency ·. ¢onmlunleations,.. __ 

Mostwill be fifrloughed fewer 

than II days du~to the need to. 

maintain-Operations and· 

security 24/7. 

US Court of 59 The ChibfJudge Will:decide . . . 

Appeals for how.many days to futlorigh 

Anlled Services employees, ifat all. 

JIFCAPMED 368 165 @ Walter Reed 

203 @Fort Belvoir 

4 

DCMA Administrative Record for FY 2013 Furlough Appeals 066
Component Safety of Medical Others Comments 

Life& Personnel 

Pronertv 

USUHS 22 Animal Husbandly Technicians 

5 Non-immigrant employees 

requiring H-lB visas 

Office of the 9 Civilian Trial Practitioners 

Military 

CommissionsDefense Legal 

Services 

A~ency 

Department of 10,950 9-month DoDEA employees, 

Defense which includes teachers, 

Education educational aids, and support 

Activity staff may only be furloughed 

(DoDEA) for up to 5 days at the 

beginning of the 2013 school 

year. 

DCAA 1 Non~immigrant employees 

requiring H~ lB visa 

Notes: 

1. Safety of life and proper::tY exceptions are based on need for 24n coverage in most instances. 

It is expected all Coniponents 'Will furlough for less than 88 hours in these areas where 

feasible. 

2. Iildi vi duals for whom law enforcement premium pay would result in no loss of pay if 

furloughed will be excepted from the furlough. 

3. 20 CFR 655.731 requires that the employer of a H-IB non-immigrant who is not performing 

work and is placed in a nonproductive status due to a decision by the employer (e.g., placed 

in a non-pay/non-duty status due to administrative furlough) pay the salaried employee the 

full pro-rata amount due, or to pay the hourly-wage employee for a fuJI-time week (40 hours 

or such other number of hours as the employer can demonstrate to be full-time employment 

for hourly employees, or the full amount of the weekly salruy for salaried employees) at the 

required wage for the occupation. 

5 

DCMA Administrative Record for FY 2013 Furlough Appeals 067
1 . References. 

a) Title 26, U.S. Code, Section 112, Certain combat zone compensation ofmembers of the 

Anned Forces 

b) Executive Order 12744, January 21, 1991 

c) Executive Order 13119, April 13,· i999 

d) Executive Order 1 3239, December 12,2001 

e) Public Law 104-117, To providetbatmemben; of !he Armed Fol'ces.PerfQrming services 

for peacekeeping efforts in Bosnia and Herzegovina, Crolitia, and Macedonia Shall be 

entitled to We benefits in the same manner as if such services were performed in a combat 

zone. 

2, The following locations are deslgnsted as "CombetZones'' by la\v, Pte$dentia1Executiye 

Order or by DoD certification that 1nen.lbers of1heAmled F0rees;Scotving in snch Iacations ·ate· 

serving in direct support of military operations ina: comba:t :ZOne: . · 

Countries: 

Afgbsnistan (EO 1 3239) 

Albania (EO 131 1 9) 

Babraln (EO 12744) 

Bosnia(PL 104-117) 

Djibouti (DoD certification) 

Iraq (EO 12744) 

Kuwait (EO 12744) 

.Macedonia (PL 1 04-IJ70) 

Oman (EO 12744) 

Philippines (Only troops with orders 

referencing Operation Enduring Freedom) 

(DoD certification) 

Saudi Ambia (EO 12744) 

Somalia (DoD certification) 

6 

UnitedAmb Elnirates (EO 12744) . ' . . . ' 

Uzbel<:jStiui (DoD certification) 

Yemen (DoD certification) 

Croatia (PL I 04-117) 

Herzegovina (PL 1 04-ll7) 

Jordan (DoD certificati~) · 

Kyrgyzstan(DoDcerti:lication} · 

Moritenegro.(EO 13l19) 

Pakistan (DoD certification) 

Qatar (EO 12744) 

Serbia (includes Kosovo) (EO l3 1 1 9) 

Tajikistan (DoD certification) 

DCMA Administrative Record for FY 2013 Furlough Appeals 068
Sea Areas: 

Adriatic Sea (EO 131 I 9) 

Gulf of Aden (EO 12744) 

Ionian Sea north of the 39~ Parallel (EO 13119) 

Red Sea (EO 12744) 

That portion of the Arabiao Sea that 

lies north of I 0 degrees north latitude, 

and west of 68 ·degrees east longitude 

(EO 12744) 

GulfofOman (EO 12744) 

PetsiWl Gulf(EO 12744) 

3. Adherence to the .following principles ensures consistency in applying the "deployed to 

combat zone'' exemption to ciVilian einployees in the context of the administrative furlough: 

a) "Deployed civilian" is defined as a civiliWl employee who is deployed (in temporary duty 

(TDY) status) or temporarily assigned (to include temporary change of station (TCS)) to 

a "combat ~ne" as_. set forth above. 

b) "Combat zone" is defined as those locations listed as combat zones in ExecUtive Orders 

12744, 131 19 or 13239 and locations where military are eligible for.combat zone tal< 

benefits under law. or because DoD has certified that they are providing direct support to 

military operations. 

c) A "deployed civilian's" period ofdeployment includes time speht in attendance at 

mandatory pre-deployment training as well as in completing mandatory post-deployment 

requirements. 

d) A civilian employee who was deployed to a combat zone but tedeploys mid-way through 

the furlough period will receive a notice' of proposed furlough upon return to their parent 

organization and prior to any furlough. F'urther, the number of hours for which the 

employee will be furloughed will be pro-rated. 

7 

DCMA Administrative Record for FY 2013 Furlough Appeals 069
*EMBARGOED FROM PUBLIC/PRESS RELEASE* 

*UNTIL 1430 HRS, 14 MAY 2013* 

MESSAGE FROM SECRETARY HAGEL ON FURLOUGHS 

TUESDAY, MAY 14,2013 

To all Department of Defense personnel: 

As you are fully aware, the Department of Defense is facing a historic 

shortfall in our budget for the current fiscal year. This is the result of current law 

that went into effect March 1. It imposes deep across-the-board cuts on DoD and 

other federal agencies. Combined with higher than expected wartime operating 

costs, we are now short more than $30 billion in our operation and maintenance 

(O&M) accounts- which are the funds that we use to pay most civilian employees, 

maintain our military readiness, and respond to global contingencies. 

The Department has been doing everything possible to reduce this shortfall 

while ensuring we can defend the nation, sustain wartime operations, and preserve 

DoD's most critical asset- our world-class civilian and military personnel. To that 

end, we have cut back sharply on facilities maintenance, worked to shift funds 

from investment to O&M accounts, and reduced many other important but nonessential programs. 

Still, these steps have not been enough to close the shortfall. Each of the 

military services has begun to significantly reduce training and maintenance of 

non-deployed operating forces- steps that will adversely impact military 

readiness. And even these reductions are not enough. Since deeper cuts to training 

and maintenance could leave our nation and our military exposed in the event of an 

unforeseen crisis, We have been forced to consider placing the majority of our 

civilian employees on administrative furlough. 

After extensive review of all options with the DoD's senior military and 

civilian leadership on how we address this budget crisis, today I am announcing 

that I have decided to direct furloughs of up to 11 days for most of the 

Department's civilian personnel. I have made this decision very reluctantly, 

because I know that the furloughs will disrupt lives and impact DoD operations. I 

recognize the significant hardship this places on you and your families. 

DCMA Administrative Record for FY 2013 Furlough Appeals 070
After required notifications, we will begin the furlough period on July 8 at 

the rate of one furlough day per week for most personnel. We plan to continue 

these furloughs through the end of the current fiscal year. If our budgetary 

situation permits us to end furloughs early, I would strongly prefer to do so. That 

is a decision I will make later in the year. 

Furloughs for II days represent about half of the number we had originally 

planned, reflecting the Department's vigorous efforts to meet our budgetary 

shortfalls through actions other than furlough. There will be exceptions driven by 

law and by the need to minimize harm to the execution of our core missions. For 

example, all employees deployed or temporarily assigned to a combat zone will be 

excepted from furloughs. 

Your managers have been given authority to develop specific furlough 

procedures to minimize adverse mission effects and also limit the harm to morale 

and productivity. They will be in touch with you to provide guidance and answers. 

The President and I are deeply appreciative of your patience, your hard 

work, and your dedication and contributions to the critical mission of helping 

protect America's national security. I am counting on all of you to stay focused on 

this vital mission in the days ahead. As I said the day I assumed the 

responsibilities of Secretary of Defense, I'm proud to be part of your team and I'm 

proud to serve with you. 

### 

DCMA Administrative Record for FY 2013 Furlough Appeals 071
DIRECTOR'S FURLOUGH MESSAGE (14-MAY-2013) 

All, 

As many of you may have already heard, the Department issued formal guidance today for us to move 

forward with plans to furlough civilian employees for as many as 11 days beginning in July. For most of 

our employees, that will equate to 8 hours per week for the last 11 weeks of the fiscal year. The SECDEF 

also stated today that, if the Department is successful in further cost cutting efforts, the 11 days may be 

reduced to a lower number when it is clear that the Department as a whole will be able to come in 

within current fiscal guidance. While the exact number of furlough days may be Jess, we should all be 

planning for the 11 days at this point. Formal notification letters will likely be sent to each of you within 

the next two weeks. 

I know this will present serious personal challenges for many of us and critical workload challenges for 

all of us. For our part, DCMA will move forward with the plans and processes we have in place and we 

will carefully monitor our implementation ofthese reductions to ensure we minimize impacts to 

customers. We will continue to work closely with our union partners to work any issues as they arise. 

I will continue to provide updates as our plans unfold. As I've said before in earlier emails, please do 

your best to look out for your fellow employees and be sensitive to the issues we all will be facing. Now 

more than ever, it's important for us to "look out for our wingmen". I know I can continue to count on 

all of you to keep up the remarkable work that you do each and every day to look out for the interests of 

our war fighters and the taxpayers. 

Charlie E. Williams Jr. 

Director 

Defense Contract Management Agency 

DCMA Administrative Record for FY 2013 Furlough Appeals 072
~~---Original Message-----

From: Director, DCMA 

Sent: Monday, May 06, 2013 1:38 PM 

To: DCMA All Personnel 

Cc: Ft. Lee- 10500; Ft. Lee- Rivers Bend; Ft. lee- DSCR 

Subject: Updated Furlough Information 

All, 

I know we are all keenly interested in the status of furlough actions across the Department and the 

impacts they may have on each of us personally. I promised to keep you informed of any changes or 

updates as they occur. Unfortunately (or maybe fortunately), there just isn't much to Update you on at 

this point- and that's probably a good thing. Guidance from the Department is still to hold off on issuing 

formal furlough notifications to the workforce while they carefully work through the financial impacts 

that recent budget authorities/flexibilities from the Congress have provided. While the DoD is dearly 

not out of the financial woods yet and may still need to furlough before the end of the fiscal year, I can 

only view it as a good sign that they have directed us to delay formal notifications. 

We may know more in the next few weeks and, if so, I will update you all as soon as possible. But 

realistically, it is completely possible that we may go through the remainder of the year without a 

definitive answer on furloughs until the year is over. The Department will continue to look for belt 

tightening opportunities to solve current budget issues while further minimizing or eliminating the need 

for furlough actions. To the extent the Department is successful in finding other offsets, I'm fairly 

certain that furlough decisions will continue to be delayed. 

As for how DCMA is holding up through the current problematic budget times, I can only say how proud 

I am of our workforce, our leaders, and our financial management community for identifying ways to 

reduce, holding ourselves accountable, and generating savings for the Department to stay within our 

very restrictive top-line budget. It certainly has not been easy and tough choices continue to be made 

on a daily basis, but we are staying within our new budget guidelines and doing our part as good 

financial stewards. But what has been most impressive to me, is the way this Agency has pulled 

together in these tough times to ensure that our customer's most critical needs have been met and our 

service levels have remained so high. Thanks so much for your service, stewardship, and selfless 

commitment to the critical mission of DCMA. 

Charlie E. Williams Jr. 

Director 

Defense Contract Management Agency 

DCMA Administrative Record for FY 2013 Furlough Appeals 073
M-13-11 

Air Force Administrative Record fpr FY 2013 Furlough Appeals 

EXECUTIVE OFFICE OF THE PRESIDENT 

OFFICE OF MANAGEMENT AND BUDGET 

WASHINGTON, D.C. 20503 

Apri14, 2013 

MEMORANDUM FOR THE~S 0 EXE 

FROM: Danny Werfe1 

Controller 

SUBJECT: Ongoing Implementation of the Joint Committee Sequestration 

Section 251A of the Balanced Budget and Emergency Deficit Control Act (BBEDCA), as 

amended, on March 1, 2013, required the President to issue a sequestration order canceling $85 

billion in budgetary resources across the Federal Government for the remainder of fiscal year 

(FY) 2013. This action was required due to the failure of the Joint Select Committee on Deficit 

Reduction to propose, and the Congress to enact, legislation to reduce the deficit by $1.2 trillion. 

The Administration continues to urge Congress to take action to eliminate the Joint 

Committee sequestration and restore cancelled budgetary resources as part of a balanced 

agreement on deficit reduction. However, until Congress takes such action, executive 

departments and agencies (agencies) must continue to implement the reductions required by 

sequestration. 

This memorandum provides ftuther guidance on specific issues regarding the 

management and implementation of sequestration that the Office of Management and Budget 

(OMB) preliminarily addressed in prior memoranda OMB previously issued guidance on the 

appropriate implementation of sequestration in Memorandum 13-03,Planningfor Uncertainty 

with Respect to Fiscal Year 2013 Budgetary Resources; Memorandum 13-05, Agency 

Responsibilities for Implementation of Potential Joint Committee Sequestration; and 

Memorandum 13-06, Issuance of the Sequestration Order Pursuant To Section 251A of the 

Balanced Budget and Emergency Deficit Control Act of 1985, as Amended. 

Appropriate Use of Existing Reprogramming and Transfer Authority 

Sequestration provides an agency with little discretion in deciding where and how to 

reduce spending. All non-exempt budget accounts in a given spending category must be reduced 

by a uniform percentage, and the same percentage reduction must be applied to all programs, 

projects, and activities (PPAs) within a budget account. However, depending on an agency's 

account structure and any existing flexibilities provided by law, some agencies may have a 

limited ability to realign funds to protect mission priorities. As directed by Memorandum 13-03, 

in allocating reduced budgetary resources due to sequestration, agencies should generally "use 

1 

346 

DCMA Administrative Record for FY 2013 Furlough Appeals 074
Air Force Administrative Record for FY 2013 Furlough Appeals 

any available flexibility to reduce operational risks and minimize impacts on the agency's core 

mission in service of the American people!' Agencies should also "take into account funding 

flexibilities, including the availability of reprogramming and transfer authority." 

Consistent with this guidance, agencies with reprogramming or transfer authority should 

continue to examine whether the use of these authorities would allow the agency to minimize the 

negative impact of sequestration on core mission priorities. In doing so, agencies must consider 

the long-term mission, goals, and operations of the agency and not just short-term needs. For 

example, agencies should avoid taking steps that would unduly compromise the ability to 

perform needed deferred maintenance on facilities, invest in critical operational functions and 

support, conduct program integrity and fraud mitigation activities, and pursue information 

technology or other infrastructure investments that are essential to support the long-term 

execution of the agency's mission Similarly, while agencies with carryover balances or reserve 

funds should consider appropriate use of these funds to maintain core mission functions in the 

short term, it is important not to use these funds in a manner that would leave the agency 

vulnerable to future risks due to a potential lack of available funds in future years. 

Agencies should consult with their OMB Resource Management Office (RMO) to assess 

options for utilizing existing authorities and ensure that any proposed actions appropriately 

balance short-term and long-term mission priorities. Agencies must also consult closely with 

their OMB RMO on any proposed actions that would reduce carryover balances or reserve funds 

below histmicallevels. 

Funding for Agency Inspectors General 

Funds for agency Inspectors General (IGs) from nonwexempt accounts are subject to 

sequestration under the March 1, 2013 sequestration order. The head of each agency has the 

final responsibility for implerrienting the reductions required by sequestration. Upon making 

such determinations, !Gs have the final responsibility for determining how their authorized 

budgets will be allocated. 

To the extent an agency has discretion in implementing reductions to IG funding due to 

sequestration, agency heads should be mindful of the independence of the Office oflnspector 

General and should consult with the IG on a pre-decisional basis on matters that may impact IG 

funding. In particular, agencies must remain cognizant of the provisions in section 6 of the 

Inspector General Act of 1978, as amended, which outline the need for IGs to maintain the 

appropriate resources and services necessary to perform their statutory duties and describe the 

manner in which IG budgets are requested. 

In cases where IG funds are not intermingled with other agency funds and exist as their 

own PPA, the IG should be provided full discretion to determine how to implement the 

reductions required by sequestration. In cases where IG funds are intermingled with other 

agency funds within a PPA, while the specific amount of reductions will vary by agency and 

account, a benchmark that should be considered by the head of the agency-in consultation with 

the IG-is to apply a percentage reduction to IG funds that is same as the average percentage 

reduction for all other funds within the PP A. Upon determining the amount of the reduction for 

2 

347 

DCMA Administrative Record for FY 2013 Furlough Appeals 075
Air Force Administrative Record for FY 2013 Furlough Appeals 

IG funds in such cases, the agency head should then defer as appropriate to the IG in determining 

how the IG manages the reductions. 

Agencies should consult with their OMB RMO throughout this process as well. 

Discretionary Monetary Awards 

OMB Memorandum 13-05 directs that discretionary monetary awards should not be 

issued while sequesb:ation is in place, unless issuance of such awards is legally required. 

Discretionary monetary awards include annual performance awards, group awards, and special 

act cash awards, which comprise a sizeable majority of awards and incentives provided by the 

Federal Government to employees. Until further notice, agencies should not issue such 

monetary awards from sequestered accounts unless agency counsel determines the awards are 

legally required. Legal requirements include compliance with provisions in collective bargaining 

agreements governing awards.1 

Consistent with past guidance, certain types of incentives are not considered discretionary 

monetary awards for the purposes of this policy. These include quality step increases (QS!s); 

travel incentives recognizing employee savings on official travel; foreign language awards for 

mission-critical language needs; recruitment, retention, and relocation incentives (3Rs); student 

loan repayments; and time-off awards. While these items are permitted, in light of current 

budgetary constraints, they should be used only on a highly limited basis and in circumstances 

where they are necessary and critical to maintaining the agency's mission. In addition, 

consistent with the policy set forth in the Guidance on Awards for Fiscal Years 2011 and 2012, 

jointly issued by the Office of Personnel Management (OPM) and OMB on June !0, 2011, 

spending for QSis and 3Rs should not exceed the level of spending on such incentives for fiscal 

year 2010. 

With respect to Federal political appointees, agencies should continue to follow the 

policy set forth in the August 3, 2010 Presidential Memorandum, Freeze on Discretionary 

Awards, Bonuses, and Similar Payments/or Federal Political Appointees. OPM previously 

issued guidance on implementation of this memorandum. 

Reducing Burden for State, Local, and Tribal Governments 

To the extent agencies provide grants or other forms of :financial assistance to States, 

localities, or tribal governments, agencies should consider if there are ways to help such entities 

mitigate the effects of funding reductions due to sequestration through reducing administrative 

burdens or other standard administrative processes, consistent with applicable legal requirements 

associated with the funds provided. In doing so, agencies should consult closely with their State, 

local, and tribal partners to determine whether such steps enable public funds to be used in a 

more cost-effective manner. 

1 Consistent with legal requirements, agencies may consider engaging in discussions with employees' exclusive 

representatives to explore revisions to such provisions in existing collective bargaining agreements, in recognition of 

this guidance. 

3 

348 

DCMA Administrative Record for FY 2013 Furlough Appeals 076
-----Original Message-----

From: Director, DCMA 

Sent: Thursday, March 21, 2013 1:06PM 

To: DCMA All Personnel 

Cc: Ft. Lee- 10500; Ft. Lee- Rivers Bend 

Subject: Updated Furlough Information 

All, 

We have received notice, that should it be necessary, the release of furlough notices will not occur 

before 5 April2013. The purpose of the delay is to ensure the Department has time to fully assess the 

impacts of the pending Continuing Resolution legislation on the Department's resources. As usual, we 

wlll continue to keep you informed as things change during these difficult and dynamic times. 

Charlie E. Williams Jr. 

Director 

Defense Contract Management Agency 

DCMA Administrative Record for FY 2013 Furlough Appeals 077
Defense.gov News Article: Pentagon Delays Sending Furlough Notices to Civilian Workf... Page I of2 

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NEWS ARTICLE E-UAll A COPY I P11<NTER "'"ENDLY [lATEST N£WS 

Pentagon Delays Sending Furlough Notices to Civilian Workforce 

American Forces Press Service 

WASHINGTON, March 21, 2013- Pentagon officials have put off sending- lufioogh noUces to cMiiM employees 

until they'Ve had a chMce to analy>:e hOW pending legisla~on that woold lund the federal government for the rest 

of the fiscal year will affect lhe Defense Department. 

Officials now estimate that lurloogh notices will go out on or about April 5, Navy Cmdr. Leslie Huii-Ryde, a 

Pentagon spOkeswoman, said. 

'"The legislation could have some Impact on lhe 011erall number ollu~oogh days, but no decisions have ~en 

reached, especially since the legislation hasn't been signed into law," Huii·Ryde said. '"The number of furlough 

days at this point remains ar22: 

Pentagon Press Secretary George Unte said the delay mal<es sense. "We believe the delay Is a responsible step 

to talle In order to assum oor cfvi~an employees lhat we do not take lightly the prospect ol fu~ooghs Md lhe 

resuiUng decrease in employee pay," he s.aid. 

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DCMA Administrative Record for FY 2013 Furlough Appeals 078
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DCMA Administrative Record for FY 2013 Furlough Appeals 079
1

DCMA Administrative Record for FY 2013 Furlough Appeals

TABLE OF CONTENTS

Part 2

Location

(tab)

Agency 

File Part

Date Document Source

17 Part 2 of 5 3/8/2013 OPM Guidance on Administrative Furloughs (with 

supplements)

Agency

18 3/5/2013 USD Additional Guidance for Handling Budget 

Uncertainty for FY 2013

Agency

19 3/1/2013 DSD letters to various state Governors Agency

20 3/1/2013 MOU between AFGE Council C170 and DCMA Agency/ 

AFGE

21 3/1/2013 EO President, Issuance of Sequestration Order 

Pursuant to Section 215A of the BB and Emergency 

Deficit Control Act of 1985 as Amended

Agency

22 3/1/2013 Sequestration Order for FY 2013 Agency

23 3/1/2013 DOD Press Briefing on Sequestration from the 

Pentagon

Agency
Guidance for 

Administrative Furloughs

June 10, 2013 a New Day for Federal Service

080 DCMA Administrative Record for FY 2013 Furlough Appeals
Overview 

The U.S. Office of Personnel Management (OPM) has prepared human resources guidance for 

agencies and employees on administrative furloughs. An administrative furlough is a planned 

event by an agency which is designed to absorb reductions necessitated by downsizing, reduced 

funding, lack of work, or other budget situation other than a lapse in appropriations. 

Table of Contents 

A. General ...................................................................................................................................... 1

B. Covered Employees .................................................................................................................. 2

C. Working During Furlough ........................................................................................................ 5

D. Pay ............................................................................................................................................. 6

E. Leave and Other Time Off ...................................................................................................... 12

F. Holidays .................................................................................................................................. 15

G. Benefits ................................................................................................................................... 15

H. Employee Assistance .............................................................................................................. 18

I. Service Credit for Various Purposes ....................................................................................... 19

J. Federal Employees on Military Duty ...................................................................................... 19

K. Benefits under the Federal Employees’ Compensation Act (FECA) ...................................... 20

L. Scheduling Furlough Time Off ............................................................................................... 21

M. Procedures—22 Workdays or Less ......................................................................................... 22

N. Procedures—More than 22 Workdays (Extended Furlough) .................................................. 28

O. Labor Management Relations Implications ............................................................................ 33

P. Travel ...................................................................................................................................... 36

Q. Foreign Area Allowances, Differentials, and Danger Pay ...................................................... 38

R. VERA/VSIP ............................................................................................................................ 40

S. Federal Employees Health Benefits Program ......................................................................... 40

T. Federal Employees’ Group Life Insurance Program ............................................................... 44

Sample Notices 

Furlough Proposal Due to Planned Reduction In Agency Expenditures (5 CFR Part 752) .......... 47

Notice of Decision to Furlough (5 CFR Part 752) ........................................................................ 49

Notice of Career SES Furlough (5 CFR Part 359) ........................................................................ 52

Furlough Due to Planned Reduction in Agency Expenditures (5 CFR Part 351) ......................... 55

Table of Changes 

Table of Recent Changes to Guidance for Administrative Furloughs .......................................... 58

081 DCMA Administrative Record for FY 2013 Furlough Appeals
1 

NOTE: Certain Qs and As in this document, “Guidance for Administrative Furloughs,” assume 

coverage under provisions of law or regulation specified in the given Q and A. To the extent that 

a particular employee is not covered by those specified provisions, the guidance in the Q and A 

may not be applicable.

A. General 

1. What is a furlough? 

A. A furlough is the placing of an employee in a temporary nonduty, nonpay status because 

of lack of work or funds, or other nondisciplinary reasons. 

2. What is an administrative furlough and why are administrative furloughs necessary?

A. An administrative furlough is a planned event by an agency which is designed to absorb 

reductions necessitated by downsizing, reduced funding, lack of work, or any other budget 

situation other than a lapse in appropriations. This type of furlough is typically a nonemergency furlough in that the agency has sufficient time to reduce spending and give 

adequate notice to employees of its specific furlough plan and how many furlough days will 

be required. An example of when such a furlough may be necessary is when, as a result of 

Congressional budget decisions, an agency is required to absorb additional reductions over 

the course of a fiscal year. 

3. What human resources guidance applies for furloughs that are caused by a lapse of 

appropriations (i.e., shutdown furloughs)? 

A. In the event that funds are not available through an appropriations law or continuing 

resolution, a “shutdown” furlough occurs. A shutdown furlough is necessary when an agency 

no longer has the necessary funds to operate and must shut down those activities which are 

not excepted pursuant to the Antideficiency Act. For additional information on shutdown 

furloughs, see OPM’s Guidance for Shutdown Furloughs at http://www.opm.gov/policy-dataoversight/pay-leave/furlough-guidance/#url=Shutdown-Furlough. 

4. What does it mean to be in furlough status? 

 

A. Furlough status means that, because of a furlough (as described in Question A.1.), the 

employee is placed in a nonpay, nonduty status for designated hours within the employee’s 

tour of duty established for leave usage purposes (i.e., the tour of duty for which absences 

require the charging of leave). Furlough hours are a type of leave of absence without pay. 

Employees are in furlough status only during designated furlough hours, not for entire 

calendar days. Furlough status may be designated as the employee’s full daily tour of duty or 

part of that tour of duty. For example, an employee may be furloughed for half of an 8-hour 

daily tour of duty, or 4 hours. An employee who is in furlough status during a daily tour of 

duty may be ordered to perform work outside that tour, and such work would be subject to 

normal compensation requirements. (See also Questions D.4. and D.5.) 

082 DCMA Administrative Record for FY 2013 Furlough Appeals
2

5. Does placement in furlough status cause a full-time employee to be converted to parttime or a part-time employee to be converted to a reduced part-time work schedule? 

A. No. Placement in furlough status or any other kind of temporary nonpay, nonduty status 

does not affect the nature of an employee’s official work schedule as full-time or part-time. 

For a full-time employee who is furloughed during a 40-hour basic workweek, the employee 

continues to have a full-time 40-hour basic workweek. For a part-time employee who is 

furloughed, the part-time tour of duty established for leave usage purposes also remains the 

same. 

B. Covered Employees 

1. Which employees may be affected by an administrative furlough? 

A. Agencies are responsible for identifying the employees affected by administrative 

furloughs based on budget conditions, funding sources, mission priorities (including the need 

to perform emergency work involving the safety of human life or protection of property), and 

other mission-related factors. See also Procedures and Labor Management Relations 

Implications. 

2. How will employees be notified whether they are affected by an administrative 

furlough? 

A. Each agency will determine the method and timing of notifying employees of whether they 

are affected by an administrative furlough. See also Procedures and Labor Management 

Relations Implications. 

3. Are political appointees (such as Executive Schedule officials, noncareer members of 

the Senior Executive Service (SES), and Schedule C appointees) subject to 

administrative furlough? 

A. All political appointees who are covered by the leave system in 5 U.S.C. chapter 63, or an 

equivalent formal leave system, are subject to administrative furlough. For example, 

Schedule C appointees in the General Schedule or Senior Level (SL) pay systems and 

noncareer SES members are all covered by the leave system and subject to administrative 

furlough. However, regular procedural requirements may not apply. (See Q&As M.5., M.6., 

N.12., and N.13.) Individuals appointed by the President, with or without Senate 

confirmation, who are not covered by the leave system in 5 U.S.C. chapter 63, or an 

equivalent formal leave system, are not subject to furlough. (See Q&A B.4. for more 

information on why certain Presidential appointees are not subject to furlough.) 

083 DCMA Administrative Record for FY 2013 Furlough Appeals
3

4. Why are leave-exempt Presidential appointees not subject to furlough? 

A. Individuals appointed by the President, with or without Senate confirmation, who are not 

covered by the leave system in 5 U.S.C. chapter 63, or an equivalent formal leave system, are 

not subject to furlough. An exemption from the chapter 63 leave system may be based on 

5 U.S.C. 6301(2)(x) or (xi). (See also OPM regulations at 5 CFR 630.211.) These leaveexempt Presidential appointees are not subject to furloughs because they are considered to be 

entitled to the pay of their offices solely by virtue of their status as an officer, rather than by 

virtue of the hours they work. 

A leave-exempt Presidential appointee cannot be placed on nonduty status. Thus, the 

appointee’s pay cannot be reduced based on placement in nonduty status, including via the 

mechanism of a furlough. As explained above, a leave-exempt Presidential appointee is 

entitled to the established pay of the position based on the holding of the office, not on the 

hours of duty. 

Presidential appointees who are covered by the chapter 63 leave system are not considered to 

be entitled to pay based solely on their status as officers; thus, these individuals are subject to 

furlough in the same manner as other Federal employees. (See 5 U.S.C. 5508.) Any 

Presidential appointee who is a member of the Senior Executive Service (SES) or in a senior 

level (SL/ST) position paid under 5 U.S.C. 5376 may not be exempted from the chapter 63 

leave system. All SES and SL/ST employees are subject to furlough on the same basis as 

other employees. (The furlough of career SES members is subject to the procedures in 

5 CFR 359, subpart H, and the furlough of SL/ST employees is subject to the procedures in 

5 CFR 752, subpart D, or 5 CFR part 351, as applicable.) 

While employees may be subject to furlough, the applicable due process procedures depend 

on the type of employee in question. For example, all Presidential appointees are excluded 

from the adverse action procedures in 5 U.S.C. chapter 75, based on 5 U.S.C. 7511(b)(1) and 

(3). In addition, Presidential appointees subject to Senate confirmation are excluded from 

reduction in force procedures, based on 5 CFR 351.202(b). If a Presidential appointee is 

subject to furlough but not subject to adverse action or reduction in force procedures, the 

agency should follow any administrative procedures required by any applicable internal 

personnel policies. 

Note: A former career Senior Executive Service (SES) appointee who receives a Presidential 

appointment that would normally convey an exemption from the leave system may be eligible 

to elect to retain SES leave benefits under 5 U.S.C. 3392(c). If SES leave benefits are so 

elected, such a Presidential appointee would be subject to furlough under 5 CFR part 359, 

subpart H. 

084 DCMA Administrative Record for FY 2013 Furlough Appeals
4

5. Are furloughed detailees returned to their home agencies following any furlough? 

A. Detailed employees remain officially assigned to their permanent positions during the 

detail. During a furlough, each agency will determine the status of their employees on detail 

within the agency or to another agency. 

6. Do all detailees follow the furlough policies and procedures of their home agencies if the 

detail continues? 

A. Yes, because all detailees remain officially employed by the agencies from which they are 

detailed. If furlough is required, the home agency will determine if and how the detailed 

employee is affected. The home agency and the receiving agency should discuss how a 

detailee will be affected if a furlough is not required in the home agency but is required in the 

receiving agency. 

7. I have a detailee from another agency working in my unit. Who can I contact to discuss 

any flexibility the home agency may be willing to exercise regarding scheduling of any 

required furlough days? 

A. Generally, the point of contact would be the human resources office of the employee’s 

home agency. If the point of contact within that office is unknown, OPM suggests contacting 

the employee’s supervisor at the home agency to determine who to contact about potential 

flexibility in scheduling required furlough days. 

8. Can an employee request to be furloughed as a way of reducing the hours of furlough 

required of other employees? 

A. An employee cannot request to be furloughed. A furlough is an agency adverse action 

that places an employee in a temporary nonduty, nonpay status because of lack of work or 

funds, or other nondisciplinary reasons. 

An employee may voluntarily request leave without pay which also places an employee in a 

nonpay, nonduty status. However, approval of leave without pay does not provide any due 

process rights (unlike a furlough action), and approval is subject to your organization’s 

policies, procedures, and any collective bargaining agreement provisions. An employee 

should discuss with their human resources office any personnel implications of additional 

time in a nonpay, nonduty status. An agency should not pressure employees to request leave 

without pay. Such requests should be made on a purely voluntary basis. 

While the granting of leave without pay to a significant number of employees may produce 

savings that could potentially affect the extent to which an agency needs to use furloughs to 

achieve the savings required by sequestration, employees should be aware that there is no 

guarantee that volunteering for unpaid leave will have a significant enough effect on an 

agency’s operations to affect the agency’s need to furlough employees. Moreover, there are 

many other factors that may potentially affect an agency’s budget, and therefore affect the 

extent to which an agency needs to use furloughs to achieve cost savings. 

085 DCMA Administrative Record for FY 2013 Furlough Appeals
5 

Note 1: Leave-exempt Presidential appointees may not take leave without pay, as explained 

in Question B.4. 

Note 2: This matter, like others involving the impact and implementation of furloughs, may 

be subject to collective bargaining for union-represented employees. 

C. Working During Furlough 

1. May an employee volunteer to do his or her job on a nonpay basis during any hours or 

days designated as furlough time off? 

A. No. Unless otherwise authorized by law, an agency may not accept the voluntary services 

of an employee. (See 31 U.S.C. 1342.) 

2. What happens to employees scheduled for training during an administrative furlough? 

A. Since agencies typically have sufficient time to give employees adequate notice and to

plan for administrative furloughs, furlough time off may be scheduled so as not to conflict 

with scheduled training. In the event that scheduled training occurs during a furlough period, 

affected employees must be placed in a furlough status and ordered not to attend the 

scheduled training. 

3. May employees take other jobs during a period designated as furlough time off?

A. While on furlough time off, an individual remains an employee of the Federal 

Government. Therefore, executive branch-wide standards of ethical conduct and rules 

regarding outside employment continue to apply when an individual is furloughed 

(specifically, the executive branch-wide standards of ethical conduct at 5 CFR part 2635). In 

addition, there are specific statutes that prohibit certain outside activities, and agency-specific 

supplemental rules that require prior approval of, and sometimes prohibit, outside 

employment. Therefore, before engaging in outside employment, an employee should review 

these regulations and then consult his or her agency ethics official to learn if there are any 

agency-specific supplemental rules governing the employee. (Also, see the Office of 

Government Ethics’ March 13, 2013, legal advisory entitled, “A reminder that ethics laws 

and regulations continue to apply to Federal Government employees during furlough 

periods.”) 

4. May an employee work during a period designated as furlough time off to earn credit 

hours under a flexible work schedule?

A. No. An employee may not work to earn credit hours during hours and/or days designated 

as furlough time off.

086 DCMA Administrative Record for FY 2013 Furlough Appeals
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5. May an employee work during a period designated as furlough time off to accumulate 

religious compensatory time off hours for religious observances? 

A. No. An employee may not work during a period designated as furlough time off, even to 

accrue religious compensatory time. 

6. What is the effect of an agency ordering an employee to work during scheduled 

furlough hours?

A. If an agency official orders an employee to work during scheduled furlough hours (e.g., to 

respond to an emergency), the assignment of work cancels the employee’s furlough status for 

the duration of the ordered work, and such work would be subject to normal compensation 

requirements.

D. Pay 

1. When an employee’s pay is insufficient to permit all deductions to be made because 

furlough time off occurs in the middle of a pay period and the employee receives a 

partial paycheck, what is the order of withholding precedence?

A. Agencies will follow the guidance at 

http://www.chcoc.gov/transmittals/TransmittalDetails.aspx?TransmittalID=1477 to 

 determine the order of precedence for applying deductions from the pay of its civilian 

 employees when gross pay is insufficient to cover all authorized deductions. 

2. May agencies deny or delay within-grade or step increases for General Schedule and 

Federal Wage System employees during a furlough?

A. It depends on the length of the furlough. Within-grade and step increases for General 

Schedule (GS) and Federal Wage System employees are awarded on the basis of length of 

service and individual performance. Such increases may not be denied or delayed solely 

because of lack of funds. However, extended periods of nonpay status (e.g., because of a 

furlough for lack of funds) may affect the timing of such increases. For example, a GS 

employee in steps 1, 2, or 3 of the grade who is furloughed an aggregate of more than 2 

workweeks during the waiting period would have his or her within-grade increase delayed by

at least a full pay period. (See 5 CFR 531.406(b).) 

3. What issues arise with the furloughing of employees who would otherwise reach the 

biweekly cap on premium pay? 

A. Under 5 U.S.C. 5547, premium pay may not normally be paid to the extent the payment 

would cause the sum of the employee’s basic pay plus premium pay received in a biweekly 

pay period to exceed the higher of (1) the biweekly rate for level V of the Executive Schedule 

(EX-V) or (2) the biweekly rate of basic pay for GS-15, step 10 (including any applicable 

locality payment or special rate supplement). (Note: In all locality pay areas within the 

087 DCMA Administrative Record for FY 2013 Furlough Appeals
7

United States, the applicable GS-15, step 10, rate is higher than the EX-V rate.) Certain 

employees regularly receive a recurring type of premium pay that causes them to reach the 

premium pay cap each biweekly pay period. For example, certain employees regularly 

receive law enforcement availability pay (LEAP), administratively uncontrollable overtime 

(AUO) pay, standby duty premium pay, or regularly scheduled firefighter overtime pay. 

The biweekly premium pay cap limits premium pay based on the aggregate sum of basic pay 

plus premium pay in a biweekly pay period. Thus, if a furlough causes basic pay to be 

reduced, it may result in an increased payment of premium pay that had been limited by the 

premium pay cap. 

If an employee is furloughed, he/she will not receive basic pay or premium pay during the 

furlough period. If the furlough is for a full pay period, then the employee will not receive 

any pay for the pay period and the biweekly premium pay cap is not an issue. 

However, there are issues if an employee who normally reaches the premium pay cap is 

furloughed for part of a pay period. The employee’s total basic pay will be reduced and, as a 

result, the uncapped amount of premium pay for the pay period will be reduced. 

(“Uncapped” refers to the amount of premium pay that would be payable if the biweekly 

premium pay cap did not apply.) If the employee was reaching the premium pay cap in a 

normal pay period and receiving less than the full amount of premium pay available under the 

given premium pay provision, the reduction of basic pay could allow otherwise blocked 

premium pay to become payable—even if the uncapped amount of premium pay is reduced. 

In fact, the employee could receive the same capped total pay while working less hours. In 

this case, a furlough would not save money and would actually reduce productivity. 

For example, consider a GS-15, step 10, criminal investigator in Washington, DC. Criminal 

investigators are entitled to LEAP equal to 25% of the investigator’s basic pay, subject to the 

biweekly premium pay cap, which can reduce or eliminate the LEAP payment. Normally, a 

GS-15, step 10, investigator would receive 0% LEAP since his/her adjusted rate of basic pay 

is already at the cap. 

 Assume the investigator is entitled to a GS-15, step 10, locality rate of $155,500 (EX-IV 

locality rate cap). The hourly rate is $74.51 and the biweekly rate is $5,960.80. Let’s say 

this investigator is furloughed for 2 workdays. The investigator’s basic pay would be 

reduced to $4,768.64 (80-16=64 hours, 64 hours x $74.51 = $4,768.64). 

 Uncapped LEAP for 80 hours of basic pay = 25% x $5,960.80 = $1,490.20 

 Uncapped LEAP for 64 hours of basic pay = 25% x $4,768.64 = $1,192.16. 

 Basic pay + uncapped LEAP = $4,768.64 + $1,192.16 = $5,960.80, which equals the 

premium pay cap. So, the investigator receives the full 25% LEAP. 

 In this example, the investigator’s hours were reduced by 16 hours out of 80 (20%), 

leaving basic pay at 80% of the normal amount. 25% LEAP x 80% of normal basic pay = 

088 DCMA Administrative Record for FY 2013 Furlough Appeals
8 

20% of normal basic pay for an 80-hour biweekly pay period (which would have applied 

but for the furlough). Thus, the LEAP replaced the lost basic pay exactly. 

o Uncapped LEAP decreased from $1,490.20 to $1,192.16. 

o Capped LEAP increased from $0 to $1,192.16. 

o Basic pay decreased from $5,960.80 to $4,768.64, a reduction of $1,192.16. 

o Capped LEAP increase = Basic pay decrease. 

 In this scenario, no budget savings would be realized by furloughing the investigator. 

The investigator would receive the same amount of pay while working fewer hours, 

resulting in a loss in productivity. 

An agency is not required to furlough an employee when the workings of the premium pay 

cap prevent budget savings or provide limited savings relative to the loss in productivity. As 

a general rule, an agency may selectively furlough employees, but an explanation must be 

provided to employees in the advanced written proposal notice regarding the agency’s 

justification as to why the administrative furlough is being implemented. The notice should 

contain an explanation of other employees who may not have been furloughed in that 

particular employee’s same competitive level. (See 5 CFR 752.404(b)(2).) 

For example, see the language below from Sample Notice 1—Furlough Proposal Due to 

Planned Reduction in Agency Expenditures (5 CFR Part 752): 

If other employees in your competitive level (i.e. generally, positions at the same 

grade level and classification series, the duties of which are generally interchangeable 

– see 5 CFR 351.403(a)) are not being furloughed or are being furloughed for a 

different number of days, it is because they (1) are currently in a nonpay status, (2) are 

under an Intergovernmental Personnel Act mobility assignment, (3) are on an 

assignment not otherwise causing an expenditure of funds to the agency or, (4) are in 

a position whose duties have been determined to be of crucial importance to this 

agency’s mission and responsibilities, and cannot be curtailed. [Note: These are the 

most common reasons for excluding employees from furlough. If there are other 

reasons that arise, you must include them in this listing.] 

Based on the above, in deciding which employees should be subject to an administrative 

furlough, an agency should take into account the effects of the premium pay cap and should 

address in the furlough notice the exclusion of any employees who are affected by the 

premium pay cap. 

089 DCMA Administrative Record for FY 2013 Furlough Appeals
9

4. May Federal agencies require employees who are placed on administrative furlough for 

all or part of their basic workweek to work hours outside the basic workweek? 

A. Yes. An agency may assign work during hours outside the employee’s basic workweek, 

subject to any applicable agency policies or collective bargaining agreements. 

Employees are only in furlough status for designated furlough hours. Furlough status means 

the employee is placed in nonpay, nonduty status for certain hours within the employee’s tour 

of duty established for leave usage purposes (i.e., the tour of duty for which absences require 

the charging of leave). Thus, for full-time employees with a 40-hour basic workweek, 

furlough hours must be within the 40-hour basic workweek. For part-time employees, 

furlough hours must be within the employee’s part-time basic workweek based on the parttime tour of duty established for leave usage purposes. For employees on an uncommon tour 

of duty established under 5 CFR 630.210, furlough hours must be within the uncommon tour 

of duty. (See Question L.3.) 

Note: During a shutdown furlough in response to a lapse in appropriations, an agency may 

not allow an employee (unless the employee is excepted or exempt from furlough) to perform 

work outside his or her basic workweek because it would create a budgetary obligation before 

an appropriation is made, which is barred by the Antideficiency Act (31 U.S.C. 1341 et seq.). 

5. How are employees compensated when they are required to work hours outside a basic 

workweek in which they have been furloughed? 

A. Employees who are required to work hours outside of a basic workweek during which 

they have been furloughed are compensated with their rate of basic pay if overtime thresholds 

have not been met, and/or with overtime pay or compensatory time off in lieu of overtime 

pay, as appropriate, once the thresholds have been met. Normally applicable overtime rules 

apply. Most employees are subject to a 40-hour weekly overtime threshold and an 8-hour 

daily overtime threshold. Leave without pay hours (such as furlough hours) do not count as 

hours of work in applying overtime thresholds. 

As provided by 5 CFR 550.112(d)(1), an employee’s hours of work outside of his or her basic 

workweek, but occurring in the same administrative workweek as furlough hours, must be 

substituted for furlough hours in pay computations, as long as the hours of work outside the 

basic workweek do not qualify for an overtime rate on the basis of exceeding 40 hours in a 

workweek. (Note: For hours that qualify for an overtime rate on the basis of exceeding 8 

hours of work in a day, this substitution rule does not apply.) Those substituted hours are 

paid for at the rate applicable to hours in the employee’s basic workweek. After all furlough 

hours during the employee’s basic workweek are substituted for, any remaining hours of 

work are overtime hours on the basis of exceeding 40 hours in a workweek. 

Similarly, as provided by 5 CFR 550.112(d)(2), an employee’s hours of work outside of his 

or daily tour of duty, but in the same workday as furlough hours, must be substituted for such 

furlough hours in pay computations. Those hours are paid for at the rate applicable to the 

090 DCMA Administrative Record for FY 2013 Furlough Appeals
10 

employee’s daily tour of duty. After all furlough hours during the employee’s daily tour of 

duty are substituted for, any remaining hours of work are overtime hours on the basis of 

exceeding 8 hours in a workday (for employees subject to the 8-hour daily overtime 

threshold). 

The substitution rule in 5 CFR 550.112(d) does not change an employee’s basic workweek or 

daily tour of duty. The hours worked outside the employee’s basic workweek or daily tour of 

duty are substituted for the purpose of pay computations. Under the rule, substituted hours 

are paid at the rate “applicable to” hours in the basic workweek or daily tour of duty, even 

though the hours were worked outside those periods. This rule simply recognizes that leave 

without pay hours (such as furlough hours) do not count toward weekly and daily overtime 

thresholds. 

Examples 

For purposes of these examples, an employee with a Monday–Friday, 8-hour per day work 

schedule is required to work overtime in a workweek during which he or she also has 1 day 

(8 hours) of designated furlough time off. (As described in Question L.1., agencies have 

discretion to implement an administrative furlough to best absorb budget reductions over the 

course of the fiscal year and do not need to follow the same procedures.) 

 Example A. An employee is furloughed for 8 hours on Monday, works 8 hours per day on 

Tuesday–Friday, and is required to work 4 hours on Saturday. 

The 4 hours of work on Saturday are substituted for 4 of the furlough hours on Monday and 

paid at the rate applicable to the employee’s basic workweek (i.e., basic rate), consistent with 

5 CFR 550.112(d)(1). The employee cannot receive overtime pay, or compensatory time off 

in lieu of overtime pay, for the 4 hours of work on Saturday. 

 Example B. An employee is furloughed for 8 hours on Monday, works 8 hours per day on 

Tuesday–Friday, and is required to work 4 additional hours on Friday evening after 

completing his 8-hour daily tour of duty. 

The additional 4 hours of work on Friday evening are beyond the 8-hour daily overtime pay 

threshold and the employee is entitled to an overtime rate for those hours based on 5 U.S.C. 

5542(a). The substitution rule in 5 CFR 550.112(d)(1) bars paying an overtime rate for 

substitutable hours outside the basic workweek “on the basis of exceeding 40 hours in a 

workweek.” However, the 40-hour overtime pay threshold is not the basis for paying an 

overtime rate for the 4 additional hours of work on Friday evening. Since the 8-hour 

overtime pay threshold is being used, those 4 hours are not substituted for the Monday 

furlough hours in pay computations; thus, an overtime rate applies. If appropriate, the 

employee may receive compensatory time off in lieu of overtime pay for the 4 additional 

Friday hours under the normal rules governing compensatory time off. 

 Example C. An employee is furloughed for 8 hours on Monday and works 8 hours per day 

091 DCMA Administrative Record for FY 2013 Furlough Appeals
11 

on Tuesday–Friday. The employee is required to work 4 hours on Monday evening during 

hours outside of his daily tour of duty. 

For purposes of pay computations, the 4 hours of work on Monday evening are substituted 

for 4 hours of furlough time off taken during the employee’s daily tour of duty on Monday 

and paid for at the rate applicable to the employee’s daily tour of duty (i.e., basic rate), 

consistent with 5 CFR 550.112(d)(2). The employee cannot receive overtime pay, or 

compensatory time off in lieu of overtime pay, for the 4 hours worked on Monday evening 

because the hours are not overtime hours. 

Note 1: The above scenarios assume the employee’s administrative workweek and workdays 

are based on calendar days. The administrative workweek can be based on any 24-hour 

period. (See 5 CFR 610.102.) That would affect application of 5 CFR 550.112(d), which is 

based on the applicable “administrative workweek” and “workday.” 

Note 2: For employees on flexible or compressed work schedules, the “basic work 

requirement” is generally equivalent to the “basic workweek.” However, no hour within the 

basic work requirement can be an overtime hour, even if those basic work requirement hours 

exceed 8 hours of work in a day or 40 hours of work in a week. For example, if an employee 

on a flexible or compressed work schedule has a 9-hour basic work requirement on a given 

day, only hours of work outside the 9-hour basic work requirement could be overtime hours. 

In other words, while hours of work (including any paid time off but excluding hours in 

nonpay status) within the basic work requirement count as hours of work in applying the 8-

hour daily and 40-hour weekly overtime thresholds, only hours of work outside the basic 

work requirement may receive an overtime rate. Hours outside the daily or weekly basic 

work requirement are substituted, as appropriate, for furlough hours under the rules in 5 CFR 

550.112(d). For example, if an employee is placed in furlough status during a 9-hour daily 

basic work requirement and works 4 hours outside the basic work requirement on that same 

day, those 4 hours would be substituted and paid at the rate for basic work requirement hours. 

 An employee on a flexible work schedule may have the option to earn credit hours by 

working hours outside the basic work requirement. The rules governing credit hours remain 

applicable in the context of an administrative furlough. See Questions C.4., D.6., and E.1. 

for additional information on earning and using credit hours. 

6. May an employee on a flexible work schedule earn credit hours by working during a 

week or on a day when the employee is furloughed? 

A. During a week or on a day when an employee is furloughed during certain basic work 

requirement hours, the employee may earn credit hours by electing to work in excess of his or 

her basic work requirement, subject to all legal requirements and applicable agency policies 

or collective bargaining agreements. An employee may not earn credit hours by working 

during designated furlough hours within the employee’s basic work requirement. (See 

Question C.4.) Also, an employee may not use previously earned credit hours during 

furlough hours. (See Question E.1.) 

092 DCMA Administrative Record for FY 2013 Furlough Appeals
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The substitution rule in 5 CFR 550.112 may not be applied to credit hours—that is, the rule 

cannot be used to convert earned credit hours into paid hours that substitute for furlough 

hours in pay computations. 

E. Leave and Other Time Off 

1. May an employee take paid leave or other forms of paid time off (e.g., annual, sick, 

court, or military leave, leave for bone marrow or organ donor leave, credit hours 

earned, any compensatory time off earned, or time off awards) instead of taking 

administrative furlough time off? 

A. No. During an administrative furlough, an employee may not substitute paid leave or 

other forms of paid time off for any hours or days designated as furlough time off. 

2. Can agencies furlough employees who are on approved leave without pay (LWOP) 

during a time when administrative furloughs are being conducted for other employees? 

A. Agencies have discretion in determining whether to furlough employees who are in 

LWOP status, since both furloughs and LWOP are periods of nonpay status. Employees may 

already be scheduled for LWOP for a variety of reasons and for various lengths of time on 

either a continuous or discontinuous basis. An employee’s LWOP may or may not fully 

encompass the period during which administrative furloughs are being conducted for other 

employees in the same organization. For example, for one employee, a continuous 1-year 

period of leave without pay to accompany a military spouse overseas may encompass the 

entire period during which administrative furloughs are being conducted in an employee’s 

organization, while another employee’s continuous LWOP may end during that period. 

Other employees may be scheduled to take LWOP on a regular but discontinuous basis under 

the Family and Medical Leave Act. (See Question E.3.) 

Agencies are responsible for determining (1) whether employees already scheduled for 

LWOP during a period when administrative furloughs are being conducted will be subject to 

furlough and (2) the hours of furlough required of such employees. If an agency decides to 

place an employee in furlough status during hours that were originally scheduled to be 

LWOP, all applicable procedural requirements must be met, including a furlough notice. 

3. May an employee take LWOP under the Family and Medical Leave Act (FMLA) 

during a time when administrative furloughs are being conducted for other employees? 

A. Yes. An employee may take LWOP under FMLA during a time when administrative 

furloughs are being conducted for other employees in the same organization, subject to the 

conditions in 5 U.S.C. 6382. (See Question E.2.) However, if an employee is placed in 

furlough status during hours that were previously scheduled to be LWOP under FMLA, those 

furlough hours will no longer be considered to be LWOP under FMLA. Furlough hours will 

not count toward the employee’s 12-week FMLA leave entitlement. An employee may not 

later substitute paid leave for furlough hours. 

093 DCMA Administrative Record for FY 2013 Furlough Appeals
13

As explained in Question E.2., agencies are responsible for determining the extent to which 

employees with scheduled LWOP (including LWOP under FMLA) are placed in furlough 

status. If employees are placed in furlough status instead of LWOP under FMLA, all 

applicable procedural requirements must be met, including a furlough notice. 

4. Does a furlough affect the accrual of annual leave and sick leave? 

A. If an employee is furloughed (i.e., placed in nonpay status) for part of a biweekly pay 

period, the employee’s leave accrual will generally not be affected for that pay period. 

However, the accumulation of nonpay status hours during a leave year can affect the accrual 

of annual leave and sick leave over a period of time. (See 5 CFR 630.208 and Notes 1 and 2 

below.) For example, when a full-time employee with an 80-hour biweekly tour of duty 

accumulates a total of 80 hours of nonpay status from the beginning of the leave year (either 

in one pay period, or over the course of several pay periods), the employee will not earn 

annual and sick leave in the pay period in which that 80-hour accumulation is reached. If the 

employee again accumulates 80 hours of nonpay status, he or she will again not earn leave in 

the pay period in which that new 80-hour total is reached. At the end of the leave year, any 

accumulation of nonpay status hours of less than 80 hours is zeroed out so that the 

accumulation of nonpay status hours for the next leave year starts at zero. 

For part-time employees, the rule blocking accrual of leave based on the accumulation of 

nonpay status hours (5 CFR 630.208) does not apply. Instead, leave accrual for part-time 

employees is prorated based on hours in a pay status in each pay period; thus, time in nonpay 

status reduces leave accrual in each pay period containing such time (5 CFR 630.303 and 5 

U.S.C. 6307). 

Also, please see OPM’s fact sheet on the Effect of Extended Leave Without Pay (LWOP) (or 

Other Nonpay Status) on Federal Benefits and Programs, which has a section entitled, 

“Accrual of annual and sick leave.” 

Note 1: The term “nonpay status” refers to period during which an employee is absent from 

his or her tour of duty established for leave usage purposes and receives no pay for such 

absence. Furlough is one type of nonpay status. 

Note 2: The term “leave year” is defined as the period beginning on the first day of the first 

full biweekly pay period in a calendar year and ends on the day immediately before the first 

day of the first full biweekly pay period in the following calendar year. (For example, for 

employees on the standard biweekly payroll cycle, the 2013 leave year is January 13, 2013, 

through January 11, 2014.) (See fact sheet at http://www.opm.gov/policy-data-oversight/payleave/leave-administration/fact-sheets/leave-year-beginning-and-ending-dates/.) 

Note 3: For full-time employees with an uncommon tour of duty under 5 CFR 630.210, the 

accumulation limit used in applying 5 CFR 630.208 is the number of hours in the uncommon 

tour of duty for a biweekly pay period. 

094 DCMA Administrative Record for FY 2013 Furlough Appeals
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5. May an employee who takes furlough hours off be permitted to substitute annual leave 

retroactively for furlough hours taken, if the agency finds sufficient funds to cover the 

hours the employee was in a furlough status? 

A. Generally no. However, if an employee has proactively taken more than the required 

number of furlough hours under an agency’s phased furlough plan prior to the agency 

cancellation of the furlough, the employee may retroactively cancel excess furlough hours 

and substitute annual leave for those hours, as determined by the agency. (See B-219211, 

December 9, 1985.) For example, an agency’s furlough plan requires each employee to take 

176 furlough hours (22 days) between April and September. The agency requires the 

employee to take 8 furlough hours off each week in the month of April (for a total of 32 

furlough hours (4 days)) and provides the employee with an option of when to take his/her 

remaining furlough hours off at a time of the employee’s choosing, but no later than the end 

of September. If the employee takes all 176 furlough hours off (22 days) in April and the 

agency cancels the furlough on May 1 due to improved financial conditions, the employee 

would have taken 144 furlough hours more than what was needed (176 hours (22 days) - 32 

hours (4 days)). Upon the determination to cancel the furlough, the agency must decide how 

to handle the 144 furlough hours (18 furlough days) off the employee has taken ahead of 

schedule in accordance with internal agency procedures and any applicable collective 

bargaining agreement. Any annual leave substituted for furlough hours would be calculated 

at the same compensation rate the employee would have received had he or she used annual 

leave at that time. 

Note: This matter may be subject to collective bargaining for union-represented employees 

to the extent an agency has discretion to retroactively substitute annual leave for furlough 

hours taken. 

6. May an employee who takes furlough hours off be granted excused absence to 

substitute retroactively for the furlough hours taken, if the agency finds sufficient funds 

to cover the hours the employee was in a furlough status? 

A. Agencies have the discretionary authority to determine the situations in which an 

employee may be excused from duty without loss of pay or charge to leave in accordance 

with internal agency policy and any collective bargaining agreement. However, agencies are 

not required to provide excused absence unless specifically required by statute or Presidential 

directive. For example, if an employee has proactively taken more than the required number 

of furlough hours under an agency’s phased furlough plan prior to the agency cancellation of 

the furlough, the agency is not required to provide excused absence for the excess furlough 

hours, as determined by the agency. (See B-219211, December 9, 1985.) If the agency 

decides to cancel certain furlough hours and substitute excused absence, the excused absence 

should be provided to all similarly situated employees. Any retroactive substitution of 

excused absence would be calculated at the same compensation rate the employee would 

have received had he or she used annual leave at that time. 

Note: This matter, like others involving the impact and implementation of furloughs, may be 

095 DCMA Administrative Record for FY 2013 Furlough Appeals
15 

subject to collective bargaining for union-represented employees. 

F. Holidays 

1. May employees be administratively furloughed on a holiday? 

A. Employees may be furloughed for periods of time that include holidays. However, an 

agency should select the furlough days off on programmatic and administrative grounds that 

are unrelated to the fact that the period includes a holiday. For example, an agency may not 

properly furlough employees for a 3-day period, the middle of which is a holiday, for the sole 

purpose of saving 3 days’ pay while losing only 2 days of work. (See Comptroller General 

opinion B-224619, August 17, 1987.) Neither would it be proper to furlough an employee 

solely on a holiday. (See Comptroller General opinion B-222836, May 8, 1986.) 

2. If employees have a designated administrative furlough day off on the last workday 

before a holiday or the first workday after a holiday (but not on both days), will they be 

paid for the holiday? 

A. Yes. The general rule is that an employee is entitled to pay for a holiday so long as he or 

she is in a pay status on either the workday preceding a holiday or the workday following a 

holiday. The employee is paid for the holiday based on the presumption that, but for the 

holiday, the employee would have worked. (Note: A holiday should not be the first or last 

day of the period covered by a furlough.) 

3. If employees have a designated administrative furlough day off on the last workday 

before a holiday and the first workday after a holiday, will they be paid for the holiday? 

A. No. If a furlough includes both the last workday before the holiday and the first workday 

after the holiday, the employee is not entitled to pay for the holiday because there is no longer 

a presumption that, but for the holiday, the employee would have worked on that day. (See 

Comptroller General opinion B-224619, August 17, 1987.) Agencies that allow employees to 

choose their furlough days off should explain that the employee will not be paid for the 

holiday if the employee chooses to take a furlough day off both before and after the holiday. 

G. Benefits 

1. How does an administrative furlough impact the Federal Employees Health Benefits 

Program? 

A. Please see Section S (Federal Employees Health Benefits Program).

096 DCMA Administrative Record for FY 2013 Furlough Appeals
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2. Will an employee’s Federal Flexible Spending Account Program (FSAFEDS) be 

impacted during an administrative furlough? 

A. The employee’s FSAFEDS coverage continues, and allotments made by the employee 

continue if the employee’s salary in each pay period is sufficient to cover the deduction(s). If 

the employee’s salary is insufficient to cover his or her allotment(s), then incurred eligible 

health care expenses will not be reimbursed until the allotments are successfully restarted (in 

which case the remaining allotments would be recalculated over the remaining pay periods to 

match the employee’s annual election amount). Incurred eligible dependent care expenses 

may be reimbursed up to whatever balance is in the employee’s dependent care account, as 

long as the expenses incurred allow the employee (or employee’s spouse if married) to work, 

look for work or attend school full-time. Once dependent care allotments are successfully 

restarted, remaining allotments would be recalculated over the remaining pay periods to 

match the employee’s annual election amount. 

3. How does an administrative furlough impact the Federal Employees’ Group Life 

Insurance (FEGLI) Program? 

A. Please see Section T (Federal Employees’ Group Life Insurance Program). 

4. Will an employee continue to be covered under the Federal Dental and Vision 

Insurance Program (FEDVIP) during an administrative furlough? 

A. Yes. Just as with scheduled LWOP, if BENEFEDS is unable to take the necessary 

premium deduction from an employee’s pay, BENEFEDS collects premium up to twice the 

biweekly amount from the next full pay period to make up for the missed premium 

deduction. If the furlough continues for more than two consecutive pay periods, BENEFEDS 

will mail a direct bill to the employee. The enrollee should pay premiums directly billed to 

him/her on a timely basis to ensure continuation of coverage. 

5. Will an employee continue to be covered under the Federal Long Term Care Insurance 

Program (FLTCIP) during an administrative furlough? 

A. Yes, eligible claims will continue to be paid. Coverage will terminate if premiums are not 

paid. If the contractor does not receive premium for two or fewer pay periods, they will 

adjust future premium deductions, increasing by no more than $50 per pay period to recover 

the missed premiums. Three consecutive pay periods of no premium will result in the 

contractor billing the participant directly. 

The employee also has the option to change to direct billing or to payment via electronic 

funds transfer (EFT). If premiums are not collected or a final bill is not paid within a 30 day 

grace period, FLTCP will send a termination letter. The employee has 35 days from the date 

of the letter to pay the premium; otherwise the employee will be disenrolled retroactively to 

the last pay period in which premium was paid. 

097 DCMA Administrative Record for FY 2013 Furlough Appeals
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6. How does a furlough affect retirement annuity benefits? 

A. Generally, furloughs will not affect an annuity benefit under the Civil Service Retirement 

System (CSRS) or the Federal Employees’ Retirement System (FERS). 

The amount of a CSRS or FERS annuity paid by OPM is based primarily on the amount of 

creditable service an employee performs and the employee’s high-3 average salary. Both 

CSRS and FERS allow service credit for up to 6 months of nonpay status in any calendar 

year. If a furlough period does not cause an employee to be in a nonpay status for more than 

6 months in a calendar year, the furlough period will be included as creditable service in 

determining the employee’s total creditable service used in the annuity computation. If the 

total amount of time an employee spends in a nonpay status in a calendar year exceeds 

6 months, the amount of nonpay status in excess of 6 months in the calendar year will not be 

creditable for retirement purposes. 

The high-3 average salary used to compute CSRS and FERS annuities is the largest annual 

rate resulting from averaging an employee’s rates of basic pay in effect over any period of 

3 consecutive years of creditable civilian service, with each rate weighted by the length of 

time it was in effect. If a period of nonpay status (such as a furlough) that is creditable for 

retirement occurs during the 3-year period used to compute the high-3 average salary, the loss 

of actual pay during that nonpay status period generally would have no effect on the high-3 

computation. The basic pay rate in effect during that nonpay status period would be used in 

the high-3 average salary calculation. For example, if an employee whose annual rate of 

basic pay is $85,000 is placed in a furlough status for two weeks and that 2-week period falls 

in the employee’s average salary period, that 2-week furlough period will be credited in the 

high-3 average salary calculation using the $85,000 annual rate of basic pay that was in effect 

during the furlough period. In this example, the loss of actual pay (or earnings) during that 

period is not material in the high-3 average salary calculation. 

Basic pay for retirement includes locality pay and certain types of additional pay, such as law 

enforcement availability pay (LEAP), administratively uncontrollable overtime (AUO) pay, 

standby duty pay, firefighter pay (annualized salary), and market pay for physicians. These 

types of additional pay are included in the basic pay used to calculate the high-3 average 

salary during periods of creditable nonpay status as long as the authorization for the payments 

remains in effect. 

Other additional types of basic pay, however, including night shift differential and 

environmental differential for wage grade employees, and certain overtime pay for customs 

officers are included in the average salary computation only when an employee has received 

that type of pay. 

098 DCMA Administrative Record for FY 2013 Furlough Appeals
18

H. Employee Assistance 

1. Are employees entitled to unemployment compensation while on furlough? 

A. It is possible that furloughed employees may become eligible for unemployment 

compensation. The various State unemployment compensation requirements differ. Some 

States require a 1-week waiting period before an individual qualifies for payments. In 

general, the law of the State in which an employee’s last official duty station in Federal 

civilian service was located will be the State law that determines eligibility for 

unemployment insurance benefits. Agencies or employees should submit questions to the 

appropriate State (or the District of Columbia, Puerto Rico, or the Virgin Islands) office. The 

Department of Labor (DOL) website provides links to individual State offices at 

http://www.servicelocator.org/OWSLinks.asp.

For additional information on Unemployment Compensation for Federal Employees (UCFE), 

see DOL’s UCFE webpage at http://workforcesecurity.doleta.gov/unemploy/unemcomp.asp, 

fact sheet at http://www.dol.gov/sequestration/ucfe.pdf, and frequently asked questions at 

http://www.dol.gov/sequestration/ucfe-faqs.pdf.

2. What resources are available if a Federal employee needs financial assistance during a 

furlough period? 

A. Some agency employee assistance programs (EAPs) include financial consultation 

services. In addition, employees may want to contact their financial institution or credit 

union or learn about their options through the Thrift Savings Plan (http://www.tsp.gov). The 

Federal Retirement Thrift Investment Board, which administers TSP, has posted guidance 

regarding the effect of nonpay status on TSP accounts at www.tsp.gov/PDF/formspubs/oc95-

4.pdf, and specific guidance regarding the March 1, 2013 sequester at 

https://www.tsp.gov/PDF/formspubs/oc13-7.pdf, and can be reached at 1-877-968-3778 for 

additional information. 

3. Can I take a TSP loan while I’m furloughed? What is the effect of an administrative 

furlough on Thrift Savings Plan (TSP) contributions, investments, and loans? 

A. Agencies and employees should refer to the TSP website (http://www.tsp.gov) or contact 

their agency representative for information. Specifically, the Federal Retirement Thrift 

Investment Board, which administers TSP, has posted guidance regarding the effect of 

nonpay status on TSP accounts at www.tsp.gov/PDF/formspubs/oc95-4.pdf, and specific 

guidance regarding the March 1, 2013 sequester at 

https://www.tsp.gov/PDF/formspubs/oc13-7.pdf, and can be reached at 1-877-968-3778 for 

additional information. 

099 DCMA Administrative Record for FY 2013 Furlough Appeals
19 

I. Service Credit for Various Purposes 

1. Is being furloughed or on leave without pay (LWOP) considered a break in service?

A. No, both mean the employee is in a nonpay, nonduty status for those days/hours. 

However, an extended furlough or extended LWOP may affect the calculation of creditable 

service for certain purposes.

2. To what extent does nonpay status affect Federal employee benefits and programs?

A. The effects of a nonpay status (which includes furlough, leave without pay, absence 

without leave, and suspension) on Federal employee benefits and programs vary based on 

current law and regulation. For additional information, see OPM’s fact sheet on the “Effect 

of Extended Leave Without Pay (or Other Nonpay Status) on Federal Benefits and Programs” 

at http://www.opm.gov/policy-data-oversight/pay-leave/leave-administration/factsheets/effect-of-extended-leave-without-pay-lwop-or-other-nonpay-status-on-federalbenefits-and-programs/. 

J. Federal Employees on Military Duty 

1. Will employees continue to receive a reservist differential payment (5 U.S.C. 5538) if 

they are affected by an administrative furlough from their Federal civilian position 

while on active duty? 

A. It depends. In computing a reservist differential, the employing agency must compare the 

employee’s projected civilian basic pay to the allocated military pay and allowances for each 

civilian pay period. If an employee is affected by a furlough from his or her Federal position 

while on active duty, the employing agency must reduce the employee’s projected civilian 

basic pay during any pay period in which furlough time off occurs. If the allocated military 

pay and allowances are greater than or equal to the projected civilian basic pay adjusted for 

furlough time off, no reservist differential is payable for that pay period. If the projected 

civilian basic pay (as reduced to account for furlough time off) is greater than the allocated 

military pay and allowances, the difference represents the unadjusted reservist differential. 

2. Will there be an impact on an employee’s General Schedule or Federal Wage System 

within-grade increases (WGI) waiting period if the employee is affected by an 

administrative furlough while in an Absent – Uniformed Service status? 

A. No. A furlough has no impact on an employee’s General Schedule or Federal Wage 

System WGI waiting period if the employee is affected by a furlough while in an Absent – 

Uniformed Service status (i.e., Nature of Action Code 473, which is used when the employee 

has restoration rights). An absence for the purpose of engaging in military service is 

creditable service in the computation of waiting periods for successive WGIs when an 

employee returns to a pay status through the exercise of a restoration right provided by law, 

Executive order, or regulation. (See 5 CFR 531.406(c)(1)(i) and 5 CFR 532.417(c)(4).) 

100 DCMA Administrative Record for FY 2013 Furlough Appeals
20 

K. Benefits under the Federal Employees’ Compensation Act (FECA) 

1. Are employees who are injured while on furlough or LWOP eligible to receive workers’ 

compensation?

A. No. Federal workers’ compensation is paid to employees only if they are injured while 

performing their duties. Employees on furlough or LWOP are not in a duty status for this 

purpose. A Federal employee who is receiving workers’ compensation payments under the 

FECA will continue to receive workers’ compensation payments during a furlough and will 

continue to be charged LWOP. 

2. How does an administrative furlough affect the compensation of an employee who is 

receiving FECA benefits and is under medical orders to work part-time?

A. When an employee is already out on total or partial wage loss benefits, FECA 

compensation continues at the usual rate. Claims for FECA compensation benefits submitted 

as a result of missing a partial day due to a furlough are not payable under the FECA. 

3. How does an administrative furlough impact the compensation of an employee who is 

receiving FECA benefits and is required to work a modified light duty schedule? 

A. FECA compensation benefits are not payable for work days lost as a result of 

administrative furlough. 

4. How does a furlough affect Continuation of Pay (COP)?

A. If an employee sustains a traumatic injury and is receiving COP before furlough days 

have been scheduled, COP should continue. However, if an employee sustains a traumatic 

injury and has already been scheduled for one or more furlough days, then there would be no 

COP entitlement for any day that the employee was not scheduled to work due to an 

administrative furlough. 

5. Are schedule awards or medical benefits affected by an administrative furlough?

A. No. Schedule award and medical benefits continue regardless.

Note to Section K: Any additional questions regarding Federal workers’ compensation benefits 

should be directed to the Division of Federal Employees’ Compensation, Office of Workers’ 

Compensation Programs, U.S. Department of Labor. See http://www.dol.gov/owcp/dfec. 

101 DCMA Administrative Record for FY 2013 Furlough Appeals
21

L. Scheduling Furlough Time Off 

1. How should agencies schedule administrative furlough time off? Must all agencies 

follow the same procedures for furloughing employees? 

 

A. An administrative furlough will impact each agency differently depending on the extent of 

the agency’s budget reduction. Agencies have discretion to implement such a furlough to 

best absorb budget reductions over the course of the fiscal year and do not need to follow the 

same procedures. For example, an agency may furlough employees for 1 day a pay period for 

a finite period of time, designate a number of furlough hours, shut down the entire agency for 

a defined number of days, designate specific dates as furlough days off, or allow employees 

to select their own furlough time off, etc.

2. How should agencies schedule administrative furlough time off for employees on 

flexible or compressed work schedules under an alternative work schedule (AWS) 

program? 

 A. Because the definition of a workday will vary based on the type of work schedule and/or 

appointment, it is best for an agency to develop a policy that provides equity and consistency, 

subject to all legal requirements and applicable agency policies or collective bargaining 

agreements. For ease of administration and equity, agencies may schedule furloughs for all 

employees (both alternative work schedule and regular tours of duty) in terms of hours. For 

example, in the event that all full-time employees are furloughed for 40 hours, for some 

employees the actual number of furlough days could be more or less than 5 days, depending 

on their work schedules. 

Many employees who are on flexible work schedules normally have a great deal of flexibility 

in the starting and stopping times within their basic work schedule. When furloughing 

employees with a flexible work schedule, agencies should identify specific hours during 

which the employee is in furlough status—e.g., 8:00 am–4:00 pm. Thus, if an employee is 

called into work (e.g., due to an emergency), it will be clear as to whether the hours of work 

occur during or outside scheduled furlough hours. Any work ordered during scheduled 

furlough hours cancels the furlough for those hours, and such work would be subject to 

normal compensation requirements. (See Question C.6. See also Questions D.4., D.5., and 

D.6 dealing with employees working outside basic workweek hours during a day or week in 

which they are placed in administrative furlough status.) 

3. How should agencies schedule administrative furlough time off for employees who do 

not work a standard work schedule (e.g., part-time or uncommon tour of duty)? 

A. Agencies must enact furloughs in a manner that reduces operation risks and minimizes 

impacts on agency core mission in service of the American people, but should strive to 

impact employees in an equitable manner regardless of work schedule. Furloughs of parttime or uncommon tour of duty employees must comply with the procedures of 5 CFR part 

752 or part 351, as applicable, if the employees are otherwise covered. 

102 DCMA Administrative Record for FY 2013 Furlough Appeals
22

In determining furloughs for part-time employees, agencies should consider whether or not to 

prorate furlough hours requirements based on the number of scheduled part-time work hours 

relative to a full-time work schedule of 80 hours in a biweekly pay period to achieve the same 

percentage pay reduction for both full-time and part-time employees. For example, a parttime work schedule of 64 hours per biweekly pay period would equate to 64/80 of a full-time 

work schedule, or 80 percent. This percent could then be multiplied by the number of hours 

that a full-time employee is furloughed to derive the appropriate number of furlough hours 

for the part-time employee. Thus, if a full-time employee were required to be furloughed for 

40 hours, a part-time employee with a 64-hour biweekly tour could be furloughed for 32 

hours (40 x .80 = 32). 

In the case of employees with an uncommon tour of duty, such as firefighters and 

paramedics, agencies should consider the impact that a furlough has on regular pay (in 

percentage terms), rather than the impact on hours (in percentage terms). An uncommon tour 

of duty is a tour of duty in excess of 80 hours in a biweekly pay period that is established for 

the purpose of charging leave. Thus, it includes overtime hours for which an employee 

receives regular overtime pay or standby duty premium pay. (See definition of “uncommon 

tour of duty” in 5 CFR 630.201 and 630.210.) Generally, for employees on an uncommon 

tour of duty, furlough hours will reduce regular pay by a greater percentage than the 

percentage reduction in hours. In connection with the furlough of employees with an 

uncommon tour of duty, agencies should consider whether or not the number of furlough 

hours should be set in a manner that achieves the same percentage pay reduction experienced 

by full-time employees with an 80-hour biweekly tour of duty who are covered by the same 

furlough policy. 

4. How should agencies schedule administrative furlough time off for employees who work 

on a seasonal or intermittent basis?

A. Whether either group is called for work during an administrative furlough is discretionary 

with agencies. Seasonal employees are recalled to duty at identified periods of the year in 

accordance with pre-established conditions. Intermittent employees are non-full-time 

employees without a regularly scheduled tour of duty. 

M. Procedures—22 Workdays or Less 

1. May an agency schedule administrative furlough days consecutively and 

discontinuously (e.g., one workday per week for 15 weeks)? 

A. Yes. Nothing in law or regulation prohibits discontinuous furloughs, and they have been 

upheld by the Merit Systems Protection Board on appeal. Moreover, discontinuous furloughs 

can be advantageous to both employees and the agency by distributing the furlough days over 

time, thereby minimizing the financial impact on employees as well as lessening disruption 

of agency services to the public. 

103 DCMA Administrative Record for FY 2013 Furlough Appeals
23 

In AFGE, Local 32 and OPM, 22 FLRA 307 (1986), the Federal Labor Relations Authority 

held that a proposal giving the furloughed employee the right to determine whether his/her 

furlough was to be continuous or discontinuous is a negotiable 5 U.S.C. 7106(b)(3) 

“appropriate arrangement.” 

For ease of administration and equity, agencies may also schedule furloughs for all 

employees (both alternative work schedule and regular tours of duty) in terms of hours. For 

example, all full-time employees would be furloughed for 40 hours, even though for some 

employees the actual number of furlough days could be more or less than 5 days. 

2. How is an administrative furlough documented? 

 

A. Agencies must prepare an SF-50, “Notification of Personnel Action,” for each employee 

subject to furlough (or a List Form of Notice may be prepared for a group of employees who 

are to be furloughed on the same day or days each pay period). Chapters 15 and 16 of The 

Guide to Processing Personnel Actions provide complete guidance on documenting a 

furlough. 

3. If a discontinuous administrative furlough extends for more than 30 calendar days, is it 

a furlough covered by adverse action procedures in 5 CFR part 752, or is it covered by 

the reduction in force (RIF) procedures of 5 CFR part 351? 

A. Based on the definition of “day” as “calendar day” (5 CFR 210.102 and 752.402), OPM 

has determined that 22 workdays equate to 30 calendar days for adverse action purposes for 

employees. Thus, a discontinuous furlough of 22 workdays or less would be covered by 

adverse action procedures, and one of more than 22 workdays would be covered by the RIF 

procedures of 5 CFR part 351. (If a holiday is included in a furlough of 22 consecutive

workdays, the furlough might equate to more than 30 calendar days. For example, the month 

of November has two holidays: Veterans Day and Thanksgiving Day. Therefore, the number 

of calendar days will be extended beyond 30 by two days.) 

4. What procedural rights would apply for an administrative furlough of 30 calendar days 

or less for employees covered under 5 CFR part 752? 

A. For a short furlough of a covered employee, the law (5 U.S.C. 7513) gives a covered 

employee the following rights: 

 At least 30 calendar days advance written notice by the agency stating the specific reasons 

for the proposed action. (Typically, the reasons for the action would involve a lack of 

work or funds.) The 30 calendar day period begins upon an employee’s receipt of the 

written notice. Therefore, agencies should plan accordingly to allow time for mailing the 

notice when hand-delivery is not possible. (See Sample Notice 1 for proposal to furlough 

and Sample Notice 2 for decision to furlough.) 

 At least seven calendar days for the employee to answer orally and in writing to the 

104 DCMA Administrative Record for FY 2013 Furlough Appeals
24 

proposal notice and to furnish documentary evidence in support of his or her answer. (A 

summary of any oral answer must be made and maintained by the agency.) 

 The right of the employee to be represented by an attorney or other representative. 

 A written decision by the agency with the specific reasons for its action at the earliest 

time practicable. 

 The right to appeal the agency’s action to the Merit Systems Protection Board. 

In addition, OPM’s regulations (5 CFR 752.404) require that the agency inform the employee 

of the right to review the material it relied on to support the reasons for its action. The 

agency must designate an oral reply official who can either make or recommend a decision, 

and must issue its decision at or before the effective date of the action. The regulations 

(5 CFR 752.405) also provide that where applicable, the affected employee may elect to 

grieve under a negotiated grievance procedure (NGP) or appeal to the Merit Systems 

Protection Board, but not both. 

Note: Under 5 CFR 752.404(b)(2), if the agency is furloughing some, but not all, employees 

in a competitive level, the notice of proposal must state the basis for selecting the particular 

employee as well as the reasons for the furlough. Agencies who anticipate furloughing some, 

but not all employees, should ensure the accuracy of established competitive levels in order 

to meet their obligations under this regulation. In general, the term competitive level refers to 

positions at the same grade level and classification series, the duties of which are 

interchangeable (see 5 CFR 351.403(a)). Where bargaining unit employees are concerned, 

additional procedural rights may be provided by their negotiated agreement. 

Adverse action procedures in 5 CFR part 752, subpart F, covering Senior Executive Service 

(SES) career appointees and certain SES limited term or emergency employees do not apply 

to short furloughs because those procedures provide only for removal from the civil service 

or suspension for more than 14 days based upon misconduct, neglect of duty, malfeasance or 

failure to accept a directed reassignment or to accompany a position in a transfer of function. 

 

4a. What supporting material must be made available for review by employees to support 

an administrative furlough action as required under 5 CFR 752.404? 

A. Since decisions on whether to conduct an administrative furlough and the length of any 

furlough are based on each agency’s unique circumstances, each agency would need to 

identify the appropriate documentation that supports its own particular reasons for any 

administrative furlough action. Because the reasons and methods to furlough may vary from 

agency to agency, (e.g. downsizing, reduced funding, lack of work, or any other budget 

situation) supporting documentation may also vary. 

While it is the responsibility of each agency to make an independent determination of 

supporting documentation for any administrative furlough action due to sequestration, 

potential general documentation related to sequestration could include, but is not limited to: 

105 DCMA Administrative Record for FY 2013 Furlough Appeals
25

1) Balanced Budget and Emergency Deficit Control Act of 1985 

2) Budget Control Act of 2011 - http://www.gpo.gov/fdsys/pkg/BILLS112s365enr/pdf/BILLS-112s365enr.pdf,

3) American Taxpayer Relief Act - http://www.gpo.gov/fdsys/pkg/BILLS112hr8enr/pdf/BILLS-112hr8enr.pdf, 

4) OMB Memorandum M-13-03, “Planning for Uncertainty with Respect to Fiscal Year 

2013 Budgetary Resources,” dated January 14, 2013 - 

http://www.whitehouse.gov/sites/default/files/omb/memoranda/2013/m-13-03.pdf, 

5) OMB Memorandum M-13-05, “Agency Responsibilities for Implementation of 

Potential Joint Committee Sequestration,” dated February 27, 2013 - 

http://www.whitehouse.gov/sites/default/files/omb/memoranda/2013/m-13-05.pdf, 

and

6) OMB Report to the Congress on the Joint Committee Sequestration for Fiscal Year 

2013, dated March 1, 2013 - 

http://www.whitehouse.gov/sites/default/files/omb/assets/legislative_reports/fy13omb

jcsequestrationreport.pdf

4b. What procedural rights apply to employees who are veterans covered under 5 U.S.C. 

chapter 75 and 5 CFR part 752 for an administrative furlough of 30 calendar days or 

less? 

A. For a short furlough of a covered veteran employee, the law (5 U.S.C. 7513) gives a 

covered veteran employee the same procedural rights as other covered employees as 

explained in Question M.4. Employees should consult with their agency human resources 

office to determine whether they are covered by 5 U.S.C. 7513 and what procedures may 

apply to them. 

5. What procedures are applicable to members of the Senior Executive Service affected by 

an administrative furlough of 30 calendar days or less? 

A. Under SES furlough regulations at 5 CFR part 359, subpart H, an agency need not use 

competitive procedures in selecting SES appointees to be furloughed for 30 calendar days or 

less, or for 22 workdays or less if the furlough does not cover consecutive days; however, the 

agency must provide career SES appointees (other than reemployed annuitants) a 30-day 

advance written notice of a furlough of any length. The written notice must tell the appointee 

the reason for the furlough; the expected duration of the furlough and the effective dates; the 

basis for selecting the appointee when some but not all SES appointees in a given 

organizational unit are being furloughed; the location where the appointee may inspect the 

regulations and records pertinent to the action; the reason, if the notice period is less than 30 

calendar days; and the appointee’s appeal rights to the Merit Systems Protection Board. For a 

probationer, the notice should also explain the effect (if any) on the duration of the 

probationary period. However, the full notice period may be shortened, or waived, in the 

event of unforeseeable circumstances, such as sudden emergencies requiring immediate 

curtailment of activities. This regulation does not require that appointees be afforded an 

106 DCMA Administrative Record for FY 2013 Furlough Appeals
26

opportunity to respond or that agencies issue a separate decision notice. A career appointee 

(other than a reemployed annuitant) who has been furloughed and believes 5 CFR part 359, 

subpart H, or the agency’s procedures have not been correctly applied may appeal to the 

Merit Systems Protection Board under provisions of the Board’s regulations. 

SES noncareer, limited term and limited emergency appointees and reemployed annuitants 

holding career SES appointments are not covered by 5 CFR part 359, subpart H, and may be 

furloughed under agency designated procedures, which need not include a 30-day advance 

written notice, an opportunity to respond, or a separate decision notice. 

6. What procedures and appeal rights are applicable for probationers, employees under 

temporary appointments in the competitive service, employees who are nonpreference 

eligible employees in the excepted service with less than 2 years of continuous service, 

Schedule C employees, and others not covered by 5 U.S.C. chapter 75 but also affected 

by an administrative furlough? 

A. There are no mandatory procedures; however, agencies should ensure that all 

administrative procedures required by negotiated agreements or internal personnel policies 

are followed, subject to any exceptions to those procedures that would apply in the event of 

an administrative furlough. 

6a. What if an agency initiates an administrative furlough for a probationer, but the 

individual satisfactorily completes their probationary period before furlough days are 

taken or completed?

A. Once a probationer satisfactorily completes the required probationary period and meets 

the definition of “employee” under 5 U.S.C. 7511, the employee is entitled to the same 

procedural rights as other covered employees as explained in Question M.4. 

Before any furlough days are taken after the individual has become an “employee” under 

5 U.S.C. 7511, the agency should provide: at least 30 calendar days advance written notice; 

at least 7 calendar days for the employee answer orally and in writing; the right of the 

employee to be represented by an attorney or other representative; a written decision; and the 

right of the employee to appeal the agency’s action to the Merit System Protection Board. 

See Question M.4. for additional information on these procedural rights. 

7. How do agencies implement an administrative furlough for administrative law judges? 

A. 5 U.S.C. 7521 provides that adverse action furloughs of 30 calendar days or less may be 

taken against an administrative law judge “only for good cause established and determined by 

the Merit Systems Protection Board on the record after opportunity for hearing before the 

Board.” The Merit Systems Protection Board has adopted procedures for implementing such 

an action, which are described in 5 CFR 1201.137-141. 

8. How should the decision letter for an administrative furlough be framed if the agency 

107 DCMA Administrative Record for FY 2013 Furlough Appeals
27

has not set a specific number of furlough days? 

A. While it is desirable when possible to inform the affected employee of a specific number 

of furlough days in the decision letter, the agency needs only to set out the maximum time 

that may be involved, so employees have as much information as possible. 

9. If an employee decides to challenge a discontinuous administrative furlough, from what 

point would the time for appeal to the Merit Systems Protection Board run? 

A. Employees must file an appeal within 30 days after the effective date of their first furlough 

day, or 30 days after the date of their receipt of the decision notice, whichever is later. 

10. May an agency provide an employee electronic notice of a furlough action? 

A. Agencies that issue furlough notices should consult with their respective General 

Counsels to ensure each step of the process is consistent with regulatory and legal 

requirements. If an agency determines to electronically notify affected employees of a 

furlough action, OPM recommends that the agency include each employee’s name, address, 

and/or e-mail address on both the proposal and decision notifications so that it is clear that an 

employee is receiving personal notification. Agencies should also consider including in the 

body of the electronic correspondence, the requirement that the employee provide an email 

acknowledgement of receipt. If an agency doesn’t receive a requested acknowledgement of 

receipt of an e-mail notification, it should consider delivering a paper copy of the proposal 

and/or decision notifications to the employee at his or her home address by registered mail 

with a return receipt requested. Similarly, agencies must deliver hard copy furlough notices 

to those employees without agency email access. 

Additionally, OPM recommends that agencies consider informing employees in advance of 

when and how the furlough notices will be issued and providing a contact person who can 

confirm whether or not an employee is subject to the furlough and answer questions. 

Finally, agencies with bargaining unit employees are reminded that they must provide notice 

and opportunity to bargain over negotiable procedures and appropriate arrangements to any 

unions representing their employees. 

11. What are an agency’s regulatory obligations in providing an appellant the Merit 

Systems Protection Board (MSPB) appeal information in the adverse action furlough 

decision notice? 

A. As summarized in the April 11, 2013, Federal Register 

(http://www.gpo.gov/fdsys/pkg/FR-2013-04-11/pdf/2013-08503.pdf) an agency must satisfy 

the obligation to provide a copy of the MSPB appeal form when issuing a decision notice. 

Providing this MSPB appeal hyperlink form electronically (https://e-appeal.mspb.gov/) will 

typically satisfy the requirement of ensuring that employees subject to a decision appealable 

to MSPB will have effective access to the MSPB regulations and appeal form. However, if 

108 DCMA Administrative Record for FY 2013 Furlough Appeals
28 

the employee informs the agency that he or she lacks Internet access, the agency is required to 

take steps to ensure that the employee has actual access to the MSPB’s regulations and the 

appeal form, including providing the employee with a hard copy of these documents upon the 

employee’s request. See Sample Notice 2 for sample decision notice language. 

N. Procedures—More than 22 Workdays (Extended Furlough) 

1. When is an agency required to use reduction in force (RIF) procedures to 

administratively furlough employees? 

 

A. Agencies must follow RIF procedures for an extended furlough of more than 30 

continuous calendar days, or of more than 22 discontinuous workdays (though, importantly, a 

furlough is a temporary placement in non-pay/non-duty status; it is not a permanent 

separation from service). 

2. Is there a maximum period an employee may be administratively furloughed for an 

extended period? 

A. Yes. An employee may be placed on an extended furlough only when the agency plans to 

recall the employee to his or her position within 1 year. Therefore, the furlough may not 

exceed 1 year. 

3. If an agency needs to administratively furlough employees for more than 30 calendar 

days (or more than 22 workdays), must the complete 5 CFR part 351 procedures be 

followed? 

A. Yes. The complete procedures in 5 CFR part 351 must be followed, including a 

minimum 60 days specific written notice of the furlough action. (Question 16 has additional 

information on notice requirements.) The only exception to the regular procedures involves 

assignment rights (i.e., “bump” and “retreat” rights; see question 4).

4. When does an employee who is reached for an extended furlough action during an 

administrative furlough have a right of assignment to another position? 

A. An employee reached for release from the competitive level because of an extended 

furlough has assignment rights to other positions on the same basis as an employee reached 

for release as a result of other RIF actions (e.g., separation or downgrading). 

Because of the requirement in 5 CFR 351.701(a) that assignment rights apply only to 

positions lasting at least 3 months, an employee reached for an extended continuous furlough 

does not have assignment rights to a position held by another employee who is not affected 

by the furlough unless the furlough extends for 90 or more consecutive days. Also, an 

employee reached for a discontinuous extended furlough action does not have assignment 

rights to another position. 

109 DCMA Administrative Record for FY 2013 Furlough Appeals
29

The undue interruption standard could apply to an extended furlough over 90 consecutive 

days. (As defined in 5 CFR 351.203, “undue interruption” essentially means that a higherstanding employee who is otherwise qualified for the assignment may exercise the 

assignment right only if the employee is able to perform the work of the position of the 

lower-standing employee within 90 days of the assignment.) The agency must consider 

whether undue interruption would result from both (1) the displacement of a lower-standing 

employee from the competitive level affected by the furlough, and (2) the recall of both 

employees to their official positions at the end of the furlough period. 

5. Are there any other situations in which agencies may restrict employees’ assignment 

rights in an administrative furlough situation? 

A. An agency may make a temporary exception to order of release and assignment rights to 

keep the incumbent in his or her position for 90 days or less after the commencement of the 

furlough when needed to continue an activity without undue interruption. (For additional 

reasons that a temporary exception may be used, see 5 CFR 351.608(a).) 

An agency may make a continuing exception to order of release and assignment rights to 

keep the incumbent in a position that no higher standing employee can take over within 90 

days and without undue interruption to the activity. (See 5 CFR 351.607.) 

6. Some employees within a competitive area are paid from appropriated funds. Some are 

paid from a variety of other funding sources, such as trust funds, working capital, user 

fees, etc. Are employees who are paid from these other sources exempt from an 

administrative furlough and the 5 CFR part 351 process? 

A. Regardless of the source from which an employee is paid, each employee within a 

competitive area would be subject to displacement by higher standing employees within the 

same competitive area. 

7. If a program, project, or activity (PPA) takes other actions to obviate or lessen the need 

for an extended administrative furlough, how will the employees in the PPA be affected 

by the process? 

A. Even though their positions are not subject to furlough, the employees in the PPA would 

be subject to displacement by higher standing employees in other PPAs within the 

competitive area. 

8. What action is taken if an employee refuses an offer of assignment during an 

administrative furlough? 

A. The employee is furloughed from his or her position. 

110 DCMA Administrative Record for FY 2013 Furlough Appeals
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9. If an employee bumps or retreats to a different job as a result of an administrative 

furlough, is the employee temporarily assigned to that job? 

A. No. The employee becomes the incumbent of that job even though the furlough 

anticipates the employee’s eventual recall to his or her former job. 

10. If circumstances change and the agency is unable to recall administratively furloughed 

employees at the point specified in their extended furlough notice, what additional 

action is required? 

A. In this situation, the agency must issue those employees new notices of either an extended 

furlough or proposed RIF separation, as the situation requires. This new action must meet all 

the requirements in the 5 CFR part 351 regulations (for example, 60 days advance notice). 

11. Do these requirements also apply if an agency finds that it can recall employees before 

they have reached the administrative furlough limits specified in their notice? 

A. No. 

12. Are employees who are appointed by the President with Senate confirmation (PAS), 

Schedule C employees, and members of the Senior Executive Service (SES) covered by 

extended furlough procedures of 5 CFR part 351 during an administrative furlough? 

A. Extended furlough procedures of 5 CFR part 351 do not apply to an employee who is a 

member of the Senior Executive Service or to an employee whose appointment is required by 

Congress to be confirmed by, or made with the advice and consent of the Senate, except a 

postmaster. All Schedule C employees are covered by part 351 except those under 

appointments of 1 year or less who have less than 1 year of service. 

13. What procedures are applicable to members of the Senior Executive Service (SES) 

affected by an administrative furlough of more than 30 calendar days, or more than 22 

discontinuous workdays? 

A. Career SES members (other than reemployed annuitants) are covered by separate furlough 

procedures in 5 CFR part 359, subpart H, which provide that an agency must use competitive 

procedures in selecting SES career appointees for furloughs of more than 30 calendar days, or 

for more than 22 workdays if the furlough does not cover consecutive calendar days. SES 

regulations at 5 CFR part 359, subpart F, do not apply, but agencies may use the same 

competitive procedures they have established for SES RIF. Any competitive procedures used 

must be made known to the SES members. These career appointees are entitled to a 30-day 

advance written notice of a furlough, which must tell the appointee the reason for the 

furlough; the expected duration of the furlough and the effective dates; the basis for selecting 

the appointee when some but not all SES appointees in a given organizational unit are being 

furloughed; the location where the appointee may inspect the regulations and records 

pertinent to the action; the reason, if the notice period is less than 30 calendar days; and the 

111 DCMA Administrative Record for FY 2013 Furlough Appeals
31

appointee’s appeal rights to the Merit Systems Protection Board. For a probationer, the 

notice should also explain the effect (if any) on the duration of the probationary period. 

However, the full notice period may be shortened, or waived, in the event of unforeseeable 

circumstances, such as sudden emergencies requiring immediate curtailment of activities. 

(See, for example, http://www.opm.gov/policy-data-oversight/pay-leave/furloughguidance/#url=Shutdown-Furlough for information on shutdown furloughs.) This regulation 

does not require that appointees be afforded an opportunity to respond or that agencies issue a 

separate decision notice. A career appointee (other than a reemployed annuitant) who has 

been furloughed and believes 5 CFR part 359, subpart H, or the agency’s procedures have not 

been correctly applied may appeal to the Merit Systems Protection Board under provisions of 

the Board’s regulations. 

SES noncareer, limited term and limited emergency appointees and reemployed annuitants 

holding career SES appointments are not covered by 5 CFR part 359, subpart H, and may be 

furloughed under agency designated procedures, which need not include a 30-day advance 

written notice, an opportunity to respond, or a separate decision notice. 

14. What happens to temporary employees serving under appointments limited to 1 year or 

less in extended administrative furlough situations? 

A. An agency may not retain a temporary employee in pay status to furlough a competing 

employee in the same competitive level. Temporary employees may be either separated or 

furloughed in such situations, but they are not entitled to the protections of adverse actions or 

5 CFR part 351 procedures when this occurs. As a matter of good human resources 

management, however, the agency should try to give these employees as much advance 

written notice as possible. 

Time spent in furlough status by temporary employees counts the same as time in a pay status 

toward their appointment’s not-to-exceed date and the 2-year limit on their overall service 

specified in 5 CFR 316.401(c). 

15. How do agencies administratively furlough administrative law judges for more than 30 

calendar days (or more than 22 workdays)? 

A. Administrative law judges are subject to the procedures in 5 CFR part 351. However, 

since judges are not given performance ratings, the provisions dealing with the effect of 

performance ratings on retention standing would not apply. 

16. What notice must an agency provide an employee of an extended administrative 

furlough action? 

A. An agency must give an employee covered by 5 CFR part 351 a minimum 60-day specific 

written notice before the effective date of any action, including furlough. The statutory basis 

for the notice requirements is found in 5 U.S.C. 3502(d). The notice requirements are further 

implemented through regulations published in 5 CFR part 351, subpart H. 

112 DCMA Administrative Record for FY 2013 Furlough Appeals
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The same notice requirements are applicable to both a continuous and a discontinuous 

furlough. 

17. What option is available if an agency is unable to provide an employee with the 

minimum required notice of an extended administrative furlough? 

A. When the action is caused by unforeseeable circumstance, an agency may request OPM to 

authorize a notice period of less than 60 days. However, the agency must still provide each 

employee with a minimum of 30 calendar days specific written notice of the action. (See 5 

U.S.C. 3502(e) and 5 CFR 351.801(b).) 

18. Section 351.806 of 5 CFR states that during the notice period when, “in an emergency 

the agency lacks work or funds for all or part of the notice period, it may place the 

employee . . . in a nonpay status without his or her consent.” If an agency is unable to 

give 60 calendar days notice in an emergency (or longer period if required by 

administrative or negotiated provisions), may an agency use 5 CFR 351.806 to place 

employees on administrative furlough before the notice period is satisfied? 

A. Yes. 

19. Is the agency required (or permitted) to register employees administratively furloughed 

under 5 CFR part 351 in the agency’s Reemployment Priority List, or is the employee 

eligible for priority consideration under placement programs such as Career Transition 

Assistance Program or the Interagency Career Transition Assistance Program? 

A. No. All of these programs are available only to employees who are separated, not to 

employees who are furloughed. 

20. During an administrative furlough, competitive service employees may appeal the 

action to the Merit Systems Protection Board (MSPB). What about excepted service 

employees? 

A. Excepted service employees, as well as competitive service employees, who are covered 

by 5 CFR part 351 may appeal or grieve as follows: An employee covered by a negotiated 

grievance procedure that does not exclude 5 CFR part 351 actions must use the negotiated 

grievance procedure. See 5 U.S.C. § 7121, et seq. Otherwise, an employee may appeal to 

MSPB. See 5 CFR 351.202, 351.901, and 1201.3(c). 

113 DCMA Administrative Record for FY 2013 Furlough Appeals
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21. What if an agency plans for and gives notice of an administrative furlough of 22 

workdays or less, but then determines that another furlough is necessary for different 

reasons? Must the agency use 5 CFR part 351 furlough procedures if it determines that 

an additional furlough is necessary when the additional furlough follows a 22 workday 

or less furlough? 

A. If an agency’s initial assessment resulted in a furlough of 22 workdays or less, OPM 

recommends that the agency complete that furlough and then issue new furlough notices 

under either 5 CFR part 752 or 5 CFR part 351, as appropriate depending on the length of the 

newly required furlough, in the event it determines that additional savings are necessary for 

different reasons. 

O. Labor Management Relations Implications 

1. When an agency is required to effect an administrative furlough, what is the agency’s 

obligation to bargain? 

A. The decisions whether to furlough employees and which activities to except from a 

furlough are management rights that are not subject to bargaining. See 5 U.S.C. 7106(a). 

However, when an agency determines that an administrative furlough is necessary, agencies 

have a duty to notify their exclusive representatives, if any, prior to initiating and 

implementing any furlough actions. Upon request, agencies must bargain over any negotiable 

impact and implementation proposals the union may submit, unless the matter of furloughs is 

already covered by a collective bargaining agreement. 

Agencies should be aware that their collective bargaining agreements may also contain 

provisions with respect to the time frame within which to provide the labor organization 

notice of a change in conditions of employment. It is advisable to check the agency’s 

individual labor agreements for applicable notice provisions, and for agencies to comply with 

those provisions. 

Agency contracts may also contain provisions regarding adverse actions and reductions in 

force (RIF) with which agencies must comply in giving notice to bargaining unit employees 

of pending furloughs. It is advisable to check the agency’s individual labor agreements for 

applicable adverse action and reduction in force notice provisions, and to comply with those 

provisions.

However, in the event that agencies are required to absorb unexpected substantial budget cuts 

during a short-term continuing resolution or because of the limited time remaining in the 

fiscal year to absorb these unexpected budget cuts, then agencies might be required to 

furlough without delay because the cuts must be absorbed during the term of the continuing 

resolution or remainder of the fiscal year and cannot be deferred until later in the year or into 

a new budget year. In this event, OPM regulation 5 CFR 752.404(d)(2) states that written 

notice of furlough to individual employees and opportunity to be heard are not required 

because of unforeseeable circumstances. Unforeseeable circumstances could include 

114 DCMA Administrative Record for FY 2013 Furlough Appeals
34

unexpected cuts by the Congress to an agency’s budget late in the fiscal year. This regulation 

does not apply to the statutory requirement that agencies provide appropriate notice to labor 

organizations of changes in conditions of employment. 

1a. Must agencies complete collective bargaining prior to issuing any furlough notices to 

bargaining unit employees? 

A. To the extent required by law, agencies must satisfy applicable collective bargaining 

obligations prior to issuing any furlough notices to bargaining unit employees. Issuance of a 

furlough notice itself has been found to constitute a change in employees’ conditions of 

employment, which means that unless the matter is already “covered by” a collective 

bargaining agreement, an agency must provide a union with advance notice of the proposed 

change (e.g. furlough notices being sent to employees) and an opportunity to bargain over any 

aspects of the change that are negotiable. 

2. May an agency effect an administrative furlough for employees in a bargaining unit 

before negotiations are completed?

A. If the parties bargain to impasse and the union does not invoke the services of the Federal 

Service Impasses Panel in a timely manner, the agency may furlough employees without 

further delay provided the agency gives the union adequate notice of its intent to implement 

its last bargaining offer on a specific date. If the union invokes the services of the Federal 

Service Impasses Panel by that date, the agency may not furlough employees unless it can 

show it is necessary to do so without further delay. 

Agencies required to absorb substantial budget cuts during a short term continuing resolution 

or because of the limited time remaining in the fiscal year to absorb those cuts might be 

required to furlough without further delay because the budget cuts must be absorbed during 

the term of the continuing resolution or the current fiscal year and cannot be deferred until 

later in the year or into a new budget year. However, in the case of cuts that can be absorbed 

over the course of the fiscal year, it would be difficult to demonstrate that the furloughs could 

not be delayed pending resolution of the bargaining impasses. If bargaining is not completed 

and the agency must furlough employees, the agency should continue to bargain and, if 

possible, implement any agreement retroactively. We caution agencies that this should be a 

last resort approach. All attempts should be made to complete the collective bargaining 

process first, if possible. 

115 DCMA Administrative Record for FY 2013 Furlough Appeals
35

3. While no decision has been made to administratively furlough employees, our union has 

submitted a midterm bargaining request on furlough procedures regarding any 

possible future administrative furlough. Our collective bargaining agreement is silent 

on furlough procedures and the union is invoking its right to initiate mid-term 

bargaining on matters not covered by the agreement. Do we have an obligation to 

bargain when no decision has been made to furlough employees? 

A. Even though no decision has been made to furlough employees, it is possible you have a 

duty to bargain regarding the union initiated mid-term bargaining request, assuming the 

matter is not already covered by your collective bargaining agreement. The law requires an 

agency to bargain during the term of a collective bargaining agreement on negotiable unioninitiated proposals concerning matters that are not expressly contained in, or otherwise 

covered by, the collective bargaining agreement, unless the union has waived its right to 

bargain about the subject matter involved. With this in mind, you will have to evaluate the 

circumstances of your situation to determine whether you have a duty to bargain on furlough 

procedures. 

4. Along with a bargaining request on furloughs, our union has submitted an information 

request under 5 U.S.C. 7114 seeking information such as the agency administrative 

furlough plan and a list of employees expected to be furloughed, and whether or not the 

furloughs are planned to be continuous or discontinuous. Do we have to provide this 

information? 

A. It depends. An agency is required to provide data that is normally maintained, reasonably 

available, and necessary to perform the representational duties of a union. A union 

requesting information must establish a particularized need for the information by 

articulating, with specificity, why it needs the requested information, including the uses to 

which the union will put the information and the connection between those uses and the 

union’s representational responsibilities under the statute. The union must establish that the 

requested information is required in order for the union to adequately represent its members. 

An agency denying a request for information must assert and establish any countervailing 

anti-disclosure interests. An agency may not satisfy its burden by making conclusory or bare 

assertions; its burden extends beyond simply saying “no.” With this in mind, you will have 

to evaluate the circumstances of your situation to determine whether you should provide the 

requested information. 

5. If a bargaining unit employee decides to challenge a discontinuous administrative 

furlough, what is the timeframe for the employee to file a grievance under the 

negotiated grievance procedure (NGP)? 

A. The time limits and other procedures applicable to bargaining unit employees are spelled 

out in applicable provisions of negotiated agreements. 

116 DCMA Administrative Record for FY 2013 Furlough Appeals
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6. May a manager or supervisor have a meeting with employees in a bargaining unit to 

discuss an administrative furlough without a union representative present? 

A. The law grants a union the right to be represented at certain meetings between managers 

and one or more bargaining unit employees if the meeting concerns issues such as 

personnel policies or practices or other general conditions of employment. Under the 

law, this meeting is referred to as a “formal discussion.” With this in mind, you will have 

to evaluate the circumstances of your situation to determine whether the meeting 

constitutes a formal discussion. If you have determined the meeting is a formal 

discussion, advance notice of the meeting must be provided to the union. See 5 U.S.C. 

7114(a)(2)(A). 

P. Travel 

1. Must agencies cover travel expenses during a furlough day, if an employee’s travel 

status requires his/her stay to include that furlough day? 

A. Yes. Agencies must provide per diem or actual expenses to employees whose travel 

status requires a stay that includes a furlough day. 

2. Can an employee be engaged in official travel during furlough hours? 

A. No. By statutory definition in 5 U.S.C. 7511(a)(5), a furlough under 5 U.S.C. chapter 75 

can apply only when an employee is “without duties.” Official travel is a duty within the 

meaning of the term “duties” in 5 U.S.C. 7511(a)(5). Thus, even if the official travel does 

not qualify as compensable hours of work, the scheduling of official travel would 

automatically cancel furlough status during affected hours—just as would the scheduling of 

work. (See Question A.4. regarding when employees are in furlough status—i.e., only during 

designated hours within the employee’s tour of duty established for leave usage purposes.) 

Note: As used in Questions P.2.-P.6., “official travel” refers to actual time spent traveling on 

officially authorized Government business and does not include time spent between travel 

trips at a temporary location away from the employee’s official duty station. 

3. If official travel cancels furlough status during affected hours, how are those travel 

hours treated? 

A. For days other than holidays, official travel during previously designated furlough hours 

would be considered compensable hours of work, since those furlough hours would have 

been within the employee’s regularly scheduled administrative workweek. Any official travel 

within an employee’s regularly scheduled administrative workweek qualifies as compensable 

hours of work under 5 U.S.C. 5542(b)(2)(A). 

Under certain conditions, an employee may be legitimately scheduled to be furloughed on a 

holiday (during holiday hours within the employee’s normal tour of duty). (See Section F.) 

In the case of holidays, official travel during previously designated furlough hours would be 

117 DCMA Administrative Record for FY 2013 Furlough Appeals
37 

compensated by either holiday premium pay or holiday time off pay. If the travel time 

qualifies as work under 5 U.S.C. 5542(b)(2)(B), the employee would be entitled to holiday 

premium pay for those travel hours under 5 U.S.C. 5546(b). If the travel time does not 

qualify as work under 5 U.S.C. 5542(b)(2)(B), the employee would be entitled to holiday 

time off pay for those travel hours. 

4. Can official travel hours outside the employee’s basic workweek that are compensable 

hours of work be substituted and paid at a basic rate under the LWOP substitution 

rule? 

A. Yes. Travel time outside the basic workweek that qualifies as work (i.e., meets one of 

conditions in 5 U.S.C. 5542(b)(2)(B)) is covered by the LWOP substitution rule in 5 CFR 

550.112(d), just like any other period of work. (See Questions D.4. and D.5.) 

5. Can official travel hours outside the employee’s basic workweek for which an employee 

earns compensatory time off for travel be substituted and paid at a basic rate under the 

LWOP substitution rule? 

A. No. Hours that are credited under the compensatory time off for travel provision in 

5 U.S.C. 5550b and 5 CFR part 550, subpart N, are hours that are not otherwise compensable 

under title 5. The LWOP substitution rule in 5 CFR 550.112(d) applies to a period of 

qualifying work—that is, service that would qualify as work for the purpose of applying 

overtime thresholds and would generate compensation. 

6. Can an employee earn compensatory time off for travel for official travel time during 

furlough hours? 

A. No. As explained in Question P.2., official travel would cancel the employee’s furlough 

status. As explained in Question P.3., official travel during previously designated furlough 

hours would be compensable under the normal pay rules. Since the official travel hours 

would already be compensable, the employee could not earn compensatory time off for travel 

for those hours. (Under 5 U.S.C. 5550b, an employee may earn compensatory time off for 

travel for a period of time only if that period of time is not otherwise compensable.) 

7. Can an employee use compensatory time off for travel during furlough hours? 

A. No. No paid time off may be used during furlough hours. Under 5 U.S.C. 7511(a)(5), the 

term “furlough” is defined as a period during which an employee is without duties and pay. 

Use of compensatory time off for travel results in pay and thus is inconsistent with furlough 

status. (See Question E.1.) 

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38

Q. Foreign Area Allowances, Differentials, and Danger Pay 

1. Do administrative furloughs interrupt or reduce civilian Living Quarters Allowances 

(LQA) or a Post Cost of Living Allowances (COLA)? 

A. An administrative furlough doesn’t interrupt Post COLA if the nonpay status period, 

including periods outside the employee’s regular tour of duty (e.g., weekends), does not 

exceed 14 consecutive calendar days. If an employee is in furlough status that results in a 

continuous nonpay status period that exceeds 14 consecutive calendar days, then the Post 

COLA is interrupted for the duration of the furlough status. (Source: 

http://aoprals.state.gov/content.asp?content_id=231&menu_id=92, DSSR 051.2) LQA 

continues without interruption while the employee is in nonpay status not in excess of 30 

consecutive calendar days at any one time. For periods in nonpay status longer than 30 

consecutive calendar days, LQA payment shall be suspended as of the day the employee 

enters such status, and payment is not to be made for any part of such period. (Source: 

http://aoprals.state.gov/content.asp?content_id=231&menu_id=92, DSSR 051.2 and DSSR 

132.2b(2)) 

2. Do administrative furloughs interrupt Danger Pay or Post Hardship Differentials for 

civilians stationed at a those posts? Do they impact differential eligibility for TDY 

employees at such posts? 

A. Yes. Employees do not receive Danger Pay or Post Hardship Differential for any 

furlough days. (Source: http://aoprals.state.gov/content.asp?content_id=231&menu_id=92,

DSSR 052.2) 

Furlough days do not count toward differential eligibility for TDY employees. (Source: 

http://aoprals.state.gov/content.asp?content_id=231&menu_id=92, DSSR 052.2 and DSSR 

541) 

3. Do administrative furloughs interrupt Difficult-To-Staff Incentive Differentials (SND) 

for civilians stationed at a those posts? 

A. No. Length of furlough does not affect SND eligibility. This benefit is based on 

continuing presence at post. (Source: 

http://aoprals.state.gov/content.asp?content_id=231&menu_id=92, DSSR 1020) 

4. Do administrative furloughs interrupt evacuation payments/Subsistence Expense 

Allowances (SEAs) for civilians evacuated and working from safehavens? 

A. An administrative furlough doesn’t interrupt an SEA if the nonpay status period, 

including periods outside the employee’s regular tour of duty (e.g., weekends), does not 

exceed 14 consecutive calendar days. If an employee is in furlough status that results in a 

continuous nonpay status period that exceeds 14 consecutive calendar days, then the SEA is 

interrupted for the duration of the furlough status. (Source: 

119 DCMA Administrative Record for FY 2013 Furlough Appeals
39

http://aoprals.state.gov/content.asp?content_id=231&menu_id=92, DSSR 051.2) 

5. I have transferred back to Washington, DC, from a foreign post and am using the 

subsistence expense portion of the Home Service Transfer Allowance. Do 

administrative furloughs interrupt my eligibility for reimbursement? 

A. An administrative furlough doesn’t interrupt an HSTA if the nonpay status period, 

including periods outside the employee’s regular tour of duty (e.g., weekends), does not 

exceed 14 consecutive calendar days. If an employee is in furlough status that results in a 

continuous nonpay status period that exceeds 14 consecutive calendar days, then the HSTA is 

interrupted for the duration of the furlough status. (Source: 

http://aoprals.state.gov/content.asp?content_id=231&menu_id=92, DSSR 051.2) 

6. I am transferring from Washington, DC, to Pakistan. I’ve been authorized the predeparture subsistence expense portion of the Foreign Transfer Allowance. Do 

administrative furloughs interrupt my eligibility for reimbursement? 

A. An administrative furlough doesn’t interrupt an FTA if the nonpay status period, 

including periods outside the employee’s regular tour of duty (e.g., weekends), does not 

exceed 14 consecutive calendar days. If an employee is in furlough status that results in a 

continuous nonpay status period that exceeds 14 consecutive calendar days, then the FTA are 

interrupted for the duration of the furlough status. (Source: 

http://aoprals.state.gov/content.asp?content_id=231&menu_id=92, DSSR 051.2) 

7. I am stationed at a foreign post and my family is on Separate Maintenance Allowance 

(SMA) in the United States. Do administrative furloughs interrupt the SMA? 

A. An administrative furlough doesn’t interrupt an SMA if the nonpay status period, 

including periods outside the employee’s regular tour of duty (e.g., weekends), does not 

exceed 14 consecutive calendar days. If an employee is in furlough status that results in a 

continuous nonpay status period that exceeds 14 consecutive calendar days, then the SMA is 

interrupted for the duration of the furlough status. (Source: 

http://aoprals.state.gov/content.asp?content_id=231&menu_id=92, DSSR 051.2) 

120 DCMA Administrative Record for FY 2013 Furlough Appeals
40

R. VERA/VSIP 

1. Can agencies offer early retirements (VERAs) or separation incentives (VSIPs) to 

furloughed employees? Can VERA/VSIP be offered during sequestration? Can 

VERA/VSIP be offered in lieu of a furlough? 

A. Both Voluntary Early Retirement Authority (VERA) and Voluntary Separation Incentive 

Payments (VSIP) are programs to incentivize voluntary separations to avoid involuntary 

personnel actions associated with an agency’s decision to restructure its workforce. Agencies 

with OPM-approved VERA and or VSIP may continue offering these options to covered 

employees during a furlough. 

VERA and VSIP result in permanent separations from the agency workforce. (Please note 

that VSIP recipients may not be reemployed by the Federal Government within 5 years unless 

they repay the VSIP to the agency that paid it.) Furloughs are associated with temporary 

issues, such as lack of work or funds, with the intention that employees would return to their 

jobs after the furlough. The agency would decide which option to take based on its situation, 

e.g., the need to permanently reduce or restructure its workforce or to save funds by 

furloughing employees. 

S. Federal Employees Health Benefits Program 

1. If an employee is furloughed, does their FEHB coverage continue or terminate? 

A. The employee’s FEHB coverage will continue if the employee’s salary is sufficient to pay 

the premiums. If pay becomes insufficient to cover premiums, an employee that has FEHB 

coverage and participates in premium conversion (paying his or her share of FEHB premiums 

on a pre-tax basis) has several options available. 

If the furlough results in pay for a regular pay period to be insufficient for the employee’s 

employing office to withhold the employee’s share of premium from that pay (after the 

agency applies all deductions in accordance with the required order of precedence, see 

Question D.1.), the employing office must notify the employee and give the employee an 

opportunity to elect to either continue or terminate FEHB coverage. If the employee does not 

respond to this notice within the time for response, the employing office will terminate the 

FEHB coverage. In some instances, an employee may cancel FEHB coverage. See 

Questions S.7., S.8., and S.9. for more information. 

2. Can an employee terminate FEHB coverage because he/she thinks it’s not affordable? 

 

A. No, the employee’s view of his/her ability to afford FEHB coverage is not a basis for 

terminating coverage. However, if the employee has insufficient pay to cover the employee 

share of the premium (as explained in Question S.1.), the employee may choose to terminate 

coverage. 

121 DCMA Administrative Record for FY 2013 Furlough Appeals
41

3. How can an employee continue FEHB coverage if his or her pay is not enough to cover 

the premium? 

A. If an employee elects to continue FEHB coverage, the employee may directly pay the 

employing office to keep premiums current, or the employee may incur a debt that the 

employing office will recover when the employee’s pay becomes sufficient to cover the 

premium. 

4. What happens if FEHB coverage terminates for insufficient pay during furlough? 

A. If an employee elects to terminate FEHB coverage, or if the employee does not respond to 

the election notice, the coverage will end retroactive to the last day of the last pay period in 

which the premium was withheld from pay. The employee and any covered family members 

are entitled to a 31-day temporary extension of coverage which commences retroactively to 

the day after the coverage ended. The employee will also have the right to convert to an 

individual contract for health benefits. 

5. If an employee’s coverage terminates, can the employee re-enroll once pay returns to a 

level that covers the employee’s share of the FEHB premium? 

A. Yes. An employee may re-enroll in FEHB upon returning to sufficient pay status and 

does not have to wait for an open season to re-enroll. The employee must reenroll within 60 

days of becoming eligible as a result of renewed sufficient pay. Otherwise, the employee will 

be required to wait for an open season or a Qualifying Life Event (QLE) that allows for 

enrollment outside of open season. 

6. How will the employee’s termination affect his or her 5-year participation for purposes 

of continuing FEHB after retirement? 

A. For purposes of meeting the 5-year participation requirement, counting of the time the 

employee is covered under FEHB will stop when the employee’s enrollment terminates and 

resume upon re-enrollment provided the employee reenrolls within 60 days of becoming 

eligible as a result of renewed sufficient pay. In other words, the employee does not start a 

new 5-year participation period in this circumstance. However, the period of time in which 

the employee is not covered due to insufficient pay will be considered a period of ineligibility 

for FEHB, and will not be held against the employee for purposes of meeting the 5-year 

continuous coverage requirement. 

An employee who does not re-enroll within 60 days but postpones re-enrollment until the 

next open season must begin a new 5-year participation period for purposes of continuing 

FEHB coverage into retirement. 

122 DCMA Administrative Record for FY 2013 Furlough Appeals
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7. Can an employee who participates in premium conversion (paying his or her share of 

FEHB premiums on a pre-tax basis) just cancel FEHB coverage if the employee is 

furloughed? 

A. No. For employees participating in premium conversion (paying his or her share of 

FEHB premiums on a pre-tax basis), an administrative furlough is not a Qualifying Life 

Event (QLE) that would allow a cancellation. 

If the administrative furlough causes an employee’s pay for a pay period to become 

insufficient for the employing office to withhold his or her share of the FEHB premium for 

that pay period, the employing office must give the employee an opportunity to elect to 

continue his or her FEHB and incur a debt or to terminate enrollment. The employing office 

will terminate FEHB coverage if no response is timely received. This termination, either by 

election or by default, is not a cancellation for FEHB purposes. 

8. What options are available to an employee who does not participate in premium 

conversion (therefore, paying his or her share of FEHB premiums after taxes) and gets 

furloughed? 

A. An employee who specifically waived premium conversion (therefore, paying their share 

of FEHB premiums after taxes), and whose pay for a pay period is insufficient to cover the 

employee’s share of premium, will be offered the same choices available to an employee 

covered by Question S.7. However, unlike an employee who participates in premium 

conversion, he or she may cancel FEHB coverage at any time. He or she does not need a 

QLE. 

9. If an employee cancels his or her FEHB enrollment, will the employee forfeit rights to a 

31-day temporary extension, Temporary Continuation of Coverage and conversion to 

an individual policy, coverage while receiving workers’ compensation, continuation into 

retirement, and coverage for survivors? 

A. An employee who elects to cancel coverage should be made fully aware that if coverage 

is cancelled: 

(1) the employee and all eligible family members do not get a 31-day temporary extension of 

coverage upon cancellation, and the employee may not reenroll in FEHB until he or she has 

another QLE that permits enrollment, or the next FEHB Open Season, even upon transfer to 

another Federal agency; 

(2) if the employee separates from employment without reenrolling before separation, he or 

she will not be eligible to purchase temporary continuation of coverage (TCC) or an 

individual conversion policy; 

(3) if the employee is injured and receives benefits from the Office of Workers’ 

Compensation Programs (OWCP) during the time coverage is cancelled, the employee will 

123 DCMA Administrative Record for FY 2013 Furlough Appeals
43

not have an FEHB enrollment to continue during the period of OWCP coverage; 

(4) if the employee retires while coverage is cancelled, the employee will not have a FEHB 

enrollment to continue into retirement. Moreover, even if the employee while still employed 

reenrolls in FEHB on account of a QLE or at FEHB Open Season, the period of cancellation 

is considered a break in FEHB coverage that may preclude his or her ability to continue 

FEHB coverage into retirement; 

(5) if an employee dies while coverage is cancelled, there will be no self and family 

enrollment for survivors to continue, even if they are eligible for a survivor annuity. 

10. Can an employee make an enrollment change because the employee is under an 

administrative furlough? 

A. No. An administrative furlough is not a QLE that would permit an employee to change 

his or her FEHB plan or option. An employee who participates in premium conversion 

(paying his or her share of FEHB premiums on a pre-tax basis) may not change to a self only 

enrollment. 

Note that an employee who waived premium conversion (therefore, paying his or her share of 

FEHB premiums after taxes) may change to self only at any time. However, the employee 

should be aware that this will deprive his or her covered family members of FEHB coverage 

and the employee cannot change back to self and family until the employee has a QLE or the 

next FEHB Open Season. In the event of the employee’s death, there will be no FEHB 

enrollment for surviving family members to continue, even if they are eligible for a survivor 

annuity. 

11. Will full-time employees receive a lower, pro-rated Government share of FEHB 

premiums if their hours are reduced under an administrative furlough? 

A. No. FEHB law (title 5, U.S. Code, section 8906(b)(3)) requires the Government 

contribution toward FEHB premiums to be prorated (thus a larger employee share) for parttime career employees, i.e. employees with a documented regularly scheduled workweek of 

16-32 hours per week. An administrative furlough does not change an employee’s regular 

work schedule, e.g., from full-time to part-time. 

 

Thus, as long as a full-time employee does not change to part-time career employment, the 

employee remains entitled to a full Government contribution and the proration does not apply 

even if the number of hours per pay period is reduced during the furlough to within 16-32 

hours per week. 

124 DCMA Administrative Record for FY 2013 Furlough Appeals
44

12. Will part-time employees receive a lower prorated Government share of the FEHB 

premiums if their hours are reduced under an administrative furlough? 

A. No. The Government contribution toward the FEHB premium for an employee working 

part-time is prorated based on the employee’s regular work schedule. An employee’s 

Notification of Personnel Action (SF 50) documents the employee’s work schedule and 

number of part-time hours the employee is scheduled to work per pay period (blocks 32 and 

33). This part-time schedule should be the part-time schedule established for leave usage 

purposes (i.e., the schedule from which leave is charged for absences). A furlough action 

will place the employee in a non-duty/non-pay status during an otherwise scheduled workday, 

but it does not change the employee’s regular work schedule. Therefore, the Government’s 

prorated share of FEHB premium will not decrease. 

Note to Section S: Additional Sources of Information 

A list of QLEs for the FEHB Program may be obtained at 

http://www.opm.gov/forms/pdf_fill/sf2809.pdf.

OPM’s FEHB webpage on Leave Without Pay and Insufficient Pay Status may be found at 

http://www.opm.gov/healthcare-insurance/healthcare/reference-materials/reference/leavewithout-pay-status-and-insufficient-pay.

T. Federal Employees’ Group Life Insurance Program 

1. Will an employee continue to be covered under the Federal Employees’ Group Life 

Insurance (FEGLI) Program during an administrative furlough that results in a 

reduction of hours and pay during a pay period, if there is sufficient pay in the pay 

period to cover the employee’s share of the FEGLI premium for that pay period? 

A. If the furlough is for only part of a pay period and the pay for that pay period is sufficient 

to cover the full FEGLI premium, then the full FEGLI premium will be withheld and the 

employee will continue to be covered under FEGLI, even during the furlough period. 

2. Will an employee continue to be covered under FEGLI during an administrative 

furlough that results in no pay at all for at least one pay period and less than 12 

months?

A. The employee’s FEGLI coverage continues while in a leave without pay (LWOP) status 

due to furlough for up to 12 months, without cost to the employee or to the agency. Neither 

the employee nor the agency incurs a debt during this period of furlough. This provision does 

not apply if the employee in LWOP status is receiving workers’ compensation from OWCP. 

125 DCMA Administrative Record for FY 2013 Furlough Appeals
45

3. Will an employee continue to be covered under FEGLI during an administrative 

furlough that results in no pay at all for more than 12 months? 

A. Generally, Basic and Optional insurance of an insured employee who is in LWOP status 

stops on the date the employee completes 12 months in LWOP status. Your life insurance 

coverage terminates at the end of this 12-month period, with a 31-day extension of coverage 

and right to convert to an individual policy. 

4. What happens if, due to an administrative furlough that results in a reduction of hours 

and pay during a pay period, an employee’s regular pay for a pay period, after all other 

deductions, will not be enough to cover the employee’s share of premium for all of the 

employee’s FEGLI Options? 

A. As a general matter, if an employing agency determines that an employee’s regular pay 

for a pay period, after all other deductions, will not be enough to cover the employee’s share 

of premium for all of the employee’s FEGLI Options, the employing agency must notify the 

employee. The employing office must provide the employee with a choice to either terminate 

some or all FEGLI coverage, or to make premium payments directly. 

If the employee elects to continue coverage and pay directly, the process is detailed in the 

FEGLI regulations at 5 CFR 870.405(c). See http://www.opm.gov/healthcare-insurance/lifeinsurance/reference-materials/#url=Regulations.

If the employee elects to terminate coverage, any amount available for life insurance 

withholdings must be applied first to Basic, with any remainder applied to Optional insurance 

(first to Option B, then Option A, then Option C). If the employee does not respond to the 

election notice in a timely manner, the employing agency will terminate coverage in the order 

stated above to the extent required due to insufficient pay. Terminated coverage is subject to 

a free 31-day extension of coverage and the employee has a right to convert. 

As provided for in 5 CFR 870.603, when group coverage terminates for any reason other than 

voluntary cancellation, an employee may apply to convert all or any part of his or her Basic 

and Optional insurance to an individual policy. An employee who elects to make premium 

payments directly and whose coverage is cancelled for nonpayment is not entitled to a 31-day 

extension of coverage and is not entitled to convert to an individual policy. For more 

information regarding conversion of insurance, please see 5 CFR 870.603. 

5. If an employee’s FEGLI coverage is terminated for insufficient pay during a furlough 

because the employee initially declined to elect direct premium payments, can the 

employee reinstate the FEGLI coverage when the furlough ends or pay becomes 

sufficient? 

A. Yes the employee may reinstate any FEGLI coverage terminated for insufficient pay, back 

to the original elections, upon return to sufficient pay. 

126 DCMA Administrative Record for FY 2013 Furlough Appeals
46

6. Will an employee incur a debt to the agency if the agency underwithholds FEGLI 

premium as a result of insufficient pay during a furlough? 

A. Yes, the agency may consider underwithholding to be a debt. In such cases, agencies 

must follow their regular processes (including any applicable processes set forth by statute) 

regarding the collection of these debts. 

127 DCMA Administrative Record for FY 2013 Furlough Appeals
47 

Sample Notice 1 

Furlough Proposal Due to Planned Reduction In Agency Expenditures (5 CFR Part 752) 

[Note: This is the advance written notice required by 5 U.S.C. 7513, when an agency effects an 

administrative furlough in order to absorb reductions in funding over a period of time. This 

sample has been written for the scenario where an agency chooses to furlough on discontinuous 

days. Agencies who choose to furlough on a continuous-day basis should amend the sample 

accordingly.] 

This memorandum notifies you that [agency name] proposes to furlough you no earlier than 30 

days from receipt of this notice. The furlough is being proposed under the authority of 5 CFR 

part 752, subpart D [briefly explain reason for furlough, e.g., because the agency has received a 

20 percent reduction in salaries and expenses (S&E) funding and the present rate of spending 

when annualized will result in an expenditure in excess of our authorized budget]. This furlough 

is proposed to promote the efficiency of the service by avoiding a deficit of funds in FY [year]. 

If other employees in your competitive level (i.e., generally, positions at the same grade level and 

classification series, the duties of which are generally interchangeable – see 5 CFR 351.403(a)) 

are not being furloughed or are being furloughed for a different number of days, it is because they 

(1) are currently in a nonpay status, (2) are under an Intergovernmental Personnel Act mobility 

assignment, (3) are on an assignment not otherwise causing an expenditure of funds to the 

agency, or (4) are in a position whose duties have been determined to be of crucial importance to 

this agency’s mission and responsibilities, and cannot be curtailed. [Note: These are the most 

common reasons for excluding employees from furlough. If there are other reasons that arise, 

the agency must include them in this listing.] 

We plan to apply the following procedures and conditions related to the furlough: 

1. The furlough will be on discontinuous (intermittent) days, beginning [date], through 

approximately [date]. Full time employees will be furloughed no more than 22 workdays or 

176 hours. If you are a part-time employee, your furlough time off will be prorated, based on 

your work schedule. 

[Note: The agency determines the maximum number of pay periods over which 22 furlough 

days would suffice to meet agency spending levels. For example, if an agency’s spending 

limits require 5 furlough days per pay period, employees would reach the 22-day limit in 

approximately 10 weeks.] 

2. Due to the uncertain and potential fluctuating amount of funding which may be available to 

this agency, the number of hours per pay period required for the furlough may vary. 

Accordingly, if the decision is made to furlough, you will be advised in advance of each pay 

period of the number of furlough hours required to allow this agency to meet its financial 

obligations. In any case, however, you will not be furloughed for more than [number] hours 

for each pay period between [date] and [date]. 

128 DCMA Administrative Record for FY 2013 Furlough Appeals
48

3. You may request a specific schedule for furlough time off subject to management approval 

based upon mission and workload considerations. 

4. Annual, sick, court, or military leave which has been approved for a day which is later 

designated as a furlough day will be recorded as a furlough and you will be placed in a 

nonpay status for the day. However, when you receive the notice of your furlough dates, you 

may request that the furlough time off be rescheduled, as provided in paragraph 3 above, if 

you wish to use leave as approved. 

At this time, we do not reasonably anticipate the need for furlough beyond 22 workdays. 

However, should additional furlough days be necessary, employees will be given another notice. 

We recognize the difficult personal financial implications of any furlough, no matter how limited 

its length. We will make every effort to keep you informed as additional information regarding 

the agency funding level becomes available. If you have questions, contact [contact name, phone 

number, and email address]. 

You will be allowed seven calendar days from receipt of this letter to respond orally and/or in 

writing, to review the supporting material, and to furnish any affidavits or other supporting 

documentary evidence in your answer. You have the right to be represented in this matter by an 

attorney or other person you may choose. If you are in active duty status, you and/or your 

representative, if an agency employee, will be allowed up to four hours of official time to review 

the supporting material, seek assistance, prepare your reply, secure affidavits and statements, 

consider appropriate courses of action, and make a response. Contact your supervisor to arrange 

for official time. The deciding official has designated representatives to hear oral replies in 

his/her behalf. To arrange for an oral reply or review the supporting materials, please contact the 

appropriate individuals listed below: 

[contact names, phone numbers, and email addresses.] 

Your written reply should be mailed to the deciding official, Mr./Ms.[ name and title],[address] 

or may be delivered to [address/room number]. 

A final written decision, including an explanation of the specific reasons for the action taken, 

will be given to you as soon as possible after the seven days allowed for your reply. 

No decision to furlough you has been made or will be made until full consideration is given to 

your reply. 

 __________ 

Proposing Official Date 

I acknowledge receipt of this notice.

 ___________ 

Employee’s signature Date 

129 DCMA Administrative Record for FY 2013 Furlough Appeals
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Sample Notice 2 

Notice of Decision to Furlough (5 CFR Part 752) 

By written notice of [date], you were notified of a proposal to furlough you pursuant to the 

authority in 5 CFR part 752, subpart D. 

All written and oral replies received in response to that notice have been reviewed and carefully 

considered. I have determined that all of the reasons for the proposed furlough, as stated in the 

notice of the proposal, remain valid. The procedures and conditions related to the furlough as 

proposed have been determined to be the most equitable means of implementing the furlough. 

Therefore, you will be required to be on a discontinuous furlough during the period beginning 

[date] through [date]. 

In accordance with the procedures and conditions outlined in the notice of proposal, dated [insert 

date], if you are a full-time employee, you will be furloughed for no more than [number] hours 

in each of the pay periods or parts thereof, between [date] and [date]. The maximum furlough 

time for full-time employees will be no more than 22 workdays, or 176 hours. For full-time 

employees, this maximum is based on a regular work schedule of 80 hours per pay period. If you 

are a part-time employee, the number of hours required for furlough will be prorated according to 

your specific work schedule. 

Your supervisor will inform you of the amount of furlough time off required prior to each pay 

period. To schedule your furlough time off, contact your supervisor. 

When you are on furlough, you will be in a nonpay, nonduty status. Also, during any furlough 

period, you will not be permitted to serve as an unpaid volunteer, but must remain away from 

your workplace. 

If you have completed a probationary or trial period or one year of current continuous 

employment in the competitive service under other than a temporary appointment you may 

appeal this action to the Merit Systems Protection Board (MSPB). If you are a preference 

eligible employee in an excepted service appointment you may appeal to the MSPB if you have 

completed one year of current continuous service in the same position or positions similar to the 

one you now hold. Employees in the excepted service who do not have veterans preference and 

who are not serving a probationary or trial period under an initial appointment pending 

conversion to the competitive service may appeal to the MSPB if they have completed two years 

of current continuous service in the same or similar positions in an Executive agency under other 

than a temporary appointment limited to two years or less. You have the right to be represented 

in this matter by an attorney or other person you may choose. 

If you have the right of appeal and wish to appeal this action to the MSPB, you must file the 

appeal within 30 days after the effective date of your first furlough day, or 30 days after the date 

of your receipt of this decision, whichever is later. If you do not submit an appeal within this 

timeframe, the MSPB will dismiss it as untimely filed unless a good reason for delay is shown. 

You may obtain a copy of the appeals form and a copy of the Board’s regulations from the MSPB 

130 DCMA Administrative Record for FY 2013 Furlough Appeals
50

website at http://www.mspb.gov. 

Your appeal must be filed with the MSPB regional or field office serving the area of your duty 

station when the action was taken. Based upon your duty station, the appropriate field office is 

[identify appropriate regional office]. MSPB also offers the option of electronic filing at 

https://e-appeal.mspb.gov/.

The Board will send an Acknowledgment Order and copy of your appeal to [contact information 

including the official’s mailing address, email address, telephone and fax number.] 

If you are a bargaining unit employee, you may grieve this action in accordance with the 

applicable negotiated agreement [negotiated agreement citation] or you may appeal to the MSPB 

in accordance with the procedures outlined above, but not both. Your election to proceed under 

one process will be considered made when you timely file a grievance in writing, or timely file a 

notice of appeal, whichever event occurs first. To obtain information on filing a grievance under 

the negotiated grievance procedure, contact [name of exclusive union representative]. 

[Under the Board’s October 2012 regulations, notices must also include: 

Notice of any right the employee has to file a grievance or seek corrective action under 

subchapters II and III of 5 U.S.C. chapter 12, including: 

(1) Whether the election of any applicable grievance procedure will result in 

waiver of the employee's right to file an appeal with the Board; 

(2) Whether both an appeal to the Board and a grievance may be filed on the 

same matter and, if so, the circumstances under which proceeding with one will 

preclude proceeding with the other, and specific notice that filing a grievance will 

not extend the time limit for filing an appeal with the Board; 

(3) Whether there is any right to request Board review of a final decision on a 

grievance in accordance with § 1201.155 of this part; and 

(4) The effect of any election under 5 U.S.C. 7121(g), including the effect that 

seeking corrective action under subchapters II and III of 5 U.S.C. chapter 12 will 

have on the employee’s appeal rights before the Board.] 

Notice of any right the employee has to file a complaint with the Equal Employment 

Opportunity Commission or to grieve allegations of unlawful discrimination, consistent 

with the provisions of 5 U.S.C. 7121(d) and 29 CFR 1614.301 and 1614.302.] 

We recognize the difficult financial implications of any furlough, no matter how limited its 

length. We will make every effort to keep you informed as additional information regarding the 

agency funding level becomes available. If you have questions, contact [contact name, phone 

number, and email address].

131 DCMA Administrative Record for FY 2013 Furlough Appeals
51

 _______ 

Deciding Official Date 

I acknowledge receipt of this decision. 

______________ _________ 

Employee’s signature Date 

132 DCMA Administrative Record for FY 2013 Furlough Appeals
52 

Sample Notice 3 

Notice of Career SES Furlough (5 CFR Part 359) 

This is a sample of the 30 day advance written notice of furlough required for career SES 

appointees by 5 CFR part 359, subpart H. It should be used only as an illustration in preparing 

an agency’s own notice, which must be based on specific circumstances in the agency. This 

sample communicates the agency’s decision to implement an administrative furlough on 

discontinuous days (i.e., 22 workdays or less). Agencies choosing to furlough on a continuousday basis (i.e., 30 calendar days or less) should amend the sample accordingly.

This memorandum notifies you that [agency name] intends to furlough you no earlier than 30 

calendar days from receipt of this notice. This furlough is being taken pursuant to the authority 

in 5 CFR part 359, subpart H [briefly explain the reason for furlough, e.g., “because the agency 

has received a 20 percent reduction in salaries and expenses (S&E) funding, and the present rate 

of spending, when annualized, will result in an expenditure in excess of our authorized budget”]. 

Although many actions are being taken within the agency to curtail spending, this furlough is 

being taken to avoid a deficit of funds in FY [year]. 

If other employees in your organization are not being furloughed or are being furloughed for a 

different number of days, it is because they (1) are currently in a nonpay status, (2) are under an 

Intergovernmental Personnel Act mobility assignment, (3) are on an assignment not otherwise 

causing an expenditure of funds to the agency, or (4) are in a position whose duties have been 

determined to be of crucial importance to this agency’s mission and responsibilities, and cannot 

be curtailed. [Note: These are the most common reasons for excluding employees from 

furlough. If there are other reasons that arise, the agency must include them in this listing.] 

We plan to apply the following procedures and conditions related to the furlough: 

1. The furlough will be on discontinuous [intermittent] days, beginning [date], through [date]. 

Full time employees will be furloughed no more than 22 workdays or 176 hours. If you are a 

part-time employee, your furlough time will be prorated, based on your work schedule. 

[Note: The agency determines the maximum number of pay periods over which 22 furlough days 

would suffice to meet agency spending levels. For example, if an agency’s spending limits 

require 5 furlough days per pay period, employees would reach the 22-day limit in 

approximately 10 weeks.]

2. Due to uncertain and potential fluctuating amount of funding which may be available to this 

agency, the number of hours per pay period required for the furlough may vary. Accordingly, 

you will be advised in advance of each pay period of the number of furlough hours required to 

allow this agency to meet its financial obligations. In any case, however, you will not be 

furloughed for more than [number] hours for each pay period between [date] and [date]. 

3. You may request a specific schedule for furlough time off subject to management approval 

based upon mission and workload considerations. 

133 DCMA Administrative Record for FY 2013 Furlough Appeals
53

4. Annual, sick, court, or military leave which has been approved for a day which is later 

designated as a furlough day will be recorded as a furlough and you will be placed in a nonpay 

status for the day. However, when you receive the notice of your furlough dates, you may 

request that the furlough time off be rescheduled, as provided in paragraph 3 above, if you wish 

to use leave as approved. 

When you are on furlough, you will be in a nonpay, nonduty status. Also, during the furlough, 

you will not be permitted to serve as an unpaid volunteer but must remain away from your 

workplace. At this time, we do not reasonably anticipate the need for furlough of more than 22 

workdays; however, should additional days be necessary to meet this agency’s financial 

obligations, affected appointees will be given another notice consistent with the provisions of 5 

CFR part 359 subpart H. 

Career SES appointees (except reemployed annuitants) who believe requirements of 5 CFR part 

359 subpart H or this agency’s procedures have not been correctly applied may appeal to the 

Merit Systems Protection Board (MSPB). Career SES appointees may inspect the regulations 

and records pertinent to this action at the following location [identify location and times, as 

appropriate]. 

If you wish to appeal this action to the MSPB, you must file the appeal within 30 days after the 

effective date of your first furlough day, or 30 days after the date of your receipt of this decision, 

whichever is later. If you do not submit an appeal within this timeframe, the MSPB will dismiss 

it as untimely filed unless a good reason for delay is shown. You may obtain a copy of the 

appeals form and a copy of the Board’s regulations from the MSPB website at 

http://www.mspb.gov. 

Your appeal must be filed with the MSPB regional or field office serving the area of your duty 

station when the action was taken. Based upon your duty station, the appropriate field office is 

[identify appropriate regional office]. MSPB also offers the option of electronic filing at 

https://e-appeal.mspb.gov/.

The Board will send an Acknowledgment Order and copy of your appeal to [contact information 

including the official’s mailing address, email address, telephone and fax number.] You also 

have the right to be represented in this matter by an attorney or other person you may choose. 

We recognize the difficult financial implications of any furlough, no matter how limited its 

length. We will make every effort to keep you informed as additional information regarding the 

agency funding level becomes available. If you have questions, contact [contact name, phone 

number, and email address]. 

 ______________________________ 

 Issuing Official 

134 DCMA Administrative Record for FY 2013 Furlough Appeals
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I acknowledge receipt of this notice. 

_____________________________ __________ 

Employee’s signature Date 

[Note: For a probationary SES employee, an agency should advise that, as provided in 5 CFR 

317.503(d)(2): 1) time in a nonpay status (e.g., LWOP and furlough) while in an SES position is 

credited up to a total of 30 calendar days (or 22 workdays) toward completion of the SES 

probationary period; and 2) after 30 calendar days, the probationary period is extended by 

adding time to it equal to that served in a nonpay status.] 

135 DCMA Administrative Record for FY 2013 Furlough Appeals
55

Sample Notice 4 

Furlough Due to Planned Reduction in Agency Expenditures (5 CFR Part 351) 

More Than 22 Discontinuous Workdays 

[Note: This is a sample written notice for a furlough of more than 22 discontinuous days under 

the reduction in force procedures of 5 CFR 351 (implementing 5 U.S.C. 3502(d)) when an 

agency effects an administrative furlough to absorb funding reductions. Agencies choosing to 

furlough on a continuous basis for more than 90 calendar days may have to conduct full 

reduction in force procedures (, such as round I competition to remain in the competitive level 

and round II to determine assignment rights to another position).] 

SUBJECT: Specific Notice of Furlough under Reduction in Force Procedures 

I regret to inform you that [agency name] will furlough you for 25 discontinuous workdays 

between [date] and [date]. You will be placed in a non-duty and non-pay status on your 

designated furlough days. You will continue in your position of record on your non-furlough 

days. 

[Insert the reason for furlough, e.g., The [agency name] has received a 20 percent reduction in 

salaries and expenses funding. At the present rate of spending, this reduction will result in an 

expenditure in excess of our authorized budget. Although we have taken other cost-cutting 

measures, furlough is required to avoid a deficit of funds in FY [year]. You are included in the 

furlough because you occupy a position that is directly affected by the funding reduction.] 

This action is taken in accordance with the reduction in force (RIF) regulations in title 5, Code of 

Federal Regulations, part 351. Importantly though, while this action is taken in accordance with 

RIF regulations, a furlough is a temporary action, not a permanent separation from service. We 

have determined that assigning you to a different position for [number of days] per pay period 

would result in an undue interruption to required work. Therefore, under 5 CFR 351.607, you do 

not have a right to another position in your competitive level or within your competitive area. 

Your retention standing as of the first furlough date is as follows: 

 Competitive area: 

 Service [i.e., competitive or excepted]:

 Position title, series, and grade: 

 Competitive level: 

 Tenure and subgroup: 

 Service computation date (SCD): 

 Three most recent performance rating with years credited: 

 Adjusted SCD (SCD-RIF): 

Your furlough will be on discontinuous (intermittent) days, beginning [date] through [date]. As a 

full-time employee, you will be furloughed 25 workdays or 200 work hours. You may request a 

specific schedule for your discontinuous furlough days or switch your designated furlough day(s) 

136 DCMA Administrative Record for FY 2013 Furlough Appeals
56

within a pay period through a written request to your supervisor. We will consider all change 

requests with approvals based on position function, workload considerations, and employee 

retention standing. 

[If part-time: As a part-time employee with a work schedule of [xx] hours per pay period, 

your prorated furlough is XX work hours to be served within your designated work 

schedule.] 

Annual, sick, court, or military leave which was approved for a designated furlough day is hereby 

cancelled. However, you may request that the furlough day be rescheduled if you wish to use 

leave as approved. 

Attachment 1 has general information about leave and benefits during a furlough. Attachment 2 

has information on [State] unemployment insurance program. 

At this time, we do not reasonably anticipate the need for furlough beyond 25 workdays. 

However, should additional furlough days be necessary, you will be issued another notice. 

You may review the information related to your furlough action. Copies of retention registers, 

RIF regulations, and related records are available in the Human Resources Office. You may 

make an appointment to review this material by contacting [HRO name and contact information]. 

 

You may appeal this action to the Merit Systems Protection Board (MSPB). You may file an 

appeal within 30 calendar days after the effective date of your first furlough day. If you do not 

file an appeal within this 30-day time limit, the MSPB may dismiss it unless you can show good 

cause for the delay. A copy of the appeal form and the MSPB’s regulations are available on the 

Board’s website at www.mspb.gov. You should send your appeal to the MSPB office at 

[appropriate office address]. The Board will send an Acknowledgment Order and copy of your 

appeal to [contact information including the official’s mailing address, email address, telephone 

and fax number.] [Note: MSPB appeal rights for furloughs apply to non-bargaining unit 

employees or bargaining unit employees where the negotiated grievance procedure excludes 

furloughs from coverage.] 

[If the employee is a bargaining unit employee and furloughs are covered under the negotiated 

grievance procedure: You may grieve this action in accordance with the applicable negotiated 

agreement [negotiated agreement citation] in accordance with the procedures outlined in the 

agreement. To obtain information on filing a grievance under the negotiated grievance 

procedure, contact [name of exclusive union representative]. 

[Under the Board’s October 2012 regulations, notices must also include: 

Notice of any right the employee has to file a grievance or seek corrective action under 

subchapters II and III of 5 U.S.C. chapter 12, including: 

(1) Whether the election of any applicable grievance procedure will result in 

137 DCMA Administrative Record for FY 2013 Furlough Appeals
57

waiver of the employee's right to file an appeal with the Board; 

(2) Whether both an appeal to the Board and a grievance may be filed on the 

same matter and, if so, the circumstances under which proceeding with one will 

preclude proceeding with the other, and specific notice that filing a grievance will 

not extend the time limit for filing an appeal with the Board; 

(3) Whether there is any right to request Board review of a final decision on a 

grievance in accordance with § 1201.155 of this part; and 

(4) The effect of any election under 5 U.S.C. 7121(g), including the effect that 

seeking corrective action under subchapters II and III of 5 U.S.C. chapter 12 will 

have on the employee’s appeal rights before the Board.] 

Notice of any right the employee has to file a complaint with the Equal Employment 

Opportunity Commission or to grieve allegations of unlawful discrimination, consistent 

with the provisions of 5 U.S.C. 7121(d) and 29 CFR 1614.301 and 1614.302.]

This furlough under the RIF regulations does not reflect on your service, performance, or 

conduct. It is taken solely for the reason stated in this notice. 

We recognize the difficult personal financial implications of any furlough, no matter its length. 

We will make every effort to keep you informed as additional information regarding agency 

funding level becomes available. If you have questions, contact [contact name, phone number, 

and email address]. 

 ______________________ __________ 

 Agency Official Signature Date 

Attachments 

I acknowledge receipt of this notice. 

______________ _________ ___________________________ ______ 

Printed name Employee signature Date 

138 DCMA Administrative Record for FY 2013 Furlough Appeals
58

Table of Recent Changes to Guidance for Administrative Furloughs 

Date Question Change Description

June 10, 2013 Note New Added a note regarding the applicability of the guidance

(located before Section A)

P.2. New Effect of scheduling official travel during designated 

furlough hours

P.3. New Treatment of official travel hours during previously 

designated furlough hours

P.4. New Treatment of official travel hours outside the basic 

workweek that are compensable hours of work

P.5. New Treatment of official travel hours outside the basic 

workweek that are credited as compensatory time off for 

travel

P.6. New Inability to earn compensatory time off for travel for 

travel hours during previously designated furlough hours

P.7. New Inability to use compensatory time off during furlough 

hours

May 23, 2013 G.3. Revised Directs readers to new Section T (Federal Employees’ 

Group Life Insurance Program)

T.1. New Impact of employee receiving sufficient pay in pay 

period to cover employee’s share of premium

T.2. New Impact of employee receiving no pay for at least 1 pay 

period but less than 12 months

T.3. New Impact of employee receiving no pay for more than 12 

months

T.4. New Impact of employee’s pay in pay period being 

insufficient to cover premium for all FEGLI options

T.5. New Reinstatement of FEGLI coverage after coverage is 

terminated because of insufficient pay and employee 

declines to make direct premium payments

T.6. New Employee’s debt to agency if agency underwithholds 

FEGLI premium as a result of insufficient pay

April 25, 2013 A.4. New Explanation of what it means to be in a furlough status

A.5. New Clarification that furlough does not affect an employee’s 

status as full-time or part-time 

C.3. Revised Added a link to a relevant Office of Government Ethics 

legal advisory

C.6. New Effect of an agency ordering an employee to work 

during his or her scheduled furlough hours

E.5. New Retroactive substitution of annual leave for furlough 

hours taken in certain limited circumstances

E.6. New Retroactive substitution of excused absence for furlough 

hours taken in certain limited circumstances

139 DCMA Administrative Record for FY 2013 Furlough Appeals
59

L.2. Revised Added language about identifying specific furlough 

hours for employees on a flexible work schedule

M.4a. New Appropriate supporting documentation for an 

administrative furlough action

M.4b. New Procedural rights applicable to veterans for an 

administrative furlough of 30 calendar days or less

M.6a. New Procedural rights for a probationer who completes his or 

her probationary period before fulfilling the agency’s 

furlough time off requirement

M.11. New Obligation to provide Merit Systems Protection Board 

(MSPB) appeal information in adverse action furlough 

decision notices

N.21. Revised Clarified the previous language about the appropriate 

procedures to use if an agency determines an additional 

furlough is necessary

April 2, 2013 G.1. Revised Directs readers to new Section S (Federal Employees 

Health Benefits Program)

Section K 

Title

Revised Changed title of Section K from “Injury While on 

Furlough” to “Benefits under the Federal Employees’ 

Compensation Act (FECA)”

K.1. Revised Minor edits to guidance involving workers’ 

compensation benefits under the FECA

K.2.–K.5. New Department of Labor guidance on workers’ 

compensation benefits during an administrative furlough

Section K 

Note

New Note regarding additional information on Federal 

workers’ compensation benefits

M.2. Revised Directs readers to OPM’s SF-50 processing guidance in 

its entirety for a fuller understanding of the requirements 

S.1. New Continuation of FEHB coverage

S.2. New Ability to afford FEHB coverage

S.3. New Continuing FEHB coverage if pay is insufficient to 

cover premium

S.4. New Termination of FEHB coverage for insufficient pay

S.5. New Re-enrollment following termination of FEHB coverage

S.6. New Impact of terminating FEHB coverage on 5-year 

participation requirement for purposes of continuing 

coverage after retirement

S.7. New Cancellation of FEHB coverage for employees 

participating in premium conversion

S.8. New Options available to employees not participating in 

FEHB premium conversion

S.9. New Impact of cancelling FEHB coverage

S.10. New FEHB enrollment changes

140 DCMA Administrative Record for FY 2013 Furlough Appeals
60

S.11. New Government share of FEHB premiums

S.12. New Government share of FEHB premiums for part-time 

employees

Section S 

Note

New Note regarding additional information on FEHB 

Program

March 25, 2013 A.3. Revised Added language generally describing shutdown 

furloughs

Q.1. New Living Quarters Allowance and Post Cost of Living 

Allowance

Q.2. New Danger Pay, Post Hardship Differential, and differential 

eligibility for TDY employees

Q.3. New Difficult-To-Staff Incentive Differential

Q.4. New Subsistence Expense Allowance

Q.5. New Home Service Transfer Allowance

Q.6. New Foreign Transfer Allowance

Q.7. New Separate Maintenance Allowance

R.1. Moved VERA/VSIP guidance formerly posted as Question H.1. 

of OPM’s “Supplemental Guidance for Sequestration 

and Administrative Furloughs,” which was removed 

from the OPM website on March 25, 2013

March 8, 2013 B.1. Revised Factors used in determining coverage of furlough

B.6. Revised Treatment of detailees

B.8. New Volunteering for leave without pay

H.2. Revised Resources for Thrift Savings Plan guidance

H.3. New Resources for Thrift Savings Plan guidance

L.3. Revised Scheduling furlough time off for employees with parttime or uncommon tours of duty

M.10. New Providing electronic notice of a furlough action

March 5, 2013 B.5. New Treatment of detailees

B.6. New Treatment of detailees

B.7. New Treatment of detailees

E.2. Revised Treatment of employees on approved leave without pay

E.3. Revised Taking leave without pay under the Family and Medical 

Leave Act (FMLA)

H.1. Revised Resources for unemployment compensation guidance

O.1. Revised Collective bargaining obligations

O.1a. New Satisfying collective bargaining obligations before 

issuing furlough notices

February 27, 2013 P.1. New Travel expenses during a furlough

February 26, 2013 E.4. New Accrual of annual and sick leave

G.6. New Retirement annuity benefits

February 20, 2013 D.4. New Assigning work hours outside the basic workweek

D.5. New Compensating employees who work hours outside the basic 

workweek

141 DCMA Administrative Record for FY 2013 Furlough Appeals
61 

D.6. New Earning credit hours

142 DCMA Administrative Record for FY 2013 Furlough Appeals
United StateS 

Office Of PerSOnnel ManageMent

Employee Services 

Pay and Leave

1900 E Street, NW 

Washington, DC 20415

 ES/PL/PS 2013-01

143 DCMA Administrative Record for FY 2013 Furlough Appeals
COMPTROLLER 

UNDER SECRETARY OF DEFENSE 

11 00 DEFENSE PENTAGON 

WASHINGTON. OC 20301·1100 

MAR 5 1013 

MEMORANDUM FOR: SEE DISTRIBUTION 

SUBJECT: Additional Guidance for Handling Budgetary Uncertainty in Fiscal Year 2013 

The purpose of this memorandum is to provide some additional guidance to the Deputy 

Secretary of Defense's memorandum on "'Handling Budgetary Uncertainty in Fiscal Year 2013," 

dated January 10,2013, to ensure consistency in the treatment of issues across the Department of 

Defense (DoD) as the reductions levied by sequestration and a year-long continuing resolution 

are implemented. All of these policies are effective immediately. 

Congressional Travel Support 

The Department will enforce strictly DoD's policies in its support of travel by congressional 

delegations (CODELs) and congressional staff delegations (ST AFFDELs). It is DoD's policy 

that support for approved travel of members and employees of Congress shall be provided on an 

economical basis upon request from Congress, pursuant to law or where necessary to carry qut 

DoD duties and responsibilities. Organizations need to ensure that travel of members and 

employees of Congress is sponsored by the DoD ouly where the purpose of the travel is of 

primary interest to and bears a substantial relationship to programs or activities of DoD and is not 

solely for the purpose of engendering goodwill or obtaining possible future benefits. Specific 

guidance is included in DoD Directive 4515.12 (DoD Support for Travel of Members and 

Employees of Congress) dated January 15, 2010. Some specific policies worth highlighting 

include: 

• Military airlift will not be used for CODELs if commercial airlift is reasonably available. 

• Within the Continental United States (CONUS), no CODELs may use military 

airlift as commercial airlift is readily available. 

• Military airlift may be authorized for CODELs when in a Combatant 

Commander's theater if commercial airlift is limited or unsafe; every effort must 

be made to minimize costs. 

• Spouses may accompany members if there is an official function as long as they 

pay their own expenses and do not increase the number or size of aircraft required~ 

• Minimum number of congressional members for military airlift originating in CONUS. 

• No less than 5 members for large aircraft 

• No less than 3 members for small aircraft 

• Tickets purchased by DoD for CODELs, STAFFDELs, and liaison escorts. 

• Must be economy class; individuals may upgrade a.t their own expense. 

• DoD does not pay for a member's personal staff traveling to his/her horne 

State/District; this includes travel, lodging, meals, or escorts. 

144 DCMA Administrative Record for FY 2013 Furlough Appeals
• All itineraries for CODELs/ST AFFDELs must be approved by the escorting Service's 

2-star Legislative Affairs Director to ensure that the itinellll')' is an efficient use of 

taxpayer's funds. 

Tuition Assistance 

All Services should consider significant reductions in funding new tuition assistance 

applicants after the date of this memorandum for the duration of the current fiscal situation. 

Civilian Monetary Awards 

2 

Consistent with gnidance from the Office of Management and Budget (OMB Bulletin 

#M-13-05, Agency Responsibilities for Implementation of PotentialS oint Comtuittee 

Sequestration), the Department will not issue discretionary monetary awards for its civilian 

employees, which should occur only iflegally required, until further notice. For bargaining unit 

employees, all bargaining obligations must be fulfilled prior to implementing the OMB gnidance. 

Partidpation in International Events 

The Department should limit its participation in international events except in those 

instances where individuals are supporting Foreign Military Sales and the funds supporting these 

efforts are not being sequestered because the accmmts are exempt from sequestration. 

Demonstration Flying 

All aerial demonsttations, including flyovers, jump team demonsttatioos, and participation 

in civilian air shows and military open houses will cease as of April I, 2013. Flyovers in support 

of military funerals will be given special consideration. To ensure consistency across the 

Department all exceptions and waivers for demonsttation flying will require the concurrence of 

the Office of the Assistant to the Secretary of Defense for Public Affairs before approval. 

SuPI!ort to Non-DoD Organizations 

All military support to non-DoD organizations for outreach activities will cease, except 

when the Department has authority to retain any reimbursement and is fully reimbursed for all 

incremental costs incurred in providing the support. This includes, but is not limited to, military 

equipment displays at civilian air shows, parades, and civic events. Fleet/ Service weeks as well 

as military open houses, and local community relations activities are permitted as long as the 

support/equipment can be provided locally an~ at no cost to the Department To ensure 

consistency across the Department, all exceptions and waivers for support to non-DoD 

organizations and special events will require the concurrence of the Office of the Assistant to the 

Secretary of Defense for Public Affairs before approval. 

145 DCMA Administrative Record for FY 2013 Furlough Appeals
3 

Military Musical Unit (and Ceremonial Unit) Travel 

Military musical and ceremonial units will not be permitted to travel beyond the local area 

immediately surrounding their respective duty stations except when all transportation, lodging, 

and subsistence, are provided by the requesting organization and can be accepted in accordance 

with existing law and Department policies, or where the Department has authority to retain any 

reimbursement and is fully reimbursed by the requesting organization for all incremental costs. 

Units may continue to perform locally both on and off military installations as long as those 

performances can be conducted at no cost to the Department. To ensure consistency across the 

Department all exceptions and waivers will require the concurrence of the Office of the Assistant 

to the Secretary of Defense for Public Affairs before approval. 

Additional guidance will be provided as issues surface that require a DoD-wide policy. 

Robert F. Hale 

cc: 

Director of National Intelligence 

DISTRIBUTION: 

SECRETARIES OF THE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOINT CHIEFS OF STAFF 

UNDER SECRETARIES OF DEFENSE 

DEPUTY CHIEF MANAGEMENT OFFICER 

COMMANDERS OF THE COMBATANT COMMANDS 

ASSISTANT SECRETARIES OF DEFENSE 

GENERAL COUNSEL OF THE DEPARTMENT OF DEFENSE 

DIRECTOR, OPERATIONAL TEST AND EVALUATION 

DIRECTOR, COST ASSESSMENT AND PROGRAM EV ALUA TON 

INSPECTOR GENERAL OF THE DEPARTMENT OF DEFENSE 

ASSIST ANTS TO THE SECRETARY OF DEFENSE 

DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER 

DIRECTOR, ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF THE DEFENSE AGENCIES 

DIRECTORS OF THE DOD FIELD ACTIVITIES 

146 DCMA Administrative Record for FY 2013 Furlough Appeals
DE PUn< ,S,Il.~RJ;;)"~RY De' DEFENSE 

I 0 I 0 t:I~;F'lii\lsl[: J'iEio:tl\~lil 

WAsHINGTi:)No l)c l!OiiOI;IOtO 

The Honorable Nathan Deal 

Governor 

State of Georsia 

Atlanta, GA 303.34' 

Dear Governor Deal: 

deficit 

in a 

our entire 

Presidenuo exempt. 

~ent's· 

some.eJCaqlples: 

of at 

at 

to 

:' "' - ;~-­

- ;_ :' 

147 DCMA Administrative Record for FY 2013 Furlough Appeals
2 

148 DCMA Administrative Record for FY 2013 Furlough Appeals
DEPUTY SECR6TARY OF C&:f'ENSE 

1010 DEFENS'I' PENTA46N . WASHIN~;DC:ao:JO,l?fOfO 

The Honorable Jerry Btown 

Go"Vemor 

Sllllc of Califumia 

Sacramento, CA 95814 

Dear Governor Brown: 

As you ~cJikejlyaware, 

deficit reduction to 

the 

Defenae 

ina 

ow entire 

President to 

cum:ntly . tum wba1 it means · 

Wedo have 

funding across 

at Sierra AnnyDcpot 

would suff~ a cutofat 

fucilities projects at Beale, 

assessing detailed chimgesand 

California as we compile a more complete Jist. 

-_,----

149 DCMA Administrative Record for FY 2013 Furlough Appeals
In tlddition, to acc i)unod~Jeallt.l!<::cuil}a,clls t!lat Wl?U!~;lle ~ln ~ ~!'i:~f ··.· 

furiher <lolrgressionaJ· aCjfon, w<c:,viU>lle>l'~'to·pi~~Ofout•IJ\:>.Ll•jlj~~~~~~~ unJ>llid fiulouglutatudor. Up tQ22 disc:QntinUO\Jll w<irkda).i;~. i\JnjoSJ;~y. this,~ 

action bas ~Y ba(FsetiPus tldvetse effeot,s on the.morale an\l·.prodilet!Vity oftbii·· .. 

appro~imaf!;Jy.64,00() .. DoD civilian ~W>ployees who work ln:cQI!ifutnia, lf>y;lba\'lO li>'~· · 

these furloUghs, it will meanro~g1iJy a 20 .~t payp~t .ove.;a !>early six lnontit.~for 

these dedicated civil SCrVlllltl),•who in':furn willpresll)il8ljly .. Spel!ll:lossln':Yoqre<;~>Jiooiy. We 

estimate that a 22-worl(dayJ\irlough could I'Csultm•a payroll re.!Oction ofab<>u!·$!!$o,J!ijllion.Jusf .. in Ca.Iiforriia. · ·· , · . . . Lastly, it sbllul4beM~ thal""'!uesth!Uon will;alsoai{~Defe(ISO~.t<>nrand; 

therefore, the .induslfial·b""':ln yo ill' State. 

While ihtsc1'CdOctions.areilnl'Q®nate·aM 'NIII•~'d•masing. tho•~~.i!l d!lltllf 

..,eeything wi\lili1 ol!l' PQWtf to niinintiUJdv~ · !llfe'ol& o)! .®r li!tfiOnal·S!:CU!it¥ mti!lglb ln 

addition,.we ateB~j!jired·IQ •¢llf$iiiYWi)h•yt)u l<~:ll!ij'dljse~•··~'!O·~~Jiult we can. >shollldCoQg1'Css~~el!~nt.~~c~'tl!elev~:oi·~li~t!\8' · reductions, we me WinnJiltlOdlo''W<>riling• tlosefywl!ll~lf.tox®lllage'Ol!.~cJil$': .··· · 

Thank;•you for·yql!l'·con!iJ!Uad:JM1llersliip'will>tit~:pepartm.cot, f•~!ltl~~ coQpe!)tlion as we work togl:thcr't<> acboinnJodllre:~.illlfortunel:e ciro\lll)~, ' · '' ' · 

; 

.;> ''·· ... , '·}; 

2 

150 DCMA Administrative Record for FY 2013 Furlough Appeals
DEPUTY SECRETARY OF" Dli:FENSE' 

IOIO:DEFENSE'PENTA!iOt<f 

WASHINat'(lN,,D<;:·,ltOiOti.iOIO 

The Honorable Robert Bentley 

Governor 

State of Alabama , 

Montgomery, Ali; 3~~30 

Dear Oovemot Bentl~.)l,: 

Ali you Ill'<' lll<'e" aware, 

deficit reductipo 

sequestration 

lhe Federal 

Defense (poD). 

ina combined 

our , 

President to ex!'lllp,t. 

Fiscal· 

supportin8 DoD 

currently have 

tum what it means 

We do 

some 

including 

$8 

Air Force- Base. 

information_ on 

'/ 

151 DCMA Administrative Record for FY 2013 Furlough Appeals
In addition, to accommodate iltt.tbe Auiba~ that:;wi>uld be imposed in the ab.encie.Of 

·~'~'Wessio~ OJlllon; WO \Viff::l\e tll#t to pla<:e!J\Osi•cd"our DoD ci)(liliUI'OlnPJP~·OD · unpai<tt\ltlollgh; lllltusfor up to ;22 <!ilf!»ll!lii~llus WoikdtiY,S. AJmost•cOrtainly,.this Ull\'O!Ilintltlt 

actio1,1 fias.ab:<;aliyh!l(l serious adversi>'~'611 the moraie ai:d pl!ldOJlliVityof\h!: . approximately nopo DoD civiliali'enjployees who wi>rJdn ;\labiuna .. lf.we have to i!DP0!!4> 

.these furloughs, ii will.mean roughly a 20 pettel\t pay Q~to"W a neatly sixJI!Ontb pe®i(.for 

these dedico,ted civil servants, wllo irt 1Wllwill'!i~•1Jn!ib!Y•spend·le!S!l•in.Yolihecon!>IDY. We 

estiinatetfuit a 22-wotkdayfurlollgh;·l'Quld·result in a l'a)'l'Oil redUction ofahcilt Sl84 rili!lioniiOSt 

inA!ahama. 

Lastly, it shoulifhe noted tb~:sequestnftion will alsO affect,!')e.'<>OIJII:OCtors.and, 

therefore, the irtdUS\rial· base in yoqr State. 

While these reductions, !ltil:\!!lfPrtW!l1te •<®i\'(11\ ~·.~• tbe nep.rtnlel!tiisllloi!lg. · e~·wilbili outilj\Ower tti.~•adverie·eiteets:oirotir'nali~>~om.!Y Il!i;'J'l>n~. !il· 

adclitlop,we are p'*pat¢:to worJ!idq~'J~.yoil.!ll·~ag~tbese'l!i41i<!!il1.\'fii!\ille. ~·thai. ·· ,we~ap,· Slio~d~ms•llil¢'~\ll>seq-acti<i~ 'that'c~othalew]'.<)l::!lli\ute•o:fth!>'s'e · · .teduc!ion,s,.W!>:are·tommilted'li>Wo'cl!irt$"16sely.withY<i!t"lo,l)l41lago:~•q\liC!<Jy-'· 

· Thank you .f(>ryour continUad•PIIi'tncrshiP With•tb§•D~tj)j~·IID(!for~ 

coopetation as'we· work'tog<:ti\Otlo ai:CQ!Iilllod!$~.1U>f~ citc!il!lsi&DCe$. ' 

2 

152 DCMA Administrative Record for FY 2013 Furlough Appeals
DEPUTY SECRETARY OF" DEFf::NSE 

1010 DE~NSE PENTAGON 

WASHINGTON, DC 2.030t•tOtO 

The Hcncmble Rebert F. McDonnell 

Governor 

Commonwealth of Virginia 

Richmond, VA 23219 

Dear Governor McDonnell: 

NAR 0 1 Z013 

As yuu ""' likely aware, due to the.inability of C.o~ to reach a deal.on baillru:ed 

deficit reduction to avoid sequestratiOn, the PreSid@t wjll be n::guired by fawtO-issue 11' 

sequeslrtltion order later today canceling I!J!Proximately $85 billion in budgetary resoute"es aciVSs 

the Federal Government; of which nearly $4) bil!ioU wo~~ come frpmthe D¢llart1no:nt of 

Defense (DoD). Another sequestraiion order could be issued latef'thismol!th, which coul<! t\ISU!t 

in a combined reduction for DoD of as rnueh as $4Q biltlon - roughly a 9·percent redu!;lion in 

our entire budget except fur milila!y personn<'l fundil)g, Wbicbcurtent law.permitted the 

President to exempt. 

These cuts must be fully accommodated duringtbe remaining seven months· of 

Fiscal Year (FY) 2013. In addition, the current DoD app!<1priatlon (the so .. alled Continuing 

Resolution) does not allocate adequate funding for current 0peialions, which sreat!Y adds to the 

Department's FY 2013 budgetary problems. Because your Stata.plays an important part in 

supporting DoD and our national·SC'Curity, we Wan~ tb pt'\j!ii.de yoU with th~ infonnalion.~ 

currently bave available about bow these unfortunate budgetaty adjustments impact us, and In 

tum what it means for our installations and contracton in Virginia. 

We do not yet have a complete inventory oftbe•teqlliredCUtbacks, but I can )lltl>ide 

some examples: The Navy will bave to '"""'"' uijlin,tenanl:e on II sbipa.iQJ:Iorfqlk and to defe,r 

four projects at Dahlgren, Oceana, and Norfolk. The Army would lose ~146 million in bese 

operations funding across Virginia, includjng cu~· a.~ Fort Lee .and f(n'i. Belvoir. The Air Force 

would suffer a cut ofabout $8 million to their facilities projects at Langley Air For<e Ba:se. We 

are still assessing detailed changes and will be able to provida adijlfional infortnation on cutbacks 

in Virginia as we compile a more complete list. 

153 DCMA Administrative Record for FY 2013 Furlough Appeals
154 DCMA Administrative Record for FY 2013 Furlough Appeals
The Honorable John Kasich 

Governor 

State of Ohio 

Columbus, OH 43215 

Dear Governor Kasich: 

We do not yet hav~ a conll>lele;ii!Ventocy oft~~,outhatl~s ~lltiJI QB,p•~ 

some examples: the Army·· Wt>t,i1cHose$2 ro11lien·irtiba$l:QpCn~ti~n8•fuit~•~Sj(li)JU6, : 

including cuts ar Canjp. P.ercy, The~ Foree wouJ<ts!lfterl! ouN>faii~~·ll!ilfitm'~ tli\:ii ·· .. operatiol!S in tho Sta,te, mcluding ~tjons in.lllcilitios1lt<Jje<:ts•at Wr\gtltl•~iliirf~ 

Base. We lire still assessingdet8jl¢ c-eoi!Jld will•heabloto provid!'sdcllilollalinf'o~bn 

on cutbacks in Ohio as we compile a more complete liot 

In addition, to accomtnodate.'all•tb~qutbackstbat wolilil:he!lmJ>Ilsed in ~.~{!If . 

~ COngressional action, wewiii:be.io.roecfti, p)B9l> ll!llst ofo!lf j)o~p)Yili!ibl~@:l>!h; ., · 

unpaid furlough. status for Up to 2Z!Ilsoo'lltinuousworkdl;)(•o, ~!!$1·~k~ 'Ji!l"~!v t; ·. 

action has already had serious advetse ~~·on #Je tn~~·'!lld~~I)'J>i'til,t, .: '· . ,·' 

approximately 26,000 DoD civilian employees who w0tk'in 0hio. lfwe;•havcHii'jlliJl!;ii!l'i~ · • 

furl?ughs, i.t ~ill mean roughl.Y a 20 p~tpay cut o~Hn"'!tl~ six month P,I'Pq,difl#l.l~::, . . .·· ·• 

dedicated ciVIl servanta, who m tum will presuma.blx spen~c!~.!ll\'your ""9l10!)1;r: :W~·~· . • · that a 22-workday furlough colild result in a payrOll ~uction ofahout $1661!lillion~~~hll> \ .•· . 

0 

-. (; 

155 DCMA Administrative Record for FY 2013 Furlough Appeals
l.,a,!tly,Jt should~e noted.thatsequestrationwilllil$q!lftectilef"'* corl~ aril!, th.,~,'thc ii\dustrili!'liiise in Yolir Sti!!e. · · · · · 

. Whil~ these redllctions "">mf6~teaild ~lp$,0 ¢il\'~ging,!hc· De~ is ifuil!J 

·-,-"'n "'!ithinour . wer·to'·il!i~~:effeCli'!lnournatio~::y,·. · ntiSS!on'."" ···->•• g . .P<L . . ..... 7 . . . • . . . .. . . . "'· 

. addition, we are prepsred•IQ wo'r!I;.<,Iosi!Y'Wit!i.xouJofl!ii~e.tliese n;'dWllil>n" ·. 'tlit.~Uii!t. 

we.~. Should Con~~ take Stilisequ~~ti~\lbiir~~J)aligclll!:~evol or ~ of~ . 

reductions, w. are col!ii)jitt~·to WOtki,l]g:clo~~~Y Witli;Yoil!C!nulililge ~e5 quicl<ly. . ·' 

.Thllnk. ou•for. ur contirlued•'"""""''""'With'~· ·.r;;...--ent.of~~l!?andifOr our' • . 'I .. YO. . . • . ""',... •. ,...,. • • ·""""'"" . . , . . • . Y 

coo pera ti 0 n .as we ··"-"" 

~,.& t<i g oilier•tO . accoiiDriodali:'thesei\~DioltUDBte . . . . . . . . . . ~ill:liiiiillal1~s. . ·. .. . . 

156 DCMA Administrative Record for FY 2013 Furlough Appeals
The Honorable Ri¢k ~ 

Governor 

State Qf florida . . 

Tallahassee, FL 32399 

Dear Governor Scott: 

in a 

our _ . .· 

President to exempt. 

tum what it.tneans for 

some examples: . 

'' ,'•' 

157 DCMA Administrative Record for FY 2013 Furlough Appeals
ln .. additiOn. l<>."""ommo<Jal!> allitbe el)t)la~ ~ WQt!!d' l>o'iln jl!J$Od in< !he.~ ,\lf 

fi!rtber Coo,gressioJl81'110tion, ~·WifP~force4·~· J:>l#:i1)~st:9foura.w>;elviliAA:~l<ly~o'' . un .. Ml "d:tiu'lough•statusforu .. . . p to2~~tinuous'wodlilli'';.AJm· . . . . . . . . .l'J. . Oli ~~··l!Usunt'o~'' . . )', .. . . . 

action basalready'had .se'rious ad\<erSeJittet.~onlbe•i;)Qii![~~~·l>fud~~~ihe 

~ppti»dmo.tely 3\,000:f>o))civlJiil)),elllj>loyees who\votkinJii~~J,f~ha~e!Ojln~.tbese 

fui'louglti;'itwJll:m"'ln ro)lghty a2.o p~t~Y~utov«a lil>a.tl}"six ll'iOl\11! ~~~ · 

dedieilted oivil.setvantll, wb6.1r)'JUniwiltpieSuma~l)tsj>end less·ln·Y.Ol!l'~': ·'Wo'~ 

that a 22-Woii«!IIY'furlough could re~lin apiYroit.~on C)f'lii>OiitJtliS~~\IS.ti"IJI morid& · 

Lasdy, it shou)d be note4 !lle):~tJesl!;ation w\1.1'1111!6 alte¢1 tiefe!,.O ¢l>ilttao!<lf!!'ond;l, 

therefore; the indtistrllll base in.YI)IIt:StlJte. · · ·· · 

- -- ',, 

-- Yc" 

2 

·, -; __ 

158 DCMA Administrative Record for FY 2013 Furlough Appeals
DEPUTV·SECRETARV'dF·DEf'ENSE 

101 ODEI;EN.SE fiENTAGOI< 

WASHINGTON, 0~ ;!OSOI·IOIO 

The Honomble Tom Corbett 

Governor 

Commonwealth of Pennsylvania 

Hllllisburg, PA 1712Q 

Dear Governor Corbett: 

As you are likely aware, du~'IQ the inabilit)l of.~'IQ reaclt:a,40!!1·®•l!el•nr<# 

deficit reduction lo avojd s~uestratio~.!l\e.Pn:Sidllll.t will bewas~til!>1d bY·IIfl\'.11>•~. · 

sequestration order later todl!Y canoej@~'·I!PJ)tOxltn!\tely-~85, bllli1:!ftiln ll!l<jg~.~~~· ~ 

the Federal'Oi>Vert\llWI11, ofwliich fi~y:$41 biljion<\'i~!IJM:®~';@ffi:fll¢1~01)j,!ff: .. ' ;:, . · ·. 

Defense <?oD). An~lher ~uesl(atiiln lli~J'iCO\l[d'lle!~~later thisJll.Odth,'!llll~lj;~~~f •· 

'" a combined reduction.ffir OoD'ofllllltlU~ as·$46 bUI•on -,to~gl,ily ,.,9;~'Mjl¢tj9!Hn · our entire budget excqn for miliUUy.Jielsollllel funding, .which ®rrehtlaw pc1'Jiiitted'!hll-. 

President 1o exempt. · · · 

These 

Fi~al ··.'.' 

Departrnenf.s 

tum what it nteans· for our 

We do not yet have acoii!pllote. invl!i)!9fY ofthHe!!'lited cut~ b!¢11\oali:@i¥1!1~ . t ··. 

some ei<amples; Th,e.Army wouldlo~ $7@llioo iid>li~ o~!ilions:fli!ldi,Og;Jieio$&, . \ :· ' Penus~Jvania,.inclildiilgcuts atCarliSie!Bmac)fs:!ll\df~>ri~~~- •l!l';~il'O.I\-~.•· operations at Tobyhanna and Letter~eunY cp'IJd expen""-"" lfred~~<;tion:ofaslriiliCh:as. . ,: ·• · · '' .. 

$75 I million. We are stillassesslnj! det3ile<fcillanges aridewill be alil~.ro pr<l'vi~ aj(i!fficin!il?if .. infonnation on cutbacks in Pennsylvania.., we compil~ a more<:omplete list. ·. . ' ;. 

' 

159 DCMA Administrative Record for FY 2013 Furlough Appeals
·< 

2 

160 DCMA Administrative Record for FY 2013 Furlough Appeals
DEPUTY SECR!tl'AR:Y C$'sDI;I'EfltSE 

1010 DEFENsE PENTAGON 

. WASRINGTON; DC~t'lt>lO 

The Honorable Martin O'Malley 

Governor 

Stale of Mary!Bijd 

Annapolis, M0:2140! 

Dear Governor O'Miilley: 

As you llf<l.likely 

deficit 

the 

Defense 

ina 

our entire 

currently 

tum wliat it means 

some.ex@lp)eSt We do:~~t:~~:£\i,~t~}~ ~of·t including.cilt$ ai' 

of ill least 

and will.be ti> provide 

more complete list. 

",_._-;, 

161 DCMA Administrative Record for FY 2013 Furlough Appeals
_ bradditiO!l, IQ ~mmOii8te:\111 the cut\>IICics tl;atiWould be im~ hi the ~!>e'9f 

furth<!< Congressil!ll!ilaotion, ~·'will!>e f~.!Q p1~ Jllllstot'Oilr~D civililm employees 0n 

nn~id --.-:- furlOugh· _. status _ -~ _ f1 or • __ up. t o _ :'21 disco n~ ~•li' o~)¥"0.1:'~~· ""' ·' · '-'~"- - ~-• bnost , __ """"'"h•, --~~,.-,.~.w.uv~~~ '"'""'"-"-"'-·-·-

action has already-ba;<!,~ri.ous ad~~ e'!!:acl$<>ti;lli¢ 1ll9!;!11~¥d productiviC¥:o~'ll!e' _ · - approximately 46,01)0 DoD· civilian :e!hplbyeesNilil! Wt>tj< ip; Mai;y!ancj .• If welil!V.-!Q impqse 

these furloughs, it Willmeao rougblp:2o:~tpaY C\l!'c>yet a De;~rly~ik·inOlllll-pO!tQd 10);:, · 

these iledi¢1ited civilservanf;, who ip tl!"i will Jll"$11inaljly•Sjljmd I., in: Y<lUr -~l)IY-, }Ye ' "• estil))~te fbat a 22-worilday 1\ir!qllgh. COuld resUlt Iii it I>JlYr<>lfie<iucti~~~ of' ibi>lli'•S!f5'9:liiilli!lrrjil$t • 

in Maryland. 

~tly, it sbould be nQ!ed-tbat s¢q!ICS!tilion will alsoaffecHlefense con~~-lli!jl, 

therefore, tbeindUSlrlal l>aSeinyoiJrStale. ·· · · 

_ Wb* t)lese red)i!;tiops ai;e lttlf~itunale l!il'd:Wil)ibe1im);aging;th~'~i.~c!k>~ 

evecy;tl)ing within outpl!Wei to.¢iniri!i~a<jii~-~ on:.\lW'""P~:rllil'~llrilY'Dii~io!!, :hi· . _ additi' Ollj~ ? e•ate.~·~":W•Wt>!i'<ilos~l"With: .Y'~"" . ' ·--' .· yon . ··_- -tn•""•••>~et)lesi>~ns-t!l\tbe:~tthat: ... ...,... ·-··. . ' ... , , .· .. we eao -· . -· ShoUld:C': .. ~-~ · '' •bike• __ so.,._" 'b'""\itrii aoti®s-·•~"'"""~e:ilie:lavel:oi.naiu&:'Of.th* __ . · · ..... ,_..... < .. ··.<····· 

roductions, wo'are ctimml~lb . . ·worklng1itos~l:i'\Vifh)iQ~'lQ•lhitllil&e~~ '-· - . . . qui~. v 

Thank you for your t\)ntinue(f~,rutj> Wilhcilie ~~~of ~OIIIi~andfpryour cooparation ' . ll!i we work together W acC!>Iriinodafe . ihese-unfurt'unBte citcum•"""""'•' 

162 DCMA Administrative Record for FY 2013 Furlough Appeals
DEPUTY SECRETARY OF DEFENSE 

1010 DEFENSE PENTAGON. 

WASI:fiNGTON,. DC ZoliOI·IOtO 

lbe Honorable Jay Inslee 

Governor 

State of Washington 

Olympia, WA 985.04 

Dear Oovemor Inslee: 

IU you arc likely aware, 

deficit-rcductipn to avoid 

the 

in a 

our entire ·budget 

President to exempt. 

MAR 0 I (Ofl.···· 

These cuts must beofuUy ,llqCQllJll\odaled during•llie;rti!J'ailiing sev~'l'!~<lt. · '·· ·· Fiscal Year (fY) 2013. In adlliti!Jti, t)i~.~~Qt Dp!) il!lEroi>rilliio:O..(thes().:ca)l!!ill.~~;;: . , · · 

Resolution) d oea not·ailocate•alf . .~_, · · tefundil1 "'·, . g .fO r c · Unent:<"""'''~'ri"''"h•""""'"':;d!li.iii~ . 9,. ... ,.~. • '1""M!' ~.~;rt~~'--' ., ·· '' 

Department's FY 2013 budgetarJ6pl'QDl.~. B~¢aUSe·¥out.Sta.te plays 11Ji·lmport8#t'p~·i'Jt.t; .. , •.. 

supporting DoD .and our national secUiity; we wruill:<l ib·pi'QvkleyottWilli;t'lw~!ll!i~•i(:• .· · 

cUirently have available•about how lliese unfot~Unaleibitdg$ty a~]Usjllreljta~!U!;;Oti!lii!l ... 

turn· what it meansfor.our·in~lationHndconiractors in llie Sll)teiofW~IIg,t<lii> . · , > 

We do hOt yet h~v. a col!llll$ il\ventorr o.ftl}e:tequired;outl\ael<.i .bin;lj<lli!.~~'••i' · 

some examples: TII!>·Atmy.wowd l<ill<l'$1 i4.lJiilli~n•in l!@e p~6~fi!n4JDi:I\Cl'i!SS', (, ·. 

W~n. in!>.lllding:outs atJ~lirt Blll!e I.~Wis.McCo•~Y•TilMlt~ wolllJf ~tr~~r~ Wf~iatr 

least $3 million, mc(uQJng redUCtip~ill facilities f!!Qii\C-IS.~tFiildtild ~·~"~ 'flll'•'NaV§. , 

would fa¢e canceUatibn of:al!ct8t\depot~l¢'Whidbey ISI.~d •UI<U demolhlll!F :: · 

project in Brometton. We are still IISSei!Sjng.dotai\ed'i~gcalllld will be able .to t!t0Vide3 

additional .information on cutbacks in·W~gton a8,we compile. a more complete list 

163 DCMA Administrative Record for FY 2013 Furlough Appeals
( 

2 

164 DCMA Administrative Record for FY 2013 Furlough Appeals
DEPUTY SECRETARY OF DEI;ENSE 

I 010 DEFE~l!SE PENTAGC!N 

WASHING'tON, CC ~t·1Qf0 

The Honorable Rick Pony 

Governor 

State of Texas 

Austin, IX 78701 

Dear Governor Pony: 

As you ""'likely 

deficit reduction to a\'Qid 

sequestration order 

the Federal 

Defellsc (DOD). 

our-entire 

President to exempt. 

Fiscal · 

supporting DoD and· . 

currently have availatile 

twn what it means-for our 

We 

including 

and 

would 

Randolph, and 

procuremeDt of 'the 

to provide additional· 

- . \- -" 

0 . . . 

~O.ll913 .... ' _-: { 

165 DCMA Administrative Record for FY 2013 Furlough Appeals
Lastly; lt sl!<>ula·b!l no~ tbat ~on will ·alsoiil!'ectDe~.~:'(ljjd. · •. 

therefore,·the industrial base.iJ!·Y9ut'$ili~. · · · ',/; 

2 

166 DCMA Administrative Record for FY 2013 Furlough Appeals
Memor;mdum of Understanding 

Between 

The Defense Contract Management Agency 

And 

The American Federation of Government Employees, Council170 

Process Covering Potential for Administrative Furlough for FV 2013 

On 20 February 2013 DoD notified Congress of the potential fo_r an administrative flitlough for 

up to 22 workdays in FY13. DoD also notified the National Unic:>ns (thos-e with national 

consultation rights) on 20 February 2013. 

The legal maximum for an administrative furlough (without using Reduction In Force 

procedures) is 22 discontinuous d;:~ys (176 hours). 

Any decision to hold a furlough Will come from the Office ofthe Se_cretary of Defense, on or 

after 1 March 2013, depending on sequestration eve.nts. The provisions in this Memorandum of 

Understanding are the results of collaboration between DCIV!A HQ and AFGE Council170 and 

will be applied agency-wide without further negotiation below the level of recognition (DCMA 

HQ and AFGE Council170). Negotiations below the level of recognition (DCMA HQ and AFGE 

Council170) are not authorized. Provisions contained in this plan may be subject to fur:ther 

collaboration depending on actual DoD furlough guidance. 

DCMA will follow parameters establlsh~d by DoD: 

• Conduct furlough equitably atross DoD 

• General rule is that full-time employees will be furloughed 16 hours per pay period 

across 11 pay periods (176 total furlough hours starting 25 April2013). There are 11 pay 

periods between 25 April 2013 and 27 September 2013. 

• Exceptions: 

o Employees deployed in a combat zone 

o Foreign Nationals 

• Involve unions in the Pre-Decisional Involvement {PDI) and Impact and Implementation 

(1&1) process 

• Part-time employees will be furloughed on a pro-rata basis based on average number of 

hours worked per pay period (e.g. 20 hours/week- 88 hours furlough; 32 hour/week132 hours furlough) 

March 1, 2013 

167 DCMA Administrative Record for FY 2013 Furlough Appeals
• Temporary employees, term employees and re-employed annuitants may be released or 

Included In th'e furlough 

• PremiUm pay may not b_e used ta offset effects of a furious~. (overtim~, compensatory 

time) 

Additional DCMA establlshod parameters: 

• Minimiza adverse impact to missi·on 

• En~.ore continuity of operations 

• The only dvilian e•ceptions will be for Individuals deployed for CCAS and locally 

Engaged Staff in DCMA International 

-• To the extent practical, conslder employee preferences-In all furlough scheduling 

decisions 

Scheduling: 

• Full-time employees furloughed 16 hours per pay period for 11 pay periods beginning 25 

April 2013 (part-time employees pro-rated based on average hours worked per pay 

perjod). 

• The proposed furlough notice to be given to employees at least 30 days prior to the 

furlough st<~rt date will include a suspense date by which employees should provide 

their supervls_ors With their proposed furlough schedule for 16 hoUrs per pay p·eriod 

beginning 25 Aprll2013 and ending 21 September 2013 .. 

• To the extent possible, furlough will be s.cheduled In full8 hour days instead of 

scheduling muitiple h()urs across-several days during the same week. 

• Supe_rvisors wiiJ work with employees to set furlough.schedules based on mission 

requirements-and· ernp_loyee considerations. 

• The flr$t·consideration of supeNi.sors· in making-decisions about employee proposed 

furlough days·m.ust be ll'iission requii"_ements-. Supervisors will then consider employee 

financial implications (I.e. vaca"tion.arrange·ments already pur:chased or other financial 

pen·aJties); previo-usly approved leave; chlld .. care; elder-care; and t_ransportation 

arrangements/costs or other employee hardships. If a supervi~or must decide between 

multiple requests for the same furlough day and none of the-above considerations 

apply, then the service computation date for leave (StD leave) wm be used to determl·ne 

the most senior person for approval. 

• Proposed furlough days will-be submitted an(:~ approved using the same process 

currently used for the request and approval of work schedules. 

• To the extent possible, employees will be furloughed 16 hours per p_ay period_ but hours 

in a week or pay period may be·modiHed to accommodate specific situations. f)dended 

March 1, 2013 

168 DCMA Administrative Record for FY 2013 Furlough Appeals
TOY or training may occur that will require furlough days to be taken on an alternate 

furlough schedule. For example, an employee attends a 2 week training course so is not 

furloughed that pay period. The 16 hours of furlough ''missed" will be redistributed 

immediately before and/or after the training. 

• Furlough hours may not be "grouped" at the beginning of the furlough period or 

"postponed" until the end of the furlough period, e.g. an employee may not take the 

total176 hours at the end of April/beginning of May or at the end of August/beginning 

of September. 

• SupeJVisors must consider the impact of furlough on current work schedules and 

telework arrangements. Work schedules and telework arrangements may need to be 

modified to ensure maximum efficiency of operations (changes will be made in 

accordance with CBA procedures). 

• Furlough proposal notices given to employees will include a statement that telework 

arrangements and work schedules may be impacted. 

• Organizations will consider mission impact to determine if certain furlough days/hours 

will be required (e.g. contractor plant is closed every other Friday so all employees will 

be furloughed fOr a full day every other Friday while the remainder of the 16 hours will 

be scheduled the following week). 

• The effects of furlough cannot be offset with contractors, military personnel or premium 

pay. 

Furlough Notices: 

• Notice Requirements: 

o Notice in writing with a 30-day notice period 

o 7 calendar day reply period 

o Right to representation in making a reply 

o Written decision 

o Notice of right to grieve under the negotiated grievance procedure OR appeal to 

the MSPB 

• Proposal notices will be issued to employees on or about 18 March 2013, providing a 7 

calendar day reply period. 

• Decision notices will be issued to employees not later than 24 Apri12013. 

Work Force Communication: 

• HC Messengers 

• DCMA Furlough Website- deploy 1 March 2013 

o OPM Guidance 

March 1, 2013 

169 DCMA Administrative Record for FY 2013 Furlough Appeals
o FAQs 

o Furlough e-mail in~box link for employee questions 

o DCMA developed-guidance 

• Information aboUt h'ow besuo mitigate impact of financial decisions on 

security clearance 

o EAP information about assistance available 

• Periodic Director/Deputy Director updates via multi-media broadcast or On-point 

Memorandums 

Furlough Documentation: 

• After completion of furlough one SFSO will be prepared for each employee specifying 

beginning and endihg d'at~s-of furlough and total number of hours furloughed. 

• SF-50s will be available to employees in eOPF after they are processed. 

,;¥rtheAiency 

VJames Russell, Deputy Director 

March 1, 2013 

170 DCMA Administrative Record for FY 2013 Furlough Appeals
··- -·-·-'9 

-·-"" 

Federal Register/VaL 78, No. 44/Wednesday, March 6, 2013/Presidential Documents 14633 

[FR Doc. 2(}1:J-{)S397 

FUed 'J-5-l:J: 11:15 am] 

Bl!Uug rode 3295-FS 

Presidential Documents 

Order of March 1, 2013 

. •, . ·~·~ I 

I . / 

Sequestration Order for Fiscal Year 2013 Pursuant to Section 

251A of the Balanced Budget and Emergency Deficit Control 

Act, as Amended 

By the authority vestod in me llB President by the laws of the United 

States of America, end in eccm:dance with section 251A of the Balanced 

Budget and Emergency Deficit Control Act, as amended (the ''Act"), 2 U.S.C. 

90te, I hereby order that budgetary resomcea in each non-exempt budget 

nccount be reduced by the amount calculated by the Office of Management 

and Budget in its report to the Congress ofMarcb 1, 2013. 

Pursuant to sections- 250(c)(6), 251A, and 255(e) of the Act, budgetary resources subject to sequestration shall be new budget authority, unobligated 

balances of dofense f!.mction accounts clirried over from prior fiscal years, 

direct spending authority, and obligation limitatioru;. 

All sequestrations shall be made in strict accordance with the requirements 

of section 251A of the Act and the specifications o1 the Office of Management 

and Budget's report of Maxc.h 1, 2013, prepared pursuant to section 251A(11) 

of the Act, 

THE WffiTE HOUSE, 

Washington, March 1, 2013. 

172 DCMA Administrative Record for FY 2013 Furlough Appeals
,r-\ . 

/

,. j/". ' 

M-13-06 

EXECUllVE OFFICE OF THE PRESIDENT 

OFFICE OF MANA'lEMENT AND BUDGET 

WASHINGTON, D.c. 20ZS03 

March I, 2013 

I - \ 

MEMORANDUM FOR TilE HEAJ?\~ECUTIVE DEPARTMENTS AND AGENCIES 

FROM: Jeffrey D. Zientf'. \ J 

Deputy Direct~Manage~ent 

SUBJECT: Issuance of the Sequestration Order Pursuant To S.ection 25IA of the Balanced 

Budget and Emergency Deficit Control Act of 1985, liS Amended 

. 

This memorandum is to inform executive d~ents and agencies (agencies) that the 

President has issued a sequestretion order (order) in accordence with section 25!A of the 

Balanced Budget and Emergency Deficit Control Act, as amended (BBEDCA), 2 U.S.C. 90la, 

The order requires that budgetary resources in each non-exempt bndget account be reduced by 

the amount calculated by the Office ofMaoegement and Budget (OMB) in its report to Congress 

of March I, 2013, entitled OMB Report to the Congress on the Joint Committee Sequestration 

for Fiscal Year 2013 (sequestration report). 

Due to the failure ofthe Joint Select Committee on Deficit Reduction, the President was 

required by law to issue an order canceling $85 billion in budgetary resources across the Federal 

Government for the remainder of Fiscal Year (FY) 2013. OMB has calculated that, over the 

course of the fiscal year, the order requires a 7.8 percent reduction in non-exempt defense 

discretionary funding and a 5.0 percent reduction in non-exempt nondefense discretionary 

funding. The sequestration also requires reductions of2.0 percent to Medicare, 5.1 percent to 

other non·exempt nondefense mandatory programs, and 7.9 percent to non~exempt defense 

mandatory programs. The sequestration report provides calculations ofthe amo1.01ts and 

percentages by which various budgetary resources are required to be reduced, and a Usting of the 

reductions required for each non·exempt budget account. 

Agencies shall apply the same percentage reduction to all programs, projects, and 

activities within a budget account, as required by section 256(k)(2) ofBBEDCA, 2 U.S.C. 

906(1<)(2). Agencies should operate in a manner that is consistent with guidance provided by 

OMB in Memorandum 13-03, P/anningfor Uncertainty with Respect to Fiscal Year 2013 

Budgetary Resources and Memorandum 13~05, Agency ResponsibilitiesforlmplementaHon of 

Potential Joint Committee Sequestration. 

171 DCMA Administrative Record for FY 2013 Furlough Appeals
.l../l;;lCIISt:.gov 1'~ews transcript: DOD Press Briefing on Sequestration from the Pentagon Page I of5 

TOPUM<S 

~·~~-ri'1_o" __ 

Twllte, 

,~----.-.;--·-" 

-···fiiQc, 

Wid'Veh"-- "" --

~-H•~ 

-· '"'"i'OdaYinDGi>~---

"•-~eieo~ .. ·--,,;s. Aciv*>rie. 

P~illiOOiiQ.,;-·· ·-

. .2':~~----

·-· ... ~~ 

- lilghllghto 

Phot<> EsMY., wod;""ii>~-

OoDinro 

·-p0fl9tu <iliiii""" .. TrG~f.,blllt\' 

COmmunity 

Relation• 

-Sio':! • ~Pes---· Roco•"'Y Ad: 

-"Sih, Hap 

United States Department of Defense 

U.B.~ofllefanst 

Olllc:e of the Assistant Seeret8ry a( Delens• (Pobllc Atran) 

News Transcript 

March 01,2013 

DOD Prest Brltllng on Stquutratlon from lh• ~ntagon 

SECRETARY OF oi::FENSE CHUCK HAGEL: i}epuly Se<::retary Ca1er ll"ld I wanted lo lake a few mlnut&a IIlia aftG11'10011 lo talk a little bn llbcul 

saqueatratit>n ll"ld whal was 8IIIIOUIICGd today. Many of)'OU srrw the Prolident a few hcxirs ago. And rn make a staremeot and than the Dapury S&Cnl!ary a1t1 

1 will entertain quaatlona. Sa, thank you far coming. · 

I just spent an hour, actually and ~. with tha ~ Chlefa to talk about this !Que and lo talk about oonsaqueocea, and how we wlll 

c:ontnue to adjust to lhil realities !hal fao:e au-QJUI'Itry and face this lnaliMion. 

In parf.:Wr, rd lit& to ac!dresslhil ~hly lhai.II8QU8slratian !a causing, Iandi will contlnoe to cause this department. But ar tha ouiHI of my 

remarks, 181 me makalt clear lila! this 161081tai11y puts Bills!< c..- ability Ia ell'ectiVe/y fulfiJ aK cf o..- mlsslcn$. Leadllrshlp In lhe Penta~. all of U!l. have two $8rklus f;OIIC8m5: first, the abrupt and arbllrarycutq Imposed by sequesler; .-ld! sec:and, tha lad< of budglll m~ l!ex.iJillly that wa now flloe unde( lhe 

cooent <XIIIUoolng rasolulion . 

Over !he pastlwo months, o<io has begullo Me the e11acts m:ld oonse~ oflhatuncerlalnly. AIII&QUII$iar oontlruas, we will be foJWd to 

as01n1e m<lnl rblc, with steps thai will prograsslvaly have rar~ng etreda. 

Let me highlight a ccuple Cf I!Ciloot thai we ara laking as a resuM of !heH budget oonslrtllnl&. The Navy will gi8Ciually stand down at 1aas1 four wi>gs. 

The lim wi'lg wiU slaod down In April · 

Etracilva irnmedialely, J>:r Fotee flying hours wm be cut badl. 1hls wil have a msjcr impact on lrainlng end readlnUs. 

The Army wfll curtail training far aU units ~pt those depleylng to ~ l!ldvar$ely lmpading naso1Y BO percent Cf Atmy operational un~s. 

Later th!a month, we Intend ra Juua pratmina<ynotificallons to~ Cf civilla-! employaas who will be ftrlaughed. The.!te IJ!eps came en toP of 

thaae lhe department began in January to slaw spendino In lliow of this uncartahly. 1hola lncludOO daii)'Wlg deplcyment of naoal assata; lmpa$1ng civlllcln 

hiring fr&ezelo: beginning to lay off temporary and term lllll)lloyⅇ sharply cuttng beck faciitkts mainlanance: and beginning nrvlawa IC delay o:ontracr&. 

If osequaster conlir1Jas and lha oontnulng rasarutlon is alMnded In !Ia cu-wm form, alher darnaglrlg ellects wiU booc:aha l1PP81"8fll 0... number one o:NIC8m Is au- people, millleiy lnd dv!llan. tha millons of mMand wcman of this dopertmant who work V«Y hard GVIII)I day to ensure Amarica's secuncy. 

1 knaw !hal !helle budget IUS wilcauH pain, ~among our civilian wOOd<l«:e and the&- families. rm 8lso ccncarned, as we aK ste. about the 

!mpacl on readiness that these cuta wiU have ac;ross curforl:e. 

Foo- thase raasona, the department's saoJor lasdershlp and I will ecnln.oe to wcrk with tha admlnlslralion and Congr&u to help resolve this 

uncertainly. Spacifically, wa need a balanc<>d deficil redUcli«< plan that leads ID an end ID sequestration. And we need Congress lo pass a~ bills 

far DOD and all federal agencies. 

We will need to maka hard cholcas. And 1 will da evarythlng withO't my power to see that America uphQidt illl commitmant to our 81f1as and our 

~and, most lniportanlly, 1o au- &&Mea members and thalrlamilo». 

Today, America has the best liglltlng lcrce 01 the wcrld capable of responding to any challenge. This unnacessal)' budget crisis makes thai jab much 

harder. 8141 wa will ccntlnue to ensura America's socurily. Thank you. 

rlllake a couple Cf quostlcns, and then rn ask Ash rcr his ra8j)(ll\aes. 

{CROSSTAU<) 

Q; Mr. Seeretary, lhBnkycu. 

Ycu, havilg laid out a number or ccn$equella!s there, you -the language you used Will not as <hlmatit; as been used by cthars in this building in 

recant monthS of talking about "catastrophic" and "disastrous" rasutts if ~lion hsppened. 

Ate you of lhil Yiow lllallhl• is nat a aifualicn whk:h the U.S. will be raducad to a sat:ond-fate mtmary power? 

And may 1 es11 a question aJsc on Syris: v.ttars yourvlow about whelher the U.S. CI!(Otlllo ba doing mora militanly Ia help the rabels? 

SEC. HAGEL: Wei. Bcb, your fil"$1 question, AmBfica, as J concluded Jn mY remarks, has the basi fiahtlng f<llell, the m~l capable ftghllllg loo:e, lhe 

mostP<I\VBiflJI fighting fcn:a In the WOI!d. TM mBnBgamenl cf this lnslffutkln, starting with tha .klint Chlefa. aru not gonna allow this - Jh"' capeeily lo aroda. 

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We win manage thestt issues. These ere ac(tiSimM!s. We antidpated the.., kinds of real~ies. And we will do what we need to dolo assure tha capabi~lles of- of our fon:es. 

On Syria, I think it's clear what our po~cy - the administralloo'S pollc:y is on Syri~t non- lethal assis!atlce. Secretary of State Kerry has recently 

commented. as you know, fotlowing his trip aroood the wOOd. And I think the policy that the Un~ed States has is the correct policy. 

0: SaquastraUon has been described as a slope not a cliff. So in your opinion, how long can s&ep.Jes!raUon go on before them is mal demBgBIO the 

defense of the unned Slates? 

SEC. HAGEL: We are adjusting for the realities !101 just of what happened Ieday. but. as I noted In my ram arks. we have a continuing resolution 11\31 

expi"es on Mllrch 27th th;!rs an additional complication. 

I have c:onfldence in the -the prusidanl and the Congress thai decisions, consensus, to -at some point lo avert tremendous damage to this- this 

institution. 

This Is th& security of the Uniied Stales of America W&'ru talking about That is the hiGhest order of anY government, llt1l' l&ader. And we will - W8 will 

do what is neoeasary, what n takes to assure that security, as I noUced b&fore aod mentioned in my- in my comments. 

0: Mr. Secretary, your predecessor and many other senior readers of the department have 8lCpr&ssed coilcem that th& budget uncertainUes with 

s&ep.~estre!icn and the C.!'!. are going to prevent the department from Implementing the defensa strategy thai the Obama administration unveiled lest year. 

Do you share that view? And, ff so, l'hl9o do you th-...t< you need to srart molflfying the strategy? 

SEC. HAGEl: INuit. as I said, fii"S!. adjustments ere being made. and W&'va anticipated the required adjuslmenls ro our budget to assure the 

capabUitles and readiness of oor- of our rorces. 

As to the issu& of the Presidenrs wateglc gui<lanca, thai Is the polfcy. In my opinion, r think our leadership's opinion, irs the correct policy. 

We have been inplemenUng that strategic guidanee over the last year. We will continue to Implement that- that policy. 

0: (inaudible). Swiss Tlllevislon. 

Given yoox role inskle NATO, what is going to happen to NATO? And ora you in conlact or will you be in contact with me allies and the seemtary 

general to 8lCplaln the situation? 

SEC. HAGEl: Wall. we hava been In touch with our NATO allies. We, as you know, are in coostant c:ommunlaltlon with our NATO al~es. I think that 

they am not unmindful and not o.nawara of this i$.sue that we are CUTe/lily engaged ln. 

Our NATO at~es have difficulties as well, with their economic issues. And the fact is NATO represents probably the most successful collective saQ.I'ily 

relationship in the histO<Y ol man. 

Thai relationship remains srrong: wiU continue lo remain strong: must rlll'llain strong. 

Q; Mr. Secretary, just to darify something you sald earlier, when you sajd the consensus will be reached to avert tremendous damage to th& 

lnstllufKJn, am you saying you thlnl< thara"ll bB some &art of an egf88menl made on sequestration or •.. 

SEC. HAGEL: I said -I said I hoped that and I have coofodence thal we willev<>rtluatly sae a consensus. And that'S the only way 11uo1 we"m going to 

gel out or It This Is a ~ip. This is a -this is a republic, and n Is the 8lCecutive and the congressiontll branches WOI"king together to find a way out. 

If you listen to oor leadars. ell ere saying the same thing. We need lo fl'ld a way lo resolve the Issue. And thai - thars the only way our. 

{CROSSTALK) 

SEC. HAGEL: rm go;ng to leave. This genUeman, who some of you may know, am not unfamiliar. Ash Clrter, who. as you know Is our deputy 

seaetary and haS had a very signifrcant role. a leadership role, on this particular issue as well as ethers. 

And I mlghl say, as t ask hin to come 10 the podk.m, I appreciate very much his leadership and his focus on what ncl only has been going on here, 

but his years of SDnlice lo this insUiution. And it's - irs a benef~ lo our oounlly, ...-.:! ifs a benefit 10 lhia insUM"o:ln, especially ala dlfficu~ lime like this. 

So I don't want lc say anything mot(l about him, ether than thal 

Ash. thank you. 

Q: A couple questions. Can you flesh out over the next couple week$ what practical impacts we will- the Pentagon lll1(j its forces will soo from 

sequeslralion, versus three or four months now, but ever the n&lCIIwo weeks what will we sae? 

DEPUTY SECRETARY OF DEFENSE ASHTON B. CARTER: tat me start with U1e Army. You"m see the Army beginning tc curtalltraining at. for 

example. lhe National Training Cenler. If we go 10 the Air Force now, )'OIJ"tl see the Air Force beginning to curb flying llcM.n. And that means thai the nuclearcapable! Air Force, that part of the Air Force that Js participaUng in op<!relions in Afghanlstao, we will protect them, and U1al means thai the curs caused by 

saque$1ralion, also the continui"lg resolution, will fall more heavily on other partS or the combat Air Force. They'l need to cease training. which means they 

wcn"l bB ready lot Olherconllicta, which Is a serious impact. 

YOOVa srraady •een the Nevy begin to make adjustments in tsrm• at how m!WI)' $hips are at saa. And you w~l see each of our program managersremember, saquesler affects eao;h of 2,500 individual investment programs ildividually. And so we're working w~h our induslly partners on each or those, and 

you'tlth11111 begin to make adjustments, for example, in the number of weapon• systems in a glvan catega<y thai are being purchased. So a different kind of 

arrangement - fawerW&apons systems in a contract thai we anticipated were going to be put in a contract. 

Thars the kind of thing you'll see. And as the secn!lary indicated and as !he president indicalad eartler t<Xlay, this progressively builds over- over 

coming months aod constitutss a serious probJam, partJcuJarfy in the readiness acccunls. 

Q; And one foliOW-I.lp. Don1the services have fle:cibitny within !heir individual- their O&M accounts to protect !he oparaiions -!he operttingforcas 

account thai aC!ually bankro~s training? 

DR. CARTER: They do have some nexibiity even under s&quaslralion with D&M accovnts. They ere using that Hexibilay. They're using lhal fl&lCibility 

to protect op<lrations In Afghanistan. So we am not curbing or wfthholdlng in any way training from units that are going to Afghanistan. 'Mlal that means, 

though. Is that the bu"dan falls more heavily upon the rest of the Air Force. 

A tor of paople ask why does so much happen so fast. And you begin lo s-ee some of the mason for lhal You have the combinarron of sequester aod 

the conlinuing resolution. You·have the faC!Ihat we're rryng to project the war in Afghanistan. Yoo have th& fad that only ha~ of IM fiscal year is ~-

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And so what mmains evM In tllc>se O&M aca!Unls, evM aft9ftnsl we move evet)'lhing around- and- and what Seae!aly Hagel just said 18 we'ra 

doilg averything we poS$ibly can to pro!ed natlonaf security and minimize damag&. But the~Unty 19, 8'1811 arter yodve done all or that, even In the O&M 

aa:ounts, Whleh are the latgasl you stif don't hav11 enough money lefl.to do Ill& tralnloQ that lllldetllea readiness. And that's why lh!l reOOineas able !hat the 

chiefs referred to Is very real II builds as the year goes along. 

0: {lllaudibla). !hank you, sir. 

You talked about lh9 programs lhat you're~ sbot.t. Naw, which people are you most cancemed abou! today, /lOW lhat !he se~er Is 

offociet7 Are there any immediate impacts on pei'!OIVIel end their families (lnaudibla)? 

OR. CARTER: I -llhink thefmP8dS ~no Immediate In an th-ee of !he populations lhat we depend on for naliooet defense. Flrsl, for the troops 

lhemsdves. of o;:ourse, the prasident has exemp!ed lh!l pay lor military persomer rrcm sequester -the right decision. 

However, our mmtary personnel wiU still feellhlngs immediately. For example, if you planned to fly or to lraln In th9 next few months, lhars !llelr duly. 

That's !heir profeulon. That's their responsibility to OCII natiClnlll security. lhey're not goilg to be able to do that. lhey'N feellhat inmecfoately, 

Second, ....-civiiiail wodcfOI"Ce. As you l<now, 011" Q'vilian world'orca Is about 800,000 strong. Those people, too, are ded~ad to the defense minion. 

They live a/IOverthecoun(ry, whlct1 J remOld you, 86 patcaoloflhem llveCOFnple!elyoutsldelheWashlngiOII81"88; 86peroanl F~perc:enl of !hem are 

veterans. So lhey're dedil;:a!ad to the mission, too. And aa the year goes on, o'TIIl!l)l oflh81l) will be .ubjed to fu1ough. 

Third, and linally, the eontractorwafd'orce that depends on us, arKI we In tum dapeod on lham. Wfl- we don't make anythl1g hwe n tha Pentagon. 

So we depend t.pon the hllustrlal ba~~a to make our weapons systems, which, &econd only to our people, what make ua, as tha Secre!ary Hagel ..,ld, the 

graat8111 ml~ary n the wotl<t 

Rameml>er. we have to find $46 billion - $46 billion- bGtwoo'l now a:nd the end ollh& )'<1<11". Alld- and the civilian and miRa'y workforce. par se. will 

only provide of 1hoH savings- ev&ll if we do drastic lhloos there- a few biHicln doibn. Th& rest d 1ha! will atlectlh& eontradors. 

So ell three of !hose populations upon whom wu depend, lh& etf&c:ls will be sericlull and Immediate. 

a: The -In your view, haw inaoy of lhaselnillal cuta will have l=tlng ilfr&e~s !hat willric:kla oo and be feH In the y&a"!l ahead? 

DR. CARTER: Tha!'a & good question. 

Q: 'Mil reacfnaas- or l it's no! lmmB<fiaca, how soon unt~ the Q.Jislha:t wiU Impact readiness for years to come? 

DR. CARTER: Irs a good question. Dnl;e again. ;, lhlus iruwery D1h« area, we're doing everything we <;an to millmlza lasHng damage. But you 

can't eliminate it. Let me give you two examples right away. 

'M1en you can't afford to b&gin oveffi&ul or malntenanc:a ot a ship and you deftlr !hat mai1tena-.ce, wh;ot that means - 01:1" shipyardS haY& !hair- their 

plarn!d malntenonoe planned out heal- heal to toe through many years. And so oroca yt:xlva a-aated a gap this yearlhat QBp propogatas Into lh& future. 

Anon- ex~mpla. 1- 1 explained lhatlha Air F«ca wasn't going to bo abis to efl'on:l to have mMy of th& pilots In combat aircraft- Ar Foraltm!n n 

th& latter part af the year. Well, If you atop training fOf a while and )'OU're 11 combat plio!, lh&n you'd lose your IBI!ng &'ld eventiJ8Ily can't fly at all. Because...., 

can't sllcw you to fly if you can111y oafaly. So you not only can't fiji oafely, you obv!owlly canl try p-oficiently if you canl even fly aal"aly. · 

Then you have to go back to lh& long building bac!c process ol geHing )tiiOX readlna8s back. 

So this Is not samethilg lhlll, even If It's tempoouy -and the oecretary axplalned that e\181)'1lody hopes lhatln -In 10m& WBf both eequesl« and !h& 

problems or &xparlencas (inaudible) essocioled with a OXInllnulng resolution will be resolved 1lwugh leglslaUon and a - a l"'llff budget deal of soma kh;l. 

But even wera lha! to oecu- soma months from now, !hera would be lasU-Ig damage from this. rrs very serious. 

Q: ('"'audible), ABC News. 

Of all ol the cuta that you 8(1(1 potentially oomlng down the pipelim. what gives the Pentagon tho gr&atest pausa? 

And can you taU us at midnight today what era lh& spedffc thraa!a to th& Pentagon that you feet- the cuts that you could be S(l(llng i'nmedllltely right 

et midnight tonight? 

DR. CARTER: The -right at miallght lonlght Slid then bulding. as I aaid, tlwJgh th& days and weeks and months into the future. we will begin 

curbilg' !raining fOf units. 

So let me just lake that 9XIII!Iple and 15011 of play that out. IMlat does that mean for naUonal seruity? 'Miat it means iS !hat as the - u th& year goes 

on, apart from Afghanistan, apart from .....aear dllterreoca through two mlsaions"" are l1rictly ~. lh& madlness of lha other ..-.119 to respond to other 

conllngendes will gradually decline. Thai's not aafa. And thai wa're 11yr.g to minimize that In every way we possibly ean. 

B<..C reduced raedinass Is a serious matter. As- as the o:hlefs have emphaslzed and aalhe SBa"8tay emphasized. 

a: r.-urUdibia) do you have any- do you havell'ly ooocemsthat the lac:k cJ any dear Impact on national secuity, short ol something obviOUS and 

tangible, will make people lhilk !he Pentagon can s"urW absab thesa cu!s? 

ArvJ (Inaudible) a lot of these thinQ!I ara kind d <!own the R>ad. They'ru - you know, they're -lhatre "'people wm be less ready, they'll be lass 

capabla. But~ might not be something obvious. Does !hal c:oncem you that ij mlgnt not be rang/b.le enough to really 80Und alarms with th&American pubic? 

DR. CARTER: Well, wa have been trying now fot 16 m~ to SOLnd !he alarm about secroostrBUon. We're describing to you In all the detail that we 

<;an how each and every paa1 of this. arnerprise will be alfacted advoolely -the people, the weapons programs, raadinflss. 

We're not going to taka ectiotls that are WVleoessary just to do something, to use y001word, "obvious.• But an this Is goOlg robe abundantly obvillllS 

star11na tomorrow and building through lha year. Alld I think people when li!GY -those who do not apPfBCiate how serious this Is. as !h& year go.,. on, n wii ' 

be <.nmistl!kabia. TWs rs ilo15Ublle. This Is an abrup~ sl!riws a.rblng of ac:tMty in each and every one o1 ooxkey ca!egories of activity In the Department or 

DefenJ&. rrs not subUe. 

(CROSSTAlK) 

C: Thank you ve<y much. 

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There's a contrarian narra~ve out there_ rm sure y<>u'VB heard il rd (inaudible) to hear )'O.Jl"ras~se. II. says !he war In Iraq Is over. The winding 

down in Afgh..,istan; AJ Oaeda cantral is dimlnish&d; we're nO! in a nuclear slandotl with Russia; China's a competitor, n<>l an enemy. 

So even if we slipulate sequester is a clomsY tool why can'! and why shouldn't this department be forced to operata on less after 10 years of so much 

money coming you- way? 

DR. CARTER: Well, first of al~ beolnning bad< a year ago, the department embatl<ed "" S487 billion in defeme cuts, exactly in accordance with what 

you just said. That In fact buill. upon $300 bilUon or so !hal SBCIBlal)' Gates had beQun beck in the s<>-ea~ted "Bffociency Wlitiative." So we understand that as 

the wsrs in Iraq and Afllhanlstan wind down, !hat our overall budget authority will go down and that will make a contribution to - to de!IC~ reduction. The- but 

sequestration Is a different matter. lt Is arbitrary. It is alnJpl And on top of sequestration, we have a continuing resolution in force which creates ils own sal of 

problems, I won't go Into, but in soma categories are jll$1as serious. 

So. the net 0( this is, liS I described, something that Is abrupt. Irs delelerlovs. Irs a Va/Y real detriment to defense, We Should only get the money that 

we deserve and that lhe nation needs. We understand that, and that is 1M principle upon which buill the new strategy last year. And that's right, and the 

secreta!)' alluded to that. 

This country's tuming a strateg<: ccmer, and lhars the broader poirll, I think, that you're- you're making, Tom. We're coming out of the era of Iraq 

and Afghanistan. We're trying to address the natlollal illlWiily problems !hat ara goirlg to define !his country's fu!...-e and this world'• Mura. And we're 

prepllted to do !hal 

And we also understand that we're going to ha'Ye leas resources th11r1 we did in that laSt decade. All of that is understood. This is a different matter, 

This is something that is n<>t mW'Iagefla~y or, from a natiOM! secuity point of view, prode(IL 

Q; Mr. Secretary, you mentioned before how the civilian WOO<force has a minion with the department also. 

DR. CARTER: rm sorry- the ... 

a: The civilian workfoica has a mission. 

DR CARTER: Yes, indeed. 

Q: And feels they have the mission. 'Mull do vou say to a GS-5 or somebody contemplating a career- a civilian catB<!r with the military (inaudible). 

Do yO<J ~till think it's a good Idea, given !he uncertelnty that this causes? 

DR CARTER: Well, 1 mean, we're reaiO&tic. We-"'-' civilians 1'1110 make important contributions to defense, clhelwise they wouldn' be pert of tha 

defiii1S8 a~tablishmeot. As t explained, 44 percant. of them are vt!ll!fans. They do real things that am really lmportarTt to us. 

And lhey've h&d their pay frozen tor )'BWS. Now, they're subject to lurlcugh. And as I talk to- end you say, ''why woold anybody jcHn our ranks under 

those clrcum&tances." And the reason is -the reason you'd want il to be, they joil with us, and I hope the)"ll sUck with us, because of mO&slon, becausa 

they're comm~tad to what we do, wh'=h is defend the country and help to make a beHer world. 

Thars why theY do il 

(CROSSTALK) 

DR CARTER; Thank you all Vl!fy much. 

0: Thank you. 

~ Pnnter-mand!y Yert<oo I~ Email A CoPY 

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176 DCMA Administrative Record for FY 2013 Furlough Appeals
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DCMA Administrative Record for FY 2013 Furlough Appeals 

TABLE OF CONTENTS

Part 3

Location

(tab)

Agency 

File Part

Date Document Source

24 Part 3 of 5 2/27/2013 EO President, Agency Responsibilities For 

Implementation of Potential Joint Committee 

Sequestration

Agency

25 2/21/2013 OASD, “Total Force Management and Budgetary 

Uncertainty”

Agency

26 2/20/2013 SDEF Preparation for Potential Sequestration 

Agency On March 1 and Furlough Notifications 

Agency 

27 1/14/2013 OMB Memo, “Planning for Uncertainty with 

Respect to Fiscal Year 2013 Budgetary Resources”

Agency 

28 1/10/2013 DSD, “Handling Budgetary Uncertainty in FY 

2013” 

Agency 

29 1/2/2013 “American Taxpayer Relief Act of 2012” Agency 

30 12/20/2012 SECDEF “Implications of Ongoing Fiscal Cliff 

Negotiations”

Agency 

31 9/25/2012 Guidance on FY 2013 Joint Committee 

Sequestration

Agency 

32 7/31/2012 Issues Raised by Potential Sequestration Pursuant to 

Section 251A of the Balanced Budget and 

Emergency Deficit Control Act of 1985 

Agency 

33 6/3/2012 DSD “Guidance for Limitations on Aggregate 

Amount Available for Contracted Services”

Agency

34 3/2/2012 USD “Guidance Related to the Utilization of 

Agency Military Manpower to Perform Certain 

Functions”

Agency

35 3/1/2012 Organization Chart of the DOD SECDEF Agency

36 12/1/2011 USD, “Prohibition on converting Certain Functions 

to Contract Performance”

Agency

37 8/2/2011 “Budget Control Act of 2011” Agency

38 4/12/2010 DODI “Policy and Procedures for Determining

Workforce Mix”

Agency
EXECLITIVE OFFICE OF THE: PRESIDENT 

OFFICE OF MANAGEMENT AND BUDGET 

·WASHINGTON, D.C. 20503 

Febt1181:Y 27, 2013 

M-13-05 

MEMORANDUM FOR Tiffi HEADS 0 

FROM: Danny Werfel AJ 

Controller r i 

SUBJECT: Agency Responsibilities for lmplementation of Potential Joint Commitlee 

Sequestration 

Unless Congress acts to· amend current law, the President is required to issue a 

sequestration order on March 1, 2013, canceling $85 billion in budgetary resolli'Ces across the 

Federal Oovemment Because these CU:ts mtist be achieved over the remaining seven months of 

the fisoal year, the Office ofMaoagement and Budget (OMB) estimates that the effective 

percentage reductions are a:pproxlmately 9 percent fur nondofense programs and 13 percent for 

defi:nse programs. These reductions will result in significant and harmful impaots to national 

seow:ity and domestic priorities. 

The President has been clear that sequestration is bad policy that was never intended to 

be implemented, and the Administration remains hopeful that Congress will aet to avoid it 

through an agneement on balanced deficit reduction. f!owevc:r1 b~e legislation may not be 

enacted to avoid sequestration before the current deadline of MarCb. 1, 2013, executive 

da:partraents and agencies (agencies) with sequestrable acccunts have been engaged in planning 

activities to operate at the lower, post-sequestration funding levels should it be necessary. 

This guidance builds on prior communi call em with agencies about the implementation of 

sequestration, and addresses questions that have been raised aa to certain categories ofplanning 

activities. 

Agency PloDDing Activities 

OMB Memorandum 13-03, Plmmingfor UIWertalntywlth Respect to Fiscal Year 2013 

Budgetary Resources, directed agencies to begin planning activities to operate with reduced 

budgetary resources in the evei:rt that sequestration ooours. Agencies' pla.nning efforta must be 

guided by the principle of protecting the ogency's mission to servo the public to the greatest 

extent practicable. Plonning effurts ahould be done with sufficient detail and clarity to determine 

the specific actions that will be taken to operate under the lower level of budgetary resouroes 

1 

177 DCMA Administrative Record for FY 2013 Furlough Appeals
required by sequestration. For example, agencies should identify any m!\lor contraclB that they 

plan to cancel, te·scope or delay as well as any grants that they plan to cancel, delay, or for 

whioh they plan to change the payment amonnt. Similarly, agencies should identify the number 

of employeea who will be furloughed, the length of expected furloughs, the timing of when 

furlough notices will be issued, and the manner in which furloughs will be administered. In 

some cases, agencies may not be shle to ascertain all ofthis Information prior to March I. 

However, agencies should .continue to engago in intense and thorough planning activities to 

determine all specific actions that will be taken as soon as praeticable. 

Communications 

To the extent permitted by law, agencies should inform their Vllrious partners and 

stakeholders in a timely and complete manner of the Impact of sequestration so that third parties 

are able to adjust their operations and plans as appropriate. Accordingly, at this time, agencies 

should be actively and continuously communicating with affected stakeholders--including 

Stales, localities, tribal governments, Federal contractors, Federal grsnt recipientll, and Federal 

employees-regarding elementll of the agency's planning that have a direct impact on these 

&roups. These communications will vary greatly by agency and by stakeholder, but agencies 

should be as specific as possible in order to provide sufficient detail to be helpful to these 

stakeholders in understanding the implications of the reduoed budget authority resulting from 

sequesll:ation. · 

With regand to any planned per•onnel actions to reduce Federal civilian workforce costs, 

consistent with Section 3(aXii) of Executive Order 13522, agencies must allow employees' 

exclusive representatives to have pre--decisional involvement in these matters to the fullest extent 

practicable and permitted nnder tho law. In particular, in instanoes whare agencies are 

considering JXllential furloughs, agencies have a duty to notify their exclusive representatives 

and, upon request, bargain over any negotisble lmpacl and implementation piDJXlsals the uoion 

may submi~ unless the mutter of furloughs is already covered hy a collective bargaining 

agreement Agencies should ensure that they are fully aware of and in compliance with any aod 

all collective bargaining requirements, end should consult with their General Connael or 

spproprio;te labor relationa office for questions reganding these requirements and appropriate 

interaction with employees and unions on these matters. 

Acquisition 

Due to the Goveroment's large aoquiBition footprint, sequestration will inevitably affect 

agency contracting activities and require agencies to !educe contracting costs where appropriate. 

As with all actions taken as a result of sequestratinn, agencies should ensure that any contract 

actions are both cost~cffective and minhnize negative impact on the agency's mission to the 

extent practicable. 

Program, acquisition, financial/budget managemeu~ information technology, and legal 

personnel should work together to make determinations reganding contracts in light of 

sequeStration. As a general matter, agencies should only enter into new contracts or exercise 

options when they oupport high-priority initiatives or where failure to do so would expose the 

2 

178 DCMA Administrative Record for FY 2013 Furlough Appeals
government to significantly greater costs in the future. Agencies may also coll8idet de-seeping or 

terminating for convenience contracts that are no longer affordable within the funds available for 

Fiscal Year 2013, should no other optiollB exist to reduce contracting costs in these instances. 

Should such steps be necessary, agencies must evaluate the _assoclated costs and benefits of such 

actions, and appropriately lnfunil and negotiate with contractors. Finally, agencies should take 

all appropriate steps to minimize to the extent practicable the' impact on small businesses of 

reduced contracting activities. · 

Financial Assistance 

Given the widespresd use of grants, loans and other Fedexal finsncial assistance to non· 

fuderal entitles (e.g., State, local and tribal governments, non-profit organizatiollB, and 

companies), sequestration will impact the funding of these activities. 

A1l a general malier, agencies should enirure that any new finsnoialassistance obligations 

or :funding increases under existing agreements are consistent with the need to protect the 

agency's mission at the post-sequastmtion level. In light of sequestration, ogencies may also 

consider delaying awarding ofnew financial assistance obllgatiollB, reducing levels of oontinued 

funding, and renegotialiug or reducing the CU!'rent scope of assistance. Agencies may be forced 

to reduce the lovol of assistance provided through formula funds or block grants. Shnuld any 

such steps be necessary, agencies should evaluate the associated ooats and benefits of such 

actioll8 and I!Jlpropriately engage and infunn recipient(s) as esrly as possible. 

Increased Scmttny of Certain Arttvitles 

· In detennining the I!JlPropriata manoer to achi<We funding reductions, ogency heeds must 

also ensure that their agencies have risk management strstegies and internal controls in place that 

provide heightened serutiny of certsin types of activities funded from sequestered accQ1Ulls. To 

the extent these accounts remain at the post-sequestrstinn funding love~ incressed scrotiny 

should apply to: 

• hiring new personnel;1 

• issuing disct-etionary monetary awards to employees, which should occur nuly if legally 

required untilthrther notice; and 

• in&urring obligalioll8 for new training, conferences, and travel (incluiling agency-paid 

travel for non-agency P,ersonnel). 

In light of the reduced budgetary resources available due to sequestration, expending 

funds on these activities at this time would In many circumstsnces not be tho most effective way 

to protect agency mission to the extent practicable. Therefore. ogency leedership should review 

processes and controls around these activities,.and ensure that these activities are conducted only 

1 Agendes must also ensure that appropriate controls are In place to prevent the increased use of contractors. 

to perfonn work due to any restrictions on hiring. Agendes should bear fn mind the statutory restrictions 

contained In 10 U.S. C. 2461 and 41 U.S. C. 1710 on the conversion of functions from performance by Federal 

employees to performance by contractors. 

179 DCMA Administrative Record for FY 2013 Furlough Appeals
to tho extent they are the most cost-effective way to mainlllin critical agency mission operations 

under sequestration. 

Please contact your OMB Resource Managemect Office (RMO) if you hove any 

questions about or need assistance with this guidance. 

4 

180 DCMA Administrative Record for FY 2013 Furlough Appeals
READINESS ANO 

FORCE MANAOEMEHT 

OFFICE OF THE ASSISTANT SECRETARY OF DEFENSE 

4DOO DEFENSE PI:NTAGON 

WASHINGTON, O.c. ~1-4000 

MEMORANDUM FOR: SEE DISTRiliUTION FEB 2 I 2013 

SUBJECT: Total Force Management and Budgetazy Uncertainty 

Reference: (a) Deputy Secretary of Defense Memorandum, "Handling Budget Uncertainty in Fiscal 

Year 2013", dated 10 January 2013 

(b) Under Secretazy of Defense of Personnel & Readiness Memorandwn, ''Prohibition on 

Converting Certain F\Ulctions to Contract Pezformance", dated I December 2011 

(c) Deputy Secretary of Defense Memorandum, "Guidance for LlmillltiOn on Aggregate 

Annual Amount Available for Contracted Services", dated 3 June 201.2 

(d) Under SecretaryofDefenseofPerso-1 & Readiness .Memorandum, "Guidance 

Related to !11-e Utilization of Militazy Ma.npower to Perform Certain Functions", dated 

2 Mareh2012 

(e) DoD Instruction 1100.22, "Guidance for Determining.Workforce Mix", dated 12 

April2010 

This memorandum provides guidance for the managemeot of the Total Force (active and 

reserve militazy, government civiliaos, and contracted support) during this time of continued budget 

uncertainty. The Department must maintain the viability oftlie All-Volunteer Force and sustain its 

operational readiness in the most costo.:COnscious manner. To do so, the Department mll$t also maintain 

a properly sized, higbly capable civilian workforce that is aligned to mission and workload; 

complements aod delivers support to the military; supports the well-being of the war:fighters aod their 

families; and recognizes evolving critical demands. while guarding against an erosion of organic skills 

and an overreliance on contracted services. Finally, the use of contracted services must continue to be 

reviewed to ensure the most appropriate, cost effective, end efficleot support aligned to mission. 

As DoD Components begin to take actions consistent with reference (a)- including the 

implementation of civilian hiring freezes, the release of term or temporary civilian employees, and 

other personnel related actions- they must be mindful of the Department's obligations to manage the 

Total Force consistent with Title 10 statutory requiremeots and references {b) through (e). These 

considerations are required in planning for the potential reduction or unavailability of fiscal year 2013 

f\Ulds {with the exception of f\Ulds for military personnel) associated with sequester or the continuing 

resolution. 

Consistent with section 2461 of title 10, United States Code, and reference (b), the conversion 

of functions or work performed by, or designated for perfonnance by, civilian employees to contract 

pezfonnaoce without a public-private coropetition is expressly prohibited. Currently such coropetitions 

are prohibited under section 325 of the National Defense Authorization Act for Fiscal Year 2010 

(Public Law 111-84). Workload currenliy perfurmed by, or desigoated for performance by, civilian 

employees may not be traosferred or assumed by contractors pezforming ag~ prior year obligations, 

Most importantly, contractors may not perform inherently govemmental work, aod seotion 2464 of 

title I 0, United States Code expressly prohibits contracting of certain functions (enclosure I). DoD 

181 DCMA Administrative Record for FY 2013 Furlough Appeals
Component heads, as well as field commanders and line managers, are urged to be particularly vigilant 

to prevent the inappropriate conversion of work to contract performance. 

Additionally,limits on contracted support spending enacted in section 808 of the National 

Defense Authorization Act for Fiscal Year 2012, Public Law I 12-81, and implemented via reference 

(c) still apply. The statutory obligations in section 2330a oftitle 10, United States Code, to minimize 

reliance on contract performance of work closely associated with inherently governmental functions 

(see illustrative examples at enclosure 2) remain in force. Moreover, the guidance in reference (c) to 

achieve reductions of such reliance, as well as in staff augmentation contract support, remains in effect. 

Planniilg for budgetary uncertainty does not relieve DoD Components from compliance with these 

mandates. 

As we continue planning during this period of budgetary uncertainty, the Department must also 

ensure military personnel are not inappropriately utilized, particularly in a manner that may degrade 

readiness or result in unnecessary costs to the Department. Consistent with references (d) and (e), 

except in extraordinary, and typically temporary, circumstances, individual military personnel or units 

should not perform-functions or work that is not military essential (see illustrative examples in 

enclosure 3). The use of"borrowed" or "repurposed" military can harm readiness and operational 

capabilities by diverting service members from training or performance of military essential functions, 

particularly when military members are required to work outside of their occupational specialties. In 

addition to the risk of hollowing the force, this practice could adversely impact the All-Volunteer 

Force and have negative effects on the recruitment, retentio~ and career progression of individual 

members. During this period of budgetary uncertainty, military units may perform work previously 

performed by civilian employees or contracted support as part of a rotation base for an operational 

capability (if this has been reflected in Operational Orders), provided this is done on a limited and 

temporary basis. In the event of sequestration, where military personnel accounts are exempted, there 

may be instances where military personnel can be used on a short-term, emergency basis to satisfy a 

demand that is of mission critical importance. 

Plea§e ensure maximum distribution of this memorandum throughout your organization, 

particularly to your manpower, personnel, and resourcing communities. Questions regarding 

application and implementation of this memorandum should be addressed to the following points of 

contact within the Office of Total Force Planoing & Requirements: Mr. Thomas Hessel 

(thomas.hessel@osd.mil or 703-697-3402), and Ms. Amy Parker (arny.parker@osd.mil or 703-697-

1735). Thank you for your support in the mitigating risks from budgetary uncertainty that could 

adversely affect the sustainability and readiness of the All Volunteer Force. 

Enclosures: As stated 

Frederick Vollrath 

Principal Deputy Assistant Secretary of Defense for 

Readiness and Force Management 

Performing the Duties of the Assistant Secretary of 

Defense for Readiness and Force Management 

182 DCMA Administrative Record for FY 2013 Furlough Appeals
DISTRlBUTION: 

SECRETARIES OF TifE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOJNT CHIEFS OF STAFF 

UNDER SECRETARIES OF DEFENSE 

DEPUTY CHIEF MANAGEMENT OFFICER 

CO~ERSOFTHECOMBATANTCO~S 

DIRECTOR, COST ASSESSMENT AND PROGRAM EVALUATION 

DIRECTOR, OPERATIONAL TEST AND EVALUATION 

GENERAL COUNSEL OF THE DEPARTMENT OF DEFENSE 

INSPECTOR GENERAL OF TifE DEPARTMENT OF DEFENSE 

ASSISTANT SECRETARlES OF DEFENSE 

DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER 

ASSISTANTS TO THE SECRETARY OF DEFENSE 

DIRECTOR, ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMBNT 

DIRECTORS OF THE DEFENSE AGENCIJiS 

DIRECTORS OF TifE DOD FIELD ACTIVITIES 

183 DCMA Administrative Record for FY 2013 Furlough Appeals
Enclosure I 

Non-Exhaustive Examples of Inherently Governmental Functions 

(Extract from Office of Federal Procurement Policy Letter 11-1 (September 12, 2011) 

I. The direct conduct of criminal investigation. 

2. The control of prosecutions and performance of adjudicatory functions (other than those 

relating to arbitration or other methods of alternative dispute resolution). 

3. The command of military forces. 

4. Combat. 

5. Security provided under any of the circumstances set out below. This provision should 

not be interpreted to preclude contractors taking action in self-defense or defense of 

others against the imminent threat of death or serious injury. (a) Security operations 

performed in direct support of combat as part of a larger integrated armed force. (b) 

Security operations performed in environments where, in the judgment of the responsible 

Federal official, there is significant potential for the security operations to evolve into 

combat. (c) Security that entails augmenting or reinforcing others (whether private 

security contractors, civilians, or military units) that have become engaged in combat. 

6. The conduct of foreign relations and the determination of foreign policy. 

7. The determination of agency policy, such as determining the content and application of 

regulations. 

8. The determination of budget policy, guidance, and strategy. 

9. The determination of Federal program priorities or budget requests. 

10. The selection or non-selection of individuals for Federal Government employment, 

including the interviewing of individuals for employment. 

11. The direction and control of Federal employees. 

12. The direction and control of intelligence and counter-intelligence operations. 

U. The approval of position descriptions and performance standards for Federal employees. 

14. The determination of what government property is to be disposed of and on what terms 

(although an agency may give contractors authority to dispose of property at prices with 

specified ranges and subject to other reasonable conditions deemed appropriate by the 

agency). 

15. In Federal procurement activities with respect to prime contracts: 

(a) determining what supplies or services are to be acquired by the government 

(b) participating as a voting member on any source selection boards; 

(c) approving of any contractual documents, including documents defining requirements, 

incentive plans and evaluation criteria; 

(d) determining that prices are fair and reasonable; 

(e) awarding contracts; 

(f) administering contracts (including ordering changers in contact performance or 

contact quantities, making final determinations about a contractor's performance, 

including approving award fee determinations or past performance evaluations and 

taking action based on those evaluations, and accepting or rejecting contractor 

products or services); 

(g) terminating contracts 

(h) determining whether contact costs are reasonable, allocable, and allowable; 

(i) And participating as a voting member on performance evaluation boards. 

184 DCMA Administrative Record for FY 2013 Furlough Appeals
Enclosure 1 

16. The selection of grant and cOoperative agreement recipients including: (a) approval of 

agreement activities; (b) negotiating the scope of work to be conducted under 

grants/cooperative agreements; (c) approval of modifications to grant/cooperative 

agreement budgets and activities; and (d) performance monitoring. 

17. The approval of agency responses to Freedom of Information Act requests (other than 

routine responses that, because of statute, regulation, or agency policy, do not require the 

exercise of judgment in determining whether documents are to be released or withheld), 

and the approval of agency response to the administrative appeals of denials of Freedom 

oflnformation Act requests. 

18. The conduct of administrative hearings to determine the eligibility of any person for a 

security clearance, or involving actions that affect matters of personal reputation or 

eligibility to participate in government programs. 

19. The approval of Federal licensing actions and inspections. 

20. The collection, control, and disbursement of fees, royalties, duties, fines, taxes and other 

public funds, unless authorized by statute, such as title 31 Untied States Code section 952 

(relating to private collection contmctors) and title 31 United States Code section 3718 

(Relating to private attorney collection services), but not including (a) collection of fees, 

fines, penalties, costs or other charges form visitors to or patrons of mess halls, post or 

base exchange concessions, national parks, and similar entities or activities, or from other 

persons, where the amount to be collected is predetermined or can be readily calculated 

and the funds collected can be readily controlled using standard cash management 

techniques; and (b) routine voucher and invoice examination. 

21. The control of the Treasury accounts. 

22. The administration of public trusts. 

23. The drafting of official agency proposals for legislation, Congressional testimony 

responses to Congressional correspondence, or responses to audit reports from an 

inspector general, the Government Accountability Office, or other Federal audit entity. 

24. Representation of the government before administrative and judicial tribunals, unless 

statute expressly authorizes the use of attorney whose services are procured through 

contract. 

Statutory Restrictions on Contracting 

(Title 10 United States Code Section 2465) 

(a) Except as provided in subsection (b), funds appropriated to Department of Defense may 

not be obligated or expended for the purpose of entering into a contract for the 

performance of fire-fighting or security-guard functions at any military installation or 

facility. 

(b) The prohibition in subsection (a) does not apply to tbe following contracts: 

(I) A contract to be carried out at a location outside the United States (including its 

commonwealths, territories, and possessions) at which members of the armed forces 

would have to be used for the performance of a function described in subsection (a) at 

the expense of unit readiness. 

(2) (2) A contract to be carried out on a Govenunent-owned but privately operated 

installation. 

185 DCMA Administrative Record for FY 2013 Furlough Appeals
Enclosure 1 

(3) A contract (or the renewal of a contract) for the performance of a function under 

contract on September 24, 1983. 

( 4) A contract for the performance of firefighting functions if the contract is-

( A) for a period of one year or less; and 

(B) covers only the performance offirefighting functions that, in the absence of 

the contract, would have to be perfonned by members of the anned forces 

who are not readily available to perfonn such functions by reason of a 

deployment. 

186 DCMA Administrative Record for FY 2013 Furlough Appeals
Enclosure 2 

Non-Exhaustive Examples of Closely Associated With Inherently Governmental Functions 

(Extract from Office.ofFederal Procurement Policy Letter 11-1 (September 12, 2011) 

1. Services in support of inherently governmental functions, including, but not limited to the 

following: 

a. Performing budget preparation activities, such as workload modeling, fact 

finding, efficiency studies, and should-cost analysis. 

b. Undertaking activities to support agency planning and reorganization. 

c. Providing support for developing policies, including drafting documents, and 

conducting .analyses, feasibility studies~ and strategy options. 

d. Providing services to support the development of regulations and legislative 

proposals pursuant to specific policy direction. 

e. Supporting acquisition, including in the areas of: 

1. Acquisition planning, such as by conducting market research; developing 

inputs for government cost estimates, and drafting statements of work and 

other pre-award documents. 

n. Source selection, such as by preparing a technical evaluation and 

associated documentation; participating as a technical advisor to a source 

selection board or as a nonvoting member of a source selection evaluation 

board; and drafting the price negotiations memorandum. 

iii. Contract management, such as by assisting in the evaluation of a 

contractor's performance (e.g. by collecting information performing an 

analysis, or making a recommendation for a proposed performance rating), 

and providing support for assessing contract claims and preparing 

termination settlement documents. 

f Preparation of responses to Freedom of Information Act requests. 

2. Work in a situation that permits or might permit access to confidential business 

information or other sensitive information (other than situations covered by the National 

Industrial Security Program described in Federal Acquisition Regulation 4.402(b)). 

3. Dissemination of information regarding agency policies or regulationS, such as 

conducting community relations campaigns, or conducting agency training courses. 

4. Participation in a situation where it might be assumed that participants are agency 

employees or representatives, such as attending conferences on behalf of an agency. 

5. Services as arbitrators or provision of alternative dispute resolution (ADR) services. 

6. Construction of buildings or structures intended to be secure form electronic 

eavesdropping or other penetration by foreign governments. 

7. Provision of inspection services. 

8. Provision of legal advice and interpretations of regulations and statutes to government 

officials. 

9. Provision of non-law enforcement security activities that do not directly involve criminal 

investigations, such as prisoner detention or transport and non-military national security 

details. 

187 DCMA Administrative Record for FY 2013 Furlough Appeals
Examples of Military Essential Functions 

(summarized from DoD ln•truction 1100.22) 

Enclosure 3 

1. Missions involving operational risks and combatant status under the Law of War. 

2. Specialized collective and individual training requiring military unique knowledge and 

skills based on recent operational experience 

3. Independent advice to senior civilian leadership in Department requiring military unique 

knowledge and skills based on recent operational experience 

4. Command and control arrangements best performed within the Uniform Code of Military 

Justice. 

5. Rotation base for an operational capability. 

6. Career progression. 

7. Esprit de corps (such as military recruiters, military bands) 

188 DCMA Administrative Record for FY 2013 Furlough Appeals
.· .. 

.. ~ 

SECRETARY OF DEFENSE 

1000 DEFENSE PENTAGON 

WASHINGTON, DC 2.0301 ·1 000 

FEB 2 Q 2013 

MEMORANDUM FOR DEPARTMENT OF DEFENSE CMLIANEMPLoYEES. 

SUBJECT: Preparations for Potential Sequestration on March I and Fl!rlough Notifications 

For more than a year and a half, the President, the Joint Chiefs of Staff, and I have 

repeatedly voiced our deep conoerns over the haifa trillion dollars in automatic across•the-board 

cuts that would be imposed uoder seques!miion and the severe damage that it would do to both 

this Deportment and our national defense. 

The Administration continues to viodc with Congress to reach agreement on a balanced 

deficit reduction plan to avoid these cuts. Meanwhile, because another trigger for sequestration 

is approaching on March 1", the Departmept'sleadetship has begun extensive planning on how 

to implement the reqnil'ed apending reductions. These cuts will be magnified because the 

Deportment has been forced to operate uoder a six-month continuing resolution that has already 

compelled ns to take. steps to redude spending. · 

In the event of sequestration, we will do everything we can to contiuue to perfom1 our 

core mission of providing for the security of \he United States, but there is no mlstaldng !hat the 

rigid nature and.scale of the cuts forced upon this Department will result in a seriow erosion of 

readiness across the force. · 

l have also been deeply concemed about the potential direct impact of sequestration on 

you and your. fiunilies. We are doing everything possible to limit the worst effects on DoD 

personnel- but l regret that our flexibility within the law is extramely limited. The President has 

used his legal authority to exempt mllitacy personnel funding.from sequestration. but we have no 

legal authority to exempt civilian personnel funding from reductions. As a resul~ should 

sequestration occw: and continUe for a substantial period, DoD will be forced to place the. vast 

majority of its civilian workforce on edmioistrative furlough. 

Today, I notified Congress that furloughs could occur uoder sequestration. I can assure 

you that, if we have to implement furloughs, all affected employees will be provided at least 30 · 

. days' notice prior to executing a furlough and your benefits will be protected to the maximum 

extent possible. We will worl<: to ensure that furloughs are executed in a eonsistent and 

appropriate manner, and we will also continue to engage in discussions with employee unions as 

epproprlate. More information and answers to frequently asked questions regarding furloughs 

can be foUnd at www.op~gov/fiulough, under the "administrative furlough" section. 

0 

080001644-13 

189 DCMA Administrative Record for FY 2013 Furlough Appeals
Working with your component heads and supeiVisors, the Depertment's leeders will 

continue to keep you infonned. As we deal with these difficult issues, I want to thank you fur 

your patience, ~ard work, and continued dedication to our mission of protecting the country. 

Our inost important asset in the Depertment is our world-class personnel. You are 

fighting every day to keep our country strong and secure, and rest assured that the leaders of this 

Depertment will continue to fight wiih you and for you. 

2· 

190 DCMA Administrative Record for FY 2013 Furlough Appeals
M-13-03 

EXECUTIVE OFFICE OF THE PRESIDENT 

OFFICE OF MANAGEMENT AND 6UDGET 

WASHINGTON, O,C, 20!503 

January 14,2013 

MEMORANDUM FOR TilE HEADS OF EXECUTIVE DEPARTMENTS AND AGENCIES 

FROM: Jeffrey D. Zients t:...fJ'J{j Deputy Directorf\Jr-Manogemont 

SUBJECT: Plwming for Uncertainty with Respect to Fiscal Year 2013 Budgetary Resources 

In the coming months, executive departments and agencies (agencies) will confront 

significant uncertainty regarding the amount of bUdgetary resources available for the remainder 

of the fiscal year. In particular, unless Congress acts to amend current law, the President is 

required to issue a sequestration order on March 1, 2013. canceling approximately $85 billion in 

budgetary resources across the Federal Government. Further uncertainty is created by the 

expiration of the Continuing Appropriations Resoluti9il, 2013 (CR) on March 27, 2013. This 

memorandwn directs agencies to take certain stepS to plan for and manage this budgetary 

Wlcertainty. 

lhe Administration continues to urge Congress to take prompt action to address the 

current budg~tary uncertainty, including thmugh the enactment of balanced deficlt reduction to 

avoid sequestratiOn. Should Congress fail to act to avoid sequestration, there will be signlfi.cant 

and harmful impacts on a wide variety of Government services and operations. For example, 

should sequestration remain in place for an extended period of time, hundreds of thousands of 

families will lose critical education and wellncss services through Head Start and nutrition 

assistance programs._ The Department of Defense will :face deep cuts that will reduce readiness 

of non~deployed units, delay nee.ded jnvestments in equipment and facilities, and cut services for 

military fumilies. And Federal agencies will likely need to furlough hundreds of thousands of 

employees and reduce essential services such as food inspections, air travel safety, prison 

security, border patrols, and other mission~critical activities. 

At this time, agencies do not bave clarity regarding the manner in whlch Congress will 

address.these issues or the amount of budgetary resources that will be available through the 

remainder of the fiscal year. Until Congress acts, agencies must continue to prepare for the 

possibility t}tat tp.ey will need to operate with reduced budgetary resoUrCes. 

1 

191 DCMA Administrative Record for FY 2013 Furlough Appeals
Prior· to passage of the American Taxpayer Relief Act of2012 (ATRA), the President 

wda required to issue a sequestration order on January 2, 2013. Although the ATRA postponed 

this date by two months, agencies had already engaged in extensive planning for operations 

under post-sequestration funding levels before this poStponement was effected. In light of 

persistent budgetary uncertainty, all agencies should continue these planning activi1les, in 

coordination with the Office of Management and Budget (OMB), and should intensifY efforts to 

identifY actions that may he .required should sequestration. occur. 

Agencies s~ould generally adhere to the following guiding principles, to the extent 

practicable and appropriate, in preparing plans to opeiate with reduced budgetary resources in 

the ~vent that sequestration occurs: 

• use any available flexibility to reduce operational risks and minimize impacts on the 

age11cy's core mission in service oftbe American people; . 

• identifY and address operational challenges that could potentially have a significant· 

deleterious effect on the agency's mission or otherwise raise life, safety, or health 

concerns~ 

• identify the most appropriate means to reduce civilian workforce costs where necessarythis may include imposing hiring freezes, releasing temporary employees or not renewing 

term or contract hires, authorizing voluntary separation incentives and voluntary early 

retirements, or implementing administrative furloughs (appropriate guidance fur 

administrative furloughs can be folUld on the OPM website .t:rumll); consistent with 

Section 3(aXii) of Executive Order 13522, allow employees' exclusive representatives to 

have pre-decisional involvement in these matters to the fullest extent practicable; 

• review grants and contract3 to detennine where cost savings may be achieved in a manner 

that is consistent with the applicable terms and conditions,.rema:ining mindful of the 

manner in which individual contracts or grants advance the core mission of the agency; 

• take into account funding flex:ibilities. including the availability of reprognunming and 

transfer e.uthority; and, 

• be cognizant of the requirements of the Worker Adjustment and Retraining Notification 

(WARN) Act, 29 U.S.C. §§ 2101-2109. 

While agency plans should reflect intensified efforts to prepare for operations under a 

potential sequestration. actions that would implement reductions specificalJ.y designed as a 

response to sequestration should generally not be taken at this time. In some cases, however, the 

overall budgetary uncertainty and operational constraints may require that certain actions be 

taken in the immediate- or near-term, Agencies presented with these circumstances should 

continue to act in a prudent manner to ensure that operational risks are avoided and adequate 

funding is available for the remainder of the fiscal year to meet the agency's core requirements 

and mission. Should circumstances require an agency to take actions that would constitute a 

change from normal practice and result ln a reduction of normal spending and operations in the 

2 

192 DCMA Administrative Record for FY 2013 Furlough Appeals
immediatew or near-term1 the agency mmt coordinate cl~soly with its OMB Resource 

Mnn~gen_1ent Office (R,MO) before laking any such actions. · 

All agencies should work with their QMB RMO on the appropriate timing to submit draft 

contingency plans for operating under sequestra!ion for review. Furthennore, should Congress 

take action that affects the current budgetary uncertainty, OMB will provide agencies with 

additional guidance as appropriate. · 

3 

193 DCMA Administrative Record for FY 2013 Furlough Appeals
DEPUTY SECRETARY OF DEFENSE 

1010 DEFJ;:NBE PENTAGON 

WASHINGTON, CC 20301·1010 JAN I 0 2013 

MEMORANDUM FOR SECRETARIES OF THE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOINT CHIEFS OF STAFF 

UNDER SECRETARJES OF DEFENSE 

DEPUTY CHIEF MANAGEMENT OFFICER 

DIRECTOR, COST ASSESSMENT AND PROGRAM EVALUATION 

DIRECTOR, OPERATIONAL TEST AND EVALUATION 

GENERAL COUNSEL OF TilE DEPARTMENT OF DEFENSE 

INSPECTOR GENERAL OF THE DEPARTMENT OF DEFENSE 

ASSIST ANT SECRETARIES OF DEFENSE 

DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER 

ASSISTANTS TO THE SECRETARY OF DEFENSE 

DIRECTOR, ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF THE DEFENSE AGENCIES 

DIRECTORS OF THE DOD FIELD ACTIVITIES 

SUBJECT: Handling Budgetary Uncertainty in FiiiCal Year 2013 

Two soun:es oftmcerlainty are creating budgetary challenges for the Deparllnent of Defense 

(DoD) ln 2013. The first is the tact that the Deplirtm.ent is operating under a Continuing Resolution 

(CR)throughatieast March 27,2013. Because most operating funding was pllliU!ed to inerease 

from Fiscal Year (FY) 2012 to FY 2013, but is instead being held atFY 20121evels under the CR, 

funds will rtm short at current rates of expenditure if the CR continues through the' end of the fiiiCal 

year in its current form .. The Secretary will continue to urge the Congress to enact appropriations 

bills for FY 2013. But if the CR were to be extended tbroughthe end of the fiscal year, it would 

hinder our ability to maintain a ready force, 

The second source ofuncerlainty is the potential sequestration recently deferred from 

January 2, 2013 to March I, 2013 by the American Taxpayer Relief Act of2012. The possibility of 

sequestration occurring as late as the beginning of the sixth month of tho fiscal year creates 

significant edditional uncertainty for the management of the Department 

Either of these problems, in isolation, would present serio~ budget execution challenges to 

the Deparllnen4 negatively impacting readiness and resulting in other undesirable outcomes. This 

situation would be made even more challenging by the need to protect fi.mds for wartime operations. 

194 DCMA Administrative Record for FY 2013 Furlough Appeals
Near~ Term Actions 

Given the ovemll budgelary uncertainty faced by the Departmen~ and in particular the 

immediate opmtional issues presented by the CR, it is prudent to take. certain steps now in order to 

help avoid serious future problems. I therefore authorize all Defense Components to begin 

implementing measures that will help mitigate our budget execution rim. For now, and to the 

extent possible, any actions taken must be reversible at a later date in the event that Congress acts to 

remove the risks I have described. The actions should be structured to minintize harmful effects on 

our people and on operations and unit readiness. 

Categories of approved actions ore identified in Table 1. The authority to implement these 

actions shall remain in effect until they ore revoked in a subsequent memorandum from my office. 

If Components believe they must take actions that go beyond the categories listed in Table 1, they 

should present the options for my review and approval prior to their implementation. 

·Intensified Planning for Lonw-Tenn Budgetary Uncertl!jnty 

Given the added challenge of a potential sequestration in March, we must also intensify 

efforts to plan future actions that might be required should that happen. This planoing does not 

assume these unfortunate events will occur, only that we must be ready. 

As they formulate draft plans, Components should follow the guidance that directs the 

Department to take all possible steps to mitigate harmful effects associated with this budgetary 

uncertainty and to maintain a strong delllnse. The details of the guidance ore snmmarized below: 

• For the opmting portions ofthe DoD budget: 

o Exempt all militaiy per!ionnel funding from sequestration reductions, in accordance 

with the decision made by the President in July 2012. 

o Fully protect funding for wartime operations. 

o Fully protect Wounded Wanior programs. 

o To the extent feasible, protect programs most closely associated with the new 

defense strategy. 

o ROOuce civilian workforce costs using the following actions (all subject to missioncritical exemptions, and appropriate consultation with union representatives 

consistent with Executive Onler 13522): 

• Rele~ temporary employees and do not renew term hires. 

• hnpose hiring freezes. 

• Authorize vuluntaiy separation incentives and vuluntaiy early retirements to the 

extent feasible. 

• Consider the possibility of furloughs of up to 30 calendar days or 22 

discontinuous workdays. 

o To the extent feasible, protect family programs. 

2 

195 DCMA Administrative Record for FY 2013 Furlough Appeals
o To tho extent feasible, protect funding most directly associated with readiness; focus 

the necessary cuts onlater deploying units. 

• ·For tho investment portions of the DoD budget (procurement, RDT &E, col181ruction): 

o Protect investments funded in OvelSeas Contingency Operations if IIBSOciated with 

urgent operational needs. 

o To the extent feasible, protect programs mostly closely associated with the new 

defense -tegy. 

o Take prudent steps to minimize disruption and added costs (e.g., avoid penalties 

associated with potential contract cancellations where feasible; prudently manage 

construction projects funded with priol'-yesr monies). 

While we are hopeful of avoiding budgetary problems, draft Component plans should reflect 

the possibility thst we may have to operste under a yesr-long CR and thst sequestration Iukes place. 

Table 2 shows the types of information that should be included in the plans. Components should . 

submit these dmftplans to the Under Secretary ofDefense (Comptroller) .byFebnuay I, 2013. The 

Under Secretary of Defense (Comptroller) will work with the Components to adjust this schudule if 

·changes are required due to the deadlines for tho preperation of the FY 2014 President's Budget 

submission. 

I appreciate your patience as we work through these difficult budgetary times. The 

Department will continue to do its best to .resolve these lrudgetsry uncertsinties in a manner that 

permits us to support our current defense strstegy and maintain a strong defense. 

If addressees have questions about this memorandum, they should direct tliem to the Under 

Secretary of Defense (Comptroller). 

Attachments: 

As stated 

3 

196 DCMA Administrative Record for FY 2013 Furlough Appeals
Table t. Catogorl., of Approved Near-Term Actions 

• Freeze civilian hiring (with exceptions fur mission-critical activities•). 

• Provide authority to terminate employment of temporary hires and to notify term employees 

that their contmcts will not be renewed (with eXceptions for mission~critical activities and 

when appropriate In terms of personnel timing•). 

• Reduce base operating funding. 

• Curtail travel, training, and conferences (all with exceptions for mission-critical activities• 

including those required to malotain professional licensure or equivalent certifications). 

• Curtail facilities malotenance or Facilities Sustainment, Restoration, and Modernization 

(FSRM) (with exceptions for mission-critical activities*). 

o lfnecessnry, services/agencies are authorized to fund FSRM at levels below current 

guidance. 

• CUrtail administrative expenses such as supply purchases, business IT, ceremonies, etc. 

(with exceptions for mission--critical activities•). 

• Review_ contracts and studies for possible cost-savings. 

• Cancel3"' and 4" quarter ship maintenance av!lilabilities and aviation and gronnd depotlevel malotenance activities. Take this action no earlier than February 15, 20 13. 

• Clear all R&D and production cnntracts and contract modifications that obligate more than 

$500 million with the USD(AT&L) prior to award. 

• For Science and Technology acconnts, provide tho USD(AT&L) and the Assistant Secretary 

of Defense (Research & Engineering) with an assessment of the impact that budgetary 

nncertainty may have on meeting Departmental research priorities. 

• Approvals will be granted by Component heads or by seuior officials designated by tho 

Component head. 

Components with personnel serving Combatant Commanders (COCOMs) must consult with the 

COCOMs before implementing actions the! .met them. Disputes will be brought to the attention 

ofthe Chairman of the Joint ChiefS of Staff for further resolution. 

Components receiving reimbursements should coordinate with customer before taking actions that 

would affect the customer's mission 

197 DCMA Administrative Record for FY 2013 Furlough Appeals
Table 2. Information to Be Included In Draft Implementation Plans 

The following Information should bo provided at the Component level. Information by commands 

and bases/inBtallations is not required. 

• For ope!ating accounts, idennzy major actions to include, at a minimum: 

o Extent of civilian hiring freezes; expected.nutnber of temjl5/tenns released; el<pected 

number, duration, and nature of furloughs. 

o Reductions in flying hours, steaming days, vehicle miles, and other 

operations/training/support activities !hat affect force readiness. 

o Areas ofbudgets experiencing disproportionate cuts. 

• For investment accounts: 

o Plans for large programs (ACAT lD and I C. and MAlS programs). 

• Include major changes in wtit buys, delays, ete; 

o Significant changes in all joint programs. 

• Identify and prioritize any essential reprogramming actions with offsets. 

198 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 1

UNITED STATES PUBLIC LAWS 

112th Congress 2nd Session 

(c) 2013, LEXIS-NEXIS, A DIVISION OF REED ELSEVIER INC. AND REED ELSEVIER PROPERTIES INC. 

PUBLIC LAW 112-240 [H.R. 8] 

JAN. 02, 2013 

AMERICAN TAXPAYER RELIEF ACT OF 2012 

112 P.L. 240; 126 Stat. 2313; 2013 Enacted H.R. 8; 112 Enacted H.R. 8 

BILL TRACKING REPORT: 112 Bill Tracking H.R. 8 

FULL TEXT VERSION(S) OF BILL: 112 H.R. 8 

CIS LEGIS. HISTORY DOCUMENT: 112 CIS Legis. Hist. P.L. 240 

 An Act 

Entitled the "American Taxpayer Relief Act of 2012". 

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

 [*1] SECTION 1. <26 USC 1 note> SHORT TITLE, ETC.

(a) Short Title.--This Act may be cited as the "American Taxpayer Relief Act of 2012". 

(b) Amendment of 1986 Code.--Except as otherwise expressly provided, whenever in this Act an amendment or 

repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986. 

(c) Table of Contents.--The table of contents for this Act is as follows: 

 Sec. 1. Short title, etc. 

 

TITLE I--GENERAL EXTENSIONS 

 Sec. 101. Permanent extension and modification of 2001 tax relief. 

 Sec. 102. Permanent extension and modification of 2003 tax relief. 

 Sec. 103. Extension of 2009 tax relief. 

 Sec. 104. Permanent alternative minimum tax relief. 

 

TITLE II--INDIVIDUAL TAX EXTENDERS 

 Sec. 201. Extension of deduction for certain expenses of elementary and secondary school teachers. 

 Sec. 202. Extension of exclusion from gross income of discharge of qualified principal residence indebtedness.

 Sec. 203. Extension of parity for exclusion from income for employer-provided mass transit and parking benefits. 

 Sec. 204. Extension of mortgage insurance premiums treated as qualified residence interest. 

 Sec. 205. Extension of deduction of State and local general sales taxes. 

 Sec. 206. Extension of special rule for contributions of capital gain real property made for conservation purposes. 

 Sec. 207. Extension of above-the-line deduction for qualified tuition and related expenses. 

 Sec. 208. Extension of tax-free distributions from individual retirement plans for charitable purposes. 

 Sec. 209. Improve and make permanent the provision authorizing the Internal Revenue Service to disclose certain 

return and return information to certain prison officials. 

 

TITLE III--BUSINESS TAX EXTENDERS 

 Sec. 301. Extension and modification of research credit. 

199 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 Sec. 302. Extension of temporary minimum low-income tax credit rate for non-federally subsidized new buildings. 

 Sec. 303. Extension of housing allowance exclusion for determining area median gross income for qualified residential rental project exempt facility bonds. 

 Sec. 304. Extension of Indian employment tax credit. 

 [**2314] Sec. 305. Extension of new markets tax credit. 

 Sec. 306. Extension of railroad track maintenance credit. 

 Sec. 307. Extension of mine rescue team training credit. 

 Sec. 308. Extension of employer wage credit for employees who are active duty members of the uniformed services. 

 Sec. 309. Extension of work opportunity tax credit. 

 Sec. 310. Extension of qualified zone academy bonds. 

 Sec. 311. Extension of 15-year straight-line cost recovery for qualified leasehold improvements, qualified restaurant 

buildings and improvements, and qualified retail improvements. 

 Sec. 312. Extension of 7-year recovery period for motorsports entertainment complexes. 

 Sec. 313. Extension of accelerated depreciation for business property on an Indian reservation. 

 Sec. 314. Extension of enhanced charitable deduction for contributions of food inventory. 

 Sec. 315. Extension of increased expensing limitations and treatment of certain real property as section 179 property. 

 Sec. 316. Extension of election to expense mine safety equipment. 

 Sec. 317. Extension of special expensing rules for certain film and television productions. 

 Sec. 318. Extension of deduction allowable with respect to income attributable to domestic production activities in 

Puerto Rico. 

 Sec. 319. Extension of modification of tax treatment of certain payments to controlling exempt organizations. 

 Sec. 320. Extension of treatment of certain dividends of regulated investment companies. 

 Sec. 321. Extension of RIC qualified investment entity treatment under FIRPTA. 

 Sec. 322. Extension of subpart F exception for active financing income. 

 Sec. 323. Extension of look-thru treatment of payments between related controlled foreign corporations under foreign personal holding company rules. 

 Sec. 324. Extension of temporary exclusion of 100 percent of gain on certain small business stock. 

 Sec. 325. Extension of basis adjustment to stock of S corporations making charitable contributions of property. 

 Sec. 326. Extension of reduction in S-corporation recognition period for built-in gains tax. 

 Sec. 327. Extension of empowerment zone tax incentives. 

 Sec. 328. Extension of tax-exempt financing for New York Liberty Zone. 

 Sec. 329. Extension of temporary increase in limit on cover over of rum excise taxes to Puerto Rico and the Virgin 

Islands. 

 Sec. 330. Modification and extension of American Samoa economic development credit. 

 Sec. 331. Extension and modification of bonus depreciation. 

 

TITLE IV--ENERGY TAX EXTENDERS 

 Sec. 401. Extension of credit for energy-efficient existing homes. 

 Sec. 402. Extension of credit for alternative fuel vehicle refueling property. 

 Sec. 403. Extension of credit for 2- or 3-wheeled plug-in electric vehicles. 

 Sec. 404. Extension and modification of cellulosic biofuel producer credit. 

 Sec. 405. Extension of incentives for biodiesel and renewable diesel. 

 Sec. 406. Extension of production credit for Indian coal facilities placed in service before 2009. 

 Sec. 407. Extension and modification of credits with respect to facilities producing energy from certain renewable 

resources. 

 Sec. 408. Extension of credit for energy-efficient new homes. 

 Sec. 409. Extension of credit for energy-efficient appliances. 

 Sec. 410. Extension and modification of special allowance for cellulosic biofuel plant property. 

 Sec. 411. Extension of special rule for sales or dispositions to implement FERC or State electric restructuring policy 

for qualified electric utilities. 

 Sec. 412. Extension of alternative fuels excise tax credits. 

 

TITLE V--UNEMPLOYMENT 

 Sec. 501. Extension of emergency unemployment compensation program. 

 Sec. 502. Temporary extension of extended benefit provisions. 

200 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 Sec. 503. Extension of funding for reemployment services and reemployment and eligibility assessment activities. 

 Sec. 504. Additional extended unemployment benefits under the Railroad Unemployment Insurance Act. 

 

TITLE VI--MEDICARE AND OTHER HEALTH EXTENSIONS 

Subtitle A--Medicare Extensions 

 Sec. 601. Medicare physician payment update. 

 [**2315] Sec. 602. Work geographic adjustment. 

 Sec. 603. Payment for outpatient therapy services. 

 Sec. 604. Ambulance add-on payments. 

 Sec. 605. Extension of Medicare inpatient hospital payment adjustment for low-volume hospitals. 

 Sec. 606. Extension of the Medicare-dependent hospital (MDH) program. 

 Sec. 607. Extension for specialized Medicare Advantage plans for special needs individuals. 

 Sec. 608. Extension of Medicare reasonable cost contracts. 

 Sec. 609. Performance improvement. 

 Sec. 610. Extension of funding outreach and assistance for low-income programs. 

 

Subtitle B--Other Health Extensions 

 Sec. 621. Extension of the qualifying individual (QI) program. 

 Sec. 622. Extension of Transitional Medical Assistance (TMA). 

 Sec. 623. Extension of Medicaid and CHIP Express Lane option. 

 Sec. 624. Extension of family-to-family health information centers. 

 Sec. 625. Extension of Special Diabetes Program for Type I diabetes and for Indians. 

 

Subtitle C--Other Health Provisions 

 Sec. 631. IPPS documentation and coding adjustment for implementation of MS-DRGs. 

 Sec. 632. Revisions to the Medicare ESRD bundled payment system to reflect findings in the GAO report. 

 Sec. 633. Treatment of multiple service payment policies for therapy services. 

 Sec. 634. Payment for certain radiology services furnished under the Medicare hospital outpatient department prospective payment system. 

 Sec. 635. Adjustment of equipment utilization rate for advanced imaging services. 

 Sec. 636. Medicare payment of competitive prices for diabetic supplies and elimination of overpayment for diabetic 

supplies. 

 Sec. 637. Medicare payment adjustment for non-emergency ambulance transports for ESRD beneficiaries. 

 Sec. 638. Removing obstacles to collection of overpayments. 

 Sec. 639. Medicare advantage coding intensity adjustment. 

 Sec. 640. Elimination of all funding for the Medicare Improvement Fund. 

 Sec. 641. Rebasing of State DSH allotments. 

 Sec. 642. Repeal of CLASS program. 

 Sec. 643. Commission on Long-Term Care. 

 Sec. 644. Consumer Operated and Oriented Plan program contingency fund. 

 

TITLE VII--EXTENSION OF AGRICULTURAL PROGRAMS 

 Sec. 701. 1-year extension of agricultural programs. 

 Sec. 702. Supplemental agricultural disaster assistance. 

 

TITLE VIII--MISCELLANEOUS PROVISIONS 

 Sec. 801. Strategic delivery systems. 

 Sec. 802. No cost of living adjustment in pay of members of congress. 

 

TITLE IX--BUDGET PROVISIONS 

Subtitle A--Modifications of Sequestration 

 Sec. 901. Treatment of sequester. 

 Sec. 902. Amounts in applicable retirement plans may be transferred to designated Roth accounts without distribution. 

 

201 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

Subtitle B--Budgetary Effects 

 Sec. 911. Budgetary effects. 

 

 TITLE I--GENERAL EXTENSIONS 

 [*101] Sec. 101. PERMANENT EXTENSION AND MODIFICATION OF 2001 TAX RELIEF. 

(a) Permanent Extension.--

 (1) <26 USC 1 note> In general.-- The Economic Growth and Tax Relief Reconciliation Act of 2001 is amended 

by striking title IX. 

 (2) <26 USC 121 note> Conforming amendment.-- The Tax Relief, Unemployment Insurance Reauthorization, 

and Job Creation Act of 2010 is amended by striking section 304. 

 [**2316] (3) <26 USC 1 note> Effective date.-- The amendments made by this subsection shall apply to taxable, plan, or limitation years beginning after December 31, 2012, and estates of decedents dying, gifts made, or generation skipping transfers after December 31, 2012. 

(b) Application of Income Tax to Certain High-Income Taxpayers.--

 (1) Income tax rates.---- 

 (A) <26 USC 1> Treatment of 25-, 28-, and 33-percent rate brackets.--Paragraph (2) of section 1(i) is amended 

to read as follows: 

 "(2) 25-, 28-, and 33-percent rate brackets.--The tables under subsections (a), (b), (c), (d), and (e) shall be applied--

 "(A) by substituting '25%' for '28%' each place it appears (before the application of subparagraph (B)), 

 "(B) by substituting '28%' for '31%' each place it appears, and 

 "(C) by substituting '33%' for '36%' each place it appears.". 

 (B) 35-percent rate bracket.--Subsection (i) of section 1 is amended by redesignating paragraph (3) as paragraph (4) and by inserting after paragraph (2) the following new paragraph: 

 "(3) Modifications to income tax brackets for high-income taxpayers.---- 

 "(A) 35-percent rate bracket.--In the case of taxable years beginning after December 31, 2012--

 "(i) the rate of tax under subsections (a), (b), (c), and (d) on a taxpayer's taxable income in the highest rate 

bracket shall be 35 percent to the extent such income does not exceed an amount equal to the excess of--

 "(I) the applicable threshold, over 

 "(II) the dollar amount at which such bracket begins, and 

 "(ii) the 39.6 percent rate of tax under such subsections shall apply only to the taxpayer's taxable income in 

such bracket in excess of the amount to which clause (i) applies. 

 "(B) Applicable threshold.--For purposes of this paragraph, the term 'applicable threshold' means--

 "(i) $ 450,000 in the case of subsection (a), 

 "(ii) $ 425,000 in the case of subsection (b), 

 "(iii) $ 400,000 in the case of subsection (c), and 

 "(iv) 1/2 the amount applicable under clause (i) (after adjustment, if any, under subparagraph (C)) in the case 

of subsection (d). 

 "(C) Inflation adjustment.--For purposes of this paragraph, with respect to taxable years beginning in calendar 

years after 2013, each of the dollar amounts under clauses (i), (ii), and (iii) of subparagraph (B) shall be adjusted in the 

same manner as under paragraph (1)(C)(i), except that subsection (f)(3)(B) shall be applied by substituting '2012' for 

'1992'.". 

202 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 5

112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 (2) Phaseout of personal exemptions and itemized deductions.----

 [**2317] <26 USC 68> (A) Overall limitation on itemized deductions.--Section 68 is amended--

 (i) by striking subsection (b) and inserting the following: 

"(b) Applicable Amount.--

 "(1) In general.-- For purposes of this section, the term 'applicable amount' means--

 "(A) $ 300,000 in the case of a joint return or a surviving spouse (as defined in section 2(a)), 

 "(B) $ 275,000 in the case of a head of household (as defined in section 2(b)), 

 "(C) $ 250,000 in the case of an individual who is not married and who is not a surviving spouse or head of 

household, and 

 "(D) 1/2 the amount applicable under subparagraph (A) (after adjustment, if any, under paragraph (2)) in the 

case of a married individual filing a separate return. 

For purposes of this paragraph, marital status shall be determined under section 7703. 

 "(2) Inflation adjustment.-- In the case of any taxable year beginning in calendar years after 2013, each of the 

dollar amounts under subparagraphs (A), (B), and (C) of paragraph (1) shall be shall be increased by an amount equal 

to--

 "(A) such dollar amount, multiplied by 

 "(B) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable 

year begins, except that section 1(f)(3)(B) shall be applied by substituting '2012' for '1992'. 

If any amount after adjustment under the preceding sentence is not a multiple of $ 50, such amount shall be rounded to the next lowest multiple of $ 50.", and 

 (ii) by striking subsections (f) and (g). 

 (B) Phaseout of deductions for personal exemptions.--

 (i) In general.--Paragraph (3) of section 151(d) is amended--

 (I) by striking "the threshold amount" in subparagraphs (A) and (B) and inserting "the applicable amount 

in effect under section 68(b)", 

 (II) by striking subparagraph (C) and redesignating subparagraph (D) as subparagraph (C), and 

 (III) by striking subparagraphs (E) and (F). 

 (ii) Conforming amendments.--Paragraph (4) of section 151(d) is amended--

 (I) by striking subparagraph (B), 

 (II) by redesignating clauses (i) and (ii) of subparagraph (A) as subparagraphs (A) and (B), respectively, 

and by indenting such subparagraphs (as so redesignated) accordingly, and 

 (III) by striking all that precedes "in a calendar year after 1989," and inserting the following: 

 "(4) Inflation adjustment.-- In the case of any taxable year beginning". 

 (3) <26 USC 1 note> Effective date.-- The amendments made by this subsection shall apply to taxable years beginning after December 31, 2012. 

(c) Modifications of Estate Tax.--

 [**2318] (1) Maximum estate tax rate equal to 40 percent.-- The table contained in subsection (c) of section 

2001, as amended by section 302(a)(2) of the Tax Relief, Unemployment <26 USC 2001> Insurance Reauthorization, 

and Job Creation Act of 2010, is amended by striking "Over $ 500,000" and all that follows and inserting the following: 

"Over [dollar]500,000 but $ 155,800, plus 37 percent of the 

 not over [dollar]750,000. excess of such amount over 

203 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 6

112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 $ 500,000. 

Over $ 750,000 but not over 

 $ 1,000,000. $ 248,300, plus 39 percent of the 

 excess of such amount over 

 $ 750,000. 

Over [dollar]1,000,000 $ 345,800, plus 40 percent of the 

 excess of such amount over 

 $ 1,000,000.". 

 (2) Technical correction.-- Clause (i) of section 2010(c)(4)(B) is amended by striking "basic exclusion amount" 

and inserting "applicable exclusion amount". 

 (3) <26 USC 2001 note> Effective dates.---- 

 (A) In general.--Except as otherwise provided by in this paragraph, the amendments made by this subsection 

shall apply to estates of decedents dying, generation-skipping transfers, and gifts made, after December 31, 2012. 

 (B) Technical correction.--The amendment made by paragraph (2) shall take effect as if included in the 

amendments made by section 303 of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 

2010.

 [*102] Sec. 102. PERMANENT EXTENSION AND MODIFICATION OF 2003 TAX RELIEF. 

(a) <26 USC 1 note> Permanent Extension.--The Jobs and Growth Tax Relief Reconciliation Act of 2003 is 

amended by striking section 303. 

(b) 20-Percent Capital Gains Rate for Certain High Income Individuals.--

 (1) In general.-- Paragraph (1) of section 1(h) is amended by striking subparagraph (C), by redesignating subparagraphs (D) and (E) as subparagraphs (E) and (F) and by inserting after subparagraph (B) the following new subparagraphs: 

 "(C) 15 percent of the lesser of--

 "(i) so much of the adjusted net capital gain (or, if less, taxable income) as exceeds the amount on which a 

tax is determined under subparagraph (B), or 

 "(ii) the excess of--

 "(I) the amount of taxable income which would (without regard to this paragraph) be taxed at a rate below 

39.6 percent, over 

 "(II) the sum of the amounts on which a tax is determined under subparagraphs (A) and (B), 

 "(D) 20 percent of the adjusted net capital gain (or, if less, taxable income) in excess of the sum of the 

amounts on which tax is determined under subparagraphs (B) and (C),". 

 [**2319] (2) <26 USC 55> Minimum tax.-- Paragraph (3) of section 55(b) is amended by striking subparagraph (C), by redesignating subparagraph (D) as subparagraph (E), and by inserting after subparagraph (B) the following new subparagraphs: 

 "(C) 15 percent of the lesser of--

 "(i) so much of the adjusted net capital gain (or, if less, taxable excess) as exceeds the amount on which tax 

is determined under subparagraph (B), or 

 "(ii) the excess described in section 1(h)(1)(C)(ii), plus 

 "(D) 20 percent of the adjusted net capital gain (or, if less, taxable excess) in excess of the sum of the amounts 

on which tax is determined under subparagraphs (B) and (C), plus". 

(c) Conforming Amendments.--

 (1) The following provisions are each amended by striking "15 percent" and inserting "20 percent": 

 (A) Section 531. 

204 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 7

112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 (B) Section 541. 

 (C) Section 1445(e)(1). 

 (D) The second sentence of section 7518(g)(6)(A). 

 (E) Section 53511(f)(2) of title 46, United States Code. 

 (2) Sections 1(h)(1)(B) and 55(b)(3)(B) are each amended by striking "5 percent (0 percent in the case of taxable 

years beginning after 2007)" and inserting "0 percent". 

 (3) Section 1445(e)(6) is amended by striking "15 percent (20 percent in the case of taxable years beginning after December 31, 2010)" and inserting "20 percent". 

(d) Effective Dates.--

 (1) <26 USC 1 note> In general.-- Except as otherwise provided, the amendments made by subsections (b) and 

(c) shall apply to taxable years beginning after December 31, 2012. 

 (2) Withholding.-- The amendments made by paragraphs (1)(C) and (3) of subsection (c) shall apply to amounts 

paid on or after January 1, 2013. 

 [*103] Sec. 103. EXTENSION OF 2009 TAX RELIEF. 

(a) 5-year Extension of American Opportunity Tax Credit.--

 (1) In general.-- Section 25A(i) is amended by striking "in 2009, 2010, 2011, or 2012" and inserting "after 2008 

and before 2018". 

 (2) Treatment of possessions.-- Section 1004(c)(1) of division B of the American Recovery and Reinvestment 

Tax Act of 2009 is amended by striking "in 2009, 2010, 2011, and 2012" <26 USC 25A note> each place it appears and 

inserting "after 2008 and before 2018". 

(b) 5-year Extension of Child Tax Credit.--Section 24(d)(4) is amended--

 (1) by striking "2009, 2010, 2011, and 2012" in the heading and inserting "for certain years", and 

 (2) by striking "in 2009, 2010, 2011, or 2012" and inserting "after 2008 and before 2018". 

(c) 5-year Extension of Earned Income Tax Credit.--Section 32(b)(3) is amended--

 (1) by striking "2009, 2010, 2011, and 2012" in the heading and inserting "for certain years", and 

 [**2320] (2) by striking "in 2009, 2010, 2011, or 2012" and inserting "after 2008 and before 2018". 

(d) <26 USC 6409> Permanent Extension of Rule Disregarding Refunds in the Administration of Federal Programs 

and Federally Assisted Programs.--Section 6409 is amended to read as follows: 

"Sec. 6409. REFUNDS DISREGARDED IN THE ADMINISTRATION OF FEDERAL PROGRAMS AND 

FEDERALLY ASSISTED PROGRAMS. 

"Notwithstanding any other provision of law, any refund (or advance payment with respect to a refundable credit) 

made to any individual under this title shall not be taken into account as income, and shall not be taken into account as 

resources for a period of 12 months from receipt, for purposes of determining the eligibility of such individual (or any 

other individual) for benefits or assistance (or the amount or extent of benefits or assistance) under any Federal program 

or under any State or local program financed in whole or in part with Federal funds.". 

(e) Effective Dates.--

 (1) <26 USC 24 note> In general.-- Except as provided in paragraph (2), the amendments made by this section 

shall apply to taxable years beginning after December 31, 2012. 

 (2) Rule regarding disregard of refunds.-- The amendment made by subsection (d) shall apply to amounts received after December 31, 2012. 

 [*104] Sec. 104. PERMANENT ALTERNATIVE MINIMUM TAX RELIEF. 

(a) 2012 Exemption Amounts Made Permanent.--

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 (1) In general.-- Paragraph (1) of section 55(d) is amended--

 (A) by striking "$ 45,000" and all that follows through "2011)" in subparagraph (A) and inserting "$ 78,750", 

 (B) by striking "$ 33,750" and all that follows through "2011)" in subparagraph (B) and inserting "$ 50,600", 

and 

 (C) by striking "paragraph (1)(A)" in subparagraph (C) and inserting "subparagraph (A)". 

(b) Exemption Amounts Indexed for Inflation.--

 (1) In general.-- Subsection (d) of section 55 is amended by adding at the end the following new paragraph: 

 "(4) Inflation adjustment.----

 "(A) In general.--In the case of any taxable year beginning in a calendar year after 2012, the amounts described in subparagraph (B) shall each be increased by an amount equal to--

 "(i) such dollar amount, multiplied by 

 "(ii) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable 

year begins, determined by substituting 'calendar year 2011' for 'calendar year 1992' in subparagraph (B) thereof. 

 "(B) Amounts described.--The amounts described in this subparagraph are--

 "(i) each of the dollar amounts contained in subsection (b)(1)(A)(i), 

 "(ii) each of the dollar amounts contained in paragraph (1), and 

 "(iii) each of the dollar amounts in subparagraphs (A) and (B) of paragraph (3). 

 [**2321] "(C) Rounding.--Any increase determined under subparagraph (A) shall be rounded to the nearest 

multiple of $ 100.". 

 (2) Conforming amendments.---- 

 (A) <26 USC 55> Clause (iii) of section 55(b)(1)(A) is amended by striking "by substituting" and all that follows through "appears." and inserting "by substituting 50 percent of the dollar amount otherwise applicable under subclause (I) and subclause (II) thereof.". 

 (B) Paragraph (3) of section 55(d) is amended--

 (i) by striking "or (2)" in subparagraph (A), 

 (ii) by striking "and" at the end of subparagraph (B), and 

 (iii) by striking subparagraph (C) and inserting the following new subparagraphs: 

 "(C) 50 percent of the dollar amount applicable under subparagraph (A) in the case of a taxpayer described in 

subparagraph (C) or (D) of paragraph (1), and 

 "(D) $ 150,000 in the case of a taxpayer described in paragraph (2).". 

(c) Alternative Minimum Tax Relief for Nonrefundable Credits.--

 (1) In general.-- Subsection (a) of section 26 is amended to read as follows: 

"(a) Limitation Based on Amount of Tax.--The aggregate amount of credits allowed by this subpart for the taxable 

year shall not exceed the sum of--

 "(1) the taxpayer's regular tax liability for the taxable year reduced by the foreign tax credit allowable under section 27(a), and 

 "(2) the tax imposed by section 55(a) for the taxable year.". 

 (2) Conforming amendments.---- 

 (A) Adoption credit.--

 (i) Section 23(b) is amended by striking paragraph (4). 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 (ii) Section 23(c) is amended by striking paragraphs (1) and (2) and inserting the following: 

 "(1) In general.-- If the credit allowable under subsection (a) for any taxable year exceeds the limitation imposed 

by section 26(a) for such taxable year reduced by the sum of the credits allowable under this subpart (other than this 

section and sections 25D and 1400C), such excess shall be carried to the succeeding taxable year and added to the credit 

allowable under subsection (a) for such taxable year.". 

 (iii) Section 23(c) is amended by redesignating paragraph (3) as paragraph (2). 

 (B) Child tax credit.--

 (i) Section 24(b) is amended by striking paragraph (3). 

 (ii) Section 24(d)(1) is amended--

 (I) by striking "section 26(a)(2) or subsection (b)(3), as the case may be," each place it appears in subparagraphs (A) and (B) and inserting "section 26(a)", and 

 (II) by striking "section 26(a)(2) or subsection (b)(3), as the case may be" in the second last sentence and 

inserting "section 26(a)". 

 [**2322] (C) Credit for interest on certain home mortgages.--Section 25(e)(1)(C) is amended to read as follows: 

 "(C) <26 USC 25> Applicable tax limit.--For purposes of this paragraph, the term 'applicable tax limit' means 

the limitation imposed by section 26(a) for the taxable year reduced by the sum of the credits allowable under this subpart (other than this section and sections 23, 25D, and 1400C).". 

 (D) Hope and lifetime learning credits.--Section 25A(i) is amended--

 (i) by striking paragraph (5) and by redesignating paragraphs (6) and (7) as paragraphs (5) and (6), respectively, and 

 (ii) by striking "section 26(a)(2) or paragraph (5), as the case may be" in paragraph (5), as redesignated by 

clause (i), and inserting "section 26(a)". 

 (E) Savers' credit.--Section 25B is amended by striking subsection (g). 

 (F) Residential energy efficient property.--Section 25D(c) is amended to read as follows: 

"(c) Carryforward of Unused Credit.--If the credit allowable under subsection (a) exceeds the limitation imposed by 

section 26(a) for such taxable year reduced by the sum of the credits allowable under this subpart (other than this section), such excess shall be carried to the succeeding taxable year and added to the credit allowable under subsection (a) 

for such succeeding taxable year.". 

 (G) Certain plug-in electric vehicles.--Section 30(c)(2) is amended to read as follows: 

 "(2) Personal credit.-- For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable 

year.". 

 (H) Alternative motor vehicle credit.--Section 30B(g)(2) is amended to read as follows: 

 "(2) Personal credit.-- For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable 

year.". 

 (I) New qualified plug-in electric vehicle credit.--Section 30D(c)(2) is amended to read as follows: 

 "(2) Personal credit.-- For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable 

year.". 

 (J) Cross references.--Section 55(c)(3) is amended by striking "26(a), 30C(d)(2)," and inserting "30C(d)(2)". 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 (K) Foreign tax credit.--Section 904 is amended by striking subsection (i) and by redesignating subsections (j), 

(k), and (l) as subsections (i), (j), and (k), respectively. 

 (L) First-time home buyer credit for the District of Columbia.--Section 1400C(d) is amended to read as follows: 

"(d) Carryforward of Unused Credit.--If the credit allowable under subsection (a) exceeds the limitation imposed by 

section 26(a) for such taxable year reduced by the sum of the credits allowable under subpart A of part IV of subchapter 

A (other than this section and section 25D), such excess shall be carried to the [**2323] succeeding taxable year and 

added to the credit allowable under subsection (a) for such taxable year.". 

(d) <26 USC 23 note> Effective Date.--The amendments made by this section shall apply to taxable years beginning after December 31, 2011. 

 

 TITLE II--INDIVIDUAL TAX EXTENDERS 

 [*201] Sec. 201. EXTENSION OF DEDUCTION FOR CERTAIN EXPENSES OF ELEMENTARY AND 

SECONDARY SCHOOL TEACHERS. 

(a) <26 USC 62> In General.--Subparagraph (D) of section 62(a)(2) is amended by striking "or 2011" and inserting 

"2011, 2012, or 2013". 

(b) <26 USC 62 note> Effective Date.--The amendment made by this section shall apply to taxable years beginning 

after December 31, 2011. 

 [*202] Sec. 202. EXTENSION OF EXCLUSION FROM GROSS INCOME OF DISCHARGE OF QUALIFIED 

PRINCIPAL RESIDENCE INDEBTEDNESS. 

(a) In General.--Subparagraph (E) of section 108(a)(1) is amended by striking "January 1, 2013" and inserting 

"January 1, 2014". 

(b) <26 USC 108 note> Effective Date.--The amendment made by this section shall apply to indebtedness discharged after December 31, 2012. 

 [*203] Sec. 203. EXTENSION OF PARITY FOR EXCLUSION FROM INCOME FOR EMPLOYER-PROVIDED MASS TRANSIT AND PARKING BENEFITS. 

(a) In General.--Paragraph (2) of section 132(f) is amended by striking "January 1, 2012" and inserting "January 1, 

2014". 

(b) <26 USC 132 note> Effective Date.--The amendment made by this section shall apply to months after December 31, 2011. 

 [*204] Sec. 204. EXTENSION OF MORTGAGE INSURANCE PREMIUMS TREATED AS QUALIFIED 

RESIDENCE INTEREST. 

(a) In General.--Subclause (I) of section 163(h)(3)(E)(iv) is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) Technical Amendments.--Clause (i) of section 163(h)(4)(E) is amended--

 (1) by striking "Veterans Administration" and inserting "Department of Veterans Affairs", and 

 (2) by striking "Rural Housing Administration" and inserting "Rural Housing Service".

(c) <26 USC 163 note> Effective Date.--The amendments made by this section shall apply to amounts paid or accrued after December 31, 2011. 

 [*205] Sec. 205. EXTENSION OF DEDUCTION OF STATE AND LOCAL GENERAL SALES TAXES. 

(a) In General.--Subparagraph (I) of section 164(b)(5) is amended by striking "January 1, 2012" and inserting 

"January 1, 2014". 

(b) <26 USC 164 note> Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2011. 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 [*206] [**2324] Sec. 206. EXTENSION OF SPECIAL RULE FOR CONTRIBUTIONS OF CAPITAL GAIN 

REAL PROPERTY MADE FOR CONSERVATION PURPOSES. 

(a) <26 USC 170> In General.--Clause (vi) of section 170(b)(1)(E) is amended by striking "December 31, 2011" 

and inserting "December 31, 2013".

(b) Contributions by Certain Corporate Farmers and Ranchers.--Clause (iii) of section 170(b)(2)(B) is amended by 

striking "December 31, 2011" and inserting "December 31, 2013". 

(c) <26 USC 170 note> Effective Date.--The amendments made by this section shall apply to contributions made in 

taxable years beginning after December 31, 2011. 

 [*207] Sec. 207. EXTENSION OF ABOVE-THE-LINE DEDUCTION FOR QUALIFIED TUITION AND 

RELATED EXPENSES. 

(a) In General.--Subsection (e) of section 222 is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) <26 USC 222 note> Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2011. 

 [*208] Sec. 208. EXTENSION OF TAX-FREE DISTRIBUTIONS FROM INDIVIDUAL RETIREMENT 

PLANS FOR CHARITABLE PURPOSES. 

(a) In General.--Subparagraph (F) of section 408(d)(8) is amended by striking "December 31, 2011" and inserting 

"December 31, 2013". 

(b) <26 USC 408 note> Effective Date; Special Rule.--

 (1) Effective date.-- The amendment made by this section shall apply to distributions made in taxable years beginning after December 31, 2011. 

 (2) Special rules.-- For purposes of subsections (a)(6), (b)(3), and (d)(8) of section 408 of the Internal Revenue 

Code of 1986, at the election of the taxpayer (at such time and in such manner as prescribed by the Secretary of the 

Treasury)--

 (A) any qualified charitable distribution made after December 31, 2012, and before February 1, 2013, shall be 

deemed to have been made on December 31, 2012, and 

 (B) any portion of a distribution from an individual retirement account to the taxpayer after November 30, 

2012, and before January 1, 2013, may be treated as a qualified charitable distribution to the extent that--

 (i) such portion is transferred in cash after the distribution to an organization described in section 

408(d)(8)(B)(i) before February 1, 2013, and 

 (ii) such portion is part of a distribution that would meet the requirements of section 408(d)(8) but for the 

fact that the distribution was not transferred directly to an organization described in section 408(d)(8)(B)(i). 

 [*209] Sec. 209. IMPROVE AND MAKE PERMANENT THE PROVISION AUTHORIZING THE INTERNAL REVENUE SERVICE TO DISCLOSE CERTAIN RETURN AND RETURN INFORMATION TO CERTAIN 

PRISON OFFICIALS. 

(a) In General.--Paragraph (10) of section 6103(k) is amended to read as follows: 

 "(10) Disclosure of certain returns and return information to certain prison officials.---- 

 [**2325] "(A) In general.--Under such procedures as the Secretary may prescribe, the Secretary may disclose to officers and employees of the Federal Bureau of Prisons and of any State agency charged with the responsibility 

for administration of prisons any returns or return information with respect to individuals incarcerated in Federal or 

State prison systems whom the Secretary has determined may have filed or facilitated the filing of a false or fraudulent 

return to the extent that the Secretary determines that such disclosure is necessary to permit effective Federal tax administration. 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 "(B) Disclosure to contractor-run prisons.--Under such procedures as the Secretary may prescribe, the disclosures authorized by subparagraph (A) may be made to contractors responsible for the operation of a Federal or State 

prison on behalf of such Bureau or agency. 

 "(C) Restrictions on use of disclosed information.--Any return or return information received under this paragraph shall be used only for the purposes of and to the extent necessary in taking administrative action to prevent the 

filing of false and fraudulent returns, including administrative actions to address possible violations of administrative 

rules and regulations of the prison facility and in administrative and judicial proceedings arising from such administrative actions. 

 "(D) Restrictions on redisclosure and disclosure to legal representatives.--Notwithstanding subsection (h)--

 "(i) Restrictions on redisclosure.--Except as provided in clause (ii), any officer, employee, or contractor of 

the Federal Bureau of Prisons or of any State agency charged with the responsibility for administration of prisons shall 

not disclose any information obtained under this paragraph to any person other than an officer or employee or contractor 

of such Bureau or agency personally and directly engaged in the administration of prison facilities on behalf of such 

Bureau or agency. 

 "(ii) Disclosure to legal representatives.--The returns and return information disclosed under this paragraph 

may be disclosed to the duly authorized legal representative of the Federal Bureau of Prisons, State agency, or contractor charged with the responsibility for administration of prisons, or of the incarcerated individual accused of filing the 

false or fraudulent return who is a party to an action or proceeding described in subparagraph (C), solely in preparation 

for, or for use in, such action or proceeding.". 

(b) Conforming Amendments.--

 (1) Paragraph (3) of section 6103(a) is amended by inserting "subsection (k)(10)," after "subsection 

(e)(1)(D)(iii),". 

 (2) Paragraph (4) of section 6103(p) is amended--

 (A) by inserting "subsection (k)(10)," before "subsection (l)(10)," in the matter preceding subparagraph (A), 

 (B) in subparagraph (F)(i)--

 (i) by inserting "(k)(10)," before "or (l)(6),", and 

 [**2326] (ii) by inserting "subsection (k)(10) or" before "subsection (l)(10),", and 

 (C) by inserting "subsection (k)(10) or" before "subsection (l)(10)," both places it appears in the matter following subparagraph (F)(iii). 

 (3) <26 USC 7213> Paragraph (2) of section 7213(a) is amended by inserting "(k)(10)," before "(l)(6),". 

(c) <26 USC 6103 note> Effective Date.--The amendments made by this section shall take effect on the date of the 

enactment of this Act. 

 

 TITLE III--BUSINESS TAX EXTENDERS 

 [*301] Sec. 301. EXTENSION AND MODIFICATION OF RESEARCH CREDIT. 

(a) Extension.--

 (1) In general.-- Subparagraph (B) of section 41(h)(1) is amended by striking "December 31, 2011" and inserting 

"December 31, 2013". 

 (2) Conforming amendment.-- Subparagraph (D) of section 45C(b)(1) is amended by striking "December 31, 

2011" and inserting "December 31, 2013". 

(b) Inclusion of Qualified Research Expenses and Gross Receipts of an Acquired Person.--

 (1) Partial inclusion of pre-acquisition qualified research expenses and gross receipts.-- Subparagraph (A) of 

section 41(f)(3) is amended to read as follows: 

 "(A) Acquisitions.--

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 "(i) In general.--If a person acquires the major portion of either a trade or business or a separate unit of a 

trade or business (hereinafter in this paragraph referred to as the 'acquired business') of another person (hereinafter in 

this paragraph referred to as the 'predecessor'), then the amount of qualified research expenses paid or incurred by the 

acquiring person during the measurement period shall be increased by the amount determined under clause (ii), and the 

gross receipts of the acquiring person for such period shall be increased by the amount determined under clause (iii). 

 "(ii) Amount determined with respect to qualified research expenses.--The amount determined under this 

clause is--

 "(I) for purposes of applying this section for the taxable year in which such acquisition is made, the acquisition year amount, and 

 "(II) for purposes of applying this section for any taxable year after the taxable year in which such acquisition is made, the qualified research expenses paid or incurred by the predecessor with respect to the acquired business 

during the measurement period. 

 "(iii) Amount determined with respect to gross receipts.--The amount determined under this clause is the 

amount which would be determined under clause (ii) if 'the gross receipts of' were substituted for 'the qualified research 

expenses paid or incurred by' each place it appears in clauses (ii) and (iv). 

 [**2327] "(iv) Acquisition year amount.--For purposes of clause (ii), the acquisition year amount is the 

amount equal to the product of--

 "(I) the qualified research expenses paid or incurred by the predecessor with respect to the acquired business during the measurement period, and 

 "(II) the number of days in the period beginning on the date of the acquisition and ending on the last day 

of the taxable year in which the acquisition is made, divided by the number of days in the acquiring person's taxable 

year. 

 "(v) Special rules for coordinating taxable years.--In the case of an acquiring person and a predecessor 

whose taxable years do not begin on the same date--

 "(I) each reference to a taxable year in clauses (ii) and (iv) shall refer to the appropriate taxable year of the 

acquiring person, 

 "(II) the qualified research expenses paid or incurred by the predecessor, and the gross receipts of the predecessor, during each taxable year of the predecessor any portion of which is part of the measurement period shall be 

allocated equally among the days of such taxable year, 

 "(III) the amount of such qualified research expenses taken into account under clauses (ii) and (iv) with 

respect to a taxable year of the acquiring person shall be equal to the total of the expenses attributable under subclause 

(II) to the days occurring during such taxable year, and 

 "(IV) the amount of such gross receipts taken into account under clause (iii) with respect to a taxable year 

of the acquiring person shall be equal to the total of the gross receipts attributable under subclause (II) to the days occurring during such taxable year. 

 "(vi) Measurement period.--For purposes of this subparagraph, the term 'measurement period' means, with 

respect to the taxable year of the acquiring person for which the credit is determined, any period of the acquiring person 

preceding such taxable year which is taken into account for purposes of determining the credit for such year.". 

 (2) <26 USC 41> Expenses and gross receipts of a predecessor.-- Subparagraph (B) of section 41(f)(3) is 

amended to read as follows: 

 "(B) Dispositions.--If the predecessor furnished to the acquiring person such information as is necessary for 

the application of subparagraph (A), then, for purposes of applying this section for any taxable year ending after such 

disposition, the amount of qualified research expenses paid or incurred by, and the gross receipts of, the predecessor 

during the measurement period (as defined in [**2328] subparagraph (A)(vi), determined by substituting 'predecessor' 

for 'acquiring person' each place it appears) shall be reduced by--

 "(i) in the case of the taxable year in which such disposition is made, an amount equal to the product of--

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 "(I) the qualified research expenses paid or incurred by, or gross receipts of, the predecessor with respect 

to the acquired business during the measurement period (as so defined and so determined), and 

 "(II) the number of days in the period beginning on the date of acquisition (as determined for purposes of 

subparagraph (A)(iv)(II)) and ending on the last day of the taxable year of the predecessor in which the disposition is 

made, divided by the number of days in the taxable year of the predecessor, and 

 "(ii) in the case of any taxable year ending after the taxable year in which such disposition is made, the 

amount described in clause (i)(I).". 

(c) <26 USC 41> Aggregation of Expenditures.--Paragraph (1) of section 41(f) is amended--

 (1) by striking "shall be its proportionate shares of the qualified research expenses, basic research payments, and 

amounts paid or incurred to energy research consortiums, giving rise to the credit" in subparagraph (A)(ii) and inserting 

"shall be determined on a proportionate basis to its share of the aggregate of the qualified research expenses, basic research payments, and amounts paid or incurred to energy research consortiums, taken into account by such controlled 

group for purposes of this section", and 

 (2) by striking "shall be its proportionate shares of the qualified research expenses, basic research payments, and 

amounts paid or incurred to energy research consortiums, giving rise to the credit" in subparagraph (B)(ii) and inserting 

"shall be determined on a proportionate basis to its share of the aggregate of the qualified research expenses, basic research payments, and amounts paid or incurred to energy research consortiums, taken into account by all such persons 

under common control for purposes of this section". 

(d) <26 USC 41 note> Effective Date.--

 (1) Extension.-- The amendments made by subsection (a) shall apply to amounts paid or incurred after December 31, 2011. 

 (2) Modifications.-- The amendments made by subsections (b) and (c) shall apply to taxable years beginning after December 31, 2011. 

 [*302] Sec. 302. EXTENSION OF TEMPORARY MINIMUM LOW-INCOME TAX CREDIT RATE FOR 

NON-FEDERALLY SUBSIDIZED NEW BUILDINGS. 

(a) In General.--Subparagraph (A) of section 42(b)(2) is amended by striking "and before December 31, 2013" and 

inserting "with respect to housing credit dollar amount allocations made before January 1, 2014". 

 [**2329] (b) <26 USC 42 note> Effective Date.--The amendment made by this section shall take effect on the 

date of the enactment of this Act. 

 [*303] Sec. 303. EXTENSION OF HOUSING ALLOWANCE EXCLUSION FOR DETERMINING AREA 

MEDIAN GROSS INCOME FOR QUALIFIED RESIDENTIAL RENTAL PROJECT EXEMPT FACILITY BONDS. 

(a) In General.--Subsection (b) of section 3005 of the Housing Assistance Tax Act of 2008 is amended by striking 

"January 1, 2012" <26 USC 142 note> each place it appears and inserting "January 1, 2014". 

(b) <26 USC 142 note> Effective Date.--The amendment made by this section shall take effect as if included in the 

enactment of section 3005 of the Housing Assistance Tax Act of 2008. 

 [*304] Sec. 304. EXTENSION OF INDIAN EMPLOYMENT TAX CREDIT. 

(a) <26 USC 45A> In General.--Subsection (f) of section 45A is amended by striking "December 31, 2011" and 

inserting "December 31, 2013". 

(b) <26 USC 45A note> Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2011. 

 [*305] Sec. 305. EXTENSION OF NEW MARKETS TAX CREDIT. 

(a) In General.--Subparagraph (G) of section 45D(f)(1) is amended by striking "2010 and 2011" and inserting 

"2010, 2011, 2012, and 2013". 

(b) Carryover of Unused Limitation.--Paragraph (3) of section 45D(f) is amended by striking "2016" and inserting 

"2018". 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

(c) <26 USC 45D note> Effective Date.--The amendments made by this section shall apply to calendar years beginning after December 31, 2011. 

 [*306] Sec. 306. EXTENSION OF RAILROAD TRACK MAINTENANCE CREDIT. 

(a) In General.--Subsection (f) of section 45G is amended by striking "January 1, 2012" and inserting "January 1, 

2014". 

(b) <26 USC 45G note> Effective Date.--The amendment made by this section shall apply to expenditures paid or 

incurred in taxable years beginning after December 31, 2011. 

 [*307] Sec. 307. EXTENSION OF MINE RESCUE TEAM TRAINING CREDIT. 

(a) In General.--Subsection (e) of section 45N is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) <26 USC 45N note> Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2011. 

 [*308] Sec. 308. EXTENSION OF EMPLOYER WAGE CREDIT FOR EMPLOYEES WHO ARE ACTIVE 

DUTY MEMBERS OF THE UNIFORMED SERVICES. 

(a) In General.--Subsection (f) of section 45P is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) <26 USC 45P note> Effective Date.--The amendment made by this section shall apply to payments made after 

December 31, 2011. 

 [*309] Sec. 309. EXTENSION OF WORK OPPORTUNITY TAX CREDIT. 

(a) In General.--Subparagraph (B) of section 51(c)(4) is amended by striking "after" and all that follows and inserting "after December 31, 2013". 

(b) <26 USC 51 note> Effective Date.--The amendment made by this section shall apply to individuals who begin 

work for the employer after December 31, 2011. 

 [*310] [**2330] Sec. 310. EXTENSION OF QUALIFIED ZONE ACADEMY BONDS. 

(a) <26 USC 54E> In General.--Paragraph (1) of section 54E(c) is amended by inserting ", 2012, and 2013" after 

"for 2011". 

(b) <26 USC 54E note> Effective Date.--The amendments made by this section shall apply to obligations issued 

after December 31, 2011. 

 [*311] Sec. 311. EXTENSION OF 15-YEAR STRAIGHT-LINE COST RECOVERY FOR QUALIFIED 

LEASEHOLD IMPROVEMENTS, QUALIFIED RESTAURANT BUILDINGS AND IMPROVEMENTS, AND 

QUALIFIED RETAIL IMPROVEMENTS. 

(a) In General.--Clauses (iv), (v), and (ix) of section 168(e)(3)(E) are each amended by striking "January 1, 2012" 

and inserting "January 1, 2014". 

(b) <26 USC 168 note> Effective Date.--The amendments made by this section shall apply to property placed in 

service after December 31, 2011. 

 [*312] Sec. 312. EXTENSION OF 7-YEAR RECOVERY PERIOD FOR MOTORSPORTS ENTERTAINMENT COMPLEXES. 

(a) In General.--Subparagraph (D) of section 168(i)(15) is amended by striking "December 31, 2011" and inserting 

"December 31, 2013". 

(b) <26 USC 168 note> Effective Date.--The amendment made by this section shall apply to property placed in 

service after December 31, 2011. 

 [*313] Sec. 313. EXTENSION OF ACCELERATED DEPRECIATION FOR BUSINESS PROPERTY ON AN 

INDIAN RESERVATION. 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

(a) In General.--Paragraph (8) of section 168(j) is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) <26 USC 168 note> Effective Date.--The amendment made by this section shall apply to property placed in 

service after December 31, 2011. 

 [*314] Sec. 314. EXTENSION OF ENHANCED CHARITABLE DEDUCTION FOR CONTRIBUTIONS OF 

FOOD INVENTORY. 

(a) In General.--Clause (iv) of section 170(e)(3)(C) is amended by striking "December 31, 2011" and inserting 

"December 31, 2013". 

(b) <26 USC 170 note> Effective Date.--The amendment made by this section shall apply to contributions made 

after December 31, 2011. 

 [*315] Sec. 315. EXTENSION OF INCREASED EXPENSING LIMITATIONS AND TREATMENT OF 

CERTAIN REAL PROPERTY AS SECTION 179 PROPERTY. 

(a) In General.--

 (1) Dollar limitation.-- Section 179(b)(1) is amended--

 (A) by striking "2010 or 2011," in subparagraph (B) and inserting "2010, 2011, 2012, or 2013, and", 

 (B) by striking subparagraph (C), 

 (C) by redesignating subparagraph (D) as subparagraph (C), and 

 (D) in subparagraph (C), as so redesignated, by striking "2012" and inserting "2013". 

 (2) Reduction in limitation.-- Section 179(b)(2) is amended--

 (A) by striking "2010 or 2011," in subparagraph (B) and inserting "2010, 2011, 2012, or 2013, and", 

 (B) by striking subparagraph (C), 

 (C) by redesignating subparagraph (D) as subparagraph (C), and 

 [**2331] (D) in subparagraph (C), as so redesignated, by striking "2012" and inserting "2013". 

 (3) Conforming amendment.-- Subsection (b) of section 179 is amended by striking paragraph (6). 

(b) <26 USC 179> Computer Software.--Section 179(d)(1)(A)(ii) is amended by striking "2013" and inserting 

"2014". 

(c) Election.--Section 179(c)(2) is amended by striking "2013" and inserting "2014". 

(d) Special Rules for Treatment of Qualified Real Property.--

 (1) In general.-- Section 179(f)(1) is amended by striking "2010 or 2011" and inserting "2010, 2011, 2012, or 

2013". 

 (2) Carryover limitation.---- 

 (A) In general.--Section 179(f)(4) is amended by striking "2011" each place it appears and inserting "2013". 

 (B) Conforming amendment.--Subparagraph (C) of section 179(f)(4) is amended--

 (i) in the heading, by striking "2010" and inserting "2010, 2011 and 2012", and 

 (ii) by adding at the end the following: "For the last taxable year beginning in 2013, the amount determined 

under subsection (b)(3)(A) for such taxable year shall be determined without regard to this paragraph.". 

(e) <26 USC 179 note> Effective Date.--The amendments made by this section shall apply to taxable years beginning after December 31, 2011. 

 [*316] Sec. 316. EXTENSION OF ELECTION TO EXPENSE MINE SAFETY EQUIPMENT. 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

(a) In General.--Subsection (g) of section 179E is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) <26 USC 179E note> Effective Date.--The amendment made by this section shall apply to property placed in 

service after December 31, 2011. 

 [*317] Sec. 317. EXTENSION OF SPECIAL EXPENSING RULES FOR CERTAIN FILM AND TELEVISION 

PRODUCTIONS. 

(a) In General.--Subsection (f) of section 181 is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) <26 USC 181 note> Effective Date.--The amendment made by this section shall apply to productions commencing after December 31, 2011. 

 [*318] Sec. 318. EXTENSION OF DEDUCTION ALLOWABLE WITH RESPECT TO INCOME ATTRIBUTABLE TO DOMESTIC PRODUCTION ACTIVITIES IN PUERTO RICO. 

(a) In General.--Subparagraph (C) of section 199(d)(8) is amended--

 (1) by striking "first 6 taxable years" and inserting "first 8 taxable years", and 

 (2) by striking "January 1, 2012" and inserting "January 1, 2014". 

(b) <26 USC 199 note> Effective Date.--The amendments made by this section shall apply to taxable years beginning after December 31, 2011. 

 [*319] Sec. 319. EXTENSION OF MODIFICATION OF TAX TREATMENT OF CERTAIN PAYMENTS TO 

CONTROLLING EXEMPT ORGANIZATIONS. 

(a) In General.--Clause (iv) of section 512(b)(13)(E) is amended by striking "December 31, 2011" and inserting 

"December 31, 2013". 

 [**2332] (b) <26 USC 512 note> Effective Date.--The amendment made by this section shall apply to payments 

received or accrued after December 31, 2011. 

 [*320] Sec. 320. EXTENSION OF TREATMENT OF CERTAIN DIVIDENDS OF REGULATED INVESTMENT COMPANIES. 

(a) <26 USC 871> In General.--Paragraphs (1)(C)(v) and (2)(C)(v) of section 871(k) are each amended by striking 

"December 31, 2011" and inserting "December 31, 2013". 

(b) <26 USC 871 note> Effective Date.--The amendments made by this section shall apply to taxable years beginning after December 31, 2011. 

 [*321] Sec. 321. EXTENSION OF RIC QUALIFIED INVESTMENT ENTITY TREATMENT UNDER FIRPTA. 

(a) In General.--Clause (ii) of section 897(h)(4)(A) is amended by striking "December 31, 2011" and inserting 

"December 31, 2013". 

(b) <26 USC 897 note> Effective Date.--

 (1) In general.-- The amendment made by subsection (a) shall take effect on January 1, 2012. Notwithstanding 

the preceding sentence, such amendment shall not apply with respect to the withholding requirement under section 1445 

of the Internal Revenue Code of 1986 for any payment made before the date of the enactment of this Act. 

 (2) Amounts withheld on or before date of enactment.-- In the case of a regulated investment company--

 (A) which makes a distribution after December 31, 2011, and before the date of the enactment of this Act; and 

 (B) which would (but for the second sentence of paragraph (1)) have been required to withhold with respect to 

such distribution under section 1445 of such Code, 

such investment company shall not be liable to any person to whom such distribution was made for any amount so 

withheld and paid over to the Secretary of the Treasury. 

215 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 [*322] Sec. 322. EXTENSION OF SUBPART F EXCEPTION FOR ACTIVE FINANCING INCOME. 

(a) Exempt Insurance Income.--Paragraph (10) of section 953(e) is amended--

 (1) by striking "January 1, 2012" and inserting "January 1, 2014", and 

 (2) by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) Special Rule for Income Derived in the Active Conduct of Banking, Financing, or Similar Businesses.--Paragraph (9) of section 954(h) is amended by striking "January 1, 2012" and inserting "January 1, 2014". 

(c) <26 USC 953 note> Effective Date.--The amendments made by this section shall apply to taxable years of foreign corporations beginning after December 31, 2011, and to taxable years of United States shareholders with or within 

which any such taxable year of such foreign corporation ends. 

 [*323] [**2333] Sec. 323. EXTENSION OF LOOK-THRU TREATMENT OF PAYMENTS BETWEEN 

RELATED CONTROLLED FOREIGN CORPORATIONS UNDER FOREIGN PERSONAL HOLDING COMPANY 

RULES. 

(a) <26 USC 954> In General.--Subparagraph (C) of section 954(c)(6) is amended by striking "January 1, 2012" 

and inserting "January 1, 2014". 

(b) <26 USC 954 note> Effective Date.--The amendment made by this section shall apply to taxable years of foreign corporations beginning after December 31, 2011, and to taxable years of United States shareholders with or within 

which such taxable years of foreign corporations end. 

 [*324] Sec. 324. EXTENSION OF TEMPORARY EXCLUSION OF 100 PERCENT OF GAIN ON CERTAIN 

SMALL BUSINESS STOCK. 

(a) In General.--Paragraph (4) of section 1202(a) is amended--

 (1) by striking "January 1, 2012" and inserting "January 1, 2014", and 

 (2) by striking "and 2011" and inserting ", 2011, 2012, and 2013" in the heading thereof. 

(b) Technical Amendments.--

 (1) Special rule for 2009 and certain period in 2010.-- Paragraph (3) of section 1202(a) is amended by adding at 

the end the following new flush sentence: 

"In the case of any stock which would be described in the preceding sentence (but for this sentence), the acquisition 

date for purposes of this subsection shall be the first day on which such stock was held by the taxpayer determined after 

the application of section 1223.". 

 (2) 100 percent exclusion.-- Paragraph (4) of section 1202(a) is amended by adding at the end the following new 

flush sentence: 

"In the case of any stock which would be described in the preceding sentence (but for this sentence), the acquisition 

date for purposes of this subsection shall be the first day on which such stock was held by the taxpayer determined after 

the application of section 1223.". 

(c) <26 USC 1202 note> Effective Dates.--

 (1) In general.-- The amendments made by subsection (a) shall apply to stock acquired after December 31, 2011. 

 (2) Subsection (b)(1).-- The amendment made by subsection (b)(1) shall take effect as if included in section 

1241(a) of division B of the American Recovery and Reinvestment Act of 2009. 

 (3) Subsection (b)(2).-- The amendment made by subsection (b)(2) shall take effect as if included in section 

2011(a) of the Creating Small Business Jobs Act of 2010. 

 [*325] Sec. 325. EXTENSION OF BASIS ADJUSTMENT TO STOCK OF S CORPORATIONS MAKING 

CHARITABLE CONTRIBUTIONS OF PROPERTY. 

(a) In General.--Paragraph (2) of section 1367(a) is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

(b) <26 USC 1367 note> Effective Date.--The amendment made by this section shall apply to contributions made 

in taxable years beginning after December 31, 2011. 

 [*326] [**2334] Sec. 326. EXTENSION OF REDUCTION IN S-CORPORATION RECOGNITION PERIOD 

FOR BUILT-IN GAINS TAX. 

(a) <26 USC 1374> In General.--Paragraph (7) of section 1374(d) is amended--

 (1) by redesignating subparagraph (C) as subparagraph (D), and 

 (2) by inserting after subparagraph (B) the following new subparagraph: 

 "(C) Special rule for 2012 and 2013.--For purposes of determining the net recognized built-in gain for taxable 

years beginning in 2012 or 2013, subparagraphs (A) and (D) shall be applied by substituting '5-year' for '10-year'.", and 

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

 "(E) Installment sales.--If an S corporation sells an asset and reports the income from the sale using the installment method under section 453, the treatment of all payments received shall be governed by the provisions of this 

paragraph applicable to the taxable year in which such sale was made.". 

(b) Technical Amendment.--Subparagraph (B) of section 1374(d)(2) is amended by inserting "described in subparagraph (A)" after ", for any taxable year". 

(c) <26 USC 1374 note> Effective Date.--The amendments made by this section shall apply to taxable years beginning after December 31, 2011. 

 [*327] Sec. 327. EXTENSION OF EMPOWERMENT ZONE TAX INCENTIVES. 

(a) In General.--Clause (i) of section 1391(d)(1)(A) is amended by striking "December 31, 2011" and inserting 

"December 31, 2013". 

(b) Increased Exclusion of Gain on Stock of Empowerment Zone Businesses.--Subparagraph (C) of section 

1202(a)(2) is amended--

 (1) by striking "December 31, 2016" and inserting "December 31, 2018"; and 

 (2) by striking "2016" in the heading and inserting "2018". 

(c) <26 USC 1391 note> Treatment of Certain Termination Dates Specified in Nominations.--In the case of a designation of an empowerment zone the nomination for which included a termination date which is contemporaneous with 

the date specified in subparagraph (A)(i) of section 1391(d)(1) of the Internal Revenue Code of 1986 (as in effect before 

the enactment of this Act), subparagraph (B) of such section shall not apply with respect to such designation if, after the 

date of the enactment of this section, the entity which made such nomination amends the nomination to provide for a 

new termination date in such manner as the Secretary of the Treasury (or the Secretary's designee) may provide. 

(d) <26 USC 1202 note> Effective Date.--The amendments made by this section shall apply to periods after December 31, 2011. 

 [*328] Sec. 328. EXTENSION OF TAX-EXEMPT FINANCING FOR NEW YORK LIBERTY ZONE. 

(a) In General.--Subparagraph (D) of section 1400L(d)(2) is amended by striking "January 1, 2012" and inserting 

"January 1, 2014". 

(b) <26 USC 1400L note> Effective Date.--The amendment made by this section shall apply to bonds issued after 

December 31, 2011. 

 [*329] [**2335] Sec. 329. EXTENSION OF TEMPORARY INCREASE IN LIMIT ON COVER OVER OF 

RUM EXCISE TAXES TO PUERTO RICO AND THE VIRGIN ISLANDS. 

(a) <26 USC 7652> In General.--Paragraph (1) of section 7652(f) is amended by striking "January 1, 2012" and inserting "January 1, 2014". 

(b) <26 USC 7652 note> Effective Date.--The amendment made by this section shall apply to distilled spirits 

brought into the United States after December 31, 2011. 

217 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 [*330] Sec. 330. MODIFICATION AND EXTENSION OF AMERICAN SAMOA ECONOMIC DEVELOPMENT CREDIT. 

(a) Modification.--

 (1) In general.-- Subsection (a) of section 119 of division A of the Tax Relief and Health Care Act of 2006 is 

amended <26 USC 30A note> by striking "if such corporation" and all that follows and inserting "if--

 "(1) in the case of a taxable year beginning before January 1, 2012, such corporation--

 "(A) is an existing credit claimant with respect to American Samoa, and 

 "(B) elected the application of section 936 of the Internal Revenue Code of 1986 for its last taxable year beginning before January 1, 2006, and 

 "(2) in the case of a taxable year beginning after December 31, 2011, such corporation meets the requirements of 

subsection (e).". 

 (2) Requirements.-- Section 119 of division A of such Act is amended by adding at the end the following new 

subsection: 

"(e) Qualified Production Activities Income Requirement.--A corporation meets the requirement of this subsection 

if such corporation has qualified production activities income, as defined in subsection (c) of section 199 of the Internal 

Revenue Code of 1986, determined by substituting 'American Samoa' for 'the United States' each place it appears in 

paragraphs (3), (4), and (6) of such subsection (c), for the taxable year.". 

(b) Extension.--Subsection (d) of section 119 of division A of the Tax Relief and Health Care Act of 2006 is 

amended by striking "shall apply" and all that follows and inserting "shall apply--

 "(1) in the case of a corporation that meets the requirements of subparagraphs (A) and (B) of subsection (a)(1), 

to the first 8 taxable years of such corporation which begin after December 31, 2006, and before January 1, 2014, and 

 "(2) in the case of a corporation that does not meet the requirements of subparagraphs (A) and (B) of subsection 

(a)(1), to the first 2 taxable years of such corporation which begin after December 31, 2011, and before January 1, 

2014.". 

(c) <26 USC 30A note> Effective Date.--The amendments made by this section shall apply to taxable years beginning after December 31, 2011. 

 [*331] Sec. 331. EXTENSION AND MODIFICATION OF BONUS DEPRECIATION. 

(a) In General.--Paragraph (2) of section 168(k) is amended--

 (1) by striking "January 1, 2014" in subparagraph (A)(iv) and inserting "January 1, 2015", and 

 (2) by striking "January 1, 2013" each place it appears and inserting "January 1, 2014". 

 [**2336] (b) <26 USC 460> Special Rule for Federal Long-Term Contracts.--Clause (ii) of section 460(c)(6)(B) 

is amended by inserting ", or after December 31, 2012, and before January 1, 2014 (January 1, 2015, in the case of 

property described in section 168(k)(2)(B))" before the period. 

(c) Extension of Election To Accelerate the AMT Credit in Lieu of Bonus Depreciation.--

 (1) In general.-- Subclause (II) of section 168(k)(4)(D)(iii) is amended by striking "2013" and inserting "2014". 

 (2) Round 3 extension property.-- Paragraph (4) of section 168(k) is amended by adding at the end the following 

new subparagraph: 

 "(J) Special rules for round 3 extension property.--

 "(i) In general.--In the case of round 3 extension property, this paragraph shall be applied without regard to--

 "(I) the limitation described in subparagraph (B)(i) thereof, and 

 "(II) the business credit increase amount under subparagraph (E)(iii) thereof. 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 "(ii) Taxpayers previously electing acceleration.--In the case of a taxpayer who made the election under 

subparagraph (A) for its first taxable year ending after March 31, 2008, a taxpayer who made the election under subparagraph (H)(ii) for its first taxable year ending after December 31, 2008, or a taxpayer who made the election under 

subparagraph (I)(iii) for its first taxable year ending after December 31, 2010--

 "(I) the taxpayer may elect not to have this paragraph apply to round 3 extension property, but 

 "(II) if the taxpayer does not make the election under subclause (I), in applying this paragraph to the taxpayer the bonus depreciation amount, maximum amount, and maximum increase amount shall be computed and applied 

to eligible qualified property which is round 3 extension property. The amounts described in subclause (II) shall be 

computed separately from any amounts computed with respect to eligible qualified property which is not round 3 extension property. 

 "(iii) Taxpayers not previously electing acceleration.--In the case of a taxpayer who neither made the election under subparagraph (A) for its first taxable year ending after March 31, 2008, nor made the election under subparagraph (H)(ii) for its first taxable year ending after December 31, 2008, nor made the election under subparagraph (I)(iii) 

for any taxable year ending after December 31, 2010--

 "(I) the taxpayer may elect to have this paragraph apply to its first taxable year ending after December 31, 

2012, and each subsequent taxable year, and 

 "(II) if the taxpayer makes the election under subclause (I), this paragraph shall only apply to [**2337] 

eligible qualified property which is round 3 extension property. 

 "(iv) Round 3 extension property.--For purposes of this subparagraph, the term 'round 3 extension property' 

means property which is eligible qualified property solely by reason of the extension of the application of the special 

allowance under paragraph (1) pursuant to the amendments made by section 331(a) of the American Taxpayer Relief 

Act of 2012 (and the application of such extension to this paragraph pursuant to the amendment made by section 

331(c)(1) of such Act).". 

(d) Normalization Rules Amendment.--Clause (ii) of section 168(i)(9)(A) is amended by inserting "(respecting all 

elections made <26 USC 168> by the taxpayer under this section)" after "such property". 

(e) Conforming Amendments.--

 (1) The heading for subsection (k) of section 168 is amended by striking " January 1, 2013" and inserting " January 1, 2014". 

 (2) The heading for clause (ii) of section 168(k)(2)(B) is amended by striking "pre-January 1, 2013" and inserting "pre-January 1, 2014". 

 (3) Subparagraph (C) of section 168(n)(2) is amended by striking "January 1, 2013" and inserting "January 1, 

2014". 

 (4) Subparagraph (D) of section 1400L(b)(2) is amended by striking "January 1, 2013" and inserting "January 1, 

2014". 

 (5) Subparagraph (B) of section 1400N(d)(3) is amended by striking "January 1, 2013" and inserting "January 1, 

2014". 

(f) <26 USC 168 note> Effective Date.--The amendments made by this section shall apply to property placed in 

service after December 31, 2012, in taxable years ending after such date. 

 

 TITLE IV--ENERGY TAX EXTENDERS 

 [*401] Sec. 401. EXTENSION OF CREDIT FOR ENERGY-EFFICIENT EXISTING HOMES. 

(a) In General.--Paragraph (2) of section 25C(g) is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) <26 USC 25C note> Effective Date.--The amendment made by this section shall apply to property placed in 

service after December 31, 2011. 

219 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 [*402] Sec. 402. EXTENSION OF CREDIT FOR ALTERNATIVE FUEL VEHICLE REFUELING PROPERTY. 

(a) In General.--Paragraph (2) of section 30C(g) is amended by striking "December 31, 2011." and inserting "December 31, 2013". 

(b) <26 USC 30C note> Effective Date.--The amendment made by this section shall apply to property placed in 

service after December 31, 2011. 

 [*403] Sec. 403. EXTENSION OF CREDIT FOR 2- OR 3-WHEELED PLUG-IN ELECTRIC VEHICLES. 

(a) In General.--Section 30D is amended by adding at the end the following new subsection: 

"(g) Credit Allowed for 2- and 3-wheeled Plug-in Electric Vehicles.--

 "(1) In general.-- In the case of a qualified 2- or 3-wheeled plug-in electric vehicle--

 "(A) there shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount 

equal to the sum of the applicable amount with respect [**2338] to each such qualified 2- or 3-wheeled plug-in electric 

vehicle placed in service by the taxpayer during the taxable year, and 

 "(B) the amount of the credit allowed under subparagraph (A) shall be treated as a credit allowed under subsection (a). 

 "(2) Applicable amount.-- For purposes of paragraph (1), the applicable amount is an amount equal to the lesser 

of--

 "(A) 10 percent of the cost of the qualified 2- or 3-wheeled plug-in electric vehicle, or 

 "(B) $ 2,500. 

 "(3) Qualified 2- or 3-wheeled plug-in electric vehicle.-- The term 'qualified 2- or 3-wheeled plug-in electric vehicle' means any vehicle which--

 "(A) has 2 or 3 wheels, 

 "(B) meets the requirements of subparagraphs (A), (B), (C), (E), and (F) of subsection (d)(1) (determined by 

substituting '2.5 kilowatt hours' for '4 kilowatt hours' in subparagraph (F)(i)), 

 "(C) is manufactured primarily for use on public streets, roads, and highways, 

 "(D) is capable of achieving a speed of 45 miles per hour or greater, and 

 "(E) is acquired after December 31, 2011, and before January 1, 2014.". 

(b) Conforming Amendments.--

 (1) No double benefit.-- Paragraph (2) of section 30D(f) is amended-- 

 (A) by striking "new qualified plug-in electric drive motor vehicle" and inserting "vehicle for which a credit is 

allowable under subsection (a)", and 

 (B) by striking "allowed under subsection (a)" and inserting "allowed under such subsection". 

 (2) <26 USC 30D> Air quality and safety standards.-- Section 30D(f)(7) is amended by striking "motor vehicle" 

and inserting "vehicle". 

(c) <26 USC 30D note> Effective Date.--The amendments made by this section shall apply to vehicles acquired after December 31, 2011. 

 [*404] Sec. 404. EXTENSION AND MODIFICATION OF CELLULOSIC BIOFUEL PRODUCER CREDIT. 

(a) Extension.--

 (1) In general.-- Subparagraph (H) of section 40(b)(6) is amended to read as follows: 

 "(H) Application of paragraph.--

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 "(i) In general.--This paragraph shall apply with respect to qualified cellulosic biofuel production after December 31, 2008, and before January 1, 2014. 

 "(ii) No carryover to certain years after expiration.--If this paragraph ceases to apply for any period by reason of clause (i), rules similar to the rules of subsection (e)(2) shall apply.". 

 (2) Conforming amendment.-- Paragraph (2) of section 40(e) is amended by striking "or subsection (b)(6)(H)". 

 (3) <26 USC 40 note> Effective date.-- The amendments made by this subsection shall take effect as if included 

in section 15321(b) of the Heartland, Habitat, and Horticulture Act of 2008. 

(b) Algae Treated as a Qualified Feedstock.--

 [**2339] (1) <26 USC 40> In general.-- Subclause (I) of section 40(b)(6)(E)(i) is amended to read as follows: 

 "(I) is derived by, or from, qualified feedstocks, and". 

 (2) Qualified feedstock; special rules for algae.-- Paragraph (6) of section 40(b) is amended by redesignating 

subparagraphs (F), (G), and (H), as amended by this Act, as subparagraphs (H), (I), and (J), respectively, and by inserting after subparagraph (E) the following new subparagraphs: 

 "(F) Qualified feedstock.--For purposes of this paragraph, the term 'qualified feedstock' means--

 "(i) any lignocellulosic or hemicellulosic matter that is available on a renewable or recurring basis, and 

 "(ii) any cultivated algae, cyanobacteria, or lemna. 

 "(G) Special rules for algae.--In the case of fuel which is derived by, or from, feedstock described in subparagraph (F)(ii) and which is sold by the taxpayer to another person for refining by such other person into a fuel which 

meets the requirements of subparagraph (E)(i)(II) and the refined fuel is not excluded under subparagraph (E)(iii)--

 "(i) such sale shall be treated as described in subparagraph (C)(i), 

 "(ii) such fuel shall be treated as meeting the requirements of subparagraph (E)(i)(II) and as not being excluded under subparagraph (E)(iii) in the hands of such taxpayer, and 

 "(iii) except as provided in this subparagraph, such fuel (and any fuel derived from such fuel) shall not be 

taken into account under subparagraph (C) with respect to the taxpayer or any other person.". 

 (3) Conforming amendments.---- 

 (A) Section 40, as amended by paragraph (2), is amended--

 (i) by striking "cellulosic biofuel" each place it appears in the text thereof and inserting "second generation 

biofuel", 

 (ii) by striking "Cellulosic" in the headings of subsections (b)(6), (b)(6)(E), and (d)(3)(D) and inserting 

"Second generation", and 

 (iii) by striking "cellulosic" in the headings of subsections (b)(6)(C), (b)(6)(D), (b)(6)(H), (d)(6), and (e)(3) 

and inserting "second generation". 

 (B) Clause (ii) of section 40(b)(6)(E) is amended by striking "Such term shall not" and inserting "The term 

'second generation biofuel' shall not". 

 (C) Paragraph (1) of section 4101(a) is amended by striking "cellulosic biofuel" and inserting "second generation biofuel".

 (4) <26 USC 40 note> Effective date.-- The amendments made by this subsection shall apply to fuels sold or 

used after the date of the enactment of this Act. 

 [*405] [**2340] Sec. 405. EXTENSION OF INCENTIVES FOR BIODIESEL AND RENEWABLE DIESEL. 

(a) Credits for Biodiesel and Renewable Diesel Used as Fuel.--Subsection (g) of section 40A <26 USC 40A> is 

amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) Excise Tax Credits and Outlay Payments for Biodiesel and Renewable Diesel Fuel Mixtures.--

221 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 (1) Paragraph (6) of section 6426(c) is amended by striking "December 31, 2011" and inserting "December 31, 

2013". 

 (2) Subparagraph (B) of section 6427(e)(6) is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(c) <26 USC 40A note> Effective Date.--The amendments made by this section shall apply to fuel sold or used after December 31, 2011. 

 [*406] Sec. 406. EXTENSION OF PRODUCTION CREDIT FOR INDIAN COAL FACILITIES PLACED IN 

SERVICE BEFORE 2009. 

(a) In General.--Subparagraph (A) of section 45(e)(10) is amended by striking "7-year period" each place it appears 

and inserting "8-year period". 

(b) <26 USC 45 note> Effective Date.--The amendment made by this section shall apply to coal produced after 

December 31, 2012. 

 [*407] Sec. 407. EXTENSION AND MODIFICATION OF CREDITS WITH RESPECT TO FACILITIES 

PRODUCING ENERGY FROM CERTAIN RENEWABLE RESOURCES. 

(a) Production Tax Credit.--

 (1) Extension for wind facilities.-- Paragraph (1) of section 45(d) is amended by striking "January 1, 2013" and 

inserting "January 1, 2014". 

 (2) Exclusion of paper which is commonly recycled from definition of municipal solid waste.-- Section 45(c)(6) 

is amended by inserting ", except that such term does not include paper which is commonly recycled and which has 

been segregated from other solid waste (as so defined)" after "(42 U.S.C. 6903)". 

 (3) Modification to definition of qualified facility.---- 

 (A) In general.--The following provisions of section 45(d), as amended by paragraph (1), are each amended by 

striking "before January 1, 2014" and inserting "the construction of which begins before January 1, 2014": 

 (i) Paragraph (1). 

 (ii) Paragraph (2)(A)(i). 

 (iii) Paragraph (3)(A)(i)(I). 

 (iv) Paragraph (6). 

 (v) Paragraph (7). 

 (vi) Paragraph (9)(B). 

 (vii) Paragraph (11)(B). 

 (B) Certain closed-loop biomass facilities.--Subparagraph (A) of section 45(d)(2) is amended by adding at the 

end the following new flush sentence: 

"For purposes of clause (ii), a facility shall be treated as modified before January 1, 2014, if the construction of 

such modification begins before such date.". 

 [**2341] (C) Certain open-loop biomass facilities.--Clause (ii) of section 45(d)(3)(A) <26 USC 45> is 

amended by striking "is originally placed in service" and inserting "the construction of which begins". 

 (D) Geothermal facilities.--

 (i) In general.--Paragraph (4) of section 45(d) is amended by striking "and before January 1, 2014" and all 

that follows and inserting "and which--

 "(A) in the case of a facility using solar energy, is placed in service before January 1, 2006, or 

 "(B) in the case of a facility using geothermal energy, the construction of which begins before January 1, 2014. 

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Such term shall not include any property described in section 48(a)(3) the basis of which is taken into account by 

the taxpayer for purposes of determining the energy credit under section 48.". 

 (E) Incremental hydropower production.--Paragraph (9) of section 45(d) is amended--

 (i) by redesignating subparagraphs (A) and (B), as amended by subparagraph (A), as clauses (i) and (ii), respectively, and by moving such clauses (as so redesignated) 2 ems to the right, 

 (ii) by striking "In the case of a facility" and inserting the following: 

 "(A) In general.--In the case of a facility", 

 (iii) by redesignating subparagraph (C) as subparagraph (B), and 

 (iv) by adding at the end the following new subparagraph: 

 "(C) Special rule.--For purposes of subparagraph (A)(i), an efficiency improvement or addition to capacity 

shall be treated as placed in service before January 1, 2014, if the construction of such improvement or addition begins 

before such date.". 

(b) Extension of Election to Treat Qualified Facilities as Energy Property.--Subparagraph (C) of section 48(a)(5) is 

amended to read as follows: 

 "(C) Qualified investment credit facility.--For purposes of this paragraph, the term 'qualified investment credit 

facility' means any facility--

 "(i) which is a qualified facility (within the meaning of section 45) described in paragraph (1), (2), (3), (4), 

(6), (7), (9), or (11) of section 45(d), 

 "(ii) which is placed in service after 2008 and the construction of which begins before January 1, 2014, and 

 "(iii) with respect to which--

 "(I) no credit has been allowed under section 45, and 

 "(II) the taxpayer makes an irrevocable election to have this paragraph apply.". 

(c) Technical Corrections.--

 (1) Subparagraph (D) of section 48(a)(5) is amended--

 (A) by striking "and" at the end of clause (i)(II), 

 (B) by striking the period at the end of clause (ii) and inserting a comma, and 

 (C) by adding at the end the following new clauses: 

 [**2342] "(iii) which is constructed, reconstructed, erected, or acquired by the taxpayer, and 

 "(iv) the original use of which commences with the taxpayer.". 

 (2) Paragraphs (1) and (2) of subsection (a) of section 1603 of division B of the American Recovery and Reinvestment Act of 2009 <26 USC 48 note> are each amended by striking "placed in service" and inserting "originally 

placed in service by such person". 

(d) <26 USC 45 note> Effective Dates.--

 (1) In general.-- Except as provided in paragraphs (2) and (3), the amendments made by this section shall take 

effect on the date of the enactment of this Act. 

 (2) Modification to definition of municipal solid waste.-- The amendments made by subsection (a)(2) shall apply 

to electricity produced and sold after the date of the enactment of this Act, in taxable years ending after such date. 

 (3) Technical corrections.-- The amendments made by subsection (c) shall apply as if included in the enactment 

of the provisions of the American Recovery and Reinvestment Act of 2009 to which they relate. 

 [*408] Sec. 408. EXTENSION OF CREDIT FOR ENERGY-EFFICIENT NEW HOMES. 

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(a) <26 USC 45L> In General.--Subsection (g) of section 45L is amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) Energy Savings Requirements.--Clause (i) of section 45L(c)(1)(A) is amended by striking "2003 International 

Energy Conservation Code, as such Code (including supplements) is in effect on the date of the enactment of this section"and inserting "2006 International Energy Conservation Code, as such Code (including supplements) is in effect on 

January 1, 2006". 

(c) <26 USC 45L note> Effective Date.--The amendments made by this section shall apply to homes acquired after 

December 31, 2011. 

 [*409] Sec. 409. EXTENSION OF CREDIT FOR ENERGY-EFFICIENT APPLIANCES. 

(a) In General.--Section 45M(b) is amended by striking "2011" each place it appears other than in the provisions 

specified in subsection (b) and inserting "2011, 2012, or 2013". 

(b) Provisions Specified.--The provisions of section 45M(b) specified in this subsection are subparagraph (C) of 

paragraph (1) and subparagraph (E) of paragraph (2). 

(c) <26 USC 45M note> Effective Date.--The amendments made by this section shall apply to appliances produced 

after December 31, 2011. 

 [*410] Sec. 410. EXTENSION AND MODIFICATION OF SPECIAL ALLOWANCE FOR CELLULOSIC 

BIOFUEL PLANT PROPERTY. 

(a) Extension.--

 (1) In general.-- Subparagraph (D) of section 168(l)(2) is amended by striking "January 1, 2013" and inserting 

"January 1, 2014". 

 (2) <26 USC 168 note> Effective date.-- The amendment made by this subsection shall apply to property placed 

in service after December 31, 2012. 

(b) Algae Treated as a Qualified Feedstock for Purposes of Bonus Depreciation for Biofuel Plant Property.--

 (1) In general.-- Subparagraph (A) of section 168(l)(2) is amended by striking "solely to produce cellulosic biofuel" and [**2343] inserting "solely to produce second generation biofuel (as defined in section 40(b)(6)(E))". 

 (2) <26 USC 168> Conforming amendments.-- Subsection (l) of section 168, as amended by subsection (a), is 

amended--

 (A) by striking "cellulosic biofuel" each place it appears in the text thereof and inserting "second generation 

biofuel", 

 (B) by striking paragraph (3) and redesignating paragraphs (4) through (8) as paragraphs (3) through (7), respectively, 

 (C) by striking " Cellulosic" in the heading of such subsection and inserting " Second Generation", and 

 (D) by striking "cellulosic" in the heading of paragraph (2) and inserting "second generation". 

 (3) <26 USC 168 note> Effective date.-- The amendments made by this subsection shall apply to property 

placed in service after the date of the enactment of this Act. 

 [*411] Sec. 411. EXTENSION OF SPECIAL RULE FOR SALES OR DISPOSITIONS TO IMPLEMENT 

FERC OR STATE ELECTRIC RESTRUCTURING POLICY FOR QUALIFIED ELECTRIC UTILITIES. 

(a) In General.--Paragraph (3) of section 451(i) is amended by striking "January 1, 2012" and inserting "January 1, 

2014". 

(b) <26 USC 451 note> Effective Date.--The amendment made by this section shall apply to dispositions after December 31, 2011. 

 [*412] Sec. 412. EXTENSION OF ALTERNATIVE FUELS EXCISE TAX CREDITS. 

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(a) In General.--Sections 6426(d)(5) and 6426(e)(3) are each amended by striking "December 31, 2011" and inserting "December 31, 2013". 

(b) Outlay Payments for Alternative Fuels.--Paragraph (6) of section 6427(e) is amended--

 (1) in subparagraph (C)--

 (A) by striking "or alternative fuel mixture (as defined in subsection (d)(2) or (e)(3) of section 6426)" and inserting "(as defined in section 6426(d)(2))", and 

 (B) by striking "December 31, 2011, and" and inserting "December 31, 2013,", 

 (2) in subparagraph (D)--

 (A) by striking "or alternative fuel mixture", and 

 (B) by striking the period at the end and inserting ", and", and 

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

 "(E) any alternative fuel mixture (as defined in section 6426(e)(2)) sold or used after December 31, 2011.". 

(c) <26 USC 6426 note> Effective Date.--The amendments made by this section shall apply to fuel sold or used after December 31, 2011. 

 

 TITLE V--UNEMPLOYMENT 

 [*501] Sec. 501. EXTENSION OF EMERGENCY UNEMPLOYMENT COMPENSATION PROGRAM. 

(a) Extension.--Section 4007(a)(2) of the Supplemental Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 

3304 note) is amended by striking "January 2, 2013" and inserting "January 1, 2014". 

 [**2344] (b) Funding.--Section 4004(e)(1) of the Supplemental Appropriations Act, 2008 (Public Law 110-252; 

26 U.S.C. 3304 note) is amended--

 (1) in subparagraph (H), by striking "and" at the end; and 

 (2) by inserting after subparagraph (I) the following: 

 "(J) the amendments made by section 501(a) of the American Taxpayer Relief Act of 2012;". 

(c) <26 USC 3304 note> Effective Date.--The amendments made by this section shall take effect as if included in 

the enactment of the Unemployment Benefits Extension Act of 2012 (Public Law 112-96)

 [*502] Sec. 502. TEMPORARY EXTENSION OF EXTENDED BENEFIT PROVISIONS. 

(a) In General.--Section 2005 of the Assistance for Unemployed Workers and Struggling Families Act, as contained 

in Public Law 111-5 (26 U.S.C. 3304 note), is amended--

 (1) by striking "December 31, 2012" each place it appears and inserting "December 31, 2013"; and 

 (2) in subsection (c), by striking "June 30, 2013" and inserting "June 30, 2014". 

(b) Extension of Matching for States With No Waiting Week.--Section 5 of the Unemployment Compensation Extension Act of 2008 (Public Law 110-449; 26 U.S.C. 3304 note) is amended by striking "June 30, 2013" and inserting 

"June 30, 2014". 

(c) Extension of Modification of Indicators Under the Extended Benefit Program.--Section 203 of the Federal-State 

Extended Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note) is amended--

 (1) in subsection (d), by striking "December 31, 2012" and inserting "December 31, 2013"; and 

 (2) in subsection (f)(2), by striking "December 31, 2012" and inserting "December 31, 2013". 

(d) <26 USC 3304 note> Effective Date.--The amendments made by this section shall take effect as if included in 

the enactment of the Unemployment Benefits Extension Act of 2012 (Public Law 112-96). 

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 [*503] Sec. 503. EXTENSION OF FUNDING FOR REEMPLOYMENT SERVICES AND REEMPLOYMENT 

AND ELIGIBILITY ASSESSMENT ACTIVITIES. 

(a) In General.--Section 4004(c)(2)(A) of the Supplemental Appropriations Act, 2008 (Public Law 110-252; 26 

U.S.C. 3304 note) is amended by striking "through fiscal year 2013" and inserting "through fiscal year 2014". 

(b) <26 USC 3304 note> Effective Date.--The amendments made by this section shall take effect as if included in 

the enactment of the Unemployment Benefits Extension Act of 2012 (Public Law 112-96). 

 [*504] Sec. 504. ADDITIONAL EXTENDED UNEMPLOYMENT BENEFITS UNDER THE RAILROAD 

UNEMPLOYMENT INSURANCE ACT. 

(a) Extension.--Section 2(c)(2)(D)(iii) of the Railroad Unemployment Insurance Act, as added by section 2006 of 

the American Recovery and Reinvestment Act of 2009 (Public Law 111-5) and as amended by section 9 of the Worker, 

Homeownership, and Business Assistance Act of 2009 (Public Law 111-92), section 505 of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 (Public Law 111-312), section 202 of the Temporary 

Payroll Tax Cut Continuation Act of 2011 (Public [**2345] Law 112-78), and section 2124 of the Unemployment 

Benefits Extension Act of 2012 (Public Law 112-96), is amended-- <45 USC 352> 

 (1) by striking "June 30, 2012" and inserting "June 30, 2013"; and 

 (2) by striking "December 31, 2012" and inserting "December 31, 2013". 

(b) <45 USC 352 note> Clarification on Authority to Use Funds.--Funds appropriated under either the first or second sentence of clause (iv) of section 2(c)(2)(D) of the Railroad Unemployment Insurance Act shall be available to 

cover the cost of additional extended unemployment benefits provided under such section 2(c)(2)(D) by reason of the 

amendments made by subsection (a) as well as to cover the cost of such benefits provided under such section 

2(c)(2)(D), as in effect on the day before the date of enactment of this Act. 

(c) Funding for Administration.--Out of any funds in the Treasury not otherwise appropriated, there are appropriated to the Railroad Retirement Board $ 250,000 for administrative expenses associated with the payment of additional 

extended unemployment benefits provided under section 2(c)(2)(D) of the Railroad Unemployment Insurance Act by 

reason of the amendments made by subsection (a), to remain available until expended. 

 

 TITLE VI--MEDICARE AND OTHER HEALTH EXTENSIONS 

 

 Subtitle A--Medicare Extensions 

 [*601] Sec. 601. MEDICARE PHYSICIAN PAYMENT UPDATE. 

(a) In General.--Section 1848(d) of the Social Security Act (42 U.S.C. 1395w-4(d)) is amended by adding at the 

end the following new paragraph: 

 "(14) Update for 2013.---- 

 "(A) In general.--Subject to paragraphs (7)(B), (8)(B), (9)(B), (10)(B), (11)(B), (12)(B), and (13)(B), in lieu of 

the update to the single conversion factor established in paragraph (1)(C) that would otherwise apply for 2013, the update to the single conversion factor for such year shall be zero percent. 

 "(B) No effect on computation of conversion factor for 2014 and subsequent years.--The conversion factor 

under this subsection shall be computed under paragraph (1)(A) for 2014 and subsequent years as if subparagraph (A) 

had never applied.". 

(b) Advancement of Clinical Data Registries To Improve the Quality of Health Care.--

 (1) In general.-- Section 1848(m)(3) of the Social Security Act (42 U.S.C. 1395w-4(m)(3)) is amended--

 (A) by redesignating subparagraph (D) as subparagraph (F); and 

 (B) by inserting after subparagraph (C) the following new subparagraphs: 

 "(D) Satisfactory reporting measures through participation in a qualified clinical data registry.--For 2014 and 

subsequent years, the Secretary shall treat [**2346] an eligible professional as satisfactorily submitting data on quality 

measures under subparagraph (A) if, in lieu of reporting measures under subsection (k)(2)(C), the eligible professional 

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is satisfactorily participating, as determined by the Secretary, in a qualified clinical data registry (as described in subparagraph (E)) for the year. 

 "(E) Qualified clinical data registry.--

 "(i) In general.--The Secretary shall establish requirements for an entity to be considered a qualified clinical 

data registry. Such requirements shall include a requirement that the entity provide the Secretary with such information, 

at such times, and in such manner, as the Secretary determines necessary to carry out this subsection. 

 "(ii) Considerations.--In establishing the requirements under clause (i), the Secretary shall consider whether 

an entity--

 "(I) has in place mechanisms for the transparency of data elements and specifications, risk models, and 

measures; 

 "(II) requires the submission of data from participants with respect to multiple payers; 

 "(III) provides timely performance reports to participants at the individual participant level; and 

 "(IV) supports quality improvement initiatives for participants. 

 "(iii) Measures.--With respect to measures used by a qualified clinical data registry--

 "(I) sections 1890(b)(7) and 1890A(a) shall not apply; and 

 "(II) measures endorsed by the entity with a contract with the Secretary under section 1890(a) may be 

used. 

 "(iv) Consultation.--In carrying out this subparagraph, the Secretary shall consult with interested parties. 

 "(v) Determination.--The Secretary shall establish a process to determine whether or not an entity meets the 

requirements established under clause (i). Such process may involve one or both of the following: 

 "(I) A determination by the Secretary. 

 "(II) A designation by the Secretary of one or more independent organizations to make such determination.". 

 (2) GAO study and report on incorporating registry data into the Medicare program in order to improve quality 

and efficiency.---- 

 (A) Study.--The Comptroller General of the United States shall conduct a study on the potential of clinical data registries to improve the quality and efficiency of care in the Medicare program, including through payment system 

incentives. Such study shall include an analysis of the role of health information technology in facilitating clinical data 

registries and the use of data from such registries among private health insurers as well as other entities the Comptroller 

General determines appropriate. 

 [**2347] (B) Report.--Not later than November 15, 2013, the Comptroller General of the United States shall 

submit to Congress a report on the study conducted under subparagraph (A), together with recommendations for such 

legislation and administrative action as the Comptroller General determines appropriate. 

 [*602] Sec. 602. WORK GEOGRAPHIC ADJUSTMENT. 

Section 1848(e)(1)(E) of the Social Security Act (42 U.S.C. 1395w-4(e)(1)(E)) is amended by striking "before January 1, 2013" and inserting "before January 1, 2014". 

 [*603] Sec. 603. PAYMENT FOR OUTPATIENT THERAPY SERVICES. 

(a) Extension.--Section 1833(g) of the Social Security Act (42 U.S.C. 1395l(g)) is amended--

 (1) in paragraph (5)(A), in the first sentence, by striking "December 31, 2012" and inserting "December 31, 

2013"; and 

 (2) in paragraph (6)--

 (A) by striking "December 31, 2012" and inserting "December 31, 2013"; and 

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2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 (B) by inserting "or 2013" after "during 2012". 

(b) Application of Therapy Cap to Therapy Furnished as Part of Outpatient Critical Access Hospital Services.--Section 1833(g)(6) of the Social Security Act (42 U.S.C. 1395l(g)(6)), as amended by subsection (a), is amended--

 (1) by striking "In applying" and inserting " (A) In applying"; and 

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

"(B) (i) With respect to outpatient therapy services furnished beginning on or after January 1, 2013, and before 

January 1, 2014, for which payment is made under section 1834(g), the Secretary shall count toward the uniform dollar 

limitations described in paragraphs (1) and (3) and the threshold described in paragraph (5)(C) the amount that would be 

payable under this part if such services were paid under section 1834(k)(1)(B) instead of being paid under section 

1834(g). 

"(ii) Nothing in clause (i) shall be construed as changing the method of payment for outpatient therapy services under section 1834(g).". 

(c) Beneficiary Protections.--Section 1833(g)(5) of the Social Security Act (42 U.S.C. 1395l(g)(5)) is amended by 

adding at the end the following new subparagraph: 

"(D) With respect to services furnished on or after January 1, 2013, where payment may not be made as a result of 

application of paragraphs (1) and (3), section 1879 shall apply in the same manner as such section applies to a denial 

that is made by reason of section 1862(a)(1).". 

(d) <42 USC 1395l note> Implementation.--Notwithstanding any other provision of law, the Secretary of Health 

and Human Services may implement the provisions of, and the amendments made by, this section by program instruction or otherwise. 

 [*604] Sec. 604. AMBULANCE ADD-ON PAYMENTS. 

(a) Ground Ambulance.--Section 1834(l)(13)(A) of the Social Security Act (42 U.S.C. 1395m(l)(13)(A)) is 

amended--

 (1) in the matter preceding clause (i), by striking "January 1, 2013" and inserting "January 1, 2014"; and 

 [**2348] (2) in each of clauses (i) and (ii), by striking "January 1, 2013" and inserting "January 1, 2014" each 

place it appears. 

(b) Air Ambulance.--Section 146(b)(1) of the Medicare Improvements for Patients and Providers Act of 2008 (Public Law 110-275), as amended by sections 3105(b) and 10311(b) of the Patient Protection and Affordable Care Act 

(Public Law 111-148), section 106(b) of the Medicare and Medicaid Extenders Act of 2010 (Public Law 111-309), section 306(b) of the Temporary Payroll Tax Cut Continuation Act of 2011 (Public Law 112-78), and section 3007(b) of 

the Middle Class Tax Relief and Job Creation Act of <42 USC 1395m note> 2012 (Public Law 112-96), is amended by 

striking "December 31, 2012" and inserting "June 30, 2013". 

(c) Super Rural Ambulance.--Section 1834(l)(12)(A) of the Social Security Act (42 U.S.C. 1395m(l)(12)(A)) is 

amended in the first sentence by striking "January 1, 2013" and inserting "January 1, 2014". 

(d) Studies of Ambulance Costs.--

 (1) In general.-- The Secretary of Health and Health and Human Services (in this subsection referred to as the 

"Secretary") shall conduct a study of each of the following: 

 (A) A study that analyzes data on existing cost reports for ambulance services furnished by hospitals and critical access hospitals, including variation by characteristics of such providers of services. 

 (B) A study of the feasibility of obtaining cost data on a periodic basis from all ambulance providers of services and suppliers for potential use in examining the appropriateness of the Medicare add-on payments for ground 

ambulance services furnished under the fee schedule under section 1834(l) of the Social Security Act (42 U.S.C. 

1395m(l)) and in preparing for future reform of such payment system. 

 (2) Components of one of the studies.-- In conducting the study under paragraph (1)(B), the Secretary shall--

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 (A) consult with industry on the design of such cost collection efforts; 

 (B) explore use of cost surveys and cost reports to collect appropriate cost data and the periodicity of such cost 

data collection; 

 (C) examine the feasibility of development of a standard cost reporting tool for providers of services and suppliers of ground ambulance services; and 

 (D) examine the ability to furnish such cost data by various types of ambulance providers of services and suppliers, especially by rural and super-rural providers of services and suppliers. 

 (3) Reports.---- 

 (A) Existing cost reports.--Not later than October 1, 2013, the Secretary shall submit a report to Congress on 

the study conducted under paragraph (1)(A), together with recommendations for such legislation and administrative 

action as the Secretary determines appropriate. 

 (B) Obtaining cost data.--Not later than July 1, 2014, the Secretary shall submit a report to Congress on the 

study conducted under paragraph (1)(B), together with recommendations for such legislation and administrative action 

as the Secretary determines appropriate. 

 [*605] [**2349] Sec. 605. EXTENSION OF MEDICARE INPATIENT HOSPITAL PAYMENT ADJUSTMENT FOR LOW-VOLUME HOSPITALS. 

Section 1886(d)(12) of the Social Security Act (42 U.S.C. 1395ww(d)(12)) is amended--

 (1) in subparagraph (B), in the matter preceding clause (i), by striking "2013" and inserting "2014"; 

 (2) in subparagraph (C)(i), by striking "and 2012" each place it appears and inserting ", 2012, and 2013"; and 

 (3) in subparagraph (D), by striking "and 2012" and inserting ", 2012, and 2013". 

 [*606] Sec. 606. EXTENSION OF THE MEDICARE-DEPENDENT HOSPITAL (MDH) PROGRAM. 

(a) Extension of Payment Methodology.--Section 1886(d)(5)(G) of the Social Security Act (42 U.S.C. 

1395ww(d)(5)(G)) is amended--

 (1) in clause (i), by striking "October 1, 2012" and inserting "October 1, 2013"; and 

 (2) in clause (ii)(II), by striking "October 1, 2012" and inserting "October 1, 2013". 

(b) Conforming Amendments.--

 (1) Extension of target amount.-- Section 1886(b)(3)(D) of the Social Security Act (42 U.S.C. 

1395ww(b)(3)(D)) is amended--

 (A) in the matter preceding clause (i), by striking "October 1, 2012" and inserting "October 1, 2013"; and 

 (B) in clause (iv), by striking "through fiscal year 2012" and inserting "through fiscal year 2013". 

 (2) Permitting hospitals to decline reclassification.-- Section 13501(e)(2) of the Omnibus Budget Reconciliation 

Act of 1993 (42 U.S.C. 1395ww note) is amended by striking "through fiscal year 2012" and inserting "through fiscal 

year 2013". 

 [*607] Sec. 607. EXTENSION FOR SPECIALIZED MEDICARE ADVANTAGE PLANS FOR SPECIAL 

NEEDS INDIVIDUALS. 

Section 1859(f)(1) of the Social Security Act (42 U.S.C. 1395w-28(f)(1)) is amended by striking "2014" and inserting "2015". 

 [*608] Sec. 608. EXTENSION OF MEDICARE REASONABLE COST CONTRACTS. 

Section 1876(h)(5)(C)(ii) of the Social Security Act (42 U.S.C. 1395mm(h)(5)(C)(ii)) is amended, in the matter 

preceding subclause (I), by striking "January 1, 2013" and inserting "January 1, 2014". 

 [*609] Sec. 609. PERFORMANCE IMPROVEMENT. 

(a) Extension of Funding for Contract With Consensus-based Entity Regarding Performance Measurement.--

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2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 (1) In general.-- Section 1890(d) of the Social Security Act (42 U.S.C. 1395aaa(d)) is amended by striking "fiscal years 2009 through 2012" and inserting "fiscal years 2009 through 2013". 

 (2) Revision to duties.-- Section 1890(b) of the Social Security Act (42 U.S.C. 1395aaa(b)) is amended by striking paragraph (4). 

(b) Providing Data for Performance Improvement in a Timely Manner.--

 (1) In general.-- The Secretary of Health and Human Services (in this subsection referred to as the "Secretary") 

shall [**2350] develop a strategy to provide data for performance improvement in a timely manner to applicable providers under the Medicare program under title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.), including with 

respect to the provision of the following: 

 (A) Utilization data, including such data for items and services under parts A, B, and D of the Medicare program. 

 (B) Feedback on quality data submitted by the applicable provider under the Medicare program. 

 (2) Considerations.-- In developing the strategy under paragraph (1), the Secretary shall consider--

 (A) the type of applicable provider receiving the data; 

 (B) the frequency of providing the data so that it can be the most relevant in improving provider performance; 

 (C) risk adjustment methods; 

 (D) presentation of the data in a meaningful manner and easily understandable format; 

 (E) with respect to utilization data, the provision of data that the Secretary determines would be useful to improve the performance of the type of applicable provider involved; and 

 (F) administrative costs involved with providing data. 

 (3) Submission and availability of initial strategy.-- Not later than 1 year after the date of the enactment of this 

Act, the Secretary shall--

 (A) submit to the relevant committees of Congress the strategy described in paragraph (1); and 

 (B) post such strategy on the website of the Centers for Medicare & Medicaid Services. 

 (4) Strategy update.---- 

 (A) Feedback from stakeholders.--The Secretary shall seek feedback from stakeholders on the initial strategy 

submitted under paragraph (3). 

 (B) Strategy update.--The Secretary shall--

 (i) update the strategy described in paragraph (1) based on the feedback submitted under subparagraph (A); 

and 

 (ii) not later than 18 months after the date of the enactment of this Act--

 (I) submit such updated strategy to the relevant committees of Congress; and 

 (II) post such updated strategy on the website of the Centers for Medicare & Medicaid Services. 

 (5) GAO study and report on private sector information sharing activities.---- 

 (A) Study.--The Comptroller General of the United States (in this paragraph referred to as the "Comptroller 

General") shall conduct a study on information sharing activities. Such study shall include an analysis of--

 (i) how private sector entities share timely data with hospitals, physicians, and other providers and what lessons can be learned from those activities; 

 (ii) how the Medicare program currently shares data with providers, including what data is provided and to 

which providers, and what divisions within the Centers for Medicare & Medicaid Services oversee those efforts; 

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 [**2351] (iii) what, if any, differences there are between the private sector and the Medicare program under title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.) in terms of sharing data; and 

 (iv) what, if any, barriers there are for the Centers for Medicare & Medicaid Services to sharing timely data 

with applicable providers and recommendations to eliminate or reduce such barriers. 

 (B) Report.--Not later than 8 months after the date of the enactment of this Act, the Comptroller General shall 

submit to the relevant committees of Congress a report containing the results of the study conducted under subparagraph 

(A), together with recommendations for such legislation and administrative action as the Comptroller General determines appropriate. 

 (6) Definitions.-- In this subsection: 

 (A) Applicable provider.--The term "applicable provider" means the following: 

 (i) A critical access hospital (as defined in section 1861(mm)(1) of the Social Security Act (42 U.S.C. 

1395xx(mm)(1))). 

 (ii) A hospital (as defined in section 1861(e) of such Act (42 U.S.C. 1395x(e))). 

 (iii) A physician (as defined in section 1861(r) of such Act (42 U.S.C. 1395x(r))). 

 (iv) Any other provider the Secretary determines should receive the information described in subsection (a). 

 (B) Performance improvement.--The term "performance improvement" means improvements in quality, reducing per capita costs, and other criteria the Secretary determines appropriate. 

 [*610] Sec. 610. EXTENSION OF FUNDING OUTREACH AND ASSISTANCE FOR LOW-INCOME PROGRAMS. 

(a) Additional Funding for State Health Insurance Programs.--Subsection (a)(1)(B) of section 119 of the Medicare 

Improvements for Patients and Providers Act of 2008 (42 U.S.C. 1395b-3 note), as amended by section 3306 of the Patient Protection and Affordable Care Act Public Law 111-148), is amended--

 (1) in clause (i), by striking "and" at the end; 

 (2) in clause (ii), by striking the period at the end and inserting "; and"; and 

 (3) by inserting after clause (ii) the following new clause: 

 "(iii) for fiscal year 2013, of $ 7,500,000.". 

(b) Additional Funding for Area Agencies on Aging.--Subsection (b)(1)(B) of such section 119, as so amended, is 

amended--

 (1) in clause (i), by striking "and" at the end; 

 (2) in clause (ii), by striking the period at the end and inserting "; and"; and 

 (3) by inserting after clause (ii) the following new clause: 

 "(iii) for fiscal year 2013, of $ 7,500,000.". 

(c) Additional Funding for Aging and Disability Resource Centers.--Subsection (c)(1)(B) of such section 119, as so 

amended, is amended--

 (1) in clause (i), by striking "and" at the end; 

 [**2352] (2) in clause (ii), by striking the period at the end and inserting "; and"; and 

 (3) by inserting after clause (ii) the following new clause: 

 "(iii) for fiscal year 2013, of $ 5,000,000.". 

(d) Additional Funding for Contract With the National Center for Benefits and Outreach Enrollment.--Subsection 

(d)(2) of such section 119, as so amended, is amended--

 (1) in clause (i), by striking "and" at the end; 

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 (2) in clause (ii), by striking the period at the end and inserting "; and"; and 

 (3) by inserting after clause (ii) the following new clause: 

 "(iii) for fiscal year 2013, of $ 5,000,000.". 

 

 Subtitle B--Other Health Extensions 

 [*621] Sec. 621. EXTENSION OF THE QUALIFYING INDIVIDUAL (QI) PROGRAM. 

(a) Extension.--Section 1902(a)(10)(E)(iv) of the Social Security Act (42 U.S.C. 1396a(a)(10)(E)(iv)) is amended 

by striking "2012" and inserting "2013". 

(b) Extending Total Amount Available for Allocation.--Section 1933(g) of such Act (42 U.S.C. 1396u-3(g)) is 

amended--

 (1) in paragraph (2)--

 (A) in subparagraph (Q), by striking "and" after the semicolon; 

 (B) in subparagraph (R), by striking the period at the end and inserting a semicolon; and 

 (C) by adding at the end the following new subparagraphs: 

 "(S) for the period that begins on January 1, 2013, and ends on September 30, 2013, the total allocation 

amount is $ 485,000,000; and 

 "(T) for the period that begins on October 1, 2013, and ends on December 31, 2013, the total allocation 

amount is $ 300,000,000."; and 

 (2) in paragraph (3), in the matter preceding subparagraph (A), by striking "or (R)" and inserting "(R), or (T)". 

 [*622] Sec. 622. EXTENSION OF TRANSITIONAL MEDICAL ASSISTANCE (TMA). 

Sections 1902(e)(1)(B) and 1925(f) of the Social Security Act (42 U.S.C. 1396a(e)(1)(B), 1396r-6(f)) are each 

amended by striking "2012" and inserting "2013". 

 [*623] Sec. 623. EXTENSION OF MEDICAID AND CHIP EXPRESS LANE OPTION. 

Section 1902(e)(13)(I) of the Social Security Act (42 U.S.C. 1396a(e)(13)(I)) is amended by striking "2013" and 

inserting "2014". 

 [*624] Sec. 624. EXTENSION OF FAMILY-TO-FAMILY HEALTH INFORMATION CENTERS. 

Section 501(c)(1)(A)(iii) of the Social Security Act (42 U.S.C. 701(c)(1)(A)(iii)) is amended by striking "2012" and 

inserting "2013". 

 [*625] Sec. 625. EXTENSION OF SPECIAL DIABETES PROGRAM FOR TYPE I DIABETES AND FOR 

INDIANS. 

(a) Special Diabetes Programs for Type I Diabetes.--Section 330B(b)(2)(C) of the Public Health Service Act (42 

U.S.C. 254c-2(b)(2)(C)) is amended by striking "2013" and inserting "2014". 

 [**2353] (b) Special Diabetes Programs for Indians.--Section 330C(c)(2)(C) of the Public Health Service Act (42 

U.S.C. 254c-3(c)(2)(C)) is amended by striking "2013" and inserting "2014". 

 

 Subtitle C--Other Health Provisions 

 [*631] Sec. 631. IPPS DOCUMENTATION AND CODING ADJUSTMENT FOR IMPLEMENTATION OF 

MS-DRGS. 

(a) Rule of Construction and Clarification.--

 (1) Rule of construction.-- Nothing in the amendments made by subsection (b) shall be construed as changing 

the existing authority under section 1886(d) of the Social Security Act (42 U.S.C. 1395ww(d)) to make prospective 

documentation and coding adjustments to the standardized amounts under such section 1886(d) to correct for changes in 

the coding or classification of discharges that do not reflect real changes in case mix. 

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 (2) Clarification.-- Effective on the date of the enactment of this section, except as provided in section 

7(b)(1)(B)(ii) of the TMA, Abstinence Education, and QI Programs Extension Act of 2007, as added by subsection 

(b)(2)(A)(ii)(IV) of this section, the Secretary of Health and Human Services shall not have authority to fully recoup 

past overpayments related to documentation and coding changes from fiscal years 2008 and 2009. 

(b) Adjustment.--Section 7 of the TMA, Abstinence Education, and QI Programs Extension Act of 2007 (Public 

Law 110-90; 121 Stat. 986) is amended--

 (1) in the heading, by striking "limitation" and all that follows through "adjustment" and inserting "documentation and coding adjustments"; and 

 (2) in subsection (b)--

 (A) in paragraph (1)--

 (i) in the matter before subparagraph (A)--

 (I) by striking "or 2009" and inserting ", 2009, or 2010"; and 

 (II) by inserting "or otherwise applied for such year" after "applied under subsection (a)"; and 

 (ii) in subparagraph (B)--

 (I) by inserting "(i)" after "(B)"; 

 (II) by striking "or decrease"; 

 (III) by striking the period at the end and inserting "; and"; and 

 (IV) by adding at the end the following: 

 "(ii) make an additional adjustment to the standardized amounts under such section 1886(d) based upon the 

Secretary's estimates for discharges occurring only during fiscal years 2014, 2015, 2016, and 2017 to fully offset $ 

11,000,000,000 (which represents the amount of the increase in aggregate payments from fiscal years 2008 through 

2013 for which an adjustment was not previously applied)."; and 

 (B) in paragraph (3)--

 (i) in subparagraph (A), by inserting before the semicolon the following: "or affecting the Secretary's authority under such paragraph to apply a prospective [**2354] adjustment to offset aggregate additional payments related to 

documentation and coding improvements made with respect to discharges during fiscal year 2010"; and 

 (ii) in subparagraph (B), by striking "and 2012" and inserting "2012, 2014, 2015, 2016, and 2017". 

 [*632] Sec. 632. REVISIONS TO THE MEDICARE ESRD BUNDLED PAYMENT SYSTEM TO REFLECT 

FINDINGS IN THE GAO REPORT. 

(a) Adjustment to ESRD Bundled Payment Rate To Account for Changes in the Utilization of Certain Drugs and 

Biologicals.--Section 1881(b)(14) of the Social Security Act (42 U.S.C. 1395rr(b)(14)) is amended by adding at the end 

the following new subparagraph: 

"(I) For services furnished on or after January 1, 2014, the Secretary shall, by comparing per patient utilization data 

from 2007 with such data from 2012, make reductions to the single payment that would otherwise apply under this paragraph for renal dialysis services to reflect the Secretary's estimate of the change in the utilization of drugs and biologicals described in clauses (ii), (iii), and (iv) of subparagraph (B) (other than oral-only ESRD-related drugs, as such term 

is used in the final rule promulgated by the Secretary in the Federal Register on August 12, 2010 (75 Fed. Reg. 49030)). 

In making reductions under the preceding sentence, the Secretary shall take into account the most recently available 

data on average sales prices and changes in prices for drugs and biological reflected in the ESRD market basket percentage increase factor under subparagraph (F).". 

(b) <42 USC 1395rr note> Two-year Delay of Implementation of Oral-Only ESRD-Related Drugs in the ESRD 

Prospective Payment System; Monitoring.--

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 (1) Delay.-- The Secretary of Health and Human Services may not implement the policy under section 

413.174(f)(6) of title 42, Code of Federal Regulations (relating to oral-only ESRD-related drugs in the ESRD prospective payment system), prior to January 1, 2016. 

 (2) Monitoring.-- With respect to the implementation of oral-only ESRD-related drugs in the ESRD prospective 

payment system under subsection (b)(14) of section 1881 of the Social Security Act (42 U.S.C. 1395rr(b)(14)), the Secretary of Health and Human Services shall monitor the bone and mineral metabolism of individuals with end stage renal 

disease. 

(c) <42 USC 1395rr note> Analysis of Case Mix Payment Adjustments.--By not later than January 1, 2016, the 

Secretary of Health and Human Services shall--

 (1) conduct an analysis of the case mix payment adjustments being used under section 1881(b)(14)(D)(i) of the 

Social Security Act (42 U.S.C. 1395rr(b)(14)(D)(i)); and 

 (2) make appropriate revisions to such case mix payment adjustments. 

(d) Updated GAO Report.--Not later than December 31, 2015, the Comptroller General of the United States shall 

submit to Congress a report that updates the report submitted to Congress under section 10336 of the Patient Protection 

and Affordable Care Act (Public Law 111-148; 124 Stat. 974). The updated report shall include an analysis of how the 

Secretary of Health and Human Services has addressed points raised in the report submitted under [**2355] such section 10336 with respect to the Secretary's preparations to implement payment for oral-only ESRD-related drugs in the 

bundled prospective payment system under section 1881(b)(14) of the Social Security Act (42 U.S.C. 1395rr(b)(14)). 

 [*633] Sec. 633. TREATMENT OF MULTIPLE SERVICE PAYMENT POLICIES FOR THERAPY SERVICES. 

(a) Services Furnished by Physicians and Certain Other Providers.--Section 1848(b)(7) of the Social Security Act 

(42 U.S.C. 1395w-4(b)(7)) is amended--

 (1) by striking "2011," and inserting "2011, and before April 1, 2013,"; and 

 (2) by adding at the end the following new sentence: "In the case of such services furnished on or after April 1, 

2013, and for which payment is made under such fee schedules, instead of the 25 percent multiple procedure payment 

reduction specified in such final rule, the reduction percentage shall be 50 percent.". 

(b) Services Furnished by Other Providers.--Section 1834(k) of the Social Security Act (42 U.S.C. 1395m(k)) is 

amended by adding at the end the following new paragraph: 

 "(7) Adjustment in discount for certain multiple therapy services.-- In the case of therapy services furnished on 

or after April 1, 2013, and for which payment is made under this subsection pursuant to the applicable fee schedule 

amount (as defined in paragraph (3)), instead of the 25 percent multiple procedure payment reduction specified in the 

final rule published by the Secretary in the Federal Register on November 29, 2010, the reduction percentage shall be 50 

percent.". 

 [*634] Sec. 634. PAYMENT FOR CERTAIN RADIOLOGY SERVICES FURNISHED UNDER THE MEDICARE HOSPITAL OUTPATIENT DEPARTMENT PROSPECTIVE PAYMENT SYSTEM. 

Section 1833(t)(16) of the Social Security Act (42 U.S.C. 1395l(t)(16)) is amended by adding at the end the following new subparagraph: 

 "(D) Special payment rule.--

 "(i) In general.--In the case of covered OPD services furnished on or after April 1, 2013, in a hospital described in clause (ii), if--

 "(I) the payment rate that would otherwise apply under this subsection for stereotactic radiosurgery, complete course of treatment of cranial lesion(s) consisting of 1 session that is multi-source Cobalt 60 based (identified as of 

January 1, 2013, by HCPCS code 77371 (and any succeeding code) and reimbursed as of such date under APC 0127 

(and any succeeding classification group)); exceeds 

 "(II) the payment rate that would otherwise apply under this subsection for linear accelerator based stereotactic radiosurgery, complete course of therapy in one session (identified as of January 1, 2013, by HCPCS code G0173 

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(and any succeeding code) and reimbursed as of such date under APC 0067 (and any succeeding classification group)), 

[**2356] the payment rate for the service described in subclause (I) shall be reduced to an amount equal to the payment rate for the service described in subclause (II). 

 "(ii) Hospital described.--A hospital described in this clause is a hospital that is not--

 "(I) located in a rural area (as defined in section 1886(d)(2)(D)); 

 "(II) classified as a rural referral center under section 1886(d)(5)(C); or 

 "(III) a sole community hospital (as defined in section 1886(d)(5)(D)(iii)). 

 "(iii) Not budget neutral.--In making any budget neutrality adjustments under this subsection for 2013 (with 

respect to covered OPD services furnished on or after April 1, 2013, and before January 1, 2014) or a subsequent year, 

the Secretary shall not take into account the reduced expenditures that result from the application of this subparagraph.". 

 [*635] Sec. 635. ADJUSTMENT OF EQUIPMENT UTILIZATION RATE FOR ADVANCED IMAGING 

SERVICES. 

Section 1848 of the Social Security Act (42 U.S.C. 1395w-4) is amended--

 (1) in subsection (b)(4)(C)--

 (A) by striking "and subsequent years" and inserting ", 2012, and 2013"; and 

 (B) by adding at the end the following new sentence: "With respect to fee schedules established for 2014 and 

subsequent years, in such methodology, the Secretary shall use a 90 percent utilization rate."; and 

 (2) in subsection (c)(2)(B)(v)(III), by striking "change in the utilization rate applicable to 2011, as described in" 

and inserting "changes in the utilization rate applicable to 2011 and 2014, as described in the first and second sentence, 

respectively, of". 

 [*636] Sec. 636. MEDICARE PAYMENT OF COMPETITIVE PRICES FOR DIABETIC SUPPLIES AND 

ELIMINATION OF OVERPAYMENT FOR DIABETIC SUPPLIES. 

(a) Application of Competitive Bidding Prices for Diabetic Supplies.--Section 1834(a)(1) of the Social Security Act 

(42 U.S.C. 1395m(a)(1)) is amended--

 (1) in subparagraph (F), in the matter preceding clause (i), by striking "subparagraph (G)" and inserting "subparagraphs (G) and (H)"; and 

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

 "(H) Diabetic supplies.--

 "(i) In general.--On or after the date described in clause (ii), the payment amount under this part for diabetic 

supplies, including testing strips, that are non-mail order items (as defined by the Secretary) shall be equal to the single 

payment amounts established under the national mail order competition for diabetic supplies under section 1847. 

 "(ii) Date described.--The date described in this clause is the date of the implementation of the single payment amounts under the national mail order competition for diabetic supplies under section 1847.". 

 [**2357] (b) Overpayment Elimination for Diabetic Supplies.--Section 1834(a) of the Social Security Act (42 

U.S.C. 1395m(a)) is amended by adding at the end the following new paragraph: 

 "(22) Special payment rule for diabetic supplies.-- Notwithstanding the preceding provisions of this subsection, 

for purposes of determining the payment amount under this subsection for diabetic supplies furnished on or after the 

first day of the calendar quarter during 2013 that is at least 30 days after the date of the enactment of this paragraph and 

before the date described in paragraph (1)(H)(ii), the Secretary shall recalculate and apply the covered item update under paragraph (14) as if subparagraph (J)(i) of such paragraph was amended by striking 'but only if furnished through 

mail order'.". 

 [*637] Sec. 637. MEDICARE PAYMENT ADJUSTMENT FOR NON-EMERGENCY AMBULANCE 

TRANSPORTS FOR ESRD BENEFICIARIES. 

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Section 1834(l) of the Social Security Act (42 U.S.C. 1395m(l)) is amended by adding at the end the following new 

paragraph: 

 "(15) Payment adjustment for non-emergency ambulance transports for ESRD beneficiaries.-- The fee schedule 

amount otherwise applicable under the preceding provisions of this subsection shall be reduced by 10 percent for ambulance services furnished on or after October 1, 2013, consisting of non-emergency basic life support services involving transport of an individual with end-stage renal disease for renal dialysis services (as described in section 

1881(b)(14)(B)) furnished other than on an emergency basis by a provider of services or a renal dialysis facility.". 

 [*638] Sec. 638. REMOVING OBSTACLES TO COLLECTION OF OVERPAYMENTS. 

(a) In General.--The last sentence of subsections (b) and (c) of section 1870 of the Social Security Act (42 U.S.C. 

1395gg) are each amended--

 (1) by striking "third year" and inserting "fifth year"; and 

 (2) by striking "three-year" and inserting "five-year". 

(b) <42 USC 1395gg note> Effective Date.--The amendments made by subsection (a) shall take effect on the date 

of the enactment of this Act. 

 [*639] Sec. 639. MEDICARE ADVANTAGE CODING INTENSITY ADJUSTMENT. 

Section 1853(a)(1)(C)(ii)(III) of the Social Security Act (42 U.S.C. 1395w-23(a)(1)(C)(ii)(III)) is amended--

 (1) by striking "1.3 percentage points" and inserting "1.5 percentage points"; and 

 (2) by striking "5.7 percent" and inserting "5.9 percent". 

 [*640] Sec. 640. ELIMINATION OF ALL FUNDING FOR THE MEDICARE IMPROVEMENT FUND. 

Section 1898(b)(1) of the Social Security Act (42 U.S.C. 1395iii(b)(1)) is amended by striking subparagraphs (A), 

(B), and (C) and inserting the following new subparagraphs: 

 "(A) fiscal year 2014, $ 0; and 

 "(B) fiscal year 2015, $ 0.". 

 [*641] Sec. 641. REBASING OF STATE DSH ALLOTMENTS. 

Section 1923(f)(8) of the Social Security Act (42 U.S.C. 1396r-4(f)(8)) is amended to read as follows: 

 [**2358] "(8) Special rules for calculating DSH allotments for certain fiscal years.----

 "(A) Fiscal year 2021.--Only with respect to fiscal year 2021, the DSH allotment for a State, in lieu of the 

amount determined under paragraph (3) for the State for that year, shall be equal to the DSH allotment for the State as 

reduced under paragraph (7) for fiscal year 2020, increased, subject to subparagraphs (B) and (C) of paragraph (3), and 

paragraph (5), by the percentage change in the consumer price index for all urban consumers (all items; U.S. city average), for fiscal year 2020. 

 "(B) Fiscal year 2022.--Only with respect to fiscal year 2022, the DSH allotment for a State, in lieu of the 

amount determined under paragraph (3) for the State for that year, shall be equal to the DSH allotment for the State for 

fiscal year 2021, as determined under subparagraph (A), increased, subject to subparagraphs (B) and (C) of paragraph 

(3), and paragraph (5), by the percentage change in the consumer price index for all urban consumers (all items; U.S. 

city average), for fiscal year 2021. 

 "(C) Subsequent fiscal years.--The DSH allotment for a State for fiscal years after fiscal year 2022 shall be 

calculated under paragraph (3) without regard to this paragraph and paragraph (7).". 

 [*642] Sec. 642. REPEAL OF CLASS PROGRAM. 

(a) <42 USC 300ll300ll9> Repeal.--Title XXXII of the Public Health Service Act (42 U.S.C. 300ll et seq.; relating 

to the CLASS program) is repealed. 

(b) Conforming Changes.--

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 (1) Title VIII of the Patient Protection and Affordable Care <42 USC 201 note, 300ll notes> Act (Public Law 

111-148; 124 Stat. 119, 846-847) is repealed. 

 (2) Section 1902(a) of the Social Security Act (42 U.S.C. 1396a(a)) is amended--

 (A) by striking paragraphs (81) and (82); 

 (B) in paragraph (80), by inserting "and" at the end; and 

 (C) by redesignating paragraph (83) as paragraph (81).

 (3) Paragraphs (2) and (3) of section 6021(d) of the Deficit Reduction Act of 2005 (42 U.S.C. 1396p note) are 

amended to read as such paragraphs were in effect on the day before the date of the enactment of section 8002(d) of the 

Patient Protection and Affordable Care Act (Public Law 111-148). Of the funds appropriated by paragraph (3) of such 

section 6021(d), as amended by the Patient Protection and Affordable Care Act, the unobligated balance is rescinded. 

 [*643] Sec. 643. COMMISSION ON LONG-TERM CARE. 

(a) Establishment.--There is established a commission to be known as the Commission on Long-Term Care (referred to in this section as the "Commission"). 

(b) Duties.--

 (1) In general.-- The Commission shall develop a plan for the establishment, implementation, and financing of a 

comprehensive, coordinated, and high-quality system that ensures the availability of long-term services and supports for 

individuals in need of such services and supports, including elderly individuals, individuals with substantial cognitive or 

functional limitations, other individuals who require assistance to perform [**2359] activities of daily living, and individuals desiring to plan for future long-term care needs. 

 (2) Existing health care programs.-- For purposes of developing the plan described in paragraph (1), the Commission shall provide recommendations for--

 (A) addressing the interaction of a long-term services and support system with existing programs for long-term 

services and supports, including the Medicare program under title XVIII of the Social Security Act (42 U.S.C. 1395 et 

seq.) and the Medicaid program under title XIX of the Social Security Act (42 U.S.C. 1396 et seq.), and private 

long-term care insurance; 

 (B) improvements to such health care programs that are necessary for ensuring the availability of long-term 

services and supports; and 

 (C) issues related to workers who provide long-term services and supports, including--

 (i) whether the number of such workers is adequate to provide long-term services and supports to individuals 

with long-term care needs; 

 (ii) workforce development necessary to deliver high-quality services to such individuals; 

 (iii) development of entities that have the capacity to serve as employers and fiscal agents for workers who 

provide long-term services and supports in the homes of such individuals; and 

 (iv) addressing gaps in Federal and State infrastructure that prevent delivery of high-quality long term services and supports to such individuals. 

 (3) Additional considerations.-- For purposes of developing the plan described in paragraph (1), the Commission 

shall take into account projected demographic changes and trends in the population of the United States, as well as the 

potential for development of new technologies, delivery systems, or other mechanisms to improve the availability and 

quality of long-term services and supports. 

 (4) Consultation.-- For purposes of developing the plan described in paragraph (1), the Commission shall consult 

with the Medicare Payment Advisory Commission, the Medicaid and CHIP Payment and Access Commission, the National Council on Disability, and relevant consumer groups. 

(c) Membership.--

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 (1) In general.-- The Commission shall be composed of 15 members, to be appointed not later than 30 days after 

the date of enactment of this Act, as follows: 

 (A) The President of the United States shall appoint 3 members. 

 (B) The majority leader of the Senate shall appoint 3 members. 

 (C) The minority leader of the Senate shall appoint 3 members. 

 (D) The Speaker of the House of Representatives shall appoint 3 members. 

 (E) The minority leader of the House of Representatives shall appoint 3 members. 

 (2) Representation.-- The membership of the Commission shall include individuals who--

 [**2360] (A) represent the interests of--

 (i) consumers of long-term services and supports and related insurance products, as well as their representatives; 

 (ii) older adults; 

 (iii) individuals with cognitive or functional limitations; 

 (iv) family caregivers for individuals described in clause (i), (ii), or (iii); 

 (v) the health care workforce who directly provide long-term services and supports; 

 (vi) private long-term care insurance providers; 

 (vii) employers; 

 (viii) State insurance departments; and 

 (ix) State Medicaid agencies; 

 (B) have demonstrated experience in dealing with issues related to long-term services and supports, health care 

policy, and public and private insurance; and 

 (C) represent the health care interests and needs of a variety of geographic areas and demographic groups. 

 (3) Chairman and vice-chairman.-- The Commission shall elect a chairman and vice chairman from among its 

members. 

 (4) Vacancies.-- Any vacancy in the membership of the Commission shall be filled in the manner in which the 

original appointment was made and shall not affect the power of the remaining members to execute the duties of the 

Commission. 

 (5) Quorum.-- A quorum shall consist of 8 members of the Commission, except that 4 members may conduct a 

hearing under subsection (e)(1). 

 (6) Meetings.-- The Commission shall meet at the call of its chairman or a majority of its members. 

 (7) Compensation and reimbursement of expenses.---- 

 (A) In general.--To enable the Commission to exercise its powers, functions, and duties, there are authorized 

to be disbursed by the Senate the actual and necessary expenses of the Commission approved by the chairman and vice 

chairman, subject to subparagraph (B) and the rules and regulations of the Senate. 

 (B) Members.--Members of the Commission are not entitled to receive compensation for service on the Commission. Members may be reimbursed for travel, subsistence, and other necessary expenses incurred in carrying out the 

duties of the Commission. 

(d) Staff and Ethical Standards.--

 (1) Staff.-- The chairman and vice chairman of the Commission may jointly appoint and fix the compensation of 

staff as they deem necessary, within the guidelines for employees of the Senate and following all applicable rules and 

employment requirements of the Senate. 

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 (2) Ethical standards.-- Members of the Commission who serve in the House of Representatives shall be governed by the ethics rules and requirements of the House. Members of the Senate who serve on the Commission and staff 

of the Commission shall comply with the ethics rules of the Senate. 

(e) Powers.--

 (1) Hearings and other activities.-- For the purpose of carrying out its duties, the Commission may hold such 

hearings [**2361] and undertake such other activities as the Commission determines to be necessary to carry out its 

duties. 

 (2) Studies by general accounting office.-- Upon the request of the Commission, the Comptroller General of the 

United States shall conduct such studies or investigations as the Commission determines to be necessary to carry out its 

duties. 

 (3) Cost estimates by congressional budget office.-- Upon the request of the Commission, the Director of the 

Congressional Budget Office shall provide to the Commission such cost estimates as the Commission determines to be 

necessary to carry out its duties. 

 (4) Detail of federal employees.-- Upon the request of the Commission, the head of any Federal agency is authorized to detail, without reimbursement, any of the personnel of such agency to the Commission to assist the Commission in carrying out its duties. Any such detail shall not interrupt or otherwise affect the civil service status or privileges of the Federal employee. 

 (5) Technical assistance.-- Upon the request of the Commission, the head of a Federal agency shall provide such 

technical assistance to the Commission as the Commission determines to be necessary to carry out its duties. 

 (6) Use of mails.-- The Commission may use the United States mails in the same manner and under the same 

conditions as Federal agencies. 

 (7) Obtaining information.-- The Commission may secure directly from any Federal agency information necessary to enable it to carry out its duties, if the information may be disclosed under section 552 of title 5, United States 

Code. Upon request of the Chairman of the Commission, the head of such agency shall furnish such information to the 

Commission. 

 (8) Administrative support services.-- Upon the request of the Commission, the Administrator of General Services shall provide to the Commission on a reimbursable basis such administrative support services as the Commission 

may request. 

(f) Commission Consideration.--

 (1) Approval of report and legislative language.---- 

 (A) In general.--Not later than 6 months after appointment of the members of the Commission (as described in 

subsection (c)(1)), the Commission shall vote on a comprehensive and detailed report based on the long-term care plan 

described in subsection (b)(1) that contains any recommendations or proposals for legislative or administrative action as 

the Commission deems appropriate, including proposed legislative language to carry out the recommendations or proposals (referred to in this section as the "Commission bill"). 

 (B) Approval by majority of members.--The Commission bill shall require the approval of a majority of the 

members of the Commission. 

 (2) Transmission of commission bill.---- 

 (A) In general.--If the Commission bill is approved by the Commission pursuant to paragraph (1), then not 

later than 10 days after such approval, the Commission [**2362] shall submit the Commission bill to the President, the 

Vice President, the Speaker of the House of Representatives, and the majority and minority Leaders of each House on 

Congress. 

 (B) Commission bill to be made public.--Upon the approval or disapproval of the Commission bill pursuant to 

paragraph (1), the Commission shall promptly make such proposal, and a record of the vote, available to the public. 

(g) Termination.--The Commission shall terminate 30 days after the vote described in subsection (f)(1). 

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2013 Enacted H.R. 8; 112 Enacted H.R. 8 

(h) Consideration of Commission Recommendations.--If approved by the majority required by subsection (f)(1), 

the Commission bill that has been submitted pursuant to subsection (f)(2)(A) shall be introduced in the Senate (by request) on the next day on which the Senate is in session by the majority leader of the Senate or by a Member of the Senate designated by the majority leader of the Senate and shall be introduced in the House of Representatives (by request) 

on the next legislative day by the majority leader of the House or by a member of the House designated by the majority 

leader of the House. 

 [*644] Sec. 644. CONSUMER OPERATED AND ORIENTED PLAN PROGRAM CONTINGENCY FUND. 

(a) <42 USC 18042 note> Establishment.--The Secretary of Health and Human Services shall establish a fund to be 

used to provide assistance and oversight to qualified nonprofit health insurance issuers that have been awarded loans or 

grants under section 1322 of the Patient Protection and Affordable Care Act (42 U.S.C. 18042) prior to the date of enactment of this Act. 

(b) Transfer and Rescission.--

 (1) Transfer.-- From the unobligated balance of funds appropriated under section 1322(g) of the Patient Protection and Affordable Care Act (42 U.S.C. 18042(g)), 10 percent of such sums are hereby transferred to the fund established under subsection (a) to remain available until expended. 

 (2) Rescission.-- Except as provided for in paragraph (1), amounts appropriated under section 1322(g) of the Patient Protection and Affordable Care Act (42 U.S.C. 18042(g)) that are unobligated as of the date of enactment of this 

Act are rescinded. 

 

 TITLE VII--EXTENSION OF AGRICULTURAL PROGRAMS 

 [*701] Sec. 701. <7 USC 8701 note> 1-YEAR EXTENSION OF AGRICULTURAL PROGRAMS. 

(a) Extension.--Except as otherwise provided in this section and amendments made by this section and notwithstanding any other provision of law, the authorities provided by each provision of the Food, Conservation, and Energy 

Act of 2008 (Public Law 110-246; 122 Stat. 1651) and each amendment made by that Act (and for mandatory programs at such funding levels), as in effect on September 30, 2012, shall continue, and the Secretary of Agriculture shall 

carry out the authorities, until the later of--

 (1) September 30, 2013; or 

 [**2363] (2) the date specified in the provision of that Act or amendment made by that Act. 

(b) Commodity Programs.--

 (1) In general.-- The terms and conditions applicable to a covered commodity or loan commodity (as those terms 

are defined in section 1001 of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8702)) or to peanuts, sugarcane, or sugar beets for the 2012 crop year pursuant to title I of that Act (7 U.S.C. 8702 et seq.) and each amendment 

made by that title shall be applicable to the 2013 crop year for that covered commodity, loan commodity, peanuts, sugarcane, or sugar beets. 

 (2) Milk.---- 

 (A) In general.--Notwithstanding subsection (a), the Secretary of Agriculture shall carry out the dairy product 

price support program under section 1501 of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8771) through 

December 31, 2013. 

 (B) Milk income loss contract program.--Section 1506 of the Food, Conservation, and Energy Act of 2008 (7 

U.S.C. 8773) is amended by striking "2012" each place <7 USC 8773 note> it appears in subsections (c)(3), (d)(1), 

(d)(2), (e)(2)(A), (g), and (h)(1) and inserting "2013". 

 (3) Suspension of permanent price support authorities.-- The provisions of law specified in subsections (a) 

through (c) of section 1602 of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8782) shall be suspended--

 (A) for the 2013 crop or production year of a covered commodity (as that term is defined in section 1001 of 

that Act (7 U.S.C. 8702)), peanuts, sugarcane, and sugar, as appropriate; and 

 (B) in the case of milk, through December 31, 2013. 

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(c) Conservation Programs.--

 (1) Conservation reserve.-- Section 1231(d) of the Food Security Act of 1985 (16 U.S.C. 3831(d)) is amended in 

the second sentence by striking "and 2012" and inserting "2012, and 2013". 

 (2) Voluntary public access.-- Section 1240R of the Food Security Act of 1985 (16 U.S.C. 3839bb-5) is amended by striking subsection (f) and inserting the following: 

"(f) Funding.--

 "(1) Fiscal years 2009 through 2012.-- Of the funds of the Commodity Credit Corporation, the Secretary shall 

use to carry out this section, to the maximum extent practicable, $ 50,000,000 for the period of fiscal years 2009 

through 2012. 

 "(2) Authorization of appropriations.-- There is authorized to be appropriated to carry out this section $ 

10,000,000 for fiscal year 2013.". 

(d) Supplemental Nutrition Assistance Program.--

 (1) Employment and training program.-- Section 16(h)(1)(A) of the Food and Nutrition Act of 2008 (7 U.S.C. 

2025(h)(1)(A)) is amended by inserting ", except that for fiscal year 2013, the amount shall be $ 79,000,000" before the 

period at the end. 

 (2) Nutrition education.-- Section 28(d)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 2036a(d)(1)) is 

amended--

 (A) in subparagraph (A), by striking "and" after the semicolon at the end; and 

 [**2364] (B) by striking subparagraph (B) and inserting the following: 

 "(B) for fiscal year 2012, $ 388,000,000; 

 "(C) for fiscal year 2013, $ 285,000,000; 

 "(D) for fiscal year 2014, $ 401,000,000; 

 "(E) for fiscal year 2015, $ 407,000,000; and 

 "(F) for fiscal year 2016 and each subsequent fiscal year, the applicable amount during the preceding fiscal 

year, as adjusted to reflect any increases for the 12-month period ending the preceding June 30 in the Consumer Price 

Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.". 

(e) Research Programs.--

 (1) Organic agriculture research and extension initiative.-- Section 1672B(f) of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5925b(f)) is amended--

 (A) in the heading of paragraph (1), by striking "In general" and inserting "Mandatory funding for fiscal years 

2009 through 2012"; 

 (B) in the heading of paragraph (2), by striking "Additional funding" and inserting "Discretionary funding for 

fiscal years 2009 through 2012"; and 

 (C) by adding at the end the following: 

 "(3) Fiscal year 2013.-- There is authorized to be appropriated to carry out this section $ 25,000,000 for fiscal 

year 2013.". 

 (2) Specialty crop research initiative.-- Section 412(h) of the Agricultural Research, Extension, and Education 

Reform Act of 1998 (7 U.S.C. 7632(h)) is amended--

 (A) in the heading of paragraph (1), by striking "In general" and inserting "Mandatory funding for fiscal years 

2008 through 2012"; 

 (B) in the heading of paragraph (2), by inserting "for fiscal years 2008 through 2012" after "Appropriations"; 

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

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 (D) by inserting after paragraph (2) the following: 

 "(3) Fiscal year 2013.-- There is authorized to be appropriated to carry out this section $ 100,000,000 for fiscal 

year 2013.". 

 (3) Beginning farmer and rancher development program.-- Section 7405(h) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 3319f(h)) is amended--

 (A) in the heading of paragraph (1), by striking "In general" and inserting "Mandatory funding for fiscal years 

2009 through 2012"; 

 (B) in the heading of paragraph (2), by inserting "for fiscal years 2008 through 2012" after "Appropriations"; 

and 

 (C) by adding at the end the following: 

 "(3) Fiscal year 2013.-- There is authorized to be appropriated to carry out this section $ 30,000,000 for fiscal 

year 2013.". 

(f) Energy Programs.--

 (1) Biobased markets program.-- Section 9002(h) of the Farm Security and Rural Investment Act of 2002 (7 

U.S.C. 8102(h)) [**2365] is amended in paragraph (2) by striking "2012" and inserting "2013". 

 (2) Biorefinery assistance.-- Section 9003(h)(2) of the Farm Security and Rural Investment Act of 2002 (7 

U.S.C. 8103(h)(2)) is amended by striking "2012" and inserting "2013". 

 (3) Repowering assistance.-- Section 9004(d)(2) of the Farm Security and Rural Investment Act of 2002 (7 

U.S.C. 8104(d)(2)) is amended by striking "2012" and inserting "2013".

 (4) Bioenergy program for advanced biofuels.-- Section 9005(g)(2) of the Farm Security and Rural Investment 

Act of 2002 (7 U.S.C. 8105(g)(2)) is amended by striking "2012" and inserting "2013". 

 (5) Biodiesel fuel education program.-- Section 9006 of the Farm Security and Rural Investment Act of 2002 (7 

U.S.C. 8106) is amended by striking subsection (d) and inserting the following: 

"(d) Funding.--

 "(1) Fiscal years 2009 through 2012.-- Of the funds of the Commodity Credit Corporation, the Secretary shall 

use to carry out this section $ 1,000,000 for each of fiscal years 2008 through 2012. 

 "(2) Authorization of appropriations.-- There is authorized to be appropriated to carry out this section $ 

1,000,000 for fiscal year 2013.". 

 (6) Rural energy for America program.-- Section 9007(g)(3) of the Farm Security and Rural Investment Act of 

2002 (7 U.S.C. 8107(g)(3)) is amended by striking "2012" and inserting "2013". 

 (7) Biomass research and development.-- Section 9008(h)(2) of the Farm Security and Rural Investment Act of 

2002 (7 U.S.C. 8108(h)(2)) is amended by striking "2012" and inserting "2013". 

 (8) Rural energy self-sufficiency initiative.-- Section 9009(d) of the Farm Security and Rural Investment Act of 

2002 (7 U.S.C. 8109(d)) is amended by striking "2012" and inserting "2013". 

 (9) Feedstock flexibility program for bioenergy producers.-- Section 9010(b) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8110(b)) is amended in paragraphs (1)(A) and (2)(A) by striking "2012" each place it 

appears and inserting "2013". 

 (10) Biomass crop assistance program.-- Section 9011(f) of the Farm Security and Rural Investment Act of 2002 

(7 U.S.C. 8111(f)) is amended--

 (A) by striking " (f) Funding.--Of the funds" and inserting " (f) Funding.--

 "(1) Fiscal years 2008 through 2012.-- Of the funds"; and 

 (B) adding at the end the following: 

 "(2) Fiscal year 2013.---- 

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 "(A) In general.--There is authorized to be appropriated to carry out this section $ 20,000,000 for fiscal year 

2013.

 "(B) Multiyear contracts.--For each multiyear contract entered into by the Secretary during a fiscal year under 

this paragraph, the Secretary shall ensure that sufficient funds are obligated from the amounts appropriated [**2366] 

for that fiscal year to fully cover all payments required by the contract for all years of the contract.". 

 (11) Forest biomass for energy.-- Section 9012(d) of the Farm Security and Rural Investment Act of 2002 (7 

U.S.C. 8112(d)) is amended by striking "2012" and inserting "2013". 

 (12) Community wood energy program.-- Section 9013(e) of the Farm Security and Rural Investment Act of 

2002 (7 U.S.C. 8113(e)) is amended by striking "2012" and inserting "2013". 

(g) Horticulture and Organic Agriculture Programs.--

 (1) Farmers market promotion program.-- Section 6(e) of the Farmer-to-Consumer Direct Marketing Act of 1976 

(7 U.S.C. 3005(e)) is amended--

 (A) in the heading of paragraph (1), by striking "In general" and inserting "Fiscal years 2008 through 2012"; 

 (B) by redesignating paragraphs (2), (3), and (4) as paragraphs (3), (4), and (5), respectively; 

 (C) by inserting after paragraph (1) the following: 

 "(2) Fiscal year 2013.-- There is authorized to be appropriated to carry out this section $ 10,000,000 for fiscal 

year 2013."; 

 (D) in paragraph (3) (as so redesignated), by striking "paragraph (1)" and inserting "paragraph (1) or (2)"; and 

 (E) in paragraph (5) (as so redesignated), by striking "paragraph (2)" and inserting "paragraph (3)". 

 (2) National clean plant network.-- Section 10202(e) of the Food, Conservation, and Energy Act of 2008 (7 

U.S.C. 7761(e)) is amended--

 (A) by striking "Of the funds" and inserting the following: 

 "(1) Fiscal years 2009 through 2012.-- Of the funds"; and 

 (B) by adding at the end the following: 

 "(2) Fiscal year 2013.-- There is authorized to be appropriated to carry out the Program $ 5,000,000 for fiscal 

year 2013.". 

 (3) National organic certification cost-share program.-- Section 10606 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 6523) is amended--

 (A) in subsection (a), by striking "Of funds of the Commodity Credit Corporation, the Secretary of Agriculture 

(acting through the Agricultural Marketing Service) shall use $ 22,000,000 for fiscal year 2008, to remain available until expended, to" and inserting "The Secretary of Agriculture (acting through the Agricultural Marketing Service) shall"; 

and 

 (B) by adding at the end the following: 

"(d) Funding.--

 "(1) Mandatory funding for fiscal years 2008 through 2012.-- Of the funds of the Commodity Credit Corporation, the Secretary shall make available to carry out this section $ 22,000,000 for the period of fiscal years 2008 through 

2012.

 "(2) Fiscal year 2013.-- There is authorized to be appropriated to carry out this section $ 22,000,000 for fiscal 

year 2013, to remain available until expended.". 

 (4) Organic production and market data initiatives.-- Section 7407(d) of the Farm Security and Rural Investment 

Act of 2002 (7 U.S.C. 5925c(d)) is amended--

 [**2367] (A) in the heading of paragraph (1), by striking "In general" and inserting "Mandatory funding 

through fiscal year 2012"; 

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 (B) in the heading of paragraph (2), by striking "Additional funding" and inserting "Discretionary funding for 

fiscal years 2008 through 2012"; and 

 (C) by adding at the end the following: 

 "(3) Fiscal year 2013.-- There is authorized to be appropriated to carry out this section $ 5,000,000, to remain 

available until expended.". 

(h) Outreach and Technical Assistance for Socially Disadvantaged Farmers or Ranchers.--Section 2501(a)(4) of the 

Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279(a)(4)) is amended--

 (1) in the heading of subparagraph (A), by striking "In general" and inserting "Fiscal years 2009 through 2012"; 

 (2) by redesignating subparagraphs (B) and (C) as subparagraphs (C) and (D), respectively; 

 (3) by inserting after subparagraph (A) the following: 

 "(B) Fiscal year 2013.--There is authorized to be appropriated to carry out this section $ 20,000,000 for fiscal 

year 2013."; 

 (4) in subparagraph (C) (as so redesignated), by striking "subparagraph (A)" and inserting "subparagraph (A) or 

(B)"; and 

 (5) in subparagraph (D) (as so redesignated), by striking "subparagraph (A)" and inserting "subparagraph (A) or 

(B)". 

(i) Exceptions.--

 (1) In general.-- Subsection (a) does not apply with respect to mandatory funding provided by programs authorized by provisions of law amended by subsections (d) through (h). 

 (2) Conservation.-- Subsection (a) does not apply with respect to the programs specified in paragraphs (3)(B), 

(4), (6), and (7) of section 1241(a) of the Food Security Act of 1985 (16 U.S.C. 3841(a)), relating to the conservation 

stewardship program, farmland protection program, environmental quality incentives program, and wildlife habitat incentives program, for which program authority was extended through fiscal year 2014 by section 716 of Public Law 

112-55 ( 125 Stat. 582). 

 (3) Trade.-- Subsection (a) does not apply with respect to the following provisions of law: 

 (A) Section 3206 of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 1726c) relating to the use of 

Commodity Credit Corporation funds to support local and regional food aid procurement projects. 

 (B) Section 3107(l)(1) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 1736o-1(l)(1)) relating to the use of Commodity Credit Corporation funds to carry out the McGovern-Dole International Food for Education and Child Nutrition Program. 

 (4) Survey of foods purchased by school food authorities.-- Subsection (a) does not apply with respect to section 

4307 of the Food, Conservation, and Energy Act of 2008 (Public Law 110-246; 122 Stat. 1893) relating to the use of 

Commodity Credit Corporation funds for a survey and report regarding foods purchased by school food authorities. 

 [**2368] (5) Rural development.-- Subsection (a) does not apply with respect to the following provisions of 

law: 

 (A) Section 379E(d)(1) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2008s(d)(1)), relating 

to funding of the rural microentrepreneur assistance program. 

 (B) Section 6029 of the Food, Conservation, and Energy Act of 2008 (Public Law 110-246; 122 Stat. 1955) 

relating to funding of pending rural development loan and grant applications. 

 (C) Section 231(b)(7)(A) of the Agricultural Risk Protection Act of 2000 (7 U.S.C. 1632a(b)(7)(A)), relating 

to funding of value-added agricultural market development program grants. 

 (D) Section 375(e)(6)(B) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2008j(e)(6)(B)) relating to the use of Commodity Credit Corporation funds for the National Sheep Industry Improvement Center. 

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112 P.L. 240, *; 126 Stat. 2313, **; 

2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 (6) Market loss assistance for asparagus producers.-- Subsection (a) does not apply with respect to section 

10404(d) of the Food, Conservation, and Energy Act of 2008 (Public Law 110-246; 122 Stat. 2112). 

 (7) Supplemental agricultural disaster assistance.-- Subsection (a) does not apply with respect to section 531 of 

the Federal Crop Insurance Act (7 U.S.C. 1531) and title IX of the Trade Act of 1974 (19 U.S.C. 2497 et seq.) relating 

to the provision of supplemental agricultural disaster assistance. 

 (8) Pigford claims.-- Subsection (a) does not apply with respect to section 14012 of the Food, Conservation, and 

Energy Act of 2008 (Public Law 110-246; 122 Stat. 2209) relating to determination on the merits of Pigford claims. 

 (9) Heartland, habitat, harvest, and horticulture act of 2008.-- Subsection (a) does not apply with respect to title 

XV of the Food, Conservation, and Energy Act of 2008 (Public Law 110-246; 122 Stat. 2246), and amendments made 

by that title, relating to the provision of supplemental agricultural disaster assistance under title IX of the Trade Act of 

1974 (19 U.S.C. 2497 et seq.), certain revenue and tax provisions, and certain trade benefits and other matters. 

(j) Effective Date.--Except as otherwise provided in this section, this section and the amendments made by this section take effect on the earlier of--

 (1) the date of the enactment of this Act; or 

 (2) September 30, 2012. 

 [*702] Sec. 702. SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE. 

(a) In General.--Section 531 of the Federal Crop Insurance Act (7 U.S.C. 1531) is amended--

 (1) in subsection (a)(5)--

 (A) in the matter preceding clause (i), by striking the first "under"; and 

 (B) by redesignating clauses (i) through (iii) as subparagraphs (A), (B), and (C), respectively, and indenting 

appropriately; 

 (2) in subsection (c)--

 (A) in paragraph (1), by striking "use such sums as are necessary from the Trust Fund to"; and 

 [**2369] (B) by adding at the end the following: 

 "(3) Authorization of appropriations.-- There is authorized to be appropriated to carry out this subsection $ 

80,000,000 for each of fiscal years 2012 and 2013."; 

 (3) in subsection (d)--

 (A) in paragraph (2), by striking "use such sums as are necessary from the Trust Fund to"; and 

 (B) by adding at the end the following: 

 "(7) Authorization of appropriations.-- There is authorized to be appropriated to carry out this subsection $ 

400,000,000 for each of fiscal years 2012 and 2013."; 

 (4) in subsection (e)--

 (A) in paragraph (1), by striking "use up to $ 50,000,000 per year from the Trust Fund to"; and 

 (B) by adding at the end the following: 

 "(4) Authorization of appropriations.-- There is authorized to be appropriated to carry out this subsection $ 

50,000,000 for each of fiscal years 2012 and 2013."; 

 (5) in subsection (f)--

 (A) in paragraph (2)(A), by striking "use such sums as are necessary from the Trust Fund to"; and 

 (B) by adding at the end the following: 

 "(5) Authorization of appropriations.-- There is authorized to be appropriated to carry out this subsection $ 

20,000,000 for each of fiscal years 2012 and 2013."; and 

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112 P.L. 240, *; 126 Stat. 2313, **; 

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 (6) in subsection (i), by inserting "or, in the case of subsections (c) through (f), September 30, 2013" after 

"2011,". 

(b) <7 USC 1531 note> Effective Date.--The amendments made by subsection (a) shall take effect on October 1, 

2012.

 

 TITLE VIII--MISCELLANEOUS PROVISIONS 

 [*801] Sec. 801. STRATEGIC DELIVERY SYSTEMS. 

(a) In General.--Paragraph 3 of section 495(c) of title 10, United States Code,, as added by section 1035 of the National Defense Authorization Act for Fiscal Year 2013, is amended--

 (1) by striking "that" before "the Russian Federation" and inserting "whether"; and 

 (2) by inserting "strategic" before "arms control obligations". 

(b) <10 USC 495 note> Effective Date.--The amendments made by subsection (a) shall take effect as if included in 

the enactment of the National Defense Authorization Act for Fiscal Year 2013. 

 [*802] Sec. 802. NO COST OF LIVING ADJUSTMENT IN PAY OF MEMBERS OF CONGRESS. 

Notwithstanding any other provision of law, no adjustment <2 USC 31 note> shall be made under section 601(a) of 

the Legislative Reorganization Act of 1946 (2 U.S.C. 31) (relating to cost of living adjustments for Members of Congress) during fiscal year 2013. 

 

 [**2370] TITLE IX--BUDGET PROVISIONS 

 

 Subtitle A--Modifications of Sequestration 

 [*901] Sec. 901. TREATMENT OF SEQUESTER. 

(a) <2 USC 901a> Adjustment.--Section 251A(3) of the Balanced Budget and Emergency Deficit Control Act of 

1985 is amended--

 (1) in subparagraph (C), by striking "and" after the semicolon; 

 (2) in subparagraph (D), by striking the period and inserting" ; and"; and 

 (3) by inserting at the end the following: 

 "(E) for fiscal year 2013, reducing the amount calculated under subparagraphs (A) through (D) by $ 

24,000,000,000.". 

(b) After Session Sequester.--Notwithstanding any other provision of law, the fiscal year 2013 spending reductions 

required by section 251(a)(1) of the Balanced Budget and Emergency Deficit Control Act of 1985 shall be evaluated 

and implemented on March 27, 2013. 

(c) Postponement of Budget Control Act Sequester for Fiscal Year 2013.--Section 251A of the Balanced Budget 

and Emergency Deficit Control Act of 1985 is amended--

 (1) in paragraph (4), by striking "January 2, 2013" and inserting "March 1, 2013"; and 

 (2) in paragraph (7)(A), by striking "January 2, 2013" and inserting "March 1, 2013". 

(d) Additional Adjustments.--

 (1) Section 251.-- Paragraphs (2) and (3) of section 251(c) of the Balanced Budget and Emergency Deficit Control Act of 1985 <2 USC 901> are amended to read as follows: 

 "(2) for fiscal year 2013--

 "(A) for the security category, as defined in section 250(c)(4)(B), $ 684,000,000,000 in budget authority; and 

 "(B) for the nonsecurity category, as defined in section 250(c)(4)(A), $ 359,000,000,000 in budget authority; 

 "(3) for fiscal year 2014--

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2013 Enacted H.R. 8; 112 Enacted H.R. 8 

 "(A) for the security category, $ 552,000,000,000 in budget authority; and 

 "(B) for the nonsecurity category, $ 506,000,000,000 in budget authority;". 

(e) <2 USC 901a note> 2013 Sequester.--On March 1, 2013, the President shall order a sequestration for fiscal year 

2013 pursuant to section 251A of the Balanced Budget and Emergency Deficit Control Act of 1985, as amended by this 

section, pursuant to which, only for the purposes of the calculation in sections 251A(5)(A), 251A(6)(A), and 

251A(7)(A), section 251(c)(2) shall be applied as if it read as follows: 

 "(2) For fiscal year 2013--

 "(A) for the security category, $ 544,000,000,000 in budget authority; and 

 "(B) for the nonsecurity category, $ 499,000,000,000 in budget authority;". 

 [*902] [**2371] Sec. 902. AMOUNTS IN APPLICABLE RETIREMENT PLANS MAY BE TRANSFERRED TO DESIGNATED ROTH ACCOUNTS WITHOUT DISTRIBUTION. 

(a) <26 USC 402A> In General.--Section 402A(c)(4) is amended by adding at the end the following: 

 "(E) Special rule for certain transfers.--In the case of an applicable retirement plan which includes a qualified 

Roth contribution program--

 "(i) the plan may allow an individual to elect to have the plan transfer any amount not otherwise distributable under the plan to a designated Roth account maintained for the benefit of the individual, 

 "(ii) such transfer shall be treated as a distribution to which this paragraph applies which was contributed in 

a qualified rollover contribution (within the meaning of section 408A(e)) to such account, and 

 "(iii) the plan shall not be treated as violating the provisions of section 401(k)(2)(B)(i), 403(b)(7)(A)(i), 

403(b)(11), or 457(d)(1)(A), or of section 8433 of title 5, United States Code, solely by reason of such transfer.". 

(b) <26 USC 402A note> Effective Date.--The amendment made by this section shall apply to transfers after December 31, 2012, in taxable years ending after such date. 

 

 Subtitle B--Budgetary Effects 

 [*911] Sec. 911. BUDGETARY EFFECTS. 

(a) PAYGO Scorecard.--The budgetary effects of this Act shall not be entered on either PAYGO scorecard maintained pursuant to section 4(d) of the Statutory Pay-As-You-Go Act of 2010. 

(b) Senate PAYGO Scorecard.--The budgetary effects of this Act shall not be entered on any PAYGO scorecard 

maintained for purposes of section 201 of S. Con. Res. 21 (110th Congress). 

 

Speaker of the House of Representatives. 

Vice President of the United States and President of the Senate. 

DESCRIPTORS: AGRICULTURAL POLICIES; AGRICULTURAL SUBSIDIES; BUDGET DEFICITS; CHILDREN; COMMODITIES; CONGRESS; CORPORATE TAX; COST OF LIVING; DAIRY INDUSTRY AND 

PRODUCTS; DEPARTMENT OF AGRICULTURE; DIESEL FUEL; DISASTER RELIEF; EMPLOYMENT; ENERGY CONSERVATION; ENERGY RESOURCES; FARMS AND FARMERS; FEDERAL AID TO RURAL AREAS; FOOD ASSISTANCE; GIFTS AND DONATIONS; INCOME TAXES; MEDICAID; MEDICAL ECONOMICS; 

MEDICAL REGULATION; MEDICARE; MINES AND MINING; MORTGAGES; MOTION PICTURES; NATIVE 

AMERICANS; NEW YORK CITY; PHYSICIANS; PUERTO RICO; RAILROADS; RESEARCH; SALES TAX; 

SECURITIES; SYNTHETIC FUELS; TAX INCENTIVES AND SHELTERS; TELEVISION; TUITION AND FEES; 

UNEMPLOYMENT COMPENSATION; 112 PL 240 

247 DCMA Administrative Record for FY 2013 Furlough Appeals
SECRETARY OF DEFENSE 

1000 DEFENSE PENTAGON 

WASHINGTON, DC 20301-1000 

MEMORANDUM FOR: SEE DISTRIBUTION 

SUBJECT: Implications of Ongoing Fiscal Cliff Negotiations 

DEC 2 0 2012 

We are providing you this infonnation regarding the potential impact of sequestration 

here at DoD. A1l you are all likely aware, the Administration and Congress are contirtuing to 

work to resolve a series of economic or fiscal events, collectively referred to as the-'~fiscal cliff," 

that are scheduled to occur around the end of the year. One of the key issues involves potential 

across·the·board reductions in Federal spending-also known as usequesttation"-w.bich were 

put in place by the Budget Conlrol Act of2011. Under. current law, these reductions are 

scheduled to take effect on Janumy :2,2013. Many of you have J'llised questions regarding the 

impact of a potential sequestration fOr the Department of Defense, and I would like to take a 

moment to clarify a few things. 

I want to stan by noting that this past summer, the President indicated his intent to 

exercise his legal authority to exempt Dlililaiy personnel funding from sequestration. This means 

that military endstrength wilt not be affected by sequestration in FY2013. 

Our civilian employees should keep in mind that the Administration remains focused on 

working with Congress to reach agreement on a balanud deficit reduction plan that avoids such 

cuts. Sequestration was never intended to be implemented, and there is no reason why both sides 

should not be able to come together andprevent this scenario. 

Nevertheless, with only a couple. of weeks left before sequestration .could occur should a 

deal not be reached, it is important to clarify the potential implications. Let me stan by 

explaining what sequestration is and what ifis not; Sequestration is an across-th .. board 

reduction in budgetary resources for all aocounts within tluf.Department of Defense that have not 

been exempted by Congress: If it occurs, sequestratio!l will reduce our budgetary resources for 

the remainder of the fiscal year (which runs thmugh September 30). These cuts, while 

significant and harmful to our collective mission as an agency, would not necessarily-require 

immediate reductions in spending. Under sequestration, we would still have funds available 

after January 2, 2013, but our overall funding for the temainder,ofthe year would be reduced. 

Accordingly, this situBtiottis diffe'rent froin other scenarjos we hav_e_ encountered in recent years, 

such as threats of government shutdown due to a lapse in appropriations. 

For these reasons, I do not expect our day-to-day operations to change dramatically on or 

immediately after Janumy 2, 2013, should sequestration occur. This means that we will not be 

executing any immediate civiJian personnel actions, such as furloughs, on that date. Should we 

have to operate Wlder reduced funding levels for an extended period of time, we may have to 

consider furloughs or other actions in the fiiture. But let me assure you that we. will carefully 

examine other options to reduce costs within the agency before taking such action, taking into 

080015618-12 

248 DCMA Administrative Record for FY 2013 Furlough Appeals
considemtion our obligation to execute our core lllisslon. Moreover, if such action proves to be 

necessary, We would provide affected employees the requisiie advam:e notice before a furlough 

or other pelSOnnell!Ction would ocelli. We would also inunediately tam:el any scheduled 

pelSOnnel actions should a deficit Rlduction agreelllent be Uhed that restores our agency 

fimlling. 

I WliDI to assure you that we will do out very best to provide clear infbnnation about the 

staluli of events as they unfold. · 

Finally,let ine ~my gratitude dllling this holiday season for. your coniiliUed hard 

work and dedication to the vital ml!ISionoftbe DepattmentofDefense. Your comributioDs touch 

people's lives In many Significant ways, and l want you to know how deeply appreciative the 

Presidentand myself are for all that youdo. 

DISTRIBliTION: . 

SECKETARIESOJiinJE:MILITARYDEI'ARTMENTs 

CHAIRMAN OF llttUOlNT'OHllll.'SOFSTAFF 

UNJ)ER SECIUlTARIBS OF DEFENSE . 

DEPUTY CHIEF ~AGEMENXOl'FICER 

COMMANDERS OFlliECOMBATANT coMMANDs 

DIRECTOR. COST ASSESSMBNt':ANJ) PROORAM EVALUATION 

DIREC'I'OR, OPERATIONAL Tll&TJUID EVALlTATION 

oENERAL:CbuNSELOF TIIEilliPAR.'h.mNToFl>EFENSE 

INSPECTOR GENERAL OF lliEDEPARTMENT OF DEFENSE 

ASSISTANT SECRETAR.!Bs OF DEFENSE 

DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER 

ASSISTANTS TOTIIESECRETARYOFDEFI!NSE 

DIRECTOR, ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF TilE DEFENSE AGENCIES 

DIRECTORS OF Tim DOD FIELD ACTIVtrlES 

2 

249 DCMA Administrative Record for FY 2013 Furlough Appeals
"'r r-orce Allm!nlstrative Record for FY 2013 Furlough Appeals 

DEPUTY SECRETARY OF DEFENSE 

1010 DEFENSE PENTAGON 

WASHINGTON, DC 20301-1010 

MEMORANDUM FOR: SEE DISTRIBUTION 

SUBJECT: Guidance on Fiscal Year 2013 Joint Committee Sequestration 

SEP 2 5 2012 

The Budget Control Ac!of20 I I (BCA) established the Joint Select Committee on 

Deficit Reduction (Joint Committee) and charged it with developing a proposal that would 

achieve at least $1.2 trillion in deficit reduction. Last November, the Joint Committee 

announced that it could not reach agreement on a deficit reduction plan. This failure triggered an 

enforcement mechanism of automatic funding cuts in Fiscal Year (FY) 2013, known as 

sequestration, above and beyond the reductions alreadY reflected . .in the FY 2013 budget the 

Department submitted in February. The law requires the President to issue a sequestration order 

on January 2, 2013, to implement the required cuts unless Coi:tgress acts to.avoid it. 

The additional funding cuts required uuder the BCA are very large. A recent report by 

the Office of Management and Budget (OMB) estimates that the cuts in the Departlilent of 

Defense (DoD) budget would exceed $50 billion in FY 2013 alone. The law further requires that 

the FY 2013 cuts be implemented in an indiscriminate, across-the-board manner that will greatly 

exacerbate their adverse effects. These large· cuts would lead to devastati~g effects on the 

Department and virtually every other Federal agency. For this reason, the Administration 

strongly believes that Congress needs to act to avoid sequestration by passing a balanced deficit 

reduction package that the President can sign. 

If Congress fails to enact balanced deficit reduction and avoid sequestration, DoD and 

other affected agencies must be prepared, under the BCA, to implement sequestration on Jaimary 

2. 2013. On July 31,2012, OMB issued the attached guidance infonning agencies that OMB 

will be consulting with them on matters related to the i~uance of the sequestration Order. Over 

the loii.ger term, in the absence of congressional action on a balanced deficit reduction plan in 

advance of January 2, 2013, OMB will undertake tidditionaJ activities related to the 

implementation of the sequestration. Within DoD, the Under Secretary of Defense (Comptroller) 

will take the lead in these efforts and, working with OMB as necessary, will ensure that the 

Departmeni is ready to implerD.ent sequestration in January if it occurs. 

080011885-12 

001 

250 DCMA Administrative Record for FY 2013 Furlough Appeals
1-11r rorce Aomm1s1ra11ve Kecora tor t-Y 2013 Furlough Appears 

In the meantime, consisient with OMB guidance, DoD needs to continue normal 

spending and operations. We do not want our programs, personnel, and activities to begin to 

suffer the hamiful effects of sequestration while there is still a chance it can be avoided. I am 

therefore directing that all commanders and managers in the Department of Defense continue the 

defense mission under current laws and policies, without taldng any steps that assume 

sequestration will occur. Commanders should not, for example, curtail planned training, 

maintenance, healthcare or family programs. Commanders and managers should not alarm our 

employees and their families by announculg personnel actions related to sequestration or by 

suggesting that these actions are likely. Nor should commanders and managers hold back on the 

obligation of funds - either for investments or for operating programs -if those funds would 

have been obligated in the absence of the sequester ihieat. 

If you have questions aboi.rt this guidance, please consult your chain of command. 

Addressees on this memo who have.questions should direct them to the Under Secretary Of 

Defense (Comptroller). 

Attachment: 

As stated 

2 

002 

251 DCMA Administrative Record for FY 2013 Furlough Appeals
Air Force Adlrinistratlve Record for FY 2013 Furlough Appears 

DISTRIBUTION: 

SECRETARIES OF DIE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOINT CHIEFS OF STAFF 

UNDER SECRETARIES OF DEFENSE 

DEPUTY CHIEF MANAGEMENT OFFICER 

COMMANDERS OF THE COMBATANT COMMANDS 

DIRECTOR, COST ASSESSMENT AND PROGRAM EVALUATION 

DIRECTOR, OPERATIONAL TEST AND EVALUATION 

GENERAL COUNSEL OF THE DEPARTMENT OF DEFENSE 

INSPECTOR GENERAL OF THE DEPARTMENT OF DEFENSE 

ASSISTANT SECRET ARIES OF DEFENSE 

DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER 

ASSISTANTS TO THE SECRETARY OF DEFENSE 

DIRECTOR, ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF THE DEFENSE AGENCIES 

DIRECTORS OF THE DOD FIELD ACTIVITIES 

3 

003 

252 DCMA Administrative Record for FY 2013 Furlough Appeals
M-12-17 

..... r rorce AamlniStrauve Record for FY 2013 Furlough Appears 

EXECUllVE OFFICE OF THE PRESIDENT 

OFACE OF MANAGEMENT ANC BUDGET 

WAI3WoiGTON. D.C. 20503 

July31,2012 

MEMORANDUM FOR THE HEADS OF EXECUTIVE DEPARTMENTS AND AGENCIES 

FROM: Jeflrey D. Zie£ I\\ v ActingD~\Y 

SUJlJECT: Issues Raised by Potential Sequestration Pursuant To Section 251A of the 

Balanced Budget and Emergency Deficit Control Act of 1985 

Passed by bipartisan majorities in both houses of the Congress, the Budget Control Act of 

2011 (BCA; Public Law 112-25) amended the Balanced Budget and Emergency Deficit Control 

Act of 1985 (BBEDCA) to put into place an automatic process of across-the-board reductions in 

budgetary resources, known as a sequestration, specified in an order to be issoed on January 2, 

2013, if the Joint Select Committee on Deficit Reduction failed to propose, and the Congress 

failed to enact, a bill containing at least $1.2 trillion in deficit reduction. 

The President has mede clear that the Congress should act to avoid such a sequestration. 

If allowed to occur, the sequestration would be highly destructive to national security and 

domestic priorities, as well as to core government functions. To avoid this, the President 

submitted a budget for 2013 that includes a comprehensive and balanced set of propoaals that 

contain greater deficit reduction than the Congress was charged with achieving. Tbe 

Administration believes the Congress should redouble its efforts to reduce the deficit in a 

bipartisan, balanced, and fiscally responsible manner and avoid the sequestration. 

If Congress were to enact the requisite deficit reduction messures and avoid the 

sequestration, there would be no need to take steps to issue the sequestration order, and then to 

develop plans for agency oparations for the remainder of FY 2013 within the constraints of that 

order. These sequestration planning and implementstion activities, once nndertaken, will 

necessarily divert scarce resources .from other important agency activities and priorities. The 

President remains confident that Congress will act, but because it has not yet made progress 

towards enacting sufficient deficit reduction, the Office of Management and Budget (OMB) will 

work with agencies, as necessary, on issues raised by a sequestration of this magnitude. 

To that end, OMB will be holding discussions on these issues with you and your staff 

over the coming months. ln the near term. OMB will consult with you on such topics as the 

application to your ageD.cy's accounts and programs of the exemptions from sequestration 

contained in section 255 ofBBEDCA and the applicable sequestration rules specified in section 

256 ofBBEDCA. These discussions should be informed by your General Counsel's analysis of 

how the requirements ofBBEDCA, as amended by the BCA, and other statutory authorities 

OSD009393-12 

004 

253 DCMA Administrative Record for FY 2013 Furlough Appeals
Alr Force Administrative Record for FY 2013 Furlough Appeals 

apply to a particular issue involving your agency. OMB will also engage with agencies on 

anticipated reporting requirements established by Congress that are related to, but separate from, 

planning for or implementing a sequestration order under the BCA. 

Over the longer term, in the absence of Congressional aetion on a balanced deficit 

reduction plan in advance ofJanuary 2, 2013, OMB will undertake additional activities related to 

the implementation of the BCA. OMB will work with agencies, as necessary, on issues 

surrounding the sequestration order and its implementation. For example, sequeotrable amounts 

can only be calculated once FY 2013 fimding levels are known; therefore, shortly before any 

sequestration order is issued, OMB will collect information from agencies on sequestmble 

amounts and, where applicable, unobligated balances, and calculate the percentage reductions 

necessary to implement the sequestration. In the meantime, agencies should continue normal 

spending _and operations since more than 5 months remain for Congress to act. 

The steps described above are necessary to prepare for the contingency of having to issue 

a sequesllafion order, but they do not change the fuct that sequestiation is bad policy, was never 

meant to be implemented, and should be avoided threngh the enactment ofbipartiaan, balanced 

deficit legislation. The Administration urges the Congress to take this course. 

2 

005 

254 DCMA Administrative Record for FY 2013 Furlough Appeals
DEPUTY SECRETARY.OF DEFENSE 

I()IC> DEFENSE PENTAGON 

WASHINGTON. DC 20301-1010 

!Reference (c) I 

MEMORANDUM FOR: SEE DISTRIBUTION JUN 0 3 2012 

SUBJECT: Guidance for Lilllitation on Aggregate Annual Amount Available for Contracted 

SerVices 

This memorandum provides guidance (Attachment I) regarding compliance with 

section 808 of the NationBI Defense Authorization A~t for Fiscal Year 2012, P.L. 112-81. 

Section 808 limits the amount of funds the Department may obligate for contract services in 

FY 2012 and FY 2013. Consisten.t with this statutory language; the Department's obligations for 

all contracted services shall not exceed, in FY 2012 and FY 2013, the total amount requested for 

the Department for all contracted services in the President's FY 2010 budget submission, 

excluding Contracted -services relating. to- overseas cont-ingency-opetations~ militarY construction, 

and research and development. -EB.ch Component must take action to_ ensure compliance with the 

limitation on the aggregate amount for· cohtracted services reflected in your FY 2012-enacted 

budget and FY 2013 Presideot's Budget request. 

Given the nature of how appropriated funds are allocated to fulfill requirements for 

contracted services and the .fiict we are well into the year_ of executionJor FY 2012, _compliance 

with section 808 will require close· cootdinstion among all stakeholders. Execution will be 

measured using obligations from base :fuilds, reported semi-annually in the Department's 

accounting systems as described in Attachment- 2, to~ensure that there is no migration or growth 

of contracted services that were excluded from the FY 2010 baseline and as tracked against 

Component services portfolios and contractor inventories. 

Questions regarding this guidance should be directed to thdollowing points of contact: 

Office ofthe Under Secretary of Defense (OUSD) (Comptroller): Mr. Keith Anderson 

(keith,anderson@osd.mil); OUSD (Personnel and Readiness): Ms. Amy Parker 

(amy.parker@osd.ntil) and Mr. Thomas Hessel (thomas.hessel@osd.mil); and 

OUSD (Atquisitiol), Technology and Logistics): Mr. John Tenaglia Gohn.tenaglia@osd.mil) 

and Mr. Jeffrey Grover Geffrey.grover@osd.ntil). 

Attachments: 

As stated 

0 OSDDD6113-12 

255 DCMA Administrative Record for FY 2013 Furlough Appeals
The Department is currently precluded, under a moratorium, from conducting public-private 

competitions. This prohibits the conversion of any work currently performed (or designated for 

performance) by civilian personnel to cortlract performance. This prohibition applies to functions and 

work assigned to civilians, regardless of whether or not the position is encumbered. When new 

requirements arise, such as those thst may occur as military end-strength levels are reduced, special 

considemtion must first be provided, consistent with section 2463 of title I 0, U .S.C., and applicable 

Department policies, to using Department ofDefense civilian employees. This includes billets and 

work that may have been unencumbered for an extended period of time. 

Please ensure maximum distribution of this memomndum across your organi2Biion,.particularly 

to your manpower, personnel, and acquisition communities. Questions regarding implementation/ 

enforcement of this memo should be addressed to my points of contact Mr. Thomas Hessel 

(thomas.hessel@osd.mil or 703-597-3402}and Ms. Amy Patker (llllly.parker@osd.mil or 703-697-

1735). 

256 DCMA Administrative Record for FY 2013 Furlough Appeals
UNDER SECRETARY OF DEFENSE . 4000 DEJ=-E PEtfrAGON 

WASHJNGTON, D.C. 20301-4000 

MEMORANDUM FOR SECRETARIES OF THE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOINT CHIEFS OF STAFF 

UNDER SECRETARIES OF DEFENSE 

DEPUTY CHIEF MANAGEMENT OFFfCER 

C01Y!MANJ)ERS OF THE COMBAT ANT COMMANDS 

ASSISTANT SECRETARIES OF DEFENSE 

!Reference (d) I 

GENERAL COUNSEL OF THE DEPARTMENT OF DEFENSE 

DIRECTOR, OPERATIONAL TEST AND EVALUATION 

DIRECTOR, COST ASSESSMENT AND PROGRAM EVALUATION 

INSPECTOR GENERAL OF tHE DEPARTMENT OF DEFENSE 

ASSISTANTS TO TilE SECRETARY OF DEFENSE 

DIRECTOR. ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF THE DEFENSEAGENCIES 

DIRECTORS OF TilE DoD FIELD ACTIVITIES 

SUBJECT: Guidance Relate<;~ to the Utilizlltion of Military Manpower to Perform .Certain Functions 

This memorandUm ad~ the. use of''fepwposed", or "borro~", military manpower (both 

active and reserve) to perfcmn new, el<J>lnding, or existing missions, aod most specifically work that is 

most appropriately aligned to non"military resources, including work recently performed by 

government civi!iaos or through eonlral:ted services, 

The Department's "sourcing" of necessary f\mctions and work between military, civilian, and 

contracted services must be consistent wi!h applicable laws and ·policies; as well as workload 

requirements, fUnding availability, Nadiness 1111d maoagement needs. Declining operating tempos may 

reslllt in a perception that military peisonllel will be available to fill.staffing shortfalls for non-military 

essential functions or workload. This is particularly true as. the Deparllnent faces declining budgets and 

continues to implement efficiency initiatives. While there may be instanees where military peiSonnel 

can be used to appropriately satisfy a near-terlll deniand, the Deparllnentmust be vigilant in ellsuring 

military peiSOnnel are not inappropriately utilized, particularly in .a manner that may degrade readiness. 

To ensure efficient and effective Total Force MIU1agernent, Compollellts shall bal~Ut~e these needs and 

consider !he following in sbapins their workforce and assigned militiuy personnel. 

Consistent with DoD !nstrulition 1100.22, "Policy and Procedures for Determining Wor/iforce 

Mix" (Aprll 2010), tasks that are not military essential in nature must be designated for government 

civilian personnel,. or contract performance where appropriate. Exceptions will be based upon a 

demonstrated and documented military J:J.eed ·e.g., to provide -a reasonable overseas rotation or career 

progression base. Cemponerrts shall refer to DoD Instruction 1100.22 for the Criteria to determine 

appropriateness of military personnel utilization. 

257 DCMA Administrative Record for FY 2013 Furlough Appeals
DISTRIBUTION: 

SECRETARIES OF THE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOINT CIDEFS OF STAFF 

UNDER SECRET ARIES OF DEFENSE 

COMMANDERS OF THE COMBATANT COMMANDS 

DIRECTOR, COST ASSESSMENT AND PROGRAM EVALUATION 

DIRECTOR, OPERATIONAL TEST AND EVALUATION 

GENERAL COUNSEL OF THE DEPARTMENT OF DEFENSE 

INSPECTOR GENERAL OF THE DEPARTMENT OF DEFENSE 

ASSISTANT SECRETARIES OF DEFENSE 

ASSISTANTS TO THE SECRETARY OF DEFENSE 

DIRECTOR, ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF THE DEFENSE AGENCIES 

DIRECTORS OF THE DOD FIELD ACTIVITIES 

PRESIDENT, DEFENSE ACQUISITION UNNERSITY 

PRESIDENT, NATIONAL DEFENSE UNNERSITY 

2 

258 DCMA Administrative Record for FY 2013 Furlough Appeals
Guidance to Implement Section 808 of the National Defense Authorization Act for 

Fiscal Year 2012,P.L.112-81 

1. The primary means by which the Department is to meet or be below the aggregate annual 

limitation for contracted services is for the individual Military Departments and Defense 

Components to limit obligations for contrncted services to the FY 2012 enacted budget 

amount and FY 2013 President's Budget request. The following adjustments apply: 

a. Excluding amounts allocated for overseas contingency operations, military 

construction, and research, development, test and evaluation; 

b. locluding all object classification code 25 categories, except 25.3 (Other goods and 

services from Federal sources) and 25.6 (Medical Care) as defined in DoD Financial 

Management Regulation 7000.14-R Volume 1: General Financial Management 

loformation, Systems and Requirements, Appendix A; 

c. Excluding statutory exceptions for offsetting cost increases associated with the 

number of civilian billets approved above the number of billets in the FY 20 I 0 

civilian personnel baseline as part of the Department's efficiencies initiatives; and 

d. Excluding amounts adjusted for net trnnsfer from funding for overseas contingency 

operations. 

Except where approved increases to the current limitations on civilian personnel occur, 

each Military Department and Defense Agency will not exceed the FY 2012 President's 

Budget enacted amount for contract services and FY 2013 President's Budget request for 

the Department to meet the aggregate limitation, as reflected in this attachment. 

2. For all contracts or task orders with an estimated value of more than $I 0,000,000 

awarded for contracted services in FY 2012 or FY 2013, contracting officers shall 

establish negotiation objectives for direct labor and overhead rates that are less than or 

equal to direct labor and overhead rates paid to that contractor for the same or similar 

contracted services in FY 2010. Contracting officers shall coordinate with the Defense 

Contrnct Management Agency and the Defense Contrnct Audit Agency to determine the 

applicable rates. In the event such contracts or task orders are to be awarded that provide 

for continuing services at an annual cost that exceeds the annual cost paid by the Military 

Department or Defense Agency/Field Activity for the same or similar services paid in 

FY 20!0, the Secretary of the Military Department or the Head of the Defense 

Agency/Field Activity must provide written approval prior to contract award or order 

issuance. 

3. The Secretaries of the Military Departments and the Heads of the Defense Agencies/Field 

Activities (to include the Offices of the Secretary of Defense, the Joint Staff, the 

Combatant ColJllllands, and all other organizations of the Department of Defense) shall 

identify and eliminate any instance where such organization is utilizing contracted 

services to perform inherently governmental functions. In instances where inherently 

governmental functions are found to be perfonned under contract, the department or 

Attachment 1 

259 DCMA Administrative Record for FY 2013 Furlough Appeals
agency shall take immediate actions to either in-source the work to government civilian 

performance or immediately divest the function and associated workload, reducing the 

scope of the contract. The term "inherently governmental ftmctions" is defined in the 

Office of Federal Procurement Policy (OFPP) Policy Letter 11-01, Performance of 

Inherently Governmental and Critical Functions, available online at 

(bttp://www.whitehouse.gov/omb!procurement_ index_ work _performance/). 

4. The Secretaries of the Military Departments and the Heads of the Defense Components 

(to include the Offices of the Secretary of Defense, the Joint Staff, the Combslant 

Commands, and all other organizations of the Department of Defense) sball reduce by 10 

percent per fiscal year in FY 2012 and FY 2013 obligations for staff augmentation 

contracts and contracts for the performance of functions closely associated with 

inherently governmental functions (as defmed in section 2383(b)(3) of title 10, U.S.C., 

and described in OFPP Policy Letter 11-01). 

a. Section 808 defines staff augmentation contracts as contracts for personnel who 

are subject to the direction of a government official other than the contracting 

officer for the contract, including but not limited to contractor personnel who 

perform personal service contracts. The reductions for staff augmentation 

contracts have already been factored into the budget documentation for FY 2012 

and FY 2013. However, the aforementioned senior officials are responsible for 

ensuring those reductions are sustained. 

b. For the purpose of fulfi.Iling the requirement to reduce by I 0 percent the amount 

of contracted services spent acquiring functions that are closely associated with 

inherently governmental functions, Components should use the classification in 

the FY 2010 Inventory of Contract Services as the bsseline amount. If this data is 

unknown in the FY 2010 inventory, Components should use the classification in 

the FY 20lllnventory of Contract Services. 

S. The Secretaries of the Military Departments and the Heads of the Defense Agencies sball 

assign responsibility for overseeing and implementing this guidance to the officials 

designated pursuant to section 2330 oftitle 10, U.S.C., and section 812(b) of the National 

Defense Authorization Act for Fiscal Year2006, P.L. 109-163, and ensure that the 

contractor inventory and program and budget proponents provide appropriate support. 

6. As required by section 235 of title 10, U.S.C., this information must be consistent with a 

component's contractor inventory compiled pursuant to section 2330a. 

2 

Attachment 

260

I 

DCMA Administrative Record for FY 2013 Furlough Appeals
,· ''· 

FOrc:G 

. R"""\iely Act 

ReOOilai')IAct 

Navy ~nd Martne corps 

_,NJ:~W 

C""""CI!Ierv-

(lnclucles au approprtailonux••l'l MU.CONand RDT&E) 

Ob - _elisa· 2Sjoor: e u :aa -;e 

FYt012PB FY2013PB 

. En~ 8otiueot 

PRCP Ban<>nl CIS OO'f'EB-2012 Fino 

128.417 

11l5.328 

11,143 

53,182 

25 

7, 162;-5.14 

1,248,3Z., 

.626,184 

129,002 

1za,ss7 

23,~ 

9,231,443 

393,168 

5,448 

1.27;4~: 

172,328 

10;111 

48,212 

25 

10,107,133 

1,280,;!19 

502;25'( 

112,253 

151,504 

1.3~.816 

164,412 

118,619 

10.021 

5,700 

9:896 1,377~ 

84,194 

10,819.377 

337,ll13 

Attachment 2 

261 DCMA Administrative Record for FY 2013 Furlough Appeals
OA1) 

oc.v. 

DGMA 

CFAS 

OHI!A 

DIA 

OJSA 

OLA 

OLeA 

i>I.W:T 

DOOEA -oPfdo. 

~ OTRA 

orSA 

MOA 

·No'U. 

=t.-1e:z.~· 

'455;"175 

2'f;ll51l 

161_;01.4 2;1_&4 

9f.-.2b2 

7;295 

-w.m 

S,1!Ja 

9'f,8''t5 

-47,1:112 

19,~ 

16;225 

4111.1_3' 

:f:f,97,f!. -.z•""' 1;-1.5~~} '84f.~ 

124;45'1-

.. t:OOS: 

81-554· 

280:1:1; 

622. 

$M38 

68,894. 

21>9._578 

6,-408 

,98&;579 

42.t.3l'.9 

9Q1e 

'.1166-.287 

1';788" 

f,ll55 

229 

2991&42 

~001; 

1~o>;9 1-9-032 ~' ' 

Dop<HIIl1f'lll TOTAL 517.11 916 58 55~ 820 

262 DCMA Administrative Record for FY 2013 Furlough Appeals
Organizational and Management Planning Page 2 of3 

Organization of the 

~ Department of Defense I Depa 

Secretary of Defense 

I Officeoftl>EitnspectorGene~•,• I 

oftheDepartment oro..ren.., 

I I 

Office of the Department of Department of Dlilpartmentof Joint Chiefs 

Seeretal)'of Defense tile Army tire Navy the Air Force of Staff 

DeputySecretaJyot Seet«aiY,oftheAJmi SecrttaryottheiiQIIY Se<:retaJYOftheAit Fo~<:e Chaifmln ofthe 

Defense.: Under h r JGlntChlds of staff 

otirce Secrd~riesof Ol'llce Ol!ice ' - OOice 

Defen~ 'Asslstant ' ••• -~ .... ... ' s.crid~ry· · '" llim '"" I~·'"·~ -- -·· s..a.tary '"' Secretaries ' oint staff of .Army stall -~ Nr stall ' Joint Chiefs 

Defense, and other ••• -~~ . .. ••• ' 

specified offldaJs ~., Opefatioi>s .. ~ Corps Air Force ' 

The noo n .. Tho MarineArmY """' Corps Air Force 

I 

DefenseAg'encres (17) DoD Field Activities (fOJ Combatant Commands (9} 

DefenseAdvancedReseiii'Ch PrO)ectsAgency Det«lseMedla Activity Africa cornnand 

DefenllOCOrrmi$$11)' Agency DefenO»POWMIII'ingPeRQI'IIlGi Oflite Ccnpal C<>rm1<1rid 

DefenseColltlitctAudltAgency Defense TedmicaUnronmtlon c~ Europeo~n Conn111nd 

Dd'en...,co~ManaDemte'tAgency' Defense T<:ehnolo{JY5«:urityAdrrinistmion llorthemConwrr;:md 

DetenileFimmcoand'Acco'untingSeiV!ce DoD EducationActlvii;Y Pi11:ffic Comnand 

Defenselnfon:mtlonSystemsAgcncy' D_oD Hlln'lilnResourusAdhrity Southern Conlnilhd 

Defenselntelllgm~Agtricy_• DOD TeitR.esoun:eMan~gement Center Speci.lloj,MitlonaCommnd 

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• DoD Organizational Charts 

• Information about DoDD 5100.01 Functions of th!! Department of Defense and Its Major 

Components 

http:/ /odam.defense.gov/omp/Functions/Organizational_ Portfolios/Organization_ and _Functions_ Guidebook.html 8/14/2013 

263 DCMA Administrative Record for FY 2013 Furlough Appeals
PERSONNEL AND 

READINESS 

UNDER SECRETARY OF DEFENSE 

4000 DEFENSE PENTACON 

WASHINGTON, D.C. 20301:.11000 

DEC 1 21111 

/Reference (b Jl 

MEMORANDUM FOR SECRETARIES OF THE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOINT CHIEFS OF STAFF 

UNDER SECRETARIES OF DEFENSE 

DEPUTY CHIEF MANAGEMENT OFFICER 

COMMANDERS OF THE COMBATANT COMMANDS 

ASSISTANT SECRETARIES OF DEFENSE 

GENERAL COUNSEL OF THE DEPARTMENT OF DEFENSE 

DIRECTOR, OPERATIONAL TEST AND EVALUATION 

DIRECTOR, COST ASSESSMENT AND PROGRAM EVALUATION 

INSPECTOR GENERAL OF THE DEPARTMENT OF DEFENSE 

ASSISTANTS TO THE SECRETARY OF DEFENSE 

DIRECTOR, ADMJNISTRA TION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF THE DEFENSE AGENCIES 

DIRECTORS OF THE DoD FIELD ACTIVITIES 

SUBJECT: Prohibition on Converting Certain Functions to Contract Performance 

This memorandum provides clarification regarding statutory language as related to the 

conversion of certain functions to contract performance. While the Department is holding civilian 

funding at fiscal year (FY) 2010 levels through FY 2013, with some exceptions, the Congress and the 

Secretary also remain concerned that the Department not be overly reliant on contracted services. 

As the Department adapts to declining budgets and operating in a constrained fiscal 

environment, we must ensure that we make analytically-based spending choices based on sound 

strategy and policies. In particular, as we implement the results of organizational assessments; 

continue to assess missions and functions in terms of priority; and revisit both our civilian and military 

force structures, we must be particularly vigilant to prevent the inappropriate conversion of work to 

contract performance. 

Under section 2461 of title 10, United States Code (U.S.C.) the Department is prohibited from 

converting work currently performed (or designated for perfonnance) by civilian personnel to private 

sector (contract) performance without first conducting a public-private competition. The National 

Defense Authorization Act for fiscal year 2010 (Public Law 111-84) included a significant 

modification to this statute, extending the requirement for a pUblic-private competition prior to the 

conversion of work by any number of civilian employees. Prior to this change, functions performed by 

fewer than 10 civilian employees could be converted to contract performance absent a public-private 

competition, known as a "direct conversion". 

264 DCMA Administrative Record for FY 2013 Furlough Appeals
Table I. Categories of Approved Near-Term Actions 

• Freeze civilian hiring (with exceptions for mission-critical activities•). 

• Provide authority to terminate employment of temporary hires and to notiiY term employees 

that their contracts will not be renewed (with exceptions for mission-critical activities and 

when appropriate in terms of personnel timing•). 

• Reduce base operating funding. 

• Curtail travel, training, and conferences (all with exceptions for mission-critical activities* 

including those required to maintain professional licensure or equivalent certifications). 

• Curtail facilities maintenance or Facilities Sustainment, Restoration, and Modernization 

· (FSRM) (with exceptions for ntission-criticalactivities•). 

o If necessary, services/agencies are authorized to fund FSRM at levels below CWTent 

guidance. 

• Curtail administrative expenses such as supply purchases, business IT, ceremonies, etc. 

(with exceptions for mission-critical activities*). 

• Review contracts and studies for possible cost·savings. 

• Cancel3"' and 4"' quarter ship maintenance availabilities and aviation and ground depotlevel maintenance activities. Take this action no earlier than Febrwuy 15,2013. 

• Clear all R&D and production contracts and contract modifications that obligate more than 

$500 million with the USD(AT&L) prior to award. 

• For Science and Technology accounts, provide the USD(AT&L) and the Assistant Secretary 

of Defense (Research & Engineering) with an assessment of the impact that budgetary 

uncertainty may have on meeting Departmental research priorities. 

• Approvals will be granted by Component beads or by senior officials designated by the 

Component head. 

Components with personnel serving Combatant Commanders (COCOMs) must consult with the 

COCOMs before implementing actions that affect them. Disputes will be brought to the attention 

of the Chainnan of the Joint Chiefs of Staff for further resolotion. 

Components receiving reimbursements should coonlinate with customer before taking actions that 

would affect the customer's mission. 

265 DCMA Administrative Record for FY 2013 Furlough Appeals
Table 2. Information to Be Included in Draft Implementation Plans 

The following information should be provided at the Component level. Information by commands 

and bases/installations is not required. 

• For operating accounts, identify major actions to include, at a minimum: 

o Extent of civilian hiring freezes; expected number of temps/terms released; expected 

number, duration, and nature of furloughs. 

o Reductions in flying hours, steaming days, vehicle miles, and other 

operations/training/support activities that affect force readiness. 

o Areas of budgets experiencing disproportionate cuts. 

• For investment accounts: 

o Plans for large prognuus (ACAT lD and lC, and MA!S programs). 

• Include major changes in unit buys, delays, etc. 

o Significant changes in all joint programs. 

• Identify and prioritize any essential reprogramming actions with offsets. 

266 DCMA Administrative Record for FY 2013 Furlough Appeals
o To the extent feasible, protect funding most directly associated with readiness; focus 

the necessary cuts on later deploying units. 

• For the investment portions of the DoD budget (procurement, RDT&E, construction): 

o Protect investments funded in Overseas Contingency Operstions if associated with 

urgent operational needs. 

o To the extent feasible, protect programs mostly closely associated with the new 

defense strategy. 

o Take prudent steps to minimize disruption and sdded costs (e.g., avoid penalties 

associated with potential contmct cancellations where feasible; prudently manage 

construction projects funded with prior-year monies). 

While we are hopeful of avoiding budgetary problems, draft Component plans should reflect 

the possibility that we may have to operate under a year-long CR and that sequestration takes place. 

Table 2 shows the types of information that should be included in the plans. Components should 

submit these draft plans to the Under Secretary of Defense (Comptroller) by February I, 2013. The 

Under Secretary of Defense (Comptroller) will work with the Components to sdjust this schedule if 

changes are required due to the desdlines for the preparation of the FY 2014 President's Budget 

submission. 

I appreciate your patience as we work thmugh these difficult budgetary times. The 

Department will continue to do its best to resolve these budgetary uncertainties in a manner that 

permits us to support our current defense strategy and maintain a strong defense. 

If sddressees have questions about this memorandwn, they should direct them to the Under 

Secretary of Defense (Comptroller). 

3 

267 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 1

UNITED STATES PUBLIC LAWS 

112th Congress -- 1st Session 

(c) 2011, LEXIS-NEXIS, A DIVISION OF REED ELSEVIER INC. AND REED ELSEVIER PROPERTIES INC. 

PUBLIC LAW 112-25 [S. 365] 

AUG. 02, 2011 

BUDGET CONTROL ACT OF 2011 

112 P.L. 25; 125 Stat. 240; 2011 Enacted S. 365; 112 Enacted S. 365 

BILL TRACKING REPORT: 112 Bill Tracking S. 365 

FULL TEXT VERSION(S) OF BILL: 112 S. 365 

CIS LEGIS. HISTORY DOCUMENT: 112 CIS Legis. Hist. P.L. 25 

 An Act 

To provide for budget control. 

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

 [*1] SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

(a) <2 USC 900 note> Short Title.--This Act may be cited as the "Budget Control Act of 2011". 

(b) Table of Contents.--The table of contents for this Act is as follows: 

 Sec. 1. Short title; table of contents. 

 Sec. 2. Severability. 

 

TITLE I--TEN-YEAR DISCRETIONARY CAPS WITH SEQUESTER 

 Sec. 101. Enforcing discretionary spending limits. 

 Sec. 102. Definitions. 

 Sec. 103. Reports and orders. 

 Sec. 104. Expiration. 

 Sec. 105. Amendments to the Congressional Budget and Impoundment Control Act of 1974. 

 Sec. 106. Senate budget enforcement. 

 

TITLE II--VOTE ON THE BALANCED BUDGET AMENDMENT 

 Sec. 201. Vote on the balanced budget amendment. 

 Sec. 202. Consideration by the other House. 

 

TITLE III--DEBT CEILING DISAPPROVAL PROCESS 

 Sec. 301. Debt ceiling disapproval process. 

 Sec. 302. Enforcement of budget goal. 

 

TITLE IV--JOINT SELECT COMMITTEE ON DEFICIT REDUCTION 

 Sec. 401. Establishment of Joint Select Committee. 

 Sec. 402. Expedited consideration of joint committee recommendations. 

 Sec. 403. Funding. 

 Sec. 404. Rulemaking. 

 

268 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 2

112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

TITLE V--PELL GRANT AND STUDENT LOAN PROGRAM CHANGES 

 Sec. 501. Federal Pell grants. 

 Sec. 502. Termination of authority to make interest subsidized loans to graduate and professional students. 

 Sec. 503. Termination of direct loan repayment incentives. 

 Sec. 504. Inapplicability of title IV negotiated rulemaking and master calendar exception. 

 [*2] Sec. 2. <2 USC 900 note> SEVERABILITY. 

If any provision of this Act, or any application of such provision to any person or circumstance, is held to be unconstitutional, the remainder of this Act and the application of this Act to any other person or circumstance shall not be 

affected. 

 

 TITLE I--TEN-YEAR DISCRETIONARY CAPS WITH SEQUESTER 

 [*101] Sec. 101. ENFORCING DISCRETIONARY SPENDING LIMITS. 

Section 251 of the Balanced Budget and Emergency Deficit Control Act of 1985 is amended to read as follows: <2 

USC 901> 

"Sec. 251. ENFORCING DISCRETIONARY SPENDING LIMITS. 

"(a) Enforcement.--

 "(1) Sequestration.-- Within 15 calendar days after Congress adjourns to end a session there shall be a sequestration to eliminate a budget-year breach, if any, within any category. 

 "(2) Eliminating a breach.-- Each non-exempt account within a category shall be reduced by a dollar amount 

calculated by multiplying the enacted level of sequestrable budgetary resources in that account at that time by the uniform percentage necessary to eliminate a breach within that category. 

 "(3) Military personnel.-- If the President uses the authority to exempt any personnel account from sequestration 

under section 255(f), each account within subfunctional category 051 (other than those military personnel accounts for 

which the authority provided under section 255(f) has been exercised) shall be further reduced by a dollar amount calculated by multiplying the enacted level of non-exempt budgetary resources in that account at that time by the uniform 

percentage necessary to offset the total dollar amount by which outlays are not reduced in military personnel accounts 

by reason of the use of such authority. 

 "(4) Part-year appropriations.-- If, on the date specified in paragraph (1), there is in effect an Act making or continuing appropriations for part of a fiscal year for any budget account, then the dollar sequestration calculated for that 

account under paragraphs (2) and (3) shall be subtracted from--

 "(A) the annualized amount otherwise available by law in that account under that or a subsequent part-year 

appropriation; and 

 "(B) when a full-year appropriation for that account is enacted, from the amount otherwise provided by the 

full-year appropriation for that account. 

 "(5) Look-back.-- If, after June 30, an appropriation for the fiscal year in progress is enacted that causes a breach 

within a category for that year (after taking into account any sequestration of amounts within that category), the discretionary spending limits for that category for the next fiscal year shall be reduced by the amount or amounts of that 

breach. 

 "(6) Within-session sequestration.-- If an appropriation for a fiscal year in progress is enacted (after Congress 

adjourns to end the session for that budget year and before July 1 of that fiscal year) that causes a breach within a category for that year (after taking into account any prior sequestration of amounts within that category), 15 days later there 

shall be a sequestration to eliminate that breach within that category following the procedures set forth in paragraphs (2) 

through (4). 

 "(7) Estimates.---- 

 "(A) CBO estimates.--As soon as practicable after Congress completes action on any discretionary appropriation, CBO, after consultation with the Committees on the Budget of the House of Representatives and the Senate, shall 

269 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 3

112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

provide OMB with an estimate of the amount of discretionary new budget authority and outlays for the current year, if 

any, and the budget year provided by that legislation. 

 "(B) OMB estimates and explanation of differences.--Not later than 7 calendar days (excluding Saturdays, 

Sundays, and legal holidays) after the date of enactment of any discretionary appropriation, OMB shall transmit a report 

to the House of Representatives and to the Senate containing the CBO estimate of that legislation, an OMB estimate of 

the amount of discretionary new budget authority and outlays for the current year, if any, and the budget year provided 

by that legislation, and an explanation of any difference between the 2 estimates. If during the preparation of the report 

OMB determines that there is a significant difference between OMB and CBO, OMB shall consult with the Committees 

on the Budget of the House of Representatives and the Senate regarding that difference and that consultation shall include, to the extent practicable, written communication to those committees that affords such committees the opportunity to comment before the issuance of the report. 

 "(C) Assumptions and guidelines.--OMB estimates under this paragraph shall be made using current economic 

and technical assumptions. OMB shall use the OMB estimates transmitted to the Congress under this paragraph. OMB 

and CBO shall prepare estimates under this paragraph in conformance with scorekeeping guidelines determined after 

consultation among the Committees on the Budget of the House of Representatives and the Senate, CBO, and OMB. 

 "(D) Annual appropriations.--For purposes of this paragraph, amounts provided by annual appropriations shall 

include any discretionary appropriations for the current year, if any, and the budget year in accounts for which funding 

is provided in that legislation that result from previously enacted legislation. 

"(b) Adjustments to Discretionary Spending Limits.--

 "(1) Concepts and definitions.-- When the President submits the budget under section 1105 of title 31, United 

States Code, OMB shall calculate and the budget shall include adjustments to discretionary spending limits (and those 

limits as cumulatively adjusted) for the budget year and each outyear to reflect changes in concepts and definitions. 

Such changes shall equal the baseline levels of new budget authority and outlays using up-to-date concepts and definitions, minus those levels using the concepts and definitions in effect before such changes. Such changes may only be 

made after consultation with the Committees on Appropriations and the Budget of the House of Representatives and the 

Senate, and that consultation shall include written communication to such committees that affords such committees the 

opportunity to comment before official action is taken with respect to such changes. 

 "(2) Sequestration reports.-- When OMB submits a sequestration report under section 254(e), (f), or (g) for a 

fiscal year, OMB shall calculate, and the sequestration report and subsequent budgets submitted by the President under 

section 1105(a) of title 31, United States Code, shall include adjustments to discretionary spending limits (and those 

limits as adjusted) for the fiscal year and each succeeding year, as follows: 

 "(A) Emergency appropriations; overseas contingency operations/global war on terrorism.--If, for any fiscal 

year, appropriations for discretionary accounts are enacted that--

 "(i) the Congress designates as emergency requirements in statute on an account by account basis and the 

President subsequently so designates, or 

 "(ii) the Congress designates for Overseas Contingency Operations/Global War on Terrorism in statute on an 

account by account basis and the President subsequently so designates, 

the adjustment shall be the total of such appropriations in discretionary accounts designated as emergency requirements or for Overseas Contingency Operations/Global War on Terrorism, as applicable. 

 "(B) Continuing disability reviews and redeterminations.--(i) If a bill or joint resolution making appropriations 

for a fiscal year is enacted that specifies an amount for continuing disability reviews under titles II and XVI of the Social Security Act and for the cost associated with conducting redeterminations of eligibility under title XVI of the Social 

Security Act, then the adjustments for that fiscal year shall be the additional new budget authority provided in that Act 

for such expenses for that fiscal year, but shall not exceed--

 "(I) for fiscal year 2012, $ 623,000,000 in additional new budget authority; 

 "(II) for fiscal year 2013, $ 751,000,000 in additional new budget authority; 

 "(III) for fiscal year 2014, $ 924,000,000 in additional new budget authority; 

270 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 4

112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 "(IV) for fiscal year 2015, $ 1,123,000,000 in additional new budget authority; 

 "(V) for fiscal year 2016, $ 1,166,000,000 in additional new budget authority; 

 "(VI) for fiscal year 2017, $ 1,309,000,000 in additional new budget authority; 

 "(VII) for fiscal year 2018, $ 1,309,000,000 in additional new budget authority; 

 "(VIII) for fiscal year 2019, $ 1,309,000,000 in additional new budget authority; 

 "(IX) for fiscal year 2020, $ 1,309,000,000 in additional new budget authority; and 

 "(X) for fiscal year 2021, $ 1,309,000,000 in additional new budget authority. 

 "(ii) As used in this subparagraph--

 "(I) the term 'continuing disability reviews' means continuing disability reviews under sections 221(i) and 

1614(a)(4) of the Social Security Act; 

 "(II) the term 'redetermination' means redetermination of eligibility under sections 1611(c)(1) and 

1614(a)(3)(H) of the Social Security Act; and 

 "(III) the term 'additional new budget authority' means the amount provided for a fiscal year, in excess of $ 

273,000,000, in an appropriation Act and specified to pay for the costs of continuing disability reviews and redeterminations under the heading 'Limitation on Administrative Expenses' for the Social Security Administration. 

 "(C) Health care fraud and abuse control.--(i) If a bill or joint resolution making appropriations for a fiscal 

year is enacted that specifies an amount for the health care fraud abuse control program at the Department of Health and 

Human Services (75-8393-0-7-571), then the adjustments for that fiscal year shall be the amount of additional new 

budget authority provided in that Act for such program for that fiscal year, but shall not exceed--

 "(I) for fiscal year 2012, $ 270,000,000 in additional new budget authority; 

 "(II) for fiscal year 2013, $ 299,000,000 in additional new budget authority; 

 "(III) for fiscal year 2014, $ 329,000,000 in additional new budget authority; 

 "(IV) for fiscal year 2015, $ 361,000,000 in additional new budget authority; 

 "(V) for fiscal year 2016, $ 395,000,000 in additional new budget authority; 

 "(VI) for fiscal year 2017, $ 414,000,000 in additional new budget authority; 

 "(VII) for fiscal year 2018, $ 434,000,000 in additional new budget authority; 

 "(VIII) for fiscal year 2019, $ 454,000,000 in additional new budget authority; 

 "(IX) for fiscal year 2020, $ 475,000,000 in additional new budget authority; and 

 "(X) for fiscal year 2021, $ 496,000,000 in additional new budget authority. 

 "(ii) As used in this subparagraph, the term 'additional new budget authority' means the amount provided for 

a fiscal year, in excess of $ 311,000,000, in an appropriation Act and specified to pay for the costs of the health care 

fraud and abuse control program. 

 "(D) Disaster funding.--

 "(i) If, for fiscal years 2012 through 2021, appropriations for discretionary accounts are enacted that Congress designates as being for disaster relief in statute, the adjustment for a fiscal year shall be the total of such appropriations for the fiscal year in discretionary accounts designated as being for disaster relief, but not to exceed the total of--

 "(I) the average funding provided for disaster relief over the previous 10 years, excluding the highest and 

lowest years; and 

 "(II) the amount, for years when the enacted new discretionary budget authority designated as being for 

disaster relief for the preceding fiscal year was less than the average as calculated in subclause (I) for that fiscal year, 

that is the difference between the enacted amount and the allowable adjustment as calculated in such subclause for that 

fiscal year. 

271 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 5

112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 "(ii) OMB shall report to the Committees on Appropriations and Budget in each House the average calculated pursuant to clause (i)(II), not later than 30 days after the date of the enactment of the Budget Control Act of 2011. 

 "(iii) For the purposes of this subparagraph, the term 'disaster relief' means activities carried out pursuant to 

a determination under section 102(2) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 

U.S.C. 5122(2)). 

 "(iv) Appropriations considered disaster relief under this subparagraph in a fiscal year shall not be eligible 

for adjustments under subparagraph (A) for the fiscal year. 

"(c) Discretionary Spending Limit.--As used in this part, the term 'discretionary spending limit' means--

 "(1) with respect to fiscal year 2012--

 "(A) for the security category, $ 684,000,000,000 in new budget authority; and 

 "(B) for the nonsecurity category, $ 359,000,000,000 in new budget authority; 

 "(2) with respect to fiscal year 2013--

 "(A) for the security category, $ 686,000,000,000 in new budget authority; and 

 "(B) for the nonsecurity category, $ 361,000,000,000 in new budget authority; 

 "(3) with respect to fiscal year 2014, for the discretionary category, $ 1,066,000,000,000 in new budget authority; 

 "(4) with respect to fiscal year 2015, for the discretionary category, $ 1,086,000,000,000 in new budget authority; 

 "(5) with respect to fiscal year 2016, for the discretionary category, $ 1,107,000,000,000 in new budget authority; 

 "(6) with respect to fiscal year 2017, for the discretionary category, $ 1,131,000,000,000 in new budget authority; 

 "(7) with respect to fiscal year 2018, for the discretionary category, $ 1,156,000,000,000 in new budget authority; 

 "(8) with respect to fiscal year 2019, for the discretionary category, $ 1,182,000,000,000 in new budget authority; 

 "(9) with respect to fiscal year 2020, for the discretionary category, $ 1,208,000,000,000 in new budget authority; and 

 "(10) with respect to fiscal year 2021, for the discretionary category, $ 1,234,000,000,000 in new budget authority; 

as adjusted in strict conformance with subsection (b).". 

 [*102] Sec. 102. DEFINITIONS. 

Section 250(c) of the Balanced Budget and Emergency Deficit Control Act of 1985 is amended as follows: <2 USC 

900>

 (1) Strike paragraph (4) and insert the following new paragraph: 

 "(4)(A) The term 'nonsecurity category' means all discretionary appropriations not included in the security category defined in subparagraph (B). 

 "(B) The term 'security category' includes discretionary appropriations associated with agency budgets for the 

Department of Defense, the Department of Homeland Security, the Department of Veterans Affairs, the National Nuclear Security Administration, the intelligence community management account (95-0401-0-1-054), and all budget accounts in budget function 150 (international affairs). 

 "(C) The term 'discretionary category' includes all discretionary appropriations.". 

272 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 6

112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 (2) In paragraph (8)(C), strike "the food stamp program" and insert "the Supplemental Nutrition Assistance Program". 

 (3) Strike paragraph (14) and insert the following new paragraph: 

 "(14) The term 'outyear' means a fiscal year one or more years after the budget year.". 

 (4) At the end, add the following new paragraphs: 

 "(20) The term 'emergency' means a situation that--

 "(A) requires new budget authority and outlays (or new budget authority and the outlays flowing therefrom) 

for the prevention or mitigation of, or response to, loss of life or property, or a threat to national security; and 

 "(B) is unanticipated. 

 "(21) The term 'unanticipated' means that the underlying situation is--

 "(A) sudden, which means quickly coming into being or not building up over time; 

 "(B) urgent, which means a pressing and compelling need requiring immediate action; 

 "(C) unforeseen, which means not predicted or anticipated as an emerging need; and 

 "(D) temporary, which means not of a permanent duration.". 

 [*103] Sec. 103. REPORTS AND ORDERS. 

Section 254 of the Balanced Budget and Emergency Deficit <2 USC 904> Control Act of 1985 is amended as follows: 

 (1) In subsection (c)(2), strike "2002" and insert "2021". 

 (2) At the end of subsection (e), insert "This report shall also contain a preview estimate of the adjustment for 

disaster funding for the upcoming fiscal year.". 

 (3) In subsection (f)(2)(A), strike "2002" and insert "2021"; before the concluding period insert ", including a 

final estimate of the adjustment for disaster funding". 

 [*104] Sec. 104. EXPIRATION. 

(a) Repealer.--Section 275 of the Balanced Budget and Emergency <2 USC 900 note> Deficit Control Act of 1985 

is repealed. 

(b) <2 USC 902 note> Conforming Change.--Sections 252(d)(1), 254(c), 254(f)(3), and 254(i) of the Balanced 

Budget and Emergency Deficit Control Act of 1985 shall not apply to the Congressional Budget Office. 

 [*105] Sec. 105. AMENDMENTS TO THE CONGRESSIONAL BUDGET AND IMPOUNDMENT CONTROL ACT OF 1974. 

(a) Adjustments.--Section 314 of the Congressional Budget <2 USC 645> Act of 1974 is amended as follows: 

 (1) Strike subsection (a) and insert the following: 

"(a) Adjustments.--After the reporting of a bill or joint resolution or the offering of an amendment thereto or the 

submission of a conference report thereon, the chairman of the Committee on the Budget of the House of Representatives or the Senate may make appropriate budgetary adjustments of new budget authority and the outlays flowing therefrom in the same amount as required by section 251(b) of the Balanced Budget and Emergency Deficit Control Act of 

1985.". 

 (2) Strike subsections (b) and (e) and redesignate subsections (c) and (d) as subsections (b) and (c), respectively. 

 (3) At the end, add the following new subsections: 

"(d) Emergencies in the House of Representatives.-- (1) In the House of Representatives, if a reported bill or joint 

resolution, or amendment thereto or conference report thereon, contains a provision providing new budget authority and 

outlays or reducing revenue, and a designation of such provision as an emergency requirement pursuant to 251(b)(2)(A) 

of the Balanced Budget and Emergency Deficit Control Act of 1985, the chair of the Committee on the Budget of the 

273 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 7

112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

House of Representatives shall not count the budgetary effects of such provision for purposes of title III and title IV of 

the Congressional Budget Act of 1974 and the Rules of the House of Representatives. 

 "(2)(A) In the House of Representatives, if a reported bill or joint resolution, or amendment thereto or conference report thereon, contains a provision providing new budget authority and outlays or reducing revenue, and a designation of such provision as an emergency pursuant to paragraph (1), the chair of the Committee on the Budget shall not 

count the budgetary effects of such provision for purposes of this title and title IV and the Rules of the House of Representatives. 

"(B) In the House of Representatives, a proposal to strike a designation under subparagraph (A) shall be excluded 

from an evaluation of budgetary effects for purposes of this title and title IV and the Rules of the House of Representatives. 

"(C) An amendment offered under subparagraph (B) that also proposes to reduce each amount appropriated or otherwise made available by the pending measure that is not required to be appropriated or otherwise made available shall 

be in order at any point in the reading of the pending measure. 

"(e) Enforcement of Discretionary Spending Caps.--It shall not be in order in the House of Representatives or the 

Senate to consider any bill, joint resolution, amendment, motion, or conference report that would cause the discretionary 

spending limits as set forth in section 251 of the Balanced Budget and Emergency Deficit Control Act to be exceeded.". 

(b) Definitions.--Section 3 of the Congressional Budget and Impoundment Control Act of 1974 is amended by 

adding at the <2 USC 622> end the following new paragraph: 

 "(11) The terms 'emergency' and 'unanticipated' have the meanings given to such terms in section 250(c) of the 

Balanced Budget and Emergency Deficit Control Act of 1985.". 

(c) Appeals for Discretionary Caps.--Section 904(c)(2) of the Congressional Budget Act of 1974 is amended by 

striking "and <2 USC 621 note> 312(c)" and inserting "312(c), and 314(e)". 

 [*106] Sec. 106. SENATE BUDGET ENFORCEMENT. <2 USC 631 note> 

(a) In General.--

 (1) For the purpose of enforcing the Congressional Budget Act of 1974 through April 15, 2012, including section 300 of that Act, and enforcing budgetary points of order in prior concurrent resolutions on the budget, the allocations, aggregates, and levels set in subsection (b)(1) shall apply in the Senate in the same manner as for a concurrent 

resolution on the budget for fiscal year 2012 with appropriate budgetary levels for fiscal years 2011 and 2013 through 

2021.

 (2) For the purpose of enforcing the Congressional Budget Act of 1974 after April 15, 2012, including section 

300 of that Act, and enforcing budgetary points of order in prior concurrent resolutions on the budget, the allocations, 

aggregates, and levels set in subsection (b)(2) shall apply in the Senate in the same manner as for a concurrent resolution on the budget for fiscal year 2013 with appropriate budgetary levels for fiscal years 2012 and 2014 through 2022. 

(b) Committee Allocations, Aggregates, and Levels.--

 (1) As soon as practicable after the date of enactment of this section, the Chairman of the Committee on the 

Budget shall file--

 (A) for the Committee on Appropriations, committee allocations for fiscal years 2011 and 2012 consistent 

with the discretionary spending limits set forth in this Act for the purpose of enforcing section 302 of the Congressional 

Budget Act of 1974; 

 (B) for all committees other than the Committee on Appropriations, committee allocations for fiscal years 

2011, 2012, 2012 through 2016, and 2012 through 2021 consistent with the Congressional Budget Office's March 2011 

baseline adjusted to account for the budgetary effects of this Act and legislation enacted prior to this Act but not included in the Congressional Budget Office's March 2011 baseline, for the purpose of enforcing section 302 of the Congressional Budget Act of 1974; 

 (C) aggregate spending levels for fiscal years 2011 and 2012 and aggregate revenue levels for fiscal years 

2011, 2012, 2012 through 2016, 2012 through 2021 consistent with the Congressional Budget Office's March 2011 

baseline adjusted to account for the budgetary effects of this Act and legislation enacted prior to this Act but not in274 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

cluded in the Congressional Budget Office's March 2011 baseline, and the discretionary spending limits set forth in this 

Act for the purpose of enforcing section 311 of the Congressional Budget Act of 1974; and 

 (D) levels of Social Security revenues and outlays for fiscal years 2011, 2012, 2012 through 2016, and 2012 

through 2021 consistent with the Congressional Budget Office's March 2011 baseline adjusted to account for the budgetary effects of this Act and legislation enacted prior to this Act but not included in the Congressional Budget Office's 

March 2011 baseline, for the purpose of enforcing sections 302 and 311 of the Congressional Budget Act of 1974. 

 (2) Not later than April 15, 2012, the Chairman of the Committee on the Budget shall file--

 (A) for the Committee on Appropriations, committee allocations for fiscal years 2012 and 2013 consistent 

with the discretionary spending limits set forth in this Act for the purpose of enforcing section 302 of the Congressional 

Budget Act of 1974; 

 (B) for all committees other than the Committee on Appropriations, committee allocations for fiscal years 

2012, 2013, 2013 through 2017, and 2013 through 2022 consistent with the Congressional Budget Office's March 2012 

baseline for the purpose of enforcing section 302 of the Congressional Budget Act of 1974; 

 (C) aggregate spending levels for fiscal years 2012 and 2013 and aggregate revenue levels for fiscal years 

2012, 2013, 2013-2017, and 2013-2022 consistent with the Congressional Budget Office's March 2012 baseline and the 

discretionary spending limits set forth in this Act for the purpose of enforcing section 311 of the Congressional Budget 

Act of 1974; and 

 (D) levels of Social Security revenues and outlays for fiscal years 2012 and 2013, 2013-2017, and 2013-2022 

consistent with the Congressional Budget Office's March 2012 baseline budget for the purpose of enforcing sections 

302 and 311 of the Congressional Budget Act of 1974. 

(c) Senate Pay-as-you-go Scorecard.--

 (1) Effective on the date of enactment of this section, for the purpose of enforcing section 201 of S. Con. Res. 21 

(110th Congress), the Chairman of the Senate Committee on the Budget shall reduce any balances of direct spending 

and revenues for any fiscal year to 0 (zero). 

 (2) Not later than April 15, 2012, for the purpose of enforcing section 201 of S. Con. Res. 21 (110th Congress), 

the Chairman of the Senate Committee on the Budget shall reduce any balances of direct spending and revenues for any 

fiscal year to 0 (zero). 

 (3) Upon resetting the Senate paygo scorecard pursuant to paragraph (2), the Chairman shall publish a notification of such action in the Congressional Record. 

(d) Further Adjustments.--

 (1) The Chairman of the Committee on the Budget of the Senate may revise any allocations, aggregates, or levels set pursuant to this section to account for any subsequent adjustments to discretionary spending limits made pursuant 

to this Act. 

 (2) With respect to any allocations, aggregates, or levels set or adjustments made pursuant to this section, sections 412 through 414 of S. Con. Res. 13 (111th Congress) shall remain in effect. 

(e) Expiration.--

 (1) Subsections (a)(1), (b)(1), and (c)(1) shall expire if a concurrent resolution on the budget for fiscal year 2012 

is agreed to by the Senate and House of Representatives pursuant to section 301 of the Congressional Budget Act of 

1974.

 (2) Subsections (a)(2), (b)(2), and (c)(2) shall expire if a concurrent resolution on the budget for fiscal year 2013 

is agreed to by the Senate and House of Representatives pursuant to section 301 of the Congressional Budget Act of 

1974.

 

 TITLE II--VOTE ON THE BALANCED BUDGET AMENDMENT 

 [*201] Sec. 201. VOTE ON THE BALANCED BUDGET AMENDMENT. 

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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

After September 30, 2011, and not later than December 31, 2011, the House of Representatives and Senate, respectively, shall vote on passage of a joint resolution, the title of which is as follows: "Joint resolution proposing a balanced 

budget amendment to the Constitution of the United States.". 

 [*202] Sec. 202. CONSIDERATION BY THE OTHER HOUSE. 

(a) House Consideration.--

 (1) Referral.-- If the House receives a joint resolution described in section 201 from the Senate, such joint resolution shall be referred to the Committee on the Judiciary. If the committee fails to report the joint resolution within five 

legislative days, it shall be in order to move that the House discharge the committee from further consideration of the 

joint resolution. Such a motion shall not be in order after the House has disposed of a motion to discharge the joint resolution. The previous question shall be considered as ordered on the motion to its adoption without intervening motion 

except twenty minutes of debate equally divided and controlled by the proponent and an opponent. If such a motion is 

adopted, the House shall proceed immediately to consider the joint resolution in accordance with paragraph (3). A motion to reconsider the vote by which the motion is disposed of shall not be in order. 

 (2) Proceeding to consideration.-- After the joint resolution has been referred to the appropriate calendar or the 

committee has been discharged (other than by motion) from its consideration, it shall be in order to move to proceed to 

consider the joint resolution in the House. Such a motion shall not be in order after the House has disposed of a motion 

to proceed with respect to the joint resolution. The previous question shall be considered as ordered on the motion to its 

adoption without intervening motion. A motion to reconsider the vote by which the motion is disposed of shall not be in 

order. 

 (3) Consideration.-- The joint resolution shall be considered as read. All points of order against the joint resolution and against its consideration are waived. The previous question shall be considered as ordered on the joint resolution to its passage without intervening motion except two hours of debate equally divided and controlled by the proponent and an opponent and one motion to limit debate on the joint resolution. A motion to reconsider the vote on passage 

of the joint resolution shall not be in order. 

(b) Senate Consideration.--(1) If the Senate receives a joint resolution described in section 201 from the House of 

Representatives, such joint resolution shall be referred to the appropriate committee of the Senate. If such committee 

has not reported the joint resolution at the close of the fifth session day after its receipt by the Senate, such committee 

shall be automatically discharged from further consideration of the joint resolution and it shall be placed on the appropriate calendar. 

 (2) Consideration of the joint resolution and on all debatable motions and appeals in connection therewith, shall 

be limited to not more than 20 hours, which shall be divided equally between the majority and minority leaders or their 

designees. A motion further to limit debate is in order and not debatable. An amendment to, or a motion to postpone, or 

a motion to proceed to the consideration of other business, or a motion to recommit the joint resolution is not in order. 

Any debatable motion or appeal is debatable for not to exceed 1 hour, to be divided equally between those favoring and 

those opposing the motion or appeal. All time used for consideration of the joint resolution, including time used for 

quorum calls and voting, shall be counted against the total 20 hours of consideration. 

 (3) If the Senate has voted to proceed to a joint resolution, the vote on passage of the joint resolution shall be 

taken on or before the close of the seventh session day after such joint resolution has been reported or discharged or 

immediately following the conclusion of consideration of the joint resolution, and a single quorum call at the conclusion 

of the debate if requested in accordance with the rules of the Senate. 

 

 TITLE III--DEBT CEILING DISAPPROVAL PROCESS 

 [*301] Sec. 301. DEBT CEILING DISAPPROVAL PROCESS. 

(a) In General.--Subchapter I of chapter 31 of subtitle III of title 31, United States Code, is amended--

 (1) in section 3101(b), by striking "or otherwise" and inserting "or as provided by section 3101A or otherwise"; 

and 

 (2) by inserting after section 3101 the following: 

"§ 3101A. Presidential modification of the debt ceiling 

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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

"(a) In General.--

 "(1) $ 900 billion.---- 

 "(A) Certification.--If, not later than December 31, 2011, the President submits a written certification to Congress that the President has determined that the debt subject to limit is within $ 100,000,000,000 of the limit in section 

3101(b) and that further borrowing is required to meet existing commitments, the Secretary of the Treasury may exercise authority to borrow an additional $ 900,000,000,000, subject to the enactment of a joint resolution of disapproval 

enacted pursuant to this section. Upon submission of such certification, the limit on debt provided in section 3101(b) 

(referred to in this section as the 'debt limit') is increased by $ 400,000,000,000. 

 "(B) Resolution of disapproval.--Congress may consider a joint resolution of disapproval of the authority under subparagraph (A) as provided in subsections (b) through (f). The joint resolution of disapproval considered under 

this section shall contain only the language provided in subsection (b)(2). If the time for disapproval has lapsed without 

enactment of a joint resolution of disapproval under this section, the debt limit is increased by an additional $ 

500,000,000,000. 

 "(2) Additional amount.---- 

 "(A) Certification.--If, after the debt limit is increased by $ 900,000,000,000 under paragraph (1), the President 

submits a written certification to Congress that the President has determined that the debt subject to limit is within $ 

100,000,000,000 of the limit in section 3101(b) and that further borrowing is required to meet existing commitments, 

the Secretary of the Treasury may, subject to the enactment of a joint resolution of disapproval enacted pursuant to this 

section, exercise authority to borrow an additional amount equal to--

 "(i) $ 1,200,000,000,000, unless clause (ii) or (iii) applies; 

 "(ii) $ 1,500,000,000,000 if the Archivist of the United States has submitted to the States for their ratification a proposed amendment to the Constitution of the United States pursuant to a joint resolution entitled 'Joint resolution proposing a balanced budget amendment to the Constitution of the United States'; or 

 "(iii) if a joint committee bill to achieve an amount greater than $ 1,200,000,000,000 in deficit reduction as 

provided in section 401(b)(3)(B)(i)(II) of the Budget Control Act of 2011 is enacted, an amount equal to the amount of 

that deficit reduction, but not greater than $ 1,500,000,000,000, unless clause (ii) applies. 

 "(B) Resolution of disapproval.--Congress may consider a joint resolution of disapproval of the authority under subparagraph (A) as provided in subsections (b) through (f). The joint resolution of disapproval considered under 

this section shall contain only the language provided in subsection (b)(2). If the time for disapproval has lapsed without 

enactment of a joint resolution of disapproval under this section, the debt limit is increased by the amount authorized 

under subparagraph (A). 

"(b) Joint Resolution of Disapproval.--

 "(1) In general.-- Except for the $ 400,000,000,000 increase in the debt limit provided by subsection (a)(1)(A), 

the debt limit may not be raised under this section if, within 50 calendar days after the date on which Congress receives 

a certification described in subsection (a)(1) or within 15 calendar days after Congress receives the certification described in subsection (a)(2) (regardless of whether Congress is in session), there is enacted into law a joint resolution 

disapproving the President's exercise of authority with respect to such additional amount. 

 "(2) Contents of joint resolution.-- For the purpose of this section, the term 'joint resolution' means only a joint 

resolution--"(A) 

 (i) for the certification described in subsection (a)(1), that is introduced on September 6, 7, 8, or 9, 2011 (or, 

if the Senate was not in session, the next calendar day on which the Senate is in session); and 

 "(ii) for the certification described in subsection (a)(2), that is introduced between the date the certification is 

received and 3 calendar days after that date; 

 "(B) which does not have a preamble; 

 "(C) the title of which is only as follows: 'Joint resolution relating to the disapproval of the President's exercise 

of authority to increase the debt limit, as submitted under section 3101A of title 31, United States Code, on 

G7XXXXXX' (with the blank containing the date of such submission); and 

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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 "(D) the matter after the resolving clause of which is only as follows: 'That Congress disapproves of the President's exercise of authority to increase the debt limit, as exercised pursuant to the certification under section 3101A(a) 

of title 31, United States Code.'. 

"(c) Expedited Consideration in House of Representatives.--

 "(1) Reconvening.-- Upon receipt of a certification described in subsection (a)(2), the Speaker, if the House 

would otherwise be adjourned, shall notify the Members of the House that, pursuant to this section, the House shall 

convene not later than the second calendar day after receipt of such certification. 

 "(2) Reporting and discharge.-- Any committee of the House of Representatives to which a joint resolution is 

referred shall report it to the House without amendment not later than 5 calendar days after the date of introduction of a 

joint resolution described in subsection (a). If a committee fails to report the joint resolution within that period, the 

committee shall be discharged from further consideration of the joint resolution and the joint resolution shall be referred 

to the appropriate calendar. 

 "(3) Proceeding to consideration.-- After each committee authorized to consider a joint resolution reports it to 

the House or has been discharged from its consideration, it shall be in order, not later than the sixth day after introduction of a joint resolution under subsection (a), to move to proceed to consider the joint resolution in the House. All 

points of order against the motion are waived. Such a motion shall not be in order after the House has disposed of a motion to proceed on a joint resolution addressing a particular submission. The previous question shall be considered as 

ordered on the motion to its adoption without intervening motion. The motion shall not be debatable. A motion to reconsider the vote by which the motion is disposed of shall not be in order. 

 "(4) Consideration.-- The joint resolution shall be considered as read. All points of order against the joint resolution and against its consideration are waived. The previous question shall be considered as ordered on the joint resolution to its passage without intervening motion except two hours of debate equally divided and controlled by the proponent and an opponent. A motion to reconsider the vote on passage of the joint resolution shall not be in order. 

"(d) Expedited Procedure in Senate.--

 "(1) Reconvening.-- Upon receipt of a certification under subsection (a)(2), if the Senate has adjourned or recessed for more than 2 days, the majority leader of the Senate, after consultation with the minority leader of the Senate, 

shall notify the Members of the Senate that, pursuant to this section, the Senate shall convene not later than the second 

calendar day after receipt of such message. 

 "(2) Placement on calendar.-- Upon introduction in the Senate, the joint resolution shall be immediately placed 

on the calendar. 

 "(3) Floor consideration.----

 "(A) In general.--Notwithstanding Rule XXII of the Standing Rules of the Senate, it is in order at any time 

during the period beginning on the day after the date on which Congress receives a certification under subsection (a) 

and, for the certification described in subsection (a)(1), ending on September 14, 2011, and for the certification described in subsection (a)(2), on the 6th day after the date on which Congress receives a certification under subsection (a) 

(even though a previous motion to the same effect has been disagreed to) to move to proceed to the consideration of the 

joint resolution, and all points of order against the joint resolution (and against consideration of the joint resolution) are 

waived. The motion to proceed is not debatable. The motion is not subject to a motion to postpone. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in order. If a motion to proceed to the consideration of the resolution is agreed to, the joint resolution shall remain the unfinished business until disposed of. 

 "(B) Consideration.--Consideration of the joint resolution, and on all debatable motions and appeals in connection therewith, shall be limited to not more than 10 hours, which shall be divided equally between the majority and 

minority leaders or their designees. A motion further to limit debate is in order and not debatable. An amendment to, or 

a motion to postpone, or a motion to proceed to the consideration of other business, or a motion to recommit the joint 

resolution is not in order. 

 "(C) Vote on passage.--If the Senate has voted to proceed to a joint resolution, the vote on passage of the joint 

resolution shall occur immediately following the conclusion of consideration of the joint resolution, and a single quorum call at the conclusion of the debate if requested in accordance with the rules of the Senate. 

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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 "(D) Rulings of the chair on procedure.--Appeals from the decisions of the Chair relating to the application of 

the rules of the Senate, as the case may be, to the procedure relating to a joint resolution shall be decided without debate. 

"(e) Amendment Not in Order.--A joint resolution of disapproval considered pursuant to this section shall not be 

subject to amendment in either the House of Representatives or the Senate. 

"(f) Coordination With Action by Other House.--

 "(1) In general.-- If, before passing the joint resolution, one House receives from the other a joint resolution--

 "(A) the joint resolution of the other House shall not be referred to a committee; and 

 "(B) the procedure in the receiving House shall be the same as if no joint resolution had been received from 

the other House until the vote on passage, when the joint resolution received from the other House shall supplant the 

joint resolution of the receiving House. 

 "(2) Treatment of joint resolution of other house.-- If the Senate fails to introduce or consider a joint resolution 

under this section, the joint resolution of the House shall be entitled to expedited floor procedures under this section. 

 "(3) Treatment of companion measures.-- If, following passage of the joint resolution in the Senate, the Senate 

then receives the companion measure from the House of Representatives, the companion measure shall not be debatable. 

 "(4) Consideration after passage.-- (A) If Congress passes a joint resolution, the period beginning on the date the 

President is presented with the joint resolution and ending on the date the President signs, allows to become law without 

his signature, or vetoes and returns the joint resolution (but excluding days when either House is not in session) shall be 

disregarded in computing the appropriate calendar day period described in subsection (b)(1). 

 "(B) Debate on a veto message in the Senate under this section shall be 1 hour equally divided between the 

majority and minority leaders or their designees. 

 "(5) Veto override.-- If within the appropriate calendar day period described in subsection (b)(1), Congress 

overrides a veto of the joint resolution with respect to authority exercised pursuant to paragraph (1) or (2) of subsection 

(a), the limit on debt provided in section 3101(b) shall not be raised, except for the $ 400,000,000,000 increase in the 

limit provided by subsection (a)(1)(A). 

 "(6) Sequestration.-- (A) If within the 50-calendar day period described in subsection (b)(1), the President signs 

the joint resolution, the President allows the joint resolution to become law without his signature, or Congress overrides 

a veto of the joint resolution with respect to authority exercised pursuant to paragraph (1) of subsection (a), there shall 

be a sequestration to reduce spending by $ 400,000,000,000. OMB shall implement the sequestration forthwith. 

 "(B) OMB shall implement each half of such sequestration in accordance with section 255, section 256, and 

subsections (c), (d), (e), and (f) of section 253 of the Balanced Budget and Emergency Deficit Control Act of 1985, and 

for the purpose of such implementation the term 'excess deficit' means the amount specified in subparagraph (A). 

"(g) Rules of House of Representatives and Senate.--This subsection and subsections (b), (c), (d), (e), and (f) (other 

than paragraph (6)) are enacted by Congress--

 "(1) as an exercise of the rulemaking power of the Senate and House of Representatives, respectively, and as 

such it is deemed a part of the rules of each House, respectively, but applicable only with respect to the procedure to be 

followed in that House in the case of a joint resolution, and it supersedes other rules only to the extent that it is inconsistent with such rules; and 

 "(2) with full recognition of the constitutional right of either House to change the rules (so far as relating to the 

procedure of that House) at any time, in the same manner, and to the same extent as in the case of any other rule of that 

House.". 

(b) Conforming Amendment.--The table of sections for chapter 31 of title 31, United States Code, is amended by 

inserting after the item relating to section 3101 the following new item: 

 "3101A. Presidential modification of the debt ceiling.". 

 [*302] Sec. 302. ENFORCEMENT OF BUDGET GOAL. 

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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

(a) In General.--The Balanced Budget and Emergency Deficit Control Act of 1985 is amended by inserting after 

section 251 the following new section: 

"Sec. 251A. <2 USC 901a> ENFORCEMENT OF BUDGET GOAL. 

"Unless a joint committee bill achieving an amount greater than $ 1,200,000,000,000 in deficit reduction as provided in section 401(b)(3)(B)(i)(II) of the Budget Control Act of 2011 is enacted by January 15, 2012, the discretionary 

spending limits listed in section 251(c) shall be revised, and discretionary appropriations and direct spending shall be 

reduced, as follows: 

 "(1) Revised security category; revised nonsecurity category.-- (A) The term 'revised security category' means 

discretionary appropriations in budget function 050. 

 "(B) The term 'revised nonsecurity category' means discretionary appropriations other than in budget function 

050.

 "(2) Revised discretionary spending limits.-- The discretionary spending limits for fiscal years 2013 through 

2021 under section 251(c) shall be replaced with the following: 

 "(A) For fiscal year 2013--

 "(i) for the security category, $ 546,000,000,000 in budget authority; and 

 "(ii) for the nonsecurity category, $ 501,000,000,000 in budget authority. 

 "(B) For fiscal year 2014--

 "(i) for the security category, $ 556,000,000,000 in budget authority; and 

 "(ii) for the nonsecurity category, $ 510,000,000,000 in budget authority. 

 "(C) For fiscal year 2015--

 "(i) for the security category, $ 566,000,000,000 in budget authority; and 

 "(ii) for the nonsecurity category, $ 520,000,000,000 in budget authority. 

 "(D) For fiscal year 2016--

 "(i) for the security category, $ 577,000,000,000 in budget authority; and 

 "(ii) for the nonsecurity category, $ 530,000,000,000 in budget authority. 

 "(E) For fiscal year 2017--

 "(i) for the security category, $ 590,000,000,000 in budget authority; and 

 "(ii) for the nonsecurity category, $ 541,000,000,000 in budget authority. 

 "(F) For fiscal year 2018--

 "(i) for the security category, $ 603,000,000,000 in budget authority; and 

 "(ii) for the nonsecurity category, $ 553,000,000,000 in budget authority. 

 "(G) For fiscal year 2019--

 "(i) for the security category, $ 616,000,000,000 in budget authority; and 

 "(ii) for the nonsecurity category, $ 566,000,000,000 in budget authority. 

 "(H) For fiscal year 2020--

 "(i) for the security category, $ 630,000,000,000 in budget authority; and 

 "(ii) for the nonsecurity category, $ 578,000,000,000 in budget authority. 

 "(I) For fiscal year 2021--

 "(i) for the security category, $ 644,000,000,000 in budget authority; and 

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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 "(ii) for the nonsecurity category, $ 590,000,000,000 in budget authority. 

 "(3) Calculation of total deficit reduction.-- OMB shall calculate the amount of the deficit reduction required by 

this section for each of fiscal years 2013 through 2021 by--

 "(A) starting with $ 1,200,000,000,000; 

 "(B) subtracting the amount of deficit reduction achieved by the enactment of a joint committee bill, as provided in section 401(b)(3)(B)(i)(II) of the Budget Control Act of 2011; 

 "(C) reducing the difference by 18 percent to account for debt service; and 

 "(D) dividing the result by 9. 

 "(4) Allocation to functions.-- On January 2, 2013, for fiscal year 2013, and in its sequestration preview report 

for fiscal years 2014 through 2021 pursuant to section 254(c), OMB shall allocate half of the total reduction calculated 

pursuant to paragraph (3) for that year to discretionary appropriations and direct spending accounts within function 050 

(defense function) and half to accounts in all other functions (nondefense functions). 

 "(5) Defense function reduction.-- OMB shall calculate the reductions to discretionary appropriations and direct 

spending for each of fiscal years 2013 through 2021 for defense function spending as follows: 

 "(A) Discretionary.--OMB shall calculate the reduction to discretionary appropriations by--

 "(i) taking the total reduction for the defense function allocated for that year under paragraph (4); 

 "(ii) multiplying by the discretionary spending limit for the revised security category for that year; and 

 "(iii) dividing by the sum of the discretionary spending limit for the security category and OMB's baseline 

estimate of nonexempt outlays for direct spending programs within the defense function for that year. 

 "(B) Direct spending.--OMB shall calculate the reduction to direct spending by taking the total reduction for 

the defense function required for that year under paragraph (4) and subtracting the discretionary reduction calculated 

pursuant to subparagraph (A). 

 "(6) Nondefense function reduction.-- OMB shall calculate the reduction to discretionary appropriations and to 

direct spending for each of fiscal years 2013 through 2021 for programs in nondefense functions as follows: 

 "(A) Discretionary.--OMB shall calculate the reduction to discretionary appropriations by--

 "(i) taking the total reduction for nondefense functions allocated for that year under paragraph (4); 

 "(ii) multiplying by the discretionary spending limit for the revised nonsecurity category for that year; and 

 "(iii) dividing by the sum of the discretionary spending limit for the revised nonsecurity category and OMB's 

baseline estimate of nonexempt outlays for direct spending programs in nondefense functions for that year. 

 "(B) Direct spending.--OMB shall calculate the reduction to direct spending programs by taking the total reduction for nondefense functions required for that year under paragraph (4) and subtracting the discretionary reduction 

calculated pursuant to subparagraph (A). 

 "(7) Implementing discretionary reductions.----

 "(A) Fiscal year 2013.--On January 2, 2013, for fiscal year 2013, OMB shall calculate and the President shall 

order a sequestration, effective upon issuance and under the procedures set forth in section 253(f), to reduce each account within the security category or nonsecurity category by a dollar amount calculated by multiplying the baseline 

level of budgetary resources in that account at that time by a uniform percentage necessary to achieve--

 "(i) for the revised security category, an amount equal to the defense function discretionary reduction calculated pursuant to paragraph (5); and 

 "(ii) for the revised nonsecurity category, an amount equal to the nondefense function discretionary reduction calculated pursuant to paragraph (6). 

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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 "(B) Fiscal years 2014-2021.--On the date of the submission of its sequestration preview report for fiscal years 

2014 through 2021 pursuant to section 254(c) for each of fiscal years 2014 through 2021, OMB shall reduce the discretionary spending limit--

 "(i) for the revised security category by the amount of the defense function discretionary reduction calculated pursuant to paragraph (5); and 

 "(ii) for the revised nonsecurity category by the amount of the nondefense function discretionary reduction 

calculated pursuant to paragraph (6). 

 "(8) Implementing direct spending reductions.-- On the date specified in paragraph (4) during each applicable 

year, OMB shall prepare and the President shall order a sequestration, effective upon issuance, of nonexempt direct 

spending to achieve the direct spending reduction calculated pursuant to paragraphs (5) and (6). When implementing the 

sequestration of direct spending pursuant to this paragraph, OMB shall follow the procedures specified in section 6 of 

the Statutory Pay-As-You-Go Act of 2010, the exemptions specified in section 255, and the special rules specified in 

section 256, except that the percentage reduction for the Medicare programs specified in section 256(d) shall not be 

more than 2 percent for a fiscal year. 

 "(9) Adjustment for medicare.-- If the percentage reduction for the Medicare programs would exceed 2 percent 

for a fiscal year in the absence of paragraph (8), OMB shall increase the reduction for all other discretionary appropriations and direct spending under paragraph (6) by a uniform percentage to a level sufficient to achieve the reduction required by paragraph (6) in the non-defense function. 

 "(10) Implementation of reductions.-- Any reductions imposed under this section shall be implemented in accordance with section 256(k). 

 "(11) Report.-- On the dates specified in paragraph (4), OMB shall submit a report to Congress containing information about the calculations required under this section, the adjusted discretionary spending limits, a listing of the 

reductions required for each nonexempt direct spending account, and any other data and explanations that enhance public understanding of this title and actions taken under it.". 

(b) Conforming Amendment.--The table of contents set forth in section 250(a) of the Balanced Budget and Emergency Deficit Control Act of 1985 is amended by inserting after the item relating to section 251 the following: 

 "Sec. 251A. Enforcement of budget goal.". 

 

 TITLE IV--JOINT SELECT COMMITTEE ON DEFICIT REDUCTION 

 [*401] Sec. 401. ESTABLISHMENT OF JOINT SELECT COMMITTEE. <2 USC 900 note> 

(a) Definitions.--In this title: 

 (1) Joint committee.-- The term "joint committee" means the Joint Select Committee on Deficit Reduction established under subsection (b)(1). 

 (2) Joint committee bill.-- The term "joint committee bill" means a bill consisting of the proposed legislative 

language of the joint committee recommended under subsection (b)(3)(B) and introduced under section 402(a). 

(b) Establishment of Joint Select Committee.--

 (1) Establishment.-- There is established a joint select committee of Congress to be known as the "Joint Select 

Committee on Deficit Reduction". 

 (2) Goal.-- The goal of the joint committee shall be to reduce the deficit by at least $ 1,500,000,000,000 over the 

period of fiscal years 2012 to 2021. 

 (3) Duties.----

 (A) In general.--

 (i) Improving the short-term and long-term fiscal imbalance.--The joint committee shall provide recommendations and legislative language that will significantly improve the short-term and long-term fiscal imbalance of the 

Federal Government. 

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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 (ii) Recommendations of committees.--Not later than October 14, 2011, each committee of the House of 

Representatives and the Senate may transmit to the joint committee its recommendations for changes in law to reduce 

the deficit consistent with the goal described in paragraph (2) for the joint committee's consideration. 

 (B) Report, recommendations, and legislative language.--

 (i) In general.--Not later than November 23, 2011, the joint committee shall vote on--

 (I) a report that contains a detailed statement of the findings, conclusions, and recommendations of the 

joint committee and the estimate of the Congressional Budget Office required by paragraph (5)(D)(ii); and 

 (II) proposed legislative language to carry out such recommendations as described in subclause (I), which 

shall include a statement of the deficit reduction achieved by the legislation over the period of fiscal years 2012 to 2021. 

Any change to the Rules of the House of Representatives or the Standing Rules of the Senate included in the report or 

legislative language shall be considered to be merely advisory. 

 (ii) Approval of report and legislative language.--The report of the joint committee and the proposed legislative language described in clause (i) shall require the approval of a majority of the members of the joint committee. 

 (iii) Additional views.--A member of the joint committee who gives notice of an intention to file supplemental, minority, or additional views at the time of final joint committee vote on the approval of the report and legislative language under clause (ii) shall be entitled to 3 calendar days in which to file such views in writing with the staff 

director of the joint committee. Such views shall then be included in the joint committee report and printed in the same 

volume, or part thereof, and their inclusion shall be noted on the cover of the report. In the absence of timely notice, the 

joint committee report may be printed and transmitted immediately without such views. 

 (iv) Transmission of report and legislative language.--If the report and legislative language are approved by 

the joint committee pursuant to clause (ii), then not later than December 2, 2011, the joint committee shall submit the 

joint committee report and legislative language described in clause (i) to the President, the Vice President, the Speaker 

of the House of Representatives, and the majority and minority Leaders of each House of Congress. 

 (v) Report and legislative language to be made public.--Upon the approval or disapproval of the joint committee report and legislative language pursuant to clause (ii), the joint committee shall promptly make the full report and 

legislative language, and a record of the vote, available to the public. 

 (4) Membership.---- 

 (A) In general.--The joint committee shall be composed of 12 members appointed pursuant to subparagraph 

(B). 

 (B) Appointment.--Members of the joint committee shall be appointed as follows: 

 (i) The majority leader of the Senate shall appoint three members from among Members of the Senate. 

 (ii) The minority leader of the Senate shall appoint three members from among Members of the Senate. 

 (iii) The Speaker of the House of Representatives shall appoint three members from among Members of the 

House of Representatives. 

 (iv) The minority leader of the House of Representatives shall appoint three members from among Members 

of the House of Representatives. 

 (C) Co-chairs.--

 (i) In general.--There shall be two Co-Chairs of the joint committee. The majority leader of the Senate shall 

appoint one Co-Chair from among the members of the joint committee. The Speaker of the House of Representatives 

shall appoint the second Co-Chair from among the members of the joint committee. The Co-Chairs shall be appointed 

not later than 14 calendar days after the date of enactment of this Act. 

 (ii) Staff director.--The Co-Chairs, acting jointly, shall hire the staff director of the joint committee. 

 (D) Date.--Members of the joint committee shall be appointed not later than 14 calendar days after the date of 

enactment of this Act. 

283 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 (E) Period of appointment.--Members shall be appointed for the life of the joint committee. Any vacancy in 

the joint committee shall not affect its powers, but shall be filled not later than 14 calendar days after the date on which 

the vacancy occurs, in the same manner as the original designation was made. If a member of the joint committee ceases 

to be a Member of the House of Representatives or the Senate, as the case may be, the member is no longer a member 

of the joint committee and a vacancy shall exist. 

 (5) Administration.----

 (A) In general.--To enable the joint committee to exercise its powers, functions, and duties, there are authorized to be disbursed by the Senate the actual and necessary expenses of the joint committee approved by the co-chairs, 

subject to the rules and regulations of the Senate. 

 (B) Expenses.--In carrying out its functions, the joint committee is authorized to incur expenses in the same 

manner and under the same conditions as the Joint Economic Committee is authorized by section 11 of Public Law 

79-304 (15 U.S.C. 1024 (d)). 

 (C) Quorum.--Seven members of the joint committee shall constitute a quorum for purposes of voting, meeting, and holding hearings. 

 (D) Voting.--

 (i) Proxy voting.--No proxy voting shall be allowed on behalf of the members of the joint committee. 

 (ii) Congressional budget office estimates.--The Congressional Budget Office shall provide estimates of the 

legislation (as described in paragraph (3)(B)) in accordance with sections 308(a) and 201(f) of the Congressional Budget Act of 1974 (2 U.S.C. 639(a) and 601(f))(including estimates of the effect of interest payment on the debt). In addition, the Congressional Budget Office shall provide information on the budgetary effect of the legislation beyond the 

year 2021. The joint committee may not vote on any version of the report, recommendations, or legislative language 

unless such estimates are available for consideration by all members of the joint committee at least 48 hours prior to the 

vote as certified by the Co-Chairs. 

 (E) Meetings.--

 (i) Initial meeting.--Not later than 45 calendar days after the date of enactment of this Act, the joint committee shall hold its first meeting. 

 (ii) Agenda.--The Co-Chairs of the joint committee shall provide an agenda to the joint committee members 

not less than 48 hours in advance of any meeting. 

 (F) Hearings.--

 (i) In general.--The joint committee may, for the purpose of carrying out this section, hold such hearings, sit 

and act at such times and places, require attendance of witnesses and production of books, papers, and documents, take 

such testimony, receive such evidence, and administer such oaths as the joint committee considers advisable. 

 (ii) Hearing procedures and responsibilities of co-chairs.--

 (I) Announcement.--The Co-Chairs of the joint committee shall make a public announcement of the date, 

place, time, and subject matter of any hearing to be conducted, not less than 7 days in advance of such hearing, unless 

the Co-Chairs determine that there is good cause to begin such hearing at an earlier date. 

 (II) Written statement.--A witness appearing before the joint committee shall file a written statement of 

proposed testimony at least 2 calendar days before the appearance of the witness, unless the requirement is waived by 

the Co-Chairs, following their determination that there is good cause for failure to comply with such requirement. 

 (G) Technical assistance.--Upon written request of the Co-Chairs, a Federal agency shall provide technical assistance to the joint committee in order for the joint committee to carry out its duties. 

(c) Staff of Joint Committee.--

 (1) In general.-- The Co-Chairs of the joint committee may jointly appoint and fix the compensation of staff as 

they deem necessary, within the guidelines for employees of the Senate and following all applicable rules and employment requirements of the Senate. 

284 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 (2) Ethical standards.-- Members on the joint committee who serve in the House of Representatives shall be 

governed by the ethics rules and requirements of the House. Members of the Senate who serve on the joint committee 

and staff of the joint committee shall comply with the ethics rules of the Senate. 

 (d) Termination.--The joint committee shall terminate on January 31, 2012. 

 [*402] Sec. 402. EXPEDITED CONSIDERATION OF JOINT COMMITTEE RECOMMENDATIONS. <2 

USC 900 note> 

(a) Introduction.--If approved by the majority required by section 401(b)(3)(B)(ii), the proposed legislative language submitted pursuant to section 401(b)(3)(B)(iv) shall be introduced in the Senate (by request) on the next day on 

which the Senate is in session by the majority leader of the Senate or by a Member of the Senate designated by the majority leader of the Senate and shall be introduced in the House of Representatives (by request) on the next legislative 

day by the majority leader of the House or by a Member of the House designated by the majority leader of the House. 

(b) Consideration in the House of Representatives.--

 (1) Referral and reporting.-- Any committee of the House of Representatives to which the joint committee bill is 

referred shall report it to the House without amendment not later than December 9, 2011. If a committee fails to report 

the joint committee bill within that period, it shall be in order to move that the House discharge the committee from 

further consideration of the bill. Such a motion shall not be in order after the last committee authorized to consider the 

bill reports it to the House or after the House has disposed of a motion to discharge the bill. The previous question shall 

be considered as ordered on the motion to its adoption without intervening motion except 20 minutes of debate equally 

divided and controlled by the proponent and an opponent. If such a motion is adopted, the House shall proceed immediately to consider the joint committee bill in accordance with paragraphs (2) and (3). A motion to reconsider the vote by 

which the motion is disposed of shall not be in order. 

 (2) Proceeding to consideration.-- After the last committee authorized to consider a joint committee bill reports it 

to the House or has been discharged (other than by motion) from its consideration, it shall be in order to move to proceed to consider the joint committee bill in the House. Such a motion shall not be in order after the House has disposed 

of a motion to proceed with respect to the joint committee bill. The previous question shall be considered as ordered on 

the motion to its adoption without intervening motion. A motion to reconsider the vote by which the motion is disposed 

of shall not be in order. 

 (3) Consideration.-- The joint committee bill shall be considered as read. All points of order against the joint 

committee bill and against its consideration are waived. The previous question shall be considered as ordered on the 

joint committee bill to its passage without intervening motion except 2 hours of debate equally divided and controlled 

by the proponent and an opponent and one motion to limit debate on the joint committee bill. A motion to reconsider the 

vote on passage of the joint committee bill shall not be in order. 

 (4) Vote on passage.-- The vote on passage of the joint committee bill shall occur not later than December 23, 

2011.

(c) Expedited Procedure in the Senate.--

 (1) Committee consideration.-- A joint committee bill introduced in the Senate under subsection (a) shall be 

jointly referred to the committee or committees of jurisdiction, which committees shall report the bill without any revision and with a favorable recommendation, an unfavorable recommendation, or without recommendation, not later than 

December 9, 2011. If any committee fails to report the bill within that period, that committee shall be automatically 

discharged from consideration of the bill, and the bill shall be placed on the appropriate calendar. 

 (2) Motion to proceed.-- Notwithstanding Rule XXII of the Standing Rules of the Senate, it is in order, not later 

than 2 days of session after the date on which a joint committee bill is reported or discharged from all committees to 

which it was referred, for the majority leader of the Senate or the majority leader's designee to move to proceed to the 

consideration of the joint committee bill. It shall also be in order for any Member of the Senate to move to proceed to 

the consideration of the joint committee bill at any time after the conclusion of such 2-day period. A motion to proceed 

is in order even though a previous motion to the same effect has been disagreed to. All points of order against the motion to proceed to the joint committee bill are waived. The motion to proceed is not debatable. The motion is not subject 

to a motion to postpone. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in 

285 DCMA Administrative Record for FY 2013 Furlough Appeals
Page 19

112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

order. If a motion to proceed to the consideration of the joint committee bill is agreed to, the joint committee bill shall 

remain the unfinished business until disposed of. 

 (3) Consideration.-- All points of order against the joint committee bill and against consideration of the joint 

committee bill are waived. Consideration of the joint committee bill and of all debatable motions and appeals in connection therewith shall not exceed a total of 30 hours which shall be divided equally between the Majority and Minority 

Leaders or their designees. A motion further to limit debate on the joint committee bill is in order, shall require an affirmative vote of three-fifths of the Members duly chosen and sworn, and is not debatable. Any debatable motion or 

appeal is debatable for not to exceed 1 hour, to be divided equally between those favoring and those opposing the motion or appeal. All time used for consideration of the joint committee bill, including time used for quorum calls and voting, shall be counted against the total 30 hours of consideration. 

 (4) No amendments.-- An amendment to the joint committee bill, or a motion to postpone, or a motion to proceed to the consideration of other business, or a motion to recommit the joint committee bill, is not in order. 

 (5) Vote on passage.-- If the Senate has voted to proceed to the joint committee bill, the vote on passage of the 

joint committee bill shall occur immediately following the conclusion of the debate on a joint committee bill, and a single quorum call at the conclusion of the debate if requested. The vote on passage of the joint committee bill shall occur 

not later than December 23, 2011. 

 (6) Rulings of the chair on procedure.-- Appeals from the decisions of the Chair relating to the application of the 

rules of the Senate, as the case may be, to the procedure relating to a joint committee bill shall be decided without debate. 

(d) Amendment.--The joint committee bill shall not be subject to amendment in either the House of Representatives 

or the Senate. 

(e) Consideration by the Other House.--

 (1) In general.-- If, before passing the joint committee bill, one House receives from the other a joint committee 

bill--

 (A) the joint committee bill of the other House shall not be referred to a committee; and 

 (B) the procedure in the receiving House shall be the same as if no joint committee bill had been received from 

the other House until the vote on passage, when the joint committee bill received from the other House shall supplant 

the joint committee bill of the receiving House. 

 (2) Revenue measure.-- This subsection shall not apply to the House of Representatives if the joint committee 

bill received from the Senate is a revenue measure. 

(f) Rules to Coordinate Action With Other House.--

 (1) Treatment of joint committee bill of other house.-- If the Senate fails to introduce or consider a joint committee bill under this section, the joint committee bill of the House shall be entitled to expedited floor procedures under 

this section. 

 (2) Treatment of companion measures in the senate.-- If following passage of the joint committee bill in the 

Senate, the Senate then receives the joint committee bill from the House of Representatives, the House-passed joint 

committee bill shall not be debatable. The vote on passage of the joint committee bill in the Senate shall be considered 

to be the vote on passage of the joint committee bill received from the House of Representatives. 

 (3) Vetoes.-- If the President vetoes the joint committee bill, debate on a veto message in the Senate under this 

section shall be 1 hour equally divided between the majority and minority leaders or their designees. 

(g) Loss of Privilege.--The provisions of this section shall cease to apply to the joint committee bill if--

 (1) the joint committee fails to vote on the report or proposed legislative language required under section 

401(b)(3)(B)(i) not later than November 23, 2011; or 

 (2) the joint committee bill does not pass both Houses not later than December 23, 2011. 

 [*403] Sec. 403. FUNDING. <2 USC 900 note> 

286 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

Funding for the joint committee shall be derived in equal portions from--

 (1) the applicable accounts of the House of Representatives; and 

 (2) the contingent fund of the Senate from the appropriations account "Miscellaneous Items", subject to the rules 

and regulations of the Senate. 

 [*404] Sec. 404. RULEMAKING. <2 USC 900 note> 

The provisions of this title are enacted by Congress--

 (1) as an exercise of the rulemaking power of the House of Representatives and the Senate, respectively, and as 

such they shall be considered as part of the rules of each House, respectively, or of that House to which they specifically 

apply, and such rules shall supersede other rules only to the extent that they are inconsistent therewith; and 

 (2) with full recognition of the constitutional right of either House to change such rules (so far as relating to such 

House) at any time, in the same manner, and to the same extent as in the case of any other rule of such House. 

 

 TITLE V--PELL GRANT AND STUDENT LOAN PROGRAM CHANGES 

 [*501] Sec. 501. FEDERAL PELL GRANTS. 

Section 401(b)(7)(A)(iv) of the Higher Education Act of 1965 (20 U.S.C. 1070a(b)(7)(A)(iv)) is amended--

 (1) in subclause (II), by striking "$ 3,183,000,000" and inserting "$ 13,183,000,000"; and 

 (2) in subclause (III), by striking "$ 0" and inserting "$ 7,000,000,000". 

 [*502] Sec. 502. TERMINATION OF AUTHORITY TO MAKE INTEREST SUBSIDIZED LOANS TO 

GRADUATE AND PROFESSIONAL STUDENTS. 

Section 455(a) of the Higher Education Act of 1965 (20 U.S.C. 1087e(a)) is amended by adding at the end the following new paragraph: 

 "(3) Termination of authority to make interest subsidized loans to graduate and professional students.---- 

 "(A) In general.--Subject to subparagraph (B) and notwithstanding any provision of this part or part B, for any 

period of instruction beginning on or after July 1, 2012--

 "(i) a graduate or professional student shall not be eligible to receive a Federal Direct Stafford loan under 

this part; and 

 "(ii) the maximum annual amount of Federal Direct Unsubsidized Stafford loans such a student may borrow 

in any academic year (as defined in section 481(a)(2)) or its equivalent shall be the maximum annual amount for such 

student determined under section 428H, plus an amount equal to the amount of Federal Direct Stafford loans the student 

would have received in the absence of this subparagraph. 

 "(B) Exception.--Subparagraph (A) shall not apply to an individual enrolled in course work specified in paragraph (3)(B) or (4)(B) of section 484(b).". 

 [*503] Sec. 503. TERMINATION OF DIRECT LOAN REPAYMENT INCENTIVES. 

Section 455(b)(8) of the Higher Education Act of 1965 (20 U.S.C. 1087e(b)(8)) is amended--

 (1) in subparagraph (A)--

 (A) by amending the header to read as follows: "(A) Incentives for loans disbursed before july 1, 2012.--"; and 

 (B) by inserting "with respect to loans for which the first disbursement of principal is made before July 1, 

2012," after "of this part"; 

 (2) in subparagraph (B), by inserting "with respect to loans for which the first disbursement of principal is made 

before July 1, 2012" after "repayment incentives"; and 

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

287 DCMA Administrative Record for FY 2013 Furlough Appeals
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112 P.L. 25, *; 125 Stat. 240; 

2011 Enacted S. 365; 112 Enacted S. 365 

 "(C) No repayment incentives for new loans disbursed on or after july 1, 2012.--Notwithstanding any other 

provision of this part, the Secretary is prohibited from authorizing or providing any repayment incentive not otherwise 

authorized under this part to encourage on-time repayment of a loan under this part for which the first disbursement of 

principal is made on or after July 1, 2012, including any reduction in the interest or origination fee rate paid by a borrower of such a loan, except that the Secretary may provide for an interest rate reduction for a borrower who agrees to 

have payments on such a loan automatically electronically debited from a bank account.". 

 [*504] Sec. 504. INAPPLICABILITY OF TITLE IV NEGOTIATED RULEMAKING <20 USC 1089 note> 

AND MASTER CALENDAR EXCEPTION. 

Sections 482(c) and 492 of the Higher Education Act of 1965 (20 U.S.C. 1089(c), 1098a) shall not apply to the 

amendments made by this title, or to any regulations promulgated under those amendments. 

 

Speaker of the House of Representatives. 

Vice President of the United States and President of the Senate. 

DESCRIPTORS: BALANCED BUDGET AND EMERGENCY DEFICIT CONTROL ACT; BUDGET CONTROL 

ACT; BUDGET OF THE U.S.; COMMITTEE ON DEFICIT REDUCTION, SELECT. JOINT; CONGRESS; CONGRESSIONAL BUDGET ACT; CONGRESSIONAL BUDGET AND IMPOUNDMENT CONTROL ACT; CONGRESSIONAL-EXECUTIVE RELATIONS; CONSTITUTIONAL AMENDMENTS; DEPARTMENT OF TREASURY; GOVERNMENT SPENDING; HIGHER EDUCATION ACT; OFFICE OF MANAGEMENT AND BUDGET; 

PELL GRANT PROGRAM; PUBLIC DEBT; PUBLIC DEBT; SEQUESTRATION OF APPROPRIATED FUNDS; 

STUDENT AID; 112 PL 25 

288 DCMA Administrative Record for FY 2013 Furlough Appeals
Department of Defense 

INSTRUCTION 

NUMBER 1100.22

April 12, 2010 

USD(P&R) USD(P&R) 

SUBJECT: Policy and Procedures for Determining Workforce Mix 

References: See Enclosure 1 

1. PURPOSE. In accordance with the authority in DoD Directive 5124.02 (Reference (a)), this 

Instruction: 

 a. Establishes policy, assigns responsibilities, and prescribes procedures for determining the 

appropriate mix of manpower (military and DoD civilian) and private sector support. 

 b. Implements policy established in DoD Directive 1100.4 (Reference (b). 

 c. Incorporates and cancels DoD Instruction 3020.37 (Reference (c)). 

 d. Provides manpower mix criteria and guidance for risk assessments to be used to identify 

and justify activities that are inherently governmental (IG); commercial (exempt from private 

sector performance); and commercial (subject to private sector performance). 

 e. Reconciles and consolidates the definitions and examples of IG from section 306 of title 5, 

United States Code (U.S.C.) (Reference (d)); sections 501 (note), 1115, and 1116 of title 31, 

U.S.C. (Reference (e)); Attachment A of Office of Management and Budget (OMB) Circular A76 (Reference (f)); and Subparts 2 and 7.503(c) of the Federal Acquisition Regulation (Reference 

(g)) into a set of criteria for Defense-wide use. 

 f. Implements aspects of sections 113, 118(b), 129a, and 2463 of title 10, U.S.C. (Reference 

(h)). 

 g. Reissues and cancels DoD Instruction 1100.22 (Reference (i)). 

2. APPLICABILITY. This Instruction applies to OSD, the Military Departments, the Office of 

the Chairman of the Joint Chiefs of Staff and the Joint Staff, the Combatant Commands, the 

Office of the Inspector General of the Department of Defense, the Defense Agencies, the DoD 

Field Activities, and all other organizational entities within the Department of Defense (hereafter 

referred to collectively as the “DoD Components”). 

289 DCMA Administrative Record for FY 2013 Furlough Appeals
3. DEFINITIONS. See Glossary. 

4. POLICY. It is DoD policy that: 

 a. Consistent with Reference (a) and section 118(b) of Reference (h), the workforce of the 

Department of Defense shall be established to successfully execute Defense missions at a low to 

moderate level of risk. Accordingly, risk mitigation shall take precedence over cost savings 

when necessary to maintain appropriate control of Government operations and missions. 

Consistent with Reference (a) and section 113 of Reference (h), the Defense workforce shall 

have sufficient flexibility to reconstitute or expand the capabilities of the Military Services on 

short notice to meet a resurgent or increased threat to U.S. national security. Accordingly, risk 

mitigation shall take precedence over cost savings when necessary to maintain core capabilities 

and readiness. 

 b. The Department shall provide ready forces. Accordingly, the peacetime workforce shall 

be structured with sufficient manpower to satisfy projected mobilization and crisis demands that 

cannot be met in sufficient time by mobilizing, hiring, recruiting, or reassigning DoD personnel 

or contracting for additional support. 

 c. Functions that are IG cannot be legally contracted. The Manpower Mix Criteria codes in 

this Instruction reconcile and consolidate definitions and examples for what is IG from 

References (d) through (g) and shall serve as the DoD standard for determining what is IG. 

Functions that are IG shall be designated for DoD civilian or military performance consistent 

with the criteria. 

 d. Functions that are not IG are commercial in nature. Commercial activities (CAs) that are 

exempted from private sector performance by law, Executive Order (E.o.), treaty, or 

international agreement (IA) shall be designated for DoD civilian or military performance. 

Consistent with Reference (a) and section 129a of Reference (h), CAs shall be exempted from 

private sector performance and designated for DoD civilian or military performance, as 

necessary, to provide for the readiness and workforce management needs of the Department - 

i.e., functions shall be exempted from private sector performance to mitigate operational risk and 

to provide sufficient personnel for wartime assignments, overseas or sea-to-shore rotation, career 

development, continuity of operations, and esprit de corps. 

 e. Consistent with sections 129a and 2463 of Reference (h) and with Deputy Secretary of 

Defense memorandum (Reference (j)), even if a function is not IG or exempted from private 

sector performance, it shall be designated for DoD civilian performance (subject to paragraph 

4.g. of this section) unless an approved analysis for either of the following exceptions has been 

addressed consistent with the DoD Component’s regulatory guidelines: 

 (1) A cost comparison required by Reference (j), or a public-private competition required 

by Reference (f), shows that DoD civilian personnel are not the low-cost provider. 

290 DCMA Administrative Record for FY 2013 Furlough Appeals
 (2) There is a legal, regulatory, or procedural impediment to using DoD civilian 

personnel. This shall include determinations by Human Resource (HR) officials that DoD 

civilians cannot be hired, hired in time, or retained to perform the work. 

 f. Consistent with Reference (a), manpower shall be designated as civilian except when one 

or more of the following conditions apply: 

 (1) Military-unique knowledge and skills are required for performance of the duties. 

 (2) Military incumbency is required by law, E.o., treaty, or IA. 

 (3) Military performance is required for command and control, risk mitigation, or esprit 

de corps. 

 (4) Military manpower is needed to provide for overseas and sea-to-shore rotation, career 

development, or wartime assignments. 

 (5) Unusual working conditions or costs are not conducive to civilian employment. 

 g. Consistent with DoD Instruction 1400.25, Volume 250 (Reference (k)), Civilian Strategic 

Human Capital Plans shall provide for the development of a DoD civilian workforce with 

competencies needed to meet missions requirements. 

5. RESPONSIBILITIES. See Enclosure 2. 

6. PROCEDURES. See Enclosure 3. 

7. RELEASABILITY. UNLIMITED. This Instruction is approved for public release and is 

available on the Internet from the DoD Issuances Website at http://www.dtic.mil/whs/directives. 

8. EFFECTIVE DATE. This Instruction is effective immediately. 

 

Enclosures 

 1. References 

291 DCMA Administrative Record for FY 2013 Furlough Appeals
DoDI 1100.22, April 12, 2010 

4

 2. Responsibilities 

 3. Procedures 

 4. Manpower Mix Criteria 

5. Guidance for Risk Assessments 

 Glossary 

292 DCMA Administrative Record for FY 2013 Furlough Appeals
TABLE OF CONTENTS

ENCLOSURE 1: REFERENCES ...................................................................................................7 

ENCLOSURE 2: RESPONSIBILITIES .........................................................................................9 

 UNDER SECRETARY OF DEFENSE FOR PERSONNEL AND READINESS 

 (USD(P&R))............................................................................... ...............9 

 USD(AT&L) ..............................................................................................................................9 

 UNDER SECRETARY OF DEFENSE FOR INTELLIGENCE (USD(I)) ...............................9 

 HEADS OF THE DoD COMPONENTS ................................................................................10 

 CHAIRMAN OF THE JOINT CHIEFS OF STAFF ...............................................................11 

 COMMANDERS OF THE COMBATANT COMMANDS (CCDRs). ..................................11 

ENCLOSURE 3: PROCEDURES ................................................................................................12 

 WORKFORCE MIX DECISION PROCESS ..........................................................................12 

 IG FUNCTIONS AND ACTIVITIES CLOSELY ASSOCIATED WITH IG 

 FUNCTIONS .....................................................................................................................14 

 PERSONAL SERVICES .........................................................................................................14 

 PERSONNEL SHORTFALLS ................................................................................................15 

 COST AS A DECIDING FACTOR IN WORKFORCE MIX DECISIONS ..........................15 

 NON-AVAILABILITY OF DoD CIVILIAN EMPLOYEES .................................................15 

 ORDER OF PRECEDENCE FOR CODING MANPOWER IN DOD MANPOWER 

 DATABASES ....................................................................................................................15 

 CODING MILITARY-TO-CIVILIAN AND CIVILIAN-TO-MILITARY 

 CONVERSIONS................................................................................................................16 

 CODING MILITARY MANPOWER LOCATED IN ACTIVITIES OUTSIDE THE 

 MILITARY DEPARTMENTS ..........................................................................................16 

ENCLOSURE 4: MANPOWER MIX CRITERIA ......................................................................17 

 

 CRITERION A - DIRECTION AND CONTROL OF COMBAT/CRISIS SITUATIONS....17 

CRITERION B - EXEMPTION OF COMBAT SUPPORT (CS) AND COMBAT 

 SERVICE SUPPORT (CSS) DUE TO OPERATIONAL RISK .......................................24 

 CRITERION D - EXEMPTION OF MANPOWER DUAL-TASKED FOR 

 WARTIME ASSIGNMENTS ...........................................................................................26 

 CRITERION E - DoD CIVILIAN AUTHORITY, DIRECTION, AND CONTROL ............27 

 CRITERION F - MILITARY-UNIQUE KNOWLEDGE AND SKILLS ...............................33 

 CRITERION G - EXEMPTION FOR ESPRIT DE CORPS ...................................................37 

 CRITERION H - EXEMPTION FOR CONTINUITY OF INFRASTRUCTURE 

 OPERATIONS ...................................................................................................................38 

 CRITERION I - MILITARY AUGMENTATION OF THE INFRASTRUCTURE 

 DURING WAR ..................................................................................................................40 

 CRITERION J - EXEMPTION FOR CIVILIAN/MILITARY ROTATION ..........................41 

293 DCMA Administrative Record for FY 2013 Furlough Appeals
DoDI 1100.22, April 12, 2010 

6 CONTENTS 

 CRITERION K - EXEMPTION FOR CIVILIAN/MILITARY CAREER 

 DEVELOPMENT ..............................................................................................................41 

 CRITERION L - EXEMPTED BY LAW, E.O., TREATY, OR IA........................................42 

 CRITERION M - EXEMPTED BY DoD MANAGEMENT DECISION ..............................43 

 SUBJECT TO REVIEW FOR PRIVATE SECTOR PERFORMANCE OR 

 DIVESTITURE..................................................................................................................44 

 CRITERION P - PENDING RESTRUCTURING OF CAs ....................................................44 

 CRITERION R - SUBJECT TO REVIEW FOR PUBLIC-PRIVATE COMPETITION .......44 

 CRITERION W - NON-PACKAGEABLE CA ......................................................................45 

 CRITERION X - ALTERNATIVES TO PUBLIC-PRIVATE COMPETITION. ..................45 

ENCLOSURE 5: GUIDANCE FOR RISK ASSESSMENTS .....................................................46 

 RISKS TO OVERSIGHT/CONTROL OF IG AND CAs .......................................................46 

 RISKS TO COMMAND AND OPERATIONAL CONTROL ..............................................49 

 RISKS TO FISCAL RESPONSIBILITIES .............................................................................53 

GLOSSARY ..................................................................................................................................54 

 ACRONYMS AND ABBREVIATIONS ................................................................................54 

 DEFINITIONS .........................................................................................................................55 

TABLE 

 MANPOWER MIX CRITERIA ..............................................................................................12 

294 DCMA Administrative Record for FY 2013 Furlough Appeals
ENCLOSURE 1

REFERENCES

(a) DoD Directive 1100.4, “Guidance for Manpower Management,” February 12, 2005 

(b) DoD Directive 5124.02, “Under Secretary of Defense for Personnel and Readiness 

(USD(P&R)),” June 23, 2008 

(c) DoD Instruction 3020.37, “Continuation of Essential DoD Contractor Services During 

Crisis,” November 6, 1990 (hereby cancelled) 

(d) Section 306 and Chapter 11 of title 5, United States Code 

(e) Sections 501 (note), 1115, 1116, 3711, and 3718 of title 31, United States Code 

(f) Office of Management and Budget (OMB) Circular A-76 (Revised), “Performance of 

Commercial Activities,” May 29, 2003 

(g) Federal Acquisition Regulation (FAR) sub-parts 2 and 7.5, current edition 

(h) Title 10, United States Code 

(i) DoD Instruction 1100.22, “Guidance for Determining Workforce Mix,” September 7, 2006 

(hereby cancelled) 

(j) Deputy Secretary of Defense Memorandum, “Implementation of Section 324 of the 

National Defense Authorization Act for Fiscal Year 2008 (FY 2008 NDAA)—Guidelines 

and Procedures of In-sourcing New and Contracted Out Functions,” April 4, 2008 

(k) DoD Instruction 1400.25, Volume 250, “DoD Civilian Personnel Management Systems: 

 Volume 250, Civilian Strategic Human Capital Planning (SHCP),” November 18, 2008 

(l) Defense FAR Supplement (DFARS), current edition 

(m) DoD Instruction 5000.02, “Operation of the Defense Acquisition System,” 

 December 8, 2008 

(n) DoD Instruction 3020.41, “Contractor Personnel Authorized to Accompany the U.S. Armed 

Forces,” October 3, 2005 

(o) DoD Instruction 3020.50, “Private Security Contractors Operating in Contingency 

Operations,” July 22, 2009 

(p) Sections 1038 and 1080 of Public Law 111-84, “The National Defense Authorization Act 

 For Fiscal Year 2010,” October 28, 2009 

(q) Under Secretary of Defense for Personnel and Readiness Memorandum, “Interim Policy 

and Procedures for Strategic Manpower Planning and Development of Manpower 

Estimates,” December 10, 20031

 

(r) DoD Instruction 7730.64, “Automated Extracts of Manpower and Unit Organizational 

Element File,” December 11, 2004 

(s) Deputy Under Secretary of Defense for Program Integration, “DoD Functions,” current 

edition2

(t) DoD Directive 1404.10, “DoD Civilian Expeditionary Workforce,” January 23, 2009 

(u) DoD Directive 1200.7, “Screening the Ready Reserve,” November 18, 1999 

(v) Constitution of the United States 

(w) Articles 2, 3, 4, and 32 of the Geneva Convention Relative to the Treatment of Prisoners of 

War, of August 1949 (Third Geneva Convention)3

 

1

 Available at http://www.defenselink.mil/prhome/pi.html

2

 Available at http://prhome.defense.gov/pi.html 

295 DCMA Administrative Record for FY 2013 Furlough Appeals
DoDI 1100.22, April 12, 2010 

8 ENCLOSURE 1 

 

(x) Articles 24, 28, and 30 of Convention (I) for the Amelioration of the Condition of the 

Wounded and Sick in Armed Forces in the Field, August 12, 1949, (GWS)4

(y) DoD Directive 2310.01E, “The Department of Defense Detainee Program,” 

 September 5, 2006 

(z) DoD 5210.41-M, “Nuclear Weapon Security Manual (U),” November 22, 2004 

(aa) DoD Directive 3115.09, “DoD Intelligence Interrogations, Detainee Debriefings, and 

Tactical Questioning,” October 9, 2008 

(ab) DoD Directive 5530.3, “International Agreements,” June 11, 1987 

(ac) DoD Directive 2311.01E, “DoD Law of War Program,” May 9, 2006 

(ad) DoD Instruction 1000.17, “Detail of DoD Personnel to Duty Outside the Department of 

Defense,” April 16, 2008 

(ae) DoD Directive 1100.20, “Support and Services for Eligible Organizations and Activities 

Outside the Department of Defense,” April 12, 2004 

(af) DoD Instruction 4000.19, “Interservice and Intragovernmental Support,” August 9, 1995 

(ag) DoD Instruction 6025.5, “Personal Services Contracts (PSCS) for Health Care Providers 

(HCPS),” January 6, 1995 

(ah) DoD Directive 1315.07, “Military Personnel Assignments,” January 12, 2005 

(ai) Section 1905 of title 18, United States Code 

(aj) Section 609 of title 40, United States Code 

(ak) Section 670(a) of title 16, United States Code 

(al) DoD Directive 8500.1E, “Information Assurance” October 24, 2002 

(am) Executive Order 12473, “Courts-Martial Manual, United States, 1984” April 13, 1984, as 

amended 

(an) Secretary of Defense Memorandum, “UCMJ Jurisdiction Over DoD Civilian Employees, 

DoD Contractor Personnel, and Other Persons Serving With or Accompanying the Armed 

Forces Overseas During Declared War and a Contingency Operation,” March 10, 2008 

(ao) DoD Directive 1000.20, “Active Duty Service Determinations for Civilian or Contractual 

Groups,” September 11, 1989 

(ap) Joint Publication 1-02, “Department of Defense Dictionary of Military and Associated 

Terms,” current edition 

3

 Available at: www.unhchr.ch/html/menu3/b/91.htm 

4 Available at: www.unhchr.ch/html/menu3/b/q_genev2.htm 

296 DCMA Administrative Record for FY 2013 Furlough Appeals
ENCLOSURE 2

RESPONSIBILITIES

1. UNDER SECRETARY OF DEFENSE FOR PERSONNEL AND READINESS 

(USD(P&R)). The USD(P&R) shall: 

 a. Maintain oversight of programs that implement this Instruction and work with the Heads 

of DoD Components to ensure that the DoD Components establish policies and procedures 

consistent with this Instruction. 

 b. Coordinate with the Under Secretary of Defense for Acquisition, Technology, and 

Logistics (USD(AT&L)) to issue annual guidance for the Inherently Governmental Commercial 

Activities (IGCA) Inventory consistent with this Instruction. 

2. USD(AT&L). The USD(AT&L) shall: 

 a. Ensure that policies and procedures governing the acquisition process are consistent with 

this Instruction. This shall include requiring the contracting officer, concurrent with the 

transmittal of the statement of work (or any modification thereof), to obtain a written statement 

from the requiring official that the work is appropriate to contract consistent with this Instruction 

and References (f), (g), (h), (j), and Defense FAR Supplement (DFARS) (Reference (l)). 

 b. Ensure that policies and procedures governing the Defense acquisition process in DoD 

Instruction 5000.02 (Reference (m)) are consistent with this Instruction. 

 c. Ensure that policies and procedures governing contractor personnel in DoD Instruction 

3020.41 (Reference (n)) and DoD Instruction 3020.50 (Reference (o)) are consistent with this 

Instruction. 

 d. Ensure that policies and procedures governing the Commercial Activities Program are 

consistent with this Instruction. 

 e. In coordination with the USD(P&R), issue annual guidance for the IGCA Inventory 

consistent with the procedures in this Instruction and use the data from the IGCA Inventory to 

develop the inventories required by Reference (f). 

3. UNDER SECRETARY OF DEFENSE FOR INTELLIGENCE (USD(I)). The USD(I) shall: 

 a. Ensure that policies and procedures governing DoD intelligence and counterintelligence 

operations (to include intelligence interrogations and debriefings) are consistent with this 

Instruction. 

297 DCMA Administrative Record for FY 2013 Furlough Appeals
 b. Issue procedures for obtaining waiver authority to the prohibition on the interrogation of 

detainees by contractor personnel provided under section 1038 of Public Law 111-84 (Reference 

(p)) that are consistent with this Instruction. All waiver requests shall be submitted through the 

responsible Geographic Combatant Commander and the Joint Staff to the USD(I) for approval 

by the Secretary of Defense. Not later than 5 days after the Secretary issues a waiver, 

notification of the waiver shall be submitted to Congress. 

4. HEADS OF THE DoD COMPONENTS. The Heads of the DoD Components shall require 

their designated manpower authority to: 

 a. Issue implementing guidance requiring use of this Instruction when: 

 (1) Determining the workforce mix for current, new, or expanded missions, to include 

determining the workforce mix for capabilities or support elements requested during a 

mobilization or crisis. 

 (2) Developing manpower estimates for Defense acquisition programs covered by 

USD(P&R) Memorandum (Reference (q)). 

 (3) Revalidating manpower during reorganizations, mission area analyses, efficiency 

reviews, and streamlining, reengineering, or restructuring efforts (to include most efficient 

organizations, high-performing organizations, and business process reengineering studies 

covered by OMB guidance). 

 (4) Developing inter- and intra-governmental service support agreements. 

 (5) Acquiring service support. 

 (6) Considering the advantages of converting from one source of support (military, DoD 

civilian, and contractor) to another when developing the annual personnel authorization request 

to Congress, as required by section 129a of Reference (h). 

 (7) Assessing the force structure and end strength for assigned missions. 

 (8) Assisting with the development of Strategic Human Capital Plans consistent with the 

principles of this Instruction. 

 b. Ensure the Manpower Mix Criteria codes in Enclosure 4 are used to document manpower 

in the centralized DoD database as required by DoD Instruction 7730.64 (Reference (r)). 

 c. Issue procedures that require manpower officials to make determinations as to whether 

functions to be contracted are IG or exempt from private sector performance, based on the 

procedures in this Instruction. This will allow the agency head or designated requiring official to 

provide the contracting officer, concurrent with transmittal of the statement of work (or any 

modification thereof), a written determination that none of the functions to be performed under 

298 DCMA Administrative Record for FY 2013 Furlough Appeals
DoDI 1100.22, April 12, 2010 

11 ENCLOSURE 2 

contract are IG or exempt from private sector performance as required by subpart 7.503(e) of 

Reference (g) and subpart 207.503 of Reference (l). 

 d. Provide sufficient oversight to ensure compliance with this Instruction through periodic 

reviews of the DoD Component’s workforce and reviews of annual IGCA Inventory 

submissions. 

5. CHAIRMAN OF THE JOINT CHIEFS OF STAFF. The Chairman of the Joint Chiefs of 

Staff, in addition to the responsibilities in section 4 of this enclosure, shall: 

 a. When reviewing the adequacy of manpower and manpower policies of the Military 

Services as required by sections 153(a)(3)(C) and 153(a)(4)(E) of Reference (h), assess whether 

the workforce mix is appropriate consistent with this Instruction. 

 b. When reviewing the adequacy of critical contract services that support the Combatant 

Commanders’ contingency plans during the deliberative planning process of the Joint Strategic 

Planning System, assess the risks of using contract support consistent with this Instruction and 

require Combatant Commanders to develop contingency plans if they have a reasonable doubt 

that a contractor will continue to provide essential services during a mobilization or crisis. 

 c. Ensure that joint doctrine governing the acquisition and use of private security contractors 

(PSCs) is consistent with this Instruction. 

 d. When conducting periodic reviews of combat agencies, as required by section 193 of 

Reference (h), assess the adequacy of the agency’s manpower and contract support consistent 

with this Instruction. 

6. COMMANDERS OF THE COMBATANT COMMANDS (CCDRs). The CCDRs, in 

addition to the responsibilities in section 4 of this enclosure, shall: 

 a. When determining if the authority, direction, and control they have of assigned commands 

or forces are sufficient to command effectively as required by section 164 of Reference (h), 

assess whether the authority, direction, and control they have of DoD civilian and private sector 

contract support elements are sufficient. 

 b. Ensure that procedures governing the use of PSCs during a military operation preclude 

PSCs from performing any IG or exempt function and restrict PSCs from areas of operation 

where, in the commander’s judgment, PSCs would not have sufficient discretionary latitude, 

authority, equipment, weapons, or fire power to perform successfully their contract. 

 c. Ensure that the workforce mix (military, DoD civilian, or contractor support) for requests 

for forces, additional capabilities, or support elements during a military operation (e.g., 

contingency, humanitarian, peacekeeping) or crisis is based on the policy and procedures in this 

Instruction. 

299 DCMA Administrative Record for FY 2013 Furlough Appeals
ENCLOSURE 3

PROCEDURES

1. WORKFORCE MIX DECISION PROCESS 

 a. Initial Steps. When establishing the workforce mix, manpower planners shall review all 

mission requirements and design units and/or organizations to accomplish baseline operations 

and transition quickly and easily to support military operations (e.g., contingency, humanitarian, 

peacekeeping) and crises. Manpower analysts shall identify the type of work from the list of 

DoD functions (Reference (s)). They shall use the manpower mix criteria at Enclosure 4 of this 

Instruction to distinguish between functions that are IG and commercial and to identify which IG 

and commercial functions will be performed by military personnel and which will be performed 

by DoD civilian personnel. Manpower analysts also shall use the guidance for risk assessments 

at Enclosure 5 of this Instruction to help identify risks. The Table lists the manpower mix 

criteria. 

Table. Manpower Mix Criteria

 

Military-Unique

Knowledge & Skills

Exemption by Law, Executive Order, Treaty

or International Agreement

Exemption for Civilian &

Military Career Development

Exemption of Combat Support

and Combat Service Support due to Operational Risk

Direction and Control of Combat and Crisis Situations

Exemption for Continuity of

Infrastructure Operations

Pending Restructuring of Commercial Activities 

Exemption for Esprit de Corps

DoD Civilian Authority 

Direction & Control 

Exemption of Manpower Dual-Tasked

For Wartime Assignments

Exempted by DoD Management Decision

Exemption for Civilian &

Military Rotation

Military Augmentation of

the Infrastructure During War 

A

B

G

I

F

P

M

D

H

J K

L

E

W Non-Packageable Commercial Activity

R Subject to Review for Public-Private Competition

X Alternative to Public-Private Competition

300 DCMA Administrative Record for FY 2013 Furlough Appeals
 b. IG Activities. In general, a function is IG if it is so intimately related to the public interest 

as to require performance by Federal Government personnel. IG functions shall include, among 

other things, activities that require either the exercise of substantial discretion when applying 

Federal Government authority, or value judgments when making decisions for the Federal 

Government, including judgments relating to monetary transactions and entitlements. Criteria A, 

E, F, and I identify activities that are IG consistent with section 306 of Reference (d); sections 

501 (note), 1115, and 1116 of Reference (e); Attachment A of Reference (f); and subparts 2 and 

7.503(c) of Reference (g). Criterion I identifies IG activities performed during a mobilization or 

other national emergency. Manpower authorities shall consult mobilization and crisis planners 

to identify these IG activities. Manpower analysts shall designate IG functions for performance 

by military or DoD civilian personnel as provided by criteria A, E, F, and I. 

 c. CAs That are Exempted from Private Sector Performance. Criterion L identifies CAs that 

are exempted from private sector performance due to a law, E.o., treaty, or IA. All other CAs are 

subject to private sector performance except when the work is exempted to provide for DoD 

readiness or workforce management needs. 

 (1) DoD Readiness Needs. Manpower analysts shall exempt service support functions 

performed in-theater from private sector performance for risk mitigation purposes as addressed 

by criterion B. Because operational risk is often dependent on the threat level in a geographical 

region, CCDRs shall reevaluate these exemptions as threat levels change and recommend 

workforce changes, as appropriate. Manpower analysts shall confer with mobilization and crisis 

planners within the DoD Component to exempt manpower dual-tasked for wartime assignments 

as addressed by criterion D. Manpower analysts also shall confer with mobilization and crisis 

planners to exempt commercial work from private sector performance that is needed for 

continuity of operations during a national emergency or war as addressed by criterion H. 

 (2) Workforce Management Needs of the Department. Criterion G identifies CAs that 

are exempted from private sector performance for esprit de corps reasons. Manpower analysts 

shall confer with personnel officials within the DoD Component to exempt commercial work 

from private sector performance to provide for overseas or sea-to-shore rotation (criterion J) and 

career development (criterion K). In addition, manpower analysts shall exempt CAs to provide 

for continuity of baseline operations as addressed by criterion H. CAs are also exempted based 

on DoD management decisions (criterion M). However, these exemptions are usually 

temporary, pending final resolution by the DoD Component and OSD. 

 d. CAs Subject to Private Sector Performance or Divestiture. All other CAs are subject to 

private sector performance or divestiture. These activities may be subject for review for a 

public-private competition (criterion R). They may be identified for divestiture or military to 

civilian conversion, or contracted without going through a public-private competition (criterion 

X). Also, CAs are sometimes temporarily retained in-house pending restructuring of the activity 

(criterion P), or because the CA cannot be packaged for public-private competition (criterion W). 

301 DCMA Administrative Record for FY 2013 Furlough Appeals
2. IG FUNCTIONS AND ACTIVITIES CLOSELY ASSOCIATED WITH IG FUNCTIONS 

 a. How management responsibilities are delegated within an organization often has a direct 

impact on the workforce mix. For example, approval authority is an IG task. How approval 

authority is assigned (centralized or decentralized) has a direct bearing on the number of 

personnel performing IG work. Also, if a function entails both IG and commercial tasks, how 

the work is organized dictates the workforce mix. For instance, if IG and commercial tasks are 

non-severable (both have to be performed by all the manpower in the activity to accomplish the 

mission), then all of the manpower in the activity are designated IG to ensure that all IG tasks are 

performed by Government personnel. However, if IG and commercial tasks can be separated 

into sub-functions without adverse consequence to mission success, the manpower performing 

each sub-function shall be designated IG or commercial according to the sub-function 

performed. (See subparagraph 1.d.(2) of Enclosure 4 of this Instruction for an example.) 

 b. Particular attention should be paid to activities that are closely associated with IG 

functions. Functions listed at section 7.503(d) of Reference (g) are closely associated with IG 

functions (see section 2383 of Reference (h)). However, the list of functions at section 7.503(d) 

of Reference (g) is illustrative and not all-inclusive. Functions that are closely associated with 

IG functions (to include those listed in section 7.503(d) of Reference (g)) are addressed in the 

manpower mix criteria at Enclosure 4 of this Instruction. 

 (1) Although activities that are closely associated with IG functions are generally not 

considered to be IG, they may become IG because of the way they are performed or the 

circumstances under which they are performed. Decisions as to whether or not a function is IG 

should place emphasis on the degree to which the conditions or facts restrict or put at risk the 

discretionary authority, decision-making responsibility, or accountability of Defense officials. 

When an activity is so closely associated with an IG function that it cannot be separated or 

distinguished from the IG function, it should be identified as IG to preclude transferring 

governmental authority, responsibility, or accountability to the private sector. This includes 

situations where: a contractor could have to assume IG responsibilities to accomplish the job; a 

contractor’s role with regard to an IG function would no longer be discernible from a DoD 

official’s role; or a contractor’s advice or direction could be mistaken for that of a DoD official’s 

on a matter that involves IG responsibilities. These functions shall be designated IG as 

prescribed in paragraphs 1.d., 4.b., and 5.g. of Enclosure 4. The guidance for risk assessments at 

Enclosure 5 provides examples and additional clarification. 

 (2) Activities closely associated with IG functions are also exempted from private sector 

performance for risk mitigation purposes as addressed at paragraphs 2.b. and 7.b. of Enclosure 4. 

3. PERSONAL SERVICES. Personal services shall be performed by military or DoD civilian 

personnel and not contracted unless specifically authorized (subpart 37.104 of Reference (g)). 

See subparagraph 1.b.(2) of Enclosure 5 of this Instruction for an explanation of personal 

services. 

302 DCMA Administrative Record for FY 2013 Furlough Appeals
4. PERSONNEL SHORTFALLS 

 a. If a DoD Component has a military or DoD civilian personnel shortfall, the shortfall is not 

sufficient justification for contracting an IG function. Likewise, a personnel shortfall is not 

sufficient justification for contracting activities that are closely associated with IG functions if 

contracting the activity would result in an inappropriate risk as provided in subparagraph 2.b.(1) 

of this enclosure. Personnel shortfalls shall be addressed by hiring, recruiting, reassigning 

military or DoD civilian personnel; authorizing overtime or compensatory time; mobilizing all or 

part of the Reserve Component (when appropriate); or other similar actions. 

 b. Manpower authorities shall not designate manpower for military performance based on 

the assumption that DoD civilians cannot be recruited or will not deploy to perform activities 

during a mobilization or other national emergency. Manpower authorities shall consult the 

director of the DoD Component’s Human Resource Office to verify whether DoD civilian 

employees are available or can be recruited and trained as emergency essential (E-E) employees 

to provide support during a mobilization or other national emergency. A sufficient number of EE positions shall be established as are required to support a national emergency or war. 

5. COST AS A DECIDING FACTOR IN WORKFORCE MIX DECISIONS. As provided in 

paragraph 4.f. above the signature of this Instruction, even if a function is not IG or exempt from 

private sector performance, DoD Components shall use DoD civilian personnel to perform the 

function unless DoD civilians are not the low-cost provider or there is a legal, regulatory, or 

procedural impediment to using DoD civilian personnel. When assessing workforce costs, 

manpower analysts shall not assume that one source of support (military, DoD civilian, or 

contractor) is less costly than another. DoD Components shall conduct a cost comparison as 

provided by Reference (j) to determine the low-cost provider for all new or expanding mission 

requirements and for functions that have been contracted but could be performed by DoD 

civilian employees. DoD Components shall perform public-private competitions as provided by 

Reference (f) to determine the low-cost provider for CAs. 

6. NON-AVAILABILITY OF DoD CIVILIAN EMPLOYEES. If there is a legal or regulatory 

impediment to using DoD civilian employees, or the director of the local Human Resource 

Office certifies that DoD civilians cannot be hired, hired in sufficient time, or retained to perform 

a function, the function may be contracted provided it is not IG or exempt from private sector 

performance. If the function is IG, the activity shall be designated for military performance as 

provided by section 8 of this enclosure. If the function is exempted from private sector 

performance for other than IG reasons, the exemption shall be handled through normal 

management actions. 

7. ORDER OF PRECEDENCE FOR CODING MANPOWER IN DoD MANPOWER 

DATABASES. The codes assigned to each manpower mix criterion at Enclosure 4 of this 

Instruction shall be used to document manpower in DoD manpower databases. Manpower mix 

criteria are listed in descending order of precedence at the Table in this enclosure. When two or 

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DoDI 1100.22, April 12, 2010 

16 ENCLOSURE 3 

more criteria apply, the criterion highest on the list shall take precedence. The order of 

precedence at the Table is structured to give manpower officials visibility of why activities are 

performed by DoD civilian or military personnel. By understanding the underlying reason for 

the workforce mix, Defense officials can assess the risks that manpower shortfalls have on IG 

responsibilities, readiness, workforce management, and mission accomplishment. 

8. CODING MILITARY-TO-CIVILIAN AND CIVILIAN-TO-MILITARY CONVERSIONS. 

If manpower analysts decide that military personnel are performing functions that should be 

performed by DoD civilian personnel, or that DoD civilian personnel are performing functions 

that should be performed by military personnel, they shall use the appropriate code to show that 

the activity should be converted from military to civilian or from civilian to military 

performance. For example, manpower analysts shall designate military manpower with code 

“E,” “Civilian Authority Direction & Control,” if criterion “E” best describes the type of work. 

Also, civilian manpower that performs work that requires “Military-Unique Knowledge & 

Skills” shall be coded “F.” 

9. CODING MILITARY MANPOWER LOCATED IN DoD ACTIVITIES OUTSIDE THE 

MILITARY DEPARTMENTS. When manpower authorities from OSD, the Joint Staff, 

Combatant Commands, DoD Field Activities, Defense Agencies, or other organizations outside 

the Military Departments determine or revalidate their workforce mix, they shall consult officials 

from the Military Services to ensure that manpower needed for military rotation, career 

development, and wartime assignments are properly coded. This shall include manpower for 

interagency assignments. 

304 DCMA Administrative Record for FY 2013 Furlough Appeals
ENCLOSURE 4

MANPOWER MIX CRITERIA

1. CRITERION A - DIRECTION AND CONTROL OF COMBAT/CRISIS SITUATIONS. 

Manpower analysts shall code manpower in operating forces “A” if the manpower performs any 

of the IG functions addressed in this section. Civilian manpower in overseas locations that are 

coded “A” are also designated E-E as provided by DoD Directive 1404.10 (Reference (t)). E-E 

positions are also designated key following the procedures in DoD Directive 1200.7 (Reference 

(u)) to indicate they are not to be filled by Ready Reservists that can be called to active duty. 

 a. Command of Military Forces. Command of military forces is an IG function according to 

Reference (g). Command within the Military Services is implemented through a unique 

construct of command authority, known as the “military chain of command.” Within the 

operating forces, this authority begins with field commanders and extends to the lowest level of 

command responsible for discretionary decision making, personnel safety, and mission 

accomplishment. Accordingly, manpower in operational command or that may have to assume 

operational command of military forces is designated military and coded “A.” 

 b. Operational Control of Combat, Combat Support, and Combat Service Support Units. 

Operational control is derived, in part, from IG responsibilities assigned to commanders and their 

military subordinates as explained in subparagraphs 1.b.(1) and 1.b.(2) of this enclosure. 

 (1) Military Discipline. Military officers and enlisted personnel are subject to a strict 

form of discipline – i.e., they must obey all lawful orders at all times and are trained and 

prepared to immediately perform all duties as directed by military commanders. In addition, 

military personnel may not quit or abandon their duties. See subparagraphs 2.d.(1) through 

2.d.(4) of Enclosure 5 concerning responsibilities inherent to military discipline that are uniquely 

military. This strict discipline provides military commanders with the control and flexibility 

needed to quickly reassign duties, reconstitute operations, provide relief and assistance to 

military forces during hostilities, and fight and win wars. It also provides for the orderly transfer 

of command and control of military operations if the commander is killed or incapacitated. This 

strict discipline is an IG responsibility unique to the military establishment. The unique nature of 

the military establishment and its role in defense of the Nation has been recognized by the 

Supreme Court—i.e., the differences between the military and civilian communities result from 

the fact that it is the primary business of armies and navies to fight or be ready to fight wars 

should the occasion arise. 

 (2) Uniform Code of Military Justice (UCMJ) Authority. Operational control is 

enforced, among other means, by Chapter 47 of Reference (h), also known and hereafter referred 

to as “the UCMJ.” Consistent with section 809 of Reference (h), commissioned officers have the 

authority to order the arrest or confinement of an enlisted Service member who violates the 

UCMJ. Commanding officers may authorize warrant officers, petty officers, or 

noncommissioned officers to order enlisted members of their command or individuals subject to 

their authority who violate the UCMJ into arrest or confinement. Commissioned and warrant 

305 DCMA Administrative Record for FY 2013 Furlough Appeals
officers, and those civilians subject to the UCMJ, may be ordered into arrest or confinement only 

by a commanding officer to whose authority they are subject. Civilians are subject to the UCMJ 

when serving with or accompanying U.S. armed forces in the field during a declared war or a 

qualifying contingency operation (as defined in Enclosure 5). The authority to order the arrest or 

confinement of civilians subject to the UCMJ, commissioned officers, and warrant officers may 

not be delegated by the commanding officer. UCMJ authority, together with the operational 

control it provides, entails substantial discretion and is IG-consistent with References (e), (f), and 

(g). 

 c. Combat Operations. When armed fighting or use of force is deemed necessary for 

national defense, the Department of Defense may authorize deliberate destructive and/or 

disruptive action against the armed forces or other military objectives of another sovereign 

government or against other armed actors on behalf of the United States. This entails the 

authority to plan, prepare, and execute operations to actively seek out, close with, and destroy a 

hostile force or other military objective by means of, among other things, the employment of 

firepower and other destructive and disruptive capabilities. 

 (1) Combat authorized by the U.S. Government is IG, coded “A,” and designated for 

military performance because: 

 (a) The U.S. Government has exclusive responsibility for discretionary decisions 

concerning the appropriate, measured use of combat power, including the offensive use of 

destructive or deadly force on behalf of the United States. 

 (b) Since combat operations authorized by the U.S. Government entail the exercise 

of sovereign Government authority and involve substantial discretion – i.e., can significantly 

affect the life, liberty, or property of private persons or international relations - they are IGconsistent with References (e), (f), and (g). 

 (c) The appropriate, measured use of combat power during hostilities is of critical 

national interest. Under certain circumstances, the United States can be liable for its misuse or 

compelled to make restitution due to its unintended collateral effects. The Department of 

Defense safeguards U.S. sovereign authority and reduces the risk of using destructive and/or 

disruptive force inappropriately by: 

 1. Delegating responsibility for combat operations only to military commanders 

through the military chain of command. 

 2. Holding military commanders and their forces accountable for the appropriate 

and controlled use of combat power and adherence to rules of engagement and the law of war. 

(See section 164 of Reference (h) concerning the responsibility of CCDRs for their authority, 

direction, and control of commands and forces assigned to their command. This responsibility 

entails substantial discretion and is IG-consistent with References (e), (f), and (g).) 

306 DCMA Administrative Record for FY 2013 Furlough Appeals
 3. Ensuring that the discretionary judgment, leadership, knowledge, and 

discipline necessary to perform effectively and responsibly under fire is developed and 

reinforced through extensive training of military commanders in tandem with their forces. 

 4. Holding commanders responsible for assessments of the training, discipline, 

and readiness of their forces to conduct assigned missions. (See section 117 of Reference (h) 

concerning the commanders’ responsibility for force readiness. This responsibility entails 

substantial discretion and is IG-consistent with References (e), (f), and (g).) 

 (2) Consistent with subparagraph 1.c.(1) of this enclosure, manpower shall be designated 

military and coded “A” if the planned use of destructive combat capabilities is part of the 

mission assigned to this manpower (including destructive capabilities involved in offensive 

cyber operations, electronic attack, missile defense, and air defense). This includes manpower 

located both inside and outside a theater of operations if the personnel operate a weapon system 

against an enemy or hostile force (e.g., bomber crews, inter-continental ballistic missile crews, 

and unmanned aerial vehicle operators). This does not include technical advice on the operation 

of weapon systems or other support of a non-discretionary nature performed in direct support of 

combat operations. 

 d. Security Provided to Protect Resources and Operations in Hostile or Volatile Areas 

 (1) Security provided for the protection of resources (people, information, equipment, 

supplies, facilities, etc.) or operations in uncontrolled, unpredictable, unstable, high risk, or 

hostile environments inside or outside the United States entails a wide range of capabilities, 

some of which are IG and others of which are commercial. (See paragraph 2.b. of this enclosure 

for a discussion of security functions that are not IG but are exempted from private sector 

performance.) Subparagraphs 1.d.(1)(a) through (f) of this enclosure are examples of IG security 

functions. 

 (a) If security forces that operate in hostile environments as part of a larger, totally 

integrated and cohesive armed force perform operations in direct support of combat (e.g., 

battlefield circulation control and area security), the operations are IG. These operations entail 

the discretionary use of deadly force — i.e., although these operations are governed by rules of 

engagement, mission statements, and orders expressing the commander’s intent, the military 

troops are still required to exercise initiative and substantial discretion when deciding how to 

accomplish the mission, particularly when unanticipated opportunities arise or when the original 

concept of operations no longer applies. These security operations require command decisions, 

military training, and operational control for reasons stated in subparagraph 1.c.(1) of this 

enclosure and must be provided through a military means. As PSCs may not perform these 

security operations, private security contracts are not a force structure substitute for these 

requirements. 

 (b) Security is IG if it is performed in environments where there is such a high 

likelihood of hostile fire, bombings, or biological or chemical attacks by groups using 

sophisticated weapons and devices that, in the judgment of the military commander, the situation 

could evolve into combat. Security performed in such high-risk environments requires command 

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decisions, military training, and operational control for reasons stated in subparagraph 1.c.(1) of 

this enclosure and shall be designated for military performance. In such situations, private 

security contracts are not a force structure substitute for these requirements. 

 (c) Security actions that entail assisting, reinforcing, or rescuing PSCs or military 

units who become engaged in hostilities are IG because they involve taking deliberate, offensive 

action against a hostile force on behalf of the United States. This type of security requires 

command decisions, military training, and operational control for reasons stated in subparagraph 

1.c.(1) of this enclosure and shall be designated for military performance. As PSCs may not be 

given the discretionary latitude to engage in offensive actions, private security contracts are not a 

force structure substitute for these requirements. Nothing in this subparagraph of the Instruction 

shall preclude a PSC from defending another contractor or government entity of their own 

volition if consistent with U.S., international, and host nation (HN) law; Status of Forces 

Agreement (SOFA) and other IA; HN support agreement; and Federal regulation. 

 (d) Security is IG if, in the commander’s judgment, an offensive response to hostile 

acts or demonstrated hostile intentions would be required to operate in, or move resources 

through, a hostile area of operation. Decisions to offensively respond to hostile acts or 

demonstrated hostile intentions (e.g., assault or preemptively attack) entail substantial discretion 

and are IG. (See subparagraph 2.d.(6)(a) of Enclosure 5 of this Instruction for additional 

information and an example.) This type of security requires command decisions, military 

training, and operational control for reasons stated in subparagraph 1.c.(1) of this enclosure and 

shall be designated for military performance. As PSCs may not be given the discretionary 

latitude to authorize or engage in offensive actions against an enemy or hostile force, private 

security contracts are not a force structure substitute for these requirements. 

 (e) Security is IG if, in the commander’s judgment, decisions on the appropriate 

course of action would require substantial discretion, the outcome of which could significantly 

affect U.S. objectives with regard to the life, liberty, or property of private persons, a military 

mission, or international relations. Such actions typically require high-risk, on-the-spot 

judgments on the appropriate level of force, acceptable level of collateral damage, and whether 

the target is friend or foe in situations pivotal to U.S. interests. These actions are so intimately 

related to U.S. interests as to require government performance and, as provided by Reference (e), 

is IG. Private security contracts are not a force structure substitute for these requirements. 

 (f) If consistent with applicable U.S., international, and HN law; SOFAs and other 

IAs; HN support agreements; and Federal regulations, a DoD PSC may be authorized to provide 

security services so long as the services are not IG as provided by this Instruction. As provided 

by References (n) and (o), contractors may provide security services for other than uniquely 

military functions as identified in subparagraphs 1.d.(1)(a) through 1.d.(1)(e) of this enclosure, 

so long as the geographic CCDR can: 

 1. Clearly articulate rules on the use of force that preclude ceding governmental 

control and authority of IG functions to private sector contractors as addressed in subparagraphs 

1.d.(1)(a) through 1.d.(1)(e) of this enclosure. 

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 2. Set clear limits on the use of force based on U.S. law and policy, and 

applicable HN law, relevant SOFAs, IAs, and international law, including the law of war. 

 3. Include in the contract for security services a description of where the PSC will 

operate, a description of the anticipated threat, a description of any known or potentially 

hazardous situations, and a plan for how appropriate assistance will be provided to PSC 

personnel who become engaged in hostile situations. 

 (2) Security shall be designated for military performance and the manpower coded “A” 

if, in the judgment of the commander, it meets one or more of the criteria addressed in 

subparagraphs 1.d.(1)(a) through 1.d.(1)(e) of this enclosure. This includes combat support (CS) 

and combat service support (CSS) if all the manpower in the unit must perform one or more of 

these IG security functions to accomplish the mission. For example, manpower in Marine Corps 

CS and CSS units are coded “A” because they are required to use offensive tactics to defend the 

unit and accomplish the mission. In this example, two functions are performed by all of the 

manpower in the unit and the IG function (security) takes precedence over the commercial 

function for coding purposes so that IG work is always performed by government personnel. 

However, if IG security operations can be performed separately without adverse impact to 

mission success, only manpower performing IG security operations are coded “A.” For example, 

if a Military Service has a new weapon system available for use during hostilities, but sufficient 

numbers of military maintainers are not yet trained, the commander might be able to use contract 

maintenance in a secure compound without degrading the operational capability of the system. 

In such cases, only the IG security forces at the compound are coded “A.” However, in such 

cases, contractor personnel may be issued weapons for self-defense as provided by Reference 

(n). 

 (3) It should be in the sole discretion of the commander of the relevant combatant 

command to determine whether or not the performance by a PSC under a contract awarded for a 

particular activity, a series of activities, or activities in a particular location, within a designated 

area of combat operations, is appropriate. Such a determination shall not be delegated to any 

person who is not in the military chain of command. 

 e. Medical and Chaplain Services Performed in Hostile Areas. Services provided by military 

medical personnel and chaplains embedded in military units that engage in hostile action are IG. 

This manpower shall be designated military and coded “A” because: 

 (1) During hostilities, military medical personnel function as an inherent part of the unit 

and (as with other members of the unit) use substantial discretion when defending their patients. 

 (2) The First Amendment prohibits any law respecting the establishment of religion or 

prohibiting the free exercise thereof. Although the Department of Defense can and does contract 

for religious ministry from individual faiths, the Department of Defense cannot contract for the 

type of religious pluralism required in operational environments. 

 (3) The Department of Defense cannot impose upon civilian religious ministry 

professionals the type of religious pluralism exercised by military chaplains without risk of 

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challenge under the establishment clause of the First Amendment of the Constitution (Reference 

(v)). Accordingly, sections 3073, 5347, 5142, and 8067 of Reference (h) authorize the 

appointment of military chaplains. Chaplains provide for military members’ religious “free 

exercise” rights and satisfy both the “establishment” and “free exercise” clauses of Reference 

(v). Legal efforts to invalidate this contention have been unsuccessful. In addition, military 

chaplains have support from over 230 endorsing bodies that represent over 300 faith groups to 

work cooperatively with other faith groups to provide for the pluralistic religious needs of 

military members. 

 (4) Even though many aspects of their duties are governed by policy and practice, 

military chaplains must use substantial discretion and make value judgments when interpreting 

DoD policy and ministering to the pluralistic religious needs of the military. To avoid 

proselytizing, chaplains often have to balance their personal religious beliefs with the 

requirements of ministering to members of different faiths or to persons of no particular faith 

who are brought to personal crises during war. Also, chaplains must use substantial discretion 

when requested for actions that certain faith groups consider essential but are inconsistent with 

the chaplain’s personal religious beliefs, as opposed to civilian religious ministry professionals 

who provide specifically focused rites and sacraments according to their faith groups. 

 (5) Military chaplains also play an active, discretionary role in planning and preparation 

of activities when religion and other cultural issues and ideologies could have a pronounced 

influence on civil-military operations, psychological operations, or public affairs activities. 

 (6) If captured during an international armed conflict, unlike civilian or PSC employees 

performing religious or medical services, military chaplains and military medical personnel are 

not held as prisoners of war (POWs). They are retained persons who are permitted to attend to 

the religious and medical needs of U.S. POWs under the Geneva Convention. Their unique role 

is performed on behalf of the U.S. Government and cannot be delegated to DoD civilians or 

private sector contractors. (See Article 32 of the Third Geneva Convention (Reference (w)) and 

Articles 24, 28, and 30 of the Convention (I) for the Amelioration of the Condition of the 

Wounded and Sick in Armed Forces in the Field (Reference (x)).) 

 f. Criminal Justice and Law Enforcement Operations Performed in Operational 

Environments 

(1) How enemy prisoners of war (EPWs), civilian internees (CIs), retained persons 

(RPs), other detainees, terrorists, and other criminals are to be treated when captured, transferred, 

detained, and interrogated during or in the aftermath of hostilities, as addressed in DoD Directive 

2310.01E (Reference (y)), falls under the discretionary exercise of government authority. 

Responsibility for their handling as well as decisions concerning how they are treated cannot be 

transferred to private sector contractors. 

 (2) Consistent with Reference (g), control of prosecutions and performance of 

adjudicatory functions in support of UCMJ criminal justice proceedings are IG activities. 

Consistent with Reference (h) these activities must be performed by military personnel. 

Accordingly, this manpower shall be designated military and coded “A.” 

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 (3) Certain law enforcement operations, to include issuing warrants, making arrests, and 

preservation of crime scenes, are IG activities. According to Reference (g), direct conduct of 

criminal investigations is an IG activity. This includes interrogations and interviews conducted 

for law enforcement purposes. If these activities are carried out under the UCMJ as prescribed in 

Chapter 47 of Reference (h), or are performed in hostile areas where security necessary for DoD 

civilian performance cannot be provided, the operation shall use only military personnel. The 

Department of Defense shall build the appropriate mix of code “A” manpower and acquire and 

train the requisite military and civilian personnel to meet the requirements. Contractors, to 

include PSCs, are prohibited from performing law-enforcement activities. However, in areas 

where adequate security is available and expected to continue, properly trained and cleared 

contractors may perform special non-law-enforcement security activities that do not directly 

involve criminal investigations, so long as they are monitored by sufficiently trained government 

officials as required by Reference (g). 

 (4) Direction and control of confinement/correctional facilities for U.S. military 

prisoners in areas of operation are IG functions. Manpower performing these activities shall be 

designated military and coded “A” if the facility is for the confinement of offenders of the UCMJ 

as prescribed in section 951 of Reference (h) and the prisoners are under military command. 

 (5) Direction and control of detention facilities for EPWs, CIs, RPs, other detainees, 

terrorists, and other criminals in areas of operation are IG activities. Consistent with Chapter 47 

of Reference (h) and Reference (y), these activities must be performed by military personnel. 

Manpower performing these activities shall be designated military and coded “A.” This includes 

detention under the law of war as part of ongoing operations for their own protection or to 

remove potential threats from the battle space. 

g. Intelligence and Counterintelligence Operations Performed in Operational Environments. 

Consistent with Reference (g), direction and control of intelligence and counterintelligence 

operations are IG activities. This includes the approval, supervision, and oversight of 

intelligence interrogations and detainee debriefings. Also, consistent with References (e), (f), 

and (g), intelligence and counterintelligence activities (to include intelligence interrogations and 

detainee debriefings) that require the exercise of substantial discretion in applying government 

authority and/or in making decisions for the government are IG. When performed in hostile 

areas where security necessary for DoD civilian performance cannot be provided, the manpower 

shall be designated military and coded “A.” Otherwise, the manpower shall be designated DoD 

civilian and coded “A.” (See subparagraph 2.a.(2) of this enclosure for exemptions.) 

 

 h. Federal Procurement Activities Performed in Operational Environments. According to 

Reference (g), Federal procurement activities with respect to prime contracts (to include 

determining what supplies or services are to be acquired; approving, awarding, administering, 

and terminating contracts; and determining whether contract costs are reasonable, allocable, and 

allowable) are IG. When performed in hostile areas where security necessary for DoD civilian 

performance cannot be provided, the operation shall use only military personnel. Otherwise, the 

operation shall be performed by DoD civilian manpower. The Department of Defense shall 

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build the appropriate mix of code “A” manpower and acquire and train the requisite military and 

civilian personnel to meet the requirements. 

2. CRITERION B - EXEMPTION OF CS AND CSS DUE TO OPERATIONAL RISK. Section 

118(b) of Reference (h) requires that the Department of Defense plan to successfully execute the 

full range of missions called for in the national defense strategy at a low to moderate level of 

risk. Consistent with Reference (a), certain commercial CS and CSS functions are exempted 

from private sector performance and designated for DoD civilian or military performance for risk 

mitigation purposes. 

 a. Exemption for Military CS and CSS 

 (1) Manpower authorities shall designate CS or CSS support functions for military 

performance and code the manpower “B” if, in the commander’s judgment, performance of the 

function by DoD civilians or contractors or total reliance on DoD civilians or contractors would 

constitute an unacceptable risk. This includes situations where there is a significant risk that: 

 (a) The threat level could increase and military personnel would be needed on short 

notice to provide or augment a military capability. (Section 113 of Reference (h) requires the 

Department to maintain the capability to reconstitute or expand the defense capabilities of the 

armed forces on short notice to meet a resurgent or increased threat.) 

 (b) There would be an unsafe number of personnel in hostile areas who are not 

combatants. 

 (c) Activities that are closely associated with IG functions would be put at an 

inappropriate level of risk if contracted as addressed at subparagraph 1.b.(3) of Enclosure 5. 

 (d) DoD civilians or private sector contractors will not or cannot continue to perform 

their work. This includes situations where, in the commander’s judgment: 

 1. The contractor can no longer fulfill the terms of the contract because the threat 

level, duration of hostilities, or other terms specified in the contract have changed significantly. 

(See paragraph 2.d. of Enclosure 5 of this Instruction for examples.) 

 2. A U.S., international, or HN law; SOFA or other IA; or HN support agreement 

has changed in a manner that affects the terms of the contract. 

 3. There is too great a risk that a contractor would default or not comply with the 

rules on the use of force. 

 (e) Security provided by contractors could prove inadequate due to the contractor’s 

weapons, operational security, communications systems, or training. For example, contract 

security may be inadequate for a large cache of conventional arms, ammunitions, or explosives. 

In addition, a commander may determine that contract security is inadequate because there is too 

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great a risk that an encounter with an enemy or hostile force would lead to hostilities and 

necessitate assistance, reinforcement, or rescue. Contractors shall not provide security for 

nuclear weapons (in accordance with DoD 5210.41-M (Reference (z))) or other weapons of mass 

destruction, e.g., captured chemical, biological, radiological, or high-explosive weapons. 

 (2) There are prohibitions on the use of contractors for intelligence interrogations. 

(a) Consistent with section 1038 of Reference (p), no enemy prisoners of war, 

civilian internee, retained personnel, other detainee, or any other individual who is in the custody 

or under the effective control of the Department of Defense or otherwise under detention in a 

DoD facility in connection with hostilities may be interrogated by contractor personnel unless 

the following four conditions are met: 

1. The Secretary of Defense determines that a waiver to this prohibition is vital to 

the national security interests of the United States and waives the prohibition for a period of 60 

days; or determines that a renewal of the waiver is vital to the national security interests of the 

United States and renews the waiver for an additional 30-day period (see section 3 of Enclosure 

2 concerning submission of requests for waivers to the USD(I)). 

2. The contract interrogator is properly trained and certified to DoD standards 

consistent with DoD Directive 3115.09 (Reference (aa)). 

3. A sufficient number of properly trained and certified DoD military and/or DoD 

civilian interrogators supervise and closely monitor the contract interrogator in real time 

throughout the interrogation process to ensure that the contract interrogator does not deviate 

from the government-approved interrogation plan or otherwise perform any IG function. 

4. A video and audio recording is made of the interrogation to the extent required 

by section 1080 of Reference (p) and consistent with Reference (aa). 

(b) Consistent with section 1038 of Reference (p), in areas where adequate security is 

available and is expected to continue, contractor personnel with proper training and security 

clearances may be used as linguists, interpreters, report writers, information technology 

technicians, and other employees filling ancillary positions (including as trainers of, and advisors 

to, interrogators) in the interrogation of persons described above if: 

 1. Such persons are subject to the same rules, procedures, policies, and laws 

pertaining to detainee operations and interrogations as apply to government personnel in such 

positions in such interrogations; and, 

 2. Appropriately qualified and trained military or civilian personnel of the 

Department of Defense are available to oversee the contractor’s performance and to ensure that 

contractor personnel do not perform activities that are prohibited under this section. 

(3) Manpower authorities also shall designate CS or CSS support functions for military 

performance and code the manpower “B” if there is a law, IA, HN support agreement, or 

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regulatory impediment to contracting the support service and DoD civilians cannot perform the 

work. For example, as explained at subparagraph 1.b.(2) of Enclosure 5 of this Instruction, DoD 

Components may not award personal services contracts unless specifically authorized by statute. 

 (4) This manpower provides a ready and controlled source of technical competence (core 

capability) necessary to ensure an effective and timely response to a national emergency or 

crisis. Decisions about the number of CS and CSS units necessary to provide a core capability 

are based on the guidance for risk assessments at Enclosure 5 of this Instruction. 

 b. Exemption for Civilian CS and CSS 

 (1) Manpower authorities shall designate CAs that support the operating forces for DoD 

civilian performance and code the manpower “B” if, in the commander’s judgment, performance 

of the function by PSCs or total reliance on PSCs would constitute an unacceptable risk. 

 (2) This includes: 

(a) E-E manpower that provides continuity of operations for essential functions, 

maintains the availability of combat-essential systems, or performs duties critical to combat 

operations in overseas locations during a crisis when other civilians are evacuated as provided by 

Reference (t). 

(b) Manpower that performs personal services, or that performs activities that are 

closely associated with IG functions that would be put at an inappropriate level of risk if 

contracted (see subparagraphs 1.b.(2) and (3) of Enclosure 5). 

 (3) This manpower is exempted from private sector performance and designated for DoD 

civilian performance. These positions cannot be vacated or eliminated during a mobilization or 

other national emergency without seriously impairing the ability of the activity to function 

effectively. These positions are also designated as key following the procedures in Reference (u) 

to indicate that they are not to be filled by Ready Reservists who can be called to active duty. 

 (4) Examples include supply and maintenance of strategic weapon systems, Army units 

at echelon above division, Army logistical support elements that deploy to hostile areas, 

technology escort units that retrieve chemical and biological weapons in forward areas, and Navy 

ships with CS missions that are part of the combat logistics force. 

 c. Threat Levels. Because operational risk often depends on the threat level in a geographic 

region, coding for this manpower should be reevaluated as threat levels change. 

3. CRITERION D - EXEMPTION OF MANPOWER DUAL-TASKED FOR WARTIME 

ASSIGNMENTS. Consistent with Reference (a), manpower authorities shall establish sufficient 

manpower in the infrastructure so that an adequate pool of personnel is available for critical 

assignments in the operating forces during a mobilization or other national emergency. 

Manpower authorities shall consult mobilization and crisis planners within the DoD Component 

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to identify personnel in the infrastructure who are needed for assignments in the operating forces 

during such emergencies. The manpower shall be coded “D” to indicate the incumbents are 

dual-tasked for wartime assignments (i.e., assigned to positions in the infrastructure and also 

counted for assignments in the operating forces). 

a. Military Manpower Designated for Wartime Assignments. Manpower in the 

infrastructure shall be designated military and coded “D” if the incumbents are active military or 

Active Guard and Reserve who are designated for assignments in the operating forces or serve as 

replacements for personnel in the operating forces during a mobilization or other national 

emergency, but perform CAs in the infrastructure during peacetime. For example, the Navy uses 

active-duty military from the shore establishment to stand-up fleet hospitals and to staff hospital 

ships with medical personnel during emergencies. Also, Air Force unit type code military are 

coded “D.” This manpower is designated military and exempted from private sector 

performance because the incumbents are needed for assignments in the operating forces during a 

mobilization or other national emergency before Reserve Component personnel are recalled and 

before post-mobilization recruits (i.e., personnel acquired after mobilization) can be trained and 

assigned to the operating forces to support or sustain a military operation. 

b. Civilian Manpower Designated for Assignments During a Mobilization or Crisis. 

Manpower in the infrastructure shall be designated DoD civilian and coded “D” if the 

incumbents are designated for assignments in operating forces overseas or serve as alternates or 

replacements for personnel in overseas assignments in the operating forces during a mobilization 

or other national emergency. For example, E-E personnel who are assigned overseas during a 

crisis or who replace E-E personnel assigned to positions in overseas locations according to 

Reference (t) are coded “D.” These positions are also designated as key following the 

procedures in Reference (u) to indicate that they are not to be filled by Ready Reservists that can 

be called to active duty. Also, DoD civilians who are dual-status military technicians covered by 

section 115(c) of Reference (h) who train the Selected Reserve (SELRES) or maintain or repair 

equipment issued to the SELRES or Active Component forces during peacetime are coded “D” if 

they are designated for military wartime assignments in units of the SELRES. 

c. Designations for Assignments. Manpower authorities shall consult mobilization and crisis 

planners within the DoD Component to determine the number and skills required for these 

assignments and centrally manage the coding for this manpower. 

4. CRITERION E - DoD CIVILIAN AUTHORITY, DIRECTION, AND CONTROL. The IG 

duties in this section are inherent to DoD civilian authority, direction, control, and accountability 

of the Department of Defense consistent with Reference (h). Manpower analysts shall designate 

this work for civilian performance and code the manpower “E.” If the incumbents also have 

emergency-essential responsibilities, the manpower also shall be designated E-E as provided by 

Reference (t). If the positions cannot be vacated or eliminated during a mobilization or other 

national emergency without seriously impairing the ability of the activity to function effectively, 

the manpower shall be designated as key following the procedures in Reference (u) to indicate 

that they are not to be filled by Ready Reservists that can be called to active duty. 

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 a. Civilian Leadership and Control. Manpower shall be designated civilian and coded “E” if 

the incumbents are directly and ultimately accountable for accomplishment of missions, 

discretionary exercise of DoD authority, or judgments relating to monetary transactions and 

entitlements. This includes ultimate control of the acquisition, use, or disposition of U.S. 

property (real or personal, tangible or intangible). It includes the authority to obligate Federal 

funds or to commit the Department of Defense to take or not take action by contract, policy, 

regulation, authorization, order, or otherwise. Examples include the duties and responsibilities 

vested in the Secretary of Defense; Secretaries of the Military Departments; Directors of Defense 

Agencies and DoD Field Activities; and other civilian officials specified in sections 131-142, 

3013-3022, 5013-5026, and 8013-8022 of Reference (h). This also includes program/project 

managers, contracting officers, and other officials delegated management authority (direction 

and final decision making) and accountability for: 

 (1) Conduct of foreign relations and determination of foreign policy according to 

Reference (g), including implementation of IAs and treaties covered by DoD Directive 5530.3 

(Reference (ab)), law of war under DoD Directive 2311.01E (Reference (ac)), and foreign 

military sales and security assistance programs. 

 (2) Recommendations and responses to Congress for changes to governing legislation 

and comments to draft legislation on matters concerning the Department of Defense. 

 (3) Determination of policies, directives, and regulatory guidance to include determining 

the content and application of regulations, consistent with Reference (g). However, contractors 

may perform services that involve or relate to the development of regulations so long as the work 

is properly reviewed by government personnel according to Reference (g). 

 (4) Approval of strategic plans according to section 306 of Reference (d), as well as 

program goals and objectives (including national security objectives). 

 (5) Determination of DoD program priorities for budget requests and determination of 

budget policy, guidance, and strategy according to Reference (g). 

 (6) Discretionary decisions concerning the effective, efficient, and economical 

organization, administration, and operation of the Department of Defense, such as decisions to 

transfer a function, power, or duty; delegate authority; or approve support agreements, 

cooperative agreements, and non-procurement transactions. 

 (7) Direction and control of certain functions and operations, to include intelligence and 

counterintelligence operations and activities, criminal investigations, and adjudications (other 

than those relating to arbitration or other methods of alternative dispute resolution) according to 

Reference (g). 

 (8) Control of treasury accounts and the administration of public trusts and grants 

according to Reference (g). 

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 (9) Direction and ultimate control over the acquisition, use, or disposal of property (real 

or personal, tangible or intangible), to include the collection, control, and disbursement of 

appropriated and non-appropriated funds according to References (e), (f), and (g). 

 b. Civilian Expertise and Experience. Manpower shall be designated civilian and coded “E” 

if Defense officials require the incumbent’s judgment and insight to make informed decisions 

and preclude sole reliance on contract advisory assistance. The incumbents of these positions 

enable Defense officials to maintain ultimate control and accountability of government 

operations, federally funded projects, contracts, or government property or funds. Their role is 

closely associated with, and inherent to, the decision maker’s. They perform an active and 

informed role in policy development, program execution, contract administration, and judiciary 

or fiduciary matters. They also perform a discretionary role in establishing objectives, setting 

priorities, judging risks, or deciding on a course of action by narrowing the number of 

alternatives and recommending the DoD-preferred position based on their corporate knowledge; 

technical expertise; and advice, opinions, and recommendations provided by sources inside and 

outside the Department of Defense. Examples include manpower that has been delegated 

authority to: 

 (1) Establish terms for IAs, treaties, foreign military sales, and security assistance 

programs. However, contractors may assist in these activities by gathering information or 

providing advice, opinions, or recommendations. 

 (2) Draft or develop proposed changes to governing legislation and comments to draft 

legislation and draft Congressional testimony, responses to Congressional correspondence, or 

agency responses to audit reports from the Inspector General, the Government Accountability 

Office, or other Federal audit entity according to Reference (g). However, contractors may 

provide background information to assist governmental personnel with these activities. 

 (3) Interpret, develop, or evaluate legal opinions and implementing policy for laws, 

E.o.s, treaties, and IAs. However, contractors may assist government personnel by providing 

non-legal advice according to Reference (g). 

 (4) Draft, develop, or evaluate strategic plans, justifications for strategic plans, planning 

options, priorities, and strategies required under section 306 of Reference (d); and draft or 

develop performance goals, performance indicators, performance plans, program evaluations, 

and program performance reports required under sections 1115 and 1116 of Reference (e). 

 (5) Develop or evaluate program and budget requests. However, contractors may assist 

government personnel with these activities through workload modeling, efficiency studies, fact 

finding, feasibility studies, “should-cost” analyses, and other analyses per Reference (g). 

 (6) Maintain control and accountability of government operations, federally funded 

programs and projects, contracts, and Federal property and funds. However, contractors may 

assist government personnel with these activities through workload modeling, fact finding, 

feasibility/efficiency studies, and other analyses of a non-discretionary nature to support program 

317 DCMA Administrative Record for FY 2013 Furlough Appeals
management, acquisition planning, and evaluations as provided by Reference (g). Manpower 

shall be designated DoD civilian and coded “E” if they are responsible for: 

 (a) Administering and managing government operations to include discretionary 

decisions on the reorganization and improvement of activities. However, contractors may assist 

government personnel by providing advice, opinions, ideas, or recommendations; gathering 

information; and performing other non-discretionary services that involve or relate to 

reorganizing or improving activities consistent with Reference (g). 

 (b) Systems acquisition management. However, according to section 2383 of 

Reference (h), contractors may support government personnel in acquisition planning by 

gathering information; providing advice, opinions, recommendations, or ideas; and assisting in 

program monitoring, milestone and schedule tracking, and other non-discretionary tasks. 

 (c) Allocating resources (dollars and manpower) and obligating Federal funds. 

However, employee utilization of government credit cards for the purchase of office supplies or 

temporary duty travel does not meet the funds obligation criteria specified here. 

 (d) With respect to prime contracts, determining what supplies or services are to be 

acquired by the government. However, according to Reference (g), an agency may give 

contractors authority to acquire supplies at prices within specified ranges and subject to other 

reasonable conditions deemed appropriate by the Department of Defense, subject to government 

oversight and acceptance. 

 (e) Awarding, terminating, and administering contracts for goods and services to 

include ordering changes to contract performance or contract quantities, taking action based on 

evaluation of contract performance, and accepting or rejecting contract products or services as 

prescribed in Reference (g). However, subject to applicable conflict-of-interest laws and 

regulations, contractors may assist in the development of statements of work and provide 

technical evaluations of contract proposals, so long as the contractor’s involvement is properly 

administered. In such cases, the government must not allow the contractor to perform in 

conflicting roles that might bias its judgment, or to gain an unfair competition advantage by 

virtue of access to confidential business information or other sensitive information. 

 (f) Approving any contractual document (including documents defining 

requirements, incentive plans, and evaluation criteria) or participating as a voting member on any 

source selection boards or performance evaluation boards according to Reference (g). However, 

contractors may participate as technical advisors to a Source Selection Evaluation Board 

according to section 2383 of Reference (h). 

 (g) Determining whether contract costs are reasonable, allocable, and allowable 

according to Reference (g). 

 (h) Determining what government property (real or personal, tangible and intangible) 

is to be disposed of and on what terms. However, contractors may be given authority under 

government oversight to dispose of property identified by the government at prices within clearly 

318 DCMA Administrative Record for FY 2013 Furlough Appeals
specified ranges as determined by the government and subject to other reasonable conditions 

deemed appropriate by the Department of Defense consistent with Reference (g). 

 (i) Consistent with Reference (g), collecting, controlling, and disbursing fees, 

royalties, duties, fines, taxes, and other public funds unless the function involves: 

 1. Activities authorized by statute, such as sections 3711 and 3718 of Reference 

(e) relating to private collection contractors and private collection services. 

 2. Collection of fees, fines, penalties, or other charges from visitors to or patrons 

of mess halls, post or base exchange concessions, and similar entities or activities, or from other 

persons, where the amount to be collected is easily calculated or predetermined and the funds 

collected can be easily controlled using standard cash management techniques. 

 3. Routine voucher and invoice examination. 

 (7) Maintain direction and control of the Defense workforce and contract services to 

include responsibility for: 

 (a) Actions to commission, appoint, direct, or control military and civilian personnel 

of the United States, consistent with Reference (e), to include the selection or non-selection of 

individuals for Federal government employment (including the interviewing of individuals for 

employment) and the approval of position descriptions and performance standards for Federal 

employees according to Reference (g). However, when activities are identified for competition 

or private sector performance, concomitant supervisory duties may also be designated for 

competition or private sector performance if they are not otherwise IG. 

 (b) Volunteers including those covered by section 1588 of Reference (h), and directand indirect-hire foreign national employees. 

 (c) Personal service contracts and general service contracts. However, contractors 

may be used for contract quality control and performance evaluation or inspection services under 

government oversight, provided guidelines for products or services can be specified and 

contractor involvement properly administered. In such cases, contractors must be precluded 

from influencing official evaluations of other contractors, and from gaining access to 

confidential business information or other sensitive information according to Reference (g). 

 (d) Supervision of contractor performance of acquisition functions required by 

section 2383(a)(2)(A) of Reference (h). 

 (8) Represent DoD interests at official functions, negotiations, and hearings, or conduct 

activities involving criminal justice, labor relation, law enforcement, or entitlement matters. 

Examples include: 

 (a) Control and performance of adjudicatory functions other than those relating to 

arbitration or other methods of alternative dispute resolution according to Reference (g). 

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However, contractors may assist government personnel with these activities by gathering 

information or providing advice, opinions, recommendations, or ideas. 

 (b) Negotiation (e.g., endangered species negotiations and re-negotiations for Federal 

personnel rules for bargaining units). However, contractors may assist government personnel 

with these activities by gathering information or providing advice, opinions, and 

recommendations. 

 (c) Certain law enforcement operations. This includes the authority to execute and 

serve warrants, make arrests without a warrant, and other duties assigned to special agents of the 

Defense Criminal Investigative Service according to section 1585a of Reference (h). It also 

includes the preservations of crime scenes. However, properly trained and cleared contractors 

may perform special non-law-enforcement security activities that do not directly involve 

criminal investigations according to Reference (g). 

 (d) Direct conduct of criminal investigations according to Reference (g). 

 (e) Conduct of employee labor relations. However, contractors may serve as 

arbitrators or provide alternative methods of dispute resolution according to Reference (g). 

 (f) Conduct of administrative hearings to determine eligibility for security clearances 

or eligibility to participate in government programs; addressing actions that affect matters of 

personal reputation according to Reference (g); or resolving matters related to government 

employment except as provided in Chapter 11 of Reference (d). 

 (g) Approval of Federal license applications (except for vehicles or support 

equipment) and inspections according to Reference (g). 

 (9) Develop and clarify policy, to include DoD decisions regarding responses to requests 

for information in accordance with section 552 of Reference (d) (also known and hereafter 

referred to as “the Freedom of Information Act (FOIA)”) and administrative appeals of denials of 

FOIA requests. However, according to Reference (g), contractors may assist government 

officials with routine responses that, because of statute, regulation, or agency policy, do not 

require the exercise of any judgment in determining whether documents are to be released or 

withheld. 

 (10) Conduct test and evaluations (T&E) to determine the potential utility and 

operational suitability and effectiveness of systems and technologies; or the suitability of critical 

human design and human factors engineering features for systems that will be operated or 

maintained by DoD civilians. However, contractors may be used to provide direct support to 

organic T&E activities under government oversight and according to applicable laws. 

 (11) Direct or control intelligence and counterintelligence operations consistent with 

Reference (g), and perform intelligence activities that require the exercise of substantial 

discretion in applying government authority and/or in making decisions for the government 

consistent with Reference (e), (f), and (g). This includes clandestine intelligence operations. It 

320 DCMA Administrative Record for FY 2013 Furlough Appeals
also includes direction, control, approval, supervision, and oversight of intelligence 

interrogations and detainee debriefings and, consistent with References (e), (f), and (g), 

performance of those aspects of intelligence interrogations and detainee debriefings that require 

the exercise of substantial discretion in applying government authority and/or in making 

decisions for the government. (See subparagraph 2.a.(2) of this enclosure for additional 

exemptions.) 

 c. Support to Agencies Outside the Department of Defense. Manpower shall be designated 

civilian and coded “E” if they provide advisory assistance on defense-related matters on behalf 

of the Department of Defense while on permanent duty outside the Department of Defense (e.g., 

to Congress, the White House, and other Federal or State agencies). This manpower is 

established by formal request and approved following procedures in DoD Directive 1000.17 

(Reference (ad)) or some other formal approval process. 

 d. Support Provided to International Organizations and Foreign Nations. Manpower that 

provides advisory assistance and support to international organizations and foreign nations on 

defense-related matters shall be designated civilian and coded “E” if the work requires 

proficiencies that are not authorized to be obtained from the private sector or other government 

agencies. For example, exchanges of civilian personnel between the Department of Defense and 

defense ministries of foreign governments intended to encourage a democratic orientation of 

defense establishments of other countries as prescribed in section 168 of Reference (h) are coded 

“E.” 

5. CRITERION F - MILITARY-UNIQUE KNOWLEDGE AND SKILLS 

 a. Military Advice and Counsel. Manpower shall be designated military and coded “F” if 

the incumbents are specifically required by Reference (h) to provide military advice and counsel 

to the President, Congress, National Security Council, Secretary of Defense, senior DoD 

officials, or Secretaries, Under Secretaries, and Assistant Secretaries of the Army, Navy, and Air 

Force. Examples include the Chairman and Vice Chairman of the Joint Chiefs of Staff; Chiefs, 

Vice Chiefs, Deputy Chiefs, and Assistant Chiefs of Staff of the Army, Air Force, and Marine 

Corps; Chief, Vice Chief, Deputy Chiefs, and Assistant Chiefs of Naval Operations; and 

Commandant and Assistant Commandant of the Marine Corps. These are IG responsibilities, 

established by post or appointment under Reference (h), that require extensive military judgment 

based on military experience and cannot be transferred to DoD civilians or to the private sector. 

 b. Accomplishment of Military Missions. CCDRs are responsible to the President and 

Secretary of Defense for the execution of military missions. These are IG responsibilities 

established under Reference (h) that require military judgment based on extensive military 

experience and cannot be transferred to DoD civilians or to the private sector. This manpower 

shall be designated military and coded “F.” 

 c. Policy and Procedure. Manpower in infrastructure activities shall be designated military 

and coded “F” if the incumbents have the authority to commit the Department of Defense to take 

action by direction, order, policy, regulation, contract, authorization, or otherwise; or have 

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responsibility for activities listed in paragraph 4.a. of this enclosure and the work requires 

military-unique knowledge and skills. This includes program directors, managers, directors of 

line operations, or principal staff elements, and other military personnel that are delegated these 

authorities and whose recent military training and current military experience are required for the 

successful performance of the prescribed duties. 

 d. Military Justice. Manpower in infrastructure activities responsible for military justice on 

behalf of the United States shall be designated military and coded “F.” These are IG 

responsibilities established by Reference (h) that require military representation and cannot be 

transferred to DoD civilians or to the private sector. For instance, responsibility for the 

administration of justice under the UCMJ in general and special courts-martial, summary courtsmartial, courts of inquiry, and other legal proceedings is assigned to the Judge Advocates 

General, military judges, and judge advocates (staff judge advocates, prosecutors, defense 

counsel, and appellate counsel), as defined in section 801 of Reference (h). The exercise of 

judicial and non-judicial punishment under the UCMJ is a responsibility assigned to 

commanding officers, as defined in section 801 of Reference (h), pursuant to sections 822-824 

and section 815 of Reference (h). 

 e. Law Enforcement Under the UCMJ. Manpower that issue warrants, make arrests, 

preserve crime scenes, or (consistent with Reference (g)) conduct criminal investigations shall be 

designated military and coded “F” if the duties are carried out under the UCMJ as prescribed in 

Chapter 47 of Reference (h). 

 f. Administration of Military Confinement/Correctional Facilities. Manpower responsible 

for the direction and control of military confinement/correctional facilities shall be designated 

military and coded “F” if the facility is established for the confinement of offenders of the UCMJ 

as prescribed in section 951 of Reference (h), and the prisoners are under military command. 

 g. Military-Unique Knowledge and Experience. Manpower shall be designated military and 

coded “F” if Defense officials require the incumbent’s military-unique judgment and insight to 

make informed decisions and preclude sole reliance on contract advisory assistance. The 

incumbents of these positions enable Defense officials to maintain ultimate control and 

accountability of government operations, federally funded projects, Federal contracts, 

government property, and funds. Their role is closely associated with, and inherent to, the 

decision maker’s. They perform an active and informed role in policy development, program 

execution, contract administration, and judiciary or fiduciary matters. The incumbents ensure 

that DoD officials are properly connected to the warfighting establishment and are aware of the 

warfighter’s perspective on programs and actions intended to support military operations. They 

perform a discretionary role in establishing objectives, setting priorities, assessing alternatives, 

judging risks, and deciding the course of action on military-related matters by narrowing the 

number of alternatives and recommending the preferred position. They decide the DoD 

preferred position based on their military-unique knowledge and experience; technical expertise; 

and advice, opinions, recommendations, and ideas provided by sources inside and outside the 

Department of Defense. (The required knowledge and experience must be more substantial than 

what DoD civilians with prior military experience could provide.) This includes activities 

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identified and examples listed in paragraph 4.b. and subparagraphs 5.g.(1) through (5) of this 

enclosure. 

 (1) Manpower that determines operational requirements and gaps in military capabilities 

shall be designated military and coded “F” if the work entails judgment based on military-unique 

knowledge and experience acquired through recent assignments in the operating forces. 

 (2) Manpower that provides military training shall be designated military and coded “F” 

if it meets the following criteria. 

(a) Training shall be designated military and coded “F” if the instructor commands 

military trainees (as with basic training) or provides training that is specifically designed to 

acculturate military personnel on military standards or conventions. In addition, training of 

military doctrine or tactics is IG if the course material is evolving and not yet covered by 

government practice, policy, or procedures, or the training requires military expertise that can 

only be acquired through recent operational experience. Training is also IG if military presence 

is needed to demonstrate military leadership; to ingrain responsibility for the proper use of 

deadly force and proper conduct during armed conflicts; or, through example, to reinforce the 

integrity of the military command structure. Training functions that require substantial 

discretion are IG. For example, oversight of the instruction and approval of the curriculum are 

IG functions. 

(b) Training that is coded “F” may be imparted formally in a classroom or in a unit. 

Examples include drill instructors; commandants of cadets at military academies; instructors in 

fleet training centers and schools that provide tactical aviation or field training based on current 

operational experience; and Active Component advisors to the United States National Guard and 

United States Army Reserves. 

(c) Contractors may assist government instructors or provide training on the 

mechanics, supply, maintenance, functionality, or operation of military equipment or weapons, 

provided the course material is approved by government personnel and proper oversight of the 

instruction is maintained. 

 (3) Manpower that performs research, development, test, and evaluation shall be 

designated military and coded “F” if the work requires judgment concerning the potential utility 

of emerging technologies; strategies for integrating new systems with fielded systems on the 

battlefield or in the fleet; critical human design and human factors engineering features; or 

appropriate tests for operational suitability and effectiveness. 

(a) This includes activities at program development agencies, testing facilities, 

aircraft plants, shipyards, or other armament production centers where recent “hands-on” 

experience and military judgment are needed to provide an independent and objective evaluation 

of operational effectiveness and suitability of acquisition systems that will be operated and 

supported by military personnel. (Defense policy requires that during operational test and 

evaluation, “typical” military users operate and maintain the test systems under conditions that 

323 DCMA Administrative Record for FY 2013 Furlough Appeals
realistically simulate combat stress and peacetime environments if military personnel will be 

operating and maintaining the systems once they are fielded and/or deployed.) 

(b) This does not include positions covered by section 1722 of Reference (h) that are 

competed for fill by both DoD civilian and military personnel unless the work requires militaryunique judgment. 

 

 (4) How enemy EPWs, CIs, RPs, other detainees, terrorists, and other criminals are 

treated when captured, transferred, detained, and interrogated during or in the aftermath of 

hostilities (as addressed in Reference (y)) falls under the discretionary exercise of government 

authority. Responsibility for their handling as well as decisions concerning how they are to be 

treated cannot be transferred to the private sector to contractors who are beyond the reach of 

government controls. This does not include support functions performed by linguists, 

interpreters, report writers, command, control, communication, computer, and information 

technology technicians, etc., provided sufficient safeguards are implemented to ensure the work 

is non-discretionary and properly performed. (See Enclosure 5 of this Instruction.) 

 (5) Manpower that performs certain law enforcement functions, to include issuing 

warrants, making arrests, and preserving crime scenes, shall be designated military and coded 

“F.” Consistent with Reference (g), manpower for the conduct of criminal investigations for 

EPWs, CIs, RPs, other detainees, terrorists, or other criminals shall be designated military and 

coded “F” if the individuals are detained under the law of war as part of ongoing operations for 

their own protection or to remove potential threats from the battle space. However, properly 

trained and cleared DoD civilians and contractors may perform special non-law-enforcement 

security activities that do not directly involve criminal investigations according to Reference (g). 

 (6) Manpower that directs and controls detention facilities for EPWs, CIs, RPs, other 

detainees, terrorists, and other criminals outside the areas of operation shall be designated 

military and coded “F” (consistent with Chapter 47 of Reference (h) and Reference (y)) if the 

individuals are detained under the law of war as part of ongoing operations for their own 

protection or to remove potential threats from the battle space. 

 (7) Manpower that directs and controls intelligence and counterintelligence operations 

consistent with Reference (g), and performs intelligence or counterintelligence 

activities/operations that require the exercise of substantial discretion in applying government 

authority and/or making decisions for the government consistent with References (e), (f), and (g) 

shall be designated military and coded “F” if the required knowledge and skills are militaryunique. (See Enclosure 5 of this Instruction.) This includes clandestine intelligence operations 

and direction, control, approval, supervision, and oversight of intelligence interrogations and 

detainee debriefings and, consistent with References (e), (f), and (g), performance of those 

aspects of interrogations and detainee debriefings that require the exercise of substantial 

discretion in applying government authority and/or making decisions for the government. (See 

subparagraph 2.a.(2) of this enclosure for additional exemptions.) 

 h. Support to Agencies Outside the Department of Defense. Manpower that provides 

advisory assistance to agencies outside the Department of Defense on defense-related matters on 

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behalf of the Department shall be designated military and coded “F” if the work requires 

military-unique knowledge and skills. 

 (1) This includes personnel in permanent duty stations outside the Department of 

Defense established by formal request and approved following procedures in Reference (ad) or 

some other formal approval process. Examples include attachés to U.S. embassies and couriers 

for the State Department, as prescribed in sections 711-720 of Reference (h). 

 (2) This does not include military support provided to eligible organizations and 

activities outside the Department of Defense that is incidental to military training, accomplished 

through innovative readiness training covered by DoD Directive 1100.20 (Reference (ae)) or 

interagency support to a DoD activity by a DoD activity according to DoD Instruction 4000.19 

(Reference (af)). 

 i. Support Provided to International Organizations and Foreign Nations. Manpower that 

provides advisory assistance and support to international organizations and foreign nations on 

defense-related matters on behalf of the Department of Defense shall be designated military and 

coded “F” if the work requires military-unique knowledge and skills acquired through recent 

assignments in the operating forces. Examples include: 

 (1) Military details to republics in the Western Hemisphere to assist in military matters 

according to section 712 of Reference (h). 

 (2) Support to North Atlantic Treaty Organization military commands and agencies if the 

manpower is not part of DoD internal management or command structure. 

 (3) Exchanges of military personnel between the Department of Defense and defense 

ministries of foreign governments and between units of the Military Services and units of foreign 

armed forces to encourage a democratic orientation of defense establishments and military forces 

of other countries as prescribed in Reference (h). 

6. CRITERION G - EXEMPTION FOR ESPRIT DE CORPS. Consistent with Reference (a), 

manpower authorities shall exempt a limited number of CAs in the infrastructure from private 

sector performance for esprit de corps, to foster public support for the Department of Defense 

and assist in meeting recruitment and retention objectives. This manpower shall be designated 

DoD civilian or military and coded “G” as explained in this section. These exemptions are 

intended to demonstrate DoD commitment to the men and women who serve in defense of the 

Nation and engender group spirit, camaraderie, and a sense of pride. 

 a. Military Esprit de Corps 

 (1) Examples of military esprit de corps include: 

 (a) Military bands that wear military uniforms and perform during peacetime and war 

to promote group spirit and pride. 

325 DCMA Administrative Record for FY 2013 Furlough Appeals
 (b) Honor guards such as the 3rd Infantry Old Guard and Honor Guards, who 

perform at funerals and other ceremonies during peacetime and war to promote group spirit, a 

sense of pride, and honor. 

 (c) Navy Blue Angels who demonstrate military expertise to the public. 

 (d) Superintendents at the U.S. Military Academy, the U.S. Naval Academy, and the 

U.S. Air Force Academy, covered by Reference (h), and Reserve Officers’ Training Corps 

instructors, who all serve as military role models. 

 (e) The Army Director of Religious Education who provides religious education and 

counseling to soldiers and their family members. (Chaplain assistants in garrison assignments 

are not included.) 

 (f) A set number of military recruiters who wear military uniforms to instill a sense 

of pride in military service and serve as military role models for potential recruits. 

 (2) These exemptions are for functions that can be performed by DoD civilians or, in 

some cases, the private sector, but without the same effect. Military performance of these 

activities carries special meaning for military personnel, their families, and the public. 

 (3) In the manpower mix order of precedence, “Exemptions for Military and Civilian 

Wartime Designations (dual status),” code “D,” takes precedence over esprit de corps. 

Therefore, manpower that promote esprit de corps during peacetime but are dual-tasked for 

wartime assignments (such as Thunderbirds, Golden Knights, Army Marksmanship Units, and 

Parachute Units that demonstrate military expertise to the public) are coded “D.” Only 

manpower that promote military esprit de corps during peacetime and war are coded “G.” 

 b. Civilian Esprit de Corps 

 (1) Examples of civilian esprit de corps include faculty at the U.S. Military Academy, 

U.S. Naval Academy, and U.S. Air Force Academy, as authorized by Reference (h), and 

principals and faculty at DoD Dependents’ Schools to demonstrate family support, promote 

quality of life, and foster camaraderie for recruitment and retention purposes. 

 (2) These exemptions are for functions that can be performed by the contractors but 

without the same effect. Direct involvement by DoD civilians demonstrates DoD dedication to 

family matters and carries special meaning for military members and their families. 

7. CRITERION H - EXEMPTION FOR CONTINUITY OF INFRASTRUCTURE 

OPERATIONS. Consistent with Reference (a), manpower authorities shall provide sufficient 

manpower for the efficient and effective operation of the Department of Defense. This includes 

manpower needed for continuity of operations during peacetime, crisis, or war. 

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 a. Continuity of Operations During National Emergency or War. During a national 

emergency or war, when military and DoD civilian personnel dual-tasked for wartime 

assignments (code “D”) are reassigned to operating units, their vacant positions might not be 

backfilled immediately, or at all, depending on the wartime mission and workload. However, 

because high numbers of vacant positions can impair the ability of an activity to function 

effectively, activities with critical wartime missions that employ code “D” manpower must retain 

sufficient manpower to continue operations until critical vacated positions are filled. 

 (1) Manpower in the infrastructure shall be designated civilian and coded “H” if the 

positions cannot be vacated or eliminated during a national emergency or war without seriously 

impairing the ability of the activity to function effectively. This manpower serves as a corps 

capability during a national emergency or war. For example, the Department requires a corps 

capability for training critical skills. Manpower authorities also shall designate these positions as 

key positions following the procedures in Reference (u) to indicate that they are not to be filled 

by Ready Reservists that can be called to active duty. 

 (2) Decisions to code manpower “H” shall be made in conjunction with decisions to 

code manpower “D” as addressed in section 3 of this enclosure. 

 b. Continuity of Peacetime Operations 

 (1) CAs with manpower that are designated for rotation (code “J”) or career development 

(code “K”) must have sufficient manpower to continue operations as personnel transfer in and 

out of the activity. (See sections 9 and 10 of this enclosure.) Manpower shall be designated 

civilian and coded “H” if it is needed for continuity of operations in CAs where there is high 

personnel turnover due to rotation or career development. This manpower serves as a corps 

capability during peacetime. Decisions to code manpower “H” shall be made in conjunction 

with decisions to code manpower “J” and “K.” Also, decisions on the numbers of civilians 

needed for the continuity of direct patient care shall be determined in conjunction with decisions 

for shared health care as provided by DoD Instruction 6025.5 (Reference (ag)). 

 (2) Some activities require personal services for their efficient and effective operation. 

Consistent with Subpart 37.104 of Reference (g), personal services may not be contracted unless 

specifically authorized by statute. Determination as to what qualifies as personal services is 

often tied to how the work is performed or administered. A key indicator of personal services is 

when the government must exercise relatively continuous supervision and control over the 

personnel performing the work. This includes situations where (due to the nature of the service 

or the manner in which it is provided) government direction or supervision is needed to 

adequately protect the government’s interests, retain control of the function involved, or retain 

full personal responsibility for the function supported in a government official or employee. 

(See subparagraph 1.b.(2) of Enclosure 5 of this Instruction for examples.) When assessing these 

positions, particular attention should be paid to services that are closely associated with IG 

functions since they often require the type of continuous supervision or control that is prohibited 

under section 37.104 of Reference (g). This includes, but is not limited to, functions listed in 

section 7.503(d) of Reference (g). Also, not all personal services are prohibited from being 

contracted. This includes personal services for experts and consultants authorized under section 

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129b of Reference (h) and health care authorized under section 1091 of Reference (h). 

Manpower shall be designated civilian and coded “H” if the incumbents provide personal 

services that are required for the efficient and effective operation of an activity but are prohibited 

from being contracted. 

 (3) CAs that are closely associated with IG functions may be designated for DoD civilian 

performance rather than contracted when the manpower is needed to respond quickly and 

efficiently to constantly changing priorities or peak workloads within IG activities, or to properly 

administer or retain control of operations. This includes, but is not limited to, functions listed in 

section 7.503(d) of Reference (g). For example, this includes civilian personnel that would be 

needed to perform acquisition functions closely associated with IG functions as required by 

section 2383(a)(1) of Reference (h). To be coded “H,” the manpower must be needed as a ready 

and controlled source of technical or professional expertise (a core capability) to quickly respond 

to recurring or sporadic surges in IG workload or to enable managers to more effectively manage 

or control work that is associated with IG functions so that IG responsibilities are not put at risk 

and continuity of operations is maintained. (See subparagraph 1.b.(3) of Enclosure 5 of this 

Instruction for examples.) 

 c. Emergency Operations Critical to the Department of Defense. Manpower in CAs in the 

infrastructure shall be designated civilian and coded “H” if they are needed to provide a ready 

and controlled source of technical competence for emergency operations involving skills and 

equipment critical to the Department of Defense. Examples include firefighting and rescue 

operations at areas with chemical, biological, nuclear, or other agents that require special 

firefighting equipment or training. 

 d. Core Logistic Capabilities with Unique Skills. Manpower in logistics functions shall be 

designated civilian and coded “H” if they are needed to provide a ready and controlled source of 

technical competence necessary for an effective and timely response to a mobilization or other 

national emergency involving skills unique to the Department of Defense. Manpower for the 

maintenance and repair of Navy nuclear propulsion systems at Navy shipyards is an example. 

8. CRITERION I - MILITARY AUGMENTATION OF THE INFRASTRUCTURE DURING 

WAR. During a crisis, military personnel in IG activities in the infrastructure (code “F”) that are 

dual-tasked for wartime assignments may be reassigned to operating units and their vacated 

positions might not be backfilled immediately, or at all, depending on the wartime mission and 

workload of the activity. Manpower needed to backfill critical positions vacated by active-duty 

military shall be designated military and coded “I” if the duties require military-unique 

knowledge and skills. Also, manpower that is needed to augment infrastructure activities during 

a mobilization or other national emergency due to increased workload shall be designated 

military and coded “I” if the work requires military-unique knowledge and skills. 

 a. Determining Manpower Requirements. Manpower authorities shall use a formally 

approved process for determining mobilization or crisis demands as required by Reference (a) 

and centrally manage the coding for this manpower within the DoD Component. 

328 DCMA Administrative Record for FY 2013 Furlough Appeals
 b. Continuity of Operations During Crises. This work is IG and designated military because 

it is needed for continuity of operations during a mobilization or other national emergency and 

the work requires military-unique knowledge and skills. 

9. CRITERION J - EXEMPTION FOR CIVILIAN/MILITARY ROTATION. Consistent with 

Reference (b), DoD Component shall provide a rotation base for overseas and sea-to-shore 

rotation. This coding shall be centrally managed within the DoD Component by manpower 

officials. Decisions to code manpower “J” shall be made in conjunction with decisions to code 

manpower “H” and “K.” (See sections 7 and 10 of this enclosure.) 

 a. Civilian Rotation. Manpower authorities shall designate manpower in CAs in the 

infrastructure that perform work that could be considered for private sector performance as 

civilian code “J” if it is needed to provide a rotation base for civilian positions outside the United 

States. This shall be done when the number of civilian manpower coded “A” through “I” is not 

sufficient to satisfy peacetime rotation needs. This manpower is designated civilian and 

exempted from private sector performance because it is needed to maintain civilian overseas tour 

lengths and civilian personnel turnover at appropriate levels as required by section 1586 of 

Reference (h). This manpower shall be determined by civilian series and based on assignment, 

rotation, and other relevant policies. Manpower authorities shall consult the DoD Component 

HR authorities to verify the validity of these requirements and ensure the numbers are 

determined using a formally approved process. 

 b. Military Rotation. Manpower authorities shall designate manpower in CAs in the 

infrastructure that would not otherwise require military incumbents as military code “J” if it is 

needed to provide a rotation base for overseas or sea-to-shore assignments. This shall be done 

when the number of manpower coded “A” through “I” is not sufficient to satisfy peacetime 

rotation needs. This manpower is designated military and exempted from private sector 

performance because it is needed to maintain military tour lengths and personnel turnover at 

appropriate levels and, by so doing, keep recruitment, retention, and training costs to a minimum. 

This manpower shall be determined by occupational specialty and based on assignment, rotation, 

and career development policies and personnel tempo goals governed by DoD Directive 1315.07 

(Reference (ah)). Manpower authorities shall consult military personnel officials to verify the 

validity of these requirements and ensure the numbers are determined using a formally approved 

process. 

10. CRITERION K - EXEMPTION FOR CIVILIAN/MILITARY CAREER DEVELOPMENT. 

Consistent with Reference (a), DoD Components shall provide reasonable opportunities for the 

development of both military and civilian personnel. This coding shall be centrally managed 

within the DoD Component. Decisions to code manpower “K” shall be made in conjunction 

with decisions to code manpower “H” and “J.” (See sections 7 and 9 of this enclosure.) 

 a. Civilian Career Development. Manpower authorities shall designate manpower in CAs in 

the infrastructure that perform work that could be considered for private sector performance as 

civilian code “K” if it is needed to provide career-broadening opportunities for civilian 

329 DCMA Administrative Record for FY 2013 Furlough Appeals
personnel. This shall be done when the number of manpower coded “A” through “J” does not 

provide adequate developmental assignments and day-to-day work experiences necessary to 

produce competent leaders, administrators, and personnel with skills critical to the Department of 

Defense. To be coded “K,” the manpower must provide career-broadening assignments for 

developing critical technical or leadership skills (competencies) that cannot be taught or directly 

acquired, or acquired in sufficient numbers from the private sector. Manpower authorities shall 

consult DoD Component HR authorities to verify the validity of these requirements and ensure 

the numbers are determined using a formally approved process. 

 b. Military Career Development. Manpower authorities shall designate manpower in CAs in 

the infrastructure that do not otherwise require military incumbents as military code “K” if it is 

needed to provide career paths for development of military-unique competencies. This shall be 

done when the number of manpower coded “A” through “J” does not provide adequate career 

development opportunities for the military coded “A,” “B,” “D,” “F, “and “I.” This manpower is 

designated military and exempted from private sector performance because it is needed to 

provide developmental assignments and day-to-day work experiences necessary to produce 

military leaders and develop military-unique knowledge and skills. Manpower authorities shall 

consult military personnel authorities to verify the validity of these requirements and to ensure 

they are determined by military occupational specialty using a formally approved process that 

considers options for combining occupational specialties and restructuring grade requirements. 

11. CRITERION L - EXEMPTED BY LAW, E.O., TREATY, OR IA 

 a. Law and E.o. Military and civilian manpower shall be coded “L” if the activity is not IG 

or exempt from private sector performance for reasons covered by criteria A through K but is 

restricted from private sector performance due to a law or E.o., including: 

 (1) Manpower that performs firefighting and security guard functions at DoD military 

installations/facilities covered by section 2465 of Reference (h), that are not coded “A” through 

“K.” 

 (2) Manpower that performs depot-level maintenance and repairs functions necessary to 

provide a “Core Logistics Capability” or comply with the “50 percent rule” as specified in 

sections 2464 and 2466 of Reference (h), that are not coded “A” through “K.” 

 (3) Manpower in activities that are not coded “A” through “K” with access to trade 

secrets that cannot be properly protected from contractors as required by section 1905 of title 18, 

U.S.C. (Reference (ai)). 

 (4) Manpower in activities that are not coded “A” through “K” that performs CAs 

because HN laws prevent the use of contract support or performance by U.S. or foreign national 

(FN) civilians. 

 (5) Dual-status military technicians that are not coded “A” through “K,” but are required 

to meet Congressional end-strength floors in section 115 of Reference (h). 

330 DCMA Administrative Record for FY 2013 Furlough Appeals
 b. Treaties and IAs 

 (1) Manpower shall be designated FN civilian and coded “L” if the terms of a treaty or 

IA specifically require the United States to use direct- or indirect-hire FNs, or make it 

impractical to convert from FN support. For example, under the Army’s cost-sharing 

agreements with the governments of Korea and Japan, 70 percent and 100 percent of the costs of 

the FN workforces are borne by the Korean and Japanese governments, respectively. 

 (2) Manpower shall be designated U.S. civilian and coded “L” if, due to a SOFA, using 

other than U.S. civilians would require increasing FN authorizations beyond what is required. 

(The U.S. and FN civilian workforce mix is agreed upon in each SOFA and varies by country.) 

 (3) Manpower shall be designated military or DoD civilian and coded “L” if, due to a 

treaty, SOFA, or other IA, private sector contract support may not be used and military or DoD 

civilian performance is required. 

12. CRITERION M - EXEMPTED BY DoD MANAGEMENT DECISION. Manpower 

authorities shall code military and civilian manpower “M” if a DoD official who exercises 

management authority over a functional area has exempted the manpower from private sector 

performance for reasons not covered by criteria A through L. This authority is vested in the 

Heads of the DoD Components as listed in section 2 above the signature of this Instruction. 

Under Secretaries of Defense with subordinate Assistant Secretaries of Defense can delegate this 

authority to those Assistant Secretaries of Defense or equivalent levels; however, this authority 

shall not be delegated below the Assistant Secretaries of Defense or equivalent level. 

 a. Pending a Final DoD Decision. Manpower that has been exempted from private sector 

performance based on a formally approved DoD Component exemption that is not covered by 

criteria A through L and has not yet been formally reviewed by OSD shall be coded “M.” This 

restriction is temporary, pending a formal DoD review. Supporting documentation for the 

decision must be maintained by the DoD Component. 

 (1) CAs that could be performed by civilian personnel may be designated for military 

performance and coded “M” on an exception basis if the DoD Component manpower authority 

has determined that the required work must be performed by military personnel for reasons not 

covered by criteria A through L. In such cases, there must be sufficient justification and 

appropriate documentation to support the decision. These designations shall be reviewed at least 

every 2 years to ensure the validity of the exemption. 

 (2) IG work that is normally performed by civilian personnel may be designated for 

military performance and coded “M” on an exception basis if the manpower authority has 

documentation to show that the required work must be performed by military personnel for 

reasons not covered by criteria A through L. For example, IG work that is performed in a remote 

location where a sufficient number of civilians with the appropriate knowledge, skills, and 

abilities are not available and cannot be recruited and trained may be designated for military 

331 DCMA Administrative Record for FY 2013 Furlough Appeals
performance. These designations shall be reviewed at least every 2 years to ensure the validity 

of the exemption. 

 b. Pending Resolution of the Workforce Mix During a Crisis. Manpower in activities that 

are established on an emergency basis shall be coded “M” pending final resolution of the 

appropriate workforce mix. For instance, manpower may be designated M on an emergency 

basis to respond to increased threat levels; to address a time-sensitive, high-priority national 

defense need; or as a safeguard against premature loss or interruption of an essential support 

function during a mobilization or other national emergency. 

 c. Pending Change of Authorized Military End Strength. If the Department of Defense is 

unable to obtain immediate relief from floors set on military personnel strengths in section 115 

of Reference (h) or the annual National Defense Authorization Act, manpower authorities shall 

code the manpower “M.” 

13. SUBJECT TO REVIEW FOR PRIVATE SECTOR PERFORMANCE OR DIVESTITURE. 

DoD Components shall designate all other manpower in CAs by using codes “P,” “R,” “W,” or 

“X” as provided in this enclosure. DoD Components shall periodically review the work to 

determine if it can be more efficiently or cost-effectively performed by another source or 

eliminated. 

14. CRITERION P - PENDING RESTRUCTURING OF CAs. DoD Components shall use 

code “P” for all DoD military or civilian manpower in CAs that are pending the results of an 

approved major restructuring initiative that has been approved in writing. This code is limited to 

major restructuring initiatives, such as base closures; functional realignments; functional 

assessments; or consolidation actions. Coding for this manpower is temporary, normally not to 

exceed 3 years, pending the schedule of the formally approved restructuring initiative. 

15. CRITERION R - SUBJECT TO REVIEW FOR PUBLIC-PRIVATE COMPETITION. 

DoD Components shall use code “R” for military or civilian manpower performing CAs if: 

 a. The DoD civilian and/or military manpower is performing the activity as a result of a 

public-private competition that was performed in accordance with Reference (f). 

 b. The DoD civilian and/or military manpower is performing work in an activity that has a 

performance decision pending in a public-private competition. 

 c. The DoD Component has determined, based on a comparison of the costs (as provided by 

Reference (j)), that a new, expanded, or contracted requirement for a CA can be performed at 

less cost by DoD civilian employees than by the private sector. 

332 DCMA Administrative Record for FY 2013 Furlough Appeals
DoDI 1100.22, April 12, 2010 

45 ENCLOSURE 4 

 d. If the DoD Competitive Sourcing Official has determined, based on a review of 

documentation provided by the contracting officer, that there is not satisfactory commercial 

source following the procedures in Reference (f). 

 e. The DoD Component has determined that the civilian and/or military manpower may be 

considered for a future public-private competition pending the outcome of a management 

determination. 

16. CRITERION W - NON-PACKAGEABLE CA. DoD Components shall designate 

manpower performing CAs with code “W” when a competition is not possible because the work 

has been certified as not packageable for competition with the private sector by the DoD 

Component’s Competitive Sourcing Official. This criterion differs from criterion H, which 

applies to CAs that are closely associated with IG functions (see subparagraph 7.b.(3) of this 

enclosure). 

17. CRITERION X – ALTERNATIVE TO PUBLIC-PRIVATE COMPETITION. DoD 

Components shall designate manpower with code “X” if the CA can be contracted without 

performing a public-private competition. This includes certain aspects of research and 

development as provided by section 114 (note) of Reference (h); architecture and engineering as 

provided by section 4540 of Reference (h) and section 609 of title 40, U.S.C. (Reference (aj)); 

and natural resources management planning as provided by section 670(a) of title 16, U.S.C. 

(Reference (ak)). This also includes manpower performing CAs that have undergone, or are 

identified to undergo, a public-private partnership, divestiture, privatization initiative, or intragovernmental support agreement with a non-DoD agency. CAs are also coded “X” if they have 

been designated in writing as a high-performing organization by the DoD CSO, or if the military 

manpower in a CA has been identified for future conversion from military to civilian 

performance. This criterion differs from criterion L, which applies if a law, E.o., treaty, or IA 

prohibits any means of contracting. 

333 DCMA Administrative Record for FY 2013 Furlough Appeals
ENCLOSURE 5

GUIDANCE FOR RISK ASSESSMENTS

1. RISKS TO OVERSIGHT/CONTROL OF IG AND CAs. The degree of government 

involvement and expertise necessary to keep sufficient oversight and control of government 

operations will vary by function and situation, depending on such factors as delegation of 

approval authority, complexity of operation, geographic dispersion of the activity, regulatory 

authority, and consequence of default. The following factors should be considered when 

conducting risk assessments to preclude ceding governmental control and authority of IG 

functions to the private sector where there is insufficient public accountability and transparency. 

This list is not all-inclusive and should be expanded to address the specific activity under review. 

These factors should be considered when determining the source of support for functions in both 

the operating forces and support establishment. 

 a. Contract Advisory Assistance 

 (1) Need for Informed, Independent Judgment. Discretionary decisions made by 

government officials must be based on informed, independent judgments, and must not be 

unduly influenced or controlled by private contractors who are beyond management controls 

applicable to public employees and who might not have objectives in concert with the public’s 

best interests. Although a DoD official may consider a contractor’s advice when making a 

decision, the official may not rely solely or so extensively on a contractor’s recommendations 

that, by so doing, the decision no longer reflects an independent judgment. For example, 

although a contractor may develop options for a government decision maker, or develop options 

for expanding decisions already made by government officials, the contractor may not be given 

the authority to decide on a course of action for the government. DoD Components shall: 

 (a) Ensure contract advisory assistance is not used to support a government decision 

without thorough knowledge and understanding of the work submitted by the contractor and 

recognition of the need to apply independent judgment in the use of the work products. 

 (b) Take steps to ensure that a contractor’s involvement on a project is not so 

extensive or so far advanced that the government does not have the ability (sufficient time, 

information, or resources) to develop and consider options other than those provided by the 

contractor (such as during staff coordination of products developed by contractors). 

 (c) Ensure that contractors do not have undue influence in the final decision to 

include determining which, and how, options or recommendations are provided to Defense 

officials for a final decision; or why an option is recommended to the deciding official as the 

government’s preferred alternative. 

 (2) Government Oversight. To safeguard the government’s authority, when plans and 

recommendations are developed by a PSC or by joint public-private teams, government 

personnel alone shall be responsible for a final review, revision, or comment on the product. 

334 DCMA Administrative Record for FY 2013 Furlough Appeals
Defense officials shall conduct risk assessments to determine whether there are a sufficient 

number of knowledgeable and experienced government employees available to maintain 

sufficient oversight of the project; to determine whether the contractor has met the terms of the 

contract and provided a complete and objective product; and review and revise the contractor’s 

recommendations to the extent necessary to ensure the decision expresses the views of the 

Department of Defense, conforms to Defense policy, complies with the law, and supports public 

interests; and to provide an alternative point of view or recommendation to the deciding official. 

 b. Contract Support Services 

 (1) Discretionary Decisions. As provided at paragraph 1.b. of Enclosure 3 of this 

Instruction, IG functions include, among other things, activities that require either the exercise of 

substantial discretion when applying Federal Government authority, or value judgments when 

making decisions for the Federal Government. Although some support services involve 

discretionary decisions, not all discretionary decisions are IG. For a decision to be IG, it must 

commit the government to a course of action when two or more alternative courses of action 

exist and have sufficient consequence to the Department of Defense to warrant government 

control. Consistent with Reference (f), decisions are not IG if they can be limited or guided by 

existing policies, procedures, directions, orders, or other guidance that identify specific ranges of 

acceptable decisions or conduct and where the decisions can be subjected to final approval or 

regular oversight by agency officials. DoD officials shall review projects in enough detail to 

determine the risks and consequences to contracting the service. As a part of this review, they 

must determine if the consequences of the discretionary decision (to include possible unintended 

consequences) are of sufficient significance to the Department of Defense to warrant government 

control. This shall include determining whether the way the function is performed would result 

in inappropriate contract relationship (e.g., personal services), inappropriately affect assignment 

of liability, or inappropriately circumvent the Federal Government’s standards of conduct. 

 (2) Personal Services. Some support services require a level of government supervision 

and control that is inappropriate in a contractual arrangement. Subpart 37.104 of Reference (g) 

states that contracts for personal services shall not be awarded unless specifically authorized by 

statute, i.e., authorized by sections 129b and 1091 of Reference (h). A personal services contract 

is characterized by the employer-employee relationship it creates between the government and 

the contractor’s personnel. This kind of relationship occurs when, due to the terms of the 

contract or the manner of its administration during performance, contractor personnel are subject 

to the relatively continuous supervision and control of a government officer or employee. 

Particular attention should be paid to services that are closely associated with IG functions since 

they often require the type of continuous supervision or control that is prohibited under section 

37.104 of Reference (g). The following should be used as a guide in assessing whether or not the 

work is personal in nature: 

 (a) Due to the inherent nature of the service or the manner in which it is provided, 

government direction or supervision of the employees is required (directly or indirectly) in order 

to adequately protect the government’s interest; retain control of the function involved; or retain 

full personal responsibility for the function supported in a duly authorized Federal officer or 

employee. 

335 DCMA Administrative Record for FY 2013 Furlough Appeals
 (b) Services are applied directly to the integral effort of the DoD Component in 

furtherance of assigned function or mission. 

 (c) Comparable services, meeting comparable needs, are performed in the same or 

similar situations using military or DoD civilian personnel. 

 (d) The service is performed on-site; the government furnishes principal tools and 

equipment; and the need for the service can reasonably be expected to last beyond 1 year. 

 (3) Contract Support Services Involving Discretionary Decisions. Contractors may 

provide a support service if the required level of performance or quality of service is specified in 

the contract in quantifiable and measurable terms and is not left to the discretion of the 

contractor, and a DoD official has final approval of the product or service through a government 

review or test. Support services shall not be contracted if discretionary decision making is 

involved which cannot be adequately covered by the terms of the contract or cannot be separated 

from the services provided (i.e., it is an inherent part of the service provided). Particular 

attention should be paid to services that are closely associated with IG functions since they often 

involve discretionary decisions that cannot be adequately covered by the terms of the contract. 

DoD Components shall conduct risk assessments to verify if the DoD official, in the 

administration of the contract, would have to: 

 (a) Regularly address policy issues not covered, or not adequately covered, by DoD 

issuances, doctrine, or other formally approved document. 

 (b) Regularly or routinely provide guidance on procedural matters of a discretionary 

nature because the Department of Defense does not have established practices or procedures or a 

clear vision for how to accomplish the work. 

 (c) Regularly change how the service is performed to match evolving law, policy, 

doctrine, or tactics because the situation is so fluid that revisions are needed on a recurring basis 

(such as security services performed in uncontrolled, unpredictable, unstable high-risk 

environments). 

 (d) Supervise and control the daily activities of the contractor as opposed to 

reviewing or testing the final product because how the services are performed and with what 

consistency is critical to an acceptable outcome. 

 (e) Retain the right to add or remove employees from the project for other than 

security or misconduct reasons, as opposed to specifying performance standards, because the 

activity is too complicated to specify how or what should be accomplished or ranges of 

acceptable actions (such as time-sensitive projects where a short suspense drives decisions about 

the scope of work and what can reasonably be accomplished in the allotted timeframe). 

 (f) Intervene in operations involving FN individuals or other Federal agencies not 

governed by the same laws, treaties, E.o.s, rules, regulations, or policies as DoD personnel (e.g., 

336 DCMA Administrative Record for FY 2013 Furlough Appeals
Central Intelligence Agency agents) in order to mediate policy or procedural differences, or 

prevent other parties from usurping DoD authority. 

 (4) Maintaining a Core Capability for Critical Operations. Even if a support function 

does not entail discretionary decisions or personal services, DoD Components shall review the 

function to verify whether the work should be performed by government personnel to provide a 

core capability for readiness or risk mitigation purposes, or for continuity of operations as 

addressed at sections 2, 3, 7, and 8 of Enclosure 4 of this Instruction. 

2. RISKS TO COMMAND AND OPERATIONAL CONTROL. The following should be used 

to assess the risks of using military, DoD civilian, and private sector contractor personnel to 

accomplish Defense missions. 

 a. Readiness Reporting. If commanders do not have visibility of the readiness of critical 

support elements, they may not be able to judge the readiness of the military forces to conduct 

and/or sustain military operations. The less information the commander has to assess the 

readiness of DoD civilians and Defense contractors who are responsible for providing critical 

support functions, the greater the risk. The following should be considered when assessing 

whether to use DoD civilians and Defense contractors to provide critical support in operational 

environments: 

 (1) Whether readiness reporting is addressed to the commander’s satisfaction by the 

contractor under the terms of the contract. 

 (2) Whether there are historical records/studies indicating whether Defense contractors 

or DoD civilian E-E employees perform satisfactorily under environmental conditions, threat 

levels, and for the length of time required. 

 b. Replacing Lost Support. The fewer options the Defense officials have for replacing lost 

support, the greater the risk. When conducting risk assessments, the following should be 

considered: 

 (1) Whether an alternative source of support can be obtained from an alternative private 

sector provider in sufficient time. The higher the number of contractors that can provide the 

support service, the lower the risk of using contract support. 

 (2) Whether an alternative source of in-house support can be obtained in sufficient time. 

The higher the number of in-house sources, the lower the risk of using contract support. 

 c. Continuity of Operations During Hostilities 

 (1) Sustainability. Contractors that cannot replace contractor employees who are killed, 

injured, or otherwise lost; rotate personnel during a protracted conflict; or replace equipment, 

supplies, and tools, represent an inappropriate risk to combat operations. The higher the number 

of contract personnel or resources needed to sustain a conflict, the higher the risk. 

337 DCMA Administrative Record for FY 2013 Furlough Appeals
 (2) Surge Capability. Contractors might be able to perform a support function during 

peacetime but lack the resources or technology to increase or surge operations during a crisis. 

Contractors that have a limited capacity (e.g., adequate facilities) or capability (e.g., adequate 

equipment, tools, or trained personnel) to increase or surge operations to the required operating 

tempo (OPTEMPO), represent a risk to military operations. The higher the increase in 

OPTEMPO required for a mobilization or other national emergency, the higher the risk. 

 (3) Information Assurance. Military commanders should verify whether contractors can 

safeguard information and information systems consistent with policy in DoD Directive 8500.1E 

(Reference (al)). If they cannot, there is a risk that disrupted communications could delay or 

prevent timely delivery of critical services or supplies and adversely impact military operations. 

 d. Operational Control in Hostile Environments 

 (1) Risk of Non-Performance. Section 802(a)(10) of Reference (h) states that in time of 

declared war or a qualifying contingency operation, persons serving with or accompanying an 

armed force in the field are subject to the UCMJ. However, because desertion (covered under 

Article 85 of the UCMJ) and absence without leave (covered under Article 86 of the UCMJ) both 

apply to “a member of the armed force,” neither UCMJ offense is likely to apply to a civilian 

who is serving with or accompanying the armed forces in the field during a declared war or 

qualifying contingency operation, but who is not actually a member of the armed force. As a 

result, DoD civilian and DoD contractor employees arguably may quit their jobs or not perform 

their duties without risk of criminal prosecution under the UCMJ. If the risk of non-performance 

is high enough to adversely impact the readiness status of the unit, commanders should switch to 

an alternate source of support. 

 (2) Misbehavior Before the Enemy. Section 899 of Reference (h) punishes “misbehavior 

before the enemy,” to include, among other things, running away and cowardly conduct in the 

presence of the enemy and not affording all practicable relief and assistance to other troops when 

engaged in battle. Section 899 of Reference (h) only applies to members of the armed forces. 

Therefore, this offense is not likely to apply to a civilian who is serving with or accompanying 

the armed forces in the field during a declared war or a qualifying contingency operation, but 

who is not actually a member of the armed forces. Depending on the scenario, heavy 

dependence on DoD civilian or contractor personnel could represent an inappropriate risk. 

 (3) Reconstitution of Support Functions and Cross-Utilization of Personnel. If support 

units are attacked or sustain damage, the military commander may require direct control and 

unconstrained use of all available personnel to reconstitute essential support functions. The 

ability of field commanders to reconstitute support functions and/or sustain operations is 

maximized if personnel can be cross-utilized to perform more than one function. 

 (a) Flexibility. Commanders often cannot compel DoD civilians or contractor 

employees to perform work or assume risks that were not agreed upon under the terms of their 

employment or covered in the terms of the contract. In emergency situations, a military 

commander may direct DoD civilians to take lawful actions. However, a military commander 

338 DCMA Administrative Record for FY 2013 Furlough Appeals
may only direct contractor employees to take lawful actions so long as those actions do not 

require them to assume IG responsibilities and the actions are covered by the terms of the 

contract. Because contract personnel may not perform IG duties, use of contractors may limit 

the commander’s flexibility in crisis situations and represent an inappropriate risk. 

 (b) Responsiveness. Generally, contractor employees (unlike U.S. and foreign 

national civilian and military personnel) are not under the direct supervision of the military 

commander. The contracting officer, or designee, serves as the liaison between the commander 

and the defense contractor for directing or controlling the contractor’s performance. Separate 

command and contractual lines of authority could hamper or overly complicate the commander’s 

control and constitute an inappropriate risk. 

 (4) Disciplinary Authority. Defense contractors are responsible for ensuring that their 

employees perform under the terms of the contract and comply with applicable laws, directives, 

regulations, and orders. During a declared war or a qualifying contingency operation, UCMJ 

jurisdiction over DoD contractor personnel serving with or accompanying the armed forces 

overseas is governed by Reference (h), Executive Order 12473 (Reference (am)), and the 

Secretary of Defense Memorandum (Reference (an)). Limits in Reference (an) could overly 

complicate operations in high-risk situations. 

 (5) Restrictions Due to Laws and IAs. Laws and IAs often restrict how DoD civilians 

and DoD contractors can be utilized. 

 (a) Law of War. During international armed conflicts, if civilians who are authorized 

to accompany armed forces are captured, they are entitled to POW status under Reference (y). It 

is not a violation of the law of war for DoD civilians and Defense contractor employees who are 

authorized to accompany the armed forces in the field during hostilities to be issued a weapon on 

the authority of the Combatant Commander for individual self-defense as addressed in 

References (n), (o), and (t). However, while supporting military operations, DoD civilians and 

contractor employees may be at risk of injury or death incidental to enemy actions while 

supporting military operations. Also, under the law of war, civilians accompanying the armed 

forces may be directly targeted for such time as they take a direct part in hostilities but, if 

captured, do not lose their entitlement to POW status. 

 (b) Local National (LN) and HN Laws and IAs. Absent a SOFA or other IA or 

international law to the contrary, contractor employees might be subject to the domestic criminal 

laws of the HN. For example, use of force by contractor employees may be strictly limited by 

LN and HN law and not protected by IAs and SOFA provisions. Contractor personnel who 

exceed the limits imposed by applicable laws and agreements may be subject to prosecution and 

civil liability. In addition, in certain situations, IAs and HN support agreements might restrict 

services that can be contracted by limiting contracted services to HN contractors or by 

prohibiting contractor use altogether. 

 (c) U.S. Law and U.S. Government Regulations. U.S. law and U.S. Government 

regulations also impose restrictions on the use of Defense contractors. For example, IG 

functions may not be contracted and the Department of Defense may not award a personal 

339 DCMA Administrative Record for FY 2013 Furlough Appeals
service contract except when authorized by statute. (See subparagraph 1.b.(2) of this enclosure 

concerning personal services.) Also, U.S. laws restrict the types of weapons that can be exported 

or procured for use by the private sector. 

 (6) Rules Governing Security Services. Consistent with subpart 52.225-19 of Reference 

(g) and subpart 252.225-7040 of Reference (l), contractor personnel performing security 

functions are authorized to use deadly force in self-defense and when use of such force is 

consistent with the terms and conditions contained in the contract or with their job description 

and terms of employment. 

 (a) Consistent with Reference (n), geographic CCDRs issue rules on the use of force 

that govern the use of weapons by civilians. Rules on the use of force that govern PSCs are 

different from the rules of engagement applicable to military forces. Rules of engagement may 

authorize military forces to respond offensively. Although rules on the use of force may 

authorize PSCs to use deadly force in defense of hostile acts or demonstrated hostile intentions, 

they may not authorize PSCs to use offensive tactics as a means of achieving their 

mission/contract objective. Security that requires the type of tactics that are authorized only to 

military forces (as discussed in paragraph 1.d. of Enclosure 4 of this Instruction) should not be 

contracted because the security entails IG responsibilities that are uniquely military. 

 (b) Threat levels are neither static nor uniform across all regions of a conflict. Even 

though it may be appropriate for PSCs to provide security services at certain times and in certain 

regions of a conflict, contract security services may have to be curtailed or suspended if the level 

of hostilities increases significantly. They also may have to be curtailed if the terms or 

conditions contained in the contract no longer apply or it appears that the contractor can no 

longer fulfill the terms of the contract without assuming IG responsibilities. Commanders must 

use judgment when making these decisions and err on the side of caution to avoid the inadvertent 

transfer of IG responsibilities to the private sector. According to Reference (f), in order to avoid 

transferring IG authority to a contractor, government officials must consider the provider’s 

authority to take action that will significantly and directly affect life, liberty, or property of 

individual members of the public. Requiring officials must consider the likelihood of the 

provider’s need to resort to force in support of a police or judicial activity; whether the provider 

is more likely to use force, especially deadly force; and the degree to which the provider may 

have to exercise force in public or relatively uncontrolled areas. 

 e. Risk of Active Duty Service Determinations for Civilian or Contractual Groups. 

Commanders shall not hire or plan to use DoD civilians or contractor employees in a manner that 

could qualify as active military service. Consistent with DoD Directive 1000.20 (Reference 

(ao)), active duty service is considered to be equal to active military service for purposes of 

qualifying for Department of Veterans Affairs benefits, based on the extent to which the group 

was under the control of the U.S. armed forces in support of a military operation or mission 

during an armed conflict. A determination of active duty service that is considered to be 

equivalent to active military service is made based on the extent to which the group was under 

control of the U.S. Armed Forces in support of a military operation or mission during an armed 

conflict. The extent of control must be similar to that exerted over military personnel and is 

determined based on the uniqueness of service; organizational authority over the group; 

340 DCMA Administrative Record for FY 2013 Furlough Appeals
DoDI 1100.22, April 12, 2010 

53 ENCLOSURE 5 

integration into military organization; subjection to military discipline; subjection to military 

justice; prohibition against members of the group joining the armed forces; and receipt of 

military training and/or achievement of military capability. This issue is particularly relevant to 

PSCs operating in hostile environments that are at risk of performing IG responsibilities. 

 f. Operational/Logistic Footprint. Manpower analysts shall verify whether use of civilians 

or contractors would increase the size of the operational “footprint” (e.g., personnel numbers or 

physical security needs) or the logistic “footprint” (e.g., medical support, mess, transportation, or 

supplies) beyond that required by military personnel. A large operational/logistic footprint could 

limit the commander’s flexibility in certain situations and represent an inappropriate risk. 

 g. Use of Indigenous Personnel. Military commanders shall verify whether contractors plan 

to employ indigenous personnel to fulfill contract needs and the concomitant threat to the 

security of U.S. personnel. The use of local workers during a fluid counterinsurgency mission or 

the use of members of one ethnic group to the exclusion of others could create unrest and raise 

the risk of sabotage. For example, use of indigenous personnel as linguists for support when 

interrogating prisoners may invite problems when personnel from one ethnic or religious group 

are asked to translate conversations involving prisoners from another ethnic or religious group. 

 h. Operational Security. Defense officials do not have visibility into the contractor’s hiring 

practices and background checks and should assess the risk of using contractors for operations 

that entail operational security. 

3. RISKS TO FISCAL RESPONSIBILITIES. When assessing the merits of contracting 

functions, manpower authorities shall also assess whether it would require more manpower to 

develop the statement of work; award and execute the contract; and assess the quality of the final 

product or service, than it would take to perform the service with government personnel. These 

costs should be considered when conducting cost comparisons required by Reference (j). 

341 DCMA Administrative Record for FY 2013 Furlough Appeals
GLOSSARY

PART I. ACRONYMS AND ABBREVIATIONS

CA commercial activity 

CCDR Commanders of the Combatant Commands 

CI civilian internee 

CS combat support 

CSS combat service support 

E-E emergency essential 

E.o. Executive order 

EPW enemy prisoner of war 

FN foreign national 

FOIA Freedom of Information Act 

HN host nation 

HR human resources 

IA international agreement 

IG inherently governmental 

IGCA Inherently Governmental Commercial Activities 

LN local national 

OMB Office of Management and Budget 

POW prisoner of war 

PSC private security contractor 

RP retained person 

SELRES Selected Reserve 

SOFA status of forces agreement 

T&E test and evaluation 

UCMJ Uniform Code of Military Justice 

USD(AT&L) Under Secretary of Defense for Acquisition, Technology and Logistics 

USD(P&R) Under Secretary of Defense for Personnel and Readiness 

USD(I) Under Secretary of Defense for Intelligence 

342 DCMA Administrative Record for FY 2013 Furlough Appeals
DoDI 1100.22, April 12, 2010 

55 GLOSSARY 

PART II. DEFINITIONS

Unless otherwise noted, these terms and their definitions are for the purposes of this Instruction. 

combat. When determining what is IG, an authorized, deliberate, destructive, and/or disruptive 

action against the armed forces or other military objectives of another sovereign government or 

other armed actors on behalf of the United States (i.e., planning, preparing, and executing 

operations to actively seek out, close with, and disrupt and/or destroy an enemy, hostile force, or 

other military objective). Includes employing firepower and/or other destructive/disruptive 

capabilities to the foregoing ends. This definition is not intended and should not be construed to 

limit in any way the inherent right of an individual to act in self-defense. 

combat power. Defined in Joint Publication 1-02 (Reference (ap)). 

commander’s intent. A clear, concise statement of what the force must do to succeed with 

respect to the enemy and the terrain and the desired end state. It provides the link between the 

mission and concept of operations by stating the key tasks that, along with the mission, are the 

basis for subordinates to exercise initiative when unanticipated opportunities arise or when the 

original concept of operations no longer applies. 

concept of operations. Defined in Reference (ap). 

hostile act. Defined in Reference (ap). 

hostile environment. Defined in Reference (ap). 

hostile force. Defined in Reference (ap). 

hostile intent. Defined in Reference (ap). 

operating forces. Defined in Reference (ap). 

operation. Defined in Reference (ap). 

preemptive attack. Defined in Reference (ap). 

qualifying contingency operation. Military contingency operation conducted for the purpose of 

engaging an enemy or a hostile force in combat. Disciplinary authority over civilians under 

Article 2(a)(10) of the UCMJ is governed by References (h), (al), and (am). 

rules of engagement. Defined in Reference (ap). 

343 DCMA Administrative Record for FY 2013 Furlough Appeals
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DCMA Administrative Record for FY 2013 Furlough Appeals

TABLE OF CONTENTS

Part 4

Location

(tab)

Agency 

File Part

Date Document Source

39 Part 4 of 5 1/11/2006 AFGE Council C170 and DCMA CBA Agency/

AFGE
 AGREEMENT 

BETWEEN 

DEFENSE CONTRACT MANAGEMENT AGENCY 

AND 

AFGE COUNCIL 170 

344 DCMA Administrative Record for FY 2013 Furlough Appeals
TABLE OF CONTENTS

A. OVERARCHING PRINCIPLES Page 

 Preamble 2 

1 - Parties to the Agreement and 3 

 Bargaining Unit Covered 

2 - Effect of the Agreement 5 

3 - Governing Laws and Regulations 6 

4 – Definitions 7 

B. ADMINISTRATION OF THE 

AGREEMENT

5 - Availability of Agreement 9 

6 - Duration and Termination 10 

C. UNION REPRESENTATION

7 - Official Time 11 

8 - Labor Management Relations 17 

 Between the Parties 

9 - Union Rights 27 

D. EMPLOYEE BENEFITS 

10 - Employee Rights and 29 

 Responsibilities 

11 - Employee Benefits 33 

E. EMPLOYEE WELFARE

12 - Employee Assistance Program 35 

13 - Drug-Free Workplace Program 38 

14 - Safety and Health 43 

15 - Wellness 48 

16 - Employee Disability 51 

 Compensation 

17 - Prevention of Workplace 53 

 Violence 

18 - Employee Debt 55 

19 - Equal Employment 56 

 Opportunity (EEO) 

F. PAY AND LEAVE 

ADMINISTRATION 

20 - Absence and Leave 59 

21 - Position Classification 73

 

G. TRAINING AND CAREER ADVANCEMENT 

22 - Career Development and 75 

 Training 

23 - Membership and Participation 78 

 in Professional Associations 

24 - Upward Mobility 79 

25 - Merit Promotion 80 

H. EMPLOYEE PERFORMANCE Page

26 - Performance Management 91 

27 - Awards and Recognition 99 

I. RECORD MANAGEMENT

28 - Employee Records 101 

J. EMPLOYEE CONDUCT 

29 - Maintaining Discipline 103 

K. DISPUTE RESOLUTION

30 - Grievance Procedures 108 

31 - Arbitration 113 

32 - Alternative Dispute Resolution 118 

L. TRAVEL

33 - Official Travel 119 

34 - Travel Gain-Sharing Awards 127 

35 - Transportation Subsidy 130 

36 - Deployable Employees- 131 

 Contingency CAS and 

 Emergency Essential (EE) Positions 

M. WORK ADMINISTRATION

37 - Hours of Duty 134 

38 - Overtime Assignments 141 

39 – Telework 146 

40 - Reassignments and Details 154 

41 - Contracting Out and 157 

 Outsourcing 

42 - Productivity 159 

43 - Research Programs and 160 

 Demonstration Projects 

44 - Furlough of 30 Days or Less 161 

45 - Transfer of Function 162 

46 - Reduction in Force (RIF) 164 

47 - Reorganization 170

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345 DCMA Administrative Record for FY 2013 Furlough Appeals
PREAMBLE

This Agreement is made and entered into by and between the Defense Contract 

Management Agency (DCMA), hereinafter referred to as the “Agency,” and the 

American Federation of Government Employees (AFGE) AFL-CIO, and its agent, 

AFGE Council 170 of DCMA Locals, hereinafter collectively referred to as the 

“Union”. 

The parties agree that the provisions of this Agreement apply to all professional 

and non-professional DCMA employees in the bargaining unit. 

The Agency and the Union share the conviction that the public interest can be 

best served by a constructive labor-management relations (LMR) program that 

provides for optimum participation of employees, through a cooperative 

relationship in the formulation and implementation of policies and practices which 

affect them. Both parties are committed to the development of a program which 

achieves that objective. 

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ARTICLE 1 

PARTIES TO THE AGREEMENT 

AND 

BARGAINING UNIT COVERED 

SECTION 1 - EXCLUSIVE REPRESENTATIVE

The sole and exclusive representative and the bargaining unit are defined in 

FLRA Certificate Case Number WA-RP-01-0050 dated February 20, 2004 and 

any subsequent amendments thereto. 

SECTION 2 - AUTHORITY

As the delegated bargaining agent of AFGE, the DCMA Council has the full 

authority to meet and confer with the Agency for the purpose of entering into 

negotiated agreements covering the members of the nationwide unit on all 

subjects, matters and issues covered by said agreements, and to administer this 

collective bargaining agreement and all future bargaining agreements covering 

the nationwide unit. The DCMA Council accepts the obligation to represent all 

members of the nationwide unit on a fair and impartial basis. This Agreement is 

the sole and exclusive agreement between the Agency and the Union. Further 

supplemental agreements are strictly prohibited. 

SECTION 3 - DELEGATED AUTHORITY

No other organization, association, or union, or any officer or representative 

thereof, shall be recognized, in any capacity or for any purpose, as the 

bargaining agent of the nationwide unit. When either party designates an agent 

to act on its behalf in filing charges, complaints, petitions or any other documents 

which have the purpose or the result of involving an outside agency or third party 

in any labor management relations matter involving the Agency and the Union, 

each party will notify the other of the name and authority delegated to such 

agent. Such notification shall be in writing. 

SECTION 4 - FUTURE RECOGINITION

A. The DCMA Council and the Agency agree that in the event that AFGE or any 

local affiliated with AFGE obtains recognition in the future as the exclusive 

bargaining agent of any group of DCMA employees which are not presently a 

part of the unit, it will be the joint position of the DCMA Council and the Agency to 

the Federal Labor Relations Authority that the employees should become a part 

of the professional and nonprofessional employees’ nationwide unit. These 

employees will automatically be covered by this agreement. 

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347 DCMA Administrative Record for FY 2013 Furlough Appeals
B. The DCMA Council and the Agency agree that, should a new DCMA Council 

Local be established and the employees they represent become a part of the 

bargaining unit, the new DCMA Council Local shall be permitted to negotiate on 

matters relating specifically and solely to the new employees represented as 

allowed in this agreement. 

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348 DCMA Administrative Record for FY 2013 Furlough Appeals
ARTICLE 2

EFFECT OF THE AGREEMENT 

This Agreement hereby revokes, supersedes and replaces any and all oral, 

written or otherwise implied collective bargaining agreements, supplements, 

memoranda of understanding, memoranda of agreement and past practices that 

are in place prior to this agreement’s implementation, between the Agency and 

any labor organization or its representative at any level in their entirety.

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349 DCMA Administrative Record for FY 2013 Furlough Appeals
ARTICLE 3 

GOVERNING LAWS AND REGULATIONS 

SECTION 1- GENERAL

The Agency and the Union shall be governed by all applicable laws of the United 

States, including those in effect on the effective date of this Agreement and those 

which are subsequently enacted. They also are and shall be governed by all 

applicable Government-wide regulations in effect at the time that this Agreement 

is executed. The Agency will not enforce any Government-wide rule or 

regulation promulgated after the effective date of this Agreement which is in 

conflict with the provisions of this Agreement unless such rule or regulation is 

properly subject to the provisions of 5 U.S.C. § 7116(a)(7). 

SECTION 2 - COMPELLING NEED

The Union, however, recognizes that the Agency is a component of the 

Department of Defense (DoD) and that it must, therefore, operate strictly within 

the limits of the authority delegated to the Director of the Agency by the 

Secretary of Defense and that it must comply with and implement all nondiscretionary directives issued by the Office of the Secretary of Defense (OSD) 

concerning matters not covered in this Agreement and not in conflict with this 

Agreement. At the same time, the Agency recognizes the right of the Union, in 

any given case, to allege that no compelling need exists for the Agency to 

implement a specific DoD directive and to seek relief by exercising the privileges 

accorded to it by 5 U.S.C. Section 7117. Where the DoD, or the Federal Labor 

Relations Authority, determines that no compelling need for the directive exists, 

the matter may be negotiated at that time. 

SECTION 3 - MANAGEMENT RIGHTS

Nothing in this Agreement does, or ever shall, impinge upon, negate, reduce or 

detract from the rights and privileges which are vested in the Agency by virtue of 

the provisions of 5 U.S.C. § 7106, "Management Rights." 

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350 DCMA Administrative Record for FY 2013 Furlough Appeals
ARTICLE 4 

DEFINITIONS 

1. Agency – DCMA or its successor. 

2. Agreement – the collective bargaining agreement executed between the 

Agency and the Union governing the personnel practices, policies, procedures, 

and working conditions of employees in the unit. 

3. Consultation – for purposes of labor management relations between the 

Agency and the Union, an exchange of views, opinions, and rationale on matters 

of mutual concern which allows discussions of a broad range of topics that 

require each side duly consider the views of the other. This does not preclude 

negotiations when appropriate. 

4. DCMA Council – the DCMA Council Executive Board or designee. 

 

5. DCMA Council Local – any AFGE local representing DCMA bargaining unit 

employees. 

6. Day – a calendar day unless otherwise specified in the body of the 

Agreement. 

7. Employee – a DCMA bargaining unit employee. 

8. Grievance – any complaint by any employee concerning any matter relating to 

the employment of the employee; by any labor organization concerning any 

matter relating to the employment of any employee; or by any employee, labor 

organization or Agency concerning the effect or interpretation, or a claim of 

breach of a collective bargaining agreement; or any claimed violation, 

misinterpretation, or misapplication of any law, rule, or regulation affecting 

conditions of employment. 

9. Meet – means face-to-face unless otherwise specified in the Agreement. 

Alternatives to face-to-face meetings, such as VTC, conference call, etc., may be 

used for meetings of less than 1 day in duration when agreed to by both parties. 

10. Memorandum of Agreement (MOA) – the document resulting from mid-term 

bargaining during the term of the Agreement. 

11. Negotiate – meet, confer, bargain or otherwise communicate for the purpose 

of discussing and settling terms leading to an agreement. 

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12. Official Time - time during normal duty hours, as approved by the supervisor, 

when a Union representative performs representational duties. 

13. Organization – any subordinate entity below the Agency level. 

14. Position – a position within the bargaining unit. 

15. Statute – the Federal Service Labor Management Relations Statute, 5 

U.S.C. §7101 et seq. 

16. Supervisor – an individual as defined in 5 U.S.C. § 7103(a)(10) of the 

Statute. 

17. Union – the DCMA Council Executive Board, all Local officers, or their 

respective designees, acting as agents for the American Federation of 

Government Employees, AFL-CIO, for purposes of representing employees in 

the unit. 

18. Unit Representative – the principal representative for DCMA Employees 

when a DCMA Council Local President is not an employee of DCMA. 

 

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ARTICLE 5 

AVAILABILITY OF AGREEMENT

The Agency will make this Agreement available electronically to all bargaining 

unit employees. New employees will be made aware of this Agreement and how 

to access it electronically. 

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353 DCMA Administrative Record for FY 2013 Furlough Appeals
ARTICLE 6 

DURATION AND TERMINATION 

SECTION 1 - DURATION

This Agreement shall remain in effect for a period of 5 years from its effective 

date and shall be automatically renewed for an additional period of 3 years, 

subject to applicable law and/or regulations, unless either party gives written 

notice to the other party of its desire to renegotiate portions of this Agreement 

between 60 to 90 calendar days prior to 5 year anniversary. Such 

renegotiations, if held, will be separate and distinct from mid-term bargaining set 

forth in this Agreement. 

SECTION 2 - ARTICLES AND SIGNATURES 

This Agreement consists solely of a Preamble and 47 Articles. This Agreement 

is executed and binding upon the parties as of April 3, 2006. 

SECTION 3 - PROVISIONS FOR THE AGREEMENT 

The date of execution shall be the date that the parties sign the Agreement for 

the purpose of Agency Head approval under 5 U.S.C. § 7114(c). Implementation 

shall be effective the day of Agency Head approval, but not later than the 31st 

day after the date of execution, except for any noncompliance noted in the post 

review. 

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354 DCMA Administrative Record for FY 2013 Furlough Appeals
ARTICLE 7 

OFFICIAL TIME 

SECTION 1 - UNION REPRESENTATION

The DCMA Council shall inform the Agency of all Union representatives who 

shall be afforded official time to perform representational functions in accordance 

with law and this Agreement. Each organization will recognize Union 

representatives and grant official time, in the amount and circumstances 

described elsewhere in this Agreement. Official time under this Article will only 

be used to perform representational duties on behalf of DCMA bargaining unit 

employees. 

 1. All Union representatives are responsible for judicious use of official 

time. 

 2. Union representatives may not be evaluated on or rewarded for 

representational activities; however this does not preclude the use of nonmonetary awards as a means of recognition. 

 3. In accordance with 5 U.S.C. § 7131(b), official time may not be 

expended for any activities performed by employees relating to internal Union 

business (including the solicitation of membership, election of Union officials, and 

collection of dues). 

SECTION 2 - COUNCIL PRESIDENT

The President of the DCMA Council or designee, if a member of the bargaining 

unit and if otherwise in a duty status, will be entitled to 100% official time to: 

 1. prepare and represent the Union on grievances filed by the DCMA 

Council; 

 2. respond to grievances initiated by the Agency; 

 3. prepare the DCMA Council's case and represent the Union in an 

arbitration hearing; 

 4. participate in meetings arranged by the Agency and interface with 

Agency personnel as necessary; 

 5. represent the DCMA Council in negotiating with the Agency; 

 6. prepare and represent the Union on unfair labor practice cases filed by 

or against the Agency; 

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355 DCMA Administrative Record for FY 2013 Furlough Appeals
 7. serve as a member of any National/Department/Agency labormanagement relations committee; 

 8. meet, confer and participate with AFGE officials and DCMA 

Headquarters on representational issues; 

 9. represent the Council on any issues including, but not limited to, 

matters before Merit Systems Protection Board (MSPB), Office of Special 

Counsel (OSC) or Office of Personnel Management (OPM) classification 

appeals, or workers compensation; 

 10. attend training including but not limited to labor management 

relations; 

 11. conduct discussions and inquiries over interpretation of the 

Agreement and higher level law, rules and regulations; 

 12. participate in Senior Leadership Team Meetings; 

 13. participate in the development and implementation of 

instructions/policies promulgated by the Agency which affect the working 

conditions of bargaining unit employees; and 

 14. perform any other duties and responsibilities allowed per 5 U.S.C. 

Chapter 71. 

SECTION 3 - FULL-TIME REPRESENTATIVES

The President of the DCMA Council or designee (assigned in writing by the 

DCMA Council President), shall provide a list of fifteen (15) designees to the 

Agency who will be authorized 100% official time to perform the duties listed in 

Section 2 and Section 4 of this article or other duties assigned by the DCMA 

Council. The Council President, or designee, will provide reasonable advance 

notice in writing when re-designating Union Representatives identified under this 

provision. 

SECTION 4 - TIME FOR REPRESENTATIONAL DUTIES 

A. Local Presidents, Unit Representatives and all other recognized 

representatives of the Union will be accorded time to perform the following 

duties: 

 1. gather input for contract and mid term negotiations; 

 2. attend formal discussions as provided by 5 U.S.C. 7114(a)(2)(A); 

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356 DCMA Administrative Record for FY 2013 Furlough Appeals
 3. attend meetings arranged by management, when invited by 

management; 

 4. participation on committees and panels as authorized by this 

agreement; 

 5. attendance at labor management meetings; 

 6. discuss and investigate specifically identified complaints of employees 

with respect to matters covered by this Agreement; 

 7. prepare and present grievances under the negotiated grievance 

procedure; 

 8. attend the examination of an employee by a management 

representative if the examination is in connection with an investigation, if the 

employee reasonably believes that the examination may result in disciplinary 

action against the employee, and if the employee requests a Union 

representative; 

 9. prepare and present a grievance at an arbitration hearing; 

 10. prepare and present unfair labor practice cases filed against the 

Agency; 

 11. prepare and present a reply to a proposed disciplinary or adverse 

action; 

 12. respond to grievances initiated by the Agency; 

 13. prepare and present unfair labor practice cases filed by the Agency; 

14. perform those functions stated elsewhere in this agreement for which 

official time has been expressly provided; 

 15. witness preparation time for all hearings required as a part of the 

Union official’s representational duties; 

 16. Union participation in the development and implementation of 

instructions/policies promulgated by the Agency which affect the working 

conditions of bargaining unit employees; and 

 17. perform any other duties and responsibilities allowed per 5 U.S.C. 

Chapter 71. 

 

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357 DCMA Administrative Record for FY 2013 Furlough Appeals
B. Any recognized Union Representative not accorded 100% official time will be 

accorded a reasonable amount of time up to sixteen (16) hours per pay period to 

perform those duties in Section 4 A . Representatives may exceed this limit on 

official time on a case-by-case basis when required by extenuating 

circumstances and the parties agree it is of mutual benefit. Disputes over 

exceeding the limit on official time will be resolved on an expedited basis by the 

Council President and the Agency’s designee. Any time limits in the Agreement 

affected by this dispute will be held in abeyance pending resolution. 

C. The following representational activities will not be counted against the 

limitations on official time in Section 4 A: 

 1. attendance at meetings initiated by management when invited 

(excludes attendance at formal discussions as provided by 5 U.S.C. § 

7114(a)(2)(A) and attendance at the examination of an employee by a 

management representative if the examination is in connection with an 

investigation, if the employee reasonably believes that the examination may 

result in disciplinary action against the employee, and if the employee requests a 

Union representative); or 

 2. travel necessary for the performance of representational functions. 

SECTION 5 - NUMBER OF REPRESENTATIVES

A. Only one employee may be on official time to represent the Union in the 

performance of a particular representational function at any given time. 

Exceptions will be made when: 

 1. there is a need for training; 

 2. where a back-up is deemed necessary by the Union; 

3. more than one representative has been expressly provided for by this 

Agreement; 

4. more than one representative has been invited by management to 

attend a meeting; or 

5. more than one attendee is mutually agreed to by the parties. 

B. The word "representative" as used in this Agreement means one 

representative. However, the Agency agrees that in those situations when 

meetings require the attendance of an employee and their representative, the 

Agency will normally and reasonably limit attendance to not more than two (2) 

supervisory/managerial employees. When more than two 

supervisory/managerial personnel are required, the number of Council 

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representatives may be increased by one (i.e., three management 

representatives equals an employee plus two Council representatives). In the 

event that advisory staff is needed to deal with a matter of mutual concern (i.e., 

labor relations, safety, health, etc.) both parties may mutually agree not to count 

these advisors as supervisory/managerial representatives. The advisory staff will 

be in a duty status with time charged appropriately. 

SECTION 6 - REQUESTING OFFICIAL TIME

Union representatives (except those entitled to 100 percent official time) must 

seek and obtain the approval of their immediate supervisor before engaging in a 

representational activity on official time. 

1. The representative will advise the supervisor of the estimated amount 

of official time needed, the date and time when the official time will be used, 

where the representational function will occur and the reason for which the 

official time is requested. Permission to conduct official Union business, 

including representation and assistance activities, will normally be granted unless 

absence of the representative from his or her work duties would cause 

substantial adverse effect on the work product of his or her area. In those 

instances, an alternate time will be authorized. 

2. To minimize the amount of official time used and employee absences 

from assigned duties, contacts between an employee and his or her 

representative during working time will normally take place at or near the vicinity 

of the employee's work place. The organization will arrange a private enclosed 

space suitable for the employee and the representative to meet if requested by 

the Union representative. 

3. TDY may be authorized, as appropriate, when local on-site 

representation is not available. 

SECTION 7 - SECRETARY/TREASURER

The secretary/treasurer of each local and the DCMA Council shall be granted a 

reasonable amount of official time to maintain records and reports which are 

required by federal agencies and which are not related to internal Union business 

within the meaning of 5 U.S.C. § 7131(b). 

SECTION 8 - IDENTIFICATION OF UNION REPRESENTATIVES

Within 60 days after the effective date of this agreement, the DCMA Council will 

provide the Agency with a current list of representatives and the organization(s) 

they are assigned to represent. An updated listing will be provided as necessary. 

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SECTION 9 - SUBJECT MATTER EXPERTS

Where a subject matter expert is critical to the successful representation of 

employees with the Agency and the expertise is not available from the DCMA 

Council representatives in Sections 2 and 4, the Agency will make that individual 

available and may authorize travel and per diem as appropriate. 

SECTION 10 - LEGISLATIVE ACTIVITIES

The Parties agree to abide by current legislation and Federal Labor Relations 

Authority (FLRA) interpretations (i.e., 54 FLRA 38 & 39) relative to the propriety 

of using appropriated funds for the purpose of influencing pending legislation. 

Unless prohibited by the above constraints, the Union will be authorized official 

time to present the views of the Union to members of Congress on matters 

affecting the working conditions of bargaining unit employees. 

SECTION 11 - WORK CONSIDERATIONS

The Agency shall consider the time utilized by officials to perform labor 

management/representational duties in assigning workload to support mission 

accomplishment, so as to ensure that employees are not adversely affected by 

exercising their right to assist the Union. 

SECTION 12 - RECORDING OFFICIALTIME

All DCMA Council representatives using official time will record their time in the 

labor accounting system using the categories mutually agreed to by the Agency 

and the DCMA Council. This labor accounting system is the sole record for the 

Agency. 

SECTION 13 - NATIONAL AFGE REPRESENTATIVES

 

A. The Agency recognizes that AFGE National is accorded recognition and 

retains the right for any AFGE National Officer, National Vice President or AFGE 

staff to conduct business of AFGE. 

B. The Agency agrees that duly designated National AFGE representatives will 

be admitted to the installation for scheduled meetings with management and/or 

Union representatives during working hours in accordance with local facility 

security requirements. 

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ARTICLE 8 

LABOR MANAGEMENT RELATIONS BETWEEN THE PARTIES 

SECTION 1 - RECOGNITION

A. The Agency will publish the list(s) of identified DCMA Council Officers on the 

Agency website. Changes will be published as they occur. 

B. Quarterly, each organization will provide a copy of their most recent 

organization chart to the DCMA Council Local. The chart will include the 

organizational structure, and the names, series and grades of all assigned 

personnel. 

SECTION 2 - COMMUNICATION

 

A. The Union’s access to and use of the Agency’s communications resource 

(e.g. bulletin boards, Intranet, E-mail) shall not interfere with the mission or 

operation of the Agency. 

B. Any and all Union communication using Agency communication resources or 

distributed on Agency premises will not violate law, advocate violating the law, or 

contain items relating to partisan political matters and will not malign, disparage 

or harm the character of any individual or the Agency. 

C. The Union may distribute paper (i.e. hard copy or leaflet) material on the 

Agency’s premises in work areas to individual employees before and after the 

Agency’s tour of duty, subject to internal security requirements and contractor 

security requirements if applicable, and in the non-work areas, provided that both 

the employee distributing and the employee receiving such material are not in 

duty status. All such material will be properly identified as official Union material. 

SECTION 3 - MEETINGS BETWEEN THE PARTIES

A. The DCMA Council shall be afforded the opportunity to send up to five 

representatives to Agency Commander’s conferences and one representative to 

all other Agency conferences. These representatives will be granted official time 

and travel and per diem to attend. Copies of all briefings charts from the Agency 

Commander’s conferences will be made available to all personnel. 

B. The DCMA Council President and fifteen DCMA Council Representatives as 

designated by the DCMA Council President will be authorized travel and per 

diem to participate in an annual labor-management meeting with the Agency 

Director and/or Deputy Director for the purpose of addressing and discussing 

issues and matters affecting all AFGE bargaining unit employees in DCMA. 

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C. Normally, organization Commanders/Deputies/Directors will meet with the 

Council Local President or designee at least monthly to discuss subjects and 

issues of mutual concern. These meetings will be held during regular duty hours.

D. Labor-Management Relations Committee (LMRC) 

 1. The parties agree to form a labor-management relations committee to 

meet on a quarterly basis for the purpose of cooperative and collaborative 

dealings in resolving ongoing or reasonably foreseeable issues. 

 2. The committee shall be composed of ten members, six from the DCMA 

Council and four from the Agency. At least one of the Agency representatives 

and council representatives in attendance shall have the authority to commit on 

behalf of their respective parties. The Agency and the DCMA Council will chair 

the Labor Management Relations Committee meeting on an alternating basis. 

The Agency will be responsible for the administrative arrangements for the 

meeting. Attendance at a labor-management relations committee meeting by 

employees who are committee members will be on official time. 

 3. The Agency will be responsible for any other costs such as travel and 

per diem for current DCMA employees, in accordance with the JTR. Travel for 

committee members will be scheduled to take place during the normal workweek. 

4. Meetings will be held quarterly on the following schedule, unless 

agreed otherwise: 3rd Week of October, 2nd Week of January, 1st Week of April 

and 2nd Week of July. The duration of the meeting will generally be one to two 

days in length dependent upon the agenda. 

5. The location of the quarterly meeting will be rotated within the Agency. 

6. Proposed agendas and topics shall be submitted to the other party in 

writing as early as possible, but no later than ten days in advance of the date of 

the meeting, including the specific items for discussion. Additional items may be 

added after that date by mutual consent. 

7. The committee may discuss matters of mutual concern pertaining to 

personnel policies and practices and working conditions that have unit-wide 

impact. Individual complaints, grievances or appeals will not be discussed. 

SECTION 4 - OFFICIAL USE OF FACILITIES AND EQUIPMENT

A. Office Space 

The Agency will provide one private office for each DCMA Council Local, to 

include furniture, telecommunications and equipment, a lockable cabinet and 

supplies. In those instances where the 100 percent full time Union 

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representative is not a local president, the 100 percent full time Union 

representative will also be provided a private office as described above. In 

addition to access during regular duty hours, the Union will be provided access to 

the office during non-duty hours subject to local security procedures and 

practices. The work area, equipment, utilities and housekeeping services 

provided by the Agency will be at no cost to the Union. 

B. Meeting Space 

Upon advance request by the DCMA Council or designee, the Agency will 

provide space for meetings with employees for use during non-duty hours of the 

employees involved, provided that space is available. 

C. Bulletin Boards 

 

The DCMA Council or designee may post literature on bulletin boards or other 

authorized areas in accordance with DoD 5500.7-R, Joint Ethics Regulation. 

D. Telephones and Electronic Communications 

To ensure that Union representatives have a reasonable opportunity to 

communicate with employees, other Union representatives, and management 

officials, the Agency agrees that Union representatives may use existing activity 

telephones, fax or other electronic devices for authorized representational duties, 

when such use does not interfere with the Agency requirements. 

E. Mail/Bulletin Boards 

 

 1. The Agency’s internal mail system, including electronic mail, may be 

utilized by the Union in conjunction with official representational duties. 

 2. The Agency shall provide an e-mail bulletin board for the DCMA 

Council’s exclusive use to communicate with all bargaining unit employees in the 

Agency. Posting capability shall be limited to the DCMA Council or designee. 

 3. When appropriate, the Agency agrees to provide suitable wall bulletin 

boards to be placed in locations frequently utilized by bargaining unit employees. 

Posting capability shall be limited to the DCMA Council Local officers or 

designees. 

 4. The Agency agrees that the Union may use inter-office mail and 

regular mail. The Union shall have use of Agency metered mail for labor 

relations representational matters. 

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F. Transportation 

Either local GOV or reimbursement for other transportation will be provided for 

Union representational responsibilities involving bargaining unit employees if use 

of or reimbursement for such transportation meets applicable laws and 

regulations.

G. Email 

The Agency will provide a Union email address for each of the DCMA Council 

Locals. 

H. Office Moves 

When required to relocate from the existing office space, the Agency will notify the 

DCMA Council as soon as possible and the DCMA Council will be afforded the 

opportunity to negotiate. 

SECTION 5 - LOCAL NEGOTIATIONS

A. Any matters covered by the scope of this Agreement are not subject to further 

negotiation below the Agency and DCMA Council level unless otherwise stated 

in this agreement. 

B. If third-party interpretation and/or application of this Agreement is initiated and 

processed by the parties at the DCMA Council Local level, it shall only be binding 

upon the individual DCMA Council Local and the organization. 

C. Local negotiations are limited to those topics mutually agreed upon by the 

Agency and the DCMA Council. If the Agency and the DCMA Council cannot 

agree, the issue will be forwarded to FMCS for mediation after 15 days. Local 

negotiations will be documented in a Memorandum of Agreement (MOA). All 

MOAs negotiated at subordinate organizations shall be subject to review and 

approval by the Agency and DCMA Council prior to implementation. 

D. Procedures for Local Negotiations 

 1. The party requesting approval for local negotiations should forward the 

request to the Agency and the DCMA Council with a courtesy copy to the other 

affected party. The request shall include the specific proposal the requesting 

party is seeking to implement. 

 2. The approval to conduct local negotiations and designation of 

representatives shall be given in writing by the Agency and DCMA Council. 

 3. Each party shall be permitted no more than two representatives unless

expressly agreed to by the Agency and the DCMA Council in advance. 

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 4. Travel and associated costs will be borne by the Agency. 

 5. Upon receipt of approval for local negotiations from the Agency and the 

DCMA Council, the responding party has 14 days to provide its counterproposal. 

 6. Within 14 days of receiving the responding party’s proposals, both 

parties will negotiate, as necessary to achieve an agreement. It is intended that 

this will be accomplished primarily through telephone, video teleconferencing 

and/or written communication when the parties are not at the same physical 

location. 

 7. If at the end of 14 days any proposals remain unresolved, the parties 

will engage in “face-to-face” negotiations within 30 days. If the parties are still 

unable to reach agreement, the parties will refer the matter to the Agency and the 

DCMA Council for further consideration and action. 

SECTION 6 - MID-TERM BARGAINING

A. Matters Not Covered by the Agreement

1. Whenever the Agency or the DCMA Council proposes any change 

under this Article to any DCMA directive or policy relating to the personnel 

practices or matters affecting the condition of employment of bargaining unit 

employees, on matters not covered by this Agreement, the proposal will be 

transmitted to the President of the DCMA Council or the Agency, or their 

designated representatives, as appropriate. 

2. The Agency or the Union will be provided 14 calendar days from 

receipt of the notice to request to bargain. The Agency or the Union will submit 

written bargaining proposals or request additional information or a briefing with its 

request to bargain. If the Agency or the Union has requested additional 

information or a briefing with its request to bargain, the Agency or the Union will 

submit written bargaining proposals within 28 calendar days of the Agency’s or 

Union’s response to the request for information or the date of the briefing. 

3. If the Union fails to request to bargain within 14 calendar days from the 

receipt of the Agency’s notice or fails to submit written proposals within the 

required time frames, the Agency may implement the changes. 

4. The first negotiating session will take place as soon as possible but no 

later than ten (10) working days from the receipt of the written proposals. 

5. The time frames set forth in this section may be modified in writing by 

mutual agreement of the parties. 

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6. If DoD mandates any change in any matters affecting conditions of 

employment on issues not specifically covered by this agreement, the 

procedures set forth in paragraphs 1-5 shall apply. 

B. Matters Covered by the Agreement 

1. If a future law or regulation mandates a change to this Agreement, the 

Agency will promptly notify the DCMA Council President or his/her designee in 

writing of the proposed specific change. 

2. The Union will be provided 14 calendar days from receipt of the notice 

to request to bargain. The Union will submit written bargaining proposals or 

request additional information or a briefing with its request to bargain. If the 

Union has requested additional information or a briefing with its request to 

bargain, the Union will submit written bargaining proposals within 28 calendar 

days of the Agency’s response to the request for information or the date of the 

briefing. 

3. If the Union fails to request to bargain within 14 calendar days from the 

receipt of the Agency’s notice or fails to submit written proposals within the 

required time frames, the Agency may implement the changes. 

4. The first negotiating session will take place as soon as possible but no 

later than ten (10) working days from the receipt of the Union’s written proposals. 

5. The time frames set forth in this section may be modified in writing by 

mutual agreement of the parties. 

6. For purposes of carrying out the intent of this Section, the Agency and 

DCMA Council mutually recognize and agree that their respective proposals may 

be modified during the course of the negotiations to permit realistic good-faith 

bargaining of all aspects of but limited to the negotiable subject matter, including 

aspects directly related to but not anticipated when the written proposals were 

exchanged. 

C. Ground Rules for Mid-Term Bargaining 

 1. When mutually agreed, the Parties will use available technology (e.g. 

VTC, teleconference) to negotiate. 

 2. The Agency will provide a meeting room for negotiations and 

reasonable equipment. 

 3. The Agency and the Union will be represented at the negotiations at all 

times by one duly authorized chief negotiator who is authorized to execute 

agreements. 

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 4. The Union will be authorized the same number of Union 

representatives on official time as the Agency has representatives at the 

negotiations table. There shall be a minimum of two Union representatives at the 

table. The designated Union negotiators will be granted official time for time 

spent during the actual negotiations, including attendance at impasse proceeding 

during the time the employee would otherwise be a duty status. The Union will 

be permitted to have negotiators who are not employees of the Agency but if it 

does so, it agrees to pay any and all costs incurred by these negotiators. 

D. Execution of Agreements 

All written agreements or memoranda of understanding reached under the 

provisions of this Article will be duly executed and incorporated into, and to the 

extent not inconsistent with this agreement, will be subject to all the terms and 

conditions of this agreement. 

E. No Waivers 

Nothing in this agreement shall be deemed to waive either party’s statutory rights 

including, without limitation, the right to assert the “covered by” doctrine. 

SECTION 7 - DUES WITHHOLDING

A. General 

For the purpose of this Article: 

 1. The term "employee" refers to any bargaining unit employee who is a 

member in good standing of any DCMA Council Local. 

 2. The term "servicing payroll office" refers to the Defense Accounting and 

Finance Service (DFAS), which is responsible for processing the pay of DCMA 

employees . The Agency acts as a liaison for the process of dues withholding 

between the Union and DFAS. 

 3. The term "payroll allotment" refers to a voluntary authorization by the 

employee for a deduction in a specified amount to be made from the employee's 

pay each pay period for the payment of dues associated with their membership, to 

the DCMA Council Local. 

B. The Agency and the DCMA Council agree that: 

 1. The DCMA Council Local is responsible for fully informing the employee 

that their authorization for a payroll allotment: 

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 a. is completely voluntary; and 

 b. cannot be revoked for a period of 1 year from the date that the 

Agency receives the assignment. Thereafter, such revocation will not be effective 

until the first full pay period following September 1, provided the form is received 

by the Agency no later than September 1 and no earlier than August 1. 

2. When dues are erroneously withheld due to the DCMA Council’s failure 

to comply with the procedures above, any overpayment of dues by the employee 

will be a matter solely between the Union and the employee. When dues are 

erroneously withheld due to the Agency’s failure to comply with the procedures 

above, any overpayment of dues by the employee will be the Agency’s 

responsibility. 

 

C. Authorization of Payroll Allotment 

 1. Only one payroll allotment for dues withholding shall be authorized for an 

employee. 

 2. Standard Form (SF) 1187, Request for Payroll Deductions for Labor 

Organization Dues, or equivalent shall be used. The DCMA Council Local shall 

distribute this form to the employees. 

 3. The DCMA Council Local shall furnish the Agency with written notification 

of the name and title of the DCMA Council Local official who is designated to sign 

the certification on the SF 1187 or equivalent. 

 4. The DCMA Council Local shall be responsible for furnishing the servicing 

payroll office with a certified schedule of payroll allotments supported by completed 

SF 1187 or equivalent signed by the designated DCMA Council Local official and 

the employees. 

 5. The payroll allotment shall be in an amount determined by the DCMA 

Council Local. 

 6. The DCMA Council Local shall furnish a written notification of a change in 

the amount of the payroll allotment to the servicing payroll office. 

 7. The change in the amount of the payroll allotment shall become effective 

with the first complete pay period which occurs 30 days after the written notification 

is received by the servicing payroll office. 

D. Termination of Authorization 

The payroll allotment shall be terminated when any of the following situations occur: 

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 1. the employee retires; 

 2. the employee dies; 

 3. the employee is separated; 

 4. the employee ceases to be a member of the bargaining unit; 

 5. the employee ceases to be a member in good standing of the DCMA 

Council Local. If this occurs, the DCMA Council Local shall be responsible for 

promptly furnishing written notification to the servicing payroll office; or 

 6. the employee files a written notification through the DCMA Council Local 

(SF 1188, Cancellation of payroll Deductions for Labor Organization Dues or 

equivalent) to the servicing payroll office. This revocation must be signed by the 

local president or designee prior to processing. In this case the termination 

becomes effective on the first full pay period after the notification is received by the 

servicing payroll office. 

E. Processing Payroll Allotments 

 1. The parties recognize that payroll processing matters are the exclusive 

province of the Defense Finance and Accounting Service (DFAS). However, 

insofar as the Agency is able to request certain action discussed in the provision, it 

will facilitate them to the extent practicable. 

 2. Payroll allotments shall be processed at no cost to the DCMA Council 

Local or the employee. 

 3. The DCMA Council Locals agree to furnish DFAS with the name and 

address of the Union Official designated to receive the Union dues withholding 

monies and the Union dues withholding list. 

 4. After each pay period the servicing payroll office shall remit a check or 

electronic deposit to the DCMA Council Local for the payroll allotment deductions 

together with the following: 

 a. the names of employees from whom deductions were made and 

 the amount of each deduction, their Social Security Numbers and their 

 organization assignment; 

 b. the total number of employees from whom dues were withheld; 

 c. the total amount withheld; 

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369 DCMA Administrative Record for FY 2013 Furlough Appeals
 d. the names of employees from whom no dues were deducted; 

 and 

 e. a copy of any written revocation received by the servicing 

 payroll office since the previous remittance. 

F. Effective Dates 

 1. Completed SF 1187s or equivalent will be submitted by the Union to 

the Agency for certification of dues withholding eligibility. This certification will be 

completed within 5 days of receipt. Dues withholding will be effective at the 

beginning of the first full pay period after receipt of a certified SF 1187 or 

equivalent by the Agency. 

 2. Revocation of dues withholding will be effected by filing SF 1188 or 

equivalent with the Agency. Such revocation will not be effective until the first full 

pay period following one year from the date the Agency received the assignment. 

(See D.6 above). 

 3. Termination of dues withholding as a result of the separation of an 

employee or other action affecting the employee’s eligibility for withholding will be 

effective at the end of the pay period in which the separation or other action 

occurs. 

 4. If the Agency fails to process SF 1187s or SF 1188s (or equivalents), 

and the Local suffers a financial loss, the Agency will reimburse the Local.

SECTION 8 - LABOR-MANAGEMENT TRAINING

A. It is to the advantage of both the Agency and the DCMA Council if the Union 

representatives are knowledgeable about applicable laws, regulations, and new 

developments pertaining thereto. Subject to mission requirements, Union 

representatives may be granted reasonable amounts of administrative leave to 

attend AFGE-sponsored training sessions or other training courses which are 

available at no cost to the Agency, either for tuition or for travel and per diem. 

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ARTICLE 9 

UNION RIGHTS 

SECTION 1- UNION RIGHTS

In all matters relating to personnel policies, practices and other conditions of 

employment, the parties will have due regard for the obligations imposed by 5 

U.S.C. Chapter 71 and this Agreement. 

SECTION 2 - APPROPRIATE ARRANGEMENTS

See the Labor-Management Relations Between the Parties Article 8, Section 6, 

and 5 U.S.C. Chapter 71. 

SECTION 3 - ORDER OF PRECEDENCE

In any conflict between this Agreement and Agency Regulations, the provisions 

of this Agreement will be followed. 

 

SECTION 4 - PRESENTING VIEWS

The Union has the right to present its views to the Agency on matters of concern, 

either orally or in writing. The Union has the right to negotiate personnel policies, 

practices and working conditions as provided in 5 U.S.C. Chapter 71. 

SECTION 5 - FORMAL DISCUSSIONS

A. Consistent with 5 U.S.C. § 7114(a)(2)(A), as the exclusive representative of 

unit employees, the Union shall be given the opportunity to be represented at any 

formal discussion between one or more representatives of the Agency and one 

or more employees or their representatives concerning any grievance or any 

personnel policy or practices or other general condition of employment. 

B. The DCMA Council Local will be advised in advance of the time, location and 

general nature of the subject matter to be addressed at these formal discussions. 

Normally the Agency will provide such notification two (2) working days in 

advance. Copies of any briefing charts/documents provided to the bargaining 

unit employees will be provided to the DCMA Council Local prior to the formal 

discussion. 

C. During the formal discussion, the Union representative will be permitted to 

respond to issues affecting bargaining unit employees and any comments made 

about the Union and/or its views. 

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SECTION 6 - COMMUNICATIONS WITH BARGAINING UNIT EMPLOYEES

Consistent with 5 U.S.C. Chapter 71, the Agency may communicate directly with 

employees regarding conditions of employment provided that it does not do so in 

a manner which will improperly bypass the Union under the statute. 

SECTION 7 - SURVEYS

A. Employee surveys related to personnel policies, practices or working 

conditions will be provided to the Union in advance of dissemination. The Union 

shall respond with any concerns within ten working days. 

B. In those instances when the information received as a result of the survey 

causes the Agency to implement changes that affect bargaining unit employees 

in the areas of personnel policies, practices, or working conditions, the Agency 

agrees to negotiate as appropriate. 

SECTION 8 - UNION OFFICIAL ASSIGNMENTS

Union officials will be given consideration for lateral assignment to vacancies that 

will better enable them to perform their representational duties. 

SECTION 9 - ACCESS TO RECORDS

Upon a written request demonstrating a particularized need, the Union has the 

right to reasonable access to data normally maintained by the Agency pertaining 

to personnel and conditions of employment. Release of data to the Union is 

subject to applicable regulatory and legal restrictions. 

SECTION 10 - RESPONSIBILITY

The President of the DCMA Council Local, or designee, will be the primary 

person in all contacts with the organization(s) on matters involving personnel 

policies and/or practices or other general conditions of employment affecting 

employees represented by the DCMA Council Local. The President of the 

DCMA Council Local will notify the organization(s) of those officials who will carry 

out the provisions of this Agreement in his/her absence. 

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ARTICLE 10

EMPLOYEE RIGHTS AND RESPONSIBILITIES 

SECTION 1 - GENERAL

In accordance with 5 U.S.C. § 7102, each employee shall have the right to form, 

join, or assist any labor organization, or to refrain from any such activity, freely 

and without fear of penalty or reprisal, and each employee shall be protected in 

the exercise of such right. 

SECTION 2 - EMPLOYEE RIGHT TO PARTICIPATE

Employees have the right to engage in collective bargaining with respect to 

conditions of employment through representatives of the Union. 

SECTION 3 - EMPLOYEE CONCERNS

Employees have the right and shall be encouraged to bring matters of personal 

concern regarding conditions of employment to the attention of the appropriate 

Agency or Union representative at the lowest level capable of resolving the 

matter. 

SECTION 4 - EMPLOYEE RIGHT TO REPRESENTATION

A. A representative of the Union shall be given an opportunity to be present at 

any examination of an employee in connection with an investigation if: (1) the 

employee reasonably believes that the examination may result in a disciplinary 

action against them; and (2) the employee requests such representation. When 

such an examination is held, every reasonable effort will be made to schedule it 

at a time and site, which is acceptable to all of the participants. 

B. When an employee exercises their rights under this section and when the 

DCMA Council Local representative of the employee is not immediately 

available, the meeting will be deferred for a reasonable period of time to permit 

the presence of the DCMA Council Local representative if the Agency elects to 

hold the meeting. 

C. The Agency shall annually inform all members of the bargaining unit of their 

rights, as set forth in this Section. 

D. The Agency will recognize the employee’s right to seek DCMA Council Local 

representation at any time after the employee has been asked to make a 

statement about another bargaining unit employee should the employee 

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reasonably believe that such discussions could lead to subsequent disciplinary 

action against them. 

SECTION 5 - EMPLOYEE NOTICE TO SUPERVISOR

If an employee has a problem or situation which he or she desires to discuss with 

a DCMA Council Local representative during working hours, he or she will advise 

his or her supervisor and request permission to leave the work area. Supervisors 

will grant reasonable requests for temporary absence for this purpose at such 

times and for such a period of time as the employee can be excused without 

unduly impeding the work of the Agency. If not immediately approved, the 

supervisor will inform the employee of the earliest time that the employee can 

leave. 

SECTION 6 - EMPLOYEE PAY AND W-2 ASSISTANCE

A. Employees are entitled to their pay at the proper time and in the proper 

amount. The Agency will make reasonable efforts to assure that employees 

receive their proper pay at the proper time, and that their leave and earnings 

statements are available on the day they are due. 

B. The Agency will make reasonable efforts to assure that W-2s are available 

by the end of January of each year. 

SECTION 7 - NEW BARGAINING UNIT EMPLOYEES

A. The DCMA Council Local will be notified when bargaining unit employees are 

assigned to or separate from an organization. 

B. The Agency will advise new employees of their right to join or assist the Union 

freely and without fear of penalty or reprisal or to refrain from any such activity, 

and will provide new employees access to the names and phone numbers of 

appropriate DCMA Council Local representatives. 

C. All new employees shall be informed by the Union that the DCMA Council is 

the exclusive representative of employees in the unit. Each new employee will 

have access to a copy of this Agreement. 

SECTION 8 - HEALTH BENEFITS

A. The Agency shall keep employees informed of “open seasons” and the health 

benefits available. The Agency shall support Health Fairs, which provide 

employees health benefits information on individual benefit carriers. Such fairs 

are contingent on the cooperation and availability of representatives from various 

health benefit carriers. Employees shall be given reasonable time to attend 

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Federally-sponsored Health Fairs in their local area to the extent individual 

participation does not conflict with other mission requirements. 

B. The Agency will notify employees annually of the general requirements for 

payment of Health Benefits premiums during their non-pay status and the 

effects of cancellation of coverage. This notice will also remind the employees 

of their responsibility to seek Human Resources (HR) counseling and assistance 

on a case-by-case basis. 

SECTION 9 - SUBPOENA AND WARRANTS

If any employee is to be served with a warrant or subpoena, it will be done in 

private to the extent such circumstances can be reasonably controlled by the 

Agency. 

SECTION 10 - SENSITIVE DISCUSSIONS

Agency/employee discussions concerning performance deficiencies and 

disciplinary and adverse actions shall be conducted in a location which will 

ensure privacy. 

SECTION 11 - RIGHTS AND BENEFITS

None of the rights and/or benefits accorded the DCMA Council through this 

agreement shall be waived except by the Council in writing. 

SECTION 12 - LUNCH FACILITIES

The employees shall be provided a lunch area at each site where employees are 

duty stationed. If a separate room is available at the duty station or work site, the 

Agency shall provide this area as a lunch room. Lunch facilities on or adjacent to 

the duty station will satisfy these requirements. 

SECTION 13 - RELOCATION OF WORKSTATION

Where management has a legitimate business-related reason for designating 

that bargaining unit members sit at particular work stations, this will be discussed 

with the employees and the DCMA Council Local. Those bargaining unit 

members who are physically relocated shall select their individual workstations 

by consensus within a set of workstations designated by management. If the 

bargaining unit members are unable to arrive at a consensus, seniority by service 

computation date shall be used to resolve the matter. 

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SECTION 14 - COMBINED FEDERAL CAMPAIGN (CFC)

Gifts to the Combined Federal Campaign (CFC) shall be confidential. 

Information shall not be gathered, published or disseminated regarding individual 

charitable contributions or lack thereof. Bargaining unit employees will be 

encouraged to volunteer to assist in the administration of the campaign. The 

Agency will encourage appropriate recognition of these volunteers. 

SECTION 15 - DAMAGE TO EMPLOYEES CLOTHING

Employees will be compensated for damage to clothing incident to service in 

accordance with 31 U.S.C. § 3721. 

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ARTICLE 11

EMPLOYEE BENEFITS 

SECTION 1- PARKING

The Agency will arrange for employee parking wherever practicable. 

Implementation may be negotiated locally. 

SECTION 2 - EMPLOYEE USE OF THE INTERNET

A. The Agency has authorized limited personal use of the Internet including email through government furnished resources in accordance with the Joint Ethics 

Regulation, DoD 5500.7-R. 

B. Employees’ use of the Internet utilizing Government furnished equipment and 

computer networks is consent to monitoring usage. 

C. Examples of prohibited use of the Internet includes, but is not limited to, the 

following: 

 1. Storing, receiving, processing, displaying, sending or otherwise 

transmitting material that puts the Agency’s communication system to use that 

adversely reflects on DCMA, such as chain letters, and offensive or obscene 

material. Offensive material includes, but is not limited to, “hate literature,” such 

as racist literature, materials or symbols and sexually harassing materials. 

Obscene material includes, but is not limited to, pornography and other sexually 

explicit materials. 

 2. Participating in “chat lines” or open forum discussion unless for official 

purposes. 

 3. All Agency employees should report all suspected intrusions or 

compromises of Agency Internet or Intranet services, controls or any suspected 

alterations of the information that the Agency makes available on its Internet 

sites. Employees should contact the Agency Information Technology (IT) office 

to report suspected intrusions.

 SECTION 3 - DEPENDENT CARE

 A. The Parties to this Agreement support flexibility for employees in balancing 

their work and dependent needs. At Agency facilities where child care services 

are available, the Agency agrees that such facilities will be governed by 

applicable DoD regulations and the Military Child Care Act to ensure that a safe 

and healthful environment is provided. The Agency agrees to meet, confer, and 

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attempt to resolve specific issues related to child care services with the 

applicable DCMA Council Local.

B. To assist those employees in balancing work with family needs, the Agency 

will: 

 1. encourage the use of workplace flexibilities and programs such as 

flexible work schedules, compressed work schedules, telework, part-time 

employment, job share, and leave programs; 

 2. educate employees annually about Long-Term Care Insurance; and 

 3. increase manager and employee awareness of family-friendly 

programs. 

C. The Agency may arrange for annual Child/Elder care fairs at each 

organization. Employees may attend these seminars during duty time and at no 

cost. The Agency will provide a link to the OPM website regarding dependent 

care. 

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ARTICLE 12 

EMPLOYEE ASSISTANCE PROGRAM 

SECTION 1 - GENERAL

A. The federal Employee Assistance Program (EAP) provides free, confidential 

short term counseling to identify the employee's problem and, when appropriate, 

make a referral to an outside organization, facility or program that can assist the 

employee in resolving his or her problem. It is the employee's responsibility to 

follow through with this referral, and it is also the employee's responsibility to 

make the necessary financial arrangements for this treatment, as with any other 

medical condition. 

B. The Agency agrees to implement and promote an EAP for individuals 

suffering from alcoholism, drug abuse, financial problems or emotional disorders 

that may affect job performance and to make employees and supervisors aware 

of the program. 

C. Employees suffering from any of the above may request from the EAP 

information and/or assistance in locating appropriate rehabilitative services or 

community support groups. 

D. The objectives of this program are two-fold: (1) to enhance employee 

productivity and efficient personnel management by providing a mechanism for 

dealing with conduct and performance-related employee problems; and (2) to 

provide professional counseling services. The range of problems includes ANY 

employee problem which may adversely impact on job behavior, performance or 

conduct. These problems may include emotional, alcohol and drug-related, 

familial and marital, financial, legal and other problems. 

E. Confidentiality is an essential component of the EAP. All counseling records 

will be maintained in the strictest confidence. 

F. The Agency will insure that no employee will have job security or promotion 

opportunities jeopardized by a request for counseling or referral services. 

 

SECTION 2 - COUNCIL/AGENCY COOPERATION

The DCMA Council agrees to cooperate fully with the Agency in attempting to 

rehabilitate and improve the work performance of affected employees who need 

assistance under the provisions of this program. 

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SECTION 3 - EMPLOYEE RESPONSIBILITY

A. When an employee's problem interferes with the efficient and proper 

performance of their duties, reduces their dependability, or reflects discredit upon 

the Agency, supervisors will either advise or encourage troubled employees to 

pursue help through the EAP before considering disciplinary or other corrective 

action. 

 1. Formal Agency Referrals 

 a. When the Agency formally refers an employee for EAP 

 counseling, the time associated with the initial assessment/referral and all 

 additional assessment visits with an EAP counselor will be without charge 

 to leave. 

 b. Subsequent visits to the referred provider for rehabilitation or 

 treatment of an employee problem will be charged to sick leave or other 

 leave at the employee’s option. 

B. Employees retain the right to refuse to participate in the EAP. If the Agency 

refers the employee to EAP and the employee refuses to participate, the Agency 

is free to pursue disciplinary or other corrective action. Referring an employee 

for counseling service is not a bar to initiating corrective action. If an employee is 

referred, but there is still no improvement in performance or conduct, corrective 

action may be taken as warranted, on the basis of the deficiency. 

C. The Agency will utilize a Management-encouraged referral to EAP in those 

situations when a supervisor becomes aware that an employee is experiencing a 

personal problem, but the work environment has not been affected. The 

supervisor will suggest use of the EAP services and offer to assist the employee 

in obtaining an EAP Counselor. No record will be made of the discussion. The 

time associated with the initial assessment/referral and all additional assessment 

visits resulting from Management-encouraged referrals will be without charge to 

leave. Subsequent visits to the referred provider (non-EAP counselor) for 

rehabilitation or treatment of an employee problem is charged to sick leave or 

other leave at the employee’s option. 

D. Employees who suspect they have such problem(s) whether or not it currently 

affects their work are encouraged to use EAP on a voluntary basis. 

SECTION 4 - USE OF SICK LEAVE UNDER THE PROGRAM

Employees undergoing a prescribed program of treatment will be granted sick 

leave, upon request, on the same basis as any other illness when absence from 

work is necessary. 

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SECTION 5 - PROGRAM TRAINING AND PUBLICITY

A. DCMA Council Local representatives will attend local seminars, workshops, 

conferences or training sessions designed to acquaint supervisors, managers 

and employees with the program and its operation. 

B. The Agency shall inform employees of the program and its services annually. 

C. Information on services and the coordinator’s name and telephone number 

will be made available to employees. 

D. New employees will be provided orientation on the EAP Program and 

services available. 

E. When the EAP provider is changed, all employees will be given information 

on the new provider in a timely manner. 

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ARTICLE 13 

DRUG FREE WORKPLACE PROGRAM 

SECTION 1 - GENERAL 

The parties recognize that the Agency's principal mission is to protect the 

national defense. Accomplishment of this mission requires the highest standards 

of employee competence, reliability and integrity. Illegal use or possession of 

drugs by employees, on or off duty, is inconsistent with accomplishing the 

Agency’s mission. Such conduct constitutes a hazard to personnel, property and 

operations; contributes to reduced employee productivity, reliability and 

increases employee absenteeism; and undermines the morale and discipline of 

the work force. Deterrence of illegal drug use and detection of employees who 

illegally use drugs is, therefore in furtherance of the Agency's national defense 

mission. Accordingly, the Agency, pursuant to Executive Order 12564, has 

established a Drug Free Workplace Program (DFWP) in furtherance of its 

national defense mission. 

1. Where an employee is entitled to rely on a management personnel 

policy, rule or regulation with respect to drug testing, for which the employee 

derives some benefit; or conversely, where management’s noncompliance would 

cause an adverse effect on the affected employee, management’s own 

compliance with its personnel policy, rule or regulation, shall be subject to the 

negotiated grievance procedure. The parties recognize that as of the execution 

date of this Agreement these laws, rules and regulations include: Executive 

Order 12564, Pubic Law 100-71, government-wide Department of Health and 

Human Services (DHHS) and OPM regulations. 

2. Employees are required to refrain from the illegal use or possession of 

drugs, on or off duty, as a condition of continued employment. Persons who 

illegally possess or use drugs, on or off duty, are not suitable for federal 

employment because such conduct is contrary to the efficiency of the service. 

Employees are required to comply with the DFWP, and refusal to do so will 

subject the employee to disciplinary action, including removal from the service. 

3. It is agreed that drug abuse or addiction may not be used as an excuse 

for misconduct or less than fully satisfactory work performance. The employee's 

cooperation of availing him or herself of assistance will be considered by the 

Agency when proposing or effecting disciplinary or adverse action, related to 

conduct or performance of the employee.

SECTION 2 - EMPLOYEES SUBJECT TO TESTING

The goal of the DFWP is deterrence of illegal drug use through a carefully 

controlled and monitored program of drug testing. The program will include:

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 1. Random drug testing of bargaining unit employees in Testing 

Designated Positions (TDPs) and other bargaining unit employees who volunteer 

to be included in the random testing program; 

 2. Drug testing of any employee when: 

 a. there is a reasonable suspicion that the employee may be using 

 drugs illegally; 

 

 b. the test is authorized as part of an investigation of an accident 

 or unsafe practice and there is a reasonable basis to believe that the 

 employee's actions may have contributed to the incident; or 

 c. the test is conducted as part of or follow-up to rehabilitation or 

 counseling program under the EAP; 

 3. Testing of applicants for appointment (including reassignment, transfer, 

or detail for more than 120 days) in a TDP; and 

 4. All employees required to take a drug test at the direction of the Agency 

will be in a duty status. If the test extends beyond the regular shift, the employee 

will receive overtime or compensatory time or be released. When an employee 

is selected for random testing and is unable to transport themselves (for 

example, due to being in a car pool) to the collection facility, the Agency will 

make transportation arrangements to and from the facility. In cases of 

reasonable suspicion, accident or unsafe practice, or follow-up testing, the 

Agency will arrange for transportation of the employee to and from the collection 

site. 

SECTION 3 - RANDOM SELECTION FOR TESTING

The Agency agrees that, except for volunteers, only those employees in TDPs 

will be subject to random selection for drug testing. 

 1. TDPs. The Agency agrees that designation of a position as a TDP will 

be in accordance with applicable law, rule and regulation. 

 a. An employee occupying a TDP will receive written notice that 

 his or her position has been determined to meet the criteria and 

 justification for random drug testing at least 30 days before the individual is 

 subject to unannounced random testing. 

 b. Any bargaining unit employees selected for random testing will 

 be selected on the basis of neutral criteria. 

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 2. Volunteers. Any bargaining unit employee who does not occupy a TDP 

may volunteer to be included in the random testing program by informing the 

Agency Drug Program Coordinator (DPC) in writing of his or her desire to be 

included in the pool of TDPs subject to random testing. Employees volunteering 

to be included in the TDP pool will be subject to the same conditions and 

procedures for random testing as persons occupying TDPs. 

SECTION 4 - SPECIFIC NOTIFICATION OF TEST 

Employees selected for drug testing will be specifically informed of any 

impending test in accordance with applicable regulations. Each employee will be 

informed reasonably in advance of each of the following: 

 1. the reasons for ordering the drug testing and how the employee was 

selected for the test (e.g., random, reasonable suspicion (must be articulated), 

investigation of an accident, etc.); 

 2. the consequences of a positive result and the consequences of a 

refusal to cooperate, including possible adverse action(s); and 

 3. the right to grieve actions pursuant to the drug testing program under 

the negotiated grievance procedure and be represented by the Union in those 

proceedings. 

 

The parties agree that methods and equipment used to test for illegal drug usage 

will conform to the DHHS mandatory guidelines. 

SECTION 6 - COLLECTION PROCEDURES 

The Agency agrees that collection procedures will be performed in accordance 

with applicable law, rule, and regulation. 

 1. Upon direction by management, designated employees will report to 

the designated location to be tested. 

 2. Unless direct observation collection is authorized by regulations, 

employees subject to testing will be permitted to provide a urine specimen in a 

rest room stall or similar enclosure so that the employee is not observed while 

providing the sample. 

 3. All samples collected will be subject to a strict chain of custody. 

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SECTION 7 - SAFE HARBOR 

The Agency agrees to provide an opportunity for assistance to those employees 

who voluntarily seek treatment for illegal drug use. "Safe Harbor" insulates the 

employee from discipline only for admitted acts of using illegal drugs when the 

Agency was unaware of such use. 

SECTION 8 - ADMINISTRATIVE ACTION 

Any employee who is determined to be an illegal user of drugs and who occupies 

a sensitive position must be removed from that position through appropriate 

personnel action. The employee may be returned to duty in a sensitive position 

as part of a counseling or rehabilitation program if, in the sole discretion of the 

head of the organization, he or she determines that returning the employee to 

duty in the sensitive position would not endanger public health, safety or national 

security. Such determinations will be made in a fair, equitable and 

nondiscriminatory manner. 

SECTION 9 - EAP REFERRAL

A. Employees who receive a first confirmed positive test result or who voluntarily 

admit illegal drug use under Section 7, will be referred to the EAP consistent with 

laws, rules and regulations. 

B. When it appears EAP referral is appropriate, the Union will encourage the 

employee to respond positively to the referral. 

C. Because of its special relationship with bargaining unit members, the Union 

will guide, support, represent and otherwise influence an employee to effect the 

most positive outcome possible. 

SECTION 10 - CONFIDENTIALITY AND SAFEGUARDING OF INFORMATION

A. Records, files, and information pertaining to employee drug tests and test 

results will be handled confidentially in accordance with applicable laws, rules 

and regulations. 

B. Information will be released only to those officials of the Agency who have a 

need to know and are authorized by applicable law, rule or regulation to receive 

such information. 

C. Regardless of the test results, any employee who is the subject of a drug test 

will, upon written request to the DPC, have access to any records relating to his 

or her drug test. 

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SECTION 11 - UNION REPRESENTATION

A. An employee who believes his or her position was improperly designated a 

TDP may grieve the matter under the negotiated grievance procedure. 

B. A grievance concerning an alleged impropriety in the drug testing process will 

be handled by the parties in the same manner as any other grievance. The 

parties will cooperate in attempts to resolve any dispute according to the 

negotiated grievance procedure. 

C. The Union will be provided information concerning the general drug testing 

process and the chain of custody consistent with the provisions of 7114(b)(4) of 

the Statute. 

D. Employees, at their election, may have Union representation as an observer 

during the collection process, in discussion with the Medical Review Officer and 

in discussion with supervisors concerning the test results. Unavailability of a 

Union representative will not delay collection of the sample. 

SECTION 12 - DISCLOSURE OF INFORMATION TO THE DCMA COUNCIL

Upon request, the Agency agrees to provide the DCMA Council an annual report 

that documents statistical information regarding the DFWP. The report will 

include the total number of bargaining unit employees tested, the total number of 

bargaining unit employees who tested positive, total number and types of 

disciplinary actions taken. The Agency also agrees to provide the DCMA Council 

an annual list by office of all bargaining unit positions designated as TDP and the 

reason for such designation. Following receipt of such information, the DCMA 

Council may submit documentation to the Agency requesting a review of 

positions designated as TDP. The documentation will include the specific 

rationale for disputing the TDP designation. Either party may include discussion 

of issues regarding the Drug Free Workplace Program as it relates to bargaining 

unit personnel as an agenda item for quarterly labor management meetings. 

SECTION 13 - TRAINING

When the Agency provides training on DFWP, the Union may be invited. 

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ARTICLE 14 

SAFETY AND HEALTH 

SECTION 1 - POLICY

The Agency will, to the extent of its authority, provide and maintain safe and 

healthful working conditions for all employees. Safe and healthful working 

conditions will be determined in accordance with the definitions and standards 

contained in Section 19 of the Occupational Safety and Health Act (OSHA), in 

Executive Order 12196, DCMA Instruction “Safety and Occupational Health 

Program” and other implementing regulations and directives. 

SECTION 2 - SAFETY AND OCCUPATIONAL HEALTH PROGRAM (SOHP)

The DCMA Safety and Occupational Health Program shall establish and 

implement DCMA policy regarding safety and occupational health. The program 

is designed to provide DCMA personnel a safe and healthful workplace and work 

operations, whether working at DCMA facilities or at other locations. 

SECTION 3 - ACCESS TO INFORMATION, DATA AND REPORTS

A. The Agency will provide employees electronic access to the DCMA plan, 

references, forms and other related information. 

B. The Agency will allow the DCMA Council an opportunity to comment on the 

Agency proposed SOHP before it is finalized and implemented. Any comments 

submitted by the DCMA Council will be considered in developing the plan. A 

copy of the SOHP and the annual SOH report to the Department of Labor will be 

provided to the DCMA Council. 

SECTION 4 - UNION REPRESENTATION

It is the intent of the DCMA Council that Union representatives will be engaged in 

investigations of work related accidents, reports of unsafe or unhealthful working 

conditions, safety, and health inspections, or other safety and health related 

complaints as part of their representational duties. 

SECTION 5 - PERSONAL PROTECTIVE EQUIPMENT (PPE)

A. The Agency will furnish PPE to employees without cost or charge when it 

determines that such equipment is necessary for the work to be done safely. 

Employees may be allowed to retain such equipment, if it is no longer needed 

and it is not suitable for use by other employees.

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B. Employees will use the safety equipment, PPE and other devices and 

procedures provided or directed by the Agency. Employees will take reasonable 

care of safety and protective equipment. The Agency will provide storage space 

for protective clothing and equipment assigned to employees. 

C. Requests for PPE shall be considered as high priority action items by the 

Agency. 

D. Prior to the entry by employees into contractor facilities, they shall be given all 

information on PPE required at the particular facility. If an employee is unsure of 

the working conditions and/or PPE requirements at a specific location, the 

employee is encouraged to contact his/her supervisor. PPE shall be provided 

prior to their entry into these facilities, if same is not provided by the contractor. 

Qualified safety and health personnel shall perform these evaluations and 

recommend appropriate PPE. 

SECTION 6 - SAFETY INSPECTIONS

A. The Agency shall ensure that each workplace is inspected annually by 

qualified SOH personnel (29 CFR 1060.25(a)). The Agency SOH personnel may 

eliminate the annual inspection requirement in contactor installations where 

DCMA personnel are duty stationed and where previous inspections have shown 

no significant hazards. The need for an inspection shall be reviewed annually to 

ensure that DCMA personnel are not placed at risk due to deteriorating 

conditions at the contractor site. Collateral Duty Safety Monitors (CDSMs) may 

be used to perform inspections of low risk areas, e.g. administrative work areas. 

B. The DCMA Council Local President or designee will be notified when a 

federal health officer, Agency SOH personnel or a private contractor visits the 

facility for the purpose of a safety inspection of spaces used by bargaining unit 

employees. A representative designated by the DCMA Council Local will be 

invited to participate in these inspections. The Agency will provide the DCMA 

Council Local with a copy of the inspection report. 

SECTION 7 - FIRST AID 

At activities where local health services are not available, the Agency will furnish 

one industrial first-aid kit for every 50 employees and will ensure that at least two 

employees are qualified to administer first aid. The Agency will provide 

Automated Electronic Defibrillators (AED) at DCMA offices where deemed 

necessary and/or appropriate. 

SECTION 8 - HEALTH SERVICES AND MEDICAL EVALUATION

A. The Agency will provide the necessary occupational health medical 

surveillance for employees whose exposure in the performance of official duties 

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requires medical surveillance. At a minimum, this will include all bargaining unit 

employees who are covered by a Medical Surveillance Program (MSP). Such 

employees will be notified in writing of the reasons for inclusion in the MSP. 

Such employees will be provided appropriate baseline, periodic and exit medical 

surveillance evaluations as determined by the occupational health physician. 

B. The Agency maintains the right to require medical examinations in 

accordance with 5 CFR 339.301 at no cost to the employee, for employees 

covered by an MSP. However, employees maintain the right to submit additional 

medical documentation from sources of their choice at no cost to the Agency. 

C. The Agency will provide employees whose positions are not covered by an 

MSP with a diagnostic examination if they have been exposed to hazardous 

material or prolonged exposure to unhealthful working conditions and such 

examination is determined by competent medical authority to be necessary. In 

addition, employees have the option of seeking medical examinations from 

sources of their own choice at no cost to the Agency. Employees have the right 

to decline medical examinations that are not a condition of employment. If 

employees indicate exposure to workplace hazards on data collection forms 

(DCFs) that would not normally trigger medical surveillance, the employees will 

indicate their intention of declination at the time they complete or update their 

DCFs to facilitate budget planning. 

D. Employees will be provided with copies of the results of their medical 

monitoring tests within a reasonable time. 

SECTION 9 - UNSAFE WORK AREAS 

A. The DCMA Council will support the Agency efforts to acquaint every 

employee with his or her safety and health rights and responsibilities. Any 

bargaining unit member who is performing duties, which he or she believes 

endangers his or her health or safety, will promptly notify the nearest available 

supervisor. If the supervisor agrees with the employee and cannot solve the 

problem by providing immediate adequate protection, the supervisor shall 

remove the employee from the situation and refer the problem through 

appropriate channels for action. 

B. An employee has the right to decline to perform an assigned task because of 

a reasonable belief that under the circumstances the task poses imminent risk of 

death or serious bodily harm, coupled with a reasonable belief that there is 

insufficient time to seek effective redress through normal hazard reporting and 

abatement procedures (29 CFR 1960.46). 

C. The DCMA Council Local will be promptly notified of all work areas used by 

bargaining unit employees that are determined to be unsafe or unhealthful. 

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Copies of safety or health inspections of such spaces will be provided to DCMA 

Council Local. 

D. If an employee alleges that an unsafe work condition exists, the employee will 

inform the supervisor and may notify the DCMA Council Local and the 

organization‘s safety officer. 

E. The provisions of DCMA safety instructions, E.O. 12196, and 29 CFR § 1960 

in effect at the time will be followed so that employees who are involved in 

occupations with identified safety/health hazards are made aware of the hazards, 

informed of safe work practices, and educated in the use of appropriate PPE. 

F. Appropriate abatement procedures in accordance with DCMA safety 

instructions, E.O. 12196, and 29 CFR § 1960 in effect at the time will be followed 

to correct a work area which has been determined by a competent authority to be 

unsafe or unhealthful. 

G. Employees shall report accidents immediately as required by DCMA 

instruction. 

SECTION 10 - SAFETY AND HEALTH COMMITTEES

Where the Agency establishes a Safety and Health Committee to ensure 

compliance with OSHA requirements, the appropriate DCMA Council Local will 

have a representative on that committee. The Safety and Health Committee 

shall have access to appropriate Agency information relevant to their duties, 

including information on the hazardous nature of substances in the Agency 

workplace. 

SECTION 11 - FIRE SAFETY

The Agency will provide fire evacuation routes and post evacuation plans in all 

work areas and will ensure all work areas meet applicable fire codes. 

SECTION 12 - OFFICE WORK ENVIRONMENT

A. Should temperatures fall below 65 degrees Fahrenheit or exceed 85 degrees 

Fahrenheit in office spaces, the Agency will place employees in a more suitable 

environment until temperatures are within the specified range. If such 

accommodation cannot be made, employees may be released from the worksite 

without charge to leave. 

B. Management will consult with the appropriate facility management to correct 

adverse work environment conditions. 

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C. The employee has the right to request the Agency perform an evaluation of 

air quality. The Agency will respond to the employee’s request commensurate 

with the level of risk but no later than 6 months. 

SECTION 13 - TRAINING

A. The Agency will provide appropriate job-related safety and health training for 

employees, including specialized job safety training appropriate to the work 

performed by the employee. Employees who are assigned to positions that are 

covered by a MSP or who are required to certify hazardous material will be 

provided the necessary training (necessary training may include the identification 

and classification of hazardous materials, proper packing and shipping methods, 

emergency procedures, etc.). 

B. The Agency will train and certify volunteers in CPR, first aid and the use of 

AEDs. 

SECTION 14 - ERGONOMIC PROGRAM

A. The Agency will establish an ergonomic program in accordance with DODI 

6055.1, Enclosure 6. 

B. The Agency will ensure that office furniture and equipment will adjust to a 

sufficiently broad range of body types. Upon request of an employee, the 

Agency will consider specific physical characteristics in providing special chairs 

and furnishings. 

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ARTICLE 15 

WELLNESS 

SECTION 1 - POLICY

 

A. It is the goal of this Agency to provide employees with an environment which 

enhances the development of healthful lifestyles and high productivity by: 

 

1. encouraging and assisting employees to establish and maintain dietary 

habits contributing to good health, disease prevention and weight control; 

2. reducing job related stress and encouraging the development of 

positive methods of stress management; 

3. discouraging the abuse of alcohol and drugs and assisting employees 

with alcohol or drug-related problems in obtaining needed treatment and 

rehabilitation; 

4. assisting and supporting employees with controllable diseases in the 

management of their illness; and 

 

5. discouraging the use of tobacco products. 

 

B. The Agency and the DCMA Council recognize that employees are 

responsible for their own health and fitness. While the Agency encourages all 

employees to adopt healthy lifestyles and actively pursue fitness in coordination 

with their physician’s advice and guidance, participation in any Agencysponsored health promotion or activity must be purely voluntary. 

 

C. The Agency will publicize the availability of medical programs (such as flu 

shots, blood pressure screening, education programs relating to health such as 

smoking cessation and diet and nutrition) that may be offered to employees as 

part of a Wellness Program. Participation in such programs is voluntary, is 

subject to availability of Agency funds, and may be done on duty time if the 

program is offered during the employee’s duty hours. 

SECTION 2 - HEALTH PROMOTIONS

 

A. Smoking 

1. It is the policy of the executive branch to establish a smoke-free 

environment for Federal employees and members of the public visiting or using 

Federal facilities. The smoking of tobacco products is prohibited in all interior 

space owned, rented or leased by the executive branch of the Federal 

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Government, and in any outdoor areas under executive branch control in front of 

air intake ducts. 

2. When possible, an outdoor area which provides a measure of 

protection from the elements will be designated. The area will be reasonably 

accessible to employees. Outdoor smoking policies may be developed and 

negotiated locally and will be consistent with current regulations. 

3. Smoking reduction and cessation programs will be conducted in 

accordance with applicable law and regulations and subject to available funding. 

B. Nutrition 

Where feasible, dining facilities will provide caloric information and meals with 

reduced amounts of fat, salt and calories. Information shall be made available to 

employees on the importance of good nutrition to overall health, weight control 

and the prevention and management of disease. 

 

C. Stress Management 

The Agency shall provide the employees with access to information on 

scientifically supported stress management techniques when requested. 

 

D. Alcohol and Drug Abuse 

The Agency shall make alcohol and drug abuse counseling and referral services 

available to all employees through the Agency EAP in accordance with Agency 

and DOD policy and the DCMA Drug-Free Federal Workplace Plan. 

 

E. Serious Illnesses 

The Agency shall provide the employees with information regarding serious 

illnesses and medical conditions when requested. 

SECTION 3 - COMMERCIAL FITNESS MEMBERSHIPS

Funding supplements for commercial fitness memberships will be provided in 

accordance with the DCMA instruction governing fitness memberships. 

SECTION 4 - AUTHORIZED TIME FOR PHYSICAL FITNESS

A. The Agency and the Union agree that the fitness program goal is to promote 

the health and wellness of the workforce. Full time employees will be authorized 

two hours per week to voluntarily participate in physical fitness activities during 

their tour of duty. This does not include Agency sponsored activities. 

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B. Fitness activities must address cardiovascular/aerobic endurance, muscular 

strength, endurance, flexibility and/or body conditioning. Employees will be 

authorized a minimum of 30 minutes per day up to a maximum of 1 hour per day 

for exercise activities, not to exceed 2 hours per week. Employees who choose 

the beginning or the end of their tour of duty for an authorized exercise period 

must use the time for actual exercise or for transportation or cleanup time, 

provided that it immediately precedes or follows the actual exercise. Physical 

fitness periods can be taken in conjunction with the regularly scheduled lunch 

period. 

C. Unused periods cannot be banked and carried over to the next week. Two 

(2) hours per week includes time for changing clothes, showering and travel 

to/from the exercise location. On base facilities should be utilized, where 

available. 

D. The employee must initiate a written request to the first level supervisor, 

including the employee’s projected times, location and nature of the fitness 

activity. Specific times for participation will be dictated by mission requirements 

and approved in advance. Management may suspend participation privileges if 

mission requirements warrant. Management may revoke participation if abuse is 

identified. Additionally, the employee must provide a doctor’s certificate from 

his/her primary care provider/physician certifying which physical fitness activities 

are permitted and there exists no limiting physical conditions unless otherwise 

noted on the doctor's certificate. Individuals with performance and/or conduct 

issues may be ineligible to participate in the program. 

E. The employee will report physical fitness activities time using the appropriate 

labor and accounting system. Employees must maintain an informal diary of all 

activities, goals and progress. 

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ARTICLE 16 

EMPLOYEE DISABILITY COMPENSATION 

SECTION 1 - GENERAL

It is acknowledged that the Office of Workers' Compensation Programs (OWCP), 

U.S. Department of Labor, will administer benefits to employees under the 

Federal Employees Compensation Act. The DCMA HR services provider will 

administer the OWCP program for the Agency. The Agency will publish 

information about the program and its benefits, points of contact at the DCMA HR 

services provider and telephone numbers for employees needing information 

concerning processing of OWCP claims. The Agency will provide a toll free 

number for CONUS employees to contact the DCMA HR services provider. 

SECTION 2 - RESPONSIBILITIES

A. Employees are responsible for reporting all job-related injuries and illnesses 

to the appropriate supervisor. If an employee requires medical treatment for the 

injury, the Agency should complete the front of Form CA-16, Authorization for 

Examination and /or Treatment. When there is no time to complete a Form CA16, the Agency may authorize medical treatment by telephone and send the 

completed form to the medical facility. Unless precluded by medical emergency, 

employees have the right to treatment by the health care provider of their choice. 

When an employee is injured on the job and is unable to transport himself/herself 

to a medical facility, the Agency will make transportation arrangements to and 

from the facility, unless the employee requests otherwise. Transportation from 

the medical facility will not be the responsibility of the Agency if the employee is 

admitted to the hospital. 

B. When the Agency becomes aware that an employee has suffered illness or 

injury in the performance of duties, the supervisor and/or the HR services 

provider will counsel the employee in such matters as their right to file for 

compensation benefits, the appropriate compensation forms to be filed, the types 

of benefits available, the procedure for filing claims and the option to use 

compensation benefits in lieu of sick leave. 

C. The injured employee will be furnished a Form CA-1 (Federal Employees 

Notice of Traumatic Injury and Claim of Continuation of Pay/Compensation) 

normally within 48 hours after report of injury for completion. If the employee is 

unable to complete the Form CA-1, the Agency will promptly complete as much 

as the form as practicable and forward the form through the appropriate 

channels. An employee who incurs a traumatic injury may be entitled to 

continuation of pay (COP) of up to 45 calendar days for wages lost or treatment 

due to the injury. If the employee, supervisor or someone acting on the 

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employee’s behalf does not file a CA-1 within 30 days of the injury, entitlement to 

COP is lost, in which case, the employee may file for compensation for wages 

lost on a CA-7. COP must be supported by medical documentation. 

D. An employee may file a CA-2 for an occupational illness which resulted from 

a condition produced in the work environment over a period longer than one 

workday or shift. An occupational illness does not entitle an employee to COP. 

E. The Agency will not prevent an employee from filing a claim and will process 

the claim that has been submitted. However, it is understood the Agency will 

document its knowledge of the circumstances surrounding the injury, which may 

be different from the information provided by the employee. If the Agency 

controverts the OWCP claim, the employee will be provided a copy of all 

information pertaining to the claim which is retained by the Agency. 

F. The HR services provider will assist the employee in contacting appropriate 

OWCP authorities in an effort to expedite payment of claims. Assistance will also 

be given to the employee in pursuit of resolution of claims. 

G. If an employee is re-injured or aggravates a compensable injury during the 

period ending not later than 90 days after the employee returns to duty and the 

Agency authorizes a medical examination in connection therewith, the absence 

for such examination shall not be charged to personal leave. 

H. Employees receiving COP may be ordered to report for medical examination 

for the purpose of enabling the Agency to determine medical limitations, which 

may affect placement decisions. 

I. A link will be included on the Agency website which provides pertinent OWCP 

information on the current DCMA claim procedures and frequently raised 

questions and answers forwarded by the Department of Labor regarding the 

benefits of the Federal Employees Compensation Act. 

J. Employees filing worker’s compensation claims are expected to keep their 

supervisor informed of his/her status. 

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ARTICLE 17 

PREVENTION OF WORKPLACE VIOLENCE 

SECTION 1 - POLICY

A. It is the Agency’s policy to promote a safe working environment for its 

employees. The Agency and the Union are committed to working with 

employees to maintain a work environment free from violence, threats of 

violence, harassment, intimidation and other disruptive behavior. 

B. Violence, threats, harassment, intimidation and other disruptive behavior in 

the workplace will not be tolerated. Such behavior could include oral or written 

statements, gestures or expressions that communicate a direct threat of physical 

harm. Reports of incidents will be dealt with appropriately. Individuals who 

commit such acts may be removed from the premises, subjected to disciplinary 

action and/or subjected to criminal penalties. 

SECTION 2 - PREVENTION

The Agency may employ various methods of alternate dispute resolution, 

including but not limited to an ombuds program, Employee Assistance Program, 

mediation, interest-based problem solving and facilitation as strategies to prevent 

workplace violence. 

SECTION 3 - INDICATORS OF POTENTIAL VIOLENCE 

Indicators of potential violence include but are not limited to: 

 1. direct or veiled threats; 

 2. intimidating, belligerent, harassing, bullying or other inappropriate and 

aggressive behavior; 

 3. confrontation with supervisors or other employees; 

 4. bringing a weapon to the workplace; 

 5. statements indicating desperation to the point of contemplating suicide 

or other violent behavior; 

 6. drug/alcohol abuse; or 

 7. extreme change in behavior. 

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SECTION 4 - RESPONSE PROCEDURE 

A. If any of the indicators listed above or other indicators of potential violence 

are reported to a supervisor, the supervisor will immediately evaluate the 

situation for appropriate action. 

B. If the supervisor determines there is potential for immediate violence, the 

supervisor will contact the appropriate security and/or law enforcement 

personnel. If the supervisor determines there is no immediate threat, the 

supervisor may employ any of the preventive strategies identified in Section 2. 

 

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ARTICLE 18 

EMPLOYEE DEBT

 

SECTION 1 - GENERAL

A. Information on employee debt can be found in 5 CFR Parts 582, 835 and 

1210. 

B. The Agency and DCMA Council agree that employees are responsible for 

their debts and repayment of such. 

C. The Agency agrees that no Agency personnel shall be assigned to perform 

the work for a collection agency for debts allegedly due by an employee to a 

private individual or firm. 

D. Employees that are experiencing financial difficulties are encouraged to 

contact EAP for assistance. 

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ARTICLE 19 

EQUAL EMPLOYMENT OPPORTUNITY (EEO) 

SECTION 1 - POLICY

The Agency and the Union agree that discrimination in employment because of 

race, color, religion, sex, national origin, age, disability, or sexual orientation as 

these terms are defined by appropriate law, regulation or Executive Order is 

prohibited. Sexual harassment is also a form of discrimination and the Agency 

and Union agree that all personnel will work toward its prevention. 

SECTION 2 - THE EQUAL EMPLOYMENT OPPORTUNITY PROGRAM 

The DCMA Equal Employment Opportunity/Affirmative Employment Program 

(EEO/AEP) shall be designed to promote equal employment opportunity in 

accordance with applicable law and government-wide regulation. 

SECTION 3 - INFORMATION DATA AND REPORTS

A. The Agency will provide employees electronic access to regulations in the 

Agency’s possession which describe the discrimination complaint process. 

B. The Agency will provide employees electronic access to the DCMA AEP. 

C. The Agency will allow the Union an opportunity to comment on the Agency’s 

proposed AEP before the Plan is submitted to EEOC. Any comments submitted 

by the Union will be considered in developing the Plan. A copy of the approved 

AEP and any Reports of Accomplishments submitted to EEOC will be provided to 

the Union. 

SECTION 4 - COMPLAINTS 

A. Any employee who seeks advice, wishes to file or has filed an EEO complaint 

shall be free from coercion, interference or reprisal due to the complaint. 

B. Complaints must be initiated within 45 days of the date of the incident. 

Employees seeking assistance will be advised concerning the procedures 

involved in processing an EEO complaint. 

C. An employee is entitled to designate a representative of her or his choice. If 

a Union representative is designated as the employee’s representative, the 

Union representative is not acting in their Union capacity, but rather in their 

individual capacity. 

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D. Pursuant to the Statute, an aggrieved employee who alleges discrimination 

may at his or her option raise the matter under a statutory procedure (EEO 

complaint) or the negotiated grievance procedure, but not both. The employee 

shall be deemed to have exercised his or her option, when, on or after the 

effective date of the appealable action, the employee timely files a formal written 

EEO complaint or initiates a notice of MSPB appeal under the statutory 

procedures or files a written grievance in accordance with the negotiated 

grievance procedure, whichever event occurs first. 

E. Selection of the negotiated grievance procedure in no manner prejudices the 

right of the aggrieved employee to request, as appropriate, the MSPB or EEOC 

to review the final decision in the case of any personnel action that could have 

been appealed to the MSPB or the EEOC. For the purpose of seeking review by 

the MSPB or EEOC, the decision of the organization head in the negotiated 

grievance procedure will be considered the final decision in the absence of the 

timely invocation of arbitration. Nothing in this agreement shall constitute a 

waiver of any further appeal or review rights permissible under the Statute. 

F. Employees who allege discrimination or who participate in the investigation 

and/or presentation of such complaints will be free from restraints, interference, 

coercion, discrimination or reprisal. 

G. Any bargaining unit employee who is a complainant or witness and is 

involved in the complaint process shall be in a duty status and entitled to a 

reasonable amount of time to fulfill her or his responsibilities, as well as travel 

and per diem. A bargaining unit employee who is acting as the complainant’s 

representative shall be in a duty status and entitled to a reasonable amount of 

time to fulfill his or her responsibilities but is not entitled to travel and per diem. 

H. The Agency shall maintain adequate staffing to process requests for 

assistance and EEO complaints. 

SECTION 5 - EEO COUNSELORS

A. Individuals providing EEO counseling services will be properly trained in 

accordance with appropriate regulations. Counseling will be made available to 

employees during their duty time if otherwise in a duty status. The EEO 

Counselor will provide information on her/his role as the Counselor and the EEO 

Counseling process. 

B. The Agency will post information in conspicuous places on how to obtain EEO 

counseling along with appropriate telephone numbers. This information shall be 

kept current. 

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SECTION 6 - MEDIATION OF AN INFORMAL OR FORMAL COMPLAINT

The Union will be given the opportunity to review any settlement agreement 

reached as a result of a mediation of an EEO complaint filed by a bargaining unit 

employee at either the informal or formal stage, prior to implementation. The 

purpose of this review will be to determine the impact on the bargaining unit. 

SECTION 7 - SOFTWARE

Future software applications developed or purchased by the Agency shall be 

consistent with the requirements of Section 508 of the Rehabilitation Act of 1973, 

as amended, and its implementing regulations. 

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ARTICLE 20 

ABSENCE AND LEAVE 

SECTION 1 - GENERAL POLICIES

A. Employees will be entitled to accrue and use leave in accordance with law, 

Government-wide rule and regulation and the provisions of this article. Any 

reference to leave approving official in this article includes both the leave 

approving official and his/her designee. 

B. Employees are expected to apply in advance for approval of all anticipated 

leave. Leave requests and approval or denial will be made in writing or 

electronically. The leave approving official agrees to respond to all leave 

requests in a timely manner. 

C. When an employee has not received advance approval for leave and does 

not report to work, the employee must, by the latest allowable arrival time 

depending on the employee’s official duty station and work schedule, speak 

directly to his/her leave approving official or leave a phone message with the 

leave approving official. The leave approving official or designee will contact the 

employee and approve or deny the leave requested. Where individual 

circumstances are determined warranted by the manager, the leave approving 

official may ask the employee to speak to them directly or to leave a message 

which includes where the employee can be reached. 

D. Leave may be taken in the smallest increment permitted by the timekeeping 

system. 

SECTION 2 - ANNUAL LEAVE

A. Annual leave is provided and used to allow employees an annual vacation or 

extended leave for rest and recreation and to provide periods of time off for 

personal and emergency purposes. The use of accrued annual leave is the right 

of the employee, subject to the right of the Agency to approve the time at which 

leave may be taken. Employees must apply in advance for approval of all 

anticipated leave to permit the orderly scheduling of leave and to avoid leave 

forfeiture. The Agency shall make reasonable attempts to approve leave 

requests such that employees may have an annual vacation period of at least 2 

consecutive weeks. Reasonable efforts will be made to accommodate 

employees who desire leave for special occasions such as religious and other 

holidays, birthdays and attendance at funerals. Employees are not required to 

give reasons for requesting annual leave. All annual leave requests, submitted in 

advance, will be approved/ disapproved within a reasonable time after 

submission (normally within 24 hours). 

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B. The Agency may cancel approved leave to meet situations of immediate or 

pressing operational need or work requirements. Leave must not be canceled for 

arbitrary or capricious reasons. Cancellation of leave is not disciplinary in 

character and must not be used as a punitive measure. When previously 

approved leave must be rescheduled, the employee will be advised of the reason 

for the change as soon as practicable after the need for the change has been 

determined. Reasonable efforts shall be made to accommodate the employee’s 

request to reschedule his/her leave. 

C. When “use or lose” leave is requested in writing before the start of the third 

biweekly pay period prior to the end of the leave year and cannot be approved or 

used prior to the end of the leave year, the excess annual leave will be restored 

in accordance with law or Government wide rule and regulation and carried over 

into the next leave year. 

D. The leave approving official should request an advance schedule for leave for 

periods of high annual leave usage. Leave approval/denial should be provided 

by the leave approving official or designee within 14 calendar days after the 

suspense date. Initial attempts to resolve scheduling conflicts will occur between 

the employees. If scheduling conflicts remain, the leave approving official will 

make the final decision. 

E. In the case of voluntary or involuntary reassignment from one supervisor to 

another, every reasonable attempt will be made to honor previously approved 

leave to the extent that it does not adversely affect the choice of another 

employee or hamper the mission of the organization. 

SECTION 3 - UNSCHEDULED ANNUAL LEAVE

 A. Leave may be granted when it is not requested in advance unless an 

immediate or pressing operational need or work requirement would preclude the 

granting of leave for the time requested. 

B. The employee must contact their supervisor or designee, as soon as possible 

to request annual leave. Unscheduled annual leave will be approved on a 

case-by-case basis. The Agency will identify those individuals with the authority 

to approve/disapprove requests for unscheduled leave. This request will be 

made to the leave approving official via direct conversation, in writing, e-mail or 

phone message. In event of an emergency, approval may be given after the fact. 

C. To the extent practicable, the supervisor will provide written disapproval with 

justification to the employee, upon request of the employee. 

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SECTION 4 - ADVANCED ANNUAL LEAVE

Employees are not automatically entitled to advanced annual leave. The 

maximum amount of advanced annual leave which may be granted is the 

number of hours which will be accrued by the employee before the end of the 

leave year, or for those employees serving under temporary appointments, that 

amount they will earn by the scheduled expiration date of their appointments. 

SECTION 5 - LEAVE FOR RELIGIOUS OBSERVANCES

Employees may utilize annual leave, credit hours, comp time or religious comp 

time when their personal religious beliefs require the abstention from work during 

certain periods of the work day or work week. 

SECTION 6 - SICK LEAVE

A. The use of sick leave is an employee benefit. In accordance with applicable 

regulation, the Agency will grant sick leave to an employee when the employee 

meets one of the following conditions: 

 1. the employee receives medical, dental or optical treatment; 

 2. the employee is incapacitated for the performance of duties by physical 

or mental illness, injury, pregnancy or childbirth; 

 3. the employee provides care for a family member who is incapacitated 

as a result of physical or mental illness, injury, pregnancy, childbirth, or who 

receives medical, dental or optical examination or treatment; 

 4. the employee makes arrangements necessitated by the death of a 

family member or attends the funeral of a family member; 

 5. the employee would, as determined by the health authorities having 

jurisdiction or by a health care provider/practitioner, jeopardize the health of 

others by his or her presence on the job because of exposure to a communicable 

disease; or 

 6. the employee must be absent from duty for purposes relating to the 

adoption of a child, including appointments with adoption agencies, social 

workers, and attorneys, court proceedings, required travel, and any other 

activities necessary to allow the adoption to proceed. 

B. Medical/Practitioner Certificates 

1. A certificate in support of an application for sick leave of five 

consecutive workdays or less will not be required unless the supervisor has 

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reason to believe the employee has abused sick leave. Supervisors may 

consider employee self certification as acceptable evidence for absences of any 

length. 

2. An approval from an attending physician/practitioner may be required 

prior to the employee’s return to duty after an absence to ensure they are able to 

resume work without endangering themselves or other employees. 

C. When requested, an employee will provide written medical certification to the 

Agency, along with the request for leave in a timely manner, but not later than 15 

days of the request. If the employee fails to provide the required medical 

documentation within the 15 day time period, the employee’s sick leave request 

may be denied. Extensions of the 15 day time period may be granted where the 

manager determines the particular situation warrants an extension. Medical 

certification for sick leave will include all of the requirements contained in 

regulation or other relevant requirements as determined necessary by the 

Agency. 

D. An employee who expects to be absent more than one day will inform the 

leave approving official of the expected date of return to duty. In such cases, 

daily contacts with the leave approving official may not be required. In case of an 

extended illness (including use of sick leave for family care and bereavement 

purposes and family and medical leave under the FMLA), the employee will 

inform the leave approving official as soon as he/she becomes aware of an 

expected return to duty date. 

E. Employees, upon request, and with the approval of the leave approving 

official, may change previously-authorized annual leave, credit hours or leave 

without pay to sick leave if the requirements for usage of sick leave are met. 

Additionally, an employee may use annual leave, credit hours or comp time in 

lieu of sick leave. 

F. Advanced Sick Leave 

 1. Advanced sick leave may be granted in cases of serious disability or 

illness. Such requests must be supported by medical certification. Employees 

should also consider the Leave Transfer and Donation Program for additional 

leave. Employees are not automatically entitled to advanced annual/sick leave. 

Denials of requests for advanced sick leave should be conveyed to the employee 

promptly and contain a specific explanation for the reasons of the denial. 

 2. When there is reasonable expectation that an employee will return to 

duty in cases of serious illness or disability, an employee may be advanced sick 

leave up to the maximum of 240 hours provided that: 

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a. the employee submits a written request to the supervisor prior to 

 the desired effective date of the advanced leave unless precluded or 

 prevented from doing so by the disability or illness and it is supported by a 

 physician’s/practitioner’s statement; 

b. there is reasonable assurance that the employee will return to 

 duty for a sufficient period of time to earn the sick leave that is advanced; 

 and 

c. all earned sick leave is used before the date the advanced leave 

 is to begin. 

 3. The Agency may grant an employee’s request for advanced sick leave 

of 24 hours or more for other than a major illness or long-term incapacitation, 

when there is a reasonable expectation that the employee will return to duty and 

sick leave abuse is not evident. 

G. Job-Related Medical Examinations 

Employees obtaining job related medical examination or treatment at the 

appropriate health unit will be in a duty status. 

H. Leave and Earnings Statement 

The Agency and the DCMA Council recognize the privacy of the information, 

including sick leave, contained on individual leave and earnings statements. 

They agree that these statements will be handled in a practical but discreet 

manner. 

I. Request for Leave 

1. Sick leave for illness, injury or other circumstances which cannot be 

anticipated in advance will be requested as soon as possible. This request can 

be made via direct conversation, in writing, e-mail or phone message. In event of 

a medical emergency, approval may be given after the fact. 

2. The supervisor will provide written disapproval with justification to the 

employee, upon the employee’s request. 

SECTION 7 - COURT LEAVE (CL)

A. In accordance with federal law, an employee with a regular scheduled tour of 

duty is entitled to CL. The employee should present a court order, subpoena or 

summons to his/her leave approving official when they request CL for appearing 

as a witness or a juror. CL will be approved if the employee is summoned: 

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 1. for jury duty; or 

 2. to court to serve in an unofficial capacity as a witness for any party 

when the Federal, District of Columbia, state or local government is a party. 

B. Upon return to duty, the employee must submit written proof of attendance 

from the court to the leave approving official. 

C. Compensation will not be received for serving on jury duty in a Federal court. 

However, employees may keep expense money received for mileage, parking or 

required overnight stay. Monies received for performing jury duty in state or local 

courts are indicated on the pay voucher or check as either “fees for services 

rendered” or “expense money”. “Expense money” may be retained by the 

employee. “Fees for services rendered” must be submitted to the Agency’s 

finance office. 

D. CL is not granted to an employee who appears in court on matters of a 

personal nature. 

E. An employee serving in an official capacity as a Government witness will be 

compensated by the Agency through overtime pay or compensatory time for time 

spent in excess of the employee’s normal work schedule. 

SECTION 8 - FAMILY AND MEDICAL LEAVE ACT

A. In accordance with applicable regulations, an employee who has completed 

at least 12 months of Federal service is entitled to a total of 12 weeks of leave 

without pay (LWOP) during any 12 month period under the Family Medical and 

Leave Act (FMLA) for one or more of the following reasons: 

 1. the birth of a son or daughter of the employee and the care of such son 

or daughter; 

 2. the placement of a son or daughter with the employee for adoption or 

foster care; 

 3. the care of a family member of the employee with a serious health 

condition. Family member is defined as: 

 a. spouse; 

 b. children, including adopted children; or 

 c. parents or those who stand, or stood, in loco parentis to an 

employee, but not parents-in-law; or 

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 4. a serious health condition of the employee that makes the employee 

unable to perform the essential functions of his or her position. 

B. In accordance with applicable regulations, a “serious health condition” is 

defined as an illness, injury, impairment or physical or mental condition which 

includes, but is not limited to, the following: 

 1. any period of incapacity or treatment in connection with, or consequent 

to, inpatient care (i.e. an overnight stay) in a hospital, hospice or residential 

medical care facility; or 

 2. continuing treatment by a health care provider that includes (but is not 

limited to) examination to determine if there is a serious health condition and 

evaluations of such conditions if the examinations or evaluations determine that a 

serious health condition exists. 

C. Substitution of Paid Leave 

 1. The employee may elect to substitute paid leave in accordance with 

applicable regulation for any part of the applicable period. An employee may not 

retroactively substitute paid leave for unpaid family and medical leave. An 

employee may continue to use earned compensatory time and credit hours, 

subject to supervisory approval, in addition to his/her entitlement to leave under 

the FMLA. 

 2. An employee may request leave on an intermittent basis or under a 

reduced leave schedule. The employee must consult with the leave approving 

official and make a reasonable effort to schedule intermittent LWOP and/or paid 

leave so as not to disrupt the operations of the Agency. 

D. Notice of Leave 

 1. Requests for the use of family and medical and unpaid leave under the 

FMLA will be made in writing on an authorized form. The employee must 

indicate on that they are invoking their entitlement to family and medical leave 

for: birth/adoption/foster care, serious health condition of a spouse, son, 

daughter or parent, or the serious health condition of oneself as appropriate. 

 

 2. When the need for unpaid family and medical leave is foreseeable, the 

employee will provide such notice as is practicable. If the need is foreseeable 

and the employee fails to give 30 days notice with no reasonable excuse for the 

delay of notification, the Agency may delay the taking of family and medical 

unpaid leave until at least 30 days after the date the employee provides notice of 

his or her need for family and medical leave. 

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E. Medical Certification 

 1. The written medical certification under FMLA for the employee’s illness 

shall include: 

 a. the date the serious health condition commenced; 

b. the probable duration of the serious health condition or specify 

 that the serious health condition is a chronic or continuing condition with 

 an unknown duration and whether the patient is presently incapacitated 

 and the likely duration and frequency of episodes of incapacity; 

c. the appropriate medical facts within the knowledge of the health 

 care provider regarding the serious health condition including a general 

 statement as to the incapacitation, examination or treatment that may be 

 required by a health care provider; and 

d. a statement that the employee is unable to perform one or more 

 of the essential functions of the position or requires medical treatment for a 

serious health condition based on written information provided by the 

 Agency on the essential functions of the employee’s position, or if not 

 provided, discussion with the employee about the essential functions of 

 the position. 

 2. In the case of medical certification under the FMLA for a family member 

of the employee, in addition to a. through d. in 1 above, it shall include: 

 a. a statement from the health care provider that the spouse, son, 

 daughter or parent of the employee requires psychological comfort and/or 

 physical care, needs assistance for basic medical, hygienic, nutritional, 

 safety or transportation needs or in making arrangements to meet such 

 needs and would benefit from the employee’s care of presence; and 

 b. a statement from the employee on the care he or she will 

 provide and an estimate of the amount of time needed to care for his or 

 her spouse, son, daughter or parent. 

 

3. In the case of medical certification for intermittent leave or leave on a 

reduced schedule for either the employee’s own illness or a family member’s 

illness, it shall also include the dates (actual or estimates) on which such planned 

medical treatment is expected to be given, the duration of the treatment and the 

period of recovery if any, or specify that the serious health condition is a chronic 

or continuing condition with an unknown duration, whether the patient is 

presently incapacitated and the likely duration and frequency of episodes of 

incapacity. 

 

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 4. If the Agency doubts the validity of the original certification, the Agency 

may require at the Agency’s expense that the employee obtain the opinion of a 

second health care provider designated by the Agency concerning the 

information certified. 

 5. The definition of “health care provider” will be consistent with the 

provisions of applicable law. 

 6. To remain entitled to family and medical leave, an employee or the 

employee’s spouse, son, daughter or parent must comply with any requirement 

from the Agency that he or she submit to examination (not treatment) to obtain a 

second medical certification from a health care provider other than the 

individual’s health care provider. 

 7. An employee must provide the written medical certification signed by a 

health care provider no later than 15 calendar days after the date the Agency 

request such medical certification. If it is not practicable under the particular 

circumstances to provide the requested medical certification no later than 15 

calendar days after the date requested by the Agency, despite the employee’s 

diligent good faith efforts, the employee must provide the medical certification 

within a reasonable period of time under the circumstances involved, but not later 

than 30 calendar days after the date the Agency requests such medical 

certification. 

8. If the employee fails to provide the requested medical certification, the 

Agency may: 

 

 a. charge the employee as AWOL or 

 b. allow the employee to request that the provisional leave be 

 charged as LWOP or charged to the employee’s annual and/or sick leave 

account, as appropriate. 

F. Medical Recertification 

While an employee is on family and medical leave, the Agency may require 

subsequent medical recertification from the health care provider if the 

circumstances described in the original medical certification are subject to 

change significantly, if the Agency receives bona fide information that casts 

doubt upon the continuing validity of the medical certification or for any reason 

that the Agency determines to be necessary. Such requests for medical 

recertification will not occur more frequently than every six weeks except as 

determined necessary by the Agency. 

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G. Protection of Employment and Benefits 

Upon return from family and medical leave, the employee will be returned to the 

same position as he/she occupied before the leave or to an equivalent position 

with equivalent benefits, pay status and to the extent possible, other terms and 

conditions of employment. 

H. When an employee requests leave under FMLA, the Agency will provide 

guidance concerning the employees rights and obligations under FLMA. 

I. An employee who meets the criteria for leave and has complied with the 

requirements under this section will be granted leave, consistent with all 

applicable rules governing FMLA.

SECTION 9 - FAMILY FRIENDLY LEAVE POLICIES

A. The Agency agrees to follow a liberal leave policy in granting requests for 

leave in connection with family care needs. To provide care for a family member, 

the employee will be allowed the maximum amount of time under law and 

government-wide rule and/or regulation if leave is available. 

B. In accordance with applicable regulations, a full time employee may use up to 

40 hours of his/her accrued sick leave in a leave year for general family care 

purposes, including making arrangements for or attending the funeral of the 

following family members: 

 1. spouse and parents thereof; 

 2. children, including adopted children, and spouses thereof; 

 3. parents, brothers and sisters, and spouses thereof; or 

4. any individual related by blood or affinity whose close association with 

the employee is the equivalent of a family relationship. 

C. In addition to the 40 hour basic entitlement, full-time employees who have a 

sick leave balance of 80 hours (after the use of the 40 hours) may use an 

additional 64 hours of sick leave for general family care purposes, bringing the 

maximum yearly allowance to 104 hours, or in the case of a part time employee, 

the number of sick leave hours accrued during a leave year. Part time 

employees may use sick leave according to the average number of hours worked 

per week. For example, an employee who works 20 hours per week would be 

allowed to use 20 sick leave hours per year (basic entitlement) and an additional 

32 hours of sick leave provided that he/she has a sick leave balance equal to 

twice the average number of hours in the weekly tour of duty (40 hours). 

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D. An employee who is caring for a family member with a serious health 

condition may use a total of up to 12 weeks (480 hours) of sick leave during a 

leave year provided the employee maintains a sick leave balance of at least 80 

hours. 

 1. For part-time employees, the amount of sick leave available to care for 

a family member with a serious health condition is equal to 12 times the average 

number of hours in the employee’s regularly-scheduled tour of duty. For 

example, an employee who works 20 hours a week would be allowed to use up 

to 240 hours of sick leave per year for a seriously ill family member provided the 

employee maintains a minimum sick leave balance at all times of 40 hours (twice 

the number of hours in the weekly part-time tour of duty). 

 2. If, at the time an employee uses sick leave for a family member’s 

serious health condition, the employee has used any portion of the 104 hours of 

sick leave allowable for general family care purposes during that leave year, that 

amount must be subtracted from the maximum number of allowable sick leave 

hours (480). This will determine the total number of sick leave hours that may be 

used during the remainder of the leave year for a family member with a serious 

health condition. 

 3. An employee may not use more than 12 weeks (480) hours of sick 

leave each leave year for all family care purposes. Consequently, if an employee 

previously used 12 weeks of sick leave to care for a family member with a 

serious health condition, he/she cannot use any additional sick leave under the 

general family care provisions as noted above. 

E. For a family member’s serious health condition, an employee will provide 

written medical certification to the Agency along with a leave request within 15 

days of the Agency’s request for such documentation. If the employee fails to 

provide the required documentation within the specified time period, the 

employee will not be entitled to sick leave. Medical certification for this leave will 

include all of the requirements contained in applicable regulations as determined 

necessary by the Agency. The Agency may require an employee to provide an 

additional written statement certifying that the family member requires 

psychological comfort and/or physical care, the family member would benefit 

from the employee’s care or presence and the employee is needed to care for 

the family member for a specified period of time. 

SECTION 10 - ADMINISTRATIVE LEAVE 

A. General 

For the purpose of this Article, administrative leave is defined as an excused 

absence from duty without loss of pay and without charge to leave. 

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B. Registration and Voting 

With the exception of those instances when the polls are open for 2 hours before 

or after the employee's scheduled tour of duty, an employee who desires to vote 

shall be authorized administrative leave for that purpose. 

C. Inclement Weather or Emergency Conditions 

 

1. When it becomes necessary to close any duty station because of 

inclement weather or any other emergency condition as determined by the local 

Commander/Director or their designee, the following procedures apply: 

a. Notification procedures shall be negotiated and established to 

 address each local situation. 

b. When a facility is officially closed for an entire day, 

 nonemergency employees, including those on preapproved leave will be 

 granted excused absence for the number of hours they were scheduled to 

 work. This does not apply to employees on leave without pay, worker’s 

 compensation, suspension or in another nonpay status. Employees on 

 alternative work schedules (AWS) are not entitled to another AWS day off 

 in lieu of the workday on which the Agency is closed. 

 

2. When it becomes necessary to close any duty station because of 

inclement weather or any other emergency condition developing during working 

hours, whether an employee should or should not be charged leave for an 

absence depends upon the employee’s duty or leave status at the time of 

dismissal: 

a. If the employee was in a duty status and was excused, there is 

 no charge to leave for the remaining hours of the work shift following 

 excusal. 

b. If the employee was in a duty status and departed on leave after 

 official word was received but before the time set for dismissal, leave is 

 charged only for the time the employee departed until the time set for 

 dismissal. 

c. If the employee was scheduled to report for duty after a leave 

 period and dismissal is given before the employee can report, leave is 

 charged until the time set for dismissal. 

3. When a duty station or an assigned site away from the duty station is 

open, but inclement weather or other emergency conditions affecting travel to the 

duty station or an assigned site away from the duty station prevents an employee 

from getting to work on time or not at all, the employee may be granted 

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administrative leave on a case-by-case basis, provided that the employee 

presents a reasonably acceptable explanation and/or documentation related to 

the inclement weather or other emergency conditions to the supervisor. 

4. In those individual instances where an employee needs to advise 

management of inclement weather conditions existing in their area, employees 

will contact their offices utilizing local procedures. The Commander/Director or 

designee will make the decision as to whether the employee is providing a 

reasonably acceptable explanation for the purpose of granting administrative 

leave. 

5. If an employee is an Emergency Responder (definition of Emergency 

Responder will be negotiated locally), in cases of local or national emergency, 

the employee will be granted administrative leave in accordance with law, 

regulation and/or Executive Order. 

6. The Commander/Director or designee may excuse, on an individual 

basis, employee tardiness of less than two (2) hours when emergency conditions 

exist. 

D. Veterans Participating in Military Funeral Ceremonies 

Employees who are veterans may be granted administrative leave to enable 

them to participate as active pallbearers or as members of an honor guard in 

funeral ceremonies for members of the Armed Forces, subject to applicable law 

and regulation. 

E. Blood Donation 

DCMA employees are encouraged to serve as blood and or blood platelet 

donors. When approved by management, employees should be excused from 

work for up to 4 hours without charge to leave for the time necessary to donate 

blood and platelets, for recuperation following such donations, and for necessary 

travel to and from the donation site. When unusual circumstances exist, 

additional time may be authorized on a case-by-case basis. 

F. Leave for Bone Marrow or Organ Donation 

1. Employees shall be entitled to take up to seven (7) days of paid leave 

in a calendar year (in addition to sick or annual leave) to serve as a bone marrow 

donor. 

 2. Employees shall be entitled to take up to 30 days of paid leave in a 

calendar year (in addition to sick or annual leave) to serve as an organ donor. 

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G. Labor Disputes in Contractor’s Facility 

When employees are prevented from working because of temporary shutdowns 

or safety issues due to labor disputes at a contractor’s facility to which they are 

assigned, every effort will be made to assign them to other work. If that is not 

possible, such employees may be dismissed without charge to leave for a 

maximum of 5 days or until management determines alternate work 

arrangements. 

H. Absences for Emergency Conditions or Other Management Reasons 

1. When bargaining unit employees are prevented from working at the 

location to which they are assigned due to emergency conditions or alerts and 

they do not choose to take leave, every effort will be made to assign them to 

another work site within a reasonable commuting distance to include telework if 

appropriate. If this is not possible, employees will be excused without charge to 

leave or loss of pay. 

2. When bargaining unit employees are prevented from working at the 

location to which they are assigned due to scheduled or unscheduled plant 

closure or other reasons, and they do not choose to take leave, every effort will 

be made to assign them to other work within a reasonable commuting distance, 

to include Telework if appropriate. If this is not possible, employees will be 

excused without charge to leave or loss of pay. 

3. Management will ensure the maximum use of alternate work sites. 

 

4. The DCMA Council Local shall be notified as far in advance as 

possible that a no work situation will exist. 

SECTION 11 - LEAVE OF ABSENCE WITHOUT PAY TO SERVE AS A 

NATIONAL OFFICIAL 

LWOP will be granted to a bargaining unit employee who is elected to a position 

of National Officer of the American Federation of Government Employees, AFLCIO for the purpose of serving full-time in the elected position or who is selected 

as an AFGE National Union Representative. The Agency shall be given not less 

than 30 days advance notice. Any LWOP granted or approved in accordance 

with this article is subject to appropriate Government-wide regulations. To the 

extent of its authority, the Agency shall place the employee in the position the 

employee left, or one of like, status, grade, location and pay upon their return to 

duty. 

SECTION 12 - HOLIDAY LEAVE

See Article 37, Hours of Duty, Section 7 - Holidays. 

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ARTICLE 21 

POSITION CLASSIFICATION 

SECTION 1 - BASIC POLICY

A. The Agency and the DCMA Council endorse the principle of equal pay for 

substantially equal work. 

B. The Agency supports the policy of properly classifying positions consistent 

with the assigned duties. Supervisors will review all position descriptions 

annually with their employees in conjunction with the annual performance 

appraisal to assure that positions accurately reflect the assigned duties. 

SECTION 2 - POSITION DESCRIPTIONS

A. The Agency will maintain an accurate position description for each position 

that will reflect the significant duties to be performed. Position descriptions 

containing "and other duties as assigned" or similar phrases will not be used as a 

basis for assigning duties to an employee on a recurring basis which are 

unrelated to their principal duties. 

B. Employees will be furnished a current copy of his/her position description 

normally within 30 days of assignment. When major changes are made to an 

employee’s position description, they will be fully explained to the employee in 

advance of the employee undertaking the new duties. When major changes are 

anticipated in a position description, the affected employee(s) will have input to 

those changes. New or revised position descriptions will be provided to the 

employee normally within thirty (30) days. 

C. Duties of a physical nature which exceed the normal physical demands of the 

job will be brought to the attention of the supervisor by the employee. The 

supervisor will ensure that the safety and health of the employee are protected. 

SECTION 3 - POSITION DESCRIPTION ACCURACY

When differences concerning the accuracy of the contents of a position 

description cannot be resolved between the supervisor and the employee, the 

employee/DCMA Council Local representative may file a grievance under the 

negotiated grievance procedure. Such grievances will not include issues 

concerning the appropriate classification of the title, grade and/or series of the 

position. The matter concerning content accuracy must be resolved before an 

employee may file a position classification appeal. 

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SECTION 4 - CLASSIFICATION ACCURACY

A. An employee who feels his/her position description is improperly classified will 

meet and discuss this matter with his/her supervisor for clarification. Should the 

supervisor be unable to answer the employee's questions, the supervisor will 

arrange for a teleconference with the appropriate position classifier, the 

supervisor and the employee. The Union shall be afforded an opportunity to 

participate if requested by the employee. Should this teleconference fail to 

resolve the employee’s classification issues, a face-to-face meeting with all 

parties involved may be held. This will be jointly determined by the parties. 

Should the issue remain unresolved to the employee’s satisfaction, the employee 

may file a position classification appeal. Upon written request by the employee 

or Union in connection with the appeal, the Agency will provide the requestor with 

an analysis which shall cite the standards used to classify the position being 

appealed. Position classification standards are available on the OPM website. 

B. Upon request, the employee and the Union will be provided copies of 

documentation and/or status information regarding any classification action 

affecting the employee’s position. 

C. If the position description appealed is identical to other encumbered positions 

in the Agency which may be impacted, the Union will be provided information 

regarding the results of any review conducted upon request. 

D. If requested by the employee who files a classification appeal, the Union may 

observe any onsite classification audit.

SECTION 5 - SURVEYS

The Agency shall provide the DCMA Council with information on occupational 

surveys to be conducted or being conducted as a result of OPM direction, OPM 

issuance of a proposed Government-wide classification standard or development 

by the Agency of a supplemental classification guideline in accordance with the 

OPM position classification standards.

SECTION 6 - HAZARDOUS DUTY PAY

Hazardous duty pay for General Schedule employees shall be paid in 

accordance with governing laws and regulations. 

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ARTICLE 22

CAREER DEVELOPMENT AND TRAINING 

SECTION 1 - GENERAL

A. The Agency will provide training, education and development opportunities in 

accordance with 5 CFR, Part 410 and subject to the availability of space and 

funds. The DCMA Council and the Agency shall encourage employees to take 

advantage of training and educational opportunities. Such training shall add to 

the skills and qualifications needed to increase their efficiency in the performance 

of their duties, meet future Agency requirements and qualify for advancement. 

B. Where non-job related courses are available only during duty hours at an 

area institution, the Agency will give appropriate consideration to an employee’s 

request for a special tour of duty to permit the employee to take the course. 

C. To the extent practicable, training directed by the Agency will be scheduled 

within employees’ work hours. When it is not possible to do so, the employee’s 

shift may be adjusted to encompass the hours of the training. Overtime pay for 

training is generally prohibited for FLSA Exempt positions, except as specifically 

addressed in exceptions described in 5 CFR 410. Overtime pay for training or 

attending lectures, meetings or conferences for employees covered by FLSA is 

described in 5 CFR 551.423, which provides for payment of overtime only when 

the training is directed (rather than permitted) by the Agency and the purpose of 

the training is to improve the employee’s performance of the duties and 

responsibilities of his/her current position. 

D Training classes normally should consist of a combined total of classroom 

training and outside assignments not to exceed 8 hours per day. For all training 

classes requiring assignments beyond the 8 hour classroom day, the employee 

will be compensated in accordance with applicable laws and regulations. On 

those days when the class is dismissed prior to completion of the 8 hours of 

training, the employee is required to return to regular duty or take leave for the 

balance of the day. 

E. The Agency agrees to provide appropriate job related training to employees 

without regard to disability, race, religion, sex, age, national origin or Union 

affiliation or non-affiliation. 

SECTION 2 - INDIVIDUAL DEVELOPMENT

An Individual Development Plan (IDP) will be prepared and/or updated annually 

and discussed in conjunction with performance evaluation discussions. The 

Agency will provide access to appropriate sources of formal training (e.g. web 

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sites, catalogs). Upon an employee’s assignment to a new or different position, 

the Agency will inform him or her of the purpose of an IDP and develop an IDP 

that outlines the skills or knowledge required for performance in the position and 

recognizes the employee’s development interests. Additionally, the Agency shall 

make every reasonable effort to provide training and developmental activities 

identified on each employee’s approved IDP when such training is related to the 

employee’s official job duties, subject to the availability of space and funds. 

SECTION 3 - EXPENSES

Subject to the availability of funds, the Agency will pay approved job related 

training and/or formal education expenses. Employees who are interested in 

pursuing courses of training or higher education at their own expense are 

encouraged to do so. Employees may document such training in their 

resumes/job applications and will be given credit for such if appropriate. 

SECTION 4 - VOLUNTARY PARTICIPATION/SELECTIONS

Participation in career development programs will be completely voluntary. 

DCMA Council participation will not be considered when selecting career 

development program participants. 

SECTION 5 - ANNUAL TRAINING REQUIREMENTS

A. The Agency will conduct an annual review of training requirements. The 

Agency will consider the DCMA Council’s views in evaluating training needs, 

formulating programs to meet those needs and the training program content.

B. The Agency will put the DCMA Council on distribution of all training 

coordinator guidance related to bargaining unit employee training. 

SECTION 6 - TRAINING PROGRAMS

Agency’s training programs may include but are not limited to the following: 

 1. classroom training; 

 2. on-the-job training; 

 3. technology-based training, e.g. computer-based, satellite, e-learning; 

 4. coaching and mentoring; 

 5. cross-training and rotational assignments; 

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 6. upward mobility programs (including OPM approved waivers of 

qualification requirements); 

 7. internship and other career ladder positions; or 

 

 8. retirement planning (the parties encourage employees to participate in 

retirement planning training early in their careers to facilitate proper retirement 

planning). 

SECTION 7 - ACCREDITATION

When an institution of higher learning provides for accreditation of on-the-job 

training or experience, the Agency will, upon request of the institution, seek to 

have the institution accredit the Agency program. The Agency will assist 

employees in obtaining the appropriate credit based on their participation. 

SECTION 8 - EMPLOYEE ORIENTATION

A. The Union will be given the opportunity to make a presentation at new 

employee orientation briefings attended by bargaining unit employees. The 

Union will be provided reasonable advance notice of the orientation sessions so 

that a representative can be made available. 

B. The Agency will provide DCMA Council with a quarterly listing of all newly 

hired employees. This listing will include the organization, name, title, series and 

grade of the employees gained during the previous quarter. 

SECTION 9 - ADVANCE NOTICE

Normally, employees will be given at least two weeks advance notice of training 

courses that require TDY. When scheduling training that will require TDY, the 

Agency will upon request, take into consideration personal hardship or other job 

related training courses a candidate is enrolled in that would conflict. 

SECTION 10 - USE OF FACILITIES AND EQUIPMENT

Supervisors may permit employees the use of Government equipment (i.e., 

computers, copy machines) if the use serves a legitimate public interest such as 

enhancing professional skills, or job searching in response to downsizing efforts 

provided: the use does not adversely affect the performance of official duties by 

the employee or the employee’s organization; the use is of reasonable duration 

and frequency, and accomplished during the employee’s personal time, i.e., 

before or after duty hours or during lunch periods; the use does not put Federal 

Government resources to uses that would reflect adversely on DoD; and the use 

creates no significant additional cost to the Agency. 

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ARTICLE 23

MEMBERSHIP AND PARTICIPATION 

IN 

 PROFESSIONAL ASSOCIATIONS

Consistent with ethics laws and regulations, employees are encouraged to join 

and participate in professional organizations and their functions. Expenses for 

such membership and/or participation in these meetings, including travel and per 

diem, will be borne by the employee. At the discretion of the Agency, employees 

may be authorized duty time and/or travel expenses to participate in such 

meetings when workload permits and participation in the meeting is in the 

interest of the Agency. When an employee is directed by the Agency to join and 

participate in professional organizations and their functions, the expenses, 

including travel and per diem, will be borne by the Agency.

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ARTICLE 24 

UPWARD MOBILITY

 

SECTION 1 - GENERAL

The Agency and the DCMA Council agree to the importance of providing lowergraded employees with opportunities to satisfy their career aspirations through 

competition for positions in career fields in the general schedule (GS-1-12) or at 

equivalent wage grade full performance levels. 

SECTION 2 - UPWARD MOBILITY OPPORTUNITY

A. Upward mobility must support Agency mission and organizational objectives. 

The Agency and the DCMA Council agree that opportunity for upward mobility is 

in the best interest of the Agency and the employee. The Agency agrees to 

provide employees with opportunities to reach their maximum level of job 

achievement through establishing upward mobility positions whenever 

reasonable and possible. 

B. Upward mobility provides new career opportunities to permanent DCMA 

employees who occupy positions with limited grade levels by enabling them to 

compete for positions which offer growth to targeted grade levels. 

SECTION 3 - AVAILABILITY

A. Upward mobility is open to all career fields and shall not be limited to any one 

geographical area. 

B. Determination of reasonableness will be based upon: mission requirements, 

fiscal responsibility, position criticality, overall workforce experience, downsizing, 

availability of training, etc. The establishment of any position is at the discretion 

of management. 

SECTION 4 - IDENTIFICATION AND SELECTION OF CANDIDATES

Selection procedures will be in accordance with Article 25, Merit Promotion. 

SECTION 5 - TRAINING

Training for Upward Mobility positions will be in accordance with Article 22, 

Career Development and Training. 

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ARTICLE 25 

MERIT PROMOTION 

SECTION 1 - GENERAL 

A. The purpose of this Article is to enable the Agency to meet the challenges it 

faces and to respond quickly and effectively to changes in its mission and 

priorities through the promotion, reassignment and detail of its employees. Merit 

system principles will apply to all competitive promotion actions taken under this 

Article. 

B. Promotions will be carried out in accordance with applicable law, 

Government-wide rule or regulation and this Article. 

C. Merit promotion procedures will apply to actions effecting the competitive 

placement (for over 120 days) of employees to positions at grade levels higher 

than those of their current positions. They will also apply to placement into 

positions which offer promotion to grades which are higher than the specific full 

performance level of any position previously held on a permanent basis. Any 

and all references to “position” in this Article mean a bargaining unit position. 

This Article does not apply to promotions, reassignments or details for nonbargaining unit positions or bargaining unit positions filled via special hiring 

authorities. 

D. The Agency retains the right to use any lawful means to fill positions either 

concurrently with or in lieu of competitive procedures. Toward this end, and in 

order to meet the total objectives of the organization, the Agency has the right in 

filling positions, to use means other than the competitive promotion process and 

to select from appropriate sources such as eligibles for reinstatement, transfer, 

reassignment, excepted appointment or those within reach on an appropriate 

OPM or delegated examining unit certificate. 

SECTION 2 - POLICY

A. The Agency and the Union share an interest in a fair and open merit 

promotion process that provides employees with the opportunity to advance in 

their careers based on merit. 

B. Violations of the promotion program can have serious impact on personnel 

management that goes beyond the particular cases involved. Proper promotion 

actions are essential to assure that the Agency is being staffed by the best 

persons available and employees are receiving fair consideration. Thus, the 

Agency agrees to take appropriate and timely measures to correct deficiencies 

discovered. 

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SECTION 3 - PRIORITY CONSIDERATION AND PLACEMENT 

A. Definition 

For the purpose of this Article, a priority consideration is the consideration for 

non-competitive selection given to an employee as the result of a previous failure 

to properly consider the employee for selection because of procedural, regulatory 

or program violation. Normally, employees will receive priority consideration for 

each instance of improper consideration. When circumstances warrant, the 

Agency and DCMA Council agree to consider additional instances of priority 

consideration. Priority consideration does not give the employee a right or 

guarantee to be selected for any vacancy. 

B. Procedure 

An employee will receive bona fide consideration by the selecting official before 

any other candidate is referred for consideration. The employee will not be 

considered in competition with other candidates and will not be compared with 

them. 

C. Mandatory Placement Actions 

If an employee in any of the categories below is available and qualified when a 

vacancy occurs, that employee must be given appropriate placement entitlement: 

 

 1. persons with statutory, regulatory, or administrative reemployment or 

restoration rights. These include employees returning from military service, 

employees returning from overseas assignments under the terms of a return 

rights agreement or persons whose names appear on a Reemployment Priority 

List; 

 2. placement actions required in connection with Reduction in Force 

(RIF); 

 3. placement, reassignment or promotion that is directed by the OPM, the 

MSPB or other authority to effect a corrective action resulting from an appeal, 

grievance, EEO complaint decision or to correct a violation of law or regulation; 

 4. placement of employees entitled to mandatory placement under 

provisions of the DoD Priority Placement Program. Refer to the DoD Priority 

Placement Program Operations Manual; or 

 5. placement of qualified recovered disability annuitants and former 

employees receiving workers compensation. 

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D. Employees entitled to priority consideration will be notified when they are 

considered for placement under priority consideration procedures. 

SECTION 4 - PERSONNEL ACTIONS COVERED BY THE MERIT 

PROMOTION PROGRAM (COMPETITIVE ACTIONS) 

A. Competitive actions are a result of competition among applicants and that are 

based on job related factors, OPM or OPM-approved minimum qualification 

standards and basic statutory/regulatory eligibility requirements for promotional 

opportunities. Competitive procedures apply to the following actions: 

 1. temporary promotion of more than 120 days; 

 2. selection for detail for more than 120 days to either a higher graded 

position or to a position with known promotion potential; 

 3. reassignment or change to lower grade to a position with higher 

potential than the employee's current position (except as permitted by RIF 

regulations); 

 4. transfer to a higher graded position or one with more promotion 

potential than previously held permanently in the competitive service; or 

 5. reinstatement to a permanent or temporary position at a higher grade 

or with more promotion potential than the highest grade previously held on a 

permanent basis in the competitive service.

SECTION 5 - EXCEPTIONS TO THE MERIT PROMOTION PROGRAM 

A. Competitive procedures may not be required for: 

 1. a promotion resulting from the upgrading of a position without 

significant change in the duties and responsibilities due to the issuance of a new 

classification standard or the correction of a prior classification error; 

 2. a position change permitted by RIF procedures; 

 3. promotion resulting from upgrading of a position due to the accretion of 

duties; 

 4. career promotion of an employee without further competition when at 

an earlier stage the employee was selected from an OPM certificate of eligibles 

under competitive promotion procedures for an assignment intended to prepare 

the employee for the position being filled. This includes any promotion up to and 

including the full performance level of the position; 

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 5. temporary promotions of 120 days or less; 

 6. details of not more than 120 days to higher graded positions or to 

positions with known promotion potential; 

 7. repromotion of an employee who was demoted without personal cause 

and not at his or her request. Except for good cause, employees involuntarily 

downgraded without personal cause will be repromoted at the first opportunity. 

Good cause includes but is not limited to management’s decision not to fill or to 

abolish the position or to select a better qualified candidate from any appropriate 

source. In the event of non-selection for repromotion, the employee will be 

provided written reasons for non-selection; 

 8. selection of a permanent government employee from OPM delegation 

of authority registers for higher graded positions or positions with known 

promotion potential; 

 9. promotion of an employee to any position and/or grade level which he 

or she formerly held on a permanent basis. Since employees already competed 

at a previous time, they must only meet the basic qualification requirements of 

the position; 

 10. transfer of a current Federal employee or reinstatement of a former 

Federal employee to a position that is no higher than a position previously held 

on a permanent basis under a career or career conditional appointment, provided 

the employee was not demoted or separated from that previous position for 

cause or for performance deficiencies; 

 11. position change (either reassignment, demotion, or promotion) of any 

permanent employee from a position having known promotion potential to a 

position having no higher potential; or 

 12. selection of an individual accorded priority consideration. 

 

SECTION 6 - RESPONSIBILITIES

A. The Agency will: 

 1. administer the Merit Promotion Program and assure adequate advice 

and assistance is provided to supervisors and employees to enable them to 

discharge their responsibilities in connection with the program; 

 

 2. ensure each employee on a promotion certificate may ascertain 

whether they were selected through the Automated Notification System Web 

Enabled Response (ANSWER) or equivalent; and 

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 3. publish job opportunity announcements on USA Jobs or equivalent and 

provide information to employees with respect to the filing of applications and the 

regulatory aspects of the promotion program. 

B. The DCMA Council will bring matters of concern regarding the promotion 

program to the attention of the Agency as early as possible in an effort to reach 

informal resolutions. The Parties shall address and attempt to resolve the 

concern prior to commitment of the position. In addition the Agency and the 

Union will: 

 1. encourage and assist employees to improve their potential for 

promotion through self help activities; 

 2. assist employees in identifying appropriate positions for which they are 

qualified; and 

 3. assist employees to overcome weaknesses which have been identified 

as reasons they have not been promoted. 

C. Employees are expected to: 

 1. apply only for those positions for which they consider themselves 

qualified and in which there is a genuine interest and willingness to accept, if 

selected; 

 2. assure the applications filed for consideration are completed accurately 

and in the detail required to permit a valid evaluation of their qualifications; 

 3. cooperate in the resolution of questions concerning their qualifications 

and eligibility for a specific job vacancy or job category by providing pertinent 

information as may be requested or required; 

 4. familiarize themselves with the merit promotion program and seek 

desired clarification from supervisors and/or their servicing Human Resources 

Office; 

5. respond to the requirements of JOAs; 

 6. maintain awareness of the status of their application for a position 

through the ANSWER system or equivalent; and 

 7. request a discussion with the selecting official, if so desired, upon 

notification of non-selection. The selecting official may suggest 

improvements/changes that may enhance future promotion possibility. 

 

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SECTION 7 - AREA OF CONSIDERATION

A. The area of consideration for positions to be filled through competitive 

promotion procedures must be broad enough to obtain a sufficient number of 

highly qualified candidates from which to select and to provide adequate 

promotion opportunities for employees. 

B. The area of consideration in announcing vacancies will be no less than: 

 1. Agency-wide and Acquisition Technology, and Logistics (AT&L) 

Workforce in the Department of Defense (DoD) Components outside the military 

departments for permanent acquisition workforce positions (i.e. Defense 

Acquisition Workforce Improvement Act (DAWIA)); and 

 

2. Agency-wide for all other permanent bargaining unit positions. 

 

SECTION 8 - JOB OPPORTUNITY ANNOUNCEMENTS

A. Positions to be filled through the competitive promotion process will be 

publicized by means of a JOA and posted on the Agency’s web site. 

B. As a minimum, JOAs shall include the following information: 

 1. the JOA number; 

 2. the position title(s), occupational series, and grades(s); 

 

 3. opening and closing dates; 

 4. a brief summary of the representative duties of the position(s); 

 5. area(s) of consideration; 

 6. qualification requirements, including a description of any modification of 

established qualifications requirements; 

 7. selective placement factors, if any; 

8. evaluation factors and the due consideration of weights they will 

receive in arriving at composite or total scores for ranking purposes; 

 9. a statement that the position(s) covered has (have) known promotion 

potential which can result in subsequent career promotion(s), if applicable; 

 10. any test(s) required; 

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 11. any unusual conditions of employment which it might be advisable to 

publicize, such as tour of duty, temporary duty (TDY) travel, driver's license, 

financial statement filing requirement, security requirements, etc.; 

 12. a statement that applications will be accepted from VRA eligibles and 

30 percent or more disabled veterans if appropriate; 

 13. the statement: "The Defense Contract Management Agency is an 

equal employment opportunity Agency"; 

 14. statement that basic eligibility requirements such as time in grade, 

minimum qualifications and other regulatory requirements must be met by the 

date the referral is issued; 

 15. length of temporary promotion or detail (if appropriate); 

 16. how and where to apply, including any special forms required; 

 17. statement concerning authorization of Permanent Change of Station 

(PCS) payment; 

 18. statement as to whether the position is a drug testing designated 

position; 

19. statement as to whether the position is subject to mobility or rotation; 

 20. statement as to Security Clearance requirement; 

 21. statement as to whether the position is Emergency Essential (EE). 

(Deployable); and 

 22. statement as to whether the position is a bargaining unit position. 

C. JOAs will be posted electronically during the time limits within which 

applications will be accepted. 

 1. Employees are expected to keep applications submitted for open 

continuous and continuing promotion registers current by submitting updated 

resumes. 

 

 2. Multi-location JOAs/Registers: JOAs may be issued to establish 

registers for similar positions located throughout the Agency. Applicants are 

required to specify their geographical/organizational preference(s) when 

requested or they will only be considered for positions within their assigned 

organization. 

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D. For vacancies announced on an open continuous basis cut off dates for any 

and all vacancies will be defined in the JOA. 

E. JOAs for positions for which there is an anticipated frequent, repetitive or 

continuous need may either be announced on an open continuous basis or may 

be announced for a limited period and used to establish a register of candidates 

to be referred as appropriate vacancies arise. 

F. To be accepted, applications must be received by the date specified. 

G. Amendments, cancellations or extensions will be made available in the same 

manner as the JOA.

SECTION 9 - EVALUATION, CERTIFICATION AND SELECTION OF 

APPLICANTS UNDER COMPETITIVE PROCEDURES

 A. The Agency and DCMA Council recognize their shared interest in a 

consistent and efficient merit promotion system that provides for prompt filing of 

vacancies with high quality applicants. 

B. The Agency will use an automated system for evaluation of candidates. The 

Agency agrees to provide training to employees and Union representatives 

regarding the operations of the automated system. For each position or group 

of positions, which will be filled through competitive promotion procedures, the 

method of rating must be documented. This job analysis will address: 

 1. the skills identified through job analysis as necessary for successful job 

performance and the relative weight assigned to each; 

 2. the measurement methods to be used; and 

 3. evaluation procedures to be followed and measuring information to be 

used based solely on job related criteria. 

C. Skills to be used for evaluation purposes must be derived from the official 

position description for the position being filled. 

D. Candidates who have a current rating of record of Unacceptable will not be 

certified for promotion consideration. They will be notified that they are ineligible 

for further consideration. 

E. Applicants for promotion will be evaluated based upon relative skills, 

education and awards. The relative importance of skills may be weighted. 

Skills to be used and the weights of skills will be determined prior to issuance of

the JOA. 

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SECTION 10 - USE OF PANELS IN THE PROMOTION PROCESS

A. Panels may be used to evaluate, rank and/or interview candidates for 

selection consideration. 

B. Panels may not function in a way which preempts the selecting official's 

authority. 

SECTION 11 - REFERRAL OF CANDIDATES FOR SELECTION

A. A list of the top ten best qualified candidates will be referred to the selecting 

official for consideration (unless there are less than ten qualified applicants). The 

number to be referred will not exceed ten promotion candidates for each vacancy 

being filled, unless there are tie scores. Ties will not be broken. When there is 

more than one vacancy, one additional applicant will be referred for each 

additional vacancy. 

B. When a promotion certificate contains at least three qualified promotion 

candidates the selecting supervisor may not reject the certificate as inadequate 

solely on the basis that it contains an insufficient number of eligibles. 

C. If the promotion certificate contains fewer than three qualified promotion 

candidates or if declinations reduce the number to fewer than three, the selecting 

official may request that recruitment effort be renewed or he/she may proceed 

with the selection process. If recruitment is renewed, previous applicants need 

not apply to receive consideration. 

D. In cases where the position was announced at more than one grade level, the 

selecting official will be provided a list for each grade level. 

SECTION 12 - CANDIDATE INTERVIEWS

A. The selecting official has the option to interview or not interview the 

candidates referred. If one bargaining unit candidate is interviewed, all 

bargaining unit candidates will be interviewed. Interviews will be conducted in 

essentially the same manner in regard to questions asked and the information 

being sought so that all candidates are given an equitable opportunity to present 

themselves and their qualifications. 

B. Employees will be released, after making appropriate arrangements with their 

supervisor, for the time necessary for the interview to be conducted. 

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SECTION 13 - SELECTION

A. Selecting officials may select any of the candidates referred on the promotion 

certificates, or any candidate eligible for noncompetitive consideration. 

B. If the vacancy is one for which an under-representation exists and is a 

targeted occupation as identified in the Affirmative Employment Plan and there 

are well qualified candidates whose selection would reduce the underrepresentation, then the selecting official will give the appropriate consideration 

consistent with the Affirmative Employment Plans. 

C. The employee’s promotion will not be affected by the Agency’s inability to 

release the employee to their new position in a timely manner. 

D. Management shall select by seniority when: (1) it has determined to fill a 

vacancy and (2) it has narrowed its choice to two employees equally capable and 

equally qualified under management's criteria. 

SECTION 14 - RECORDS

Promotion actions will be documented and records maintained in accordance 

with requirements established by OPM. The DCMA Council Local representative 

shall have the right to review pertinent promotion records, upon request, subject 

to the limitations of the Privacy Act. 

SECTION 15 - EXPEDITED GRIEVANCE PROCEDURE FOR MERIT 

PROMOTION

A. The Agency and the DCMA Council share an interest in fair consideration of 

applicants for promotion. This expedited grievance procedure provides a means 

for rapid review of employee or Union grievances regarding qualifications or 

rating decisions. This procedure may be used by an employee or by the Union 

within five (5) workdays after issuance of the Web Based Referral List or 

equivalent. 

B. In the event a grievance is filed using this procedure, the Agency will stay the 

selection process for five (5) workdays or until the grievance decision is 

rendered, whichever occurs first. If multiple grievances are filed, the Agency will 

suspend the selection process for five (5) workdays from receipt of the first 

grievance. 

C. A representative of the Agency will communicate telephonically or in person 

with the Union/employee(s) to discuss the grievance within three (3) workdays 

from receipt of the grievance. The Agency will provide a written decision within 

two (2) workdays of the communication. 

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D. A grievance not resolved by this procedure may be advanced to the second 

step of the negotiated grievance procedure. 

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ARTICLE 26 

PERFORMANCE MANAGEMENT 

SECTION 1- GENERAL

Performance management is the process of creating a work environment or 

setting in which people are enabled to develop their full potential and perform to 

the best of their ability. Performance management supports the desire to create 

a customer serving, motivated, accountable, reliable and dedicated workforce. It 

provides enough guidance so employees understand what is expected of them. 

It provides enough flexibility so that individual creativity and strengths are 

nurtured but enough control so that employees understand organizational 

missions/goals. A performance management plan contains clear expectations 

and robust measures that make meaningful distinctions across levels of 

performance and reinforces accountability. The performance management plan 

will support human capital decisions such as training and development, 

succession planning, recognizing top performers, reduction-in-force, etc. 

Performance plans will be applied so that each employee has the opportunity to 

excel. 

SECTION 2 - ESTABLISHING WRITTEN PERFORMANCE PLANS 

A. A written performance plan provides the employee with clear 

expectations/goals based on position requirements and a method for the 

supervisor/manager to rate his/her progress objectively. The plan consists of a 

set of rating elements and performance standards used to evaluate such 

elements. 

B. Performance plans must be current and derived from the duties and 

responsibilities of the position and be attainable. 

C. Upon request, the Agency will provide the DCMA Council with a copy of the 

guidance provided to management for the purpose of developing written 

performance plans. 

SECTION 3 - CRITICAL ELEMENTS 

A. Rating elements must address the critical functions of an employee’s position. 

A performance plan normally consists of four to six critical elements. A critical 

element is a work assignment or responsibility of such importance that 

unacceptable performance of the element would result in a determination that an 

employee’s overall performance is Unacceptable. When developing critical 

elements, consideration should be given to work quality, productivity, customer 

support, teamwork and cooperation for employee performance plans and 

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management, coaching and leadership for supervisory and managerial plans. 

The critical elements are to be tied to the core competencies of each 

occupational group and related customer outcomes/expectations. DCMA 

managers and supervisors are to develop critical elements for all employees that 

link to the Agency’s Performance Plan. 

B. Performance plans containing critical elements should identify and measure 

work outcomes and achievements rather than the work processes employed to 

produce the results. When organizational goals and metrics are used in 

employees’ performance plans, they should be directly linked to an individual’s 

critical elements, be reasonably attainable and be clearly stated in terms of 

quality, quantity, timeliness and manners of performance. 

Critical elements for bargaining unit employees shall address individual 

performance only. 

SECTION 4 - NON-CRITICAL ELEMENTS

A non-critical element is a dimension or aspect of individual, team or 

organizational performance, exclusive of a critical element, that is used in 

assigning a summary level. Such elements may include, but are not limited to, 

objectives, goals, program plans, work plans and other means of expressing 

expected performance. 

SECTION 5 - PERFORMANCE STANDARDS

Supervisors/managers will develop standards of performance on the critical 

elements that are credible and reliable measures of performance. Employees 

are to participate in the development of the performance standards for 

Contribution to Mission Accomplishment. The standards are to delineate the 

supervisor’s expectation of performance at the Fully Successful and Outstanding 

levels. They should be expressed in results-oriented terms. Supervisors must 

communicate with employees regarding their performance elements and 

standards. Employees are to receive a copy of their performance plan during 

initial entry into their position, at the beginning of each rating period and 

whenever the plan is revised. Employees will be given the opportunity to 

participate in the initial development and any revision of performance plans for 

their positions. Employees may suggest changes to their performance plans 

during the rating cycle. The employee will be allowed a reasonable amount of 

time to review and comment on any new or revised standards. The employee 

may discuss the standards with a Union representative, if desired. 

SECTION 6 - MANAGING PERFORMANCE AND PROGRESS REVIEW

A. Performance plans cover the appraisal period which runs from 1 January to 

31 December. The rating official and the employee meet at the beginning of the 

appraisal period to discuss performance requirements and expectations. A copy 

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of the plan shall be provided to the employee. Periodic reviews and discussions 

provide ongoing, consistent feedback that addresses both employee strengths 

and the weaker areas of their performance. 

B. Rating officials should determine whether training or other developmental 

opportunities would help an employee perform better on the job. Managing 

performance should help identify remedial or developmental training necessary 

for an employee to meet a specific performance standard or expectation. Rating 

officials are to include training requirements or assignments focused on 

improving future performance on the employee’s IDP. 

SECTION 7 - EVALUATING AND RATING PERFORMANCE AT THE END OF 

THE RATING PERIOD

 

A. The rating period begins January 1 and ends December 31 of each year. 

B. Sufficient time shall be scheduled for the employee to discuss their 

performance appraisal. 

C. Supervisors must provide ratings based on a minimum of 90 consecutive 

calendar days when employees have worked for the same supervisor under the 

same performance plan. 

D. A supervisor must provide an employee with summary ratings when an 

employee leaves their position during the last 90 consecutive calendar days of 

the rating period and has served a minimum of 90 consecutive calendar days or 

more in his/her former position working for that supervisor under the same 

performance plans. This also applies if the supervisor leaves his/her position 

during this same period and the employee has served 90 consecutive calendar 

days or more working for that supervisor under the same performance plan. This 

rating is considered the rating of record for the employee for the entire rating 

period. 

E. In those situations where the employee and/or supervisor do not meet the 

minimum 90 consecutive calendar day requirement, the supervisor must delay 

the rating until such time as the employee works for the gaining supervisor at 

least 90 consecutive calendar days. When the 90 day period ends, the rating 

must be prepared within 15 days of the end of the extended rating period. 

SECTION 8 - APPRAISING TEMPORARY DUTY PERFORMANCE

A. When an employee is temporarily assigned for 120 days or more, the 

temporary rating official gives the employee a written performance plan reflecting 

the temporary assignment as soon as possible, but no later than 30 days of 

entering the position. When the temporary assignment ends, the temporary 

rating official will complete an evaluation and provide it to the permanent rating 

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official for consideration in completing the employee’s annual performance 

evaluation. 

B. When an employee is on a temporary assignment for a period of 90 days and 

an annual evaluation is due, the temporary rating official shall complete the 

evaluation. 

C. If the evaluation is due and the employee has been on the temporary 

assignment for less than 90 days, the permanent rating official shall assign the 

rating. 

D. Employees who fail to meet expectations while on detail or other temporary 

assignment shall be returned to their regular positions. 

SECTION 9 - APPRAISING PERFORMANCE UNDER OTHER 

CIRCUMSTANCES 

A. Employees who are on long-term training, leave without pay for uniformed 

service or other lengthy absence from duty and have not completed the minimum 

90 consecutive days of work necessary for a rating are not eligible for a rating at 

the end of the rating period. Supervisors will annotate “Not Rated” and provide 

the reason on the performance appraisal form and forward to the HR services 

provider. Employees who receive such a rating will be assigned a presumptive 

rating of Fully Successful for reduction in force (RIF) purposes only. 

B. An employee's use of official time to carry out representational functions shall 

not influence his or her performance appraisal. Employee representatives having 

spent insufficient time in their official duties to be rated thereon will not be 

provided an annual performance rating of record until such time as they shall 

have spent sufficient time in the performance of their official duties as to permit 

management to provide, consistent with applicable regulations, an annual 

performance appraisal. When in the above circumstances, the employee 

representatives have not been given an annual performance appraisal, such 

employees, as necessary for RIF purposes only, will be given a modal rating in 

accordance with applicable RIF regulations. 

SECTION 10 - COMPLETING THE PERFORMANCE EVALUATION 

A. Supervisors must evaluate employees on each rating element in the 

performance plan unless they determine that the employees have not had 90 

consecutive days to demonstrate performance on the element. In this event, 

supervisors must annotate the rating element as “Not Rated” and must not 

consider it in determining employees’ summary rating. 

B. Supervisors must annotate the rating level for each critical element in 

accordance with the Agency’s chosen performance appraisal system. 

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C. Supervisors must consider the employee’s actual performance in determining 

the rating level. Once each performance element is rated, the supervisor must 

determine the summary rating in accordance with the Agency’s chosen 

performance appraisal system. 

D. Supervisors must discuss the performance evaluations with employees. The 

performance discussions will incorporate how the employee’s position and 

performance supported the Agency’s goals. The supervisor is to obtain the 

employee’s signature on the applicable appraisal form and provide a copy of the 

completed form to the employee. If the employee refuses to sign the form, the 

supervisor should annotate the form to that effect. 

E. The employee’s signature on the completed form does not imply that the 

employee agrees with the evaluation. It only verifies that the supervisor has 

discussed the rating with the employee and that they have received a copy of the 

evaluation. An employee may add comments to the form. 

SECTION 11 - DETERMINATION OF PERFORMANCE AWARD

 

Employees evaluated as Fully Successful or above are eligible for consideration 

for performance awards. Employees rated Outstanding may be considered for 

Quality Step Increases (See Article 27). 

SECTION 12 - PROBATIONARY AND TRIAL PERIOD EVALUATIONS

A. Employees given a career or career-conditional appointment from an OPM 

certificate of eligibles must serve a one-year probationary period. This applies to 

any competitive appointment from a certificate of eligibles regardless of whether 

the employees have previously completed a probationary period after competitive 

appointment. During this probationary period, supervisors must observe the 

employee’s conduct and performance. Supervisors must evaluate the 

employee’s performance against the requirements of the employee’s 

performance plan. Supervisors may separate employees during the probationary 

period in accordance with applicable regulations. 

B. Employees who receive an excepted service appointment are required to 

serve a trial period. Preference eligibles receiving such appointments must serve 

a trial period. This trial period has the same purpose as a probationary period for 

competitive service employees. 

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SECTION 13 - TAKING ACTIONS BASED UPON UNACCEPTABLE 

PERFORMANCE

Supervisors must warn employees of serious performance deficiencies when 

they occur. The following course of action must be taken regardless of whether 

the employee’s performance rating is due: 

 1. Counseling sessions will be conducted with the employee concerning 

their performance deficiencies and specifically identify areas of performance that 

are in danger of failing to meet expectations, explain the required improvements, 

and identify means to successfully attain the improvements to include remedial 

training and development. These counseling sessions will be conducted on an 

as-needed basis. 

 2. If the employee’s performance does not improve as a result of the 

counseling sessions, the supervisor must notify the employee in writing of an 

opportunity period to meet expectations. This written notification is a formal 

warning to the employee that their performance is Unacceptable in one or more 

critical elements. It should establish a period of reasonable length, normally 90 

days, during which the employee is required to improve performance so as to 

meet expectations. The written notice must contain: 

 a. identification of each critical element in which performance is 

 unacceptable, along with specific examples of deficient performance; 

 b. a statement identifying what the expected performance is on 

each of those specific critical elements; 

 c. identification of the assistance which will be provided to the 

 employee to enable the employee to meet expectations; 

 d. identification of the programs and services available to the 

 employee under the EAP, as appropriate; and 

 e. a statement regarding the performance based action 

management may take to reassign, demote or remove from Federal 

 service if the employee’s performance does not improve to meet 

 expectations and remains at that level throughout the remainder of the 

 rating period; 

 3. During the opportunity period, the supervisor must periodically counsel 

the employee. These discussions note improvements and/or continued 

deficiencies. The supervisor must keep a record of these counseling sessions 

and provide the employee with a copy, if requested; and 

 

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 4. If the annual performance evaluation is due during the opportunity 

period, the supervisor must extend the rating period until after the opportunity 

period and notify the employee of such. The supervisor should initiate the 

opportunity period early in the rating period so as to avoid this type of extension. 

SECTION 14 - ACTIONS AT THE END OF THE OPPORTUNITY PERIOD

A. If the employee’s performance has improved to the Fully Successful level 

during or at the end of the opportunity period, the supervisor must cancel the 

opportunity period and inform the employee. The employee must sustain the 

Fully Successful level of performance for one year from the beginning of the 

opportunity period. If he/she does not sustain performance at this level for the 

one year period, the supervisor may propose a performance-based action 

without granting a new opportunity period. 

B. If an employee’s performance remains Unacceptable at the end of the 

opportunity period, the supervisor must initiate a performance-based action to 

reassign, demote to a position where it is considered that they will meet 

expectations or remove the employee from Federal service. 

SECTION 15 - ADVERSE ACTIONS BASED UPON UNACCEPTABLE 

PERFORMANCE

 

A. Supervisors must use the following procedures to take a performance-based 

action: 

 1. Provide a minimum 30 calendar day advance notice. The notice must 

contain: 

 a. identification of the critical elements and performance standards 

 found unacceptable. A description of the facts concerning specific 

 performance deficiencies that developed during the opportunity period; 

 b. identification of the specific records or documents used in 

 support of the action; and 

 c. a statement that the employee is entitled to representation by an 

attorney or other representative of their choice, to include Union 

 representation, when making a reply. If otherwise in a duty status, the 

 employee and his/her representative are entitled to a reasonable amount 

 of official time to prepare and present a reply to the proposed action. 

B. The deciding official must be at least one level higher than the supervisor who 

proposed the action and must make the final decision regarding the proposed 

action. The deciding official must consider the employee’s reply before making a 

final decision on the proposed action. If the employee makes only an oral reply, 

the deciding official must make a written summary of the reply for the record. 

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C. The deciding official must notify the employee in writing of his/her decision. 

D. The written decision must contain the applicable grievance and/or appeal 

rights. 

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ARTICLE 27 

AWARDS AND RECOGNITION 

 

SECTION 1- AWARDS PROGRAM

A. The Incentive Awards Program will be administered in accordance with 

Agency policy. The parties recognize the importance of teamwork in reaching 

organizational and Agency goals. The Agency agrees to give due consideration 

to using group and team awards to foster teamwork and promote overall 

organizational achievement in recognition of the efforts of groups, organizations, 

and teams which have enhanced organizational excellence. The Agency has the 

discretion to use a wide variety of awards to recognize its employees for 

performance in support of the Agency’s mission. The Agency is encouraged to 

give out awards throughout the year and not be limited to the annual 

performance rating cycle. 

B. An effective awards program recognizes the contribution of the employee in a 

timely manner. Efforts by authorized approving officials should be directed 

toward equality of award consideration for employees within their respective 

organizations. 

SECTION 2 - INCENTIVE AWARDS COMMITTEES

Organizations may have incentive awards committees. Incentive awards 

committees may be used to advise approving officials regarding awards 

programs and proposed awards. When more than one organization is 

represented on an incentive awards committee each cognizant DCMA Council 

Local will be afforded an opportunity to have a representative participate on that 

incentive awards committee. However, the DCMA Council Local representative 

may vote only with respect to nominations from the organization he/she 

represents. Procedures for the organization’s incentive awards committee may 

be negotiated locally. 

SECTION 3 - AWARDS PROCESS

A. The following awards may be awarded by the Agency to bargaining unit 

employees: performance based cash awards, on-the-spot awards, time-off 

awards, quality step increases, honorary awards, special act or service awards, 

suggestion/invention award and non-monetary awards. 

1. Any employee considered deserving of an award by his/her supervisor 

will be nominated in a timely manner. 

2. Employees evaluated as Fully Successful or above are eligible for 

consideration for performance based cash awards. However, an appraisal that 

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meets the eligibility requirement for an award does not automatically entitle an 

employee to an award. The decision whether to approve an award remains a 

management right and, as such, is not a grievable matter. 

3. Performance awards will be approved based on written 

recommendations that describe objective, verifiable, job-related performance 

contributions and/or accomplishments. General statements concerning an 

employee exceeding one or more performance standards will not be considered 

to be an objective, verifiable statement. 

4. Award consideration will be based on performance based criteria. With 

the exception of exclusions provided for in law and regulation, employees will not 

be excluded from award consideration solely because the employee was recently 

promoted, in training, detailed or loaned during the rating cycle, or is a Union 

official or any other non-merit reasons. 

B. In addition to the organization directly awarding the awards listed above, an 

employee may nominate another employee for an on-the spot award, time-off 

award or special act or service award. Nominations must be submitted to the 

nominee’s immediate supervisor. In the case of group awards, the nomination 

must be submitted to the supervisor with overall responsibility for the project, 

assignment, or initiative. Once a nomination is received, the supervisor will act 

on the nomination by approving an award (determining the type of award and 

dollar amount), denying the nomination or forwarding the nomination to the 

Incentive Awards Committee for consideration. A supervisor is not restricted by 

the nominator’s recommended award type or monetary value in deciding upon 

the nomination. Timely feedback concerning the outcome of the award 

recommendation will be given to the individual(s) submitting the recommendation 

when a recommendation is disapproved. 

SECTION 4 - AWARDS REPORT

The Agency will provide the Union with a report showing names, titles, series and 

grades of bargaining and non-bargaining unit employees, the type of awards 

received and dollar amount for each organization. 

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ARTICLE 28 

EMPLOYEE RECORDS

SECTION 1 - GENERAL

The Agency will maintain systems of personnel records authorized by the OPM and 

those Agency systems published in the Federal Register in compliance with the 

provisions of the Privacy Act of 1974. Personnel records referred to in this Article 

will be maintained in such a manner so as to prevent disclosure to individuals who 

do not have an official need for the information. 

SECTION 2 - OFFICIAL PERSONNEL FOLDER (OPF)

A. The OPF is the official repository for records affecting an employee's status and 

Federal service. The folder provides the basic source of factual data about the 

employee's Federal employment history and this is used primarily by the HR 

services provider in screening qualifications, determining status, computing length 

of service and other information needed in providing personnel services. 

B. The Agency shall provide for the maintenance of an OPF for every employee. 

Upon request, employees will be informed as to the location of their OPF. 

C. Material will be filed in the OPF in compliance with applicable rules and 

regulations of the OPM and 5 CFR Part 293 

D. Each employee and/or their designated representative shall be permitted to 

review any document appearing in the employee's OPF upon request. If the 

representative seeks to review the OPF without the employee present, the 

employee must provide written authorization to the Agency. 

E. Upon request, an employee will be entitled to a copy of any document in his/her 

OPF. 

F. Authorized personnel not employed by the Agency may inspect an 

employee's OPF only after producing appropriate credentials. As required by the 

Privacy Act of 1974, an accurate accounting will be made for disclosure of 

information from the OPF and the information from this accounting will be made 

available to the employee.

G. Upon request, employees shall be advised of the length of time the Agency 

intends to maintain unfavorable material in the OPF. 

H. Records of charges placed in the OPF determined to be unfounded will be 

removed. Such charges will not be considered a factor in connection with any 

future personnel actions. 

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I. Any adverse material removed from the employee's OPF will be returned to the 

employee for final disposition by the employee. 

SECTION 3 - SUPERVISOR RECORDS

Derogatory material of any nature shall not be placed in the supervisor’s files (the 

now obsolete SF-7B card, memoranda for record, etc) without the employee’s 

knowledge. When a notation concerning counseling, oral admonishment, 

disciplinary action, adverse action, etc., is entered into the supervisor’s files, the 

entry will be discussed and the employee shall be advised of their right to make 

written comments to the file. Upon request, employees shall be furnished copies 

of any data the supervisor is maintaining concerning their employment. 

Comments regarding any counseling or oral admonishments and supporting 

information, may be retained beyond one year provided the supervisor notifies 

the employee. Should the employee’s conduct improve, such notations may be 

removed from the supervisor’s file at any time. 

SECTION 4 - SUBMISSION OF MEDICAL INFORMATION/ PRIVACY OF 

RECORDS

The information collected pursuant to any request for medical information shall 

go directly and without interception to the Medical Review Officer of the Agency 

or to such other similarly qualified physician identified by the Agency in advance. 

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ARTICLE 29 

 

MAINTAINING DISCIPLINE

SECTION 1- DEFINITIONS

A. Disciplinary Action: Written reprimand or a suspension for 14 calendar days 

or less. Oral admonishments are not considered disciplinary actions. 

B. Adverse Action: Removal, a suspension for more than 14 calendar days, or a 

reduction in grade and/or pay taken for cause. For purposes of this Article, the 

term “adverse action” does not apply to the separation of an employee serving a 

probationary or trial period under an initial appointment pursuant to 5 U.S.C. § 

7511(a)(1)(A), a suspension or removal taken in the interest of national security, 

an action taken under reduction-in-force procedures, return to the grade formerly 

held by a supervisor or manager who has not satisfactorily completed his/her 

supervisory/managerial probationary period, or the reduction-in-grade or removal 

of employees based on unacceptable performance pursuant to 5 U.S.C. § 4303. 

C. Progressive Discipline: Procedure for evaluation by a management official to 

decide what the penalty shall be as part of a disciplinary action. Progressive 

discipline is an element of just cause and provides guidelines in assessing 

penalties. It does not require any rigid application of a progression of penalties

but, rather requires an evaluation of whether the application of the progression of 

lesser penalties to more harsh penalties is appropriate. More severe, or the 

harshest of penalties may be appropriate for even a first offense. Under this 

concept of progressive discipline, a manager may select any penalty considered 

appropriate, subject to the overall principle of just cause. 

SECTION 2 - GENERAL

A. Employees will not be subject to disciplinary or adverse action except for just 

and sufficient cause. In keeping with the concept of progressive discipline, 

actions imposed should be the minimum, in the judgment of the disciplining 

official, which can reasonably be expected to correct and improve employee 

behavior and maintain discipline and morale among other employees. All 

circumstances being the same in an organization disciplinary or adverse action 

case, the concept of like remedies for like offenses will be applied. This provision 

shall not prevent the Agency from taking any other appropriate action. 

B. Disciplinary and adverse actions will be taken in a reasonable period of time, 

considering the circumstances of the individual case. 

C. Weingarten rights will be posted on the DCMA website and will be sent to 

employees via e-mail annually. An employee will be advised of his/her right to 

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Union representation prior to the taking of any investigative statement. The 

parties acknowledge that failure to give the employee such notification will not 

preclude the use of that statement. An employee may request Union 

representation at any meeting that he/she reasonably believes may result in 

disciplinary action. If the employee requests representation, the interview will be 

discontinued for a reasonable amount of time until the employee’s representative 

is present. 

D. If the employee elects DCMA Council Local representation, copies of all 

correspondence addressed to the employee on the action will be furnished to the 

representative. 

E. The Agency will notify the DCMA Council prior to changing the table of 

penalties. 

SECTION 3 - ORAL ADMONISHMENT

An oral admonishment is used for minor infractions of rules and/or policies. It is 

intended for those situations that do not merit formal action. Management will 

inform the employee that he/she is being orally admonished. Oral 

admonishments will normally be a matter between the employee and their 

supervisor. Within a reasonable time after discovering an infraction believed to 

warrant an admonishment, the supervisor will discuss the matter and any 

necessary corrective action with the employee. Oral admonishments will be 

done in private. 

SECTION 4 - REPRIMAND 

A reprimand is a written statement given to an employee for misconduct. 

 1. The Agency will give the employee at least 7 calendar days written 

notice of the proposed action. 

 2. Notices will state the nature and specific reason(s) for the proposed 

action. 

 3. The Agency will give the employee at least 7 calendar days to respond 

orally and/or in writing and to furnish materials to support the reply. 

 4. Notices will inform the employee of his/her right to consult with a 

member of the servicing human resources staff regarding procedural adequacy 

of the proposed action and of the employee’s right to reply. 

 5. Notices will inform the employee of his/her right to representation. 

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 6. Notices will inform the employee that any request for extension of time 

for reply must be submitted in writing prior to the expiration of the time period that 

he/she was given to reply. 

 7. The decision notice will indicate whether the proposed action will be 

effected, modified, withdrawn or held in abeyance. In no case will the action 

taken be more severe than that proposed in the advance notice. 

 8. The notice will inform the employee of his/her grievance rights in 

accordance with Article 30 of this Agreement. 

 9. A letter of reprimand will be placed in the employee’s OPF for not more 

than 12 months unless the employee receives another disciplinary or adverse 

action for a similar or related offense within the 12 month period. If this occurs it 

will serve to extend the retention of the former reprimand(s) for another 12 

months. In no case, however, will a reprimand remain in an employee’s OPF for 

more than 24 months. 

SECTION 5 - SUSPENSIONS FOR 14 CALENDAR DAYS OR LESS

A. The Agency will give the employee at least 14 calendar days written notice of 

the proposed action. 

B. Notices will state the nature and specific reason(s) for the proposed action. 

C. The Agency will give the employee at least 10 calendar days to respond 

orally and/or in writing and to furnish materials to support the reply. 

D. Notices will inform the employee of his/her right to consult with a member of 

the servicing Human Resources staff regarding the procedural adequacy of the 

proposed action and of the employee’s right to reply. 

E. Notices will inform the employee of his/her right to representation. 

F. Notices will inform the employee that any request for extension of time for 

reply must be submitted in writing prior to the expiration of the time period that 

he/she was given to reply. 

G. The Agency will provide the employee copies of documentation used to 

support the action. Any material/evidence that is not disclosed to the employee 

may not be used in support of an action against the employee. 

H. The decision notice will indicate whether the proposed action will be effected, 

modified, withdrawn or held in abeyance. In no case will the action taken be 

more severe than that proposed in the advance notice. 

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I. The decision will state the findings with respect to each reason stated in the 

notice of proposed action. 

J. The notice will inform the employee of his/her grievance rights in accordance 

with Article 30 of this Agreement. 

SECTION 6 - REMOVAL, SUSPENSION FOR MORE THAN 14 CALENDAR 

DAYS AND REDUCTION IN GRADE AND/OR PAY

A. All of the procedural requirements in Section 5 apply except that the advance 

period will be not less than 30 calendar days, and the employee will be given at 

least 20 calendar days to respond orally and/or in writing and furnish materials in 

support of the reply to the proposed action. The response may include written 

statements of persons having relevant information and/or supportive documents. 

B. The 30 calendar day advance written notice period is not required for a 

removal or an indefinite suspension when there is a reasonable cause to believe 

the employee has committed a crime for which a sentence of imprisonment may 

be imposed. In such cases, the advance notice period will be not less than 10 

calendar days and the reply period will be not less than 7 calendar days. When 

circumstances require, the employee may be placed in a non-duty status with 

pay not to exceed 10 calendar days during the notice period. Such actions under 

this provision are taken pursuant to 5 U.S.C. § 7513(b). 

SECTION 7 - LETTERS OF DISCIPLINE (LOD)

A. LODs may be used in lieu of regular, formal disciplinary actions for 

suspensions of 14 calendar days or less. Management may elect to use a letter 

of discipline in lieu of an actual suspension for a particular incident of 

misconduct. Otherwise, a regular disciplinary action must be used. The use of 

an LOD for one employee or one incident of misconduct does not obligate 

management to use them for all such incidents or employees. The Agency has 

full discretion to decide when it would be appropriate to use an LOD in lieu of a 

regular disciplinary action. An LOD carries the same weight as an actual 

suspension of 14 calendar days or less in determining penalties for future 

offenses. 

B. Employees have the right to formally question an LOD using the regular 

grievance process. Employees must be informed of this right in the letters. 

C. Employees have the right to be represented in preparing and filing a 

grievance concerning an LOD. Information on this right will be included in letters 

of discipline. 

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SECTION 8 - LETTER OF WARNING AND INSTRUCTION

A. A letter of warning and instruction is not a disciplinary action, but may be used 

to clarify procedure, issue specific instruction, or impose certain requirements in 

an attempt to correct a deficiency in performance or conduct before a disciplinary 

action becomes necessary. 

B. When the Agency issues such a letter, it will fully explain what is required of 

the employee to correct the noted deficiency. The letter will not be placed in the 

Official Personnel Folder. A copy will be placed in the supervisor’s file and the 

employee so notified. Information concerning the letter of warning shall not 

remain in the employee's file for more than 12 months. At anytime after the 

issuance of the letter, the employee's conduct and/or performance will be 

reviewed to determine whether there has been sufficient improvement to warrant 

destruction of the letter. 

SECTION 9 - GRIEVANCE/APPEAL RIGHTS

A. An employee who is dissatisfied with the Agency's decision to effect an 

adverse action may elect to either appeal the decision in accordance with 5 

U.S.C. § 7701 or 7702 as applicable or grieve the decision in accordance with 

the negotiated grievance procedure (Article 30) but not both. 

B. An employee who is dissatisfied with the Agency's decision to effect a 

disciplinary action may elect to grieve the decision in accordance with the 

negotiated grievance procedure (Article 30). 

SECTION 10 - STAYS OF CERTAIN PERSONNEL ACTIONS

An employee has 10 working days after receipt of the notice of decision to file a 

timely grievance in order to be granted a stay of all personnel actions. In the 

event the employee requests a stay and has filed a timely grievance, formal 

disciplinary suspensions and/or adverse actions may be stayed by mutual 

consent of the parties. 

SECTION 11 - LAST CHANCE AGREEMENTS

When an employee elects Union representation, the Union will be allowed full 

participation in all discussions and meetings involving the Last Chance 

Agreement. 

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ARTICLE 30 

GRIEVANCE PROCEDURES 

SECTION 1 - GENERAL

This shall be the exclusive procedure available to the parties and employees to 

resolve grievances. 

SECTION 2 - EXCLUSIONS

Complaints concerning the following matters may not be used under the 

negotiated grievance procedure: 

 1. any claimed violation of Subchapter III of Chapter 73 of Title 5, U.S.C. 

(relating to prohibited political activities); 

 2. retirement, life insurance or health insurance; 

 

 3. a suspension or removal under Section 7532 of Title 5 U.S.C., 

concerning national security; 

 

 4. any examination, certification or appointment; 

 5. the classification of any position which does not result in the reduction in 

grade or pay of an employee; 

 6. nonselection for promotion from a properly ranked and certified list of 

candidates. This does not apply to the right to grieve over improper procedures 

used during the selection process; 

 7. the decision to adopt or grant or the decision not to adopt or grant a 

suggestion, performance, honorary or other discretionary award; 

 8. notice of a proposed disciplinary or adverse action under 5 U.S.C § 4303, 

5 U.S.C. § 7502, or 5 U.S.C. § 7512; 

 9. management’s decision whether to issue a LOD; 

 10. any matter decided by the Office of Workers Compensation Programs 

(OWCP), Department of Labor (DOL); 

 11. mid-term performance reviews; and 

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 12. notice or implementation of a RIF which adversely affects any 

employee. 

SECTION 3 - APPEAL OR GRIEVANCE OPTION 

A. An aggrieved bargaining unit employee affected by a prohibited personnel 

practice under section 2302 (b) (1) of Title 5, United States Code, may raise the 

matter under the appropriate statutory appeal procedure or this Agreement, but not 

both. A bargaining unit employee shall be deemed to have exercised his/her option 

under this provision at such time as the bargaining unit employee either initiates an 

action under the applicable statutory appeal procedure or files a grievance in writing 

under this Agreement, whichever comes first. 

B. An aggrieved bargaining unit employee affected by matters covered under 

section 4303 and 7512 of Title 5, United States Code, may raise the matter under 

the appropriate statutory appeal procedure or this Agreement, but not both. A 

bargaining unit employee shall be deemed to have exercised his/her option under 

this provision at such time as the bargaining unit employee either initiates an action 

under the applicable statutory appeal procedure or files a grievance in writing under 

this Agreement, whichever comes first. 

SECTION 4 - ISSUES RAISED IN GRIEVANCE

Issues (other than grievability/arbitrability issues) must be raised at Step 1. Any 

new issue must be directly and integrally related to the particular action/incident 

underlying the grievance. 

SECTION 5 - EXCLUSIVE PROCEDURE

A. The Union has the right to act on its own behalf or on the behalf of any 

employee(s) to present and process grievances. 

B. An employee who files a grievance under this procedure may only be 

represented by an individual designated by the Union. The provisions of Article 1, 

Section 3 apply as appropriate. 

C. An employee or group of employee(s) may present a grievance under this 

procedure without representation as long as the resolution is not inconsistent with 

the terms of this Agreement and the Union is given an opportunity to be present at 

the grievance proceeding. 

D. A Union representative will be on official time when performing 

representational functions under this Article if otherwise in a duty status. 

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SECTION 6 - EMPLOYEE GRIEVANCES 

A. It is recognized that the grievance process should be a quick and efficient 

resolution of the issue. Before filing a grievance, employees are encouraged to 

discuss issues of concern to them with their supervisor. If management cannot 

resolve this issue immediately and needs additional time, management will 

extend the timelines for filing of a grievance. The employee has the right to have 

a Union representative present at any such discussions. 

B. Grievances at each step will be presented in writing and provide, at a 

minimum: 

 1. the aggrieved employee(s), name, position, title, grade and 

organization; 

 2. a description of the basis for the grievance including appropriate facts 

such as times, dates, names and other pertinent data; 

 3. a brief statement of the step(s) taken to informally resolve the 

grievance; 

 4. the relief being sought; 

 5. a statement whether discrimination based on race, color, religion, age, 

sex or national origin is an issue in the grievance; and 

 6. identification of the grievant’s representative. 

C. Steps 

 

Step 1. Grievances are to be presented in writing to the employee’s 

immediate supervisor and second level supervisor within 21 days after the event 

which gave rise to the grievance or within 21 days after the date the employee 

became aware of the event. The written notice must clearly apprise the 

supervisors of the fact that a grievance is being presented. Both supervisors will 

meet with the grievant and his/her representative. Within 10 days after receiving 

the grievance, the second level supervisor shall render a written decision and 

provide a copy to the grievant and his/her representative. Nothing in this step 

precludes the supervisors and the grievant from resolving the grievance within a 

shorter timeframe than the time limits set. 

Step 2. If the matter is still not resolved after receipt of the Step 1 

response, the grievance may be presented within 7 days by the grievant or 

his/her representative in writing to the Commander/Director of the organization or 

his/her designee. After receiving the grievance, the Commander/Director of the 

organization or his/her designee shall meet with the grievant and the Union 

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representative. Within 7 days of receiving the grievance, the 

Commander/Director or his/her designee shall render a decision in writing to the 

grievant and his/her representative. If the grievance is not resolved at Step 2, 

the Union may refer the grievance to arbitration as provided in Article 31.

SECTION 7 - LOCAL UNION GRIEVANCES

A. A grievance may be classified as a local Union grievance if the issue is within 

the authority of the organization to resolve and the resolution requested has no 

impact beyond the local organization. 

B. Resolution of any local Union grievance will have no binding or precedential 

effect on any other organization. 

SECTION 8 - DISPUTES BETWEEN THE AGENCY AND THE DCMA COUNCIL 

A. This procedure covers disputes over actions taken (or alleged failure to take 

appropriate actions) by the DCMA Council or Agency that involve the interpretation 

and application of this Agreement. 

B. The DCMA Council and the Agency agree to exert every effort to resolve 

matters raised under this procedure informally and as timely as possible. To 

facilitate informal resolution. 

 1. the DCMA Council or the Agency shall fully inform the other party of the 

matter of concern at the earliest opportunity. 

 2. informal resolutions shall not be construed as establishing binding 

precedent on a particular practice or on the interpretation of this Agreement. 

C. If the matter is not resolved informally: 

 1. the DCMA Council President or Director, DCMA or their respective 

designees; whomever is the grieving party, shall communicate in writing to the 

other party as in Section 6 B1-6 as above; 

 2. the responding party shall provide a final written response to the 

grievance to the grievant within twenty-one (21) days following receipt of the 

grievance; and 

 3. the grieving party will notify the respondent in writing of its acceptance of 

the final response or its intent to advance the matter to arbitration in accordance 

with Article 31 of this Agreement within thirty (30) days following receipt of the 

written response. 

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SECTION 9 - TIME LIMITS AND NOTICE 

 

A. The time limits at any step of the negotiated grievance procedures, including 

initial filing, may be extended by the mutual consent of the parties. 

B. Failure on the part of the respondent to meet any of the time limits of this 

procedure without mutual consent will serve to permit the grievant to immediately 

escalate the grievance to the next step of the process. 

C. Any notice or filing required under this Article is considered effective when 

received by the DCMA Council President/DCMA Director or their designee via:

 1. certified mail, return receipt requested when signed for by the other party; 

 2. hand delivery when received by the other party in person; or 

 3. E-mail when email is opened by the other party. 

SECTION 10 - WITNESSES

All DCMA employee(s) called to testify on matters regarding a grievance being 

processed under this Article shall be in a duty status and paid travel and per diem 

expenses in accordance with appropriate regulations. 

SECTION 11 - RECORDS AND DOCUMENTATION

The Agency shall, upon request, furnish the grievant(s) and their Union 

representative with pertinent records regarding a grievance under this Article, 

subject to limitations of the Privacy Act. 

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ARTICLE 31 

ARBITRATION 

SECTION 1 - GENERAL

A. If a grievance remains unresolved after the grievance procedure has been 

exhausted, arbitration may be invoked as follows: 

 1. The Union may invoke arbitration on employee grievances by serving a 

written notice upon the Agency. To be timely, such notice must be served not 

later than 30 days after the decision at Step 2 was delivered to the employee and 

the employee’s representative or no later than 30 days after the date the Step 2 

decision should have been rendered. Only the Agency and the Union may 

invoke arbitration. The Union will process the notice invoking arbitration on 

behalf of employees. 

 2. On other than employee grievances, the Union or the Agency may 

invoke arbitration by serving written notice within 30 days after the decision was 

delivered or should have been rendered. 

B. Any notice or filing required under this Article is considered effective when 

received by the Union President/DCMA Director or their designees via: 

 

 1. certified mail, return receipt requested when signed for by the other party; 

 2. hand delivery when received by the other party in person; or 

 3. E-mail when email is opened by the other party. 

SECTION 2 - OPTIONAL ADR PROCEDURES

The following Sections of this Article must be adhered to in the settlement of 

grievances to be resolved through arbitration unless the parties agree to process 

the grievance(s) in accordance with Article 32 of this Agreement. 

 

SECTION 3 - CREATION AND USE OF THE ARBITRATION PANEL 

A. The parties shall jointly create a panel of eight (8) arbitrators annually. 

 1. Selection Criteria - The arbitrator shall: 

 a. have decided a minimum of 20 federal sector cases; 

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 b. have relative balance in the decisions rendered (no more than 

 25% variance between the percent decided in favor of a Union or the 

 Government); and 

 c. have no more than 5% of decisions overturned by a higher 

 authority. 

B. Both parties shall determine which arbitrators meet the above criteria. If the 

parties agree on fewer than eight (8), the remaining slots will be divided equally 

between the parties to select. The order of the arbitrators on the list will be 

determined by random selection. 

 

C. The parties will contact the first arbitrator on the list for a hearing date no later 

than seven (7) days after arbitration is invoked. 

D. The hearing will be scheduled no sooner than thirty (30) days but not more 

than ninety (90) days after the date arbitration is invoked. 

E. If the arbitrator is not available within this time period, the parties shall contact 

the next arbitrator on the panel. 

F. In subsequent arbitrations the next arbitrator on the panel shall be contacted. 

 

G. Arbitrators selected will hold and maintain a current certification from FMCS 

and/or the American Arbitration Association (AAA). 

 

H. By mutual consent, the parties can remove an arbitrator from the list for any 

improper activity. 

I. The Agency will fund travel expenses for the arbitrators under this section. 

J. The parties agree that this process will be implemented as a one year test 

program. At the end of the test period, the parties further agree to reopen this 

section for re-evaluation and renegotiation as necessary. 

 

SECTION 4 - ADMINISTRATION

 

The Agency shall provide facilities at no cost for the arbitration which will 

normally be at the site of the organization where the grievance arose. 

Arbitration hearings shall be conducted during duty hours unless otherwise 

agreed to by the parties. 

SECTION 5 - THRESHOLD ISSUES 

A. Disputes over the grievability or arbitrability of a grievance shall be submitted 

to the arbitrator as a threshold issue in the dispute. Grievability and arbitrability 

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are preliminary questions that must be resolved at the earliest stage of the 

process. Arbitrators must attempt to resolve this issue at the earliest possible 

date so that the parties do not waste resources preparing for their entire case 

before knowing whether the case is indeed arbitrable. Therefore, when there is a 

dispute over grievability or arbitrability of any issue, the arbitrator: 

 1. may request written briefs on the matter in dispute from all parties; 

 2. may arrange the taking of evidence as part of a pre-hearing session, 

(telephonic testimony via conference call is acceptable for this purpose) in the 

event of factual disputes which must be resolved to decide the request; 

 3. shall issue a written decision before setting the date for the arbitration 

hearing; and 

 4. shall not hold the arbitration hearing if the arbitrator decides that the 

grievance is not arbitrable or grievable. 

B. All costs associated with resolution of the threshold issue will be borne by the 

party raising the issue. 

SECTION 6 - HEARING PROCEDURES

A. The procedures to conduct an arbitration hearing shall be determined by the 

arbitrator. 

B. When an employee grievance is being arbitrated, the grieving employee shall 

be in a pay status for the duration of the hearing if otherwise in a duty status. At 

least fourteen (14) days prior to the arbitration hearing the parties will exchange: 

 1. lists of witnesses whom they expect to testify along with a listing of 

facts and/or evidence that may be stipulated in advance of the hearing; and 

 2. copies of documents, with an index, proposed to be offered into 

evidence. 

C. The grievant, their representative, and the individual(s) who are called as 

witnesses will be excused from duty to participate in the arbitration hearing. All 

participants, including Union representatives, shall be in a duty status and will be 

entitled to per diem and travel in accordance with the JTR. Witnesses and 

representatives will be allowed a reasonable amount of duty time to prepare for 

the arbitration. 

D. Once an arbitration hearing has been scheduled, there shall be no 

postponement or rescheduling of the hearing except by the written mutual 

agreement of the parties. 

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E. By mutual consent, arbitration may be conducted as oral proceedings with no 

verbatim transcript and no filing of briefs. They may also mutually agree to such 

other arrangements as waiving post hearing briefs, requesting an award without 

opinion or requesting a bench decision. 

F. No arbitrator has the authority to compel the taking of a transcript. If the 

parties mutually agree to the need for an official transcript, the cost will be 

equally shared by the parties. If only one party wants an official transcript or 

recording, the requesting party will pay for the cost of the transcript or recording 

and no copy will be made available to the other party. However, the Union may 

request a copy of any transcript in the possession of the U.S. Government 

consistent with the provisions of the Freedom of Information Act (FOIA). 

G. The arbitrator shall be requested to render and serve the written decision 

within 30 calendar days after the conclusion of the hearing. The arbitrator's 

award shall be limited solely to answering the question(s) put to them by the 

parties' submission. In the event the parties are unable to agree to a submission 

statement, the arbitrator shall be empowered to formulate their own statement of 

the issue(s) to be resolved. 

H. In arbitrating a grievance, no arbitrator has the authority to render an award 

that would add to, subtract from, modify or violate the Agreement. 

 

SECTION 7 - COSTS 

 

The arbitrator's fees and expenses shall be shared equally by the parties unless 

otherwise specified in this Article. 

SECTION 8 - ISSUES 

The parties concerned shall attempt to jointly frame the issues for the arbitrator. 

If they cannot agree on the framing of the issues, each party shall separately 

frame the issues and the arbitrator shall determine the issues to be heard. Once 

an arbitrator has been selected there will be no ex parte communications with the 

arbitrator, unless agreed to by the parties. 

SECTION 9 - EFFECT OF AWARD

The arbitrator's award shall be binding on the parties. However, either party may 

file exceptions to an award with the Federal Labor Relations Authority (FLRA) 

under regulations prescribed by the Authority. 

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SECTION 10 - CLARIFICATION

Disputes between the parties over the application of an arbitrator's award may be 

returned for clarification. The party seeking clarification shall bear the full cost of 

such clarification. 

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ARTICLE 32 

ALTERNATIVE DISPUTE RESOLUTION (ADR) 

SECTION 1 - INTERPRETATION OF HIGHER LEVEL REGULATION OR 

POLICY

The parties may attempt to resolve disputes of Agency or higher level regulation 

or policy by mutually developing a request for a non-binding interpretation, which 

will be forwarded by the Agency to the office responsible for issuing the 

regulation or policy in dispute. If agreement cannot be reached on a mutually 

developed request, the parties may develop separate statements, which will be 

forwarded simultaneously by the Agency to the office responsible for the 

interpretation. 

SECTION 2 - MEDIATION

Should the parties determine that mediation by a neutral third party would be of 

benefit, they will jointly contact the FMCS or other selected source. No transcript 

will be made nor will there be any persons in attendance other than the 

designated representatives of the parties. 

SECTION 3 - EXPEDITED ARBITRATION 

A. Both parties support the resolution of disputes where accommodation of 

concerns can be accomplished most expeditiously. Consequently, the parties 

agree that expedited third-party resolution processes may provide swift and 

economical methods for settling disputes and are authorized on a case-by-case 

basis in lieu of the more formal procedures in Article 31. 

B. In those situations where both parties agree to pursue an expedited 

arbitration process, they may utilize the following procedures. Select an 

arbitrator from the approved list and advise him or her that an expedited process 

is being used. Request a bench decision immediately after a hearing or request 

a decision on the record without a hearing with or without the submission of 

briefs. The parties may also agree to use any other ADR process that would 

result in a more expeditious resolution of the dispute. 

 

SECTION 4 - DISPUTE RESOLUTION AGREEMENTS 

Any negotiated dispute resolution that impacts the bargaining unit shall be 

provided to the Union for review and negotiation of appropriate arrangements 

prior to final approval, if necessary. 

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ARTICLE 33 

OFFICIAL TRAVEL 

SECTION 1 - GENERAL

A. The Agency and the DCMA Council recognize that employees may be 

required to travel from their official duty station on official government business 

and that employees will be compensated for such travel expenses in accordance 

with law and existing regulations. 

B. An employee who is authorized official travel shall exercise the same care in 

the incurrence of expenses and accomplishing a mission that a prudent person 

would use if traveling on personal business. In this connection, excess costs, 

circuitous routes, delays or luxury accommodations which are unnecessary or 

unjustified in the performance of a mission, are not considered acceptable as the 

application of prudence by the employee. 

SECTION 2 - TRAVEL TIME

A. Travel shall be scheduled so that the employee shall perform travel during 

their regularly scheduled work hours. Should this not be possible and the 

resultant travel meets the criteria of 5 U.S.C. § 5542 or the Fair Labor Standards 

Act, the employee shall be compensated accordingly. When governing laws 

and/or Government-wide regulations precludes the payment of overtime, the 

Agency shall inform the employee of the rationale. 

B. When travel on official government business results from an event that cannot 

be scheduled or controlled administratively, such travel shall be considered hours 

of work for pay purposes in accordance with law and existing regulations. 

SECTION 3 - AUTOMATED TRAVEL SYSTEM

A. Employees will arrange travel and transportation using the automated travel 

system in effect for the DoD. The Agency will provide training on the use of the 

system as well as any subsequent updates. 

B. Except for emergency situations, as determined by the approving official, 

temporary duty (TDY) travel orders shall be issued in sufficient time prior to the 

departure on TDY so as to permit the employee to make orderly arrangements 

for transportation and obtain an authorized advance for travel expenses. 

C. Local travel authorizations that approve the use of a privately owned 

conveyance (POC) by the employee as being more advantageous to the 

Government or for the convenience of the Government shall be issued in 

advance. 

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SECTION 4 - TRAVEL ADVANCES

Employees will be advanced travel expenses as follows: 

 1. employees who have a Government Travel Charge Card (GTCC) will 

follow the requirements of the GTCC program; or 

 2. for those employees who do not have a GTCC, travel advances will be 

provided by DFAS at the standard rate (normally 80% of the estimated per diem 

and miscellaneous expenses and 100% of the estimated transportation costs) 

provided that the request for the advance is made in sufficient time to permit the 

advance to be processed. Travel advances will be deposited directly to the 

employee’s designated account by electronic funds transfer (EFT). Normally, 

travel advances will not be made for travel expenses of less than fifty (50) dollars 

unless a specific request with supporting justification is made. 

SECTION 5 - REIMBURSEMENT FOR OFFICIAL TRAVEL EXPENSES

A. Upon completion of official travel, the employee shall promptly submit 

vouchers for reimbursement to the appropriate authorizing official for processing. 

B. If more than one TDY occurs back-to-back, the travel voucher may be 

submitted within 5 workdays at the end of the TDY assignments. TDY in excess 

of thirty (30) days will have travel vouchers submitted at the end of each 30-day 

cycle as well as at the end of the TDY assignment. The employee should notify 

the credit card company of any anticipated delays in reimbursement from the 

Agency. 

C. The resolution of financial computations shall be a matter solely between the 

employee and the Defense Finance and Accounting Service (DFAS). The 

employee shall be permitted to resolve this matter during their regularly 

scheduled work hours without loss of pay or charge to leave. 

D. An employee on TDY in excess of 12 hours is entitled to per diem in 

accordance with the JTR. 

E. Organizations shall define the local commuting area within which the 

commuting public travels during normal business hours and will be negotiated 

locally. 

SECTION 6 - GOVERNMENT TRAVEL CREDIT CARD PROGRAM (GTCC)

A. The Travel and Transportation Reform Act of 1998, “TTRA” (Public Law 105-

264) imposes the mandatory requirement that most official travel expenses will 

be charged on the GTCC and that the Agency must have certain procedures in 

place regarding travel.

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B. The GTCC is a Government-issued card for official business only and is not a 

personal credit card of the employee. 

C. Employees will not be required to use their personal credit cards or advance 

their personal funds for Government business. 

D. Credit card debts will be paid by split disbursement with the Government 

forwarding the amount indicated by the employee on the claim form directly to 

the vendor. At a minimum, the amount forwarded to the vendor will include the 

cost of lodging and transportation. Any amount of reimbursement due in excess 

of that paid to the vendor will be remitted to the employee via electronic funds 

transfer. Employees will be responsible for paying all travel card charges not 

covered by the Government’s remittance to the vendor under the split 

disbursement process. 

E. In the event of a billing dispute or other disagreement with the terms and 

conditions governing use of the card, the employee is responsible for notifying 

the vendor of the nature of the dispute. The employee may request the 

assistance of the Agency’s local travel card program coordinator in filing a 

dispute. Employees are obligated to cooperate fully in pursuing resolution to 

disputes. 

F. The employee will not be personally bound by the terms and conditions of any 

vendor agreement between the Agency and the vendor. The employee is 

responsible for, and bound by, the terms and conditions of his or her agreement 

with the credit card company with respect to the use of the GTCC. 

G. Employees are subject to discipline or other appropriate measures to ensure 

compliance with the proper use of the credit card. 

H. Employees will be assigned an account either as a restricted or standard 

account. Restricted accounts generally have lower credit limits and are subject 

to more restrictions on their use. Circumstances wherein a restricted account 

may be established include, but are not limited to: 

1. cases where the cardholder has instructed the vendor not to obtain 

credit reports; and 

2. cases where the program coordinator has requested or approved a 

restricted card. 

I. Employees who are expected to travel on official temporary duty more than 

twice a year must apply for a GTCC. Employees who secure this card are 

eligible for travel advances in accordance with the policies of the GTCC program 

and the JTR. Employees who are not eligible for a GTCC or whose use of the 

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card has been revoked, may be authorized travel advances when requested in 

accordance with applicable regulations. 

J. There will be no adverse action against any employee who is not eligible to 

obtain a GTCC. 

K. All information related to the employee government travel card shall be 

subject to requirements of the Privacy Act. 

L. The Agency will provide training to all employees on the use of the GTCC as 

well as on any subsequent updates to the program. This training will include the 

potential impact on a cardholder’s credit rating. 

M. The Agency shall inform each employee considering applying for a GTCC 

that a credit check will be performed. Employees have the option to decline the 

credit check. If the employee declines the credit check, only a restricted card will 

be issued. Restricted travel cards are limited to $2,000 but may have the value 

raised with appropriate Agency approval to meet specific mission requirements. 

Should the employee opt to receive the restricted credit card, he/she will self 

certify to their creditworthiness. 

N. When TDY expenses are anticipated to exceed the employee’s credit card 

limit, the employee may request that the Agency make appropriate arrangements 

to increase the credit card limit as necessary to meet mission requirements. 

O. Upon request of the employee to the supervisor, the travel card issuing agent 

or Agency Program Coordinator (APC) may authorize increases in ATM cash 

withdrawal limits as needed to meet mission requirements. 

P. Any fees incurred by the employee as a result of a cancellation/change of 

TDY, either by the direction of the Agency or as the result of an approved request 

from the employee, will be reimbursed to the employee. Employees are required 

to notify the approving official as soon as possible of any circumstance that may 

warrant the cancellation/change of TDY. 

Q. The employee may pay his or her balance by mail, by phone or via the 

internet. Regular payment fees are not reimbursable. 

R. Employees who file timely travel claims upon completion of travel (defined by 

the Financial Management Regulation Vol. 9, Chapter 8, Section 080501 to be 

within 5 working days of return to the Permanent Duty Station) but fail to receive 

the allowable reimbursement in a timely manner (after 30 days of receipt of the 

travel claim) and who incur late fees in such cases from the card issuer will be 

authorized to submit a supplemental travel voucher to the servicing travel pay 

office for the reimbursement of the late fees assessed. Employees will also be 

entitled to the appropriate amount of interest authorized by the Prompt Payment 

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Act. This reimbursement provision also applies when an employee cannot file a 

timely claim due to actions of the Agency (e.g., delays in processing vouchers or 

issuing travel orders.) 

S. Outstanding Indebtedness and Delinquency Management 

1. In the event an employee’s account becomes 60 days delinquent, the 

Agency will contact the employee upon receipt of the 60 day notice. Employees 

will be contacted by the Agency Program Coordinator (APC) via email (when 

available) and advised that the employee should contact the APC as soon as 

possible to discuss an urgent matter related to their travel card. When email is 

not available, the Agency will advise the employee, via telephone or in writing of 

the delinquency. Written notices or emails will provide the name and phone 

number of the APC or other official the employee should contact to discuss the 

matter. 

2. Prior to an employee becoming subject to salary offset, the employee 

will be notified in writing, of his/her due process rights under the Debt Collection 

Act of 1982. The Agency will provide such employees with the procedures used 

for salary offset and will respond to questions from the employee regarding the 

process. In the event of an erroneous salary offset, the Agency will provide 

assistance to the employee to resolve the matter, including speaking with and 

writing to the servicing travel pay office on the employee’s behalf. For purposes 

of this paragraph, e-mail is a suitable means of communicating in writing. The 

employee will be provided a copy of the written communication. 

3. When mission-critical travel precludes filing of travel vouchers, 

including interim vouchers, and thereby precludes prompt payment of travel 

charge card bills, the APC is authorized, with the approval of the cardholder’s 

supervisor, to advise the card contractor and ensure that the cardholder’s 

account is designated by the card contractor as mission critical status. Missioncritical travel is defined as travel performed by DOD personnel under competent 

orders and performing duties that, through no fault of their own, prevents the 

traveler from filing travel vouchers and paying the travel card bills. Mission 

critical status must be reflected on the travel orders in order for the traveler to be 

reimbursed for any late charges incurred while in this status. An individual 

charge card account must have been placed in mission critical status before the 

account was suspended. Should there be outstanding bills, the bills shall be 

settled within 45 days of removal from this status. The APC should work with the 

traveler and supervisor to ensure interim vouchers can be processed. Expenses 

incurred prior to a deployment should be processed for payment through split 

disbursement before the individual departs for his/her assignment. 

4. While in a long-term travel status, the traveler shall file interim 

vouchers every 30 days, with split disbursement as the preferred means of 

settlement. 

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T. In the event of the death of the cardholder, the Agency will notify the 

cardholder’s family of any possible death benefits associated with the card. 

SECTION 7 - TEMPORARY DUTY ASSIGNMENTS

In accordance with the JTR, when the TDY assignment requires the employee to 

be away from their permanent duty station for more than 30 days and the 

assignment does not require the employee to remain at the place of TDY on nonworkdays: 

1. the approving official may direct, in the TDY orders, that the employee 

return to their permanent duty station for the non-workdays provided that the cost 

to the Government for round trip transportation and per diem or actual expense 

allowance is less than the per diem or actual expense allowance that would have 

been payable had the employee remained at the place of TDY and the 

employee's availability for duty on the scheduled TDY workdays is not affected 

adversely; or 

2. the employee may voluntarily return to their permanent duty station 

provided that their availability for duty on the scheduled TDY workdays is not 

affected adversely. In the instances of voluntary return, the maximum 

reimbursement to the employee for the round trip shall not exceed the per diem 

or actual expense allowance to which the employee would have been entitled 

had they remained at the place of TDY. 

SECTION 8 - MODES OF TRANSPORTATION

A. In accordance with the JTR, the approving official shall determine the mode of 

transportation which is most advantageous to the Government. In selecting the 

particular method of transportation to be used, the approving official shall 

consider the nature and duties of the employee requiring travel, the total cost to 

the Government, the total distance of travel, the number of points to be visited 

and energy conservation. 

B. If an approving official determines that a vehicle is required for travel, a 

Government-owned or leased vehicle shall be used whenever it is reasonably 

available. The use of POC may be authorized only if it is more advantageous to 

the Government or for the convenience of the Government. The Agency will not 

direct the use of a POC by an employee as either a driver or as a passenger. 

C. When an employee elects to travel by a method of transportation other than 

that officially approved, reimbursement to the employee shall be limited to the 

cost on a constructive basis that would have been incurred by the Government 

for the officially approved mode of transportation or the actual cost incurred by 

the employee, whichever is less. 

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SECTION 9 - AUTHORIZED CALLS WHILE ON TDY

Employees traveling for more than one night on Government business in CONUS 

may request a Government telephone calling card to be utilized for official 

business calls and authorized personal calls. Employees may use the 

Government telephone calling card for authorized personal calls not to exceed 20 

minutes per day. The Government telephone calling card is the only approved 

means for authorized personal calls. 

SECTION 10 - PERSONAL ACCOMMODATIONS

Employees on TDY travel in CONUS will be authorized private sleeping and 

bathroom facilities. In circumstances beyond the Agency’s control, employees 

may be required to utilize shared accommodations and/or facilities. 

SECTION 11 - TRANSPORTATION

The Agency will authorize appropriate transportation to employees when on TDY 

in accordance with the JTR. 

SECTION 12 - TRAVEL RELATED SAFETY AND HEALTH

A. Employees will report any problems associated with Government vehicles for 

further investigation. The Agency will investigate and take appropriate action. If 

an employee reasonably believes a vehicle is unsafe for operation, the employee 

may elect to not utilize that vehicle. 

B. Government vehicles reported and verified as unsafe for operation shall not 

be issued for further use until repaired. 

C. Employees are required to report accidents and mishaps that occur while 

TDY as soon as possible. 

D. In cases of unanticipated absences, the employee is responsible for 

contacting the TDY location point of contact and the employee’s supervisor. If 

the employee fails to report for duty, the Agency TDY location point of contact will 

contact the employee’s supervisor who will then attempt to account for the 

missing employee. 

E. Employees using GOVs or POCs to perform official travel may request a cell 

phone or other communication device if available. This cell phone or other 

communication device will be used for official business and to notify 

management and family of an emergency condition or situation. 

F. When an employee is officially authorized to use their privately owned vehicle 

for the convenience of the Government and that vehicle breaks down or is 

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otherwise inoperative, the employee shall be in a duty status in connection with 

emergency repairs to the vehicle if the breakdown occurs while the employee is 

in an official travel status. In such situations, the employee will, as soon as 

practicable, provide the supervisor with an estimate of the situation and obtain 

appropriate instructions. 

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ARTICLE 34 

TRAVEL GAIN-SHARING AWARDS 

SECTION 1 - GENERAL

A. The Government Employees Incentive Awards Act, 5 U.S.C. § 4501-4507, 

authorizes an Agency to pay a cash award for efficiency or economy. The 

Agency will begin a program that rewards employees who save the Agency 

money from the use of less expensive lodging while on TDY. 

B. Employee participation in this program is voluntary. 

SECTION 2 - TYPES OF COSTS COVERED

Only lodging expenses associated with TDY will be covered under this program. 

SECTION 3 - LODGING SAVINGS

A. The amount of the award for the employee will be 50 percent of the savings 

on lodging expenses. Taxes will be withheld (Federal, State, local, FICA) on the 

award amount. 

B. In most cases, the cumulative savings to the Agency must be at least $400 

before the employee is eligible to receive an award. Awards will be processed 

prior to reaching the minimum dollar limit when: 

 1. the employee leaves the Agency; or 

 2. it is the end of the fiscal year. 

C. Lodging savings may occur: 

 1. when employees stay with relatives or friends while on official travel 

and avoid lodging expenses. These employees will receive one-half of the 

lodging rate for the locality toward the travel savings award; 

 2. when savings result from shared accommodations; or 

 3. when savings result from staying at a hotel with rates less than the 

government contract rates for the per diem.

D. Lodging savings will not occur: 

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 1. when an employee is on travel where lodging was prepaid or 

prearranged through contractual arrangements with the hotel except if savings 

result from shared accommodations; 

 2. for lodging savings at hotels identified under the General Services 

Administration Federal Premier Lodging Program, unless accommodations are 

shared with another employee on travel; 

 3. for lodging costs incurred on personal time such as annual leave during 

official travel or any other type of personal preference travel used in conjunction 

with official travel; or 

 4. when lodging for extended TDY has been contracted by the 

employee’s organization through a lease or purchase order. 

E. Employees should not incur additional expenses in transportation or other 

miscellaneous costs in effort to reduce lodging expenses. Employees who incur 

additional transportation expenses must have those expenses deducted from 

their lodging savings. Examples of excess transportation costs include, but are 

not limited to, renting a vehicle (when one would not normally be rented) at a 

TDY site to travel to a place of free or reduced lodging; when driving a privately 

owned vehicle (POV) more miles than would normally be traveled to/from the 

TDY site to obtain free or reduced lodging; or where a taxi fare is incurred which 

would not normally have been incurred to obtain free or reduced lodging. 

Additional duty time for travel is considered an additional expense. The 

approving official must determine if other transportation expenses incurred were 

excessive. 

F. All employees must utilize hotels/motels that meet the requirements of the 

Hotel and Motel Fire Safety Act of 1990. The list may be accessed through the 

Internet at http://www.usfa.fema.gov/hotel/index/htm. 

G. All TDY travel with lodging expenses, foreign and domestic, will be covered 

under this program. PCS travel is excluded from the gainsharing program. 

H. The first 30 days of extended TDY travel (e.g., a detail of more than 30 days 

where a reduced per diem amount is required) qualify for gainsharing, except 

when lodging has been contracted by an employee’s organization through a 

lease or purchase order. 

SECTION 4 - PILOT PROGRAM

The Agency will conduct a one year pilot study to evaluate the efficacy of the 

gainsharing program. At that time, the program may be expanded to include 

additional areas should further cost saving potential be identified. Prior to any 

implementation, the Agency, in coordination with the Union, will publish guidance 

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and instructions. The pilot will begin not later than 6 months after signing of the 

Agreement. 

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ARTICLE 35 

TRANSPORTATION SUBSIDY 

SECTION 1 - POLICY

The Agency will administer the Transportation Incentive Program in accordance 

with Executive Order 13150 of April 21, 2000 and DoD Memorandum dated 13 

October 2000 and any subsequent amendments thereto. 

SECTION 2 - PROGRAM 

A. National Capital Region (NCR) - The Agency must provide personnel 

vouchers or similar items that may be exchanged only for transit passes that do 

not exceed commuting costs up to the maximum allowed by the Internal 

Revenue Code (IRC). 

B. Outside the National Capital Region - The Agency must offer personnel a 

transportation incentive program identical to the program offered to personnel 

inside the NCR except where vouchers are not readily available. If vouchers are 

not readily available, the Agency shall implement a cash reimbursement program 

to reimburse its employees for expenses incurred or paid by them for 

transportation via mass transit or van pools. 

SECTION 3 - UNUSED VOUCHERS

 

If an employee purchases their pass/voucher in good faith to use for work but is 

unable to use the pass/voucher due to events that were unforeseen at the time of 

purchase, i.e., illness, TDY assignments, weather, etc., the employee will turn in 

the unused pass/voucher and the authorizing official will approve the request in 

the same good faith and allow for reimbursement. 

SECTION 4 - REIMBURSEMENT 

Reimbursement will be claimed in quarterly increments for actual costs incurred 

up to the maximum allowable amount via SF 1164, Claim for Reimbursement for 

Expenditures On Official Business. If the request for reimbursement is denied 

the employee may file a grievance in accordance with Article 30. 

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ARTICLE 36 

DEPLOYABLE EMPLOYEES 

CONTINGENCY CAS AND EMERGENCY ESSENTIAL (EE) POSITIONS 

The Union supports and encourages the Agency’s use of volunteers for 

deployments. 

SECTION 1 - PAY AND ALLOWANCES DURING DEPLOYMENTS

Employees shall receive pay and allowances in accordance with law and 

regulation. 

SECTION 2 - TRAVEL

A. Employees shall be given appropriate quarters while at a Contingency 

Remote Site (CRS)/ Basic Contingency Operations Training (BCOT) in 

accordance with the host component’s regulations and /or policy prior to and 

after deployment. If government quarters are not available, commercial lodging 

and per diem shall be authorized. 

B. Employees shall travel on conveyances in accordance with applicable laws 

and travel regulations. 

C. Employees may be authorized to take leave or layover a weekend during 

their return at the end of their deployment. 

D. Employees shall not be required to travel outside of normal duty hours or on 

weekends whenever possible. If travel outside of normal duty hours or on 

weekends is required, the employee shall be compensated in accordance with 

governing law or regulation. Rest stops will be provided in accordance with 

applicable laws and regulations. 

E. Employees shall be provided government transportation, but in those special 

circumstances when the government transportation is inappropriate, the 

employee shall be reimbursed for in-and-around transportation (taxi, bus, or rail) 

in accordance with the travel regulation during pre and post deployment. 

SECTION 3 - HOUSING WHILE DEPLOYED

Employees shall be authorized lodging appropriate to their grade, per diem and 

other entitlements, as appropriate to the threat level and location to which they 

are deployed. 

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SECTION 4 - EQUIPMENT AND TRAINING

All deployed individuals will be entitled to protective equipment and training 

commensurate with the anticipated threat and theater policy. 

SECTION 5 - AWARDS

A. Employees shall be eligible to earn awards in accordance with the DCMA 

Employee Awards and Recognition Program. 

B. Civilian employees may be granted up to a 40 hour time-off award after 

deployment. 

SECTION 6 - IMMUNIZATIONS/MEDICATIONS

Employees shall be informed of the immunizations/medications to be required in 

the theater(s) to which they may be deployed. This information will be posted on 

the Agency’s web page for review at any time. This web site will also provide 

links to current information available on the potential side effects of any 

mandatory immunizations/medications. 

SECTION 7 - REPRESENTATION

A. In accordance with Article 1, bargaining unit employees will continue to be 

represented by AFGE while deployed. The Agency will provide the DCMA 

Council with a copy of the BCOT briefing when updates are made. 

B. Changes in employment conditions of bargaining unit employees deployed 

require notification to the Union and an opportunity to bargain. During a 

contingency or emergency, management officials may take actions requiring an 

immediate response even if conditions of employment of bargaining unit 

members are affected. In such cases, the Union should be advised of the 

immediate changes being made and offered an opportunity for postimplementation bargaining at the earliest possible date. Any agreement reached 

during this bargaining should be applied retroactively, if practical. 

SECTION 8 - REOPENER

Should the Agency find it necessary to designate all acquisition positions as 

Emergency Essential, the Union shall have the right to renegotiate this article.

SECTION 9 - INVOLUNTARY DEPLOYMENT

A. Should the Agency determine it is necessary to deploy bargaining unit 

employees involuntarily, TDY in the employee’s current position will be 

considered before reassignments or details to EE positions. 

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B. Involuntary TDY assignments will be rotated among equally qualified (based 

on knowledge, skills, and abilities) and available employees with requisite skills in 

inverse order of seniority, based on SCD. 

C. Reassignments and details for involuntary deployments will be implemented 

in accordance with the criteria in Article 40. 

D. Management will consider personal hardships when deploying bargaining unit 

employees. 

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ARTICLE 37 

HOURS OF DUTY 

SECTION 1 - GENERAL

The Agency and the Union agree that within the parameters stipulated in Section 

2 and 3, the establishment of work schedules and the administration of this 

Article are matters for negotiation at the Agency level.

SECTION 2 - DEFINITIONS

A. Administrative Work Week: Normally Monday through Friday. 

 

B. Alternative Work Schedules: Both flexible work schedules and compressed 

work schedules. 

C. Basic Work Requirement (BWR): The number of hours, excluding overtime 

hours, an employee is required to work or to account for by charging leave, credit 

hours, excused absence, holiday hours, compensatory time off or time off as an 

award. 

D. Compressed Work Schedule: 

1. In the case of a full-time employee, an 80-hour biweekly BWR which is 

scheduled for less than 10 workdays and, in the case of a part-time employee, a 

biweekly BWR of less than 80 hours that is scheduled for less than 10 workdays 

and that may require the employee to work more than 8 hours in a day. (See 5 

U.S.C. § 6121(5)). 

2. Compressed work schedules are always fixed schedules. Examples 

are: 

 a. 4/10: Employees work four (4) ten-hour days and schedule 

 one (1) day per week off. 

 b. 5/4/9: The schedule covers a two-week period where the 

 employee works eight (8) nine-hour days and one (1) eight-hour day with 

 one day off scheduled during that biweekly pay period. 

E. Core Hours: Hours of duty between 0830 -1100 and 1300 -1430 when the 

employee must be available for duty. Core hours are only applicable to the 

flexible schedule. 

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F. Credit Hours: The hours within a flexible work schedule that an employee 

elects to work in excess of an employee’s BWR so as to vary the length of a 

workweek or workday. 

G. Duty Hours: Hours that employees must work between 0600-1800 with a 

mandatory lunch period of no less than 30 minutes. 

H. Flexible Hours: The times during the workday, workweek or pay period within 

the tour of duty during which an employee covered by a flexible work schedule 

may choose to vary his or her times of arrival to and departure from the work-site 

consistent with the duties and requirements of the position. 

I. Flexible Work Schedules: Consists of a flexible band of hours during which an 

employee may vary his or her arrival and departure time on a daily basis, during 

which the employee must be present for work in accordance with 5 U.S.C. 6122, 

that: 

1. in the case of a full-time employee, has an 80-hour biweekly BWR that 

allows an employee to determine his or her own schedule within the limits set by 

the Agency; and 

2. in the case of a part-time employee, has a biweekly basic work 

requirement of less than 80 hours that allows an employee to determine his or 

her own schedule within the limits set by the Agency. 

J. Maxi-Flex Work Schedule: A type of flexible work schedule that contains core 

hours on fewer than 10 workdays in the biweekly pay period and in which a fulltime employee has a basic work requirement of 80 hours for the biweekly pay 

period, but in which an employee may vary the number of hours worked on a 

given workday or the number of hours each week within the limits established for 

the organization. 

K. Standard Work Schedules: Eight hours a day, five days a week, with a set 

arrival and departure time. 

L. Tour of Duty: The limits set by the Agency within which an employee must 

complete his or her BWR under a flexible work schedule. Under a compressed 

work schedule or other fixed schedule, tour of duty is synonymous with BWR. 

M. Time Accounting Method: The Agency-wide method for employees recording 

and reporting their time will be via the PLAS system or any subsequent advance 

in technology. No other time accounting method is authorized. All employees 

are required to record and report all leave used as well as all compensatory time 

and overtime earned and used. Additionally, employees on flexible schedules 

will record all earned and used credit hours per pay cycle. 

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N. Full-Time Work Schedule: A schedule that requires employees to work a 

prearranged scheduled tour of duty that is usually 40 hours per week. 

O. Part-Time Work Schedule: A schedule that requires employees to work a 

prearranged scheduled tour of duty for a specific number of hours, usually 

between 16 and 32 hours per week. 

P. Intermittent Employee: One who works on an irregular basis for which there 

is no prearranged tour of duty. 

Q. Rotating Tour of Duty: A regularly scheduled tour that periodically requires 

service on a different shift. 

R. Seasonal Employee: An employee works on an annual recurring basis for a 

period of less than 12 months each year. He/she may have full-time, part time or 

intermittent work schedules during his or her work season. 

S. On-Call Employee: One who works when needed during periods of heavy 

workload with expected cumulative service of at least 6 months in a pay status 

each year. He/she may have either a full time or a part time schedule when in a 

pay status. 

SECTION 3 - PROCEDURES FOR ESTABLISHING STANDARD WORK 

SCHEDULES 

A. Initially, employees will submit their proposed work schedule to their 

supervisor or designee. The supervisor or designee will review and 

approve/disapprove the proposed schedule in writing within a reasonable amount 

of time. 

B. Supervisors may adjust a standard work schedule to meet mission needs or 

for performance or conduct problems. The employee will receive a reasonable 

amount of notice of the change and the reason for it. 

C. Any unresolved issues can be pursued through normal grievance procedures.

D. Consistent with regulations, unless a manager finds that it would adversely 

impact his/her organization in carrying out its function or would substantially 

increase operating costs, the following rules apply in initially establishing or 

changing standard work schedules within an organization: 

 1. assign tours of duty at least one week in advance; 

 2. schedule work on 5 days, Monday through Friday, when possible, with 

2 consecutive days off; 

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 3. set consistent working hours when possible, anywhere between the 

hours of 6 am and 6 pm; 

 4. workday may not exceed 8 hours (without incurring overtime 

entitlements) unless the employee is covered by an alternative work schedule; 

 5. scheduled lunch breaks under a standard work schedule may not 

exceed 1 hour. During this period, an employee is off duty and in a nonpay 

status. If he/she is required to perform duties (that is work) during a lunch break, 

the employee is entitled to pay for that period; and 

 6. basic workweek cannot be rescheduled to avoid paying holiday pay. 

SECTION 4 - PROCEDURES FOR ESTABLISHING ALTERNATIVE WORK 

SCHEDULES

A. Initially, employees will submit their proposed work schedule to their 

supervisor or designee. Election of a flexible or compressed work schedule is 

contingent upon the ability to ensure mission operations. The supervisor or 

designee will review and approve/disapprove the proposed schedule in writing 

within a reasonable amount of time. 

B. Supervisors may take an employee off a flexible or compressed work 

schedule to meet mission needs or for performance or conduct problems. The 

employee will receive a reasonable amount of notice of the change and the 

reason for it. 

C. If more employees request the same work schedule or day(s) off than can be 

accommodated, application of seniority based on SCD will determine which 

employees will have the work schedules and/or day off. 

 

D. Scheduled lunch breaks under a flexible work schedule may not exceed 2 

hours, and under a compressed work schedule may not exceed 1 hour. During 

this period an employee is off duty and in a nonpay status. If he/she is required 

to perform duties (that is work) during a lunch break, the employee is entitled to 

pay for that period. 

E. Any unresolved issues can be pursued through normal grievance procedures. 

F. The basic workweek cannot be rescheduled to avoid paying holiday pay. 

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SECTION 5 - PROCEDURES FOR ESTABLISHING SPECIAL TEMPORARY

WORK SCHEDULES

A. Special Tour of Duty for Educational Purposes: Managers may establish 

work schedules that allow an employee to take courses at a college, university or 

educational institution. The courses taken need not be directly related to the 

work of DCMA nor be considered training under law, but they should contribute 

to making the employee a more effective worker in DCMA. Under these 

circumstances, rescheduling the customary workweek is permitted when it does 

not significantly interfere with the employee completing work assignments. The 

employee is still responsible for a full 40 hour work week. Premium pay may not 

be paid for those duty hours that are rescheduled. 

B. Time on Official Travel: To the maximum extent possible, managers should 

schedule travel within an employee’s regularly scheduled workweek. In 

scheduling temporary duty travel for employees, managers and supervisors 

should comply with this guideline. Compensatory time for travel will be earned in 

accordance with governing laws and regulations. 

C. Temporary Duty: When an employee covered by a FWS is assigned to a 

temporary duty station using another schedule, either traditional or AWS, the 

Agency may allow the employee to continue to use the schedule used at his or 

her permanent work site if suitable or require the employee to change the 

schedule to conform to operations at the temporary work site. 

SECTION 6 - CREDIT HOURS

Credit hours may be worked only by employees covered by a FWS. Employees 

may request to work credit hours subject to supervisory approval. When 

employees use accrued credit hours, such hours are counted as a part of the 

basic work requirement for the pay period to which they are applied. Employees 

are entitled to their rate of basic pay for credit hours, and credit hours may not be 

used by employees to create or increase entitlement to overtime pay. 

Employees may earn no more than 4 credit hours daily during the administrative 

work week. In accordance with applicable law, a full-time employee may only 

carry up to 24 hours from a biweekly pay period to a succeeding biweekly pay 

period. When an employee is no longer covered by a flexible work schedule, 

he/she must be paid for accumulated credit hours at his/her current rate of pay. 

An employee may not be compensated for credit hours for any other reason. 

Payment for accumulated credit hours is limited to a maximum of 24 hours for a 

full-time employee. 

SECTION 7 - HOLIDAYS

A. General 

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Under 5 U.S.C. Chapter 61 and 5 CFR Part 610, the number of hours an 

employee is entitled to for holiday leave is treated differently for employees on 

flexible schedules and compressed schedules. 

 1. Flexible Work Schedules – An employee on a flexible schedule who is 

relieved or prevented from working on a day designated as a holiday: 

 a. is entitled to eight hours of basic pay for that day regardless of 

 the individual tour (or in the case of a part-time employee, the number of 

 hours designated on their Notification of Personnel Action [SF-50] and in 

 accordance with applicable laws and regulations); 

 

 b. may take leave for the additional hour or hours necessary to 

 complete 80 hours BWR for the pay period; or 

 c. with supervisory approval, may work the additional hour(s) to 

 make up the difference. 

 2. Compressed Work Schedules 

 a. an employee on a compressed work schedule who is relieved 

 or prevented from working on a day designated as a holiday is entitled to 

 basic pay for the number of hours that they were scheduled to work on 

 that day, not to exceed 10 hours. 

 b. when a holiday falls on a day that an employee is regularly 

 scheduled to work, the scheduled workday is the employee’s holiday. 

 When a holiday falls on a non-workday, the following applies: 

 (1) if the holiday falls on a Sunday, the first regularly scheduled 

 workday following the Sunday holiday is the employee’s “in lieu of” 

 holiday; or 

 (2) if the holiday is not a Sunday, the last regularly scheduled 

 workday preceding the holiday is the employee’s “in lieu of” holiday. 

B. Part Time Employees 

1. Part-time employees are not entitled to an “in lieu of” day for a holiday 

that falls on an employee’s day off. [5 CFR 610.405(i)] 

 2. Part-time employees receive their regular pay for holidays falling on 

their regularly scheduled workdays. When an installation is closed for an “in lieu 

of” holiday that falls on a part-time employee’s regularly scheduled workday and 

the employee is prevented from working on that day, the Agency will grant the 

employee administrative leave for the hours scheduled to be worked on that day. 

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An employee who is in a pay status either immediately preceding or succeeding 

a holiday is entitled to pay for the holiday. 

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ARTICLE 38 

OVERTIME ASSIGNMENTS 

SECTION 1 - GENERAL

A. As a general rule, overtime work means each hour of work in excess of the 

employee’s normal tour of duty in an administrative work week that is officially 

ordered and approved by management and performed by an employee. It is 

work that is not part of an employee’s regularly scheduled administrative 

workweek and for which an employee must be compensated. 

B. Payment for overtime worked or earning compensatory time in lieu thereof, 

shall be in accordance with applicable laws and Government-wide regulations. 

SECTION 2 - SCHEDULING AND APPROVAL OF OVERTIME

A. Whenever possible and as determined by the approving official, overtime 

work shall be scheduled in advance of and approved in writing (email is 

acceptable) prior to the date on which the overtime is to be worked. Where 

circumstances preclude the advance scheduling, overtime work may be 

approved orally and the oral approval reduced to writing prior to the submission 

of the Time and Attendance Report. 

B. To the maximum extent possible, overtime work shall be scheduled and 

approved in time periods of 15 minutes or multiples thereof. 

C. In assignment of overtime, the Agency agrees to provide the employee with 

advance notice whenever possible. Any employee designated to work overtime 

on Saturday or Sunday normally will be notified by noon Thursday. When 

overtime is to be performed on a holiday, normally two (2) workdays advance 

notice will be given to the employee. 

SECTION 3 - OVERTIME ROSTERS 

When necessary, overtime rosters may be established at the level of the 

immediate supervisor prior to overtime being worked as follows: 

 1. if a roster is established, all employees performing the same or similar 

duties on a regular basis are to be included on the same overtime roster,and are 

to be listed in order of their service computation date (unadjusted, from most to 

least senior). The overtime rosters will be made available to the employees on 

the roster; 

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 2. rosters for each job category will be maintained and labeled "voluntary 

overtime" and another for each job category will be maintained and labeled 

"mandatory overtime". If needed, another will be maintained and labeled 

 "call- back overtime; 

 3. employees assigned (either on a permanent or a temporary basis) to a 

supervisor's work unit after the rosters are established will be placed at the 

bottom of the roster; and 

 4. if an employee is detailed or otherwise temporarily reassigned out of a 

supervisor's work unit, the employee shall not be considered available for 

overtime assignment under the losing supervisor's overtime roster for the 

duration of such temporary assignment. 

SECTION 4 - DISTRIBUTION

A. To the maximum extent possible, overtime assignments to employees within 

an organizational element shall be on a fair and equitable basis. A rotational 

system will be established whereby every fully qualified employee, including 

detailed-in personnel within a team, will be given the opportunity to work overtime 

assignments. 

 1. Overtime assignments shall not be made as a reward or punishment. 

 2. The use of official time during a pay period shall not be sufficient cause 

to exclude an employee from working overtime. 

 3. Refusal to work voluntary overtime shall not reflect unfavorably on an 

employee’s performance appraisal or the option to work future overtime. 

B. When overtime is required and familiarity with the project or particular 

expertise are required for continuity or efficiency, employees normally assigned 

to the duties will perform the overtime work. 

C. When particular expertise or familiarity with the project are not required for 

the performance of an overtime assignment, supervisors will solicit volunteers for 

such overtime assignments by announcing the particulars of the overtime 

assignment to the employees in the needed job category who are on duty at the 

time. 

1. If more employees volunteer than are needed, the supervisor shall go 

to the voluntary overtime roster, as provided in Section 3 above, and assign the 

overtime to the volunteer (or volunteers if more than one employee is needed) 

beginning with the name immediately below the last person on the roster to have 

worked a voluntary overtime assignment. 

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2. If there are insufficient volunteers and employees have to be directed 

to work overtime assignments, the supervisor shall go to the “mandatory 

overtime roster”, as provided in Section 3 above, and assign the overtime to the 

employee (or employees) beginning with the employee immediately below the 

last person on the “mandatory overtime roster” to have worked a mandatory 

overtime assignment. The supervisor will notify the Union as soon as possible 

when using a “mandatory overtime roster”. 

D. Trainees may be considered for overtime assignments provided they are fully 

qualified to perform the necessary duties. Those employees on detail will be 

considered for overtime assignments in their detailed section/unit/work area 

provided they are fully qualified to perform the necessary duties. 

SECTION 5 - CALL-BACK

A. "Call-back overtime" is defined as irregular or occasional overtime work 

performed by an employee for which they are required to return to the place of 

employment to perform the work or on a day when work was not scheduled for 

them. 

B. Employees shall be provided advance notice, whenever possible of the 

requirement to perform callback overtime work. 

C. An employee who is called back to work at a time outside of and unconnected 

with his or her scheduled hours of work within the basic work week will receive a 

minimum of 2 hours of overtime pay. 

D. Unless a “call-back overtime” assignment requires special skill, familiarity with 

the work or quick responses, call-back overtime will be rotated among employees 

pursuant to Section 4 C. 

E. When it is first determined that call-back assignments are necessary, the 

official responsible for call-back will use the call-back roster and make the 

assignment starting with the first name on the roster that he or she is able to 

contact. As successive call-back assignments are necessary, the official 

responsible for call-back will commence calling or making assignments with the 

name immediately below that person who last worked a call-back assignment 

and make the assignment to the first employee or employees that he or she is 

able to contact. 

SECTION 6 - TIME SPENT ON STANDBY DUTY AND OR IN AN ON-CALL 

STATUS

A. On-call status is defined as those occasional situations when an employee is 

notified that they are subject to call during a specified period of time outside their 

normal tour of duty. Overtime shall be approved only for the specified period of 

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the on-call condition which qualifies as “hours of work” as defined by the 

governing laws and regulations. 

B. An employee will be considered off duty and time spent in an on-call status 

shall not be considered hours of work if: 

 

 1. the employee is allowed to leave a telephone number or to carry an 

electronic device for the purpose of being contacted, even though the employee 

is required to remain within a reasonable call-back radius; or 

 2. the employee is allowed to make arrangements such that any work 

which may arise during the on-call period will be performed by another 

person. 

C. Standby Duty - an employee is on duty, and time spent on standby duty is 

hours of work if, for work-related reasons, the employee is restricted by official 

order to a designated post of duty and is assigned to be in a state of readiness to 

perform work with limitations on the employee’s activities so substantial that the 

employee cannot use the time effectively for his or her own purposes. A finding 

that an employee’s activities are substantially limited may not be based on the 

fact that an employee is subject to restrictions necessary to ensure that the 

employee will be able to perform his or her duties and responsibilities, such as 

restrictions on alcohol consumption or use of certain medications. An employee 

is not considered restricted for work-related reasons if, for example, the 

employee remains at the post of duty voluntarily or if the restriction is a natural 

result of geographic isolation or the fact that the employee resides on the 

Agency’s premises. 

D. Compensation for time spent in On-Call Status and Standby Duty will be 

determined in accordance with applicable laws and regulations. 

SECTION 7 - CHANGES TO EMPLOYEE’S WORK SCHEDULES

An employee’s work schedule may be changed to meet mission/operational 

needs. An employee’s regularly scheduled workday or workweek shall not be 

changed solely to avoid payment of overtime or earning of compensatory time. 

SECTION 8 - COMPENSATORY TIME

A. FLSA Non-Exempt employees may elect to earn compensatory time in lieu of 

being paid overtime. 

B. The employee may request that accrued compensatory time be charged in 

lieu of annual leave, sick leave, or leave without pay. 

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C. Compensatory time earned by employees must be used within 26 pay 

periods. At the end of twenty-six (26) pay periods, compensatory time not used 

will be paid to the employee at the overtime rate in effect at the time it was 

earned. 

SECTION 9 - UNCOMPENSATED WORK

A. The Agency will not permit performance of work without compensation. 

B. Supervisors shall not direct, request, suggest, authorize or take any action 

which implies approval for employees to perform gratuitous services. 

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ARTICLE 39 

TELEWORK 

SECTION 1 - PURPOSE

A. The Agency and the DCMA Council jointly recognize the mutual benefits of a 

flexible workplace program to the Agency and its employees. 

B. The parties also agree that balancing work and family responsibilities, 

assistance to disabled employees, and meeting environmental, financial, and 

commuting concerns are among its advantages. The DCMA Telework Program 

will: 

 1. promote the Agency as an employer of choice; 

 2. improve the recruitment and retention of high-quality employees 

through enhancements to employees’ quality of life assisting the Agency in 

achieving its Human Capital Goals; 

 3. demonstrate support of “family-friendly” initiatives; 

 4. enhance Agency’s efforts to employ and accommodate people with 

disabilities; 

 5. accommodate employee needs for convalescing from short term 

injuries or illnesses; 

 6. reduce traffic congestion and decrease energy consumption and 

pollution emissions; 

 7. reduce office space, parking facilities and transportation costs, 

including costs associated with payment of the transportation subsidy; and 

 8. complement Continuity of Operations Program (COOP) plans. 

C. Time otherwise spent commuting may be spent with family or in other 

activities, thus giving employees more options to balance work and personal 

demands, resulting in improved morale. It also improves the quality of work life 

by providing a distraction-free and stress-free environment. 

D. In recognizing these benefits, successful implementation of this program 

requires leadership and support from both parties. The parties also acknowledge 

the needs of the Agency to accomplish its mission. 

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E. Applicable law, government wide rules and regulations and this Article will 

govern the DCMA telework program. Any telework program established will be a 

voluntary program that permits employees to work at home or at other approved 

sites. 

SECTION 2 - DEFINITIONS

Ad hoc telework: approved telework performed on an occasional or irregular 

basis. 

Alternative worksite: a place away from the traditional worksite that has been 

approved for the performance of officially assigned duties and as appropriately 

negotiated in accordance with this agreement. It may be an employee’s home, a 

telework center, or other approved worksite including a facility established by 

state, local, or county governments or private sector organizations for use by 

teleworkers. It also includes designated space in another organization, Agency 

work site or contractor facility that is closer to the employee’s residence.

Designated Approving Authority (DAA): responsible management official who 

approves use of personal computers and equipment for telework purposes. 

Within DCMA, the DAA is the Executive Director, Information Technology (IT) 

and Chief Information Officer or designee. 

Regular and recurring telework: an approved work schedule where eligible 

employees regularly work at least one day per biweekly pay period at an 

alternative worksite. 

Telework: any arrangement in which an employee performs officially assigned 

duties at an alternative worksite on either a regular and recurring, or on an ad 

hoc basis (not including while on official travel). 

Telework agreement: a written agreement, completed and signed by an 

employee and authorized official(s) in their organization, that outlines the terms 

and conditions of the telework arrangement. 

Traditional worksite: the location where an employee would work absent a 

telework arrangement. 

Work-at-home telework: an approved arrangement whereby an employee 

performs official duties in a specified work or office area(s) of his or her home. 

SECTION 3 - PROCEDURE

Employee participation in the telework program is strictly voluntary. 

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A. Eligibility Requirements 

 1. The parties recognize that some tasks and functions are generally 

suited for telework and include, but are not limited to; 

 a. thinking and writing; 

 b. policy development; 

 c. research; 

 d. analysis; 

 e. report writing; 

 f. telephone-intensive tasks; 

 g. computer-oriented tasks; or 

 h. data processing 

 2. Employee characteristics indicating suitability for telework: 

 a. dependability and the ability to handle responsibility; 

 b. proven record of high personal motivation; 

 c. ability to prioritize work effectively and utilize good time 

 management skills; 

 d. proven or expected performance rating of Fully Successful;

 e. is not in a probationary status, not to exceed the first year of 

 service in the event the employee serves a probationary period longer 

 than that; 

 f. does not have a disciplinary action in their OPF during the prior 

12 month period from the date they requested to telework. This provision 

may be waived by the telework approving official; and 

 g. is not under a letter of leave restriction. This provision may be 

waived by the telework approving official. 

 3. The parties recognize that some positions are not generally eligible for 

telework. These positions: 

 a. require the employee to have daily face-to-face contact with the 

 supervisor, colleagues, clients or the general public in order to perform his 

 or her job effectively, which cannot otherwise be achieved via email, 

telephone, fax or similar electronic means; 

 b. require daily access to classified information; or 

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 c. are trainee or entry-level positions.

B. Approval 

 1. Prior to commencement of regular and recurring telework 

arrangements, the supervisor and the employee must complete and sign a 

Telework Agreement that outlines the terms and conditions of the arrangements. 

The purpose of the Telework Agreement is to prescribe the approved alternative 

worksite, telework scheduling and to address personnel and security issues. If 

the agreement is for work from home, the employee must designate one area of 

the home as the official workstation and must sign a safety checklist that 

proclaims the home safe. If the agreement is for a telecenter or other 

commercial location, the supervisor and the employee must complete the 

appropriate Telecommuting Facility Reimbursement Information Sheet,or other 

form required by the telecenter. 

 2. Prior to initiating ad hoc teleworking, the employee must complete and 

sign the safety checklist. The employee must obtain approval from his or her 

supervisor prior to each ad hoc telework. 

C. Disapproval 

1. If the supervisor disapproves the request, he or she will provide written 

notification to the employee specifying the reason(s) for disapproval within a 

reasonable period of time. Supervisory disapprovals are justifiable when the 

employee’s job performance is below Fully Successful, the specific duties can 

only be performed at the official duty station or the full eligibility criteria of the 

telework program have not been met. 

 2. An employee’s Union representative status or participation in Union 

activity will not be utilized in denying employees participation in telework or in 

terminating their participation from such. However, for purposes of telework, 

Union representational duties are not considered official agency duties and 

cannot be performed while the employee is in a telework status. See 68 FLRA 

No. 68 (October 8, 2004). 

D. Changes 

 1. Permanent changes to regular and recurring telework require a revised 

application and supervisor approval. 

2. Employees who telework must be available to work at the traditional 

worksite on telework days on an occasional basis if necessitated by work 

requirements. Conversely, requests by employees to change scheduled 

telework days in a particular week or biweekly pay period should be 

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accommodated by the supervisor wherever practicable consistent with mission 

requirements. 

E. Emergency Closing/Late Openings/Early Dismissals 

 

 1. Emergency dismissal or closure procedures for employees (including 

employees teleworking from an alternative worksite) in Federal executive 

agencies are prescribed by OPM on an annual basis. These procedures apply 

not just in adverse weather conditions (snow emergencies, severe icing 

conditions, floods, earthquakes and hurricanes), but in all kinds of emergency 

situations including air pollution, disruption of power and/or water and interruption 

of public transportation. These dismissal and closure procedures will be applied 

Agency-wide. 

 2. If a situation arises at the employee’s alternative worksite that results in 

the employee being unable to continue working e.g. power failure, the supervisor 

should determine action on a case-by-case basis. Depending on the particular 

circumstances, supervisors may grant the teleworker excused absence, offer the 

teleworker the option to take leave or use compensatory time off or credit hours, 

if applicable, or require the employee to report for work at the traditional worksite. 

 3. If the employee knows in advance of a situation that would preclude 

working at the alternative worksite, a change in work schedule, leave or work at 

the employee’s traditional worksite must be scheduled. 

F. Hours of Duty 

The existing rules on hours of duty apply to teleworking employees. An 

employee in a telework status must adhere to his or her approved work schedule. 

G. Employee Responsibilities 

 1. Employees on telework continue to be bound by the Executive Branch 

and DoD standards of ethical conduct while working at the alternative workplace 

or using government-furnished equipment. 

2. Employees on a telework arrangement will protect 

government/Agency/contractor records from unauthorized disclosure or damage 

and will comply with the Privacy Act of 1974, 5 U.S.C. 552a.

 

 3. Classified documents (hard copy or electronic) may not be taken by 

teleworkers to alternative worksites. Contractor proprietary data will not be taken 

by teleworkers to alternative worksites without approval. 

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 4. DCMA teleworkers are responsible for all official information, protection 

of any government-furnished equipment and property, and carrying out the 

mission of DCMA at the alternative worksite. Government data and information 

shall only be stored on media that the Agency provides for transporting the data 

and information between the alternative and traditional worksites. Government 

data or information shall be not be copied or duplicated to any computer or 

portable storage device or media except those provided by the Agency. 

 5. Use of personal computers and equipment for work on unclassified 

data must be consistent with Agency regulations. Employee-owned personal 

computers will be allowed to access DCMA systems and networks remotely in 

accordance with DCMA Instruction, Security – Configuration for Workstations 

Connected to Non-DCMA Networks. 

 6. Prior to each instance of telework, the employee will provide an out-ofoffice message on voicemail. A written message should also be posted in a 

conspicuous location for walk-up customers at the employee's permanent dutystation. These messages should convey that the employee is out of the office 

but is teleworking at another site and is available to be contacted for official 

business. 

H. Equipment and Facilities 

 1. In an effort to promote telework within the Agency, up to 200 computers 

(CPU, monitor, keyboard, mouse and associated cables) that are replaced on a 

periodic basis will be made available by the DAA on a first-come/first-served 

basis for employee use for regular and recurring telework at the alternate work 

site prior to being excessed. Should this equipment fail, the employee may 

continue to telework using their personal computer or secure another computer if 

available. However, the Agency has no obligation to provide maintenance. All 

equipment will be returned upon either termination of the Telework Agreement or 

failure of the equipment. 

2. The Agency will not be responsible for any operating costs e.g. ISP, 

phone line, home maintenance, insurance and utilities that are associated with 

use of the employee’s home as an alternative workplace except employee 

entitlement to reimbursement for authorized expenses incurred while conducting 

business for the government, as provided for by statute and regulations. The 

Agency agrees to reimburse an employee for any toll calls made for official 

business from an alternate work site or provide employees with telephone calling 

or credit cards. The Agency assumes no responsibility for any operating costs 

associated with an employee using their personal equipment. 

 I. Liability 

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 1. The Government is not liable for damages to the employee’s personal 

or real property while the employee is working at the approved alternative 

worksite, except to the extent provided by the Federal Tort Claims Act or the 

Military and Civilian Employees Claims Act. 

 2. The employee must protect all government-furnished equipment and 

software from possible theft and environmental damage. In cases of damage to 

unsecured equipment by non-employees, the employee will be held liable for 

repair or replacement of the equipment or software in compliance with applicable 

regulations on negligence.

J. Equipment 

The Agency will maintain a list of supplies and equipment available at each 

official duty station for teleworkers. Supplies will be provided at no cost to the 

employee. 

K. IT Support 

Employees will have access to the Helpdesk for assistance at all telework sites. 

L. Health and Safety 

 

1. DCMA employees continue to be covered by the Federal Employees 

Compensation Act (FECA) when injured or suffering from work-related illnesses 

while conducting official Government business regardless of the location. For 

work-at-home arrangements, the employee is required to designate one area in 

the home as the official work or office area that is suitable for the performance of 

official Government business. The Government’s potential exposure to liability is 

restricted to this official work or office area for the purposes of telework. 

 2. Work-at-home teleworkers must complete and sign a safety checklist 

that proclaims the home safe for an official home worksite to ensure that all 

requirements to do official work are met in an environment that allows the tasks 

to be performed safely. The employee agrees to permit access to the home 

worksite by Agency representatives as required, during normal working hours for 

a safety-related issue. The employee may request a Union representative 

accompany the Agency representative to the employee’s work site. 

M. Performance Management 

 1. Teleworkers’ performance should be monitored in the same manner as 

all employees at the traditional worksite. The performance standards should be 

based on a results-oriented approach and should describe the quantity and 

quality of expected work products and the method of evaluation. 

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 2. Teleworkers are required to complete all assigned work consistent with 

the approach adopted for all other employees in the work group, and according 

to standards and guidelines in the employee’s performance plan. 

N. Termination 

Telework agreements can be terminated by either the employee or the 

supervisor by giving advance written notice. 

O. Reports 

The Agency will provide the DCMA Council an annual consolidated report on 

participation rates in the DCMA Telework Program. 

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ARTICLE 40 

REASSIGNMENTS AND DETAILS 

SECTION 1 - GENERAL

A. A reassignment is defined as any change of an employee from one position to 

another without demotion or promotion within the Agency. 

B. A detail is the temporary assignment of an employee without change of civil 

service status or pay to a different position other than his/her official position, for 

a specified period of time, with the employee returning to his/her regular duties at 

the end of the detail. 

C. Normally, an employee will be notified in writing at least 15 days prior to an 

Agency-directed reassignment or 15 days prior to a detail that is expected to last 

more than 30 days. The DCMA Council Local will receive the same notification 

afforded the affected employee. The Agency will explain the rationale for this 

action upon request from the DCMA Council Local. 

SECTION 2 - REASSIGNMENTS

A. The Agency reserves the right to make reassignments based upon mission 

requirements. 

B. When the Agency finds it necessary to reassign employees due to staffing 

imbalances and the Agency determines there are more equally qualified 

individuals than the number of positions to be filled, volunteers will be solicited. 

Selections among those equally qualified volunteers will be based on the highest 

SCD. Should it become necessary to involuntarily reassign employees, the 

Agency will consider employee qualifications and capabilities, requirements of 

the position (knowledge, skills, and abilities), location of position, employee 

requests and commuting distance. Equally qualified candidates for reassignment 

will be reassigned in inverse order of seniority based on SCD. The Agency will 

ensure that the needs of employees with disabilities are considered in 

reassignment actions. 

C. Employees desiring reassignment within their current organization may apply 

directly to the supervisor of the vacant position for consideration. If the employee 

is selected for the reassignment, the employee normally will be released within 

30 days from the selection notification date. For employees who wish to be 

considered for reassignment to vacant positions in another organization, the 

employee may forward a resume to the organization’s Deputy 

Commander/Director. 

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D. Normally, the Agency will notify the impacted employees in advance of any 

permanent changes in assignment of their supervisor or team leader. 

SECTION 3 - DETAILS

A. Details are a way of satisfying mission requirements, future skill needs, 

improving job performance, broadening experience and demonstrating ability to 

perform at a higher level. Employees with disabilities may be considered for 

details. 

B. The Agency shall consider temporarily assigning an employee who is 

temporarily disabled from performing the full range of duties of their position to 

duties which the employee is qualified and capable of performing. 

C. The Agency has the right to direct employees to perform detail assignments 

as well as the obligation to make judicious use of this authority. Consideration 

will be given to the current performance of the employee, location of the position, 

the interest and availability of eligible employees, and their SCDs. The Agency 

shall inform the employee of the reason for the detail, including a written 

description of the duties, work direction, supervision and expected duration. 

Details will not be used as a substitute for a permanent personnel action such as 

promotion, reassignment, or appointment. A detail will be limited to the shortest 

practical time limits and will be terminated as soon as the need for the detail no 

longer exists. 

D. If allegations or accusations are made against employees (including 

employees duty-stationed at contractor facilities) and management determines it 

is in the best interests of the Government or for the protection of the employee to 

do so, the employee may be detailed or reassigned. Upon completion of the 

investigation, the Agency will initiate the appropriate personnel action. If the 

Agency determines an employee must be detailed or reassigned, the Agency will 

consider mission requirements and employee qualifications. When appropriate, 

the Agency will also seek and consider the employee’s personal preferences 

regarding their new position and duty location. 

E. Details of 30 calendar days or less do not require formal documentation and 

may be informally arranged between supervisors. Details of more than 30 days 

must be processed in increments of no more than 120 days, and will be 

documented using a formal personnel action. Upon the detailed employee’s

request, a detail of less than 30 days may be documented. 

F. When an employee is to be detailed to a higher graded position for more than 

30 days, he/she shall be temporarily promoted. Temporary promotions will not 

be used for the sole purpose of qualifying or enhancing an employee’s 

qualifications to permanently fill the position to which they are detailed. 

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G. Details to higher-graded positions for less than 30-days will be rotated among 

equally qualified employees. 

H. When possible, the Agency will consider making details on a rotational basis 

among employees given the nature and location of the duties to be performed 

and the duration of the anticipated assignment. Examples where details may be 

appropriate include, but are not limited to, the following: 

 1. to meet abnormal workload situations, mission changes, when a major 

reorganization or reduction-in-force is expected or due to unanticipated absences 

such as sick leave or emergency annual leave; and 

 2. pending official assignments, classification of new positions and for 

training purposes. 

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ARTICLE 41 

CONTRACTING OUT AND OUTSOURCING 

SECTION 1 - GENERAL

For the purposes of this Article, the term contracting out refers to decisions made 

by the Agency subject to the A-76 process. The term outsource as defined here 

applies when the Agency decides to use contractor support to supplement its 

current workforce in addressing fluctuations in mission workload. It is understood 

that the Agency retains the right to contract out work in accordance with 5 U.S.C. 

§ 7106(a)(2)(b). The decision to contract out is not subject to the negotiated 

grievance procedure. 

SECTION 2 - NOTIFICATION OF CONTRACTING OUT

A. The Agency will notify the DCMA Council at the time a study is initiated to 

contract out work which is presently being performed by members of the 

bargaining unit. 

B. The Agency will provide to the DCMA Council such information concerning 

the contracting out study as requested by the DCMA Council as long as the 

information is not restricted by Government wide law, rule, regulation or other 

directives and instructions. 

C. Should the Agency establish a Most Efficient Organization (MEO) or 

Performance Work Statement (PWS) team to implement the A-76 study, the 

DCMA Council may appoint a representative who will be a full participant 

throughout the entire A-76 process and will be governed by all laws and 

regulations. The Union’s team member must sign a non-disclosure statement. 

D. Should the Agency establish a Most Efficient Organization (MEO) or 

Performance Work Statement (PWS) team to implement the A-76 study, the 

DCMA Council may nominate an observer to offer their insight into the process. 

If the meetings involve management deliberations, the Union observer may be 

required to step out of the room to preserve the deliberative process. The parties 

agree to safeguard information, including proprietary information, consistent with 

applicable regulations. 

SECTION 3 - NEGOTIATIONS CONCERNING ADVERSE IMPACT OF 

CONTRACTING OUT

A. Upon award of a contract or implementation of a MEO that will adversely 

affect members of the bargaining unit, the Agency will notify the DCMA Council. 

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The DCMA Council may, within 15 calendar days, request negotiation with the 

Agency in accordance with 5 U.S.C. § 7106(b) (2) and (3) of the Civil Service 

Reform Act. Should Reduction in Force (RIF) procedures be required, the 

Agency will follow the provisions negotiated in Article 46 to attempt to minimize 

the adverse effects on bargaining unit employees (BUEs). 

B. The Agency and DCMA Council recognize the “right to first refusal” required 

by Federal Acquisition Regulation (FAR) 7.305(c). 

SECTION 4 - NOTIFICATION OF OUTSOURCING

The Agency will notify the DCMA Council in writing when it is has decided to 

outsource any job function within the Agency. The Agency recognizes its duty to 

satisfy its bargaining obligations should conditions of employment for BUEs be 

affected by its decision to outsource. Upon request, the Agency will discuss the 

outsourcing decision with the DCMA Council and provide information, if available 

and release of the information is not restricted by Government wide law, rule or 

regulation. 

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ARTICLE 42

PRODUCTIVITY

It is to the mutual advantage of the Agency and DCMA Council to work together 

to improve and increase the productivity of DCMA and the skills and capabilities 

of its employees. 

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ARTICLE 43 

RESEARCH PROGRAMS 

AND 

DEMONSTRATION PROJECTS 

SECTION 1 - SCOPE

For the purpose of this Agreement, research program means a planned study of 

the manner in which public management policies and systems are operating, the 

effect of those policies and systems, the possibilities for change and 

comparisons among policies and systems. Demonstration project means a 

project conducted by the OPM, or under its supervision, to determine whether a 

specified change in personnel management policies or procedures would result 

in improved Federal personnel management. 

SECTION 2 - OPM SPONSORED PROJECTS

In the event that the Agency is requested to participate in an OPM sponsored 

research or demonstration project under Chapter 47 of Title 5, United States 

Code, the Agency will: 

 1. Not approve any project involving BUEs: 

 a. if the project will violate this Agreement unless the DCMA 

 Council has agreed to permit its inclusion, pursuant to 5 U.S.C. § 

 4703(f)(1); or 

 b. until there has been consultation or negotiation, as appropriate, 

 with the DCMA Council, if the project is not covered by this Agreement, 

 pursuant to 5 U.S.C. § 4703(f)(2). 

 2. Abide by 5 U.S.C. § 4703(e) if OPM or the Agency determines the 

project creates a substantial hardship on or is not in the best interests of the 

public, the Federal Government or employees. 

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ARTICLE 44 

FURLOUGH OF 30 DAYS OR LESS 

SECTION 1- GENERAL

This Article establishes procedures and describes actions the Agency will take in 

the event of a furlough of 30 days or less (hereinafter furlough) in accordance 

with applicable law, Government-wide rule or regulation. This Article is intended 

to protect the interests of employees while allowing the Agency to exercise its 

rights and duties in carrying out the mission of the Agency. The Agency is 

responsible for assuring that applicable regulations and this Article are uniformly 

and consistently applied to any furlough. Furloughs of more than 30 days are 

handled under Article 46, Reduction in Force. 

SECTION 2 - DEFINITION

A furlough is the placing of an employee in a temporary nonduty, nonpay status 

because of lack of work or funds, or other non disciplinary reasons. 

SECTION 3 - NOTIFICATION

Whenever the Agency has determined a furlough is necessary, it shall notify the 

DCMA Council in order to negotiate appropriate arrangements. Whenever 

practicable, notice will be given in advance. The Agency agrees to furnish the 

DCMA Council all information pertinent to the cause of any furlough in 

accordance with laws governing public information and existing rules and 

regulations. 

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ARTICLE 45 

TRANSFER OF FUNCTION 

SECTION 1 - DEFINITION

A transfer of function is defined as the transfer of the performance of a continuing 

function from one competitive area and its addition to one or more other 

competitive areas, except when the function involved is virtually identical to 

functions already being performed in the other competitive area(s) affected, or 

the movement of the competitive area in which the function is performed to 

another commuting area. 

SECTION 2 - PROCEDURES

A. In transfers of function within DCMA, the Agency will provide notification to 

the DCMA Council not less than 60 calendar days prior to the effective date of 

any approved transfer of function. The DCMA Council may waive this notification 

period. 

B. Where employees are being relocated to a different commuting area, the 

Agency will: 

 1. provide the appropriate DCMA Council Local with the maximum notice 

possible but not less than 60 calendar days notice prior to the effective date of 

any approved transfer of function in order to negotiate the impact and procedures 

for the implementation of the transfer of function; 

 2. assist, counsel and train the affected employees in seeking placement 

opportunities with other Federal agencies elsewhere in the commuting area; 

 3. counsel the employees on individual rights relating to retirement and 

severance pay and placement potential; 

 4. give any employees affected by a transfer of function outside the 

commuting area causing a physical move, not less than 60 calendar days notice 

in writing of the transfer of function which provides for at least 30 calendar days 

for the employee to respond as to whether they are willing to accompany the 

function. Transfers of function within competitive areas or commuting areas will 

require a minimum notice of 14 calendar days in writing; 

 5. attendant to the circumstances of a particular transfer of function, make 

every effort in dealing with the activity gaining the function to have that gaining 

activity provide affected employees with 30 calendar days to respond to a 

specific job offer; and 

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 6. make every effort to place affected employees in vacant positions for 

which they qualify in the same commuting area and/or in the same competitive 

area. 

C. When the Agency becomes aware that a transfer of function may result in 

employees being separated, it will attempt to minimize the adverse effect on 

BUEs through appropriate means such as reassignment, attrition, use of vacant 

positions for placement, filling positions at the full performance level, waiver or 

modification of qualification requirements and positive placement efforts. The 

Agency will contact and aid the appropriate state employment service concerning 

all affected employees for job placement re-training services. 

SECTION 3 - DOCUMENTATION

Following notification of a transfer of function, the Agency shall furnish the DCMA 

Council, upon request, any relevant and available documentation or information 

concerning the transfer of function, subject to any Privacy Act limitations. 

SECTION 4 - PERMANENT CHANGE OF STATION (PCS) IN CONNECTION 

WITH A TRANSFER OF FUNCTION

The Agency shall authorize all appropriate entitlements incident to a PCS in 

accordance with applicable travel regulations. 

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ARTICLE 46 

REDUCTION IN FORCE 

SECTION 1 - GENERAL

This Article establishes and describes the procedures the Agency will take in the 

event of a RIF in accordance with applicable law, Government-wide rule or 

regulation. This Article is intended to protect the interests of employees while 

allowing the Agency to exercise its rights and duties in carrying out the mission of 

the Agency. The Agency is responsible for assuring that applicable regulations 

and this Article are uniformly and consistently applied to any one RIF. 

SECTION 2 - DEFINITION

A RIF occurs when the Agency releases an employee from his/her competitive 

level by separation, demotion, furlough for more than thirty (30) calendar days, or 

reassignment requiring displacement because of lack of work or funds, 

reorganization, change to lower grade based on reclassification of an employee's 

position due to erosion of duties when such action will take place after the 

Agency has formally announced a RIF in the employee's competitive area and 

when the RIF will take effect within 180 days or when the need to make a place 

for a person exercising reemployment rights requires the Agency to release the 

employee. 

SECTION 3 - NOTIFICATION

Whenever the Agency has determined to initiate a RIF or takes any action which 

results in a RIF, it shall notify the DCMA Council in order to negotiate appropriate 

arrangements arising from unforeseen circumstances surrounding the specific 

RIF. Such notice shall be given at least 90 days in advance of the RIF unless the 

Agency has not officially determined that far in advance to conduct a RIF. 

Affected employees will be notified not less than 60 calendar days prior to the 

effective date. To the extent practicable, RIF notices will be delivered in person. 

The Union will be provided at least two (2) working days advance notification of 

distribution. The notification shall include the approximate effective date of the 

RIF, the approximate number of positions that will be abolished and the reason 

for the RIF. The Agency agrees to furnish the DCMA Council all information 

pertinent to the cause of any RIF or reduction in grade or pay or reorganization in 

accordance with laws governing public information and existing rules and 

regulations. In the event of a RIF, the following process will be followed by the 

Agency: 

 1. Upon receipt of the listings of excess positions and existing vacancies, 

if any, from the affected organizations in the competitive area, the Agency will 

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determine the rights and entitlements of each employee using the information 

available in the retention register and OPF. The Agency will then prepare a 

Mock RIF Listing that identifies each specific employee affected and the type of 

action, i.e., reassignment, change to lower grade, or separation. A copy of this 

listing will be provided to the DCMA Council. 

 2. After development of the listing, the Agency representatives will meet 

with the Union representatives. At that time, the Mock RIF Listing will be 

distributed. Each action will be explained and the representatives will have the 

opportunity to ask questions or raise concerns regarding employee entitlements. 

Retention registers and Qualification Summary Sheets will be provided for review 

to the Union. To the greatest extent possible, any issues will be resolved prior to 

the issuance of RIF notices. 

 3. During the conduct of the RIF, updated RIF listings will be provided to 

the Union. 

SECTION 4 - COMPETITIVE AREAS

Competitive areas will be established in accordance with applicable law and 

regulations. 

SECTION 5 - COMPETITIVE LEVELS

Competitive levels will be established in accordance with applicable law and 

regulations. 

SECTION 6 - CREDIT FOR PERFORMANCE

Credit for performance will be established in accordance with 5 CFR Part 351 

and any other applicable law and regulations. 

SECTION 7 - RIF NOTIFICATION

The Agency shall provide notice to employees in accordance with applicable 

regulations. The notice will include the following information as required by 5 

CFR 351.802: 

1. the action to be taken, the reasons for the action and its effective date; 

2. the employee’s competitive area, competitive level, subgroup, service 

date and three most recent ratings of record received during the last 4 years; 

3. the place where the employee may inspect the regulations and records 

pertinent to this action; 

165

509 DCMA Administrative Record for FY 2013 Furlough Appeals
4. the reasons for retaining a lower-standing employee in the same 

competitive level, under Sec. 351.607 or Sec. 351.608; 

5. information on reemployment rights, except as permitted by Sec 

351.803(a); and 

6. the employee’s right, as applicable, to appeal to the Merit Systems 

Protection Board under the provisions of the Board’s regulations or to grieve 

under a negotiated grievance procedure. The Agency shall also comply with 

Sec. 1201.21 of 5 CFR. 

SECTION 8 - OFFER OF POSITION

A. The Agency shall make a best offer of employment to each employee 

adversely affected by the RIF consistent with 5 CFR 351. An offer, if made, shall 

be to a position with either no reduction in grade or pay, or with the least 

reduction possible in consideration of positions available, employee qualifications 

and the retention standing of other competing employees. 

B. Employees reassigned or demoted by RIF may, within the specified time 

period for reply, request in writing assignment to a vacant position at the same or 

lower grade with any pay retention to which they may be entitled. Any such 

request shall be answered in writing within 15 workdays. 

C. The Agency will consider placing employees in existing vacant positions 

within the employee's competitive area provided the employee is qualified for the 

position and would otherwise be removed or reduced in grade as a result of the 

RIF. 

D. The Agency agrees to consider the following actions to further minimize the 

effects of a RIF to the maximum extent possible e.g., retraining, restricting 

outside hiring and any other appropriate means to avoid separation/downgrade 

of career or career conditional employees. The Agency agrees to consider: 

 1. adjusting the workforce through reassignment or transfer of unit 

employees to vacancies for which they are qualified; 

 2. filling trainee and development positions under recruitment at the 

target level through RIF regulations; 

 3. offering and funding early out incentives as permitted by law; and 

 4. voluntary RIF. 

166

510 DCMA Administrative Record for FY 2013 Furlough Appeals
SECTION 9 - EMPLOYEE RIGHTS

A. The Agency will make reasonable effort to find employment in other Federal 

agencies within the commuting area for those employees separated in a RIF. 

Employees for whom no positions are found may be counseled by a 

representative of the Agency on the benefits to which they may be entitled, 

including information concerning early retirement with discontinued service 

annuity, where applicable. Reemployment lists as prescribed by OPM shall be 

established for employees who cannot be retained. 

B. As a minimum, the Agency will provide all RIF-affected employees with 

assistance in obtaining other employment in accordance with the Career 

Transition Assistance Program for Displaced Employees. 

C. The Agency will provide all RIF-affected employees with information and 

assistance on their unemployment rights. 

D. The Agency will authorize administrative leave for the purpose of seeking 

other employment. 

E. The Agency and the DCMA Council share a mutual interest in assisting 

employees who are adversely affected by RIF. 

F. The parties agree that placement efforts are a priority and are most effective 

when employees are actively involved in those efforts. 

G. To the extent practicable, the Agency will provide job education and retraining programs such as resume counseling, lectures, professional conferences 

and workshops, etc. during duty hours. The Agency will authorize a reasonable 

amount of duty time for resume preparation, job interviews, etc. for employees 

who are adversely affected by RIF. 

H. When the Agency becomes aware of the necessity to conduct a RIF, it will 

attempt to minimize the adverse effect on BUEs through appropriate means such 

as reassignment, attrition, use of vacant positions for placement, filling positions 

at the full performance level, waiver or modification of qualification requirements, 

and positive placement efforts. 

I. The Agency will contact and provide administrative assistance to the 

appropriate state employment service concerning all affected employees for job 

placement and re-training services. 

J. The Agency shall arrange for training for affected employees. This training 

shall include, but not be limited to the following: 

1. rights to other positions; 

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511 DCMA Administrative Record for FY 2013 Furlough Appeals
 2. bumping; 

 3. retreating; 

 4. grade intervals; 

 5. use of vacate positions; 

 6. RIF related benefits; 

 7. grade retention; 

 8. pay retention; 

 9. repromotion priority; 

 10. severance pay; 

 11. unemployment compensation; 

 12. unused leave; 

 13. life insurance; 

 14. health insurance; 

 15. discontinued service retirement; 

 16. early retirement; 

 17. deferred annuity: and 

 18. Priority Placement Program 

SECTION 10 - RESPONSE TO OFFER

Employees shall respond to an offer of employment in another position in writing 

within 21 calendar days after receipt of a written offer. Failure to respond within 

the 21 calendar days shall be considered a rejection of the offer. 

SECTION 11 - RETENTION REGISTERS AND RIF REGULATIONS

Employees in receipt of a RIF notice shall have the right to review pertinent 

retention registers and applicable RIF regulations. In viewing these documents, 

the employee shall have the right to be accompanied by a Union representative 

and both persons shall be in a duty status for this purpose. In addition to the 

retention register provided at time of RIF, the DCMA Council shall be provided a 

retention register at least once a year. 

SECTION 12 - GRADE AND PAY RETENTION

Grade and pay retention for eligible employees will be that prescribed by 

applicable law and regulation. 

168

512 DCMA Administrative Record for FY 2013 Furlough Appeals
SECTION 13 - SEVERANCE PAY

Separated employees will be paid severance pay in accordance with applicable 

law and regulation. 

SECTION 14 - WAIVER OF QUALIFICATIONS

A. In accordance with applicable regulations, when the Agency is unable to offer 

an assignment, the Agency may waive qualifications of employees who will be 

separated due to RIF for vacant positions which do not contain selective 

placement factors, provided the Agency determines the employee is able to 

perform the work of the position without “undue interruption” to the mission of the 

Agency, the employee meets any OPM-established minimum education 

requirements and the Agency determines that the employee has the capacity, 

adaptability and special skills needed to satisfactorily perform the duties and 

responsibilities of the position. Undue interruption means a degree of 

interruption that would prevent the completion of required work by the employee 

90 days after the employee has been placed in the position. 

B. The DCMA Council will be informed when a bargaining unit position is filled 

by a waiver of qualifications. 

C. Vacant positions which contain selective placement factors will be reviewed 

jointly by the Agency and the DCMA Council to determine if these factors are 

required or can be waived.

SECTION 15 - RETIREMENT

Prior to and during the RIF, all retirements will be strictly voluntary. There will be 

no coercion, direct or indirect, intended to influence the employee's decision. 

The Agency will freely advise the employee of any prospective retirement rights. 

SECTION 16 - DISPLACEMENT

A. The Agency will not fill a vacant bargaining unit position within the area in 

which the RIF is taking place until it has considered all reasonable alternatives to 

reduce the adverse effects on BUEs who are to be displaced as a result of the 

RIF. In considering these alternatives, the Agency will review the possibility and 

feasibility of redesigning a vacant position. 

B. The DCMA Council shall be advised of any action to fill any bargaining unit 

position prior to the action being taken. 

169

513 DCMA Administrative Record for FY 2013 Furlough Appeals
ARTICLE 47 

REORGANIZATION 

SECTION 1 - GENERAL

Reorganization is defined as the planned elimination, addition, consolidation, 

redistribution or realignment of significant functions or duties in an organization. 

SECTION 2 - NOTICE

A. The DCMA Council shall be notified as soon as feasible of planned significant 

changes in the organization. 

B. The Agency shall provide the appropriate Union representative with notice of 

reorganization not less than 30 days prior to the effective date of the action. The 

notice will include the rationale for the reorganization, a description of the 

proposed changes and affected positions. 

SECTION 3 - PROCEDURES

If reorganization requires the application of adverse action, RIF or transfer of 

function procedures, they will be executed in accordance with applicable law, 

regulations and the appropriate provisions of this Agreement. If requested, either 

party may enter into negotiations with the other party. 

SECTION 4 - SUCCESSOR POSITIONS

When a position in an organization is abolished as a result of a reorganization 

and an identical position is to be established at the same grade within 30 days in 

a new organization within the Agency, the incumbent of the old position will be 

accorded priority consideration for assignment to the newly established position, 

unless this would conflict with the assignment rights of another employee. The 

foregoing is subject to Agency's discretion to decide to fill the newly established 

position and also subject to the incumbent of the old position being qualified for 

the newly established position. 

170

514 DCMA Administrative Record for FY 2013 Furlough Appeals
171

EXECUTION OF THE AGREEMENT 

The Defense Contract Management Agency and the American Federation of Government 

Employees Council 170 hereby execute this Agreement on January 11, 2006. 

For the Agency : 

D?fry A. S 

Director 

Defense Contract Management Agency 

Chief Negotiator 

L 4£ 

Theresa Cook 

Team Member 

For the Union: 

President and Chief Negotiator 

American Federation of 

Government Employees Council 170 

Arth

Qdjgt1~ ur Blunt 

Team Member 

~ t.tsA.!m4 JS~ab rd i Team Member 

515 DCMA Administrative Record for FY 2013 Furlough Appeals
172

Team Member 

~(~ eam Member 

~!lJ~ Team Member 

Willia

U~£~ m Porzel 

Team Member 

/~~;7 Team Member 

~J~~ Melinda Varner 

Team Member 

516 DCMA Administrative Record for FY 2013 Furlough Appeals
1

DCMA Administrative Record for FY 2013 Furlough Appeals

TABLE OF CONTENTS

Part 5

Location

(tab)

Agency 

File Part

Date Document Source

40 Part 5 of 5 10 USC § 113 “Secretary of Defense” Agency

41 10 USC § 111 “Executive Departments” Agency

42 5 CFR § 752 Agency

43 5 CFR § 359 Agency
UNITED STATES CODE SERVICE

Copyright © 2013 Matthew Bender & Company, Inc.

a member of the LexisNexis Group (TM)

All rights reserved.

*** Current through PL 113-22, approved 7/25/13 ***

TITLE 10. ARMED FORCES 

SUBTITLE A. GENERAL MILITARY LAW 

PART I. ORGANIZATION AND GENERAL MILITARY POWERS 

CHAPTER 2. DEPARTMENT OF DEFENSE

Go to the United States Code Service Archive Directory

10 USCS § 113

§ 113. Secretary of Defense 

(a) There is a Secretary of Defense, who is the head of the Department of Defense, appointed from civilian life by the 

President, by and with the advice and consent of the Senate. A person may not be appointed as Secretary of Defense 

within seven years after relief from active duty as a commissioned officer of a regular component of an armed force.

 

(b) The Secretary is the principal assistant to the President in all matters relating to the Department of Defense. Subject 

to the direction of the President and to this title and section 2 of the National Security Act of 1947 (50 U.S.C. 401), he 

has authority, direction, and control over the Department of Defense.

 

(c)

 (1) The Secretary shall report annually in writing to the President and the Congress on the expenditures, work, and 

accomplishments of the Department of Defense during the period covered by the report, together with--

 (A) a report from each military department on the expenditures, work, and accomplishments of that department;

 (B) itemized statements showing the savings of public funds, and the eliminations of unnecessary duplications, 

made under sections 125 and 191 of this title [10 USCS §§ 125 and 191]; and

 (C) such recommendations as he considers appropriate.

 (2) At the same time that the Secretary submits the annual report under paragraph (1), the Secretary shall transmit to 

the President and Congress a separate report from the Reserve Forces Policy Board on any reserve component matter 

that the Reserve Forces Policy Board considers appropriate to include in the report.

 

(d) Unless specifically prohibited by law, the Secretary may, without being relieved of his responsibility, perform any of 

his functions or duties, or exercise any of his powers through, or with the aid of, such persons in, or organizations of, the 

Department of Defense as he may designate.

 

(e) (1) The Secretary shall include in his annual report to Congress under subsection (c)--

 (A) a description of the major military missions and of the military force structure of the United States for the next 

fiscal year;

 (B) an explanation of the relationship of those military missions to that force structure; and

 (C) the justification for those military missions and that force structure.

517 DCMA Administrative Record for FY 2013 Furlough Appeals
 (2) In preparing the matter referred to in paragraph (1), the Secretary shall take into consideration the content of the 

annual national security strategy report of the President under section 108 of the National Security Act of 1947 (50 

U.S.C. 404a) for the fiscal year concerned.

 

(f) When a vacancy occurs in an office within the Department of Defense and the office is to be filled by a person appointed from civilian life by the President, by and with the advice and consent of the Senate, the Secretary of Defense 

shall inform the President of the qualifications needed by a person serving in that office to carry out effectively the duties and responsibilities of that office.

 

(g)

 (1) The Secretary of Defense, with the advice and assistance of the Chairman of the Joint Chiefs of Staff, shall provide annually to the heads of Department of Defense components written policy guidance for the preparation and review 

of the program recommendations and budget proposals of their respective components. Such guidance shall include 

guidance on--

 (A) national security objectives and policies;

 (B) the priorities of military missions; and

 (C) the resource levels projected to be available for the period of time for which such recommendations and proposals are to be effective.

 (2) The Secretary of Defense, with the approval of the President and after consultation with the Chairman of the Joint 

Chiefs of Staff, shall provide to the Chairman written policy guidance for the preparation and review of contingency 

plans, including plans for providing support to civil authorities in an incident of national significance or a catastrophic 

incident, for homeland defense, and for military support to civil authorities. Such guidance shall be provided every two 

years or more frequently as needed and shall include guidance on the specific force levels and specific supporting resource levels projected to be available for the period of time for which such plans are to be effective.

 

(h) The Secretary of Defense shall keep the Secretaries of the military departments informed with respect to military 

operations and activities of the Department of Defense that directly affect their respective responsibilities.

 

(i) (1) The Secretary of Defense shall transmit to Congress each year a report that contains a comprehensive net assessment of the defense capabilities and programs of the armed forces of the United States and its allies as compared with 

those of their potential adversaries.

 (2) Each such report shall--

 (A) include a comparison of the defense capabilities and programs of the armed forces of the United States and its 

allies with the armed forces of potential adversaries of the United States and allies of the United States;

 (B) include an examination of the trends experienced in those capabilities and programs during the five years immediately preceding the year in which the report is transmitted and an examination of the expected trends in those capabilities and programs during the period covered by the future-years defense program submitted to Congress during that 

year pursuant to section 221 of this title [10 USCS § 221];

 (C) include a description of the means by which the Department of Defense will maintain the capability to reconstitute or expand the defense capabilities and programs of the armed forces of the United States on short notice to meet a 

resurgent or increased threat to the national security of the United States;

 (D) reflect, in the overall assessment and in the strategic and regional assessments, the defense capabilities and 

programs of the armed forces of the United States specified in the budget submitted to Congress under section 1105 of 

title 31 in the year in which the report is submitted and in the five-year defense program submitted in such year; and

 (E) identify the deficiencies in the defense capabilities of the armed forces of the United States in such budget and 

such five-year defense program.

 (3) The Secretary shall transmit to Congress the report required for each year under paragraph (1) at the same time 

that the President submits the budget to Congress under section 1105 of title 31 in that year. Such report shall be transmitted in both classified and unclassified form.

 

(j) (1) Not later than April 8 of each year, the Secretary of Defense shall submit to the Committee on Armed Services 

and the Committee on Appropriations of the Senate and the Committee on Armed Services and the Committee on Appropriations of the House of Representatives a report on the cost of stationing United States forces outside of the United 

States. Each such report shall include a detailed statement of the following:

518 DCMA Administrative Record for FY 2013 Furlough Appeals
 (A) The costs incurred outside the United States in connection with operating, maintaining, and supporting United 

States forces outside the United States, including all direct and indirect expenditures of United States funds in connection with such stationing.

 (B) The amount of direct and indirect support for the stationing of United States forces provided by each host nation.

 (2) In this subsection, the term "United States", when used in a geographic sense, includes the territories and possessions of the United States.

 (3) [Redesignated]

 

(k) The Secretary of Defense, with the advice and assistance of the Chairman of the Joint Chiefs of Staff, shall provide 

annually to the Secretaries of the military departments and to the commanders of the combatant commands written 

guidelines to direct the effective detection and monitoring of all potential aerial and maritime threats to the national security of the United States. Those guidelines shall include guidance on the specific force levels and specific supporting 

resources to be made available for the period of time for which the guidelines are to be in effect. 

 

(l) (1) The Secretary shall include in the annual report to Congress under subsection (c) the following:

 (A) A comparison of the amounts provided in the defense budget for support and for mission activities for each of 

the preceding five fiscal years.

 (B) A comparison of the following for each of the preceding five fiscal years:

 (i) The number of military personnel, shown by major occupational category, assigned to support positions or 

to mission positions.

 (ii) The number of civilian personnel, shown by major occupational category, assigned to support positions or 

to mission positions.

 (iii) The number of contractor personnel performing support functions.

 (C) An accounting for each of the preceding five fiscal years of the following:

 (i) The number of military and civilian personnel, shown by armed force and by major occupational category, 

assigned to support positions.

 (ii) The number of contractor personnel performing support functions.

 (D) An identification, for each of the three workforce sectors (military, civilian, and contractor) of the percentage 

of the total number of personnel in that workforce sector that is providing support to headquarters and headquarters 

support activities for each of the preceding five fiscal years.

 (2) Contractor personnel shall be determined for purposes of paragraph (1) by using contractor full-time equivalents, 

based on the inventory required under section 2330a of this title [10 USCS § 2330a].

 

(m) Information to accompany funding request for contingency operation. Whenever the President submits to Congress a request for appropriations for costs associated with a contingency operation that involves, or likely will involve, 

the deployment of more than 500 members of the armed forces, the Secretary of Defense shall submit to Congress a 

report on the objectives of the operation. The report shall include a discussion of the following:

 (1) What clear and distinct objectives guide the activities of United States forces in the operation.

 (2) What the President has identified on the basis of those objectives as the date, or the set of conditions, that defines 

the endpoint of the operation.

HISTORY: 

 (Added Sept. 7, 1962, P.L. 87-651, Title II, § 202, 76 Stat. 517; Dec. 12, 1980, P.L. 96-513, Title V, Part B, § 

511(3), 94 Stat. 2920; Oct. 12, 1982, P.L. 97-295, § 1(1), 96 Stat. 1287; Sept. 8, 1982, P.L. 97-252, Title XI, § 1105, 96 

Stat. 739; Oct. 1, 1986, P.L. 99-433, Title I, §§ 101(a)(2), 102, 110(b)(2), 110(d)(2), Title III, § 301(b)(2), Title VI, § 

603(b), 100 Stat. 994, 996, 1002, 1022, 1075; April 21, 1987, P.L. 100-26, § 7(d)(1), 101 Stat. 280; Dec. 4, 1987, P.L. 

100-180, Div A, Title XII, Part B, § 1214, 101 Stat. 1157; July 19, 1988, P.L. 100-370, § 1(o)(1), 102 Stat. 850; Sept. 

29, 1988, P.L. 100-456, Div A, Title VII, Part D, § 731, Title XI, § 1101, 102 Stat. 2003, 2042; Nov. 29, 1989, P.L. 

101-189, Div A, Title XVI, Part C, § 1622(c)(1), 103 Stat. 1604; Nov. 5, 1990, P.L. 101-510, Div A, Title XIII, Part C, 

§ 1322(a)(1), 104 Stat. 1671; Dec. 5, 1991, P.L. 102-190, Div A, Title III, Part D, § 341, 105 Stat. 1343; Oct. 5, 1994, 

P.L. 103-337, Div A, Title X, Subtitle G, § 1070(a)(1), Title XVI, Subtitle D, § 1671(b)(2), 108 Stat. 2855, 3014; Feb. 

10, 1996, P.L. 104-106, Div A, Title XV, §§ 1501(a)(8)(B), 1502(a)(3), 1503(a)(1), 110 Stat. 495, 502, 510; Sept. 23, 

1996, P.L. 104-201, Div A, Title XII, Subtitle C, § 1255(c), 110 Stat. 2698; Nov. 18, 1997, P.L. 105-85, Div A, Title 

IX, Subtitle A, § 903, 111 Stat. 1854; Oct. 17, 1998, P.L. 105-261, Div A, Title IX, Subtitle B, § 915(a), Title XII, Sub519 DCMA Administrative Record for FY 2013 Furlough Appeals
title B, § 1212(b), 112 Stat. 2101, 2152; Oct. 5, 1999, P.L. 106-65, Div A, Title X, Subtitle G, § 1067(1), 113 Stat. 

774.)

 (As amended Jan. 28, 2008, P.L. 110-181, Div A, Title IX, Subtitle A, § 903(a), Title XVIII, Subtitle A, § 1815(e), 

122 Stat. 273, 500; Jan. 7, 2011, P.L. 111-383, Div A, Title V, Subtitle B, § 514(b), 124 Stat. 4213; Dec. 31, 2011, P.L. 

112-81, Div A, Title IX, Subtitle D, § 933(a), Title X, Subtitle G, § 1064(1), 125 Stat. 1543, 1586; Jan. 2, 2013, P.L. 

112-239, Div A, Title X, Subtitle H, § 1076(f)(1), 126 Stat. 1952.)

 HISTORY; ANCILLARY LAWS AND DIRECTIVES

 

Prior law and revision: 

 

1962 Act 

---------------------------------------------------------------------------- 

Revised Section Source (USCS) Source (Statutes at Large) 

---------------------------------------------------------------------------- 

133(a) ..... 5:171(a) (last 

 10 words). July 26, 1947, ch. 343, 

 5:171a(a). Secs. 201(a) (last 10 

133(b) ..... 5:171a(b). words), 202(a), (b); re133(c) ..... 5:171a(d). stated Aug. 10, 1949, 

 5:171a-1. ch. 412, Secs. 4 (last 10 

133(d)...... 5:171a(f). words of 1st par.), 5 

 5:171n(a) (as applic- (1st and 2d pars.), 63 

 able to 5:171a(f)). Stat. 579, 580. 

 [Uncodified: 1953 Reorg. July 26, 1947, ch. 343, 

 Plan No. 6, Sec. 5, eff. Sec. 202(d); added Apr. 2, 

 June 30, 1953, 67 Stat. 1949, ch. 47, Sec. 1; re- 

 639]. stated Aug. 10, 1949, 

 5:171n(a). ch. 412, Sec. 5 (9th par.); 

 restated Aug. 6, 1958, 

Pub. L. 85-599, Sec. 3(b), 

72 Stat. 516. 

 July 26, 1947, ch. 343, 

 Sec. 202(f); added Aug. 

10, 1949, ch. 412, Sec. 5 

(11th par.), 63 Stat. 

 581. 

 July 26, 1947, ch. 343, 

 Sec. 308(a) (as applicable 

to Sec. 202(f)), 61 Stat. 

509. 

 July 9, 1952, ch. 608, 

 Sec. 257(e), 66 Stat. 497; 

Sept. 3, 1954, ch. 1257, 

Sec. 702(c), 68 Stat. 1189. 

 1953 Reorg. Plan No. 6, 

 Sec. 5, eff. June 30, 1953, 

67 Stat. 639. 

----------------------------------------------------------------------------- 

 

 In subsection (a), the last sentence is substituted for 5 U.S.C. 171a(a) (proviso).

 In subsection (b), the words "this title and section 401 of title 50" are substituted for 5 U.S.C. 171a(b) (13th through 

30th words of last sentence), since those words merely described the coverage of this title and section 401 of title 50.

520 DCMA Administrative Record for FY 2013 Furlough Appeals
 In subsection (c), the words "during the period covered by the report" are inserted for clarity. The following substitutions are made: "under section 125 of this title" for "pursuant to the provisions of this Act" since 125 of this title relates 

to the duty of the Secretary of Defense to take action to save public funds and to eliminate duplication in the Department of Defense; and the last 22 words of clause (3) for 5 U.S.C. 171a-1 (last 13 words).

 In subsection (d), section 5 of 1953 Reorganization Plan No. 6 is omitted as covered by 5 U.S.C. 171a(f).

 

1982 Act 

 

---------------------------------------------------------------- 

Revised Section Source (U.S. Code) Source (Statutes at Large) 

---------------------------------------------------------------- 

133(e) ..... 10:133 (note). Oct. 7, 1975, Pub. L. 

 94-106, Sec. 812, 89 

Stat. 540. 

---------------------------------------------------------------- 

 

 The words "prepare and" are omitted as surplus.

 

1988 Act

 Subsection (k) is based on Pub. L. 100-202, § 101(b) [title VIII, Sec. 8042], 101 Stat. 1329-69.

 Section 8042 of the FY88 Defense Appropriations Act (Public Law 100-202) established a requirement for the Secretary of Defense to submit an annual report on the cost of stationing United States forces overseas. Under that section, 

the annual report is to be sent to the Committees on Appropriations of the two Houses. In codifying that section as section 113(k) of title 10, the committee added the two Armed Services Committees as committees to be sent the annual 

report. This minor change from the source law does not change the nature of the report to be submitted.

 The committee notes that the source section does not specify the period of time to be covered by the report. In the 

absence of statutory language specifying the period to be covered by the report, it would seem reasonable to conclude 

that the report should cover the previous fiscal year. The committee notes, however, that the report of the Senate Appropriations Committee on its FY88 defense appropriations bill (S. Rpt. 100-235) states that this new annual report 

"should cover the budget years and the 2 previous fiscal years" (page 54). The committee believes that such a requirement may be unnecessarily burdensome and in any case, if such a requirement is intended, should be stated in the statute. In the absence of clear intent, the provision is proposed to be codified without specifying the period of time to be 

covered by the annual report.

 In codifying this provision, the committee also changed the term "United States troops" in the source law to "United 

States forces" for consistency in usage in title 10 and as being preferable usage. No change in meaning is intended. 

The committee also changed "overseas" to "outside the United States" and defined "United States" for this purpose to 

include the territories and possessions of the United States. The committee was concerned that the term "overseas" read 

literally could include Hawaii or Guam, an interpretation clearly not intended in enacting section 8042. The committee 

notes that the Senate report referred to above states "For the purposes of this report (meaning the new DOD annual report), U.S. forces stationed overseas are considered to be those outside of the United States and its territories.". The 

committee extrapolates from this statement that provisions in the report requirement relating to expenditures "overseas" 

and costs incurred "overseas" are also to be construed as relating to matters outside the United States and its territories 

and has prepared the codified provision accordingly.

 

Explanatory notes: 

 Act Oct. 30, 1986, P.L. 99-591, is a corrected version of Act Oct. 18, 1986, P.L. 99-500.

 

Amendments: 

 

521 DCMA Administrative Record for FY 2013 Furlough Appeals
1980. Act Dec. 12, 1980 (effective upon enactment, as provided by § 701(b)(3) of such Act, which appears as 10 USCS 

§ 101 note), in subsec. (b), substituted "section 2 of the National Security Act of 1947 (50 U.S.C. 401)" for "section 401 

of title 50".

 

1982. Act Oct. 12, 1982, added subsec. (e).

 

1986. Act Oct. 1, 1986 redesignated this section, formerly 10 USCS § 133, as 10 USCS § 113, and in this section as 

redesignated, substituted the section heading for one which read: "§ 113. Secretary of Defense: appointment; powers 

and duties; delegation by"; in subsec. (c)(2), substituted "sections 125 and 191" for "section 125"; substituted subsec. (e) 

for one which read:.

 "(e) After consulting with the Secretary of State, the Secretary of Defense shall submit to the Committees on Armed 

Services of the Senate and House of Representatives before February 1 of each year a written report on--

 "(1) the foreign policy and military force structure for the next fiscal year;

 "(2) the relationship of that policy and structure to each other; and

 "(3) the justification for the policy and structure.";

 added subsecs. (f)-(h); and redesignated 10 USCS § 114(h) (formerly 10 USCS § 138(h)) as subsec. (i) of 10 USCS § 

113.

 

1987. Act April 21, 1987, in subsec. (e)(2), inserted "(50 U.S.C. 404a)".

 Act Dec. 4, 1987 added subsec. (j).

 

1988. Act July 19, 1988 added subsec. (k).

 Act Sept. 29, 1988, in subsec. (j), designated the existing provisions as para. (1), in para. (1) as so designated, deleted 

"Each such report shall be transmitted in both a classified and an unclassified form." following "adversaries.", and added paras. (2) and (3); and added subsec. (l).

 

1989. Act Nov. 29, 1989, in subsec. (j)(2)(B), substituted "five-year defense program" for "Five-Year Defense Program".

 

1990. Act Nov. 5, 1990 deleted subsec. (i), which read: "The Secretary of Defense shall submit to Congress a written 

report, not later than February 15 of each fiscal year, recommending the amount of funds to be appropriated to the Department of Defense for the next fiscal year for functions relating to the formulation and carrying out of Department of 

Defense policies on the control of technology transfer and activities related to the control of technology transfer. The 

Secretary shall include in that report the proposed allocation of the funds requested for such purpose and the number of 

personnel proposed to be assigned to carry out such activities during such fiscal year."; and redesignated former subsecs. (j)-(l) as subsecs. (i)-(k), respectively.

 

1991. Act Dec. 5, 1991, in subsec. (i)(2), redesignated subparas. (C) and (D) as subparas. (D) and (E), respectively, and 

added a new subpara. (C).

 

1994. Act Oct. 5, 1994, in subsec. (e)(2), substituted "section 108" for "section 104".

 Such Act further (effective 10/1/96, as provided by § 1691(b)(1) of such Act, which appears as 10 USCS § 10001 

note), as amended by Act Feb. 10, 1996 (effective as if included in Act Oct. 5, 1994, P.L. 103-337, as enacted on Oct. 5, 

1994, as provided by § 1501(f)(3) of Act Feb. 10, 1996, which appears as a note to this section), in subsec. (c)(3), substituted "chapters 1219 and 1401 through 1411 of this title" for "chapters 51, 337, 361, 363, 549, 573, 837, 861 and 863 

of this title, as far as they apply to reserve officers".

 

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1996. Act Feb. 10, 1996, in subsec. (i)(2)(B), substituted "the period covered by the future-years defense program submitted to Congress during that year pursuant to section 221" for "the five years covered by the five-year defense program submitted to Congress during that year pursuant to section 114(g)"; and, in subsec. (j)(1), substituted "Committee 

on Armed Services and the Committee on Appropriations of the Senate and the Committee on National Security and the 

Committee on Appropriations of the" for "Committees on Armed Services and Committees on Appropriations of the 

Senate and".

 Such Act further (effective as if included in Act Oct. 5, 1994, P.L. 103-337, as enacted on Oct. 5, 1994, as provided 

by § 1501(f)(3) of Act Feb. 10, 1996, which appears as a note to this section) amended the directory language of § 

1671(c)(2) of Act Oct. 5, 1994.

 Act Sept 23. 1996, in subsec. (c), deleted para. (3), which read: "(3) a report from the Reserve Forces Policy Board 

on the reserve programs of the Department of Defense, including a review of the effectiveness of chapters 1219 and 

1401 through 1411 of this title; and", redesignated paras. (1), (2), and (4) as subparas. (A), (B), and (C), respectively, in

subpara. (B) as redesignated, inserted "and" after the concluding semicolon, designated the text of subsec. (c) as para. 

(1), and added para. (2).

 

1997. Act Nov. 18, 1997, in subsec. (g)(2), deleted "annually" following "shall provide" and inserted "be provided every 

two years or more frequently as needed and shall".

 

1998. Act Oct. 17, 1998 added subsecs. (l) and (m).

 

1999. Act Oct. 5, 1999, in subsec. (j)(1), substituted "Committee on Armed Services" for "Committee on National Security" following "and the".

 

2008. Act Jan. 28, 2008, in subsec. (a), substituted "seven" for "10"; and, in subsec. (g)(2), substituted "contingency 

plans, including plans for providing support to civil authorities in an incident of national significance or a catastrophic 

incident, for homeland defense, and for military support to civil authorities" for "contingency plans".

 

2011. Act Jan. 7, 2011, in subsec. (c)(2), substituted "on any reserve component matter" for "the reserve programs of the 

Department of Defense and on any other matters".

 Act Dec. 31, 2011, in subsec. (j), in para. (1), deleted subpara. (A), which read: "(A) Costs incurred in the United 

States and costs incurred outside the United States in connection with the stationing of United States forces outside the 

United States.", redesignated subpara. (B) as subpara. (A), inserted new subpara. (B), and deleted subpara. (C), which 

read: "(C) The effect of such expenditures outside the United States on the balance of payments of the United States.", 

deleted para. (2), which read: "(2) Each report under this subsection shall be prepared in consultation with the Secretary 

of Commerce.", and redesignated para. (3) as para. (2); and substituted subsec. (l) for one which read:

 "(l) The Secretary shall include in the annual report to Congress under subsection (c) the following:

 "(1) A comparison of the amounts provided in the defense budget for support and for mission activities for each of 

the preceding five fiscal years.

 "(2) A comparison of the number of military and civilian personnel, shown by major occupational category, assigned to support positions and to mission positions for each of the preceding five fiscal years.

 "(3) An accounting, shown by service and by major occupational category, of the number of military and civilian 

personnel assigned to support positions during each of the preceding five fiscal years.

 "(4) A listing of the number of military and civilian personnel assigned to management headquarters and headquarters support activities as a percentage of military end-strength for each of the preceding five fiscal years.".

 

2013. Act Jan. 2, 2013, in subsec. (c)(2), deleted "on" following "Board on".

 

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Other provisions: 

 Delegation of functions to Secretary of Defense. For functions of the President under various sections as delegated 

to the Secretary of Defense, see Ex. Ord. No. 10621, July 1, 1955, 20 Fed. Reg. 4759, as amended by Ex. Ord. No. 

11294, Aug. 4, 1966, 31 Fed. Reg. 10601; Ex. Ord. No. 10661, Feb. 27, 1956, 21 Fed. Reg. 1315; and Ex. Ord. No. 

11390, Jan. 22, 1968, 33 Fed. Reg. 841, all appearing as 3 USCS § 301 notes.

 Emergency preparedness functions. For assignment of certain emergency preparedness functions to the Secretary 

of Defense, see Parts 1, 4, and 5 of Ex. Ord. No. 12656 of Nov. 18, 1988, 53 Fed. Reg. 47491, which appears as 50 

Appx. USCS § 2251 note.

 Repeal of former notes to this section. Act Nov. 16, 1973, P.L. 93-155, Title VIII, § 803(b), 87 Stat. 615, provided 

for the repeal of the following laws which were formerly set out as notes to this section: (1) Act Aug. 10, 1959, P.L. 

86-149, § 412, 73 Stat. 322, as amended by Act April 27, 1962, P.L. 87-436, § 2, 76 Stat. 55; Act Nov. 7, 1963, P.L. 

88-174, § 610, 77 Stat. 329; Act June 11, 1965, P.L. 89-37, § 304, 79 Stat. 128; Act Dec. 1, 1967, P.L. 90-168, § 6, 81 

Stat. 526; Act Nov 19, 1969, P.L. 91-121, § 405, 83 Stat. 207; Act Oct. 7, 1970, P.L. 91-441, §§ 505, 509, 84 Stat. 912, 

913; Act Sept. 28, 1971, P.L. 92-129, § 701, 85 Stat. 362; and Act Sept. 26, 1972, P.L. 92-436, §§ 302, 604, 86 Stat. 

736, 739; and (2) Act Nov. 17, 1971, P.L. 92-156, § 506, 85 Stat. 429. These Acts related to the procurement of aircraft, 

missiles, Naval vessels, tracked combat vehicles, and other weapons, the authorization of appropriations for procurement, research, development, testing and evaluation activities, the selected reserve of reserve components, and the annual authorization of personnel strength.

 Provisions for report to Congressional committees on foreign policy and military force structure repealed. Act 

Oct. 7, 1975, P.L. 94-106, Title VIII, § 812, 89 Stat. 540, formerly classified as a note to this section, was repealed by 

Act Oct. 12, 1982, P.L. 97-295, § 6(b) in part, 96 Stat. 1314. Such section provided for a report to Congressional committees on foreign policy and military force structure. Similar provisions now appear as subsec. (e) of this section. For 

provisions as to the construction of repeals by § 6(b) of Act Oct. 12, 1982, see Act Oct. 12, 1982, P.L. 97-295, § 6, 96 

Stat. 1314, which appears as 10 USCS § 101 note.

 Repeal of provision relating to report to Congress on proposed transfer or sale of defense articles. Act Oct. 7, 

1975, P.L. 94-106, Title VIII, § 813, 89 Stat. 540; July 30, 1977, P.L. 95-79, Title VIII, § 814, 91 Stat. 337; Sept. 8, 

1982, P.L. 97-252, Title XI, § 1104, 96 Stat. 739, formerly classified as a note to this section, was repealed by Act Oct. 

12, 1982, P.L. 97-295, § 6(b) in part, 96 Stat. 1314. Such section provided for a report to Congress on the proposed 

transfer or sale of defense articles. For similar provisions, see 10 USCS § 118. For provisions as to the construction of 

repeals by § 6(b) of Act Oct. 12, 1982, see Act Oct. 12, 1982, P.L. 97-295, § 6, 96 Stat. 1314, which appears as 10 

USCS § 101 note.

 Study of potential use of military bases. Act Sept. 30, 1976, P.L. 94-431, Title VI, § 610, 90 Stat. 1365, which 

formerly appeared as a note to this section, was repealed by Act Dec. 1, 1981, P.L. 97-86, Title IX, § 912(b), 95 Stat. 

1123. Such section authorized the Secretary of Defense to conduct studies with regard to possible use of military installations being closed and to make recommendations with regard to such installations. For similar provisions, see 10 

USCS § 2391.

 Prohibition against consolidating functions of the military transportation commands repealed. Act Sept. 8, 

1982, P.L. 97-252, Title XI, § 1110, 96 Stat. 747, which formerly appeared as a note to 10 USCS § 133, was repealed 

by Act Oct. 1, 1986, P.L. 99-433, Title II, § 213(a), 100 Stat. 1018. Such section provided for a prohibition against use 

of funds for the purpose of consolidating functions of the military transportation commands.

 Repeal of provision relating to fee for veterinary services. Act Sept. 24, 1983, P.L. 98-94, Title X, Part D, § 1033, 

97 Stat. 672; Oct. 19, 1984, P.L. 98-525, Title VI, Part F, § 656, 98 Stat. 2553, which formerly appeared as a note to this 

section, was repealed by Act Nov. 8, 1985, P.L. 99-145, Title VI, Part G, § 685(c), 99 Stat. 666, effective Oct. 1, 1985, 

as provided by § 685(d) of such Act. Such section provided for a fee for veterinary services for pets of armed forces 

members.

 Upgrade of Direct Communication Link. Act Aug. 8, 1985, P.L. 99-85, §§ 1, 2, 99 Stat. 286, 287; Dec. 17, 1993, 

P.L. 103-199, Title IV, § 404(a), 107 Stat. 2325 (applicable as provided by § 404(b) of such Act, which appears as a 

note to this section), provides:

 "[Section 1.] The Secretary of Defense may provide to Russia, as provided in the Exchange of Notes Between the 

United States of America and the Union of Soviet Socialist Republics Concerning the Direct Communications Link 

Upgrade, concluded on July 17, 1984, such equipment and services as may be necessary to upgrade or maintain the 

Russian part of the Direct Communications Link agreed to in the Memorandum of Understanding between the United 

States and the Soviet Union signed June 20, 1963 [unclassified]. The Secretary shall provide such equipment and services to Russia at the cost thereof to the United States.

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 "Sec. 2. (a) The Secretary of Defense may use any funds available to the Department of Defense for the procurement 

of the equipment and providing the services referred to in the first section.

 "(b) Funds received from Russia as payment for such equipment and services shall be credited to the appropriate 

account of Department of Defense.".

 Surcharge for sales at animal disease prevention and control centers. Act Nov. 8, 1985, P.L. 99-145, Title VI, 

Part G, § 685(a), (b), 99 Stat. 666, effective Oct. 1, 1985, as provided by § 685(d) of such Act, provides:

 "(a) Required surcharge. The Secretary of Defense shall require that each time a sale is recorded at a military animal 

disease prevention and control center the person to whom the sale is made shall be charged a surcharge of $ 2.

 "(b) Deposit of receipts in Treasury. Amounts received from surcharges under this section shall be deposited in the 

Treasury in accordance with section 3302 of title 31.".

 Repeal of Military Family Act of 1985. Act Nov. 8, 1985, P.L. 99-145, Title VIII, §§ 801-813, 99 Stat. 678; Nov. 

14, 1986, P.L. 99-661, Div A, Title VI, Part E, § 653, 100 Stat. 3890; Dec. 4, 1987, P.L. 100-180, Div A, Title VI, Part 

D, § 635, 101 Stat. 1106; Sept. 29, 1988, P.L. 100-456, Div A, Title V, Part C, § 524, 102 Stat. 1975, which formerly 

appeared as a note to this section, was repealed by Act Feb. 10, 1996, P.L. 104-106, Div A, Title V, Subtitle F, § 

568(e)(1), 110 Stat. 336. Such note related to military family policy and programs.

 Prohibition of certain restrictions on institutions eligible to provide educational services. Act Nov. 8, 1985, P.L. 

99-145, Title XII, Part A, § 1212, 99 Stat. 726; Nov. 29, 1989, P.L. 101-189, Div A, Title V, Part B, § 518, 103 Stat. 

1443, provides:

 "(a) No solicitation, contract, or agreement for the provision of off-duty postsecondary education services for members of the Armed Forces of the United States, civilian employees of the Department of Defense, or the dependents of 

such members or employees may discriminate against or preclude any accredited academic institution authorized to 

award one or more associate degrees from offering courses within its lawful scope of authority solely on the basis of 

such institution's lack of authority to award a baccalaureate degree.

 "(b) No solicitation, contract, or agreement for the provision of off-duty postsecondary education services for members of the Armed Forces of the United States, civilian employees of the Department of Defense, or the dependents of 

such members or employees, other than those for services at the graduate or postgraduate level, may limit the offering 

of such services or any group, category, or level of courses to a single academic institution. However, nothing in this 

section [this note] shall prohibit such actions taken in accordance with regulations of the Secretary of Defense which are 

uniform for all armed services as may be necessary to avoid unnecessary duplication of offerings, consistent with the 

purpose of this provision of ensuring the availability of alternative offerors of such services to the maximum extent feasible.

 "(c)

 (1) The Secretary of Defense shall conduct a study to determine the current and future needs of members of the 

Armed Forces, civilian employees of the Department of Defense, and the dependents of such members and employees 

for postsecondary education services at overseas locations. The Secretary shall determine on the basis of the results of 

that study whether the policies and procedures of the Department in effect on the date of the enactment of the Department of Defense Authorization Act for Fiscal Years 1990 and 1991 [probably Act Nov. 29, 1989, P.L. 101-189, 103 

Stat. 1352; for full classification, consult USCS Tables volumes] with respect to the procurement of such services are--

 "(A) consistent with the provisions of subsections (a) and (b);

 "(B) adequate to ensure the recipients of such services the benefit of a choice in the offering of such services; 

and

 "(C) adequate to ensure that persons stationed at geographically isolated military installations or at installations 

with small complements of military personnel are adequately served.

 The Secretary shall complete the study in such time as necessary to enable the Secretary to submit the report required by paragraph (2)(A) by the deadline specified in that paragraph.

 "(2)

 (A) The Secretary shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the results of the study referred to in paragraph (1), together with a copy of any revisions in policies and procedures made as a result of such study. The report shall be submitted not later than March 1, 1990.

 "(B) The Secretary shall include in the report an explanation of how determinations are made with regard to--

 "(i) affording members, employees, and dependents a choice in the offering of courses of postsecondary 

education; and

 "(ii) whether the services provided under a contract for such services should be limited to an installation, 

theater, or other geographic area.

 "(3)

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 (A) Except as provided in subparagraph (B), no contract for the provision of services referred to in subsection 

(a) may be awarded, and no contract or agreement entered into before the date of the enactment of this paragraph may 

be renewed or extended on or after such date, until the end of the 60-day period beginning on the date on which the report referred to in paragraph (2)(A) is received by the committees named in that paragraph.

 "(B) A contract or an agreement in effect on October 1, 1989, for the provision of postsecondary education 

services in the European Theater for members of the Armed Forces, civilian employees of the Department of Defense, 

and the dependents of such members and employees may be renewed or extended without regard to the limitation in 

subparagraph (A).

 "(C) In the case of a contract for services with respect to which a solicitation is pending on the date of the enactment of this paragraph, the contract may be awarded--

 "(i) on the basis of the solicitation as issued before the date of the enactment of this paragraph;

 "(ii) on the basis of the solicitation issued before the date of the enactment of this paragraph modified so as 

to conform to any changes in policies and procedures the Secretary determines should be made as a result of the study 

required under paragraph (1); or

 "(iii) on the basis of a new solicitation.

 "(d) Nothing in this section [this note] shall be construed to require more than one academic institution to be authorized to offer courses aboard a particular naval vessel.".

 Repeal of provision for report of unobligated balances. Act Nov. 8, 1985, P.L. 99-145, Title XIV, Part A, § 1407, 

99 Stat. 745, which formerly appeared as a note to this section, was repealed by Act Nov. 14, 1986, P.L. 99-661, Div A, 

Title XIII, Part A, § 1307(b), 100 Stat. 3981. This section provided for a report to the Congress on unobligated balances.

 Repeal of provisions for defense industrial base for textile and apparel products. Act Nov. 8, 1985, P.L. 99-145, 

Title XIV, Part E, § 1456, 99 Stat. 762, which formerly was classified as a note to this section, was repealed by Act 

Nov. 5, 1990, P.L. 101-510, Div A, Title VIII, Part C, § 826(b), 104 Stat. 1606. This section provided for the Secretary 

of Defense's monitoring of the capability of the domestic textile and apparel industrial base to support defense mobilization requirements.

 Security at military bases abroad. Act Aug. 27, 1986, P.L. 99-399, Title XI, 100 Stat. 894, provides:

 "Sec. 1101. Findings.

 "The Congress finds that--

 "(1) there is evidence that terrorists consider bases and installations of United States Armed Forces outside the 

United States to be targets for attack;

 "(2) more attention should be given to the protection of members of the Armed Forces, and members of their families, stationed outside the United States; and

 "(3) current programs to educate members of the Armed Forces, and members of their families, stationed outside 

of the United States to the threats of terrorist activity and how to protect themselves should be substantially expanded.

 "Sec. 1102. Recommended actions by the Secretary of Defense.

 "It is the sense of the Congress that--

 "(1) the Secretary of Defense should review the security of each base and installation of the Department of Defense outside the United States, including the family housing and support activities of each such base or installation, and 

take the steps the Secretary considers necessary to improve the security of such bases and installations; and

 "(2) the Secretary of Defense should institute a program of training for members of the Armed Forces, and for 

members of their families, stationed outside the United States concerning security and antiterrorism.

 "Sec. 1103. Report to the Congress.

 "No later than June 30, 1987, the Secretary of Defense shall report to the Congress on any actions taken by the Secretary described in section 1102.".

 Annual report on implementation. Act Oct. 1, 1986, P.L. 99-433, Title IV, § 405, 100 Stat. 1032, provides: "The 

Secretary of Defense shall include in the annual report of the Secretary to Congress under section 113(c) of title 10, 

United States Code (as redesignated by section 101(a)), for each year from 1987 through 1991 a detailed report on the 

implementation of this title and the amendments made by this title".

 Information contained in initial report. Act Oct. 1, 1986, P.L. 99-433, Title IV, § 406(g), 100 Stat. 1034, provides: 

"The first report submitted by the Secretary of Defense after the date of the enactment of this Act under section 113(c) 

of title 10, United States Code (as redesignated by section 101), shall contain as much of the information required by 

section 667 of such title (as added by section 401) as is available to the Secretary at the time of the preparation of the 

report.".

 Transfer of Ex. Or. 12568. Ex. Or. No. 12568 of Oct. 2, 1986, 51 Fed. Reg. 35497, which formerly appeared as a 

note to this section, has been reclassified as a note to 10 USCS § 1784.

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 Repeal of provision for comparable budgeting for similar systems. Acts Oct. 18, 1986, P.L. 99-500; Oct. 30, 

1986, P.L. 99-591, Title I, § 101(c) in part, 100 Stat. 3341-173; Nov. 14, 1986, P.L. 99-661, Div A, Title IV [IX], Part 

E, § 955, 100 Stat. 3953; April 21, 1987, P.L. 100-26, § 3(5) in part, 101 Stat. 273, applicable as if included in Act Nov. 

14, 1986, when enacted on Nov. 14, 1986, as provided by § 12(a) of Act April 21, 1987, which appears as 10 USCS § 

774 note, formerly appeared as a note to this section and was repealed by Act July 19, 1988, P.L. 100-370, § 1(d)(3)(B), 

102 Stat. 843. Such section provided for comparable budgeting for similar systems. For similar provisions, see 10 

USCS § 2217.

 Coordination of permanent change of station moves with school year. Act Nov. 14, 1986, P.L. 99-661, Div A, 

Title VI, Part B, § 612, 100 Stat. 3878, provides: "The Secretary of each military department shall establish procedures 

to ensure that, to the maximum extent practicable within operational and other military requirements, permanent change 

of station moves for members of the Armed Forces under the jurisdiction of the Secretary who have dependents in elementary or secondary school occur at times that avoid disruption of the school schedules of such dependents.".

 Construction of duplicate authorization and appropriation provisions. For construction of the duplicate provisions of Act Oct. 18, 1986, P.L. 99-500, Act Oct. 30, 1986, P.L. 99-591, and Act Nov. 14, 1986, P.L. 99-661 and for the 

rule for the date of enactment of such Acts, see Act April 21, 1987, P.L. 100-26, § 6, 101 Stat. 274, which appears as 10 

USCS § 2301 note.

 Regulations regarding employment and volunteer work of spouses of military personnel. Act Dec. 4, 1987, P.L. 

100-180, Div A, Title VI, Part D, § 637, 101 Stat. 1106, provides:

 "Not later than 60 days after the date of the enactment of this Act, the Secretary of Defense shall prescribe regulations to establish the policy that--

 "(1) the decision by a spouse of a member of the Armed Forces to be employed or to voluntarily participate in 

activities relating to the Armed Forces should not be influenced by the preferences or requirements of the Armed Forces; and

 "(2) neither such decision nor the marital status of a member of the Armed Forces should have an effect on the 

assignment or promotion opportunities of the member.".

 Repeal of provision relating to counterintelligence polygraph program. Act Dec. 4, 1987, P.L. 100-180, Div A, 

Title XI, Part C, § 1121, 101 Stat. 1147; Nov. 18, 1997, P.L. 105-85, Div A, Title X, Subtitle G, § 1073(d)(5), 111 Stat. 

1906 (applicable as provided by § 1073(i) of such Act, which appears as 10 USCS § 101 note), which formerly appeared as a note to this section, was repealed by Act Nov. 24, 2003, P.L. 108-136, Div A, Title X, Subtitle E, § 1041(b), 

117 Stat. 1608. It provided for a countelintelligence polygraph program. For similar provisions, see 10 USCS § 1564a.

 Repeal of provision for report to Congress on cost of overseas troops. Act Dec. 22, 1987, P.L. 100-202, § 101(b) 

[Title VIII § 8042], 101 Stat. 1329-69, which formerly appeared as a note to this section, was repealed by Act July 19, 

1988, P.L. 100-370, § 1(o)(2), 102 Stat. 851. Such section provided for an annual report to Congress on the cost of 

overseas troops. For similar provisions, see subsec. (j) of this section.

 Repeal of provision relating to lead agency for detection of illegal drug transit. Act Sept. 29, 1988, P.L. 

100-456, Div A, Title XI, § 1102, 102 Stat. 2042, which formerly appeared as a note to this section, was repealed by 

Act Nov. 29, 1989, P.L. 101-189, Div A, Title XII, § 1202(b), 103 Stat. 1563. Such section provided for the Department 

of Defense to serve as lead agency for detection of illegal drug transit. For similar provisions, see 10 USCS § 124.

 Repeal of provision for annual assessment of security at United States bases in the Philippines. Act Sept. 29, 

1988, P.L. 100-456, Div A, Title XIII, § 1309, 102 Stat. 2063, which formerly appeared as a note to this section, was 

repealed by Act Oct. 23, 1992, P.L. 102-484, Div A, Title X, Subtitle H, § 1074, 106 Stat. 2511. Such section provided 

for an annual report by the Secretary of Defense to Congress assessing security at United States military facilities in the 

Republic of the Philippines, including an assessment of the cooperation provided by the Philippine Government.

 Congressional report on military missions assignment; review of long-term strategic interests; appointment of 

Ambassador at Large; appropriations. Act Oct. 1, 1988, P.L. 100-463, Title VIII, § 8125, 102 Stat. 2270-41; Nov. 

29, 1989, P.L. 101-189, Div A, Title XVI, Part C, § 1623, 103 Stat. 1606; April 30, 1994, P.L. 103-236, Title I, Part C, 

§ 162(j), 108 Stat. 408; Feb. 10, 1996, P.L. 104-106, Div A, Title XV, § 1502(f)(1), 110 Stat. 509; Oct. 5, 1999, P.L. 

106-65, Div A, Title X, Subtitle G, § 1067(14), 113 Stat. 775, provides:

 "(a)

 (1) Not later than March 1, 1989, the Secretary of Defense shall submit to Congress a report on the assignment of 

military missions among the member countries of North Atlantic Treaty Organization (NATO) and on the prospects for 

the more effective assignment of such missions among such countries.

 "(2) The report shall include a discussion of the following:

 "(A) The current assignment of military missions among the member countries of NATO.

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 "(B) Military missions for which there is duplication of capability or for which there is inadequate capability 

within the current assignment of military missions within NATO.

 "(C) Alternatives to the current assignment of military missions that would maximize the military contributions 

of the member countries of NATO.

 "(D) Any efforts that are underway within NATO or between individual member countries of NATO at the 

time the report is submitted that are intended to result in a more effective assignment of military missions within 

NATO.

 "(b) The Secretary of Defense and the Secretary of State shall (1) conduct a review of the long-term strategic interests of the United States overseas and the future requirements for the assignment of members of the Armed Forces of 

the United States to permanent duty ashore outside the United States, and (2) determine specific actions that, if taken, 

would result in a more balanced sharing of defense and foreign assistance spending burdens by the United States and its 

allies. Not later than August 1, 1989, the Secretary of Defense and the Secretary of State shall transmit to Congress a 

report containing the findings resulting from the review and their determinations.

 "(c) [Deleted]

 "(d) The President shall specify (separately by appropriation account) in the Department of Defense items included 

in each budget submitted to Congress under section 1105 of title 31, United States Code, (1) the amounts necessary for 

payment of all personnel, operations, maintenance, facilities, and support costs for Department of Defense overseas 

military units, and (2) the costs for all dependents who accompany Department of Defense personnel outside the United 

States.

 "(e) Not later than May 1, 1989, the Secretary of Defense shall submit to the Committees on Armed Services and on 

Appropriations of the Senate and the House of Representatives a report that sets forth the total costs required to support 

the dependents who accompany Department of Defense personnel assigned to permanent duty overseas.

 "(f) As of September 30 of each fiscal year, the number of members of the Armed Forces on active duty assigned to 

permanent duty ashore in Japan and the Republic of Korea may not exceed 94,450 (the number of members of the 

Armed Forces on active duty assigned to permanent duty ashore in Japan and the Republic of Korea on September 30, 

1987). The limitation in the preceding sentence may be increased if and when (1) a major reduction of United States 

forces in the Republic of the Philippines is required because of a loss of basing rights in that nation, and (2) the President determines and certifies to Congress that, as a consequence of such loss, an increase in United States forces stationed in Japan and the Republic of Korea is necessary.

 "(g)

 (1) After fiscal year 1990, budget submissions to Congress under section 1105 of title 31, United States Code, 

shall identify funds requested for Department of Defense personnel and units in permanent duty stations ashore outside 

the United States that exceed the amount of such costs incurred in fiscal year 1989 and shall set forth a detailed description of (A) the types of expenditures increased, by appropriation account, activity and program; and (B) specific efforts 

to obtain allied host nations' financing for these cost increases.

 "(2) The Secretary of Defense shall notify in advance the Committee on Appropriations and the Committee on 

Armed Services of the Senate and the Committee on Appropriations and the Committee on Armed Services of the 

House of Representatives, through existing notification procedures, when costs of maintaining Department of Defense 

personnel and units in permanent duty stations ashore outside the United States will exceed the amounts as defined in 

the Department of Defense budget as enacted for that fiscal year. Such notification shall describe: (A) the type of expenditures that increased; and (B) the source of funds (including prior year unobligated balances) by appropriation account, activity and program, proposed to finance these costs. 

 "(3) In computing the costs incurred for maintaining Department of Defense personnel and forces in permanent 

duty stations ashore outside the United States compared with the amount of such costs incurred in fiscal year 1989, the 

Secretary shall--

 "(A) exclude increased costs resulting from increases in the rates of pay provided for members of the Armed 

Forces and civilian employees of the United States Government and exclude any cost increases in supplies and services 

resulting from inflation; and

 "(B) include (i) the costs of operation and maintenance and of facilities for the support of Department of Defense overseas personnel, and (ii) increased costs resulting from any decline in the foreign exchange rate of the United 

States dollar.

 "(h) The provisions of subsections (f) and (g) shall not apply in time of war or during a national emergency declared 

by the President or Congress.

 "(i) In this section--

528 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(1) the term 'personnel' means members of the Armed Forces of the United States and civilian employees of the 

Department of Defense;

 "(2) the term 'Department of Defense overseas personnel' means those Department of Defense personnel who are 

assigned to permanent duty ashore outside the United States; and

 "(3) the term 'United States' includes the District of Columbia, the Commonwealth of Puerto Rico, and the territories and possessions of the United States.".

 Repeal of provision for annual report. Act Nov. 29, 1989, P.L. 101-189, Div A, Title II, Part B, § 211(e), 103 Stat. 

1394, which formerly appeared as a note to this section, was repealed by Act Feb. 10, 1996, P.L. 104-106, Div A, Title 

X, Subtitle F, § 1061(l), 110 Stat. 443. It provided for an annual report on the Balanced Technology Initiative and related matters.

 Repeal of provisions for military relocation assistance programs. Act Nov. 29, 1989, P.L. 101-189, Div A, Title 

VI, Part G, § 661, 103 Stat. 1463, which formerly appeared as a note to this section, was repealed by Act Nov. 5, 1990, 

P.L. 101-510, Div A, Title XIV, Part H, § 1481(c)(3), 104 Stat. 1705. This section provided for military relocation assistance programs.

 Repeal of Military Child Care Act of 1989. Act Nov. 29, 1989, P.L. 101-189, Div A, Title XV, §§ 1501-1510, 103 

Stat. 1589, which formerly appeared as a note to this section, was repealed by Act Feb. 10, 1996, P.L. 104-106, Div A, 

Title V, Subtitle F, § 568(e)(2), 110 Stat. 336. Such note provided for funding for military child care for fiscal year 

1990, training for child care employees, fees for attendance at military child development centers, child abuse prevention and safety at facilities, parent partnerships with child development centers, a report on five-year demand for child 

care, subsidies for family home day care, and and an early childhood education demonstration program.

 National military strategy reports. Act Nov. 5, 1990, P.L. 101-510, Div A, Title IX, Part A, § 901, 104 Stat. 1619, 

provides:

 "(a) Reports by the Secretary of Defense. (1) The Secretary of Defense shall submit to Congress a national military 

strategy report during each of fiscal years 1992, 1993, and 1994. Each such report shall be submitted with the Secretary's annual report to Congress for that year under section 113(j) of title 10, United States Code.

 "(b) Matters to be covered in reports. Each such report shall cover a period of at least ten years and shall address the 

following:

 "(1) The threats facing the United States and its allies.

 "(2) The degree to which military forces can contribute to the achievement of national objectives.

 "(3) The strategic military plan for applying those forces to the achievement of national objectives.

 "(4) The risk to the national security of the United States and its allies that ensues.

 "(5) The organization and structure of military forces to implement the strategy.

 "(6) The broad mission areas for various components of the forces and the broad support requirements to implement the strategy.

 "(7) The functions for which each military department should organize, train, and equip forces for the combatant 

commands responsible for implementing the strategy.

 "(8) The priorities assigned to major weapons and equipment acquisitions and to research and development programs in order to fill the needs and eliminate deficiencies of the combatant commands.

 "(c) Relationship of plans to budget. The strategic military plans and other matters covered by each report shall be 

fiscally constrained and shall relate to the current Department of Defense Multiyear Defense Plan and resource levels 

projected by the Secretary of Defense to be available over the period covered by the report.

 "(d) Effects of alternative budget levels. Each such report shall also include an assessment of the effect on the risk 

and the other components of subsection (b) in the event that (1) an additional $ 50,000,000,000 is available in budget 

authority in the fiscal year which is addressed by the budget request that the report accompanies, and (2) budget authority for that fiscal year is reduced by $ 50,000,000,000. For these assessments the Secretary of Defense shall make appropriate assumptions about the funds available for the remainder of the period covered by the report.

 "(e) Role of Chairman of Joint Chiefs of Staff. In accordance with his role as principal military adviser to the Secretary of Defense, the Chairman of the Joint Chiefs of Staff shall participate fully in the development of each such report. 

The Secretary of Defense shall provide the Chairman such additional guidance as is necessary to enable the Chairman to 

develop and recommend fiscally constrained strategic plans for the Secretary's consideration in accordance with section 

153(a)(2) of title 10, United States Code. in accordance with additional responsibilities of the Chairman set out in section 153, the Chairman shall provide recommendations to the Secretary on the other components of paragraph (2).

 (f) Classification of reports. The reports submitted to Congress under subsection (a) shall be submitted in both classified and (to the extent practicable) unclassified versions.".

529 DCMA Administrative Record for FY 2013 Furlough Appeals
 Permanent ceiling on United States Armed Forces in Japan and contributions by Japan to the support of

United States forces in Japan. Act Nov. 5, 1990, P.L. 101-510, Div A, Title XIV, Part E, § 1455, 104 Stat. 1695, provides:

 "(a) Purpose. It is the purpose of this section to require Japan to offset the direct costs (other than pay and allowances 

for United States military and civilian personnel) incurred by the United States related to the presence of United States 

military personnel in Japan.

 "(b) Permanent ceiling on United States Armed Forces in Japan. Funds appropriated pursuant to an authorization 

contained in this Act or any subsequent Act may not be used to support an end strength level of all personnel of the 

Armed Forces of the United States stationed in Japan at any level in excess of 50,000.

 "(c) Sense of Congress on allied burden sharing.

 (1) Congress recognizes that Japan has made a substantial pledge of financial support to the effort to support the 

United Nations Security Council resolutions on Iraq.

 "(2) It is the sense of Congress that--

 "(A) all countries that share the benefits of international security and stability should, commensurate with their 

national capabilities, share in the responsibility for maintaining that security and stability; and

 "(B) given the economic capability of Japan to contribute to international security and stability, Japan should 

make contributions commensurate with that capability.

 "(d) Negotiations. At the earliest possible date after the date of the enactment of this Act, the President shall enter 

into negotiations with Japan for the purpose of achieving an agreement before September 30, 1991, under which Japan 

offsets all direct costs (other than pay and allowances for United States military and civilian personnel) incurred by the 

United States related to the presence of all United States military personnel stationed in Japan.

 "(e) Exceptions.

 (1) This section shall not apply in the event of a declaration of war or an armed attack on Japan.

 "(2) This section may be waived by the President if the President--

 "(A) declares an emergency or determines that such a waiver is required by the national security interests of the 

United States; and

 "(B) immediately informs the Congress of the waiver and the reasons for the waiver.".

 Contributions by Japan to the support of United States forces in Japan. Act Nov. 5, 1990, P.L. 101-511, Title 

VIII, § 8105, 104 Stat. 1902; Dec. 5, 1991, P.L. 102-190, Div A, Title X, Part E, § 1063(b), 105 Stat. 1476, provides:

 "(a) Permanent ceiling on United States Armed Forces in Japan. After September 30, 1990, funds appropriated pursuant to an appropriation contained in this Act or any subsequent Act may not be used to support an end strength level 

of all personnel of the Armed Forces of the United States stationed in Japan at any level in excess of 50,000.

 "(b) Annual reduction in ceiling unless support furnished. Unless the President certifies to Congress before the end of 

each fiscal year that Japan has agreed to offset for that fiscal year the direct costs incurred by the United States related 

to the presence of all United States military personnel in Japan, excluding the military personnel title costs, the end 

strength level for that fiscal year of all personnel of the Armed Forces of the United States stationed in Japan may not 

exceed the number that is 5,000 less than such end strength level for the preceding fiscal year.

 "(c) Sense of Congress. It is the sense of Congress that all those countries that share the benefits of international security and stability should share in the responsibility for that stability and security commensurate with their national 

capabilities. The Congress also recognizes that Japan has made a substantial pledge of financial support to the effort to 

support the United Nations Security Council resolutions on Iraq. The Congress also recognizes that Japan has a greater 

economic capability to contribute to international security and stability than any other member of the international 

community and wishes to encourage Japan to contribute commensurate with that capability.

 "(d) Exceptions.

 (1) This section shall not apply in the event of a declaration of war or an armed attack on Japan.

 "(2) The President may waive the limitation in this section for any fiscal year if he declares that it is in the national interest to do so and immediately informs Congress of the waiver and the reasons for the waiver.

 "(e) Effective Date. This section shall take effect on the date of enactment of this Act.".

 Child care assistance. Act April 6, 1991, P.L. 102-25, Title VI, § 601, 105 Stat. 105; Dec. 5, 1991, P.L. 102-190, 

Div A, Title X, Part E, § 1063(d)(1), 105 Stat. 1476; Oct. 23, 1992, P.L. 102-484, Div A, Title X, Subtitle F, § 1053(8), 

106 Stat. 2502 (effective as of Dec. 5, 1991), provides:

 "(a) In general. The Secretary of Defense may provide assistance for families of members of the Armed Forces and 

of members of the National Guard who served on active duty during the Persian Gulf conflict in order to ensure that the 

children of such families obtain needed child care services. The assistance authorized by this section should be directed 

primarily toward providing needed child care services for children of such personnel who are serving in the Persian 

530 DCMA Administrative Record for FY 2013 Furlough Appeals
Gulf area or who were otherwise deployed, assigned, or ordered to active duty in connection with Operation Desert 

Storm.

 "(b) Authorization of appropriations. Of the amounts authorized to be appropriated from the Defense Cooperation 

Account for fiscal year 1991 under section 101(a) [unclassified], $ 20,000,000 shall be available to carry out the provisions of this section. The costs of carrying out such provisions are incremental costs associated with Operation Desert 

Storm.

 "(c) Supplementation of other public funds. Funds appropriated pursuant to subsection (b) that are made available to 

carry out this section may be used only to supplement, and not to supplant, the amount of any other Federal, State, or 

local government funds otherwise expended or authorized for the support of child care programs for members of the 

Armed Forces.".

 Family education and support services. Act April 6, 1991, P.L. 102-25, Title VI, § 602, 105 Stat. 106; Dec. 5, 

1991, P.L. 102-190, Div A, Title X, Part E, § 1063(d)(2), 105 Stat. 1476, provides:

 "(a) In general. The Secretary of Defense may provide assistance in accordance with this section to families of 

members of the Armed Forces and members of the National Guard who served on active duty during the Persian Gulf 

conflict in order to ensure that those families receive educational assistance and family support services necessary to 

meet needs arising out of Operation Desert Storm.

 "(b) Types of assistance. The assistance authorized by this section may be provided to families directly or through 

the awarding of grants, contracts, or other forms of financial assistance to appropriate private or public entities.

 "(c) Geographic areas assisted.

 (1) Such assistance shall be provided primarily in geographic areas--

 "(A) in which a substantial number of members of the active components of the Armed Forces of the United 

States are permanently assigned and from which a significant number of such members are being deployed, or have 

been deployed, in connection with Operation Desert Storm; or

 "(B) from which a significant number of members of the reserve components of the Armed Forces ordered to, 

or retained on, active duty pursuant to section 672(a), 672(d), 673, 673b, or 688 of title 10, United States Code, are being deployed, or have been deployed, in connection with Operation Desert Storm.

 "(2) The Secretary of Defense shall determine which areas meet the criteria set out in paragraph (1).

 "(d) Educational assistance. Educational assistance authorized by this section may be used for the furnishing of one 

or more of the following forms of assistance:

 "(1) Individual or group counseling for children and other members of the families of members of the Armed 

Forces of the United States who have been deployed in connection with, or are casualties of, Operation Desert Storm.

 "(2) Training and technical assistance to better prepare teachers and other school employees to address questions 

and concerns of children of such members of the Armed Forces.

 "(3) Other appropriate programs, services, and information designed to address the special needs of children and 

other members of the families of members of the Armed Forces referred to in paragraph (1) resulting from the deployment, the return from deployment, or the medical or rehabilitation needs of such members.

 "(e) Family support assistance. Family support assistance authorized by this section may be used for the following 

purposes:

 "(1) Family crisis intervention.

 "(2) Family counseling.

 "(3) Family support groups.

 "(4) Expenses for volunteer activities.

 "(5) Respite care.

 "(6) Housing protection and advocacy.

 "(7) Food assistance.

 "(8) Employment assistance.

 "(9) Child care.

 "(10) Benefits eligibility determination services.

 "(11) Transportation assistance.

 "(12) Adult day care for dependent elderly and disabled adults.

 "(13) Temporary housing assistance for immediate family members visiting soldiers wounded during Operation 

Desert Storm and receiving medical treatment at military hospitals and facilities in the United States.

 "(f) Authorization of appropriations. Of the amounts authorized to be appropriated from the Defense Cooperation 

Account for fiscal year 1991 under section 101(a) [unclassified], $ 30,000,000 shall be available to carry out the provisions of this section. The costs of carrying out such provisions are incremental costs of Operation Desert Storm.".

531 DCMA Administrative Record for FY 2013 Furlough Appeals
 Withholding of payments to indirect-hire civilian personnel of nonpaying pledging nations. Act April 6, 1991, 

P.L. 102-25, Title VI, § 608, 105 Stat. 112, provides:

 "(a) General rule. Effective as of the end of the six-month period beginning on the date of the enactment of this Act, 

the Secretary of Defense shall withhold payments to any nonpaying pledging nation that would otherwise be paid as 

reimbursements for expenses of indirect-hire civilian personnel of the Department of Defense in that nation.

 "(b) Nonpaying pledging nation defined. For purposes of this section, the term "nonpaying pledging nation" means a 

foreign nation that has pledged to the United States that it will make contributions to assist the United States in defraying the incremental costs of Operation Desert Shield and which has not paid to the United States the full amount so 

pledged.

 "(c) Release of withheld amounts. When a nation affected by subsection (a) has paid to the United States the full 

amount pledged, the Secretary of Defense shall release the amounts withheld from payment pursuant to subsection (a).

 "(d) Waiver authority. The Secretary of Defense may waive the requirement in subsection (a) upon certification to 

Congress that the waiver is required in the national security interests of the United States.".

 Waiver of limitation with respect to end strength level of U.S. Armed Forces in Japan for fiscal year 1991; 

justification. Presidential Memorandum of May 14, 1991, 56 Fed. Reg. 23991, provides:

 "Memorandum for the Secretary of Defense

 "Consistent with section 8105(d)(2) of the Department of Defense Appropriation Act, 1991 (Public Law 101-511; 

104 Stat. 1856) [note to this section], I hereby waive the limitation in section 8105(b) [note to this section] which states 

that the end strength level for each fiscal year of all personnel of the Armed Forces of the United States stationed in 

Japan may not exceed the number that is 5,000 less than such end strength level for the preceding fiscal year, and declare that it is in the national interest to do so.

 "You are authorized and directed to inform the Congress of this waiver and of the reasons for the waiver contained in 

the attached justification, and to publish this memorandum in the Federal Register.

 "Justification Pursuant to Section 8105(d)(2) of the Department of Defense Appropriations Act, 1991 (Public Law 

No. 101-511; 104 Stat 1856) [note to this section]

 "In January of this year the Department of Defense signed a new Host Nation Support Agreement with the Government of Japan in which that government agreed to pay all utility and Japanese labor costs incrementally over the next 

five years (worth $ 1.7 billion). Because United States forward deployed forces stationed in Japan have regional missions in addition to the defense of Japan, we did not seek to have the Government of Japan offset all of the direct costs 

incurred by the United States related to the presence of all United States military personnel in Japan (excluding military 

personnel title costs).".

 Provisions similar to those in this note were contained in Act Nov. 5, 1990, P.L. 101-511, Title VIII, § 8092, 104 

Stat. 1896.

 Delegation of certain defense related authorities of President to Secretary of Defense. Ex. Or. No. 12765 of June 

11, 1991, 56 Fed. Reg. 27401, provides:

 "By the authority vested in me as President by the Constitution and the laws of the United States of America, including section 301 of title 3 of the United States Code, and my authority as Commander in Chief of the Armed Forces of 

the United States, it is hereby ordered as follows:

 "Section 1. The Secretary of Defense is hereby designated and empowered, without the approval, ratification, or other action by the President, to exercise the authority vested in the President by section 749 of title 10 of the United States

Code to assign the command without regard to rank in grade to any commissioned officer otherwise eligible to command when two or more commissioned officers of the same grade or corresponding grades are assigned to the same 

area, field command, or organization.

 "Sec. 2. The Secretary of Defense is hereby designated and empowered, without the approval, ratification, or other 

action by the President, to exercise the authority vested in the President by section 7299a(a) of title 10 of the United 

States Code to direct that combatant vessels and escort vessels be constructed in a Navy or private yard, as the case may 

be, if the requirement of the Act of March 27, 1934 (ch. 95, 48 Stat. 503) that the first and each succeeding alternate 

vessel of the same class be constructed in a Navy yard is inconsistent with the public interest.

 "Sec. 3. For vessels, and for any major component of the hull or superstructure of vessels to be constructed or repaired for any of the armed forces, the Secretary of Defense is hereby designated and empowered, without the approval, 

ratification, or other action by the President, to exercise the authority vested in the President by section 7309(b) of title 

10 of the United States Code to authorize exceptions to the prohibition in section 7309(a) of title 10 of the United States 

Code. Such exceptions shall be based on a determination that it is in the national security interest of the United States to 

authorize an exception. The Secretary of Defense shall transmit notice of any such determination to the Congress, as 

required by section 7309(b).

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 "Sec. 4. The Secretary of Defense may redelegate the authority delegated to him by this order, in accordance with 

applicable law.

 "Sec. 5. This order shall be effective immediately.".

 Requirements relating to European military procurement practices. Act Dec. 5, 1991, P.L. 102-190, Div A, 

Title VIII, Part D, § 832, 105 Stat. 1446, provides:

 "(a) European procurement practices. The Secretary of Defense shall--

 "(1) compute the total value of American-made military goods and services procured each year by European governments or companies;

 "(2) review defense procurement practices of European governments to determine what factors are considered in 

the selection of contractors and to determine whether American firms are discriminated against in the selection of contractors for purchases by such governments of military goods and services; and

 "(3) establish a procedure for discussion with European governments about defense contract awards made by 

them that American firms believe were awarded unfairly.

 "(b) Defense trade and cooperation working group. The Secretary of Defense shall establish a defense trade and cooperation working group. The purpose of the group is to evaluate the impact of, and formulate United States positions 

on, European initiatives that affect United States defense trade, cooperation, and technology security. In carrying out the 

responsibilities of the working group, members of the group shall consult, as appropriate, with personnel in the Departments of State and Commerce and in the Office of the United States Trade Representative.

 "(c) GAO review. The Comptroller General shall conduct a review to determine how the members of the North Atlantic Treaty Organization are implementing their bilateral reciprocal defense procurement memoranda of understanding with the United States. The Comptroller General shall complete the review, and submit to Congress a report on the 

results of the review, not later than February 1, 1992.".

 Department of Defense use of national intelligence collection systems. Act Dec. 5, 1991, P.L. 102-190, Div A, 

Title IX, Part C, § 924, 105 Stat. 1454, provides:

 "(a) Procedures for use. The Secretary of Defense, after consultation with the Director of Central Intelligence, shall 

prescribe procedures for regularly and periodically exercising national intelligence collection systems and exploitation 

organizations that would be used to provide intelligence support, including support of the combatant commands, during 

a war or threat to national security.

 "(b) Use in joint training exercises. In accordance with procedures prescribed under subsection (a), the Chairman of 

the Joint Chiefs of Staff shall provide for the use of the national intelligence collection systems and exploitation organizations in joint training exercises to the extent necessary to ensure that those systems and organizations are capable of 

providing intelligence support, including support of the combatant commands, during a war or threat to national security.

 "(c) Report. Not later than May 1, 1992, the Secretary of Defense and the Director of Central Intelligence shall submit to the congressional defense committees, the Select Committee on Intelligence of the Senate, and the Permanent 

Select Committee on Intelligence of the House of Representatives a joint report--

 "(1) describing the procedures prescribed under subsection (a); and

 "(2) stating the assessment of the Chairman of the Joint Chiefs of Staff of the performance in joint training exercises of the national intelligence collection systems and the Chairman's recommendations for any changes that the 

Chairman considers appropriate to improve that performance.".

 Family support center for families of prisoners of war and persons missing in action. Act Dec. 5, 1991, P.L. 

102-190, Div A, Title X, Part G, § 1083, 105 Stat. 1482, provides:

 "(a) Request for establishment. The President is authorized and requested to establish in the Department of Defense a 

family support center to provide information and assistance to members of the families of persons who at any time 

while members of the Armed Forces were classified as prisoners of war or missing in action in Southeast Asia and who 

have not been accounted for. Such a support center should be located in a facility in the National Capital region.

 "(b) Duties. The center should be organized and provided with such personnel as necessary to permit the center to 

assist family members referred to in subsection (a) in contacting the departments and agencies of the Federal Government having jurisdiction over matters relating to such persons.".

 Commission on the Assignment of Women in the Armed Forces. Act Dec. 5, 1991, P.L. 102-190, Div A, Title V, 

Part D, Subpart 2, §§ 541-550, 105 Stat. 1365, provide:

 "Sec. 541. Establishment of Commission.

 "(a) Establishment. There is established a commission to be known as the Commission on the Assignment of Women 

in the Armed Forces (hereinafter in this subpart referred to as the "Commission").

 "(b) Composition.

533 DCMA Administrative Record for FY 2013 Furlough Appeals
 (1) The Commission shall be composed of 15 members appointed by the President. The Commission membership 

shall be diverse with respect to race, ethnicity, gender, and age. The President shall designate one of the members as 

Chairman of the Commission.

 "(2) The President shall appoint the members of the Commission from among persons who have distinguished 

themselves in the public or private sector and who have had significant experience (as determined by the President) with 

one or more of the following matters:

 "(A) Social and cultural matters affecting the military and civilian workplace gained through recognized research and policymaking, as demonstrated by retired military personnel, representatives from educational organizations, 

and leaders from civilian industry and non-Department of Defense governmental agencies.

 "(B) The law.

 "(C) Factors used to define appropriate combat job qualifications, including physical, mental, educational, and 

other factors.

 "(D) Service in the Armed Forces in a combat environment. 

 "(E) Military personnel management.

 "(F) Experiences of women in the military gained through service as--

 "(i) a female service member (current or former);

 "(ii) a manager of an organization with a representative presence of women; or

 "(iii) a member of an organization with responsibility for policy review, advice, or oversight of the status of 

women in the military.

 "(G) Women's issues in American society.

 "(3) In making appointments to the Commission, the President shall consult with the chairmen and ranking minority members of the Committees on Armed Services of the Senate and the House of Representatives.

 "(c) Period of appointment; vacancies. Members shall be appointed for the life of the Commission. Any vacancy in 

the Commission shall not affect its powers, but shall be filled in the same manner as the original appointment.

 "(d) Initial organizational requirements.

 (1) The President shall make all appointments under subsection (b) within 60 days after the date of the enactment 

of this Act.

 "(2) The Commission shall convene its first meeting within 15 days after the first date on which all members of 

the Commission have been appointed. At that meeting, the Commission shall develop an agenda and a schedule for 

carrying out its duties.

 "Sec. 542. Duties.

 "(a) In general. The Commission shall assess the laws and policies restricting the assignment of female service 

members and shall make findings on such matters.

 "(b) Studies. In carrying out such assessment, the Commission shall--

 "(1) conduct a thorough study of duty assignments available for female service members;

 "(2) examine studies already completed concerning duty assignments for female service members; and

 "(3) conduct such additional studies as may be required.

 "(c) Matters to be considered. Matters to be considered by the Commission shall include the following:

 "(1) The implications, if any, for the combat readiness of the Armed Forces of permitting female service members 

to qualify for assignment to positions in some or all categories of combat positions and to be assigned to such positions, 

including the implications with respect to--

 "(A) the physical readiness of the armed forces and the process for establishing minimum physical and other 

qualifications;

 "(B) the effects, if any, of pregnancy and other factors resulting in time lost for male and female service members; in evaluating lost time, comparisons must be made between like mental categories and military occupational specialties rather than simple gender comparisons; and

 "(C) the effects, if any, of such assignments on unit morale and cohesion.

 "(2) The public attitudes in the United States on the use of women in the military.

 "(3) The legal and policy implications (A) of permitting only voluntary assignments of female service members to 

combat positions, and (B) of permitting involuntary assignments of female service members to some or all combat positions.

 "(4) The legal and policy implications--

 "(A) of requiring females to register for and to be subject to conscription under the Military Selective Service 

Act [50 USCS Appx. §§ 451 et seq. generally; for full classification, consult USCS Tables volumes] on the same basis 

as males if females were provided the same opportunity as males for assignment to any position in the Armed Forces;

534 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(B) of requiring females to register for and to be subject to conscription under the Military Selective Service 

Act [50 USCS Appx. §§ 451 et seq. generally; for full classification, consult USCS Tables volumes] on the same basis 

as males if females in the Armed Forces were assigned to combat position only as volunteers; and

 "(C) of requiring females to register for and to be subject to conscription under the Military Selective Service 

Act [50 USCS Appx. §§ 451 et seq. generally; for full classification, consult USCS Tables volumes] on a different basis 

than males if females in the Armed Forces were not assigned to combat positions on the same basis as males.

 "(5) The extent of the need to modify facilities and vessels, aircraft, vehicles, and other equipment of the Armed 

Forces to accommodate the assignment of female service members to combat positions or to provide training in combat 

skills to female service members, including any need to modify quarters, weapons, and training facilities and equipment.

 "(6) The costs of meeting the needs identified pursuant to paragraph (5).

 "(7) The implications of restrictions on the assignment of women on the recruitment, retention, use, and promotion of qualified personnel in the Armed Forces.

 "Sec. 543. Report.

 "(a) In general.

 (1) Not later than November 15, 1992, the Commission shall transmit to the President a final report on the results 

of the study conducted by the Commission.

 "(2) The Commission may transmit to the President and to Congress such interim reports as the Commission considers appropriate.

 "(b) Content of final report.

 (1) The final report shall contain a detailed statement of the findings and conclusions of the Commission, together 

with such recommendations for further legislation and administrative action as the Commission considers appropriate.

 "(2) The report shall include recommendations on the following matters:

 "(A) Whether existing law and policies restricting the assignment of female service members should be retained, modified, or repealed.

 "(B) What roles female service members should have in combat.

 "(C) What transition process is appropriate if female service members are to be given the opportunity to be 

assigned to combat positions in the Armed Forces.

 "(D) Whether special conditions and different standards should apply to females than apply to males performing similar roles in the Armed Forces.

 "(c) Submission of final report to Congress. Not later than December 15, 1992, the President shall transmit to the 

Congress the report of the Commission, together with the President's comments and recommendations regarding such 

report.

 "Sec. 544. Powers.

 "(a) Hearings. The Commission or, at its direction, any panel or member of the Commission, may, for the purpose of 

carrying out the provisions of this subpart, hold hearings, sit and act at times and places, take testimony, receive evidence, and administer oaths to the extent that the Commission or any panel or member considers advisable.

 "(b) Information. The Commission may secure directly from the Department of Defense and any other Federal department or agency any information that the Commission considers necessary to enable the Commission to carry out its 

responsibilities under this subpart. Upon request of the Chairman of the Commission, the head of such department or 

agency shall furnish such information to the Commission.

 "Sec. 545. Commission procedures.

 "(a) Meetings. The Commission shall meet at the call of the Chairman.

 "(b) Quorum.

 (1) Five members of the Commission shall constitute a quorum, but a lesser number of members may hold hearings.

 "(2) The Commission shall act by resolution agreed to by a majority of the members of the Commission present at 

a properly called meeting.

 "(c) Panels. The Commission may establish panels composed of less than the full membership of the Commission for 

the purpose of carrying out the Commission's duties. The actions of each such panel shall be subject to the review and 

control of the Commission. Any findings and determinations made by such a panel shall not be considered the findings 

and determinations of the Commission unless approved by the Commission.

 "(d) Authority of individuals to act for Commission. Any member or agent of the Commission may, if authorized by 

the Commission, take any action which the Commission is authorized to take under this subpart.

 "Sec. 546. Personnel matters.

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 "(a) Pay of members. Each member of the Commission who is not an officer or employee of the Federal Government 

shall be paid at a rate equal to the daily equivalent of the annual rate of basic pay payable for level V of the Executive 

Schedule under section 5316 of title 5, United States Code, for each day (including travel time) during which the member is engaged in the performance of the duties of the Commission. All members of the Commission who are officers or 

employees of the United States shall serve without pay in addition to that received for their services as officers or employees of the United States.

 "(b) Travel expenses. The members of the Commission shall be allowed travel expenses, including per diem in lieu 

of subsistence, at rates authorized for employees of agencies under subchapter I of chapter 57 of title 5, United States 

Code [5 USCS §§ 5701 et seq.], while away from their homes or regular places of business in the performance of services for the Commission.

 "(c) Staff.

 (1) The Chairman of the Commission may, without regard to the provisions of title 5, United States Code, governing appointments in the competitive service, appoint a staff director and such additional personnel as may be necessary to enable the Commission to perform its duties. The appointment of a staff director shall be subject to the approval 

of the Commission.

 "(2) The Chairman of the Commission may fix the pay of the staff director and other personnel without regard to 

the provisions of chapter 51 and subchapter III of chapter 53 of title 5, United States Code [5 USCS §§ 5101 et seq., 

5331 et seq.], relating to classification of positions and General Schedule pay rates, except that no rate of pay fixed under this paragraph may exceed the rate payable for level V of the Executive Schedule under section 5316 of such title.

 "(d) Detail of Government employees. Upon request of the Chairman of the Commission, the head of any Federal 

department or agency may detail, on a nonreimbursable basis, any personnel of that department or agency to the Commission to assist it in carrying out its duties.

 "(e) Procurement of temporary and intermittent services. The Chairman of the Commission may procure temporary 

and intermittent services under section 3109(b) of title 5, United States Code, at rates for individuals which do not exceed the daily equivalent of the annual rate of basic pay payable for level V of the Executive Schedule under section 

5316 of such title.

 "Sec. 547. Miscellaneous administrative provisions.

 "(a) Postal and printing services. The Commission may use the United States mails and obtain printing and binding 

services in the same manner and under the same conditions as other departments and agencies of the Federal Government.

 "(b) Miscellaneous administrative and support services. The Administrator of General Services shall furnish the 

Commission, on a reimbursable basis, any administrative and support services requested by the Commission.

 "(c) Gifts. The Commission may accept, use, and dispose of gifts or donations of services or property.

 "(d) Procurement authority. The Commission may procure supplies, services, and property and make contracts, in 

any fiscal year, in order to carry out its duties, but (except in the case of temporary or intermittent services procured 

under section 546(e)) only to such extent or in such amounts as are provided in appropriation Acts or are donated pursuant to subsection (c). Contracts and other procurement arrangements may be entered into without regard to section 

3709 of the Revised Statutes (41 U.S.C. 5) [41 USCS § 6101] or any similar provision of Federal law.

 "(e) Applicability of Federal Advisory Committee Act. The provisions of the Federal Advisory Committee Act [5 

USCS Appx.] shall not apply to the Commission.

 "(f) Travel. To the maximum extent practicable, the members and employees of the Commission shall travel on military aircraft, military ships, military vehicles, or other military conveyances when travel is necessary in the performance of a responsibility of the Commission, except that no such aircraft, ship, vehicle, or other conveyance may be 

scheduled primarily for the transportation of any such member or employee when the cost of commercial transportation 

is less expensive.

 "Sec. 548. Payment of Commission expenses.

 "The compensation, travel expenses, and per diem allowances of members and employees of the Commission shall 

be paid out of funds available to the Department of Defense for the payment of compensation, travel allowances, and 

per diem allowances, respectively, of civilian employees of the Department of Defense. The other expenses of the 

Commission shall be paid out of funds available to the Department of Defense for the payment of similar expenses incurred by that Department.

 "Sec. 549. Termination of the Commission.

 "The Commission shall terminate 90 days after the date on which Commission submits its final report under section 

543(a)(1).

 "Sec. 550. Test assignments of female service members to combat positions.

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 "(a) Test assignments. In carrying out its duties, the Commission may request the Secretary of Defense to conduct 

test assignments of female service members to combat positions. The Secretary shall determine, in consultation with the 

Commission, the types of tests that are appropriate and shall retain a record of the disposition of each such request.

 "(b) Waiver authority. For the purpose of conducting test assignments of female service members to combat positions pursuant to requests under subsection (a), the Secretary of Defense may waive section 6015 of title 10, United 

States Code, and any other restriction that applies under Department of Defense regulations or policy to the assignment 

of female service members to combat positions.".

 Programming language Ada to be used for Department of Defense software. Act Oct. 6, 1992, P.L. 102-396, 

Title IX, § 9070, 106 Stat. 1918, provides: "Notwithstanding any other provision of law, where cost effective, all Department of Defense software shall be written in the programming language Ada, in the absence of special exemption by 

an official designated by the Secretary of Defense.".

 Provisions similar to those of this note were contained in Acts Nov. 5, 1990, P.L. 101-511, Title VIII, § 8092, 104 

Stat. 1896; Nov. 26, 1991, P.L. 102-172, Title VIII, § 8073, 105 Stat. 1188.

 Program to commemorate World War II. Act Oct. 23, 1992, P.L. 102-484, Div A, Title III, Subtitle G, § 378, 106 

Stat. 2387; Oct. 5, 1994, P.L. 103-337, Div A, Title III, Subtitle H, § 382(a), 108 Stat. 2740, provides:

 "(a) In general. The Secretary of Defense may, during fiscal years 1993 through 1996, conduct a program to commemorate the 50th anniversary of World War II and to coordinate, support, and facilitate other such commemoration 

programs and activities of the Federal Government, State and local governments, and other persons.

 "(b) Use of funds. During fiscal years 1993 through 1996, funds appropriated to the Department of Defense for operation and maintenance of Defense Agencies shall be available to conduct the program referred to in subsection (a).

 "(c) Program activities. The program referred to in subsection (a) may include activities and ceremonies--

 "(1) to provide the people of the United States with a clear understanding and appreciation of the lessons and history of World War II;

 "(2) to thank and honor veterans of World War II and their families;

 "(3) to pay tribute to the sacrifices and contributions made on the home front by the people of the United States;

 "(4) to foster an awareness in the people of the United States that World War II was the central event of the 20th 

century that defined the postwar world;

 "(5) to highlight advances in technology, science, and medicine related to military research conducted during 

World War II;

 "(6) to inform wartime and postwar generations of the contributions of the Armed Forces of the United States to 

the United States;

 "(7) to recognize the contributions and sacrifices made by World War II allies of the United States; and

 "(8) to highlight the role of the Armed Forces of the United States, then and now, in maintaining world peace 

through strength.

 "(d) Authority of the Secretary.

 (1) In connection with the program referred to in subsection (a), the Secretary of Defense may adopt, use, and 

register as trademarks and service marks, emblems, signs, insignia, or words. The Secretary shall have the exclusive 

right to use such emblems, signs, insignia or words, subject to the preexisting rights described in paragraph (3), and may 

grant exclusive or nonexclusive licenses in connection therewith.

 "(2) Without the consent of the Secretary of Defense, any person who uses any emblem, sign, insignia, or word 

adopted, used, or registered as a trademark or service mark by the Secretary in accordance with paragraph (1), or any 

combination or simulation thereof tending to cause confusion, to cause mistake, to deceive, or to falsely suggest a connection with the program referred to in subsection (a), shall be subject to suit in a civil action by the Attorney General, 

upon complaint by the Secretary of Defense, for the remedies provided in the Act of July 5, 1946, as amended (60 Stat. 

427; popularly known as the Trademark Act of 1945) (15 U.S.C. 1051 et seq.).

 "(3) Any person who actually used an emblem, sign, insignia, or word adopted, used, or registered as a trademark 

or service mark by the Secretary in accordance with paragraph (1), or any combination or simulation thereof, for any 

lawful purpose before such adoption, use, or registration as a trademark or service mark by the Secretary shall not be 

prohibited by this section from continuing such lawful use for the same purpose and for the same goods or services.

 "(e) Establishment of account.

 (1) There is established in the Treasury of the United States an account to be known as the 'Department of Defense 50th Anniversary of World War II Commemoration Account' which shall be administered by the Secretary of 

Defense as a single account. There shall be deposited into the account all proceeds derived from activities described in 

subsection (d).

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 "(2) The Secretary may use the funds in the account established in paragraph (1) only for the purpose of conducting the program referred to in subsection (a).

 "(3) Not later than 60 days after the termination of the authority of the Secretary to conduct the commemoration 

program referred to in subsection (a), the Secretary shall transmit to the Committees on Armed Services of the Senate 

and House of Representatives a report containing an accounting of all the funds deposited into and expended from the 

account or otherwise expended under this section, and of any amount remaining in the account. Unobligated funds 

which remain in the account after termination of the authority of the Secretary under this section shall be held in the 

account until transferred by law after the Committees receive the report.

 "(f) Provision of voluntary services.

 (1) Notwithstanding section 1342 of title 31, United States Code, the Secretary of Defense may accept from any 

person voluntary services to be provided in furtherance of the program referred to in subsection (a).

 "(2) A person providing voluntary services under this subsection shall be considered to be an employee for the 

purposes of chapter 81 of title 5 [5 USCS §§ 8101 et seq.], relating to compensation for work-related injuries. Such a 

person who is not otherwise employed by the Federal Government shall not be considered to be a Federal employee for 

any other purposes by reason of the provision of such service.

 "(3) The Secretary of Defense may provide for reimbursement of incidental expenses which are incurred by a 

person providing voluntary services under this subsection. The Secretary of Defense shall determine which expenses are 

eligible for reimbursement under this paragraph.".

 Review of military flight training activities at civilian airfields. Act Oct. 23, 1992, P.L. 102-484, Div A, Title III, 

Subtitle G, § 383, 106 Stat. 2392, provides:

 "(a) Review required. The Secretary of Defense shall provide for a review of the practices and procedures of the military departments regarding the use of civilian airfields in flight training activities of the Armed Forces.

 "(b) Purpose. The purpose of the review is to determine whether the practices and procedures referred to in subsection (a) should be modified to better protect the public safety while meeting training requirements of the Armed Forces.

 "(c) Special requirement. In the conduct of the review, particular consideration shall be given to the practices and 

procedures regarding the use of civilian airfields in heavily populated areas.".

 Report on actions taken to reduce or eliminate disincentives to report abuse of dependent. Act Oct. 23, 1992, 

P.L. 102-484, Div A, Title VI, Subtitle E, § 653(d), 106 Stat. 2429, provides:

 "(1) Not later than December 15, 1993, the Secretary of Defense shall transmit to the Congress a report on the actions taken and planned to be taken in the Department of Defense to reduce or eliminate disincentives for a dependent of 

a member of the Armed Forces abused by the member to report the abuse to appropriate authorities.

 "(2) The actions considered by the Secretary should include the provision of treatment, child care services, health 

care services, job training, job placement services, and transitional financial assistance for dependents of members of 

the Armed Forces referred to in paragraph (1).".

 Survivor notification and access to reports relating to service members who die. Act Oct. 23, 1992, P.L. 

102-484, Div A, Title X, Subtitle H, § 1072, 106 Stat. 2508, provides:

 "(a) Availability of fatality reports and records.

 (1) Requirement. The Secretary of each military department shall ensure that fatality reports and records pertaining to any member of the Armed Forces who dies in the line of duty shall be made available to family members of the 

service member in accordance with this subsection.

 "(2) Information to be provided after notification of death. Within a reasonable period of time after family members of a service member are notified of the member's death, but not more than 30 days after the date of notification, the 

Secretary concerned shall ensure that the family members--

 "(A) in any case in which the cause or circumstances surrounding the death are under investigation, are informed of that fact, of the names of the agencies within the Department of Defense conducting the investigations, and of 

the existence of any reports by such agencies that have been or will be issued as a result of the investigations; and

 "(B) are furnished, if the family members so desire, a copy of any completed investigative report and any other 

completed fatality reports that are available at the time family members are provided the information described in subparagraph (A) to the extent such reports may be furnished consistent with sections 552 and 552a of title 5, United States 

Code.

 "(3) Assistance in obtaining reports.

 (A) In any case in which an investigative report or other fatality reports are not available at the time family 

members of a service member are provided the information described in paragraph (2)(A) about the member's death, the 

Secretary concerned shall ensure that a copy of such investigative report and any other fatality reports are furnished to 

538 DCMA Administrative Record for FY 2013 Furlough Appeals
the family members, if they so desire, when the reports are completed and become available, to the extent such reports 

may be furnished consistent with sections 552 and 552a of title 5, United States Code.

 "(B) In any case in which an investigative report or other fatality reports cannot be released at the time family 

members of a service member are provided the information described in paragraph (2)(A) about the member's death 

because of section 552 or 552a of title 5, United States Code, the Secretary concerned shall ensure that the family 

members--

 "(i) are informed about the requirements and procedures necessary to request a copy of such reports; and

 "(ii) are assisted, if the family members so desire, in submitting a request in accordance with such requirements and procedures.

 "(C) The requirement of subparagraph (B) to inform and assist family members in obtaining copies of fatality 

reports shall continue until a copy of each report is obtained, or access to any such report is denied by competent authority within the Department of Defense.

 "(4) Waiver. The requirements of paragraph (2) or (3) may be waived on a case-by-case basis, but only if the Secretary of the military department concerned determines that compliance with such requirements is not in the interests of 

national security.

 "(b) Review of combat fatality notification procedures.

 (1) Review. The Secretary of Defense shall conduct a review of the fatality notification procedures used by the 

military departments. Such review shall examine the following matters:

 "(A) Whether uniformity in combat fatality notification procedures among the military departments is desirable, particularly with respect to--

 "(i) the use of one or two casualty notification and assistance officers;

 "(ii) the use of standardized fatality report forms and witness statements;

 "(iii) the use of a single center for all military departments through which combat fatality information may 

be processed; and

 "(iv) the use of uniform procedures and the provision of a dispute resolution process for instances in which 

members of one of the Armed Forces inflict casualties on members of another of the Armed Forces.

 "(B) Whether existing combat fatality report forms should be modified to include a block or blocks with which 

to identify the cause of death as 'friendly fire', 'U.S. ordnance', or 'unknown'.

 "(C) Whether the existing 'Emergency Data' form prepared by members of the Armed Forces should be revised 

to allow members to specify provision for notification of additional family members in cases such as the case of a divorced service member who leaves children with both a current and a former spouse.

 "(D) Whether the military departments should, in all cases, provide family members of a service member who 

died as a result of injuries sustained in combat with full and complete details of the death of the service member, regardless of whether such details may be graphic, embarrassing to the family members, or reflect negatively on the military department concerned.

 "(E) Whether, and when, the military departments should inform family members of a service member who 

died as a result of injuries sustained in combat about the possibility that the death may have been the result of friendly 

fire.

 "(F) The criteria and standards which the military departments should use in deciding when disclosure is appropriate to family members of a member of the military forces of an allied nation who died as a result of injuries sustained in combat when the death may have been the result of fire from United States armed forces and an investigation 

into the cause or circumstances of the death has been conducted.

 "(2) Report. The Secretary of Defense shall submit to the Committees on Armed Services of the Senate and House 

of Representatives a report on the review conducted under paragraph (1). Such report shall be submitted not later than 

March 31, 1993, and shall include recommendations on the matters examined in the review and on any other matters the 

Secretary determines to be appropriate based upon the review or on any other reviews undertaken by the Department of 

Defense.

 "(c) Definitions. In this section:

 "(1) The term 'fatality reports' includes investigative reports and any other reports pertaining to the cause or circumstances of death of a member of the Armed Forces in the line of duty (such as autopsy reports, battlefield reports, 

and medical reports).

 "(2) The term 'family members' means parents, spouses, adult children, and such other relatives as the Secretary 

concerned considers appropriate.

 "(d) Applicability.

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 (1) Except as provided in paragraph (2), this section applies with respect to deaths of members of the Armed 

Forces occurring after the date of the enactment of this Act.

 "(2) With respect to deaths of members of the Armed Forces occurring before the date of the enactment of this 

Act, the Secretary concerned shall provide fatality reports to family members upon request as promptly as practicable.".

 Limitation on support for United States contractors selling arms overseas. Act Oct. 23, 1992, P.L. 102-484, Div 

A, Title X, Subtitle I, § 1082, 106 Stat. 2516; Nov. 24, 2003, P.L. 108-136, Div A, Title X, Subtitle D, § 1031(d)(2), 

117 Stat. 1604, provides:

 "(a) Support for contractors. In the event that a United States defense contractor or industrial association requests the 

Department of Defense or a military department to provide support in the form of military equipment for any airshow or 

trade exhibition to be held outside the United States, such equipment may not be supplied unless the contractor or association agrees to reimburse the Treasury of the United States for--

 "(1) all incremental costs of military personnel accompanying the equipment, including food, lodging, and local 

transportation;

 "(2) all incremental transportation costs incurred in moving such equipment from its normally assigned location to 

the airshow or trade exhibition and return; and

 "(3) any other miscellaneous incremental costs not included under paragraphs (1) and (2) that are incurred by the 

Federal Government but would not have been incurred had military support not been provided to the contractor or industrial association.

 "(b) Department of Defense exhibitions.

 (1) A military department may not participate directly in any airshow or trade exhibition held outside the United 

States unless the Secretary of Defense determines that it is in the national security interests of the United States for the 

military departments to do so.

 "(2) The Secretary of Defense may not delegate the authority to make the determination referred to in paragraph 

(1)(A) below the level of the Under Secretary of Defense for Policy.

 "(c) Definition. In this section, the term 'incremental transportation cost' includes the cost of transporting equipment 

to an airshow or trade exhibition only to the extent that the provision of transportation by the Department of Defense 

described in subsection (a)(2) does not fulfill legitimate training requirements that would otherwise have to be met.".

 Repeal of provision for overseas military end strength. Act Oct. 23, 1992, P.L. 102-484, Div A, Title XIII, Subtitle A, § 1302, 106 Stat. 2545, which formerly appeared as a note to this section, was repealed by Act Oct. 5, 1994, P.L. 

103-337, Div A, Title XIII, Subtitle B, § 1312(c), 108 Stat. 2894. Such § 1302 provided for overseas military end 

strength.

 Reports on overseas basing. Act Oct. 23, 1992, P.L. 102-484, Div A, Title XIII, Subtitle A, § 1304, 106 Stat. 2546; 

Nov. 30, 1993, P.L. 103-160, Div B, Title XXIX, Subtitle B, § 2924(a), 107 Stat. 1931; Feb. 10, 1996, P.L. 104-106, 

Div A, Title XV, § 1502(c)(2)(A), 110 Stat. 506, provides:

 "(a) Annual report. The Secretary of Defense shall, not later than March 31 of each year through 1997, submit to the 

Committee on Armed Services of the Senate and the Committee on National Security of the House of Representatives, 

either separately or as part of another relevant report, a report that specifies--

 "(1) the stationing and basing plan by installation for United States military forces outside the United States;

 "(2) the status of closures of United States military installations located outside the United States;

 "(3) both--

 "(A) the status of negotiations, if any, between the United States and the host government as to (i) United 

States claims for compensation for the fair market value of the improvements made by the United States at each installation referred to in paragraph (2), and (ii) any claims of the host government for damages or restoration of the installation; and

 "(B) the representative of the United States in any such negotiations;

 "(4) the potential savings to the United States resulting from such closures;

 "(5) the cost to the United States of any improvements made at each installation referred to in paragraph (2) and 

the fair market value of such improvements, expressed in constant dollars based on the date of completion of the improvements;

 "(6) in each case in which negotiations between the United States and a host government have resulted in an 

agreement for the payment to the United States by the host government of the value of improvements to an installation 

made by the United States, the amount of such payment, the form of such payment, and the expected date of such payment; and

 "(7) efforts and progress toward achieving host nation offsets under section 1301(e) [unclassified] and reduced 

end strength levels under section 1302 [note to this section].

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 "(b) Report on budget implications of overseas basing agreements. Whenever the Secretary of Defense enters into a 

basing agreement between the United States and a foreign country with respect to United States military forces outside 

the United States, the Secretary of Defense shall, in advance of the signing of the agreement, submit to the congressional defense committees a report on the Federal budget implications of the agreement.".

 Repeal of provision relating to notice of proposed changes in combat assignments for female members. Act 

Nov. 30, 1993, P.L. 103-160, Div A, Title V, Subtitle D, § 542, 107 Stat. 1659; Oct. 30, 2000, P.L. 106-398, § 1, 114 

Stat. 1654 (enacting into law § 573(b) of Subtitle G of Title V of Division A of H.R. 5408 (114 Stat. 1654A-136), as 

introduced on Oct. 6, 2000); Dec. 28, 2001, P.L. 107-107, Div A, Title V, Subtitle J, § 591, 115 Stat. 1125, which formerly appeared as a note to this section, was repealed by Act Jan. 6, 2006, P.L. 109-163, Div A, Title V, Subtitle D, § 

541(c), 119 Stat. 3253. Such note provided for notification to Congress of proposed changes in combat assignments to 

which female members may be assigned. For similar provisions, see 10 USCS § 652.

 Gender-neutral occupational performance standards. Act Nov. 30, 1993, P.L. 103-160, Div A, Title V, Subtitle 

D, § 543, 107 Stat. 1659, provides:

 "(a) Gender neutrality requirement. In the case of any military occupational career field that is open to both male and 

female members of the Armed Forces, the Secretary of Defense--

 "(1) shall ensure that qualification of members of the Armed Forces for, and continuance of members of the 

Armed Forces in, that occupational career field is evaluated on the basis of common, relevant performance standards, 

without differential standards or evaluation on the basis of gender;

 "(2) may not use any gender quota, goal, or ceiling except as specifically authorized by law; and

 "(3) may not change an occupational performance standard for the purpose of increasing or decreasing the number 

of women in that occupational career field.

 "(b) Requirements relating to use of specific physical requirements.

 (1) For any military occupational specialty for which the Secretary of Defense determines that specific physical 

requirements for muscular strength and endurance and cardiovascular capacity are essential to the performance of duties, the Secretary shall prescribe specific physical requirements for members in that specialty and shall ensure (in the 

case of an occupational specialty that is open to both male and female members of the Armed Forces) that those requirements are applied on a gender- neutral basis.

 "(2) Whenever the Secretary establishes or revises a physical requirement for an occupational specialty, a member 

serving in that occupational specialty when the new requirement becomes effective, who is otherwise considered to be a 

satisfactory performer, shall be provided a reasonable period, as determined under regulations prescribed by the Secretary, to meet the standard established by the new requirement. During that period, the new physical requirement may not 

be used to disqualify the member from continued service in that specialty.

 "(c) Notice to Congress of changes. Whenever the Secretary of Defense proposes to implement changes to the occupational standards for a military occupational field that are expected to result in an increase, or in a decrease, of at least 

10 percent in the number of female members of the Armed Forces who enter, or are assigned to, that occupational field, 

the Secretary of Defense shall submit to Congress a report providing notice of the change and the justification and rationale for the change. Such changes may then be implemented only after the end of the 60-day period beginning on the 

date on which such report is submitted.".

 Foreign language proficiency test program. Act Nov. 30, 1993, P.L. 103-160, Div A, Title V, Subtitle G, § 575, 

107 Stat. 1675, provides:

 "(a) Test program. The Secretary of Defense shall develop and carry out a test program for improving foreign language proficiency in the Department of Defense through improved management and other measures. The test program 

shall be designed to evaluate the findings and recommendations of--

 "(1) the June 1993 inspection report of the Inspector General of the Department of Defense on the Defense Foreign Language Program (report numbered 93-INS-10);

 "(2) the report of the Sixth Quadrennial Review of Military Compensation (August 1988); and

 "(3) any other recent study of the foreign language proficiency program of the Department of Defense.

 "(b) Evaluation of prior recommendations. The test program shall include an evaluation of the following possible 

changes to current practice identified in the reports referred to in subsection (a):

 "(1) Management of linguist billets and personnel for the active and reserve components from a Total Force perspective.

 "(2) Improvement of linguist training programs, both resident and nonresident, to provide greater flexibility, to 

accommodate missions other than signals intelligence, and to improve the provision of resources for nonresident programs.

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 "(3) Centralized responsibility within the Office of the Secretary of Defense to provide coordinated oversight of 

all foreign language issues and programs, including a centralized process for determination, validation, and documentation of foreign language requirements for different services and missions.

 "(4) Revised policies of each of the military departments to foster maintenance of highly perishable linguistic 

skills through improved management of the careers of language-trained personnel, including more effective use of language skills, improved career opportunities within the linguistics field, and specific linkage of language proficiency to 

promotions.

 "(5) In the case of language-trained members of the reserve components--

 "(A) the use of additional training assemblies (ATAs) as a means of sustaining linguistic proficiency and enhancing retention; and

 "(B) the use of larger enlistment and reenlistment bonuses, Special Duty Assignment Pay, and educational incentives. 

 "(6) Such other management changes as the Secretary may consider necessary.

 "(c) Evaluation of adjustment in foreign language proficiency pay.

 (1) The Secretary shall include in the test program an evaluation of adjustments in foreign language proficiency 

pay for active and reserve component personnel (which may be adjusted for purposes of the test program without regard 

to section 316(b) of title 37, United States Code).

 "(2) Before any adjustment in foreign language proficiency pay is included in the test program as authorized by 

paragraph (1), the Secretary shall submit to the committees named in subsection (d)(2) the following information related 

to proficiency pay adjustments:

 "(A) The response of the Secretary to the findings of the Inspector General in the report on the Defense Foreign Language Program referred to in subsection (a)(1), specifically including the following matters raised in that report: substituted this section for one which read: substituted this section for one which read:

 "(i) Inadequate centralized oversight of planning, policy, roles, responsibilities, and funding for foreign 

language programs.

 "(ii) Inadequate management and validation of the requirements process for foreign language programs.

 "(iii) Inadequate uniform career management of language-trained personnel, including failure to take sufficient advantage of language skills and to recoup investment of training dollars.

 "(iv) Inadequate training programs, both resident and nonresident.

 "(B) The current manning of linguistic billets (shown by service, by active or reserve component, and by career 

field).

 "(C) The rates of retention in the service for language-trained personnel (shown by service, by active or reserve 

component, and by career field).

 "(D) The rates of retention by career field for language-trained personnel (shown by service and by active or 

reserve component).

 "(E) The rates of language proficiency for personnel serving in linguistic billets (shown by service, by active or 

reserve component, and by career field).

 "(F) Trends in performance ratings for personnel serving in linguistic billets (shown by service, by active or 

reserve component, and by career field).

 "(G) Promotion rates for personnel serving in linguistic billets (shown by service, by active or reserve component, and by career field).

 "(H) The estimated cost of foreign language proficiency pay as proposed to be paid at the adjusted rates for the 

test program under paragraph (1)--

 "(i) for each year of the test program; and

 "(ii) for five years, if those rates are subsequently applied to the entire Department of Defense.

 "(3) The rates for adjusted foreign language proficiency pay as proposed to be paid for the test program under 

paragraph (1) may not take effect for the test program unless the senior official responsible for personnel matters in the 

Office of the Secretary of Defense determines that--

 "(A) the foreign language proficiency pay levels established for the test program are consistent with proficiency pay levels for other functions throughout the Department of Defense; and

 "(B) the terms and conditions for receiving foreign language proficiency pay conform to current policies and 

practices within the Department of Defense.

 "(d) Report on plan for test program.

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 (1) The Secretary of Defense shall submit to the committees named in paragraph (2) a report containing a plan for 

the test program required in subsection (a), an explanation of the plan, and a discussion of the matters stated in subsection (c)(2). The report shall be submitted not later than April 1, 1994.

 "(2) The committees referred to in paragraph (1) are--

 "(A) the Committee on Armed Services and the Permanent Select Committee on Intelligence of the House of 

Representatives; and

 "(B) the Committee on Armed Services and the Select Committee on Intelligence of the Senate.

 "(e) Period of test program.

 (1) The test program required by subsection (a) shall begin on October 1, 1994. However, if the report required by 

subsection (d) is not submitted by the date specified in that subsection for the submission of the report, the test program 

shall begin at the end of a period of 180 days (as computed under paragraph (2)) beginning on the date on which such 

report is submitted.

 "(2) For purposes of paragraph (1), days on which either House is not in session because of an adjournment of 

more than 3 days to a day certain or because of an adjournment sine die shall be excluded in the computation of such 

180-day period.

 "(3) The test program shall terminate two years after it begins.".

 Security clearances for civilian employees. Act Nov. 30, 1993, P.L. 103-160, Div A, Title XI, Subtitle H, § 1183, 

107 Stat. 1774, provides:

 "(a) Review of security clearance procedures.

 (1) The Secretary of Defense shall conduct a review of the procedural safeguards available to Department of Defense civilian employees who are facing denial or revocation of security clearances.

 "(2) Such review shall specifically consider--

 "(A) whether the procedural rights provided to Department of Defense civilian employees should be enhanced 

to include the procedural rights available to Department of Defense contractor employees;

 "(B) whether the procedural rights provided to Department of Defense civilian employees should be enhanced 

to include the procedural rights available to similarly situated employees in those Government agencies that provide 

greater rights than the Department of Defense; and

 "(C) whether there should be a difference between the rights provided to both Department of Defense civilian 

and contractor employees with respect to security clearances and the rights provided with respect to sensitive compartmented information and special access programs.

 "(b) Report. The Secretary shall submit to Congress a report on the results of the review required by subsection (a) 

not later than March 1, 1994.

 "(c) Regulations. The Secretary shall revise the regulations governing security clearance procedures for Department 

of Defense civilian employees not later than May 15, 1994.".

 Upgrade of Direct Communication Link; savings provision. Act Dec. 17, 1993, P.L. 103-199, Title IV, § 404(b), 

107 Stat. 2325, provides: "The amendment made by subsection (a)(2) [amending § 2(b) of Act Aug. 8, 1985, P.L. 

99-85, 99 Stat. 287, which appears as a note to this section] does not affect the applicability of section 2(b) of that joint 

resolution to funds received from the Soviet Union.".

 Requirements for automated information systems of the Department of Defense. Act Oct. 5, 1994, P.L. 

103-337, Div A, Title III, Subtitle H, § 381, 108 Stat. 2738, provides:

 "(a) Determination required.

 (1) Not later than March 15 in each of 1995, 1996, and 1997, the Secretary of Defense shall--

 "(A) determine whether each automated information system described in paragraph (2) meets the requirements 

set forth in subsection (b); and

 "(B) take appropriate action to end the modernization or development by the Department of Defense of any 

such system that the Secretary determines does not meet such requirements.

 "(2) An automated information system referred to in paragraph (1) is an automated information system--

 "(A) that is undergoing modernization or development by the Department of Defense;

 "(B) that exceeds $ 50,000,000 in value; and

 "(C) that is not a migration system, as determined by the Enterprise Integration Executive Board of the Department of Defense.

 "(b) Requirements. The use of an automated information system by the Department of Defense shall--

 "(1) contribute to the achievement of Department of Defense strategies for the use of automated information systems;

543 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(2) as determined by the Secretary, provide an acceptable benefit from the investment in the system or make a 

substantial contribution to the performance of the defense mission for which the system is used;

 "(3) comply with Department of Defense directives applicable to life cycle management of automated information 

systems; and

 "(4) be based on guidance developed under subsection (c).

 "(c) Guidance for use. The Secretary of Defense shall develop guidance for the use of automated information systems by the Department of Defense. In developing the guidance, the Secretary shall consider the following:

 "(1) Directives of the Office of Management and Budget applicable to returns of investment for such systems.

 "(2) A sound, functional economic analysis.

 "(3) Established objectives for the Department of Defense information infrastructure.

 "(4) Migratory assessment criteria, including criteria under guidance provided by the Defense Information Systems Agency.

 "(d) Waiver.

 (1) The Secretary of Defense may waive the requirements of subsection (a) for an automated information system 

if the Secretary determines that the purpose for which the system is being modernized or developed is of compelling 

military importance.

 "(2) If the Secretary exercises the waiver authority provided in paragraph (1), the Secretary shall include the following in the next report required by subsection (f):

 "(A) The reasons for the failure of the automated information system to meet all of the requirements of subsection (b).

 "(B) A determination of whether the system is expected to meet such requirements in the future, and if so, the 

date by which the system is expected to meet the requirements.

 "(e) Performance measures and management controls.

 (1) The Secretary of Defense shall establish performance measures and management controls for the supervision 

and management of the activities described in paragraph (2). The performance measures and management controls shall 

be adequate to ensure, to the maximum extent practicable, that the Department of Defense receives the maximum benefit possible from the development, modernization, operation, and maintenance of automated information systems.

 "(2) The activities referred to in paragraph (1) are the following:

 "(A) Accelerated implementation of migration systems.

 "(B) Establishment of data standards.

 "(C) Process improvement.

 "(f) Reports. Not later than March 15 in each of 1995, 1996, and 1997, the Secretary of Defense shall submit to Congress a report on the establishment and implementation of the performance measures and management controls referred 

to in subsection (e)(1). Each such report shall also specify--

 "(1) the automated information systems that, as determined under subsection (a), meet the requirements of subsection (b);

 "(2) the automated information systems that, as determined under subsection (a), do not meet the requirements of 

subsection (b) and the action taken by the Secretary to end the use of such systems; and

 "(3) the automated information systems that, as determined by the Enterprise Integration Executive Board, are 

migration systems.

 "(g) Review by Comptroller General. Not later than April 30, 1995, the Comptroller General of the United States 

shall submit to Congress a report that contains an evaluation of the following:

 "(1) The progress made by the Department of Defense in achieving the goals of the corporate information management program of the Department.

 "(2) The progress made by the Secretary of Defense in establishing the performance measures and management 

controls referred to in subsection (e)(1).

 "(3) The progress made by the Department of Defense in using automated information systems that meet the requirements of subsection (b).

 "(4) The report required by subsection (f) to be submitted in 1995.

 "(h) Definitions. In this section:

 "(1) The term 'automated information system' means an automated information system of the Department of Defense described in the exhibits designated as 'IT-43' in the budget submitted to Congress by the President for fiscal year 

1995 pursuant to section 1105 of title 31, United States Code.

 "(2) The term 'migration system' has the meaning given such term in the document entitled 'Department of Defense Strategy for Acceleration of Migration Systems and Data Standards' attached to the memorandum of the Depart544 DCMA Administrative Record for FY 2013 Furlough Appeals
ment of Defense dated October 13, 1993 (relating to accelerated implementation of migration systems, data standards, 

and process improvement).".

 Department of Defense policies and procedures on discrimination and sexual harassment. Section 532 of Act 

Oct. 5, 1994, P.L. 103-337, which formerly appeared as a note to this section, was transferred to 10 USCS § 1561 note.

 Annual report on personnel readiness factors by race and gender. Act Oct. 5, 1994, P.L. 103-337, Div A, Title 

V, Subtitle C, § 533, 108 Stat. 2760, provides:

 "(a) Required assessment. The Secretary of Defense shall submit to Congress an annual report on trends in recruiting, 

retention, and personnel readiness.

 "(b) Data to be collected. Each annual report under subsection (a) shall include the following information with respect to the preceding fiscal year for the active components of each of the Armed Forces under the jurisdiction of the 

Secretary (as well as such additional information as the Secretary considers appropriate):

 "(1) The numbers of members of the Armed Forces temporarily and permanently nondeployable and rates of 

temporary and permanent nondeployability, displayed by cause of nondeployability, rank, and gender.

 "(2) The numbers and rates of complaints and allegations within the Armed Forces that involve gender and other 

unlawful discrimination and sexual harassment, and the rates of substantiation for those complaints and allegations.

 "(3) The numbers and rates of disciplinary proceedings, displayed (A) by offense or infraction committed, (B) by 

gender, rank, and race, and (C) by the categories specified in para graph (2).

 "(4) The retention rates, by gender, rank, and race, with an analysis of factors influencing those rates.

 "(5) The propensity of persons to enlist, displayed by gender and race, with an analysis of the factors influencing 

those propensities.

 "(c) Submission to Congress. The Secretary shall submit the report under this section for any fiscal year as part of the 

annual Department of Defense posture statement provided to Congress in connection with the Department of Defense 

budget request for that fiscal year.

 "(d) Initial submission. The first report under this section shall be submitted in connection with the Department of 

Defense budget request for fiscal year 1996 and shall include data, to the degree such data already exists, for fiscal years 

after fiscal year 1991.".

 Victims' advocates programs in Department of Defense. Act Oct. 5, 1994, P.L. 103-337, Div A, Title V, Subtitle 

C, § 534, 108 Stat. 2761, provides:

 "(a) Establishment.

 (1) The Secretary of Defense, acting through the Under Secretary of Defense for Personnel and Readiness, shall 

revise policies and regulations of the Department of Defense with respect to the programs of the Department of Defense 

specified in paragraph (2) in order to establish within each of the military departments a victims' advocates program.

 "(2) Programs referred to in paragraph (1) are the following:

 "(A) Victim and witness assistance programs.

 "(B) Family advocacy programs.

 "(C) Equal opportunity programs.

 "(3) In the case of the Department of the Navy, separate victims' advocates programs shall be established for the 

Navy and the Marine Corps.

 "(b) Purpose. A victims' advocates program established pursuant to subsection (a) shall provide assistance described 

in subsection (d) to members of the Armed Forces and their dependents who are victims of any of the following:

 "(1) Crime.

 "(2) Intrafamilial sexual, physical, or emotional abuse.

 "(3) Discrimination or harassment based on race, gender, ethnic background, national origin, or religion.

 "(c) Interdisciplinary councils.

 (1) The Secretary of Defense shall establish a Department of Defense council to coordinate and oversee the implementation of programs under subsection (a). The membership of the council shall be selected from members of the 

Armed Forces and officers and employees of the Department of Defense having expertise or experience in a variety of 

disciplines and professions in order to ensure representation of the full range of services and expertise that will be 

needed in implementing those programs.

 "(2) The Secretary of each military department shall establish similar interdisciplinary councils within that military department as appropriate to ensure the fullest coordination and effectiveness of the victims' advocates program of 

that military department. To the extent practicable, such a council shall be established at each significant military installation.

 "(d) Assistance.

545 DCMA Administrative Record for FY 2013 Furlough Appeals
 (1) Under a victims' advocates program established under subsection (a), individuals working in the program shall 

principally serve the interests of a victim by initiating action to provide (A) information on available benefits and services, (B) assistance in obtaining those benefits and services, and (C) other appropriate assistance.

 "(2) Services under such a program in the case of an individual who is a victim of family violence (including intrafamilial sexual, physical, and emotional abuse) shall be provided principally through the family advocacy programs 

of the military departments.

 "(e) Staffing. The Secretary of Defense shall provide for the assignment of personnel (military or civilian) on a 

full-time basis to victims' advocates programs established pursuant to subsection (a). The Secretary shall ensure that 

sufficient numbers of such full-time personnel are assigned to those programs to enable those programs to be carried out 

effectively.

 "(f) Implementation deadline. Subsection (a) shall be carried out not later than six months after the date of the enactment of this Act.

 "(g) Implementation report. Not later than 30 days after the date on which Department of Defense policies and regulations are revised pursuant to subsection (a), the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and House of Representatives a report on the implementation (and plans for implementation) of this 

section.".

 Assistance to family members of Korean conflict and Cold War POW/MIAs who remain unaccounted for. Act 

Oct. 5, 1994, P.L. 103-337, Div A, Title X, Subtitle D, § 1031, 108 Stat. 2838, provides:

 "(a) Single point of contact. The Secretary of Defense shall designate an official of the Department of Defense to 

serve as a single point of contact within the department--

 "(1) for the immediate family members (or their designees) of any unaccounted-for Korean conflict POW/MIA; 

and

 "(2) for the immediate family members (or their designees) of any unaccounted-for Cold War POW/MIA.

 "(b) Functions. The official designated under subsection (a) shall serve as a liaison between the family members of 

unaccounted-for Korean conflict POW/MIAs and unaccounted-for Cold War POW/MIAs and the Department of Defense and other Federal departments and agencies that may hold information that may relate to such POW/MIAs. The 

functions of that official shall include assisting family members--

 "(1) with the procedures the family members may follow in their search for information about the unaccounted-for Korean conflict POW/MIA or unaccounted-for Cold War POW/MIA, as the case may be;

 "(2) in learning where they may locate information about the unaccounted-for POW/MIA; and

 "(3) in learning how and where to identify classified records that contain pertinent information and that will be 

declassified.

 "(c) Assistance in obtaining declassification. The official designated under subsection (a) shall seek to obtain the 

rapid declassification of any relevant classified records that are identified.

 "(d) Repository. The official designated under subsection (a) shall provide all documents relating to unaccounted-for 

Korean conflict POW/MIAs and unaccounted-for Cold War POW/MIAs that are located as a result of the official's efforts to the National Archives and Records Administration, which shall locate them in a centralized repository.

 "(e) Definitions. For purposes of this section:

 "(1) The term 'unaccounted-for Korean conflict POW/MIA' means a member of the Armed Forces or civilian employee of the United States who, as a result of service during the Korean conflict, was at any time classified as a prisoner of war or missing-in-action and whose person or remains have not been returned to United States control and who 

remains unaccounted for.

 "(2) The term 'unaccounted-for Cold War POW/MIA' means a member of the Armed Forces or civilian employee 

of the United States who, as a result of service during the period from September 2, 1945, to August 21, 1991, was at 

any time classified as a prisoner of war or missing-in-action and whose person or remains have not been returned to 

United States control and who remains unaccounted for.

 "(3) The term 'Korean conflict' has the meaning given such term in section 101(9) of title 38, United States 

Code.".

 Annual report on denial, revocation, and suspension of security clearances. Act Oct. 5, 1994, P.L. 103-337, Div 

A, Title X, Subtitle E, § 1041, 108 Stat. 2842, provides:

 "(a) In general. The Secretary of Defense shall submit to Congress, not later than 90 days after the close of each of 

fiscal years 1995 through 2000, a report concerning the denial, revocation, or suspension of security clearances for Department of Defense military and civilian personnel, and for Department of Defense contractor employees, for that fiscal year.

546 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(b) Matter to be included in report. The Secretary shall include in each such report the following information with 

respect to the fiscal year covered by the report (shown separately for members of the Armed Forces, civilian officers 

and employees of the Department of Defense, and employees of contractors of the Department of Defense):

 "(1) The number of denials, revocations, and suspensions of a security clearance, including clearance for special 

access programs and for sensitive compartmented information.

 "(2) For cases involving the denial or revocation of a security clearance, the average period from the date of the 

initial determination and notification to the individual concerned of the denial or revocation of the clearance to the date 

of the final determination of the denial or revocation, as well as the shortest and longest period in such cases.

 "(3) For cases involving the suspension of a security clearance, the average period from the date of the initial determination and notification to the individual concerned of the suspension of the clearance to the date of the final determination of the suspension, as well as the shortest and longest period of such cases.

 "(4) The number of cases in which a security clearance was suspended in which the resolution of the matter was 

the restoration of the security clearance, and the average period for such suspensions.

 "(5) The number of cases (shown only for members of the Armed Forces and civilian officers and employees of 

the Department of Defense) in which an individual who had a security clearance denied or revoked remained a member 

of the Armed Forces or a civilian officer or employee, as the case may be, at the end of the fiscal year.

 "(6) The number of cases in which an individual who had a security clearance suspended, and in which no final 

determination had been made, remained a member of the Armed Forces, a civilian officer or employee, or an employee 

of a contractor, as the case may be, at the end of the fiscal year.

 "(7) The number of cases in which an appeal was made from a final determination to deny or revoke a security 

clearance and, of those, the number in which the appeal resulted in the granting or restoration of the security clearance.".

 George C. Marshall European Center for Security Studies. Act Oct. 5, 1994, P.L. 103-337, Div A, Title XIII, 

Subtitle A, § 1306, 108 Stat. 2892; Nov. 24, 2003, P.L. 108-136, Div A, Title XII, Subtitle C, § 1223, 117 Stat. 1652; 

Jan. 6, 2006, P.L. 109-163, Div A, Title IX, Subtitle A, § 903(c)(1), 119 Stat. 3399, provides:, provides:

 "(a) Waiver of charges. The Secretary of Defense may waive reimbursement of the costs of conferences, seminars, 

courses of instruction, or similar educational activities of the George C. Marshall European Center for Security Studies 

for military officers and civilian officials from states located in Europe or the territory of the former Soviet Union if the

Secretary determines that attendance by such personnel without reimbursement is in the national security interest of the 

United States.

 "(b) Source of funds. Costs for which reimbursement is waived pursuant to subsection (a) shall be paid from appropriations available for the Center.".

 Effectiveness of amendments made by § 1501 of Act Feb. 10, 1996. Act Feb. 10, 1996, P.L. 104-106, Div A, Title 

XV, § 1501(f)(3), 110 Stat. 501, provides: "The amendments made by this section [for full classification, consult USCS 

Tables volumes] shall take effect as if included in the Reserve Officer Personnel Management Act [Act Oct. 5, 1994, 

P.L. 103-337, 108 Stat. 2663] as enacted on October 5, 1994.".

 Review of C<4>I by National Research Council. Act Feb. 10, 1996, P.L. 104-106, Div A, Title II, Subtitle E, § 

262, 110 Stat. 236, provides:

 "(a) Review by National Research Council. Not later than 90 days after the date of the enactment of this Act, the 

Secretary of Defense shall request the National Research Council of the National Academy of Sciences to conduct a 

comprehensive review of current and planned service and defense-wide programs for command, control, communications, computers, and intelligence (C<4>I) with a special focus on cross-service and inter-service issues.

 "(b) Matters to be assessed in review. The review shall address the following:

 "(1) The match between the capabilities provided by current service and defense-wide C<4>I programs and the 

actual needs of users of these programs.

 "(2) The interoperability of service and defense-wide C<4>I systems that are planned to be operational in the future.

 "(3) The need for an overall defense-wide architecture for C<4>I.

 "(4) Proposed strategies for ensuring that future C<4>I acquisitions are compatible and interoperable with an 

overall architecture.

 "(5) Technological and administrative aspects of the C<4>I modernization effort to determine the soundness of 

the underlying plan and the extent to which it is consistent with concepts for joint military operations in the future.

 "(c) Two-year period for conducting review. The review shall be conducted over the two-year period beginning on 

the date on which the National Research Council and the Secretary of Defense enter into a contract or other agreement 

for the conduct of the review.

547 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(d) Reports.

 (1) In the contract or other agreement for the conduct of the review, the Secretary of Defense shall provide that 

the National Research Council shall submit to the Department of Defense and Congress interim reports and progress 

updates on a regular basis as the review proceeds. A final report on the review shall set forth the findings, conclusions, 

and recommendations of the Council for defense-wide and service C<4>I programs and shall be submitted to the Committee on Armed Services of the Senate, the Committee on National Security of the House of Representatives, and the 

Secretary of Defense.

 "(2) To the maximum degree possible, the final report shall be submitted in unclassified form with classified annexes as necessary.

 "(e) Interagency cooperation with study. All military departments, defense agencies, and other components of the 

Department of Defense shall cooperate fully with the National Research Council in its activities in carrying out the review under this section.

 "(f) Expedited processing of security clearances for study. For the purpose of facilitating the commencement of the 

study under this section, the Secretary of Defense shall expedite to the fullest degree possible the processing of security 

clearances that are necessary for the National Research Council to conduct the study.

 "(g) Funding. Of the amount authorized to be appropriated in section 201 [unclassified] for defense-wide activities, $ 

900,000 shall be available for the study under this section.".

 Strategy and report on automated information systems of Department of Defense. Act Feb. 10, 1996, P.L. 

104-106, Div A, Title III, Subtitle F, § 366, 110 Stat. 275, provides:

 "(a) Development of strategy. The Secretary of Defense shall develop a strategy for the development or modernization of automated information systems for the Department of Defense.

 "(b) Matters to consider. In developing the strategy required under subsection (a), the Secretary shall consider the 

following: 

 "(1) The use of performance measures and management controls.

 "(2) Findings of the Functional Management Review conducted by the Secretary.

 "(3) Program management actions planned by the Secretary.

 "(4) Actions and milestones necessary for completion of functional and economic analyses for--

 "(A) the Automated System for Transportation data;

 "(B) continuous acquisition and life cycle support;

 "(C) electronic data interchange;

 "(D) flexible computer integrated manufacturing;

 "(E) the Navy Tactical Command Support System; and

 "(F) the Defense Information System Network.

 "(5) Progress made by the Secretary in resolving problems with respect to the Defense Information System Network and the Joint Computer-Aided Acquisition and Logistics Support System.

 "(6) Tasks identified in the review conducted by the Secretary of the Standard Installation/Division Personnel 

System-3.

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

 "(c) Report on strategy.

 (1) Not later than April 15, 1996, the Secretary shall submit to Congress a report on the development of the strategy required under subsection (a).

 "(2) In the case of the Air Force Wargaming Center, the Air Force Command Exercise System, the Cheyenne 

Mountain Upgrade, the Transportation Coordinator Automated Command and Control Information Systems, and the 

Wing Command and Control Systems, the report required by paragraph (1) shall provide functional economic analyses 

and address waivers exercised for compelling military importance under section 381(d) of the National Defense Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2739) [note to this section].

 "(3) The report required by paragraph (1) shall also include the following:

 "(A) A certification by the Secretary of the termination of the Personnel Electronic Record Management System or a justification for the continued need for such system.

 "(B) Findings of the Functional Management Review conducted by the Secretary and program management 

actions planned by the Secretary for--

 "(i) the Base Level System Modernization and the Sustaining Base Information System; and

 "(ii) the Standard Installation/Division Personnel System-3.

 "(C) An assessment of the implementation of migration systems and applications, including--

548 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(i) identification of the systems and applications by functional or business area, specifying target dates for 

operation of the systems and applications;

 "(ii) identification of the legacy systems and applications that will be terminated;

 "(iii) the cost of and schedules for implementing the migration systems and applications; and

 "(iv) termination schedules.

 "(D) A certification by the Secretary that each information system that is subject to review by the Major Automated Information System Review Committee of the Department is cost-effective and supports the corporate information management goals of the Department, including the results of the review conducted for each such system by the 

Committee.".

 Report concerning appropriate forum for judicial review of Department of Defense personnel actions. Act 

Feb. 10, 1996, P.L. 104-106, Div A, Title V, Subtitle E, § 551, 110 Stat. 318, provides:

 "(a) Establishment. The Secretary of Defense shall establish an advisory committee to consider issues relating to the 

appropriate forum for judicial review of Department of Defense administrative personnel actions.

 "(b) Membership.

 (1) The committee shall be composed of five members, who shall be appointed by the Secretary of Defense after 

consultation with the Attorney General and the Chief Justice of the United States.

 "(2) All members of the committee shall be appointed not later than 30 days after the date of the enactment of this 

Act.

 "(c) Duties. The committee shall review, and provide findings and recommendations regarding, the following matters 

with respect to judicial review of administrative personnel actions of the Department of Defense:

 "(1) Whether the existing forum for such review through the United States district courts provides appropriate and 

adequate review of such actions.

 "(2) Whether jurisdiction to conduct judicial review of such actions should be established in a single court in order to provide a centralized review of such actions and, if so, in which court that jurisdiction should be vested.

 "(d) Report.

 (1) Not later than December 15, 1996, the committee shall submit to the Secretary of Defense a report setting 

forth its findings and recommendations, including its recommendations pursuant to subsection (c).

 "(2) Not later than January 1, 1997, the Secretary of Defense, after consultation with the Attorney General, shall 

transmit the committee's report to Congress. The Secretary may include in the transmittal any comments on the report 

that the Secretary or the Attorney General consider appropriate.

 "(e) Termination of committee. The committee shall terminate 30 days after the date of the submission of its report to 

Congress under subsection (d)(2).".

 Order of succession. For the order of succession in event of death, disability, or absence of the Secretary, see Ex. 

Ord. No. 13000 of April 24, 1996, 61 Fed. Reg. 18483, which appears as 5 USCS § 3345 note.

 Enforcement of child support obligations of members of the armed forces; availability of locator information.

Act Aug. 22, 1996, P.L. 104-193, Title III, Subtitle G, § 363(a), 110 Stat. 2247; Nov. 25, 2002, P.L. 107-296, Title 

XVII, § 1704(e)(1)(A), 116 Stat. 2315, provides:

 "(1) Maintenance of address information. The Secretary of Defense shall establish a centralized personnel locator 

service that includes the address of each member of the Armed Forces under the jurisdiction of the Secretary. Upon request of the Secretary of Homeland Security, addresses for members of the Coast Guard shall be included in the centralized personnel locator service.

 "(2) Type of address.

 (A) Residential address. Except as provided in subparagraph (B), the address for a member of the Armed Forces 

shown in the locator service shall be the residential address of that member.

 "(B) Duty address. The address for a member of the Armed Forces shown in the locator service shall be the duty 

address of that member in the case of a member--

 "(i) who is permanently assigned overseas, to a vessel, or to a routinely deployable unit; or

 "(ii) with respect to whom the Secretary concerned makes a determination that the member's residential address should not be disclosed due to national security or safety concerns.

 "(3) Updating of locator information. Within 30 days after a member listed in the locator service establishes a new 

residential address (or a new duty address, in the case of a member covered by paragraph (2)(B)), the Secretary concerned shall update the locator service to indicate the new address of the member.

 "(4) Availability of information. The Secretary of Defense shall make information regarding the address of a member 

of the Armed Forces listed in the locator service available, on request, to the Federal Parent Locator Service established 

under section 453 of the Social Security Act [42 USCS § 653].".

549 DCMA Administrative Record for FY 2013 Furlough Appeals
 Hate crimes in the military. Act Sept. 23, 1996, P.L. 104-201, Div A, Title V, Subtitle H, § 571(a), (b), 110 Stat. 

2532, provides:

 "(a) Human relations training.

 (1) The Secretary of Defense shall ensure that the Secretary of each military department conducts ongoing programs for human relations training for all members of the Armed Forces under the jurisdiction of the Secretary. Matters 

to be covered by such training include race relations, equal opportunity, opposition to gender discrimination, and sensitivity to "hate group" activity. Such training shall be provided during basic training (or other initial military training) 

and on a regular basis thereafter.

 "(2) The Secretary of Defense shall also ensure that unit commanders are aware of their responsibilities in ensuring that impermissible activity based upon discriminatory motives does not occur in units under their command.

 "(b) Information to be provided to prospective recruits. The Secretary of Defense shall ensure that each individual 

preparing to enter an officer accession program or to execute an original enlistment agreement is provided information 

concerning the meaning of the oath of office or oath of enlistment for service in the Armed Forces in terms of the equal 

protection and civil liberties guarantees of the Constitution, and each such individual shall be informed that if supporting those guarantees is not possible personally for that individual, then that individual should decline to enter the Armed 

Forces.".

 Expansion of report on implementation of automated information systems to include additional matters regarding information resources management. Act Sept. 23, 1996, P.L. 104-201, Div A, Title VIII, Subtitle B, § 830, 

110 Stat. 2614; Sept. 30, 1996, P.L. 104-208, Div A, Title I, § 101(f) [Title VIII, § 808(c)], 110 Stat. 3009-394, provides:

 "(a) Expanded report. The Secretary of Defense shall include in the report submitted in 1997 under section 381(f) of 

the National Defense Authorization Act for Fiscal Year 1995 (Public Law 103-337; 10 U.S.C. 113 note) a discussion of 

the following matters relating to information resources management:

 "(1) The progress made in implementing the Information Technology Management Reform Act of 1996 (division 

E of Public Law 104-106; 110 Stat. 679; 40 U.S.C. 1401 et seq.) [repealed and reenacted as 40 USCS §§ 11101 et seq.] 

and the amendments made by that Act [for full classification, consult USCS Tables volumes].

 "(2) The progress made in implementing the strategy for the development or modernization of automated information systems for the Department of Defense, as required by section 366 of the National Defense Authorization Act 

for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 275; 10 U.S.C. 113 note).

 "(3) Plans of the Department of Defense for establishing an integrated framework for management of information 

resources within the department.

 "(b) Specific elements of report. The presentation of matters under subsection (a) shall specifically include a discussion of the following:

 "(1) The status of the implementation of performance measures.

 "(2) The specific actions being taken to link the proposed performance measures to the planning, programming, 

and budgeting system of the Department of Defense and to the life-cycle management processes of the department.

 "(3) The results of pilot program testing of proposed performance measures.

 "(4) The additional training necessary for the implementation of performance-based information management.

 "(5) The department-wide actions that are necessary to comply with the requirements of the following provisions 

of law:

 "(A) The amendments made by the Government Performance and Results Act of 1993 (Public Law 103-62; 

107 Stat. 285) [for full classification, consult USCS Tables volumes].

 "(B) The Information Technology Management Reform Act of 1996 (division E of Public Law 104-106; 110 

Stat. 679; 40 U.S.C. 1401 et seq.) [repealed and reenacted as 40 USCS §§ 11101 et seq.] and the amendments made by 

that Act [for full classification, consult USCS Tables volumes].

 "(C) Title V of the Federal Acquisition Streamlining Act of 1994 (Public Law 103-355; 108 Stat. 3349) and the 

amendments made by that title [for full classification, consult USCS Tables volumes].

 "(D) The Chief Financial Officers Act of 1990 (Public Law 101-576; 104 Stat. 2838) and the amendments 

made by that Act [for full classification, consult USCS Tables volumes].".

 Annual report on Operation Provide Comfort and Operation Enhanced Southern Watch. Act Sept. 23, 1996, 

P.L. 104-201, Div A, Title X, Subtitle D, § 1041, 110 Stat. 2640, provides:

 "(a) Annual report. Not later than March 1 of each year, the Secretary of Defense shall submit to Congress a report 

on Operation Provide Comfort and Operation Enhanced Southern Watch.

 "(b) Matters relating to Operation Provide Comfort. Each report under subsection (a) shall include, with respect to 

Operation Provide Comfort, the following:

550 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(1) A detailed presentation of the projected costs to be incurred by the Department of Defense for that operation 

during the fiscal year in which the report is submitted and projected for the following fiscal year, together with a discussion of missions and functions expected to be performed by the Department as part of that operation during each of 

those fiscal years.

 "(2) A detailed presentation of the projected costs to be incurred by other departments and agencies of the Federal 

Government participating in or providing support to that operation during each of those fiscal years.

 "(3) A discussion of options being pursued to reduce the involvement of the Department of Defense in those aspects of that operation that are not directly related to the military mission of the Department of Defense.

 "(4) A discussion of the exit strategy for United States involvement in, and support for, that operation.

 "(5) A description of alternative approaches to accomplishing the mission of that operation that are designed to 

limit the scope and cost to the Department of Defense of accomplishing that mission while maintaining mission success.

 "(6) The contributions (both in-kind and actual) by other nations to the costs of conducting that operation.

 "(7) A detailed presentation of significant Iraqi military activity (including specific violations of the no-fly zone) 

determined to jeopardize the security of the Kurdish population in northern Iraq.

 "(c) Matters relating to Operation Enhanced Southern Watch. Each report under subsection (a) shall include, with 

respect to Operation Enhanced Southern Watch, the following:

 "(1) The expected duration and annual costs of the various elements of that operation.

 "(2) The political and military objectives associated with that operation.

 "(3) The contributions (both in-kind and actual) by other nations to the costs of conducting that operation.

 "(4) A description of alternative approaches to accomplishing the mission of that operation that are designed to 

limit the scope and cost of accomplishing that mission while maintaining mission success.

 "(5) A comprehensive discussion of the political and military objectives and initiatives that the Department of 

Defense has pursued, and intends to pursue, in order to reduce United States involvement in that operation.

 "(6) A detailed presentation of significant Iraqi military activity (including specific violations of the no-fly zone) 

determined to jeopardize the security of the Shiite population by air attack in southern Iraq or to jeopardize the security 

of Kuwait.

 "(d) Termination of report requirement. The requirement under subsection (a) shall cease to apply with respect to an 

operation named in that subsection upon the termination of United States involvement in that operation.

 "(e) Definitions. For purposes of this section:

 "(1) Operation Enhanced Southern Watch. The term 'Operation Enhanced Southern Watch' means the operation of 

the Department of Defense that as of October 30, 1995, is designated as Operation Enhanced Southern Watch.

 "(2) Operation Provide Comfort. The term 'Operation Provide Comfort' means the operation of the Department of 

Defense that as of October 30, 1995, is designated as Operation Provide Comfort.".

 Repeal of provision requiring annual report on emerging operational concepts. Act Sept. 23, 1996, P.L. 

104-201, Div A, Title X, Subtitle D, § 1042, 110 Stat. 2642; Oct. 5, 1999, P.L. 106-65, Div A, Title X, Subtitle G, § 

1067(5), 113 Stat. 774, which formerly appeared as a note to this section, was repealed by Act Oct. 5, 1999, P.L. 

106-65, Div A, Title II, Subtitle D, § 241(b), 113 Stat. 550. Such note provided for an annual report on emerging operational concepts. For similar provisions, see 10 USCS § 486.

 George C. Marshall European Center for Strategic Security Studies. Act Sept. 23, 1996, P.L. 104-201, Div A, 

Title X, Subtitle F, § 1065, 110 Stat. 2653; Nov. 24, 2003, P.L. 108-136, Div A, Title X, Subtitle D, § 1031(f)(2), 117 

Stat. 1604; Jan. 6, 2006, P.L. 109-163, Div A, Title IX, Subtitle A, § 903(c)(2), 119 Stat. 3399, provides:

 "(a) Marshall Center participation by foreign nations. Notwithstanding any other provision of law, the Secretary of 

Defense may authorize participation by a European or Eurasian nation in Marshall Center programs if the Secretary 

determines, after consultation with the Secretary of State, that such participation is in the national interest of the United 

States.

 "(b) Exemptions for members of Marshall Center Board of Visitors from certain requirements.

 (1) In the case of any person invited to serve without compensation on the Marshall Center Board of Visitors, the 

Secretary of Defense may waive any requirement for financial disclosure that would otherwise apply to that person 

solely by reason of service on such Board.

 "(2) Notwithstanding any other provision of law, a member of the Marshall Center Board of Visitors may not be 

required to register as an agent of a foreign government solely by reason of service as a member of the Board.

 "(3) Notwithstanding section 219 of title 18, United States Code [18 USCS § 219], a non-United States citizen 

may serve on the Marshall Center Board of Visitors even though registered as a foreign agent.".

 Participation of members, dependents, and other persons in crime prevention efforts at installations. Act Sept. 

23, 1996, P.L. 104-201, Div A, Title X, Subtitle F, § 1070, 110 Stat. 2656, provides:

551 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(a) Crime prevention plan. The Secretary of Defense shall prepare and implement an incentive-based plan to encourage members of the Armed Forces, dependents of members, civilian employees of the Department of Defense, and 

employees of defense contractors performing work at military installations to report to an appropriate military law enforcement agency any crime or criminal activity that the person reasonably believes occurred on a military installation 

or involves a member of the Armed Forces.

 "(b) Incentives to report criminal activity. The Secretary of Defense shall include in the plan developed under subsection (a) incentives for members and other persons described in such subsection to provide information to appropriate 

military law enforcement agencies regarding any crime or criminal activity occurring on a military installation or involving a member of the Armed Forces.

 "(c) Report regarding implementation. Not later than February 1, 1997, the Secretary shall submit to Congress a report describing the plan being developed under subsection (a).".

 Requirement for prior matching of disbursements to particular obligations. Act Sept. 30, 1996, P.L. 104-208, 

Div A, Title I, § 101(b) [Title VIII, § 8106], 110 Stat. 3009-111; Oct. 8, 1997, P.L. 105-56, Title VIII, § 8113, 111 Stat. 

1245 (effective June 30, 1998); Oct. 21, 1998, P.L. 105-277, Div C, Title I, § 143, 112 Stat. 2681-609; Oct. 25, 1999, 

P.L. 106-79, Title VIII, § 8135, 113 Stat. 1268, provides:

 "(a) The Secretary of Defense shall require each disbursement by the Department of Defense in an amount in excess 

of $ 500,000 be matched to a particular obligation before the disbursement is made.

 "(b) The Secretary shall ensure that a disbursement in excess of the threshold amount applicable under section (a) is 

not divided into multiple disbursements of less than that amount for the purpose of avoiding the applicability of such 

section to that disbursement.".

 Similar provisions were contained in Acts Sept. 30, 1994, P.L. 103-335, Title VIII, § 8137, 108 Stat. 2654; Dec. 1, 

1995, P.L. 104-61, Title VIII, § 8102, 109 Stat. 672.

 Program to investigate fraud, waste, and abuse within Department of Defense. Act Nov. 18, 1997, P.L. 105-85, 

Div A, Title III, Subtitle F, § 392, 111 Stat. 1717; Oct. 17, 1998, P.L. 105-261, Div A, Title III, Subtitle G, § 374, 112 

Stat. 1992, provides: "The Secretary of Defense shall maintain a specific coordinated program for the investigation of 

evidence of fraud, waste, and abuse within the Department of Defense, particularly fraud, waste, and abuse regarding 

finance and accounting matters and any fraud, waste, and abuse occurring in connection with overpayments made to 

vendors by the Department of Defense, including overpayments identified under section 354 of the National Defense 

Authorization Act for Fiscal Year 1996 (Public Law 104-106; 10 U.S.C. 2461 note).".

 Coordination of Department of Defense criminal investigations and audits. Act Nov. 18, 1997, P.L. 105-85, Div 

A, Title IX, Subtitle A, § 907, 111 Stat. 1856, provides:

 "(a) Military department criminal investigative organizations.

 (1) The heads of the military department criminal investigative organizations shall take such action as may be 

practicable to conserve the limited resources available to the military department criminal investigative organizations by 

sharing personnel, expertise, infrastructure, training, equipment, software, and other resources.

 "(2) The heads of the military department criminal investigative organizations shall meet on a regular basis to 

determine the manner in which and the extent to which the military department criminal investigative organizations will 

be able to share resources.

 "(b) Defense auditing organizations.

 (1) The heads of the defense auditing organizations shall take such action as may be practicable to conserve the 

limited resources available to the defense auditing organizations by sharing personnel, expertise, infrastructure, training, 

equipment, software, and other resources.

 "(2) The heads of the defense auditing organizations shall meet on a regular basis to determine the manner in 

which and the extent to which the defense auditing organizations will be able to share resources.

 "(c) Implementation plan. Not later than December 31, 1997, the Secretary of Defense shall submit to Congress a 

plan designed to maximize the resources available to the military department criminal investigative organizations and 

the defense auditing organizations, as required by this section.

 "(d) Definitions. For purposes of this section:

 "(1) The term 'military department criminal investigative organizations' means--

 "(A) the Army Criminal Investigation Command;

 "(B) the Naval Criminal Investigative Service; and

 "(C) the Air Force Office of Special Investigations.

 "(2) The term 'defense auditing organizations' means--

 "(A) the Office of the Inspector General of the Department of Defense;

 "(B) the Defense Contract Audit Agency;

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 "(C) the Army Audit Agency;

 "(D) the Naval Audit Service; and

 "(E) the Air Force Audit Agency.".

 Provision of adequate troop protection equipment for armed forces personnel engaged in peace operations; 

report on antiterrorism activities and protection of personnel. Act Nov. 18, 1997, P.L. 105-85, Div A, Title X, Subtitle E, § 1052, 111 Stat. 1889, provides:

 "(a) Protection of personnel. The Secretary of Defense shall take appropriate actions to ensure that units of the 

Armed Forces engaged in a peace operation are provided adequate troop protection equipment for that operation.

 "(b) Specific actions. In taking actions under subsection (a), the Secretary shall--

 "(1) identify the additional troop protection equipment, if any, required to equip a division (or the equivalent of a 

division) with adequate troop protection equipment for peace operations; and

 "(2) establish procedures to facilitate the exchange or transfer of troop protection equipment among units of the 

Armed Forces.

 "(c) Designation of responsible official. The Secretary of Defense shall designate an official within the Department 

of Defense to be responsible for--

 "(1) ensuring the appropriate allocation of troop protection equipment among the units of the Armed Forces engaged in peace operations; and

 "(2) monitoring the availability, status or condition, and location of such equipment.

 "(d) Troop protection equipment defined. In this section, the term 'troop protection equipment' means the equipment 

required by units of the Armed Forces to defend against any hostile threat that is likely during a peace operation, including an attack by a hostile crowd, small arms fire, mines, and a terrorist bombing attack.

 "(e) Report on antiterrorism activities of the Department of Defense and protection of personnel. Not later than 120 

days after the date of the enactment of this Act, the Secretary of Defense shall submit to Congress a report, in classified 

and unclassified form, on antiterrorism activities of the Department of Defense and the actions taken by the Secretary 

under subsections (a), (b), and (c). The report shall include the following:

 "(1) A description of the programs designed to carry out antiterrorism activities of the Department of Defense, 

any deficiencies in those programs, and any actions taken by the Secretary to improve implementation of such programs.

 "(2) An assessment of the current policies and practices of the Department of Defense with respect to the protection of members of the Armed Forces overseas against terrorist attack, including any modifications to such policies or 

practices that are proposed or implemented as a result of the assessment.

 "(3) An assessment of the procedures of the Department of Defense for determining accountability, if any, in the 

command structure of the Armed Forces in instances in which a terrorist attack results in the loss of life at an overseas 

military installation or facility.

 "(4) A detailed description of the roles of the Office of the Secretary of Defense, the Chairman of the Joint Chiefs 

of Staff, the Secretaries of the military departments, and the combatant commanders in providing guidance and support 

with respect to the protection of members of the Armed Forces deployed overseas against terrorist attack (both before 

and after the November 1995 bombing in Riyadh, Saudi Arabia) and how these roles have changed since the June 25, 

1996, terrorist bombing at Khobar Towers in Dhahran, Saudi Arabia.

 "(5) A description of the actions taken by the Secretary of Defense under subsections (a), (b), and (c) to provide 

adequate troop protection equipment for units of the Armed Forces engaged in a peace operation.".

 Study of investigative practices of military criminal investigative organizations relating to sex crimes. Act 

Nov. 18, 1997, P.L. 105-85, Div A, Title X, Subtitle G, § 1072, 111 Stat. 1898, provides:

 "(a) Independent study required.

 (1) The Secretary of Defense shall provide for an independent study of the policies, procedures, and practices of 

the military criminal investigative organizations for the conduct of investigations of complaints of sex crimes and other 

criminal sexual misconduct arising in the Armed Forces.

 "(2) The Secretary shall provide for the study to be conducted by the National Academy of Public Administration. 

The amount of a contract for the study may not exceed $ 2,000,000.

 "(3) The Secretary shall require that all components of the Department of Defense cooperate fully with the organization carrying out the study.

 "(b) Matters to be included in study. The Secretary shall require that the organization conducting the study under this 

section specifically consider each of the following matters:

 "(1) The need (if any) for greater organizational independence and autonomy for the military criminal investigative organizations than exists under current chain-of-command structures within the military departments.

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 "(2) The authority of each of the military criminal investigative organizations to investigate allegations of sex 

crimes and other criminal sexual misconduct and the policies of those organizations for carrying out such investigations.

 "(3) The training (including training in skills and techniques related to the conduct of interviews) provided by 

each of those organizations to agents or prospective agents responsible for conducting or providing support to investigations of alleged sex crimes and other criminal sexual misconduct, including--

 "(A) the extent to which that training is comparable to the training provided by the Federal Bureau of Investigation and other civilian law enforcement agencies; and

 "(B) the coordination of training and investigative policies related to alleged sex crimes and other criminal 

sexual misconduct of each of those organizations with the Federal Bureau of Investigation and other civilian Federal 

law enforcement agencies.

 "(4) The procedures and relevant professional standards of each military criminal investigative organization with 

regard to recruitment and hiring of agents, including an evaluation of the extent to which those procedures and standards 

provide for--

 "(A) sufficient screening of prospective agents based on background investigations; and

 "(B) obtaining sufficient information about the qualifications and relevant experience of prospective agents.

 "(5) The advantages and disadvantages of establishing, within each of the military criminal investigative organizations or within the Defense Criminal Investigative Service only, a special unit for the investigation of alleged sex 

crimes and other criminal sexual misconduct.

 "(6) The clarity of guidance for, and consistency of investigative tactics used by, each of the military criminal 

investigative organizations for the investigation of alleged sex crimes and other criminal sexual misconduct, together 

with a comparison with the guidance and tactics used by the Federal Bureau of Investigation and other civilian law enforcement agencies for such investigations.

 "(7) The number of allegations of agent misconduct in the investigation of sex crimes and other criminal sexual 

misconduct for each of those organizations, together with a comparison with the number of such allegations concerning 

agents of the Federal Bureau of Investigation and other civilian law enforcement agencies for such investigations.

 "(8) The procedures of each of the military criminal investigative organizations for administrative identification 

(known as 'titling') of persons suspected of committing sex crimes or other criminal sexual misconduct, together with a 

comparison with the comparable procedures of the Federal Bureau of Investigation and other civilian Federal law enforcement agencies for such investigations.

 "(9) The accuracy, timeliness, and completeness of reporting of sex crimes and other criminal sexual misconduct 

by each of the military criminal investigative organizations to the National Crime Information Center maintained by the 

Department of Justice.

 "(10) Any recommendation for legislation or administrative action to revise the organizational or operational arrangements of the military criminal investigative organizations or to alter recruitment, training, or operational procedures, as they pertain to the investigation of sex crimes and other criminal sexual misconduct.

 "(c) Report.

 (1) The Secretary of Defense shall require the organization conducting the study under this section to submit to 

the Secretary a report on the study not later than one year after the date of the enactment of this Act. The organization 

shall include in the report its findings and conclusions concerning each of the matters specified in subsection (b).

 "(2) The Secretary shall submit the report under paragraph (1), together with the Secretary's comments on the report, to Congress not later than 30 days after the date on which the report is submitted to the Secretary under paragraph 

(1).

 "(d) Military criminal investigative organization defined. For the purposes of this section, the term 'military criminal 

investigative organization' means any of the following:

 "(1) The Army Criminal Investigation Command.

 "(2) The Naval Criminal Investigative Service.

 "(3) The Air Force Office of Special Investigations.

 "(4) The Defense Criminal Investigative Service.

 "(e) Criminal sexual misconduct defined. For the purposes of this section, the term 'criminal sexual misconduct' 

means conduct by a member of the Armed Forces involving sexual abuse, sexual harassment, or other sexual misconduct that constitutes an offense under the Uniform Code of Military Justice [10 USCS §§ 801 et seq.].".

 Program to commemorate 50th anniversary of the Korean War. Act Nov. 18, 1997, P.L. 105-85, Div A, Title X, 

Subtitle G, § 1083, 111 Stat. 1918; Dec. 1, 1997, P.L. 105-129, § 1(b)(1), 111 Stat. 2551 (effective as if included in the 

provisions of Act Nov. 18, 1997 to which it relates, as provided by § 1(b)(2) of such Act); Oct. 17, 1998, P.L. 105-261, 

Div A, Title X, Subtitle G, § 1067(a), (c), 112 Stat. 2134; Oct. 5, 1999, P.L. 106-65, Div A, Title X, Subtitle F, § 

554 DCMA Administrative Record for FY 2013 Furlough Appeals
1052(a), (b)(1), (c), 113 Stat. 764 (effective and applicable as provided by § 1052(b)(2), (d) of such Act); Dec. 28, 2001, 

P.L. 107-107, Div A, Title X, Subtitle E, §§ 1048(g)(6) (effective 10/5/99, and as if included in Act Oct. 5, 1999 as enacted, as provided by § 1048(g) of the 2001 Act), 1048(i)(1), 115 Stat. 1228, 1229; Dec. 2, 2002, P.L. 107-314, Div A, 

Title X, Subtitle F, § 1069, 116 Stat. 2660, provides:

 "(a) Commemorative program. During fiscal years 2000 through 2004, the Secretary of Defense may conduct a program to commemorate the 50th anniversary of the Korean War. In conducting the commemorative program, the Secretary may coordinate, support, and facilitate other programs and activities of the Federal Government, State and local 

governments, and other persons in commemoration of the Korean War.

 "(b) Commemorative activities. The commemorative program may include activities and ceremonies--

 "(1) to provide the people of the United States with a clear understanding and appreciation of the lessons and history of the Korean War;

 "(2) to thank and honor veterans of the Korean War and their families;

 "(3) to pay tribute to the sacrifices and contributions made on the home front by the people of the United States 

during the Korean War;

 "(4) to highlight advances in technology, science, and medicine related to military research conducted during the 

Korean War;

 "(5) to recognize the contributions and sacrifices made by the allies of the United States in the Korean War; and

 "(6) to highlight the role of the Armed Forces of the United States, then and now, in maintaining world peace 

through strength.

 "(c) Name and symbols. The Secretary of Defense shall have the sole and exclusive right to use the name 'The United States of America Korean War Commemoration', and such seal, emblems, and badges incorporating such name as 

the Secretary may lawfully adopt. Nothing in this section may be construed to supersede rights that are established or 

vested before the date of the enactment of this Act.

 "(d) Commemorative account.

 (1) There is established in the Treasury an account to be known as the 'Department of Defense Korean War 

Commemoration Account', which shall be administered by the Secretary of Defense. There shall be deposited into the 

account all proceeds derived from the Secretary's use of the exclusive rights described in subsection (c). The Secretary 

may use funds in the account only for the purpose of conducting the commemorative program.

 "(2) Not later than 60 days after completion of all activities and ceremonies conducted as part of the commemorative program, the Secretary shall submit to Congress a report containing an accounting of all of the funds deposited into 

and expended from the account or otherwise expended under this section, and of any funds remaining in the account. 

Unobligated funds remaining in the account on that date shall be held in the account until transferred by law.

 "(e) Acceptance of voluntary services.

 (1) Notwithstanding section 1342 of title 31, United States Code, the Secretary of Defense may accept from any 

person voluntary services to be provided in furtherance of the commemorative program.

 "(2) A person providing voluntary services under this subsection shall be considered to be a Federal employee for 

purposes of chapter 81 of title 5, United States Code, relating to compensation for work-related injuries. The person 

shall also be considered a special governmental employee for purposes of standards of conduct and sections 202, 203, 

205, 207, 208, and 209 of title 18, United States Code. A person who is not otherwise employed by the Federal Government shall not be considered to be a Federal employee for any other purpose by reason of the provision of voluntary 

services under this subsection.

 "(3) The Secretary may provide for reimbursement of incidental expenses incurred by a person providing voluntary services under this subsection. The Secretary shall determine which expenses are eligible for reimbursement under 

this paragraph.

 "(f) Use of funds.

 (1) Funds appropriated for the Army for fiscal years 2000 through 2004 for operation and maintenance shall be 

available for the commemorative program authorized under subsection (a).

 "(2) The total amount expended by the Department of Defense through the Department of Defense 50th Anniversary of the Korean War Commemoration Committee, an entity within the Department of the Army, to carry out the 

commemorative program authorized under subsection (a) for fiscal years 2000 through 2004 may not exceed $ 

10,000,000.".

 Annual report on moratorium on use by armed forces of antipersonnel landmines. Act Nov. 18, 1997, P.L. 

105-85, Div A, Title XIII, § 1309, 111 Stat. 1956, provides:

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

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 "(1) The United States has stated its support for a ban on antipersonnel landmines that is global in scope and verifiable.

 "(2) On May 16, 1996, the President announced that the United States, as a matter of policy, would eliminate its 

stockpile of non-self-destructing antipersonnel landmines, except those used for training purposes and in Korea, and that 

the United States would reserve the right to use self-destructing antipersonnel landmines in the event of conflict.

 "(3) On May 16, 1996, the President also announced that the United States would lead an effort to negotiate an 

international treaty permanently banning the use of all antipersonnel landmines.

 "(4) The United States is currently participating at the United Nations Conference on Disarmament in negotiations 

aimed at achieving a global ban on the use of antipersonnel landmines.

 "(5) On August 18, 1997, the administration agreed to participate in international negotiations sponsored by Canada (the so-called 'Ottawa process') designed to achieve a treaty that would outlaw the production, use, and sale of antipersonnel landmines.

 "(6) On September 17, 1997, the President announced that the United States would not sign the antipersonnel 

landmine treaty concluded in Oslo, Norway, by participants in the Ottawa process because the treaty would not provide 

a geographic exception to allow the United States to stockpile and use antipersonnel landmines in Korea or an exemption that would preserve the ability of the United States to use mixed antitank mine systems which could be used to deter an armored assault against United States forces.

 "(7) The President also announced a change in United States policy whereby the United States--

 "(A) would no longer deploy antipersonnel landmines, including self-destructing antipersonnel landmines, by 

2003, except in Korea;

 "(B) would seek to field alternatives by that date, or by 2006 in the case of Korea;

 "(C) would undertake a new initiative in the United Nations Conference on Disarmament to establish a global 

ban on the transfer of antipersonnel landmines; and

 "(D) would increase its current humanitarian demining activities around the world.

 "(8) The President's decision would allow the continued use by United States forces of self-destructing antipersonnel landmines that are used as part of a mixed antitank mine system.

 "(9) Under existing law (as provided in section 580 of Public Law 104-107; 110 Stat. 751 [unclassified]), on February 12, 1999, the United States will implement a one-year moratorium on the use of antipersonnel landmines by 

United States forces except along internationally recognized national borders or in demilitarized zones within a perimeter marked area that is monitored by military personnel and protected by adequate means to ensure the exclusion of civilians.

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

 "(1) the United States should not implement a moratorium on the use of antipersonnel landmines by United States 

Armed Forces in a manner that would endanger United States personnel or undermine the military effectiveness of 

United States Armed Forces in executing their missions; and

 "(2) the United States should pursue the development of alternatives to self-destructing antipersonnel landmines.

 "(c) Annual report. Not later than December 31 each year, the Secretary of Defense shall submit to the congressional 

defense committees a report concerning antipersonnel landmines. Each such report shall include the Secretary's description of the following:

 "(1) The military utility of the continued deployment and use by the United States of antipersonnel landmines.

 "(2) The effect of a moratorium on the production, stockpiling, and use of antipersonnel landmines on the ability 

of United States forces to deter and defend against attack on land by hostile forces, including on the Korean peninsula.

 "(3) Progress in developing and fielding systems that are effective substitutes for antipersonnel landmines, including an identification and description of the types of systems that are being developed and fielded, the costs associated with those systems, and the estimated timetable for developing and fielding those systems.

 "(4) The effect of a moratorium on the use of antipersonnel landmines on the military effectiveness of current 

antitank mine systems.

 "(5) The number and type of pure antipersonnel landmines that remain in the United States inventory and that are 

subject to elimination under the President's September 17, 1997, declaration on United States antipersonnel landmine 

policy.

 "(6) The number and type of mixed antitank mine systems that are in the United States inventory, the locations 

where they are deployed, and their effect on the deterrence and warfighting ability of United States Armed Forces.

 "(7) The effect of the elimination of pure antipersonnel landmines on the warfighting effectiveness of the United 

States Armed Forces.

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 "(8) The costs already incurred and anticipated of eliminating antipersonnel landmines from the United States 

inventory in accordance with the policy enunciated by the President on September 17, 1997.

 "(9) The benefits that would result to United States military and civilian personnel from an international treaty 

banning the production, use, transfer, and stockpiling of antipersonnel landmines.".

 Oversight of development and implementation of automated identification technology. Act Oct. 17, 1998, P.L. 

105-261, Div A, Title III, Subtitle E, § 344, 112 Stat. 1977; Oct. 5, 1999, P.L. 106-65, Div A, Title III, Subtitle H, § 

373(h), Title X, Subtitle G, § 1067(3), 113 Stat. 581, 774, provides:

 "(a) Definitions. In this section:

 "(1) The term 'automated identification technology program' means a program in the Department of Defense, including any pilot program, employing one or more of the following technologies:

 "(A) Magnetic stripe.

 "(B) Bar codes, both linear and two-dimensional (including matrix symbologies).

 "(C) Smart Card.

 "(D) Optical memory.

 "(E) Personal computer memory card international association carriers.

 "(F) Any other established or emerging automated identification technology, including biometrics and radio 

frequency identification.

 "(2) The term 'Smart Card' means a credit card size device that contains one or more integrated circuits.

 "(b) [Deleted]

 "(c) Funding for increased use of Smart Cards.

 (1) Of the funds available for the Navy for fiscal year 1999 for operation and maintenance, the Secretary of the 

Navy shall allocate sufficient amounts, up to $ 25,000,000, for the purpose of making significant progress toward ensuring that Smart Cards with a multi-application, multi-technology automated reading capability are issued and used 

throughout the Navy and the Marine Corps for purposes for which Smart Cards are suitable.

 "(2) Not later than June 30, 1999, the Secretary of the Navy shall equip with Smart Card technology at least one 

carrier battle group, one carrier air wing, and one amphibious readiness group (including the Marine Corps units embarked on the vessels of such battle and readiness groups) in each of the United States Atlantic Command and the United States Pacific Command.

 "(3) None of the funds appropriated pursuant to any authorization of appropriations in this Act may be expended 

after June 30, 1999, for the procurement of the Joint Uniformed Services Identification card for members of the Navy or 

the Marine Corps or for the issuance of such card to such members, until the Secretary of the Navy certifies in writing to 

the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives 

that the Secretary has completed the issuance of Smart Cards in accordance with paragraph (2).

 "(d) Defense-wide plan. Not later than March 31, 1999, the Secretary of Defense shall submit to the congressional 

defense committees a plan for the use of Smart Card technology by each military department. The Secretary shall include in the plan an estimate of the costs of the plan, the savings to be derived from carrying out the plan, and a description of the ways in which the Department of Defense will review and revise business practices to take advantage of 

Smart Card technology.".

 Pilot program for acceptance and use of landing fees charged for use of domestic military airfields by civil 

aircraft. Act Oct. 17, 1998, P.L. 105-261, Div A, Title III, Subtitle G, § 377, 112 Stat. 1993; Oct. 30, 2000, P.L. 

106-398, § 1, 114 Stat. 1654 (enacting into law § 387 of Subtitle H of Title III of Division A of H.R. 5408 (114 Stat. 

1654A-88), as introduced on Oct. 6, 2000), provides:

 "(a) Pilot program authorized. The Secretary of each military department may carry out a pilot program to demonstrate the use of landing fees as a source of funding for the operation and maintenance of airfields of that department.

 "(b) Landing fee defined. In this section, the term 'landing fee' means any fee that is established under or in accordance with regulations of the military department concerned (whether prescribed in a fee schedule or imposed under a 

joint-use agreement) to recover costs incurred for use by civil aircraft of an airfield of the military department in the 

United States or in a territory or possession of the United States.

 "(c) Use of proceeds. Amounts received in payment of landing fees for use of a military airfield in a fiscal year of the 

pilot program shall be credited to the appropriation that is available for that fiscal year for the operation and maintenance of the military airfield, shall be merged with amounts in the appropriation to which credited, and shall be available for that military airfield for the same period and purposes as the appropriation is available.

 "(d) Report. Not later than March 31, 2003, the Secretary of Defense shall submit to Congress a report on the pilot 

programs carried out under this section by the Secretaries of the military departments. The report shall specify the 

amounts of fees received and retained by each military department under its pilot program as of December 31, 2002.

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 "(e) Duration of pilot program. The pilot program under this section may not be carried out after September 30, 

2010.".

 Report on terminology. Act Oct. 17, 1998, P.L. 105-261, Div A, Title IX, Subtitle B, § 915(b), 112 Stat. 2102, provides: "Not later than 90 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the 

Committee on Armed Services of the Senate and the Committee on National Security of the House of Representatives a 

report setting forth the definitions of the terms 'support' and 'mission' that the Secretary proposes to use for purposes of 

the report requirement under section 113(l) of title 10, United States Code, as added by subsection (a).".

 Redesignation of Commemoration Account. Act Oct. 17, 1998, P.L. 105-261, Div A, Title X, Subtitle G, § 

1067(b), 112 Stat. 2134, provides: "The account in the Treasury known as the 'Department of Defense Korean Conflict 

Commemoration Account' is redesignated as the 'Department of Defense Korean War Commemoration Account'.".

 Construction of references to Korean Conflict Commemoration or Korean Conflict Commemoration Account. Act Oct. 17, 1998, P.L. 105-261, Div A, Title X, Subtitle G, § 1067(d), 112 Stat. 2135, provides: "Any reference 

to the Department of Defense Korean Conflict Commemoration or the Department of Defense Korean Conflict Commemoration Account in any law, regulation, document, record, or other paper of the United States shall be considered to 

be a reference to the Department of Defense Korean War Commemoration or the Department of Defense Korean War 

Commemoration Account, respectively.".

 Report on supplemental nutrition assistance program benefits assistance for members of the Armed Forces. 

Act Oct. 17, 1998, P.L. 105-262, Title VIII, § 8119, 112 Stat. 2331; May 22, 2008, P.L. 110-234, Title IV, Subtitle A, 

Part I, § 4002(b)(1)(B), (D), (E), (2)(K), 122 Stat. 1096, 1097 (repealed effective 5/22/2008 as provided by § 4 of Act 

June 18, 2008, which appears as 7 USCS § 8701 note); June 18, 2008, P.L. 110-246, Title IV, Subtitle A, Part I, § 

4002(b)(1)(B), (D), (E), (2)(K), 122 Stat. 1857, 1858 (effective 10/1/2008, as provided by § 4407 of such Act, which 

appears as 2 USCS § 1161 note), provides:

 "(a) The Secretary of Defense shall submit to the Committees on Appropriations of the Senate and the House of 

Representatives a report on supplemental nutrition assistance benefits assistance for members of the Armed Forces. The 

Secretary shall submit the report at the same time that the Secretary submits to Congress, in support of the fiscal year 

2001 budget, the materials that relate to the funding provided in that budget for the Department of Defense.

 "(b) The report shall include the following:

 "(1) The number of members of the Armed Forces and dependents of members of the Armed Forces who are eligible for supplemental nutrition assistance program benefits.

 "(2) The number of members of the Armed Forces and dependents of members of the Armed Forces who received 

supplemental nutrition assistance program benefits in fiscal year 1998.

 "(3) A proposal for using, as a means for eliminating or reducing significantly the need of such personnel for supplemental nutrition assistance program benefits, the authority under section 2828 of title 10, United States Code, to 

lease housing facilities for enlisted members of the Armed Forces and their families when Government quarters are not 

available for such personnel.

 "(4) A proposal for increased locality adjustments through the basic allowance for housing and other methods as a 

means for eliminating or reducing significantly the need of such personnel for supplemental nutrition assistance program benefits.

 "(5) Other potential alternative actions (including any recommended legislation) for eliminating or reducing significantly the need of such personnel for supplemental nutrition assistance program benefits.

 "(6) A discussion of the potential for each alternative action referred to in paragraph (3) or (4) to result in the 

elimination or a significant reduction in the need of such personnel for supplemental nutrition assistance program benefits.

 "(c) Each potential alternative action included in the report under paragraph (3) or (4) of subsection (b) shall meet the 

following requirements:

 "(1) Apply only to persons referred to in paragraph (1) of such subsection.

 "(2) Be limited in cost to the lowest amount feasible to achieve the objectives.

 "(d) In this section:

 "(1) The term 'fiscal year 2001 budget' means the budget for fiscal year 2001 that the President submits to Congress under section 1105(a) of title 31, United States Code.

 "(2) The term 'supplemental nutrition assistance program benefits' means assistance under the Food and Nutrition 

Act of 2008 (7 U.S.C. 2011 et seq.).".

 Defense reform initiative enterprise pilot program for military manpower and personnel information. Act Oct. 

17, 1998, P.L. 105-262, Title VIII, § 8147, 112 Stat. 2341, provides: "The Secretary of Defense shall establish, through 

a revised Defense Integrated Military Human Resources System (DIMHRS), a defense reform initiative enterprise pilot 

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program for military manpower and personnel information: Provided, That this pilot program should include all functions and systems currently included in DIMHRS and shall be expanded to include all appropriate systems within the 

enterprise of personnel, manpower, training, and compensation: Provided further, That in establishing a revised DIMHRS enterprise program for manpower and personnel information superiority the functions of this program shall include, but not be limited to: (1) an analysis and determination of the number and kinds of information systems necessary 

to support manpower and personnel within the Department of Defense; and (2) the establishment of programs to develop and implement information systems in support of manpower and personnel to include an enterprise level strategic 

approach, performance and results based management, business process improvement and other non-material solutions, 

the use of commercial or government off-the-shelf technology, the use of modular contracting as defined by Public Law 

104-106 [Act Feb. 10, 1996; for full classification, consult USCS Tables volumes], and the integration and consolidation of existing manpower and personnel information systems: Provided further, That the Secretary of Defense shall 

re-instate fulfillment standards designated as ADS-97-03-GD, dated January, 1997: Provided further, That the requirements of this section should be implemented not later than 6 months after the date of the enactment of this Act.".

 Establishment of logistics standards for sustained military operations. Act Oct. 5, 1999, P.L. 106-65, Div A, 

Title III, Subtitle G, § 366, 113 Stat. 578, provides:

 "(a) Establishment of standards. The Secretary of each military department shall establish, for deployable units of 

each of the Armed Forces under the jurisdiction of the Secretary, standards regarding--

 "(1) the level of spare parts that the units must have on hand; and

 "(2) similar logistics and sustainment needs of the units.

 "(b) Basis for standards. The standards to be established for a unit under subsection (a) shall be based upon the following:

 "(1) The unit's wartime mission, as reflected in the war-fighting plans of the relevant combatant commanders.

 "(2) An assessment of the likely requirement for sustained operations under each such war-fighting plan.

 "(3) An assessment of the likely requirement for that unit to conduct sustained operations in an austere environment, while drawing exclusively on its own internal logistics capabilities.

 "(c) Sufficiency capabilities. The standards to be established by the Secretary of a military department under subsection (a) shall reflect those spare parts and similar logistics capabilities that the Secretary considers sufficient for the 

units of each of the Armed Forces under the Secretary's jurisdiction to successfully execute their missions under the 

conditions described in subsection (b).

 "(d) Relation to readiness reporting system. The standards established under subsection (a) shall be taken into account in designing the comprehensive readiness reporting system for the Department of Defense required by section 117 

of title 10, United States Code, and shall be an element in determining a unit's readiness status.

 "(e) Relation to annual funding needs. The Secretary of Defense shall consider the standards established under subsection (a) in establishing the annual funding requirements for the Department of Defense.

 "(f) Reporting requirement. The Secretary of Defense shall include in the annual report required by section 113(c) of 

title 10, United States Code, an analysis of the then current spare parts, logistics, and sustainment standards of the 

Armed Forces, as described in subsection (a), including any shortfalls and the cost of addressing these shortfalls.".

 Use of smart card technology in Department of Defense. Act Oct. 5, 1999, P.L. 106-65, Div A, Title III, Subtitle 

H, § 373(a)-(g), 113 Stat. 580, provide:

 "(a) Department of Navy as lead agency. The Department of the Navy shall serve as the lead agency for the development and implementation of a Smart Card program for the Department of Defense.

 "(b) Cooperation of other military departments. The Department of the Army and the Department of the Air Force 

shall each establish a project office and cooperate with the Department of the Navy to develop implementation plans for 

exploiting the capability of Smart Card technology as a means for enhancing readiness and improving business processes throughout the military departments.

 "(c) Senior coordinating group.

 (1) Not later than November 30, 1999, the Secretary of Defense shall establish a senior coordinating group to develop and implement--

 "(A) Department-wide interoperability standards for use of Smart Card technology; and

 "(B) a plan to exploit Smart Card technology as a means for enhancing readiness and improving business processes.

 "(2) The senior coordinating group shall be chaired by a representative of the Secretary of the Navy and shall include senior representatives from each of the Armed Forces and such other persons as the Secretary of Defense considers appropriate.

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 "(3) Not later than March 31, 2000, the Secretary of Defense shall submit to the Committee on Armed Services of 

the Senate and the Committee on Armed Services of the House of Representatives a report containing a detailed discussion of the progress made by the senior coordinating group in carrying out its duties.

 "(d) Role of Department of Defense Chief Information Office. The senior coordinating group established under subsection (c) shall report to and receive guidance from the Department of Defense Chief Information Office.

 "(e) Increased use targeted to certain Naval regions. Not later than November 30, 1999, the Secretary of the Navy 

shall establish a business plan to implement the use of Smart Cards in one major Naval region of the continental United 

States that is in the area of operations of the United States Atlantic Command and one major Naval region of the continental United States that is in the area of operations of the United States Pacific Command. The regions selected shall 

include a major fleet concentration area. The implementation of the use of Smart Cards in each region shall cover the 

Navy and Marine Corps bases and all non-deployed units in the region. The Secretary of the Navy shall submit the 

business plan to the congressional defense committees.

 "(f) Funding for increased use of smart cards. Of the funds authorized to be appropriated for the Navy by section 

102(a)(4) or 301(2), the Secretary of the Navy--

 "(1) shall allocate such amounts as may be necessary, but not to exceed $ 30,000,000, to ensure that significant 

progress is made toward complete implementation of the use of Smart Card technology in the Department of the Navy; 

and

 "(2) may allocate additional amounts for the conversion of paper-based records to electronic media for records 

systems that have been modified to use Smart Card technology.

 "(g) Definitions. In this section:

 "(1) The term 'Smart Card' means a credit card-size device, normally for carrying and use by personnel, that contains one or more integrated circuits and may also employ one or more of the following technologies:

 "(A) Magnetic stripe.

 "(B) Bar codes, linear or two-dimensional.

 "(C) Non-contact and radio frequency transmitters.

 "(D) Biometric information.

 "(E) Encryption and authentication.

 "(F) Photo identification.

 "(2) The term 'Smart Card technology' means a Smart Card together with all of the associated information technology hardware and software that comprise the system for support and operation.".

 Survey of members leaving military service on attitudes toward military service. Act Oct. 5, 1999, P.L. 106-65, 

Div A, Title V, Subtitle J, § 581, 113 Stat. 633, provides:

 "(a) Exit survey. The Secretary of Defense shall develop and implement, as part of outprocessing activities, a survey 

on attitudes toward military service to be completed by all members of the Armed Forces who during the period beginning on January 1, 2000, and ending on June 30, 2000, are voluntarily discharged or separated from the Armed Forces 

or transfer from a regular component to a reserve component.

 "(b) Matters to be covered. The survey shall, at a minimum, cover the following subjects:

 "(1) Reasons for leaving military service.

 "(2) Command climate.

 "(3) Attitude toward leadership.

 "(4) Attitude toward pay and benefits.

 "(5) Job satisfaction during service as a member of the Armed Forces.

 "(6) Plans for activities after separation (such as enrollment in school, use of Montgomery GI Bill benefits, and 

work).

 "(7) Affiliation with a reserve component, together with the reasons for affiliating or not affiliating, as the case 

may be.

 "(8) Such other matters as the Secretary determines appropriate to the survey concerning reasons why military 

personnel are leaving military service.

 "(c) Report to Congress. Not later than October 1, 2000, the Secretary shall submit to Congress a report containing 

the results of the survey under subsection (a). The Secretary shall compile the information in the report so as to assist in 

assessing reasons why military personnel are leaving military service.".

 Administration of defense reform initiative enterprise program for military manpower and personnel information. Act Oct. 5, 1999, P.L. 106-65, Div A, Title IX, Subtitle C, § 924, 113 Stat. 726, provides:

 "(a) Executive agent. The Secretary of Defense may designate the Secretary of the Navy as the Department of Defense executive agent for carrying out the pilot program described in subsection (c).

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 "(b) Implementing office. If the Secretary of Defense makes the designation referred to in subsection (a), the Secretary of the Navy, in carrying out that pilot program, shall act through the head of the Systems Executive Office for 

Manpower and Personnel of the Department of the Navy, who shall act in coordination with the Under Secretary of Defense for Personnel and Readiness and the Chief Information Officer of the Department of Defense.

 "(c) Pilot program. The pilot program referred to in subsection (a) is the defense reform initiative enterprise pilot 

program for military manpower and personnel information established pursuant to section 8147 of the Department of 

Defense Appropriations Act, 1999 (Public Law 105-262; 112 Stat. 2341; 10 U.S.C. 113 note).".

 Repeal of provisions relating to annual report on United States military activities in Colombia. Act Oct. 5, 

1999, P.L. 106-65, Div A, Title X, Subtitle C, § 1025, 113 Stat. 748, which formerly appeared as a note to this section, 

was repealed by Act Dec. 31, 2011, P.L. 112-81, Div A, Title X, Subtitle G, § 1062(j)(2), 125 Stat. 1585. It provided for 

an annual report on United States military activities in Colombia.

 Report on NATO Defense Capabilities Initiative. Act Oct. 5, 1999, P.L. 106-65, Div A, Title X, Subtitle D, § 

1039, 113 Stat. 756; Nov. 24, 2003, P.L. 108-136, Div A, Title X, Subtitle D, § 1031(h)(3), 117 Stat. 1605, provides:

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

 "(1) At the meeting of the North Atlantic Council held in Washington, DC, in April 1999, the NATO Heads of 

State and Governments launched a Defense Capabilities Initiative.

 "(2) The Defense Capabilities Initiative is designed to improve the defense capabilities of the individual nations of 

the NATO Alliance to ensure the effectiveness of future operations across the full spectrum of Alliance missions in the 

present and foreseeable security environment.

 "(3) Under the Defense Capabilities Initiative, special focus will be given to improving interoperability among 

Alliance forces and to increasing defense capabilities through improvements in the deployability and mobility of Alliance forces, the sustainability and logistics of those forces, the survivability and effective engagement capability of 

those forces, and command and control and information systems.

 "(4) The successful implementation of the Defense Capabilities Initiative will serve to enable all members of the 

Alliance to make a more equitable contribution to the full spectrum of Alliance missions, thereby increasing burdensharing within the Alliance and enhancing the ability of European members of the Alliance to undertake operations 

pursuant to the European Security and Defense Identity within the Alliance.

 "(b) [Deleted]".

 Construction of amendment made to § 1083(c) of Act Nov. 18, 1997 (note to this section). Act Oct. 5, 1999, P.L. 

106-65, Div A, Title X, Subtitle F, § 1052(b)(2), 113 Stat. 764, provides: "The amendment made by paragraph (1) [substituting 'United States of America Korean War Commemoration' for 'Department of Defense Korean War Commemoration' in subsec. (c) of Act Nov. 18, 1997, P.L. 105-85, which appears as a note to this section] may not be construed to 

supersede rights that are established or vested before the date of the enactment of this Act.".

 References to Department of Defense Korean War Commemoration. Act Oct. 5, 1999, P.L. 106-65, Div A, Title 

X, Subtitle F, § 1052(b)(3), 113 Stat. 764, provides: "Any reference to the Department of Defense Korean War Commemoration in any law, regulation, document, record, or other paper of the United States shall be considered to be a 

reference to the United States of America Korean War Commemoration.".

 Commemoration of the victory of freedom in the Cold War. Act Oct. 5, 1999, P.L. 106-65, Div A, Title X, Subtitle F, § 1053, 113 Stat. 764; Dec. 28, 2001, P.L. 107-107, Div A, Title X, Subtitle E, § 1048(g)(7), 115 Stat. 1228 (effective 10/5/99, and as if included in Act Oct. 5, 1999 as enacted, as provided by § 1048(g) of the 2001 Act), provides:

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

 "(1) The Cold War between the United States and its allies and the former Union of Soviet Socialist Republics 

and its allies was the longest and most costly struggle for democracy and freedom in the history of mankind.

 "(2) Whether millions of people all over the world would live in freedom hinged on the outcome of the Cold War.

 "(3) Democratic countries bore the burden of the struggle and paid the costs in order to preserve and promote democracy and freedom.

 "(4) The Armed Forces and the taxpayers of the United States bore the greatest portion of that burden and struggle 

in order to protect those principles.

 "(5) Tens of thousands of United States soldiers, sailors, airmen, and Marines paid the ultimate price during the 

Cold War in order to preserve the freedoms and liberties enjoyed in democratic countries.

 "(6) The Berlin Wall erected in Berlin, Germany, epitomized the totalitarianism that the United States struggled to 

eradicate during the Cold War.

 "(7) The fall of the Berlin Wall on November 9, 1989, was a major event of the Cold War.

 "(8) The Soviet Union collapsed on December 25, 1991.

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 "(b) Sense of Congress. It is the sense of Congress that the President should issue a proclamation calling on the people of the United States to observe the victory in the Cold War with appropriate ceremonies and activities.

 "(c) Participation of Armed Forces in celebration of end of Cold War.

 (1) Subject to paragraphs (2), (3), and (4), amounts authorized to be appropriated by section 301 may be available 

for costs of the Armed Forces in participating in a celebration of the end of the Cold War to be held in Washington, 

District of Columbia.

 "(2) The total amount of funds available under paragraph (1) for the purpose set forth in that paragraph shall not 

exceed $ 5,000,000.

 "(3) The Secretary of Defense may accept contributions from the private sector for the purpose of reducing the 

costs of the Armed Forces described in paragraph (1). The amount of funds available under paragraph (1) for the purpose set forth in that paragraph shall be reduced by an amount equal to the amount of contributions accepted by the 

Secretary under the preceding sentence.

 "(4) The funding authorized in paragraph (1) shall not be available until 30 days after the date upon which the 

plan required by subsection (d) is submitted.

 "(d) Report.

 (1) The President shall transmit to Congress--

 "(A) a report on the content of the proclamation referred to in subsection (b); and

 "(B) a plan for appropriate ceremonies and activities.

 "(2) The plan submitted under paragraph (1) shall include the following:

 "(A) A discussion of the content, location, date, and time of each ceremony and activity included in the plan.

 "(B) The funding allocated to support those ceremonies and activities.

 "(C) The organizations and individuals consulted while developing the plan for those ceremonies and activities.

 "(D) A list of private sector organizations and individuals that are expected to participate in each ceremony and 

activity.

 "(E) A list of local, State, and Federal agencies that are expected to participate in each ceremony and activity.

 "(e) Commission on Victory in the Cold War.

 (1) There is hereby established a commission to be known as the 'Commission on Victory in the Cold War'.

 "(2) The Commission shall be composed of twelve members, as follows:

 "(A) Two shall be appointed by the President.

 "(B) Three shall be appointed by the Speaker of the House of Representatives.

 "(C) Two shall be appointed by the minority leader of the House of Representatives.

 "(D) Three shall be appointed by the majority leader of the Senate.

 "(E) Two shall be appointed by the minority leader of the Senate.

 "(3) The Commission shall review and make recommendations regarding the celebration of the victory in the 

Cold War, to include the date of the celebration, usage of facilities, participation of the Armed Forces, and expenditure 

of funds.

 "(4) The Secretary shall--

 "(A) consult with the Commission on matters relating to the celebration of the victory in the Cold War;

 "(B) reimburse Commission members for expenses relating to participation of Commission members in Commission activities from funds made available under subsection (c); and

 "(C) provide the Commission with administrative support.

 "(5) The Commission shall be co-chaired by two members as follows:

 "(A) One selected by and from among those appointed pursuant to subparagraphs (A), (C), and (E) of paragraph (2).

 "(B) One selected by and from among those appointed pursuant to subparagraphs (B) and (D) of paragraph 

(2).".

 Annual report on military and security developments involving the People's Republic of China. Act Oct. 5, 

1999, P.L. 106-65, Div A, Title XII, Subtitle A, § 1202, 113 Stat. 781; Dec. 28, 2001, P.L. 107-107, Div A, Title XII, 

Subtitle C, § 1221, 115 Stat. 1252; Jan. 28, 2008, P.L. 110-181, Div A, Title XII, Subtitle E, § 1263, 122 Stat. 407; Oct. 

28, 2009, P.L. 111-84, Div A, Title XII, Subtitle C, § 1246(a)-(c), 123 Stat. 2544 (effective on enactment and applicable 

as provided by § 1246(e) of such Act, which appears as a note to this section); Dec. 31, 2011, P.L. 112-81, Div A, Title 

X, Subtitle G, § 1066(e)(1), Title XII, Subtitle C, § 1238(a), 125 Stat. 1589, 1642 (§ 1238(a) effective on enactment and 

applicable to reports submitted on or after that date, as provided by § 1238(b) of such Act); Jan. 2, 2013, P.L. 112-239, 

Div A, Title XII, Subtitle F, § 1271, 126 Stat. 2022, provides:

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 "(a) Annual report. Not later than March 1 each year, the Secretary of Defense shall submit to the specified congressional committees a report, in both classified and unclassified form, on military and security developments involving the 

People's Republic of China. The report shall address the current and probable future course of military-technological 

development of the People's Liberation Army and the tenets and probable development of Chinese security strategy and 

military strategy, and of military organizations and operational concepts, through the next 20 years. The report shall also 

address United States-China engagement and cooperation on security matters during the period covered by the report, 

including through United States-China military-to-military contacts, and the United States strategy for such engagement 

and cooperation in the future.

 "(b) Matters to be included. Each report under this section shall include analyses and forecasts of the following:

 "(1) The goals and factors shaping Chinese security strategy and military strategy.

 "(2) Trends in Chinese security and military behavior that would be designed to achieve, or that are inconsistent 

with, the goals described in paragraph (1).

 "(3) The security situation in the Taiwan Strait.

 "(4) Chinese strategy regarding Taiwan.

 "(5) The size, location, and capabilities of Chinese strategic, land, sea, and air forces, including detailed analysis 

of those forces facing Taiwan.

 "(6) Developments in Chinese military doctrine and training.

 "(7) Efforts, including technology transfers and espionage, by the People's Republic of China to develop, acquire, 

or gain access to information, communication, space and other advanced technologies that would enhance military capabilities or otherwise undermine the Department of Defense's capability to conduct information assurance. Such analyses shall include an assessment of the damage inflicted on the Department of Defense by reason thereof.

 "(8) An assessment of any challenges during the preceding year to the deterrent forces of the Republic of China 

on Taiwan, consistent with the commitments made by the United States in the Taiwan Relations Act (Public Law 96-8) 

[22 USCS §§ 3301 et seq.].

 "(9) Developments in China's asymmetric capabilities, including its strategy and efforts to develop and deploy 

cyberwarfare and electronic warfare capabilities, details on the number of malicious cyber incidents originating from 

China against Department of Defense infrastructure, and associated activities originating or suspected of originating 

from China.

 "(10) The strategy and capabilities of Chinese space and counterspace programs, including trends, global and regional activities, the involvement of military and civilian organizations, including state-owned enterprises, academic 

institutions, and commercial entities, and efforts to develop, acquire, or gain access to advanced technologies that would 

enhance Chinese military capabilities.

 "(11) Developments in China's nuclear program, including the size and state of China's stockpile, its nuclear 

strategy and associated doctrines, its civil and military production capacities, and projections of its future arsenals.

 "(12) A description of China's anti-access and area denial capabilities.

 "(13) A description of China's command, control, communications, computers, intelligence, surveillance, and reconnaissance modernization program and its applications for China's precision guided weapons.

 "(14) A description of the roles and activities of the People's Liberation Army Navy and those of China's paramilitary and maritime law enforcement vessels, including their response to United States naval activities.

 "(15) In consultation with the Secretary of Energy and the Secretary of State, developments regarding United 

States-China engagement and cooperation on security matters.

 "(16) The current state of United States military-to-military contacts with the People's Liberation Army, which 

shall include the following:

 "(A) A comprehensive and coordinated strategy for such military-to-military contacts and updates to the strategy.

 "(B) A summary of all such military-to-military contacts during the period covered by the report, including a 

summary of topics discussed and questions asked by the Chinese participants in those contacts.

 "(C) A description of such military-to-military contacts scheduled for the 12-month period following the period 

covered by the report and the plan for future contacts.

 "(D) The Secretary's assessment of the benefits the Chinese expect to gain from such military-to-military contacts.

 "(E) The Secretary's assessment of the benefits the Department of Defense expects to gain from such military-to-military contacts, and any concerns regarding such contacts.

 "(F) The Secretary's assessment of how such military-to-military contacts fit into the larger security relationship between the United States and the People's Republic of China.

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 "(G) The Secretary's certification whether or not any military-to-military exchange or contact was conducted 

during the period covered by the report in violation of section 1201(a) [10 USCS § 168 note].

 "(17) Other military and security developments involving the People's Republic of China that the Secretary of 

Defense considers relevant to United States national security.

 "(18) A description of Chinese military-to-military relationships with other countries, including the size and activity of military attache offices around the world and military education programs conducted in China for other countries 

or in other countries for the Chinese.

 "(19) A description of any significant sale or transfer of military hardware, expertise, and technology to or from 

the People's Republic of China, including a forecast of possible future sales and transfers, a description of the implications of those sales and transfers for the security of the United States and its partners and allies in Asia, and a description of any significant assistance to and from any selling state with military-related research and development programs 

in China.

 "(c) Specified congressional committees. For purposes of this section, the term 'specified congressional committees' 

means the following:

 "(1) The Committee on Armed Services and the Committee on Foreign Relations of the Senate.

 "(2) The Committee on Armed Services and the Committee on International Relations of the House of Representatives.

 "(d) Report on significant sales and transfers to China.

 (1) The report to be submitted under this section not later than March 1, 2002, shall include in a separate section a 

report describing any significant sale or transfer of military hardware, expertise, and technology to the People's Republic of China. The report shall set forth the history of such sales and transfers since 1995, forecast possible future sales 

and transfers, and address the implications of those sales and transfers for the security of the United States and its 

friends and allies in Asia.

 "(2) The report shall include analysis and forecasts of the following matters related to military cooperation between selling states and the People's Republic of China:

 "(A) The extent in each selling state of government knowledge, cooperation, or condoning of sales or transfers 

of military hardware, expertise, or technology to the People's Republic of China.

 "(B) An itemization of significant sales and transfers of military hardware, expertise, or technology from each 

selling state to the People's Republic of China that have taken place since 1995, with a particular focus on command, 

control, communications, and intelligence systems.

 "(C) Significant assistance by any selling state to key research and development programs of China, including 

programs for development of weapons of mass destruction and delivery vehicles for such weapons, programs for development of advanced conventional weapons, and programs for development of unconventional weapons.

 "(D) The extent to which arms sales by any selling state to the People's Republic of China are a source of funds 

for military research and development or procurement programs in the selling state.

 "(3) The report under paragraph (1) shall include, with respect to each area of analysis and forecasts specified in 

paragraph (2)--

 "(A) an assessment of the military effects of such sales or transfers to entities in the People's Republic of China;

 "(B) an assessment of the ability of the People's Liberation Army to assimilate such sales or transfers, mass 

produce new equipment, or develop doctrine for use; and

 "(C) the potential threat of developments related to such effects on the security interests of the United States 

and its friends and allies in Asia.".

 Nuclear mission management plan. Act Oct. 5, 1999, P.L. 106-65, Div C, Title XXXI, Subtitle E, § 3163(d), 113 

Stat. 945, provides:

 "(1) The Secretary of Defense shall develop and implement a plan to ensure the continued reliability of the capability 

of the Department of Defense to carry out its nuclear deterrent mission.

 "(2) The plan shall do the following:

 "(A) Articulate the current policy of the United States on the role of nuclear weapons and nuclear deterrence in 

the conduct of defense and foreign relations matters.

 "(B) Establish stockpile viability and capability requirements with respect to that mission, including the number 

and variety of warheads required.

 "(C) Establish requirements relating to the contractor industrial base, support infrastructure, and surveillance, 

testing, assessment, and certification of nuclear weapons necessary to support that mission.

 "(3) The plan shall take into account the following:

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 "(A) Requirements for the critical skills, readiness, training, exercise, and testing of personnel necessary to meet 

that mission.

 "(B) The relevant programs and plans of the military departments and the Defense Agencies with respect to readiness, sustainment (including research and development), and modernization of the strategic deterrent forces.".

 Policy concerning rights of individuals whose names have been entered into Department of Defense official 

criminal investigative reports. Act Oct. 30, 2000, P.L. 106-398, § 1, 114 Stat. 1654 (enacting into law § 552 of Subtitle E of Title V of Division A of H.R. 5408 (114 Stat. 1654A-125), as introduced on Oct. 6, 2000), provides:

 "(a) Policy requirement. The Secretary of Defense shall establish a policy creating a uniform process within the Department of Defense that--

 "(1) affords any individual who, in connection with the investigation of a reported crime, is designated (by name 

or by any other identifying information) as a suspect in the case in any official investigative report, or in a central index

for potential retrieval and analysis by law enforcement organizations, an opportunity to obtain a review of that designation; and

 "(2) requires the expungement of the name and other identifying information of any such individual from such 

report or index in any case in which it is determined the entry of such identifying information on that individual was 

made contrary to Department of Defense requirements.

 "(b) Effective date. The policy required by subsection (a) shall be established not later than 120 days after the date of 

the enactment of this Act.".

 Test of ability of reserve component intelligence units and personnel to meet current and emerging defense 

intelligence needs. Act Oct. 30, 2000, P.L. 106-398, § 1, 114 Stat. 1654 (enacting into law § 576 of Subtitle G of Title 

V of Division A of H.R. 5408 (114 Stat. 1654A-138), as introduced on Oct. 6, 2000), provides:

 "(a) Test program required.

 (1) Beginning not later than June 1, 2001, the Secretary of Defense shall conduct a three-year test program of reserve component intelligence units and personnel. The purpose of the test program shall be--

 "(A) to determine the most effective peacetime structure and operational employment of reserve component 

intelligence assets for meeting current and future Department of Defense peacetime operational intelligence requirements; and

 "(B) to establish a means to coordinate and transition that peacetime intelligence operational support network 

into use for meeting wartime requirements.

 "(2) The test program shall be carried out using the Joint Reserve Intelligence Program and appropriate reserve 

component intelligence units and personnel.

 "(3) In conducting the test program, the Secretary of Defense shall expand the current Joint Reserve Intelligence 

Program as needed to meet the objectives of the test program.

 "(b) Oversight panel. The Secretary shall establish an oversight panel to structure the test program so as to achieve 

the objectives of the test program, ensure proper funding for the test program, and oversee the conduct and evaluation of 

the test program. The panel members shall include--

 "(1) the Assistant Secretary of Defense for Command, Control, Communications and Intelligence;

 "(2) the Assistant Secretary of Defense for Reserve Affairs; and

 "(3) representatives from the Defense Intelligence Agency, the Army, Navy, Air Force, and Marine Corps, the 

Joint Staff, and the combatant commands.

 "(c) Test program objectives. The test program shall have the following objectives:

 "(1) To identify the range of peacetime roles and missions that are appropriate for reserve component intelligence 

units and personnel, including the following missions: counterdrug, counterintelligence, counterterrorism, information 

operations, information warfare, and other emerging threats.

 "(2) To recommend a process for justifying and validating reserve component intelligence force structure and 

manpower to support the peacetime roles and missions identified under paragraph (1) and to establish a means to coordinate and transition that peacetime operational support network and structure into wartime requirements.

 "(3) To provide, pursuant to paragraphs (1) and (2), the basis for new or revised intelligence and reserve component policy guidelines for the peacetime use, organization, management, infrastructure ,and funding of reserve component intelligence units and personnel.

 "(4) To determine the most effective structure, organization, manning, and management of Joint Reserve Intelligence Centers to enable them to be both reserve training facilities and virtual collaborative production facilities in support of Department of Defense peacetime operational intelligence requirements.

 "(5) To determine the most effective uses of technology for virtual collaborative intelligence operational support 

during peacetime and wartime.

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 "(6) To determine personnel and career management initiatives or modifications that are required to improve the 

recruiting and retention of personnel in the reserve component intelligence specialties and occupational skills.

 "(7) To identify and make recommendations for the elimination of statutory prohibitions and barriers to using 

reserve component intelligence units and individuals to carry out peacetime operational requirements.

 "(d) Reports. The Secretary of Defense shall submit to Congress--

 "(1) interim reports on the status of the test program not later than July 1, 2002, and July 1, 2003; and

 "(2) a final report, with such recommendations for changes as the Secretary considers necessary, not later than 

December 1, 2004.".

 Study on civilian personnel services. Act Oct. 30, 2000, P.L. 106-398, § 1, 114 Stat. 1654 (enacting into law § 

1105 of Subtitle A of Title XI of Division A of H.R. 5408 (114 Stat. 1654A-311), as introduced on Oct. 6, 2000), provides:

 "(a) Study required. The Secretary of Defense shall assess the manner in which personnel services are provided for 

civilian personnel in the Department of Defense and determine whether--

 "(1) administration of such services should continue to be centralized in individual military services and Defense 

Agencies or whether such services should be centralized within designated geographical areas to provide services to all 

Department of Defense elements;

 "(2) offices that perform such services should be established to perform specific functions rather than cover an 

established geographical area;

 "(3) processes and functions of civilian personnel offices should be reengineered to provide greater efficiency and 

better service to management and employees of the Department of Defense; and

 "(4) efficiencies could be gained by public-private competition of the delivery of any of the personnel services for 

civilian personnel of the Department of Defense.

 "(b) Report. Not later than January 1, 2002, the Secretary of Defense shall submit a report on the study, including 

recommendations, to the Committees on Armed Services of the Senate and the House of Representatives. The report 

shall include the Secretary's assessment of the items described in subsection (a), and, if appropriate, a proposal for a 

demonstration program to test the concepts developed under the study. The Secretary may also include any recommendations for legislation or other actions that the Secretary considers appropriate to increase the effectiveness and efficiency of the delivery of personnel services with respect to civilian personnel of the Department of Defense.".

 Pilot program for reengineering the equal employment opportunity complaint process. Act Oct. 30, 2000, P.L. 

106-398, § 1, 114 Stat. 1654 (enacting into law § 1111 of Subtitle B of Title XI of Division A of H.R. 5408 (114 Stat. 

1654A-312), as introduced on Oct. 6, 2000), provides:

 "(a) Pilot program.

 (1) The Secretary of Defense shall carry out a pilot program to improve processes for the resolution of equal employment opportunity complaints by civilian employees of the Department of Defense. Complaints processed under the 

pilot program shall be subject to the procedural requirements established for the pilot program and shall not be subject 

to the procedural requirements of part 1614 of title 29 of the Code of Federal Regulations or other regulations, directives, or regulatory restrictions prescribed by the Equal Employment Opportunity Commission.

 "(2) The pilot program shall include procedures to reduce processing time and eliminate redundancy with respect 

to processes for the resolution of equal employment opportunity complaints, reinforce local management and 

chain-of-command accountability, and provide the parties involved with early opportunity for resolution.

 "(3) The Secretary may carry out the pilot program for a period of three years, beginning on January 1, 2001.

 "(4)

 (A) Participation in the pilot program shall be voluntary on the part of the complainant. Complainants who 

participate in the pilot program shall retain the right to appeal a final agency decision to the Equal Employment Opportunity Commission and to file suit in district court. The Equal Employment Opportunity Commission shall not reverse a 

final agency decision on the grounds that the agency did not comply with the regulatory requirements promulgated by 

the Commission.

 "(B) Subparagraph (A) shall apply to all cases--

 "(i) pending as of January 1, 2001, before the Equal Employment Opportunity Commission involving a civilian employee who filed a complaint under the pilot program of the Department of the Navy to improve processes for 

the resolution of equal employment opportunity complaints; and

 "(ii) hereinafter filed with the Commission under the pilot program established by this section.

 "(5) The pilot program shall be carried out in at least one military department and two Defense Agencies.

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 "(b) Report. Not later than 90 days following the end of the first and last full or partial fiscal years during which the 

pilot program is implemented, the Comptroller General shall submit to Congress a report on the pilot program. Such 

report shall contain the following:

 "(1) A description of the processes tested by the pilot program.

 "(2) The results of such testing.

 "(3) Recommendations for changes to the processes for the resolution of equal employment opportunity complaints as a result of such pilot program.

 "(4) A comparison of the processes used, and results obtained, under the pilot program to traditional and alternative dispute resolution processes used in the government or private industry.".

 Work safety demonstration program. Act Oct. 30, 2000, P.L. 106-398, § 1, 114 Stat. 1654 (enacting into law § 

1112 of Subtitle B of Title XI of Division A of H.R. 5408 (114 Stat. 1654A-313), as introduced on Oct. 6, 2000); Dec. 

2, 2002, P.L. 107-314, Div A, Title III, Subtitle G, § 363, 116 Stat. 2520, provides:

 "(a) Establishment. The Secretary of Defense shall carry out a defense employees work safety demonstration program.

 "(b) Private sector work safety models. Under the demonstration program, the Secretary shall--

 "(1) adopt for use in the workplace of civilian employees of the Department of Defense such work safety models 

used by employers in the private sector that the Secretary considers as being representative of the best work safety practices in use by private sector employers; and

 "(2) determine whether the use of those practices in the Department of Defense improves the work safety record 

of Department of Defense employees.

 "(c) Sites.

 (1) The Secretary shall carry out the demonstration program--

 "(A) at not fewer than two installations of each of the Armed Forces (other than the Coast Guard), for employees of the military department concerned; and

 "(B) in at least two Defense Agencies (as defined in section 101(a)(11) of title 10, United States Code).

 "(2) The Secretary shall select the installations and Defense Agencies from among the installations and Defense 

Agencies listed in the Federal Worker 2000 Presidential Initiative.

 "(d) Period for program. The demonstration program shall begin not later than 180 days after the date of the enactment of this Act and shall terminate on September 30, 2003.

 "(e) Reports.

 (1) The Secretary of Defense shall submit an interim report on the demonstration program to the Committees on 

Armed Services of the Senate and the House of Representatives not later than December 1, 2001. The interim report 

shall contain, at a minimum, for each site of the demonstration program the following:

 "(A) A baseline assessment of the lost workday injury rate.

 "(B) A comparison of the lost workday injury rate for fiscal year 2000 with the lost workday injury rate for 

fiscal year 1999.

 "(C) The direct and indirect costs associated with all lost workday injuries.

 "(2) The Secretary of Defense shall submit a final report on the demonstration program to the Committees on 

Armed Services of the Senate and the House of Representatives not later than December 1, 2003. The final report shall 

contain, at a minimum, for each site of the demonstration program the following:

 "(A) The Secretary's determination on the issue described in subsection (b)(2).

 "(B) A comparison of the lost workday injury rate under the program with the baseline assessment of the lost 

workday injury rate.

 "(C) The lost workday injury rate for fiscal years 2002 and 2003.

 "(D) A comparison of the direct and indirect costs associated with all lost workday injuries for fiscal years 

2002 and 2003 with the direct and indirect costs associated with all lost workday injuries for fiscal year 2001.

 "(f) Funding. Of the amount authorized to be appropriated under section 301(5) [unclassified], $ 5,000,000 shall be 

available for the demonstration program under this section.".

 GAO study on benefits and costs of United States military engagement in Europe. Act Oct. 30, 2000, P.L. 

106-398, § 1, 114 Stat. 1654 (enacting into law § 1223 of Subtitle C of Title XII of Division A of H.R. 5408 (114 Stat. 

1654A-328), as introduced on Oct. 6, 2000), provides:

 "(a) Comptroller General study. The Comptroller General shall conduct a study assessing the benefits and costs to 

the United States and United States national security interests of the engagement of United States forces in Europe and 

of United States military strategies used to shape the international security environment in Europe.

 "(b) Matters to be included. The study shall include an assessment of the following matters:

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 "(1) The benefits and costs to the United States of having forces stationed in Europe and assigned to areas of regional conflict such as Bosnia and Kosovo.

 "(2) The benefits and costs associated with stationing United States forces in Europe and with assigning those 

forces to areas of regional conflict, including an analysis of the benefits and costs of deploying United States forces with 

the forces of European allies.

 "(3) The amount and type of the following kinds of contributions to European security made by European allies in 

1999 and 2000:

 "(A) Financial contributions.

 "(B) Contributions of military personnel and units.

 "(C) Contributions of nonmilitary personnel, such as medical personnel, police officers, judicial officers, and 

other civic officials.

 "(D) Contributions, including contributions in kind, for humanitarian and reconstruction assistance and infrastructure building or activities that contribute to regional stability, whether in lieu of or in addition to military-related 

contributions.

 "(4) The extent to which a forward United States military presence compensates for existing shortfalls of air and 

sea lift capability in the event of regional conflict in Europe or the Middle East.

 "(c) Report. The Comptroller General shall submit to the Committees on Armed Services of the Senate and House of 

Representatives a report on the results of the study not later than December 1, 2001.".

 Reliability of Department of Defense financial statements. Act Dec. 28, 2001, P.L. 107-107, Div A, Title X, Subtitle A, § 1008, 115 Stat. 1204; Dec. 31, 2011, P.L. 112-81, Div A, Title X, Subtitle F, § 1052, 125 Stat. 1582, provides:

 "(a) Annual report on reliability.

 (1) Not later than September 30 of each year but subject to subsection (f), the Secretary of Defense shall submit to 

the recipients specified in paragraph (3) a report on the reliability of the Department of Defense financial statements, 

including the financial statements of each component of the Department that is required to prepare a financial statement 

under section 3515(c) of title 31, United States Code.

 "(2) The annual report shall contain the following:

 "(A) A conclusion regarding whether the policies and procedures of the Department of Defense, and the systems used within the Department of Defense, for the preparation of financial statements allow the achievement of reliability in those financial statements.

 "(B) For each of the financial statements prepared for the Department of Defense for the fiscal year in which 

the report is submitted, a conclusion regarding the expected reliability of the financial statement (evaluated on the basis 

of Office of Management and Budget guidance on financial statements), together with a discussion of the major deficiencies to be expected in the statement.

 "(C) A summary of the specific sections of the annual Financial Management Improvement Plan of the Department of Defense, current as of the date of the report, that--

 "(i) detail the priorities, milestones, and measures of success that apply to the preparation of the financial 

statements;

 "(ii) detail the planned improvements in the process for the preparation of financial statements that are to be 

implemented within 12 months after the date on which the plan is issued; and

 "(iii) provide an estimate of when each financial statement will convey reliable information.

 "(3) The annual report shall be submitted to the following:

 "(A) The Committee on Armed Services and the Committee on Governmental Affairs of the Senate.

 "(B) The Committee on Armed Services and the Committee on Government Reform of the House of Representatives.

 "(C) The Director of the Office of Management and Budget.

 "(D) The Secretary of the Treasury.

 "(E) The Comptroller General of the United States.

 "(4) The Secretary of Defense shall make a copy of the annual report available to the Inspector General of the 

Department of Defense.

 "(b) Minimization of use of resources for unreliable financial statements.

 (1) With respect to each financial statement for a fiscal year that the Secretary of Defense assesses as being expected to be unreliable in the annual report under subsection (a), the Under Secretary of Defense (Comptroller) shall 

take appropriate actions to minimize, consistent with the benefits to be derived, the resources (including contractor

support) that are used to develop, compile, and report the financial statement.

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 "(2) With the annual budget justifications for the Department of Defense submitted to Congress each year, the 

Under Secretary of Defense (Comptroller) shall submit, with respect to the fiscal year in which submitted, the preceding 

fiscal year, and the following fiscal year, the following information:

 "(A) An estimate of the resources that the Department of Defense is saving or expects to save as a result of 

actions taken and to be taken under paragraph (1) with respect to the preparation of financial statements.

 "(B) A discussion of how the resources saved as estimated under subparagraph (A) have been redirected or are 

to be redirected from the preparation of financial statements to the improvement of systems underlying financial management within the Department of Defense and to the improvement of financial management policies, procedures, and 

internal controls within the Department of Defense.

 "(c) Information to auditors. Not later than the date that is 180 days prior to the date set by the Office of Management 

and Budget for the submission of financial statements of each year, the Under Secretary of Defense (Comptroller) and 

the Assistant Secretary of each military department with responsibility for financial management and comptroller functions shall each provide to the auditors of the financial statement of that official's department for the fiscal year ending 

during the preceding month that official's preliminary management representation, in writing, regarding the expected 

reliability of the financial statement. The representation shall be consistent with guidance issued by the Director of the 

Office of Management and Budget and shall include the basis for the reliability assessment stated in the representation.

 "(d) Limitation on Inspector General audits.

 (1) On each financial statement that an official asserts is unreliable under subsection (b) or (c), the Inspector General of the Department of Defense shall only perform the audit procedures required by generally accepted government 

auditing standards consistent with any representation made by management.

 "(2) With the annual budget justifications for the Department of Defense submitted to Congress each year, the 

Under Secretary of Defense (Comptroller) shall submit, with respect to the fiscal year in which submitted, the preceding 

fiscal year, and the following fiscal year, information which the Inspector General shall report to the Under Secretary, as 

follows:

 "(A) An estimate of the resources that the Inspector General is saving or expects to save as a result of actions 

taken and to be taken under paragraph (1) with respect to the auditing of financial statements.

 "(B) A discussion of how the resources saved as estimated under subparagraph (A) have been redirected or are 

to be redirected from the auditing of financial statements to the oversight and improvement of systems underlying financial management within the Department of Defense and to the oversight and improvement of financial management 

policies, procedures, and internal controls within the Department of Defense.

 "(e) Effective date. The requirements of this section shall apply with respect to financial statements for fiscal years 

after fiscal year 2001 and to the auditing of those financial statements.

 "(f) Termination of applicability. If the Secretary of Defense certifies to the Inspector General of the Department of 

Defense that the financial statement for the Department of Defense, or a financial statement for a component of the Department of Defense, for a fiscal year is reliable, this section shall not apply with respect to that financial statement or to 

any successive financial statement for the Department of Defense, or for that component, as the case may be, for any 

later fiscal year.".

 Uniform financial management system for Department of Defense test and evaluation facilities. Act Dec. 2, 

2002, P.L. 107-314, Div A, Title II, Subtitle D, § 233, 116 Stat. 2490, provides:

 "(a) Requirement for system. The Secretary of Defense shall implement a single financial management and accounting system for all test and evaluation facilities of the Department of Defense. The Secretary shall implement such system as soon as practicable, and shall establish the objective that such system be implemented not later than September 

30, 2006.

 "(b) System features. The system required by subsection (a) shall be designed to achieve, at a minimum, the following functional objectives:

 "(1) Enable managers within the Department of Defense to compare the costs of carrying out test and evaluation 

activities in the various facilities of the military departments.

 "(2) Enable the Secretary of Defense--

 "(A) to make prudent investment decisions; and

 "(B) to reduce the extent to which unnecessary costs of owning and operating test and evaluation facilities of 

the Department of Defense are incurred.

 "(3) Enable the Department of Defense to track the total cost of test and evaluation activities.

 "(4) Comply with the financial management architecture established by the Secretary.".

 Training range sustainment plan, global status of resources and training system, and training range inventory. Act Dec. 2, 2002, P.L. 107-314, Div A, Title III, Subtitle G, § 366, 116 Stat. 2522; Oct. 17, 2006, P.L. 109-364, Div 

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A, Title III, Subtitle E, § 348, 120 Stat. 2159; Jan. 28, 2008, P.L. 110-181, Div A, Title X, Subtitle F, § 1063(c)(2), 122 

Stat. 322 (effective as if included in Act Oct. 17, 2006, as provided by § 1063(c) of such Act); Jan. 7, 2011, P.L. 

111-383, Div A, Title X, Subtitle H, § 1075(g)(2), 124 Stat. 4376 (effective as of 10/17/2006 and as if included in Act 

Oct. 17, 2006 as enacted, as provided by § 1075(g) of the 2011 Act); Jan. 2, 2013, P.L. 112-239, Div A, Title III, Subtitle B, § 311, 126 Stat. 1691, provides:

 "(a) Plan required.

 (1) The Secretary of Defense shall develop a comprehensive plan for using existing authorities available to the 

Secretary of Defense and the Secretaries of the military departments to address training constraints caused by limitations on the use of military lands, marine areas, and airspace that are available in the United States and overseas for 

training of the Armed Forces.

 "(2) As part of the preparation of the plan, the Secretary of Defense shall conduct the following:

 "(A) An assessment of current and future training range requirements of the Armed Forces.

 "(B) An evaluation of the adequacy of current Department of Defense resources (including virtual and constructive training assets as well as military lands, marine areas, and airspace available in the United States and overseas) 

to meet those current and future training range requirements.

 "(3) The plan shall include the following:

 "(A) Proposals to enhance training range capabilities and address any shortfalls in current Department of Defense resources identified pursuant to the assessment and evaluation conducted under paragraph (2).

 "(B) Goals and milestones for tracking planned actions and measuring progress.

 "(C) Projected funding requirements for implementing planned actions.

 "(D) Designation of an office in the Office of the Secretary of Defense and in each of the military departments 

that will have lead responsibility for overseeing implementation of the plan.

 "(4) At the same time as the President submits to Congress the budget for fiscal year 2004, the Secretary of Defense shall submit to Congress a report describing the progress made in implementing this subsection, including--

 "(A) the plan developed under paragraph (1);

 "(B) the results of the assessment and evaluation conducted under paragraph (2); and

 "(C) any recommendations that the Secretary may have for legislative or regulatory changes to address training 

constraints identified pursuant to this section.

 "(5) At the same time as the President submits to Congress the budget for each fiscal year through fiscal year 

2018, the Secretary shall submit to Congress a report describing the progress made in implementing the plan and any 

additional actions taken, or to be taken, to address training constraints caused by limitations on the use of military lands, 

marine areas, and airspace.

 "(b) Readiness reporting improvement. Not later than June 30, 2003, the Secretary of Defense, using existing 

measures within the authority of the Secretary, shall submit to Congress a report on the plans of the Department of Defense to improve the Global Status of Resources and Training System to reflect the readiness impact that training constraints caused by limitations on the use of military lands, marine areas, and airspace have on specific units of the 

Armed Forces.

 "(c) Training range inventory.

 (1) The Secretary of Defense shall develop and maintain a training range inventory for each of the Armed Forces--

 "(A) to identify all available operational training ranges;

 "(B) to identify all training capacities and capabilities available at each training range; and

 "(C) to identify training constraints caused by limitations on the use of military lands, marine areas, and airspace at each training range.

 "(2) The Secretary of Defense shall submit an initial inventory to Congress at the same time as the President submits the budget for fiscal year 2004 and shall submit an updated inventory to Congress at the same time as the President 

submits the budget for each fiscal year through fiscal year 2018.

 "(d) GAO evaluation. The Secretary of Defense shall transmit copies of each report required by subsections (a) and 

(b) to the Comptroller General. Within 90 days of receiving a report, the Comptroller General shall submit to Congress 

an evaluation of the report.

 "(e) Armed Forces defined. In this section, the term 'Armed Forces' means the Army, Navy, Air Force, and Marine 

Corps.".

 Repeal of provision relating to financial management enterprise architecture. Act Dec. 2, 2002, P.L. 107-314, 

Div A, Title X, Subtitle A, § 1004, 116 Stat. 2629, which formerly appeared as a note to this section, was repealed by 

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Act Oct. 28, 2004, P.L. 108-375, Div A, Title III, Subtitle D, § 332(f), 118 Stat. 1846. It provided for development and 

implementation of financial management enterprise architecture.

 Annual report on military operations conducted as part of Operation Enduring Freedom. Act Dec. 2, 2002, 

P.L. 107-314, Div A, Title X, Subtitle D, § 1043, 116 Stat. 2646, provides:

 "(a) Reports required.

 (1) The Secretary of Defense shall submit to the congressional committees specified in subsection (d) an annual 

report on the conduct of military operations conducted as part of Operation Enduring Freedom. The first report, which 

shall include a definition of the military operations carried out as part of Operation Enduring Freedom, shall be submitted not later than June 15, 2003. Subsequent reports shall be submitted not later than June 15 each year, and the final 

report shall be submitted not later than 180 days after the date (as determined by the Secretary of Defense) of the cessation of hostilities undertaken as part of Operation Enduring Freedom.

 "(2) Each report under this section shall be prepared in consultation with the Chairman of the Joint Chiefs of 

Staff, the commander of the United States Central Command, the Director of Central Intelligence, and such other officials as the Secretary considers appropriate.

 "(3) Each such report shall be submitted in both a classified form and an unclassified form, as necessary.

 "(b) Special matters to be included. Each report under this section shall include the following:

 "(1) A discussion of the command, control, coordination, and support relationship between United States special 

operations forces and Central Intelligence Agency elements participating in Operation Enduring Freedom and any lessons learned from the joint conduct of operations by those forces and elements.

 "(2) Recommendations to improve operational readiness and effectiveness of these forces and elements.

 "(c) Other matters to be included. Each report under this section shall include a discussion, with a particular emphasis on accomplishments and shortcomings, of the following matters with respect to Operation Enduring Freedom:

 "(1) The political and military objectives of the United States.

 "(2) The military strategy of the United States to achieve those political and military objectives.

 "(3) The concept of operations, including any new operational concepts, for the operation.

 "(4) The benefits and disadvantages of operating with local opposition forces.

 "(5) The benefits and disadvantages of operating in a coalition with the military forces of allied and friendly nations.

 "(6) The cooperation of nations in the region for overflight, basing, command and control, and logistic and other 

support.

 "(7) The conduct of relief operations both during and after the period of hostilities.

 "(8) The conduct of close air support (CAS), particularly with respect to the timeliness, efficiency, and effectiveness of such support.

 "(9) The use of unmanned aerial vehicles for intelligence, surveillance, reconnaissance, and combat support to 

operational forces.

 "(10) The use and performance of United States and coalition military equipment, weapon systems, and munitions.

 "(11) The effectiveness of reserve component forces, including their use and performance in the theater of operations.

 "(12) The importance and effectiveness of the International Security Assistance Force.

 "(13) The importance and effectiveness of United States civil affairs forces.

 "(14) The anticipated duration of the United States military presence in Afghanistan.

 "(15) The most critical lessons learned that could lead to long-term doctrinal, organizational, and technological 

changes.

 "(d) Congressional committees. The committees referred to in subsection (a)(1) are the following:

 "(1) The Committee on Armed Services and the Select Committee on Intelligence of the Senate.

 "(2) The Committee on Armed Services and the Permanent Select Committee on Intelligence of the House of 

Representatives.".

 Comprehensive plan for improving the preparedness of military installations for terrorist incidents. Act Dec. 

2, 2002, P.L. 107-314, Div A, Title XIV, § 1402, 116 Stat. 2675, provides:

 "(a) Comprehensive plan. The Secretary of Defense shall develop a comprehensive plan for improving the preparedness of military installations for preventing and responding to terrorist attacks, including attacks involving the use or 

threat of use of weapons of mass destruction.

 "(b) Preparedness strategy. The plan under subsection (a) shall include a preparedness strategy that includes each of 

the following:

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 "(1) Identification of long-term goals and objectives for improving the preparedness of military installations for 

preventing and responding to terrorist attacks.

 "(2) Identification of budget and other resource requirements necessary to achieve those goals and objectives.

 "(3) Identification of factors beyond the control of the Secretary that could impede the achievement of those goals 

and objectives.

 "(4) A discussion of the extent to which local, regional, or national military response capabilities are to be developed, integrated, and used.

 "(5) A discussion of how the Secretary will coordinate the capabilities referred to in paragraph (4) with local, regional, or national civilian and other military capabilities.

 "(c) Performance plan. The plan under subsection (a) shall include a performance plan that includes each of the following:

 "(1) A reasonable schedule, with milestones, for achieving the goals and objectives of the strategy under subsection (b).

 "(2) Performance criteria for measuring progress in achieving those goals and objectives.

 "(3) A description of the process, together with a discussion of the resources, necessary to achieve those goals and 

objectives.

 "(4) A description of the process for evaluating results in achieving those goals and objectives.

 "(d) Submittal to Congress. The Secretary shall submit the comprehensive plan developed under subsection (a) to the 

Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives not 

later than 180 days after the date of the enactment of this Act.

 "(e) Comptroller General review and report. Not later than 60 days after the date on which the Secretary submits the 

comprehensive plan under subsection (a), the Comptroller General shall review the plan and submit to the committees 

referred to in subsection (d) the Comptroller General's assessment of the plan.

 "(f) Annual report.

 (1) In each of 2004, 2005, and 2006, the Secretary of Defense shall include a report on the comprehensive plan 

developed under subsection (a) with the materials that the Secretary submits to Congress in support of the budget submitted by the President that year pursuant to section 1105(a) of title 31, United States Code.

 "(2) Each such report shall include--

 "(A) a discussion of any revision that the Secretary has made in the comprehensive plan developed under subsection (a) since the last report under this subsection or, in the case of the first such report, since the plan was submitted 

under subsection (d); and

 "(B) an assessment of the progress made in achieving the goals and objectives of the strategy set forth in the 

plan.

 "(3) If the Secretary includes in the report for 2004 or 2005 under this subsection a declaration that the goals and 

objectives of the preparedness strategy set forth in the comprehensive plan have been achieved, no further report is required under this subsection.".

 Annual report on military operations and reconstruction activities in Iraq and Afghanistan. Act Nov. 6, 2003, 

P.L. 108-106, Title I, Ch. 1, § 1120, 117 Stat. 1219, provides:

 "(a) Not later than April 30 and October 31 of each year, the Secretary of Defense shall submit to Congress a report 

on the military operations of the Armed Forces and the reconstruction activities of the Department of Defense in Iraq 

and Afghanistan.

 "(b) Each report shall include the following information:

 "(1) For each of Iraq and Afghanistan for the half-fiscal year ending during the month preceding the due date of 

the report, the amount expended for military operations of the Armed Forces and the amount expended for reconstruction activities, together with the cumulative total amounts expended for such operations and activities.

 "(2) An assessment of the progress made toward preventing attacks on United States personnel.

 "(3) An assessment of the effects of the operations and activities in Iraq and Afghanistan on the readiness of the 

Armed Forces.

 "(4) An assessment of the effects of the operations and activities in Iraq and Afghanistan on the recruitment and 

retention of personnel for the Armed Forces.

 "(5) For the half-fiscal year ending during the month preceding the due date of the report, the costs incurred for 

repair of Department of Defense equipment used in the operations and activities in Iraq and Afghanistan.

 "(6) The foreign countries, international organizations, and nongovernmental organizations that are contributing 

support for the ongoing military operations and reconstruction activities, together with a discussion of the amount and 

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types of support contributed by each during the half-fiscal year ending during the month preceding the due date of the 

report.

 "(7) The extent to which, and the schedule on which, the Selected Reserve of the Ready Reserve of the Armed 

Forces is being involuntarily ordered to active duty under section 12304 of title 10, United States Code.

 "(8) For each unit of the National Guard of the United States and the other reserve components of the Armed 

Forces on active duty pursuant to an order to active duty under section 12304 of title 10, United States Code, the following information:

 "(A) The unit.

 "(B) The projected date of return of the unit to its home station.

 "(C) The extent (by percentage) to which the forces deployed within the United States and outside the United 

States in support of a contingency operation are composed of reserve component forces.".

 Studies of fleet platform architectures for the Navy. Act Nov. 24, 2003, P.L. 108-136, Div A, Title II, Subtitle B, 

§ 216, 117 Stat. 1418, provides:

 "(a) Independent studies.

 (1) The Secretary of Defense shall provide for the performance of two independent studies of alternative future 

fleet platform architectures for the Navy.

 "(2) The Secretary shall forward the results of each study to the congressional defense committees [the Committee 

on Armed Services and the Committee on Appropriations of the Senate and the Committee on Armed Services and the 

Committee on Appropriations of the House of Representatives] not later than January 15, 2005.

 "(3) Each such study shall be submitted both in unclassified, and to the extent necessary, in classified versions.

 "(b) Entities to perform studies. The Secretary of Defense shall provide for the studies under subsection (a) to be 

performed as follows:

 "(1) One study shall be performed by a federally funded research and development center.

 "(2) The other study shall be performed by the Office of Force Transformation within the Office of the Secretary 

of Defense and shall include participants from (A) the Office of Net Assessment within the Office of the Secretary of 

Defense, (B) the Department of the Navy, and (C) the Joint Staff.

 "(c) Performance of studies.

 (1) The Secretary of Defense shall require the two studies under this section to be conducted independently of 

each other.

 "(2) In performing a study under this section, the organization performing the study, while being aware of the 

current and projected fleet platform architectures, shall not be limited by the current or projected fleet platform architecture and shall consider the following:

 "(A) The National Security Strategy of the United States.

 "(B) Potential future threats to the United States and to United States naval forces.

 "(C) The traditional roles and missions of United States naval forces.

 "(D) Alternative roles and missions for United States naval forces.

 "(E) Other government and non-government analyses that would contribute to the study through variations in 

study assumptions or potential scenarios.

 "(F) The role of evolving technology on future naval forces.

 "(G) Opportunities for reduced manning and unmanned ships and vehicles in future naval forces.

 "(d) Study results. The results of each study under this section shall--

 "(1) present the alternative fleet platform architectures considered, with assumptions and possible scenarios identified for each;

 "(2) provide for presentation of minority views of study participants; and

 "(3) for the recommended architecture, provide--

 "(A) the numbers, kinds, and sizes of vessels, the numbers and types of associated manned and unmanned vehicles, and the basic capabilities of each of those platforms; and

 "(B) other information needed to understand that architecture in basic form and the supporting analysis.".

 Report regarding impact of civilian community encroachment and certain legal requirements on military installations and ranges and plan to address encroachment. Act Nov. 24, 2003, P.L. 108-136, Div A, Title III, Subtitle 

B, § 320, 117 Stat. 1435, provides:

 "(a) Study required. The Secretary of Defense shall conduct a study on the impact, if any, of the following types of 

encroachment issues affecting military installations and operational ranges:

 "(1) Civilian community encroachment on those military installations and ranges whose operational training activities, research, development, test, and evaluation activities, or other operational, test and evaluation, maintenance, 

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storage, disposal, or other support functions require, or in the future reasonably may require, safety or operational buffer 

areas. The requirement for such a buffer area may be due to a variety of factors, including air operations, ordnance operations and storage, or other activities that generate or might generate noise, electro-magnetic interference, ordnance 

arcs, or environmental impacts that require or may require safety or operational buffer areas.

 "(2) Compliance by the Department of Defense with State Implementation Plans for Air Quality under section 

110 of the Clean Air Act (42 U.S.C. 7410).

 "(3) Compliance by the Department of Defense with the Solid Waste Disposal Act (42 U.S.C. 6901 et seq.) and 

the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et seq.).

 "(b) Matters to be included with respect to civilian community encroachments. With respect to paragraph (1) of subsection (a), the study shall include the following:

 "(1) A list of all military installations described in subsection (a)(1) at which civilian community encroachment is 

occurring.

 "(2) A description and analysis of the types and degree of such civilian community encroachment at each military 

installation included on the list.

 "(3) An analysis, including views and estimates of the Secretary of Defense, of the current and potential future 

impact of such civilian community encroachment on operational training activities, research, development, test, and 

evaluation activities, and other significant operational, test and evaluation, maintenance, storage, disposal, or other support functions performed by military installations included on the list. The analysis shall include the following:

 "(A) A review of training and test ranges at military installations, including laboratories and technical centers 

of the military departments, included on the list.

 "(B) A description and explanation of the trends of such encroachment, as well as consideration of potential 

future readiness problems resulting from unabated encroachment.

 "(4) An estimate of the costs associated with current and anticipated partnerships between the Department of Defense and non-Federal entities to create buffer zones to preclude further development around military installations included on the list, and the costs associated with the conveyance of surplus property around such military installations for 

purposes of creating buffer zones.

 "(5) Options and recommendations for possible legislative or budgetary changes necessary to mitigate current and 

anticipated future civilian community encroachment problems.

 "(c) Matters to be included with respect to compliance with specified laws. With respect to paragraphs (2) and (3) of 

subsection (a), the study shall include the following:

 "(1) A list of all military installations and other locations at which the Armed Forces are encountering problems 

related to compliance with the laws specified in such paragraphs.

 "(2) A description and analysis of the types and degree of compliance problems encountered.

 "(3) An analysis, including views and estimates of the Secretary of Defense, of the current and potential future 

impact of such compliance problems on the following functions performed at military installations:

 "(A) Operational training activities.

 "(B) Research, development, test, and evaluation activities.

 "(C) Other significant operational, test and evaluation, maintenance, storage, disposal, or other support functions.

 "(4) A description and explanation of the trends of such compliance problems, as well as consideration of potential future readiness problems resulting from such compliance problems.

 "(d) Plan to respond to encroachment issues. On the basis of the study conducted under subsection (a), including the 

specific matters required to be addressed by subsections (b) and (c), the Secretary of Defense shall prepare a plan to 

respond to the encroachment issues described in subsection (a) affecting military installations and operational ranges.

 "(e) Reporting requirements. The Secretary of Defense shall submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives the following reports regarding the study 

conducted under subsection (a), including the specific matters required to be addressed by subsections (b) and (c):

 "(1) Not later than January 31, 2004, an interim report describing the progress made in conducting the study and 

containing the information collected under the study as of that date.

 "(2) Not later than January 31, 2006, a report containing the results of the study and the encroachment response 

plan required by subsection (d).

 "(3) Not later than January 31, 2007, and each January 31 thereafter through January 31, 2010, a report describing 

the progress made in implementing the encroachment response plan.".

 High-performing organization business process reengineering pilot program. Act Nov. 24, 2003, P.L. 108-136, 

Div A, Title III, Subtitle C, § 337, 117 Stat. 1445, provides:

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 "(a) Pilot program. The Secretary of Defense shall establish a pilot program under which the Secretary concerned 

shall create, or continue the implementation of, high-performing organizations through the conduct of a Business Process Reengineering initiative at selected military installations and facilities under the jurisdiction of the Secretary concerned.

 "(b) Effect of participation in pilot program.

 (1) During the period of an organization's participation in the pilot program, including the periods referred to in 

paragraphs (2) and (3) of subsection (f), the Secretary concerned may not require the organization to undergo any Office 

of Management and Budget Circular A-76 competition or other public-private competition involving any function of the 

organization covered by the Business Process Reengineering initiative. The organization may elect to undergo such a 

competition as part of the initiative.

 "(2) Civilian employee or military personnel positions of the participating organization that are part of the Business Process Reengineering initiative shall be counted toward any numerical goals, target, or quota that the Secretary 

concerned is required or requested to meet during the term of the pilot program regarding the number of positions to be 

covered by public-private competitions.

 "(c) Eligible organizations. Subject to subsection (d), the Secretary concerned may select two types of organizations 

to participate in the pilot program:

 "(1) Organizations that underwent a Business Process Reengineering initiative within the preceding five years, 

achieved major performance enhancements under the initiative, and will be able to sustain previous or achieve new 

performance goals through the continuation of its existing or completed Business Process Reengineering plan.

 "(2) Organizations that have not undergone or have not successfully completed a Business Process Reengineering 

initiative, but which propose to achieve, and reasonably could reach, enhanced performance goals through implementation of a Business Process Reengineering initiative.

 "(d) Additional eligibility requirements.

 (1) To be eligible for selection to participate in the pilot program under subsection (c)(1), an organization described in such subsection shall demonstrate, to the satisfaction of the Secretary concerned, the completion of a total 

organizational assessment that resulted in enhanced performance measures at least comparable to those performance 

measures that might be achieved through competitive sourcing.

 "(2) To be eligible for selection to participate in the pilot program under subsection (c)(2), an organization described in such subsection shall identify, to the satisfaction of the Secretary concerned--

 "(A) functions, processes, and measures to be studied under the Business Process Reengineering initiative;

 "(B) adequate resources to carry out the Business Process Reengineering initiative; and

 "(C) labor-management agreements in place to ensure effective implementation of the Business Process Reengineering initiative.

 "(e) Limitation on number of participants. Total participants in the pilot program is limited to eight military installations and facilities, with some participants to be drawn from organizations described in subsection (c)(1) and some participants to be drawn from organizations described in subsection (c)(2).

 "(f) Implementation and duration.

 (1) The implementation and management of a Business Process Reengineering initiative under the pilot program 

shall be the responsibility of the commander of the military installation or facility at which the Business Process Reengineering initiative is carried out.

 "(2) An organization selected to participate in the pilot program shall be given a reasonable initial period, to be 

determined by the Secretary concerned, in which the organization must implement the Business Process Reengineering 

initiative. At the end of this period, the Secretary concerned shall determine whether the organization has achieved initial progress toward designation as a high-performing organization. In the absence of such progress, the Secretary concerned shall terminate the organization's participation in the pilot program.

 "(3) If an organization successfully completes implementation of the Business Process Reengineering initiative 

under paragraph (2), the Secretary concerned shall designate the organization as a high-performing organization and 

grant the organization an additional five-year period in which to achieve projected or planned efficiencies and savings 

under the pilot program.

 "(g) Reviews and reports. The Secretary concerned shall conduct annual performance reviews of the participating 

organizations or functions under the jurisdiction of the Secretary concerned. Reviews and reports shall evaluate organizational performance measures or functional performance measures and determine whether organizations are performing satisfactorily for purposes of continuing participation in the pilot program.

 "(h) Performance measures. Performance measures utilized in the pilot program should include the following, which 

shall be measured against organizational baselines determined before participation in the pilot program:

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 "(1) Costs, savings, and overall financial performance of the organization.

 "(2) Organic knowledge, skills or expertise.

 "(3) Efficiency and effectiveness of key functions or processes.

 "(4) Efficiency and effectiveness of the overall organization.

 "(5) General customer satisfaction.

 "(i) Definitions. In this section

 "(1) The term 'Business Process Reengineering' refers to an organization's complete and thorough analysis and 

reengineering of mission and support functions and processes to achieve improvements in performance, including a 

fundamental reshaping of the way work is done to better support an organization's mission and reduce costs.

 "(2) The term 'high-performing organization' means an organization whose performance exceeds that of comparable providers, whether public or private.

 "(3) The term 'Secretary concerned' means the Secretary of a military department and the Secretary of Defense, 

with respect to matters concerning the Defense Agencies.".

 Secretary of Defense assessment of mobilization of reserve component personnel. Act Nov. 24, 2003, P.L. 

108-136, Div A, Title V, Subtitle B, § 517(b), 117 Stat. 1461, provides:

 "Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall submit to the 

Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives the 

following:

 "(1) A description of the effects on reserve component recruitment and retention that have resulted from--

 "(A) the calls and orders of Reserves to active duty during fiscal years 2002 and 2003; and

 "(B) the tempo of the service of the Reserves on the active duty to which called or ordered.

 "(2) A description of changes in the Armed Forces, including any changes in the allocation of roles and missions, 

in force structure, and in capabilities between the active components and the reserve components of the Armed Forces, 

that are envisioned by the Secretary of Defense on the basis of--

 "(A) the effects discussed under paragraph (1);

 "(B) the lessons learned from calling and ordering the reserve components to active duty during fiscal years 

2002 and 2003; or

 "(C) future military force structure and capabilities requirements.

 "(3) On the basis of the lessons learned as a result of calling and ordering members of the reserve components to 

active duty during fiscal years 2002 and 2003, an assessment of the process for calling and ordering such members to 

active duty, preparing such members for active duty, processing such members into the force upon entry onto active 

duty, and deploying such members, including an assessment of the adequacy of the alert and notification process from 

the perspectives of individual members, of reserve component units, and of employers of such members.".

 Policy on public identification of casualties. Act Nov. 24, 2003, P.L. 108-136, Div A, Title V, Subtitle E, § 546, 

117 Stat. 1479, provides:

 "(a) Requirement for policy. Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall prescribe the policy of the Department of Defense on public release of the name or other personally identifying information of any member of the Army, Navy, Air Force, or Marine Corps who while on active duty or performing inactive-duty training is killed or injured, whose duty status becomes unknown, or who is otherwise considered to 

be a casualty.

 "(b) Guidance on timing of release. The policy under subsection (a) shall include guidance for ensuring that any public release of information on a member under the policy occurs only after the lapse of an appropriate period following 

notification of the next-of-kin regarding the casualty status of such member.".

 Plan for prompt global strike capability. Act Nov. 24, 2003, P.L. 108-136, Div A, Title X, Subtitle D, § 1032, 117 

Stat. 1605; Jan. 28, 2008, P.L. 110-181, Div A, Title X, Subtitle E, § 1043, 122 Stat. 311, provides:

 "(a) Integrated plan for prompt global strike capability. The Secretary of Defense shall establish an integrated plan 

for developing, deploying, and sustaining a prompt global strike capability in the Armed Forces. The Secretary shall 

update the plan annually.

 "(b) Annual reports.

 (1) Not later than April 1 of each of 2004, 2005, and 2006, and each of 2007, 2008, and 2009, the Secretary shall 

submit to the congressional defense committees [the Committee on Armed Services and the Committee on Appropriations of the Senate, and the Committee on Armed Services and the Committee on Appropriations of the House of Representatives] a report on the plan established under subsection (a).

 "(2) Each report under paragraph (1) shall include the following:

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 "(A) A description and assessment of the targets against which long-range strike assets might be directed and 

the conditions under which those assets might be used.

 "(B) The role of, and plans for ensuring, sustainment and modernization of current long-range strike assets, 

including bombers, intercontinental ballistic missiles, and submarine-launched ballistic missiles.

 "(C) A description of the capabilities desired for advanced long-range strike assets and plans to achieve those 

capabilities.

 "(D) A description of the capabilities desired for advanced conventional munitions and the plans to achieve 

those capabilities.

 "(E) An assessment of advanced nuclear concepts that could contribute to the prompt global strike mission.

 "(F) An assessment of the command, control, and communications capabilities necessary to support prompt 

global strike capabilities.

 "(G) An assessment of intelligence, surveillance, and reconnaissance capabilities necessary to support prompt 

global strike capabilities.

 "(H) A description of how prompt global strike capabilities are to be integrated with theater strike capabilities.

 "(I) An estimated schedule for achieving the desired prompt global strike capabilities.

 "(J) The estimated cost of achieving the desired prompt global strike capabilities.

 "(K) A description of ongoing and future studies necessary for updating the plan appropriately.".

 Report on acquisition by Iraq of advanced weapons. Act Nov. 24, 2003, P.L. 108-136, Div A, Title XII, Subtitle 

A, § 1204, 117 Stat. 1649, provides:

 "(a) Report. 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 and Foreign Relations of the Senate and the Committees on Armed Services and 

International Relations of the House of Representatives a report on the acquisition by Iraq of weapons of mass destruction and associated delivery systems and the acquisition by Iraq of advanced conventional weapons.

 "(b) Matters to be included. The report shall include the following:

 "(1) A description of any materials, technology, and know-how that Iraq was able to obtain for its nuclear, chemical, biological, ballistic missile, and unmanned aerial vehicle programs, and advanced conventional weapons programs, 

from 1979 through April 2003 from entities (including Iraqi citizens) outside of Iraq, as well as a description of how 

Iraq obtained these capabilities from those entities.

 "(2) An assessment of the degree to which United States, foreign, and multilateral export control regimes prevented acquisition by Iraq of weapons of mass destruction-related technology and materials and advanced conventional 

weapons and delivery systems since the commencement of international inspections in Iraq.

 "(3) An assessment of the effectiveness of United Nations sanctions at halting the flow of militarily-useful contraband to Iraq from 1991 until the end of Operation Iraqi Freedom.

 "(4) An assessment of how Iraq was able to evade International Atomic Energy Agency and United Nations inspections regarding chemical, nuclear, biological, and missile weapons and related capabilities.

 "(5) Identification and a catalog of the entities and countries that transferred militarily useful contraband and 

items described pursuant to paragraph (1) to Iraq between 1991 and the end of major combat operations of Operation 

Iraqi Freedom on May 1, 2003, and the nature of that contraband and of those items.

 "(c) Form of report. The report shall be submitted in unclassified form with a classified annex, if necessary.".

 Reports on conventional weapons and ammunition obtained by Iraq in violation of certain United Nations 

Security Council resolutions. Act Dec. 13, 2003, P.L. 108-177, Title III, Subtitle D, § 358, 117 Stat. 2621, provides:

 "(a) Preliminary report. Not later than 90 days after the date of the enactment of this Act, the Director of the Defense 

Intelligence Agency shall, after such consultation with the Secretary of State and the Attorney General as the Director 

considers appropriate, submit to the appropriate committees of Congress a preliminary report on all information obtained by the Department of Defense and the intelligence community on the conventional weapons and ammunition 

obtained by Iraq in violation of applicable resolutions of the United Nations Security Council adopted since the invasion 

of Kuwait by Iraq in August 1990.

 "(b) Final report.

 (1) Not later than one year after the date of the enactment of this Act, the Director shall submit to the appropriate 

committees of Congress a final report on the information described in subsection (a).

 "(2) The final report under paragraph (1) shall include such updates of the preliminary report under subsection (a) 

as the Director considers appropriate.

 "(c) Elements. Each report under this section shall set forth, to the extent practicable, with respect to each shipment 

of weapons or ammunition addressed in such report the following:

 "(1) The country of origin.

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 "(2) Any country of transshipment.

 "(d) Form. Each report under this section shall be submitted in unclassified form, but may include a classified annex.

 "(e) Appropriate committees of Congress defined. In this section, the term 'appropriate committees of Congress' 

means--

 "(1) the Select Committee on Intelligence and the Committees on Armed Services and Foreign Relations of the 

Senate; and

 "(2) the Permanent Select Committee on Intelligence and the Committees on Armed Services and International 

Relations of the House of Representatives.".

 Report on military operations and reconstruction activities in Iraq and Afghanistan. Act Aug. 5, 2004, P.L. 

108-287, Title IX, § 9010, 118 Stat. 1008; Oct. 13, 2004, P.L. 108-324, Div B, Ch. 3, § 306, 118 Stat. 1243, provides:

 "(a) Not later than April 30 and October 31 of each year, the Secretary of Defense shall submit to Congress a report 

on the military operations of the Armed Forces and the reconstruction activities of the Department of Defense in Iraq 

and Afghanistan.

 "(b) Each report shall include the following information:

 "(1) For each of Iraq and Afghanistan for the half-fiscal year ending during the month preceding the due date of 

the report, the amount expended for military operations of the Armed Forces and the amount expended for reconstruction activities, together with the cumulative total amounts expended for such operations and activities.

 "(2) An assessment of the progress made toward preventing attacks on United States personnel.

 "(3) An assessment of the effects of the operations and activities in Iraq and Afghanistan on the readiness of the 

Armed Forces.

 "(4) An assessment of the effects of the operations and activities in Iraq and Afghanistan on the recruitment and 

retention of personnel for the Armed Forces.

 "(5) For the half-fiscal year ending during the month preceding the due date of the report, the costs incurred for 

repair of Department of Defense equipment used in the operations and activities in Iraq and Afghanistan.

 "(6) The foreign countries, international organizations, and nongovernmental organizations that are contributing 

support for the ongoing military operations and reconstruction activities, together with a discussion of the amount and 

types of support contributed by each during the half-fiscal year ending during the month preceding the due date of the 

report.

 "(7) The extent to which, and the schedule on which, the Selected Reserve of the Ready Reserve of the Armed 

Forces is being involuntarily ordered to active duty under section 12302 of title 10, United States Code.

 "(8) For each unit of the National Guard of the United States and the other reserve components of the Armed 

Forces on active duty pursuant to an order to active duty under section 12302 of title 10, United States Code, the following information:

 "(A) The unit.

 "(B) The projected date of return of the unit to its home station.

 "(C) The extent (by percentage) to which the forces deployed within the United States and outside the United 

States in support of a contingency operation are composed of reserve component forces.".

 Processing of forensic evidence collection kits and acquisition of sufficient stocks of such kits. Act Oct. 28, 

2004, P.L. 108-375, Div A, Title V, Subtitle J, § 573, 118 Stat. 1921, provides:

 "(a) Elimination of backlog, etc. The Secretary of Defense shall take such steps as may be necessary to ensure that--

 "(1) the United States Army Criminal Investigation Laboratory has the personnel and resources to effectively 

process forensic evidence used by the Department of Defense within 60 days of receipt by the laboratory of such evidence;

 "(2) consistent policies are established among the Armed Forces to reduce the time period between the collection 

of forensic evidence and the receipt and processing of such evidence by United States Army Criminal Investigation Laboratory; and

 "(3) there is an adequate supply of forensic evidence collection kits--

 "(A) for all United States military installations, including the military service academies; and

 "(B) for units of the Armed Forces deployed in theaters of operation.

 "(b) Training. The Secretary shall take such measures as the Secretary considers appropriate to ensure that personnel 

are appropriately trained--

 "(1) in the use of forensic evidence collection kits; and

 "(2) in the prescribed procedures to ensure protection of the chain of custody of such kits once used.".

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 Department of Defense policy and procedures on prevention and response to sexual assaults involving members of the Armed Forces. Section 577 of Act Oct. 28, 2004, P.L. 108-375, as amended, which formerly appeared as a 

note to this section, was transferred to 10 USCS § 1561 note.

 Policy for timely notification of next of kin of members seriously ill or injured in combat zones. Act Oct. 28, 

2004, P.L. 108-375, Div A, Title VII, Subtitle C, § 724, 118 Stat. 1990, provides:

 "(a) Policy required. The Secretary of Defense shall prescribe the policy of the Department of Defense for providing, 

in the case of the serious illness or injury of a member of the Armed Forces in a combat zone, timely notification to the 

next of kin of the member regarding the illness or injury, including information on the condition of the member and the 

location at which the member is receiving treatment. In prescribing the policy, the Secretary shall ensure respect for the 

expressed desires of individual members of the Armed Forces regarding the notification of next of kin and shall include 

standards of timeliness for both the initial notification of next of kin under the policy and subsequent updates regarding 

the condition and location of the member.

 "(b) Submission of policy. Not later than 120 days after the date of the enactment of this Act, the Secretary of Defense shall submit to Congress a copy of the policy.".

 Secretary of Defense criteria for and guidance on identification and internal transmission of critical information. Act Oct. 28, 2004, P.L. 108-375, Div A, Title IX, Subtitle D, § 932, 118 Stat. 2031, provides:

 "(a) Criteria for critical information.

 (1) The Secretary of Defense shall establish criteria for determining categories of critical information that should 

be made known expeditiously to senior civilian and military officials in the Department of Defense. Those categories 

should be limited to matters of extraordinary significance and strategic impact to which rapid access by those officials is 

essential to the successful accomplishment of the national security strategy or a major military mission. The Secretary 

may from time to time modify the list to suit the current strategic situation.

 "(2) The Secretary shall provide the criteria established under paragraph (1) to the Chairman of the Joint Chiefs of 

Staff, the Secretaries of the military departments, the commanders of the unified and specified commands, the commanders of deployed forces, and such other elements of the Department of Defense as the Secretary considers necessary.

 "(b) Matters to be included. The criteria established under subsection (a) shall include, at a minimum, requirement 

for identification of the following:

 "(1) Any incident that may result in a contingency operation, based on the incident's nature, gravity, or potential 

for significant adverse consequences to United States citizens, military personnel, interests, or assets, including an incident that could result in significant adverse publicity having a major strategic impact.

 "(2) Any event, development, or situation that could be reasonably assumed to escalate into an incident described 

in paragraph (1).

 "(3) Any deficiency or error in policy, standards, or training that could be reasonably assumed to have the effects 

described in paragraph (1).

 "(c) Requirements for transmission of critical information. The criteria under subsection (a) shall include such requirements for transmission of such critical information to such senior civilian and military officials of the Department 

of Defense as the Secretary of Defense considers appropriate.

 "(d) Time for issuance of criteria. The Secretary of Defense shall establish the criteria required by subsection (a) not 

later than 120 days after the date of the enactment of this Act.".

 Program to commemorate 60th anniversary of World War II. Act Oct. 28, 2004, P.L. 108-375, Div A, Title X, 

Subtitle D, § 1032, 118 Stat. 2045, provides:

 "(a) In general. For fiscal year 2005, the Secretary of Defense may conduct a program--

 "(1) to commemorate the 60th anniversary of World War II; and

 "(2) to coordinate, support, and facilitate other such commemoration programs and activities of the Federal Government, State and local governments, and other persons.

 "(b) Program activities. The program referred to in subsection (a) may include activities and ceremonies--

 "(1) to provide the people of the United States with a clear understanding and appreciation of the lessons and history of World War II;

 "(2) to thank and honor veterans of World War II and their families;

 "(3) to pay tribute to the sacrifices and contributions made on the home front by the people of the United States;

 "(4) to foster an awareness in the people of the United States that World War II was the central event of the 20th 

century that defined the postwar world;

 "(5) to highlight advances in technology, science, and medicine related to military research conducted during 

World War II;

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 "(6) to inform wartime and postwar generations of the contributions of the Armed Forces of the United States to 

the United States;

 "(7) to recognize the contributions and sacrifices made by World War II allies of the United States; and

 "(8) to highlight the role of the Armed Forces of the United States, then and now, in maintaining world peace 

through strength.

 "(c) Establishment of account.

 (1) There is established in the Treasury of the United States an account to be known as the 'Department of Defense 60th Anniversary of World War II Commemoration Account' which shall be administered by the Secretary as a 

single account.

 "(2) There shall be deposited in the account, from amounts appropriated to the Department of Defense for operation and maintenance of Defense Agencies, such amounts as the Secretary considers appropriate to conduct the program 

referred to in subsection (a).

 "(3) The Secretary may use the funds in the account established in paragraph (1) only for the purpose of conducting the program referred to in subsection (a).

 "(4) Not later than 60 days after the termination of the authority of the Secretary to conduct the program referred 

to in subsection (a), the Secretary shall transmit to the Committee on Armed Services of the Senate and the Committee 

on Armed Services of the House of Representatives a report containing an accounting of all the funds deposited into and 

expended from the account or otherwise expended under this section, and of any amount remaining in the account. Unobligated funds which remain in the account after termination of the authority of the Secretary under this section shall 

be held in the account until transferred by law after the Committees receive the report.

 "(d) Acceptance of voluntary services.

 (1) Notwithstanding section 1342 of title 31, United States Code, the Secretary may accept from any person voluntary services to be provided in furtherance of the program referred to in subsection (a).

 "(2) A person providing voluntary services under this subsection shall be considered to be an employee for the 

purposes of chapter 81 of title 5, United States Code [5 USCS §§ 8101 et seq.], relating to compensation for 

work-related injuries. Such a person who is not otherwise employed by the Federal Government shall not be considered 

to be a Federal employee for any other purposes by reason of the provision of such service.

 "(3) The Secretary may reimburse a person providing voluntary services under this subsection for incidental expenses incurred by such person in providing such services. The Secretary shall determine which expenses are eligible 

for reimbursement under this paragraph.".

 Preservation of search and rescue capabilities of the Federal government. Act Oct. 28, 2004, P.L. 108-375, Div 

A, Title X, Subtitle I, § 1085, 118 Stat. 2065; Jan. 28, 2008, P.L. 110-181, Div A, Title III, Subtitle E, § 360(c), 122 

Stat. 78; Jan. 7, 2011, P.L. 111-383, Div A, Title X, Subtitle H, § 1075(i)(2), 124 Stat. 4378, provides:

 "The Secretary of Defense may not reduce or eliminate search and rescue capabilities at any military installation in 

the United States unless the Secretary, after reviewing the search and rescue capabilities report prepared by the Secretary of the Air Force under section 360(a) of the National Defense Authorization Act for Fiscal Year 2008 (Public Law 

110-181; 122 Stat. 77) [unclassified], first certifies to the Committees on Armed Services of the Senate and the House 

of Representatives that equivalent search and rescue capabilities will be provided, without interruption and consistent 

with the policies and objectives set forth in the United States National Search and Rescue Plan entered into force on 

January 1, 1999, by--

 "(1) the Department of Interior, the Department of Commerce, the Department of Homeland Security, the Department of Transportation, the Federal Communications Commission, or the National Aeronautics and Space Administration; or

 "(2) the Department of Defense, either directly or through a Department of Defense contract with an emergency 

medical service provider or other private entity to provide such capabilities.".

 Sunken military craft. Act Oct. 28, 2004, P.L. 108-375, Div A, Title XIV, 118 Stat. 2094, provides:

 "Sec. 1401. Preservation of title to sunken military craft and associated contents.

 "Right, title, and interest of the United States in and to any United States sunken military craft--

 "(1) shall not be extinguished except by an express divestiture of title by the United States; and

 "(2) shall not be extinguished by the passage of time, regardless of when the sunken military craft sank.

 "Sec. 1402. Prohibitions.

 "(a) Unauthorized activities directed at sunken military craft. No person shall engage in or attempt to engage in any 

activity directed at a sunken military craft that disturbs, removes, or injures any sunken military craft, except--

 "(1) as authorized by a permit under this title;

 "(2) as authorized by regulations issued under this title; or

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 "(3) as otherwise authorized by law.

 "(b) Possession of sunken military craft. No person may possess, disturb, remove, or injure any sunken military craft 

in violation of--

 "(1) this section; or

 "(2) any prohibition, rule, regulation, ordinance, or permit that applies under any other applicable law.

 "(c) Limitations on application.

 (1) Actions by United States. This section shall not apply to actions taken by, or at the direction of, the United 

States.

 "(2) Foreign persons. This section shall not apply to any action by a person who is not a citizen, national, or resident alien of the United States, except in accordance with--

 "(A) generally recognized principles of international law;

 "(B) an agreement between the United States and the foreign country of which the person is a citizen; or

 "(C) in the case of an individual who is a crew member or other individual on a foreign vessel or foreign aircraft, an agreement between the United States and the flag State of the foreign vessel or aircraft that applies to the individual.

 "(3) Loan of sunken military craft. This section does not prohibit the loan of United States sunken military craft in 

accordance with regulations issued by the Secretary concerned.

 "Sec. 1403. Permits.

 "(a) In general. The Secretary concerned may issue a permit authorizing a person to engage in an activity otherwise 

prohibited by section 1402 with respect to a United States sunken military craft, for archaeological, historical, or educational purposes, in accordance with regulations issued by such Secretary that implement this section.

 "(b) Consistency with other laws. The Secretary concerned shall require that any activity carried out under a permit 

issued by such Secretary under this section must be consistent with all requirements and restrictions that apply under 

any other provision of Federal law.

 "(c) Consultation. In carrying out this section (including the issuance after the date of the enactment of this Act of 

regulations implementing this section), the Secretary concerned shall consult with the head of each Federal agency having authority under Federal law with respect to activities directed at sunken military craft or the locations of such craft.

 "(d) Application to foreign craft. At the request of any foreign State, the Secretary of the Navy, in consultation with 

the Secretary of State, may carry out this section (including regulations promulgated pursuant to this section) with respect to any foreign sunken military craft of that foreign State located in United States waters.

 "Sec. 1404. Penalties.

 "(a) In general. Any person who violates this title, or any regulation or permit issued under this title, shall be liable to 

the United States for a civil penalty under this section.

 "(b) Assessment and amount. The Secretary concerned may assess a civil penalty under this section, after notice and 

an opportunity for a hearing, of not more than $ 100,000 for each violation.

 "(c) Continuing violations. Each day of a continued violation of this title or a regulation or permit issued under this 

title shall constitute a separate violation for purposes of this section.

 "(d) In rem liability. A vessel used to violate this title shall be liable in rem for a penalty under this section for such 

violation.

 "(e) Other relief. If the Secretary concerned determines that there is an imminent risk of disturbance of, removal of, 

or injury to any sunken military craft, or that there has been actual disturbance of, removal of, or injury to a sunken military craft, the Attorney General, upon request of the Secretary concerned, may seek such relief as may be necessary to 

abate such risk or actual disturbance, removal, or injury and to return or restore the sunken military craft. The district 

courts of the United States shall have jurisdiction in such a case to order such relief as the public interest and the equities of the case may require.

 "(f) Limitations. An action to enforce a violation of section 1402 or any regulation or permit issued under this title 

may not be brought more than 8 years after the date on which--

 "(1) all facts material to the right of action are known or should have been known by the Secretary concerned; and

 "(2) the defendant is subject to the jurisdiction of the appropriate district court of the United States or administrative forum.

 "Sec. 1405. Liability for damages.

 "(a) In general. Any person who engages in an activity in violation of section 1402 or any regulation or permit issued 

under this title that disturbs, removes, or injures any United States sunken military craft shall pay the United States enforcement costs and damages resulting from such disturbance, removal, or injury.

 "(b) Included damages. Damages referred to in subsection (a) may include--

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 "(1) the reasonable costs incurred in storage, restoration, care, maintenance, conservation, and curation of any 

sunken military craft that is disturbed, removed, or injured in violation of section 1402 or any regulation or permit issued under this title; and

 "(2) the cost of retrieving, from the site where the sunken military craft was disturbed, removed, or injured, any 

information of an archaeological, historical, or cultural nature.

 "Sec. 1406. Relationship to other laws.

 "(a) In general. Except to the extent that an activity is undertaken as a subterfuge for activities prohibited by this title,

nothing in this title is intended to affect--

 "(1) any activity that is not directed at a sunken military craft; or

 "(2) the traditional high seas freedoms of navigation, including--

 "(A) the laying of submarine cables and pipelines;

 "(B) operation of vessels;

 "(C) fishing; or

 "(D) other internationally lawful uses of the sea related to such freedoms.

 "(b) International law. This title and any regulations implementing this title shall be applied in accordance with generally recognized principles of international law and in accordance with the treaties, conventions, and other agreements 

to which the United States is a party.

 "(c) Law of finds. The law of finds shall not apply to--

 "(1) any United States sunken military craft, wherever located; or

 "(2) any foreign sunken military craft located in United States waters.

 "(d) Law of salvage. No salvage rights or awards shall be granted with respect to--

 "(1) any United States sunken military craft without the express permission of the United States; or

 "(2) any foreign sunken military craft located in United States waters without the express permission of the relevant foreign state.

 "(e) Law of capture or prize. Nothing in this title is intended to alter the international law of capture or prize with 

respect to sunken military craft.

 "(f) Limitation of liability. Nothing in sections 4281 through 4287 and 4289 of the Revised Statutes (46 U.S.C. App. 

181 et seq. [46 USCS §§ 30501 et seq.]) or section 3 of the Act of February 13, 1893 (chapter 105; 27 Stat. 445; 46 

U.S.C. App. 192 [46 USCS § 30706]), shall limit the liability of any person under this section.

 "(g) Authorities of the Commandant of the Coast Guard. Nothing in this title is intended to preclude or limit the application of any other law enforcement authorities of the Commandant of the Coast Guard.

 "(h) Prior delegations, authorizations, and related regulations. Nothing in this title shall invalidate any prior delegation, authorization, or related regulation that is consistent with this title.

 "(i) Criminal law. Nothing in this title is intended to prevent the United States from pursuing criminal sanctions for 

plundering of wrecks, larceny of Government property, or violation of any applicable criminal law.

 "Sec. 1407. Encouragement of agreements with foreign countries.

 "The Secretary of State, in consultation with the Secretary of Defense, is encouraged to negotiate and conclude bilateral and multilateral agreements with foreign countries with regard to sunken military craft consistent with this title.

 "Sec. 1408. Definitions.

 "In this title:

 "(1) Associated contents. The term 'associated contents' means--

 "(A) the equipment, cargo, and contents of a sunken military craft that are within its debris field; and

 "(B) the remains and personal effects of the crew and passengers of a sunken military craft that are within its 

debris field.

 "(2) Secretary concerned. The term 'Secretary concerned' means--

 "(A) subject to subparagraph (B), the Secretary of a military department; and

 "(B) in the case of a Coast Guard vessel, the Secretary of the Department in which the Coast Guard is operating.

 "(3) Sunken military craft. The term 'sunken military craft' means all or any portion of--

 "(A) any sunken warship, naval auxiliary, or other vessel that was owned or operated by a government on military noncommercial service when it sank;

 "(B) any sunken military aircraft or military spacecraft that was owned or operated by a government when it 

sank; and

 "(C) the associated contents of a craft referred to in subparagraph (A) or (B),

 if title thereto has not been abandoned or transferred by the government concerned.

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 "(4) United States contiguous zone. The term 'United States contiguous zone' means the contiguous zone of the 

United States under Presidential Proclamation 7219, dated September 2, 1999 [43 USCS § 1331 note].

 "(5) United States internal waters. The term 'United States internal waters' means all waters of the United States 

on the landward side of the baseline from which the breadth of the United States territorial sea is measured.

 "(6) United States territorial sea. The term 'United States territorial sea' means the waters of the United States territorial sea under Presidential Proclamation 5928, dated December 27, 1988 [43 USCS § 1331 note].

 "(7) United States waters. The term 'United States waters' means United States internal waters, the United States 

territorial sea, and the United States contiguous zone.".

 Additional requirements for certain reports. Act May 11, 2005, P.L. 109-13, Div A, Title I, § 1024(c), 119 Stat. 

253, provides:

 "(1) Each semiannual report to Congress required under a provision of law referred to in paragraph (2) shall include, 

in addition to the matters specified in the applicable provision of law, the following:

 "(A) A statement of the cumulative total of all amounts obligated, and of all amounts expended, as of the date of 

such report for Operation Enduring Freedom.

 "(B) A statement of the cumulative total of all amounts obligated, and of all amounts expended, as of the date of 

such report for Operation Iraqi Freedom.

 "(C) An estimate of the reasonably foreseeable costs for ongoing military operations to be incurred during the 

12-month period beginning on the date of such report.

 "(2) The provisions of law referred to in this paragraph are as follows:

 "(A) Section 1120 of the Emergency Supplemental Appropriations Act for Defense and for the Reconstruction of 

Iraq and Afghanistan, 2004 (Public Law 108-106; 117 Stat. 1219; 10 U.S.C. 113 note).

 "(B) Section 9010 of the Department of Defense Appropriations Act, 2005 (Public Law 108-287; 118 Stat. 1008; 

10 U.S.C. 113 note).".

 Report regarding effect on military readiness of undocumented immigrants trespassing upon operational 

ranges. Act Jan. 6, 2006, P.L. 109-163, Div A, Title III, Subtitle F, § 354, 119 Stat. 3204, provides:

 "(a) Report containing assessment and response plan. Not later than April 15, 2006, the Secretary of Defense shall 

submit to Congress a report containing--

 "(1) an assessment of the impact on military readiness caused by undocumented immigrants whose entry into the 

United States involves trespassing upon operational ranges of the Department of Defense; and

 "(2) a plan for the implementation of measures to prevent such trespass.

 "(b) Preparation and elements of assessment. The assessment required by subsection (a)(1) shall be prepared by the 

Secretary of Defense. The assessment shall include the following:

 "(1) A listing of the operational ranges adversely affected by the trespass of undocumented immigrants upon operational ranges.

 "(2) A description of the types of range activities affected by such trespass.

 "(3) A determination of the amount of time lost for range activities, and the increased costs incurred, as a result of 

such trespass.

 "(4) An evaluation of the nature and extent of such trespass and means of travel.

 "(5) An evaluation of the factors that contribute to the use by undocumented immigrants of operational ranges as a 

means to enter the United States.

 "(6) A description of measures currently in place to prevent such trespass, including the use of barriers to vehicles 

and persons, military patrols, border patrols, and sensors.

 "(c) Preparation and elements of plan. The plan required by subsection (a)(2) shall be prepared jointly by the Secretary of Defense and the Secretary of Homeland Security. The plan shall include the following:

 "(1) The types of measures to be implemented to improve prevention of trespass of undocumented immigrants 

upon operational ranges, including the specific physical methods, such as barriers and increased patrols or monitoring, 

to be implemented and any legal or other policy changes recommended by the Secretaries.

 "(2) The costs of, and timeline for, implementation of the plan.

 "(d) Implementation reports. Not later than September 15, 2006, March 15, 2007, September 15, 2007, and March 

15, 2008, the Secretary of Defense shall submit to Congress a report detailing the progress made by the Department of 

Defense, during the period covered by the report, in implementing measures recommended in the plan required by subsection (a)(2) to prevent undocumented immigrants from trespassing upon operational ranges. Each report shall include 

the number and types of mitigation measures implemented and the success of such measures in preventing such trespass.

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 "(e) Definitions. In this section, the terms 'operational range' and 'range activities' have the meaning given those 

terms in section 101(e) of title 10, United States Code.".

 Reports by officers and senior enlisted members of conviction of criminal law. Act Jan. 6, 2006, P.L. 109-163, 

Div A, Title III, Subtitle E, § 554, 119 Stat. 3264, provides:

 "(a) Requirement for reports.

 (1) In general. The Secretary of Defense shall prescribe in regulations a requirement that each covered member of 

the Armed Forces shall submit to an authority in the military department concerned designated pursuant to such regulations a timely report of any conviction of such member by any law enforcement authority of the United States for a violation of a criminal law of the United States, whether or not the member is on active duty at the time of the conduct that 

provides the basis for the conviction. The regulations shall apply uniformly throughout the military departments.

 "(2) Covered members. In this section, the term 'covered member of the Armed Forces' means a member of the 

Army, Navy, Air Force, or Marine Corps who is on the active-duty list or the reserve active-status list and who is--

 "(A) an officer; or

 "(B) an enlisted member in a pay grade above pay grade E-6.

 "(b) Law enforcement authority of the United States. For purposes of this section, a law enforcement authority of the

United States includes--

 "(1) a military or other Federal law enforcement authority;

 "(2) a State or local law enforcement authority; and

 "(3) such other law enforcement authorities within the United States as the Secretary shall specify in the regulations prescribed pursuant to subsection (a).

 "(c) Criminal law of the United States.

 (1) In general. Except as provided in paragraph (2), for purposes of this section, a criminal law of the United 

States includes--

 "(A) any military or other Federal criminal law;

 "(B) any State, county, municipal, or local criminal law or ordinance; and

 "(C) such other criminal laws and ordinances of jurisdictions within the United States as the Secretary shall 

specify in the regulations prescribed pursuant to subsection (a).

 "(2) Exception. For purposes of this section, a criminal law of the United States shall not include a law or ordinance specifying a minor traffic offense (as determined by the Secretary for purposes of such regulations).

 "(d) Timeliness of reports. The regulations prescribed pursuant to subsection (a) shall establish requirements for the 

timeliness of reports under this section.

 "(e) Forwarding of information. The regulations prescribed pursuant to subsection (a) shall provide that, in the event 

a military department receives information that a covered member of the Armed Forces under the jurisdiction of another 

military department has become subject to a conviction for which a report is required by this section, the Secretary of 

the military department receiving such information shall, in accordance with such procedures as the Secretary of Defense shall establish in such regulations, forward such information to the authority in the military department having 

jurisdiction over such member designated pursuant to such regulations.

 "(f) Convictions. In this section, the term 'conviction' includes any plea of guilty or nolo contendere.

 "(g) Deadline for regulations. The regulations required by subsection (a), including the requirement in subsection (e), 

shall go into effect not later than the end of the 180-day period beginning on the date of the enactment of this Act.

 "(h) Applicability of requirement. The requirement under the regulations required by subsection (a) that a covered 

member of the Armed Forces submit notice of a conviction shall apply only to a conviction that becomes final after the 

date of the enactment of this Act.".

 Policy and procedures on assistance to severely wounded or injured service members. Act Jan. 6, 2006, P.L. 

109-163, Div A, Title V, Subtitle F, § 563, 119 Stat. 3269, provides:

 "(a) Comprehensive policy.

 (1) Policy required. Not later than June 1, 2006, the Secretary of Defense shall prescribe a comprehensive policy 

for the Department of Defense on the provision of assistance to members of the Armed Forces who incur severe wounds 

or injuries in the line of duty (in this section referred to as 'severely wounded or injured servicemembers').

 "(2) Consultation. The Secretary shall develop the policy required by paragraph (1) in consultation with the Secretaries of the military departments, the Secretary of Veterans Affairs, and the Secretary of Labor.

 "(3) Incorporation of past experience and practice. The policy required by paragraph (1) shall be based on--

 "(A) the experience and best practices of the military departments, including the Army Wounded Warrior Program, the Marine Corps Marine for Life Injured Support Program, the Air Force Palace HART program, and the Navy 

Wounded Marines and Sailors Initiative;

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 "(B) the recommendations of nongovernment organizations with demonstrated expertise in responding to the 

needs of severely wounded or injured servicemembers; and

 "(C) such other matters as the Secretary of Defense considers appropriate.

 "(4) Procedures and standards. The policy shall include guidelines to be followed by the military departments in 

the provision of assistance to severely wounded or injured servicemembers. The procedures and standards shall be uniform across the military departments except to the extent necessary to reflect the traditional practices or customs of a 

particular military department. The procedures and standards shall establish a minimum level of support and shall specify the duration of programs.

 "(b) Elements of policy. The comprehensive policy developed under subsection (a) shall address the following matters:

 "(1) Coordination with the Severely Injured Joint Support Operations Center of the Department of Defense.

 "(2) Promotion of a seamless transition to civilian life for severely wounded or injured servicemembers who are 

or are likely to be separated on account of their wound or injury.

 "(3) Identification and resolution of special problems or issues related to the transition to civilian life of severely 

wounded or injured servicemembers who are members of the reserve components.

 "(4) The qualifications, assignment, training, duties, supervision, and accountability for the performance of responsibilities for the personnel providing assistance to severely wounded or injured servicemembers.

 "(5) Centralized, short-term and long-term case-management procedures for assistance to severely wounded or 

injured servicemembers by each military department, including rapid access for severely wounded or injured servicemembers to case managers and counselors.

 "(6) The provision, through a computer accessible Internet website and other means and at no cost to severely 

wounded or injured servicemembers, of personalized, integrated information on the benefits and financial assistance 

available to such members from the Federal Government.

 "(7) The provision of information to severely wounded or injured servicemembers on mechanisms for registering 

complaints about, or requests for, additional assistance.

 "(8) Participation of family members.

 "(9) Liaison with the Department of Veterans Affairs and the Department of Labor in order to ensure prompt and 

accurate resolution of issues relating to benefits administered by those agencies for severely wounded or injured servicemembers.

 "(10) Data collection regarding the incidence and quality of assistance provided to severely wounded or injured 

servicemembers, including surveys of such servicemembers and military and civilian personnel whose assigned duties 

include assistance to severely wounded or injured servicemembers.

 "(c) Adoption by military departments. Not later than September 1, 2006, the Secretary of each military department 

shall prescribe regulations, or modify current regulations, on the policies and procedures of such military department on 

the provision of assistance to severely wounded or injured servicemembers in order to conform such policies and procedures to the policy prescribed under subsection (a).".

 Improvement to Department of Defense capacity to respond to sexual assault affecting members of Armed 

Forces. Section 596(a), (b) of Act Jan. 6, 2006, P.L. 109-163, which formerly appeared as a note to this section, was 

transferred to 10 USCS § 1561 note.

 Preservation of records pertaining to radioactive fallout from nuclear weapons testing. Act Jan. 6, 2006, P.L. 

109-163, Div A, Title X, Subtitle F, § 1055, 119 Stat. 3438, provides:

 "(a) Prohibition of destruction of certain records. The Secretary of Defense may not destroy any official record in the 

custody or control of the Department of Defense that contains information relating to radioactive fallout from nuclear 

weapons testing.

 "(b) Preservation and publication of information. The Secretary of Defense shall identify, preserve, and make available any unclassified information contained in official records referred to in subsection (a).".

 Safe delivery of mail in military mail system. Act Jan. 6, 2006, P.L. 109-163, Div A, Title X, Subtitle G, § 1071, 

119 Stat. 3446, provides:

 "(a) Plan for safe delivery of military mail.

 (1) Plan required. The Secretary of Defense shall develop and implement a plan to ensure that the mail within the 

military mail system is safe for delivery. The plan shall provide for the screening of all mail within the military mail 

system in order to detect the presence of biological, chemical, or radiological weapons, agents, or pathogens or explosive devices before mail within the military mail system is delivered to its intended recipients.

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 "(2) Funding. The budget justification materials submitted to Congress with the budget of the President for fiscal 

year 2007 and each fiscal year thereafter shall include a description of the amounts required in such fiscal year to carry 

out the plan.

 "(b) Report on safety of mail for delivery.

 (1) Report required. Not later than 120 days after the date of the enactment of this Act, the Secretary shall submit 

to Congress a report on the safety of mail within the military mail system for delivery.

 "(2) Elements. The report shall include the following:

 "(A) An assessment of any existing deficiencies in the military mail system in ensuring that mail within the 

military mail system is safe for delivery.

 "(B) The plan required by subsection (a).

 "(C) An estimate of the time and resources required to implement the plan.

 "(D) A description of the delegation within the Department of Defense of responsibility for ensuring that mail 

within the military mail system is safe for delivery, including responsibility for the development, implementation, and 

oversight of improvements to the military mail system to ensure that mail within the military mail system is safe for 

delivery.

 "(3) Form. The report shall be submitted in unclassified form, but may include a classified annex.

 "(c) Mail within the military mail system defined.

 (1) In general. In this section, the term 'mail within the military mail system' means--

 "(A) any mail that is posted through the Military Post Offices (including Army Post Offices (APOs) and Fleet 

Post Offices (FPOs)), Department of Defense mail centers, military Air Mail Terminals, and military Fleet Mail Centers; and

 "(B) any mail or package posted in the United States that is addressed to an unspecified member of the Armed 

Forces.

 "(2) Inclusions and exception. The term includes any official mail posted by the Department of Defense. The term 

does not include any mail posted as otherwise described in paragraph (1) that has been screened for safety for delivery 

by the United States Postal Service before such posting.".

 War-related reporting requirements. Act Jan. 6, 2006, P.L. 109-163, Div A, Title XII, Subtitle C, § 1221, 119 

Stat. 3462; Oct. 17, 2006, P.L. 109-364, Div A, Title XV, § 1518, 120 Stat. 2443; Oct. 28, 2009, P.L. 111-84, Div A, 

Title XII, Subtitle B, § 1233, 123 Stat. 2531, provides:

 "(a) Report required for Operation Iraqi Freedom, Operation Enduring Freedom, and Operation Noble Eagle. The 

Secretary of Defense shall submit to the congressional defense committees, in accordance with this section, a report on 

procurement and equipment maintenance costs for each of Operation Iraqi Freedom, Operation Enduring Freedom, and 

Operation Noble Eagle and on facility infrastructure costs associated with each of Operation Iraqi Freedom and Operation Enduring Freedom. The report shall include the following:

 "(1) Procurement. A specification of costs of procurement funding requested since fiscal year 2003, together with 

end-item quantities requested and the purpose of the request (such as replacement for battle losses, improved capability, 

increase in force size, restructuring of forces), shown by service.

 "(2) Equipment maintenance. A cost comparison of the requirements for equipment maintenance expenditures 

during peacetime and for such requirements during wartime, as shown by the requirements in each of Operation Iraqi 

Freedom, Operation Enduring Freedom, and Operation Noble Eagle. The cost comparison shall include--

 "(A) a description of the effect of war operations on the backlog of maintenance requirements over the period 

of fiscal years 2003 to the time of the report; and

 "(B) an examination of the extent to which war operations have precluded maintenance from being performed 

because equipment was unavailable.

 "(3) Operation Iraqi Freedom and Operation Enduring Freedom Infrastructure. A specification of the number of 

United States military personnel that can be supported by the facility infrastructure in Iraq and Afghanistan and in the 

neighboring countries from where Operation Iraq Freedom and Operation Enduring Freedom are supported.

 "(b) Submission requirements. The report under subsection (a) shall be submitted not later than 180 days after the 

date of the enactment of this Act. The Secretary of Defense shall submit an updated report on procurement, equipment 

maintenance, and military construction costs, as specified in subsection (a), concurrently with any request made to 

Congress after the date of the enactment of this Act for war-related funding.

 "(c) Submission to Congress and GAO of certain reports on costs. The Secretary of Defense shall submit to the 

Comptroller General, not later than 45 days after the end of each reporting month, the Department of Defense Supplemental and Cost of War Execution reports.".

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 Annual report on Department of Defense costs to carry out United Nations resolutions. Act Jan. 6, 2006, P.L. 

109-163, Div A, Title XII, Subtitle C, § 1224, 119 Stat. 3463, provides:

 "(a) Requirement for annual report.

 (1) Department of Defense costs. Not later than April 30 of each year, the Secretary of Defense shall submit to the 

congressional committees specified in paragraph (2) a report on Department of Defense costs during the preceding fiscal year to carry out United Nations resolutions.

 "(2) Specified committees. The committees specified in this paragraph are--

 "(A) the Committee on Armed Services, the Committee on Foreign Relations, and the Committee on Appropriations of the Senate; and

 "(B) the Committee on Armed Services, the Committee on International Relations, and the Committee on Appropriations of the House of Representatives.

 "(b) Matters to be included. Each report under subsection (a) shall set forth the following:

 "(1) All direct and indirect costs (including incremental costs) incurred by the Department of Defense during the 

preceding fiscal year in implementing or supporting any resolution adopted by the United Nations Security Council, 

including any such resolution calling for--

 "(A) international sanctions;

 "(B) international peacekeeping operations;

 "(C) international peace enforcement operations;

 "(D) monitoring missions;

 "(E) observer missions; or

 "(F) humanitarian missions.

 "(2) An aggregate of all such Department of Defense costs by operation or mission and the total cost to United 

Nations members of each operation or mission.

 "(3) All direct and indirect costs (including incremental costs) incurred by the Department of Defense during the 

preceding fiscal year in training, equipping, and otherwise assisting, preparing, providing resources for, and transporting 

foreign defense or security forces for implementing or supporting any resolution adopted by the United Nations Security 

Council, including any such resolution specified in paragraph (1).

 "(4) All efforts made to seek credit against past United Nations expenditures.

 "(5) All efforts made to seek compensation from the United Nations for costs incurred by the Department of Defense in implementing and supporting United Nations activities.

 "(c) Coordination. The report under subsection (a) each year shall be prepared in coordination with the Secretary of 

State.

 "(d) Form of report. Each report required by this section shall be submitted in unclassified form, but may include a 

classified annex.".

 Requirement for establishment of certain criteria applicable to global posture review. Act Jan. 6, 2006, P.L. 

109-163, Div A, Title XII, Subtitle D, § 1233, 119 Stat. 3469, provides:

 "(a) Criteria. As part of the Integrated Global Presence and Basing Strategy (IGPBS) developed by the Department 

of Defense that is referred to as the 'Global Posture Review', the Secretary of Defense, in consultation with the Chairman of the Joint Chiefs of Staff, shall develop criteria for assessing, with respect to each type of facility specified in 

subsection (c) that is to be located in a foreign country, the following factors:

 "(1) The effect of any new basing arrangements on the strategic mobility requirements of the Department of Defense.

 "(2) The ability of units deployed to overseas locations in areas in which United States Armed Forces have not 

traditionally been deployed to meet mobility response times required by operational planners.

 "(3) The cost of deploying units to areas referred to in paragraph (2) on a rotational basis (rather than on a permanent basing basis).

 "(4) The strategic benefit of rotational deployments through countries with which the United States is developing 

a close or new security relationship.

 "(5) Whether the relative speed and complexity of conducting negotiations with a particular country is a discriminator in the decision to deploy forces within the country.

 "(6) The appropriate and available funding mechanisms for the establishment, operation, and sustainment of specific Main Operating Bases, Forward Operating Bases, or Cooperative Security Locations.

 "(7) The effect on military quality of life of the unaccompanied deployment of units to new facilities in overseas 

locations.

 "(8) Other criteria as Secretary of Defense determines appropriate.

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 "(b) Analysis of alternatives to basing or operating locations. The Secretary of Defense, in consultation with the 

Chairman of the Joint Chiefs of Staff, shall develop a mechanism for analyzing alternatives to any particular overseas 

basing or operating location. Such a mechanism shall incorporate the factors specified in each of paragraphs (1) through 

(5) of subsection (a).

 "(c) Minimal infrastructure requirements for overseas installations. The Secretary of Defense shall develop a description of minimal infrastructure requirements for each of the following types of facilities:

 "(1) Facilities categorized as Main Operating Bases.

 "(2) Facilities categorized as Forward Operating Bases.

 "(3) Facilities categorized as Cooperative Security Locations.

 "(d) Notification required. Not later than 30 days after an agreement is entered into between the United States and a 

foreign country to support the deployment of elements of the United States Armed Forces in that country, the Secretary 

of Defense shall submit to the congressional defense committees a written notification of such agreement. The notification under this subsection shall include the terms of the agreement, any costs to the United States resulting from the 

agreement, and a timeline to carry out the terms of the agreement.

 "(e) Annual budget element. The Secretary of Defense shall submit to Congress, as an element of the annual budget 

request of the Secretary, information regarding the funding sources for the establishment, operation, and sustainment of 

individual Main Operating Bases, Forward Operating Bases, or Cooperative Security Locations.

 "(f) Report. Not later than March 30, 2006, the Secretary of Defense shall submit to Congress a report on the matters 

specified in subsections (a) through (c).".

 Military Severely Injured Center. Act Oct. 17, 2006, P.L. 109-364, Div A, Title V, Subtitle G, § 564, 120 Stat. 

222, provides:

 "(a) Center required. In support of the comprehensive policy on the provision of assistance to severely wounded or 

injured servicemembers required by section 563 of the National Defense Authorization Act for Fiscal Year 2006 (Public

Law 109-163; 119 Stat. 3269; 10 U.S.C. 113 note), the Secretary of Defense shall establish within the Department of 

Defense a center to augment and support the programs and activities of the military departments for the provision of 

such assistance, including the programs of the military departments referred to in subsection (c).

 "(b) Designation. The center established under subsection (a) shall be known as the 'Military Severely Injured Center' 

(in this section referred to as the 'Center').

 "(c) Programs of the military departments. The programs of the military departments referred to in this subsection are 

the following:

 "(1) The Army Wounded Warrior Support Program.

 "(2) The Navy Safe Harbor Program.

 "(3) The Palace HART Program of the Air Force.

 "(4) The Marine for Life Injured Support Program of the Marine Corps.

 "(d) Activities of Center.

 (1) In general. The Center shall carry out such programs and activities to augment and support the programs and 

activities of the military departments for the provision of assistance to severely wounded or injured servicemembers and 

their families as the Secretary of Defense, in consultation with the Secretaries of the military departments and the heads 

of other appropriate departments and agencies of the Federal Government (including the Secretary of Labor and the 

Secretary of Veterans Affairs), determines appropriate.

 "(2) Database. The activities of the Center under this subsection shall include the establishment and maintenance 

of a central database. The database shall be transparent and shall be accessible for use by all of the programs of the military departments referred to in subsection (c).

 "(e) Resources. The Secretary of Defense shall allocate to the Center such personnel and other resources as the Secretary of Defense, in consultation with the Secretaries of the military departments, considers appropriate in order to 

permit the Center to carry out effectively the programs and activities assigned to the Center under subsection (d).".

 Repeal of provisions relating to quarterly reports on Department of Defense response to threat posed by improvised explosive devices. Act Oct. 17, 2006, P.L. 109-364, Div A, Title XIV, § 1402, 120 Stat. 2433, which formerly 

appeared as a note to this section, was repealed by Act Dec. 31, 2011, P.L. 112-81, Div A, Title X, Subtitle G, § 

1062(d)(5), 125 Stat. 1585. Such note provided for quarterly reports on the Department of Defense response to the 

threat posed by IEDs.

 Database of emergency response capabilities. Act Oct. 17, 2006, P.L. 109-364, Div A, Title XIV, § 1406, 120 Stat. 

2436, provides:

 "The Secretary of Defense shall maintain a database of emergency response capabilities that includes the following:

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 "(1) The types of emergency response capabilities that each State's National Guard, as reported by the States, may 

be able to provide in response to a domestic natural or manmade disaster, both to their home States and under 

State-to-State mutual assistance agreements.

 "(2) The types of emergency response capabilities that the Department of Defense may be able to provide in support of the National Response Plan's Emergency Support Functions, and identification of the units that provide these 

capabilities.".

 Prompt global strike. Act Jan. 28, 2008, P.L. 110-181, Div A, Title II, Subtitle D, § 243, 122 Stat. 51, provides:

 "(a) Research, development, and testing plan. The Secretary of Defense shall submit to the congressional defense 

committees a research, development, and testing plan for prompt global strike program objectives for fiscal years 2008 

through 2013.

 "(b) Plan for obligation and expenditure of funds.

 (1) In general. The Under Secretary of Defense for Acquisition, Technology, and Logistics shall submit to the 

congressional defense committees a plan for obligation and expenditure of funds available for prompt global strike for 

fiscal year 2008. The plan shall include correlations between each technology application being developed in fiscal year 

2008 and the prompt global strike alternative or alternatives toward which the technology application applies.

 "(2) Limitation. The Under Secretary shall not implement the plan required by paragraph (1) until at least 10 days 

after the plan is submitted as required by that paragraph.".

 Program to commemorate 50th anniversary of the Vietnam War. Act Jan. 28, 2008, P.L. 110-181, Div A, Title 

V, Subtitle I § 598, 122 Stat. 141, provides:

 "(a) Commemorative program authorized. The Secretary of Defense may conduct a program to commemorate the 

50th anniversary of the Vietnam War. In conducting the commemorative program, the Secretary shall coordinate, support, and facilitate other programs and activities of the Federal Government, State and local governments, and other 

persons and organizations in commemoration of the Vietnam War.

 "(b) Schedule. The Secretary of Defense shall determine the schedule of major events and priority of efforts for the 

commemorative program in order to ensure achievement of the objectives specified in subsection (c).

 "(c) Commemorative activities and objectives. The commemorative program may include activities and ceremonies 

to achieve the following objectives:

 "(1) To thank and honor veterans of the Vietnam War, including personnel who were held as prisoners of war or 

listed as missing in action, for their service and sacrifice on behalf of the United States and to thank and honor the families of these veterans.

 "(2) To highlight the service of the Armed Forces during the Vietnam War and the contributions of Federal agencies and governmental and non-governmental organizations that served with, or in support of, the Armed Forces.

 "(3) To pay tribute to the contributions made on the home front by the people of the United States during the Vietnam War.

 "(4) To highlight the advances in technology, science, and medicine related to military research conducted during 

the Vietnam War.

 "(5) To recognize the contributions and sacrifices made by the allies of the United States during the Vietnam War.

 "(d) Names and symbols. The Secretary of Defense shall have the sole and exclusive right to use the name "The 

United States of America Vietnam War Commemoration", and such seal, emblems, and badges incorporating such 

name as the Secretary may lawfully adopt. Nothing in this section may be construed to supersede rights that are established or vested before the date of the enactment of this Act.

 "(e) Commemorative fund.

 (1) Establishment and administration. If the Secretary establishes the commemorative program under subsection 

(a), the Secretary the Treasury shall establish in the Treasury of the United States an account to be known as the 'Department of Defense Vietnam War Commemoration Fund' (in this section referred to as the 'Fund'). The Fund shall be 

administered by the Secretary of Defense.

 "(2) Use of Fund. The Secretary shall use the assets of the Fund only for the purpose of conducting the commemorative program and shall prescribe such regulations regarding the use of the Fund as the Secretary considers to be necessary.

 "(3) Deposits. There shall be deposited into the Fund--

 "(A) amounts appropriated to the Fund;

 "(B) proceeds derived from the Secretary's use of the exclusive rights described in subsection (d);

 "(C) donations made in support of the commemorative program by private and corporate donors; and

 "(D) funds transferred to the Fund by the Secretary from funds appropriated for fiscal year 2008 and subsequent years for the Department of Defense.

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 "(4) Availability. Subject to subsection (g)(2), amounts deposited under paragraph (3) shall constitute the assets of 

the Fund and remain available until expended.

 "(5) Budget request. The Secretary of Defense may establish a separate budget line for the commemorative program. In the budget justification materials submitted by the Secretary in support of the budget of the President for any 

fiscal year for which the Secretary establishes the separate budget line, the Secretary shall--

 "(A) identify and explain any amounts expended for the commemorative program in the fiscal year preceding 

the budget request;

 "(B) identify and explain the amounts being requested to support the commemorative program for the fiscal 

year of the budget request; and

 "(C) present a summary of the fiscal status of the Fund.

 "(f) Acceptance of voluntary services.

 (1) Authority to accept services. Notwithstanding section 1342 of title 31, United States Code, the Secretary of 

Defense may accept from any person voluntary services to be provided in furtherance of the commemorative program. 

The Secretary of Defense shall prohibit the solicitation of any voluntary services if the nature or circumstances of such 

solicitation would compromise the integrity or the appearance of integrity of any program of the Department of Defense 

or of any individual involved in the program.

 "(2) Reimbursement of incidental expenses. The Secretary may provide for reimbursement of incidental expenses 

incurred by a person providing voluntary services under this subsection. The Secretary shall determine which expenses 

are eligible for reimbursement under this paragraph.

 "(g) Final report.

 (1) Report required. Not later than 60 days after the end of the commemorative program, if established by the 

Secretary of Defense under subsection (a), the Secretary shall submit to Congress a report containing an accounting of--

 "(A) all of the funds deposited into and expended from the Fund;

 "(B) any other funds expended under this section; and

 "(C) any unobligated funds remaining in the Fund.

 "(2) Treatment of unobligated funds. Unobligated amounts remaining in the Fund as of the end of the commemorative period specified in subsection (b) shall be held in the Fund until transferred by law.

 "(h) Limitation on expenditures. Total expenditures from the Fund, using amounts appropriated to the Department of 

Defense, may not exceed $ 5,000,000 for fiscal year 2008 or for any subsequent fiscal year to carry out the commemorative program.

 "(i) Funding. Of the amount authorized to be appropriated pursuant to section 301(5) [unclassified] for Defense-wide 

activities, $ 1,000,000 shall be available for deposit in the Fund for fiscal year 2008 if the Fund is established under 

subsection (e).".

 Standards required for entry to military installations in United States. Act Jan. 28, 2008, P.L. 110-181, Div A, 

Title X, Subtitle F, § 1069, 122 Stat. 326; Oct. 14, 2008, P.L. 110-417, [Div A,] Title X, Subtitle F, § 1059, 122 Stat. 

4611; Oct. 28, 2009, P.L. 111-84, Div A, Title X, Subtitle F, § 1073(c)(11), 123 Stat. 2475 (effective as of 10/14/2008, 

as provided by § 1073(c) of such Act, which appears as 6 USCS § 121 note), provides:

 "(a) Development of standards.

 (1) Access standards for visitors. The Secretary of Defense shall develop access standards applicable to all military installations in the United States. The standards shall require screening standards appropriate to the type of installation involved, the security level, category of individuals authorized to visit the installation, and level of access to be 

granted, including--

 "(A) protocols to determine the fitness of the individual to enter an installation; and

 "(B) standards and methods for verifying the identity of the individual.

 "(2) Additional criteria. The standards required under paragraph (1) may--

 "(A) provide for expedited access to a military installation for Department of Defense personnel and employees and family members of personnel who reside on the installation;

 "(B) provide for closer scrutiny of categories of individuals determined by the Secretary of Defense to pose a 

higher potential security risk; and

 "(C) in the case of an installation that the Secretary determines contains particularly sensitive facilities, provide 

additional screening requirements, as well as physical and other security measures for the installation.

 "(b) Use of technology. The Secretary of Defense is encouraged to procure and field existing identification screening 

technology and to develop additional technology only to the extent necessary to assist commanders of military installations in implementing the standards developed under this section at points of entry for such installations.

 "(c) Deadlines.

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 (1) Development and implementation. The Secretary of Defense shall develop the standards required under this 

section by not later than February 1, 2009, and implement such standards by not later than October 1, 2010.

 "(2) Submission to Congress. Not later than August 1, 2009, the Secretary shall submit to the Committees on 

Armed Services of the Senate and House of Representatives the standards developed pursuant to paragraph (1).".

 Protection of certain individuals. Act Jan. 28, 2008, P.L. 110-181, Div A, Title X, Subtitle F, § 1074, 122 Stat. 

330, provides:

 "(a) Protection for Department leadership. The Secretary of Defense, under regulations prescribed by the Secretary 

and in accordance with guidelines approved by the Secretary and the Attorney General, may authorize qualified members of the Armed Forces and qualified civilian employees of the Department of Defense to provide physical protection 

and personal security within the United States to the following persons who, by nature of their positions, require continuous security and protection:

 "(1) Secretary of Defense.

 "(2) Deputy Secretary of Defense.

 "(3) Chairman of the Joint Chiefs of Staff.

 "(4) Vice Chairman of the Joint Chiefs of Staff.

 "(5) Secretaries of the military departments.

 "(6) Chiefs of the Services.

 "(7) Commanders of combatant commands.

 "(b) Protection for additional personnel.

 (1) Authority to provide. The Secretary of Defense, under regulations prescribed by the Secretary and in accordance with guidelines approved by the Secretary and the Attorney General, may authorize qualified members of the 

Armed Forces and qualified civilian employees of the Department of Defense to provide physical protection and personal security within the United States to individuals other than individuals described in paragraphs (1) through (7) of 

subsection (a) if the Secretary determines that such protection and security are necessary because--

 "(A) there is an imminent and credible threat to the safety of the individual for whom protection is to be provided; or

 "(B) compelling operational considerations make such protection essential to the conduct of official Department of Defense business.

 "(2) Personnel. Individuals authorized to receive physical protection and personal security under this subsection 

include the following:

 "(A) Any official, military member, or employee of the Department of Defense.

 "(B) A former or retired official who faces serious and credible threats arising from duties performed while 

employed by the Department for a period of up to two years beginning on the date on which the official separates from 

the Department.

 "(C) A head of a foreign state, an official representative of a foreign government, or any other distinguished 

foreign visitor to the United States who is primarily conducting official business with the Department of Defense.

 "(D) Any member of the immediate family of a person authorized to receive physical protection and personal 

security under this section.

 "(E) An individual who has been designated by the President, and who has received the advice and consent of 

the Senate, to serve as Secretary of Defense, but who has not yet been appointed as Secretary of Defense.

 "(3) Limitation on delegation. The authority of the Secretary of Defense to authorize the provision of physical 

protection and personal security under this subsection may be delegated only to the Deputy Secretary of Defense.

 "(4) Requirement for written determination. A determination of the Secretary of Defense to provide physical protection and personal security under this subsection shall be in writing, shall be based on a threat assessment by an appropriate law enforcement, security, or intelligence organization, and shall include the name and title of the officer, employee, or other individual affected, the reason for such determination, the duration of the authorized protection and

security for such officer, employee, or individual, and the nature of the arrangements for the protection and security.

 "(5) Duration of protection.

 (A) Initial period of protection. After making a written determination under paragraph (4), the Secretary of 

Defense may provide protection and security to an individual under this subsection for an initial period of not more than 

90 calendar days.

 "(B) Subsequent period. If, at the end of the period that protection and security is provided to an individual 

under subsection (A), the Secretary determines that a condition described in subparagraph (A) or (B) of paragraph (1) 

continues to exist with respect to the individual, the Secretary may extend the period that such protection and security is 

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provided for additional 60-day periods. The Secretary shall review such a determination at the end of each 60-day period to determine whether to continue to provide such protection and security.

 "(C) Requirement for compliance with regulations. Protection and personal security provided under subparagraph (B) shall be provided in accordance with the regulations and guidelines referred to in paragraph (1).

 "(6) Submission to Congress.

 (A) In general. The Secretary of Defense shall submit to the congressional defense committees each determination made under paragraph (4) to provide protection and security to an individual and of each determination under paragraph (5)(B) to extend such protection and security, together with the justification for such determination, not later than 

15 days after the date on which the determination is made.

 "(B) Form of report. A report submitted under subparagraph (A) may be made in classified form.

 "(C) Regulations and guidelines. The Secretary of Defense shall submit to the congressional defense committees the regulations and guidelines prescribed pursuant to paragraph (1) not less than 20 days before the date on which 

such regulations take effect.

 "(c) Definitions. In this section:

 "(1) Congressional defense committees. The term 'congressional defense committees' means the Committee on 

Appropriations and the Committee on Armed Services of the Senate and the Committee on Appropriations and the 

Committee on Armed Services of the House of Representatives.

 "(2) Qualified members of the armed forces and qualified civilian employees of the Department of Defense. The 

terms 'qualified members of the Armed Forces' and 'qualified civilian employees of the Department of Defense' refer 

collectively to members or employees who are assigned to investigative, law enforcement, or security duties of any of 

the following:

 "(A) The Army Criminal Investigation Command.

 "(B) The Naval Criminal Investigative Service.

 "(C) The Air Force Office of Special Investigations.

 "(D) The Defense Criminal Investigative Service.

 "(E) The Pentagon Force Protection Agency.

 "(d) Construction.

 (1) No additional law enforcement or arrest authority. Other than the authority to provide protection and security 

under this section, nothing in this section may be construed to bestow any additional law enforcement or arrest authority 

upon the qualified members of the Armed Forces and qualified civilian employees of the Department of Defense.

 "(2) Posse comitatus. Nothing in this section shall be construed to abridge section 1385 of title 18, United States 

Code.

 "(3) Authorities of other Departments. Nothing in this section may be construed to preclude or limit, in any way, 

the express or implied powers of the Secretary of Defense or other Department of Defense officials, or the duties and 

authorities of the Secretary of State, the Director of the United States Secret Service, the Director of the United States 

Marshals Service, or any other Federal law enforcement agency.".

 Authority to provide automatic identification system data on maritime shipping to foreign countries and international organizations. Act Jan. 28, 2008, P.L. 110-181, Div A, Title XII, Subtitle A, § 1208, 122 Stat. 367, provides:

 "(a) Authority to provide data. The Secretary of Defense, with the concurrence of the Secretary of State, may authorize the Secretary of a military department or a commander of a combatant command to exchange or furnish automatic 

identification system data broadcast by merchant or private ships and collected by the United States to a foreign country 

or international organization pursuant to an agreement for the exchange or production of such data. Such data may be 

transferred pursuant to this section without cost to the recipient country or international organization.

 "(b) Definitions. In this section:

 "(1) Automatic identification system. The term 'automatic identification system' means a system that is used to 

satisfy the requirements of the Automatic Identification System under the International Convention for the Safety of 

Life at Sea, signed at London on November 1, 1974 (TIAS 9700).

 "(2) Geographic combatant commander. The term 'commander of a combatant command' means a commander of 

a combatant command (as such term is defined in section 161(c) of title 10, United States Code) with a geographic area 

of responsibility.".

 Repeal of provisions relating to report on support from Iran for attacks against coalition forces in Iraq. Act 

Jan. 28, 2008, P.L. 110-181, Div A, Title XII, Subtitle B, § 1225, 122 Stat. 375, which formerly appeared as a note to 

this section, was repealed by Act Jan. 7, 2011, P.L. 111-383, Div A, Title XII, Subtitle C, § 1233(f)(2), 124 Stat. 4397. 

Such note provided for a report on support from Iran for attacks against coalition forces in Iraq.

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

Act Jan. 28, 2008, P.L. 110-181, Div A, Title XVIII, Subtitle A, § 1814, 122 Stat. 498, provides:

 "(a) Requirement for plan.

 (1) In general. Not later than June 1, 2008, the Secretary of Defense, in consultation with the Secretary of Homeland Security, the Chairman of the Joint Chiefs of Staff, the commander of the United States Northern Command, and 

the Chief of the National Guard Bureau, shall prepare and submit to Congress a plan for coordinating the use of the National Guard and members of the Armed Forces on active duty when responding to natural disasters, acts of terrorism, 

and other man-made disasters as identified in the national planning scenarios described in subsection (e).

 "(2) Update. Not later than June 1, 2010, the Secretary, in consultation with the persons consulted under paragraph (1), shall submit to Congress an update of the plan required under paragraph (1).

 "(b) Information to be provided to Secretary. To assist the Secretary of Defense in preparing the plan, the National 

Guard Bureau, pursuant to its purpose as channel of communications as set forth in section 10501(b) of title 10, United 

States Code [10 USCS § 10501(b)], shall provide to the Secretary information gathered from Governors, adjutants general of States, and other State civil authorities responsible for homeland preparation and response to natural and 

man-made disasters.

 "(c) Two versions. The plan shall set forth two versions of response, one using only members of the National Guard, 

and one using both members of the National Guard and members of the regular components of the Armed Forces.

 "(d) Matters covered. The plan shall cover, at a minimum, the following:

 "(1) Protocols for the Department of Defense, the National Guard Bureau, and the Governors of the several States 

to carry out operations in coordination with each other and to ensure that Governors and local communities are properly 

informed and remain in control in their respective States and communities.

 "(2) An identification of operational procedures, command structures, and lines of communication to ensure a 

coordinated, efficient response to contingencies.

 "(3) An identification of the training and equipment needed for both National Guard personnel and members of 

the Armed Forces on active duty to provide military assistance to civil authorities and for other domestic operations to 

respond to hazards identified in the national planning scenarios.

 "(e) National planning scenarios. The plan shall provide for response to the following hazards:

 "(1) Nuclear detonation, biological attack, biological disease outbreak/pandemic flu, the plague, chemical attack-blister agent, chemical attack-toxic industrial chemicals, chemical attack-nerve agent, chemical attack-chlorine 

tank explosion, major hurricane, major earthquake, radiological attack-radiological dispersal device, explosives attack-bombing using improvised explosive device, biological attack-food contamination, biological attack-foreign animal disease and cyber attack.

 "(2) Any other hazards identified in a national planning scenario developed by the Homeland Security Council.".

 Determination of Department of Defense civil support requirements. Act Jan. 28, 2008, P.L. 110-181, Div A, 

Title XVIII, Subtitle A, § 1815(a)-(d), 122 Stat. 499, provides:

 "(a) Determination of requirements. The Secretary of Defense, in consultation with the Secretary of Homeland Security, shall determine the military-unique capabilities needed to be provided by the Department of Defense to support 

civil authorities in an incident of national significance or a catastrophic incident.

 "(b) Plan for funding capabilities.

 (1) Plan. The Secretary of Defense shall develop and implement a plan, in coordination with the Secretaries of the 

military departments and the Chairman of the Joint Chiefs of Staff, for providing the funds and resources necessary to 

develop and maintain the following:

 "(A) The military-unique capabilities determined under subsection (a).

 "(B) Any additional capabilities determined by the Secretary to be necessary to support the use of the active 

components and the reserve components of the Armed Forces for homeland defense missions, domestic emergency responses, and providing military support to civil authorities.

 "(2) Term of plan. The plan required under paragraph (1) shall cover at least five years.

 "(c) Budget. The Secretary of Defense shall include in the materials accompanying the budget submitted for each 

fiscal year a request for funds necessary to carry out the plan required under subsection (b) during the fiscal year covered by the budget. The defense budget materials shall delineate and explain the budget treatment of the plan for each 

component of each military department, each combatant command, and each affected Defense Agency.

 "(d) Definitions. In this section:

 "(1) The term 'military-unique capabilities' means those capabilities that, in the view of the Secretary of Defense--

 "(A) cannot be provided by other Federal, State, or local civilian agencies; and

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 "(B) are essential to provide support to civil authorities in an incident of national significance or a catastrophic 

incident.

 "(2) The term 'defense budget materials', with respect to a fiscal year, means the materials submitted to Congress 

by the Secretary of Defense in support of the budget for that fiscal year.".

 Requirement for common ground stations and payloads for manned and unmanned aerial vehicle systems. 

Act Oct. 14, 2008, P.L. 110-417, [Div A,] Title I, Subtitle E, § 144, 122 Stat. 4382, provides:

 "(a) Policy and acquisition strategy required. The Secretary of Defense, in consultation with the Chairman of the 

Joint Chiefs of Staff, shall establish a policy and an acquisition strategy for intelligence, surveillance, and reconnaissance payloads and ground stations for manned and unmanned aerial vehicle systems. The policy and acquisition strategy shall be applicable throughout the Department of Defense and shall achieve integrated research, development, test, 

and evaluation, and procurement commonality.

 "(b) Objectives. The policy and acquisition strategy required by subsection (a) shall have the following objectives:

 "(1) Procurement of common payloads by vehicle class, including--

 "(A) signals intelligence;

 "(B) electro optical;

 "(C) synthetic aperture radar;

 "(D) ground moving target indicator;

 "(E) conventional explosive detection;

 "(F) foliage penetrating radar;

 "(G) laser designator;

 "(H) chemical, biological, radiological, nuclear, explosive detection; and

 "(I) national airspace operations avionics or sensors, or both.

 "(2) Commonality of ground system architecture by vehicle class.

 "(3) Common management of vehicle and payloads procurement.

 "(4) Ground station interoperability standardization.

 "(5) Maximum use of commercial standard hardware and interfaces.

 "(6) Open architecture software.

 "(7) Acquisition of technical data rights in accordance with section 2320 of title 10, United States Code.

 "(8) Acquisition of vehicles, payloads, and ground stations through competitive procurement.

 "(9) Common standards for exchange of data and metadata.

 "(c) Affected systems. For the purposes of this section, the Secretary shall establish manned and unmanned aerial 

vehicle classes for all intelligence, surveillance, and reconnaissance programs of record based on factors such as vehicle 

weight, payload capacity, and mission.

 "(d) Report. Not later than 120 days after the date of the enactment of this Act, the Secretary shall submit to the congressional defense committees, the Permanent Select Committee on Intelligence of the House of Representatives, and 

the Select Committee on Intelligence of the Senate a report containing--

 "(1) the policy required by subsection (a); and

 "(2) the acquisition strategy required by subsection (a).".

 Implementation of information database on sexual assault incidents in the armed forces; database required, 

availability of database, implementation, reports. Section 563(a)-(d) of Div A of Act Oct. 14, 2008, P.L. 110-417, 

which formerly appeared as a note to this section, was transferred to 10 USCS § 1561 note.

 Report on command and control structure for military forces operating in Afghanistan. Act Oct. 14, 2008, P.L. 

110-417, [Div A,] Title XII, Subtitle B, § 1216, 122 Stat. 4633; Oct. 28, 2009, P.L. 111-84, Div A, Title XII, Subtitle B, 

§ 1229, 123 Stat. 2528, provides:

 "(a) Report required. Not later than 60 days after the date of the enactment of this Act, or December 1, 2008, whichever occurs later, the Secretary of Defense shall submit to the appropriate congressional committees a report on the 

command and control structure for military forces operating in Afghanistan.

 "(b) Matters to Be included. The report required under subsection (a) shall include the following:

 "(1) A detailed description of efforts by the Secretary of Defense, in coordination with senior leaders of NATO 

ISAF forces, including the commander of NATO ISAF forces, to modify the chain of command structure for military 

forces operating in Afghanistan to better coordinate and de-conflict military operations and achieve unity of command 

whenever possible in Afghanistan, and the results of such efforts, including--

 "(A) any United States or NATO ISAF plan for improving the command and control structure for military 

forces operating in Afghanistan; and

 "(B) any efforts to establish a headquarters in Afghanistan that is led by a commander--

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 "(i) with command authority over NATO ISAF forces and separate United States forces operating under 

Operation Enduring Freedom and charged with closely coordinating the efforts of such forces; and

 "(ii) responsible for coordinating other United States and international security efforts in Afghanistan.

 "(2) A description of how rules of engagement are determined and managed for United States forces operating 

under NATO ISAF or Operation Enduring Freedom, and a description of any key differences between rules of engagement for NATO ISAF forces and separate United States forces operating under Operation Enduring Freedom.

 "(3) An assessment of how any modifications to the command and control structure for military forces operating 

in Afghanistan would impact coordination of military and civilian efforts in Afghanistan.

 "(c) Update of report. The Secretary of Defense shall submit to the appropriate congressional committees an update 

of the report required under subsection (a) as warranted by any modifications to the command and control structure for 

military forces operating in Afghanistan as described in the report.

 "(d) Form. The report required under subsection (a) and any update of the report required under subsection (c) shall 

be submitted in an unclassified form, but may include a classified annex, if necessary. Any update of the report required 

under subsection (c) may be included in the report required under section 1230 of the National Defense Authorization 

Act for Fiscal Year 2008 (Public Law 110-181; 122 Stat. 385) [unclassified].

 "(e) Appropriate congressional committees defined. In this section, the term 'appropriate congressional committees' 

means--

 "(1) the Committee on Armed Services and the Committee on Foreign Affairs of the House of Representatives; 

and

 "(2) the Committee on Armed Services and the Committee on Foreign Relations of the Senate.".

 Military protective orders. Sec. 567(c) of Act Oct. 28, 2009, P.L. 111-84, which formerly appeared as a note to this 

section, was transferred to 10 USCS § 1561 note.

 Reports on progress in completion of certain incident information management tools. Sec. 598 of Act Oct. 28, 

2009, P.L. 111-84, which formerly appeared as a note to this section, was transferred to 10 USCS § 1561 note.

 Policy and requirements to ensure the safety of facilities, infrastructure, and equipment for military operations. Act Oct. 28, 2009, P.L. 111-84, Div A, Title VIII, Subtitle A, § 807, 123 Stat. 2404, provides:

 "(a) Policy. It shall be the policy of the Department of Defense that facilities, infrastructure, and equipment that are 

intended for use by military or civilian personnel of the Department in current or future military operations should be 

inspected for safety and habitability prior to such use, and that such facilities should be brought into compliance with 

generally accepted standards for the safety and health of personnel to the maximum extent practicable and consistent 

with the requirements of military operations and the best interests of the Department of Defense, to minimize the safety 

and health risk posed to such personnel.

 "(b) Requirements. Not later than 60 days after the date of the enactment of this Act, the Secretary of Defense shall--

 "(1) ensure that each contract or task or delivery order entered into for the construction, installation, repair, 

maintenance, or operation of facilities for use by military or civilian personnel of the Department complies with the 

policy established in subsection (a);

 "(2) ensure that contracts entered into prior to the date that is 60 days after the date of the enactment of this Act 

comply with such policy to the maximum extent practicable;

 "(3) define the term 'generally accepted standards' with respect to fire protection, structural integrity, electrical 

systems, plumbing, water treatment, waste disposal, and telecommunications networks for the purposes of this section; 

and

 "(4) provide such exceptions and limitations as may be needed to ensure that this section can be implemented in a 

manner that is consistent with the requirements of military operations and the best interests of the Department of Defense.".

 Defense Integrated Military Human Resources System development and transition. Act Oct. 28, 2009, P.L. 

111-84, Div A, Title IX, Subtitle D, § 932, 123 Stat. 2433, provides:

 "(a) In general. The Secretary of Defense shall establish a Defense Integrated Military Human Resources System 

development and transition Council to provide advice to the Secretary of Defense and the Secretaries of the military 

departments on the modernization of the integrated pay and personnel system for each military department and the collection of data generated by each such system into the enterprise information warehouse.

 "(b) Council. The Council shall include the following members:

 "(1) The Deputy Chief Management Officer of the Department of Defense.

 "(2) The Director of the Business Transformation Agency.

 "(3) The Under Secretary of Defense for Acquisition, Technology, and Logistics, or a designated representative.

 "(4) The Under Secretary of Defense for Personnel and Readiness, or a designated representative.

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 "(5) One representative from each of the Army, Navy, Air Force, and Marine Corps who is a lieutenant general or 

vice admiral, or a civilian equivalent.

 "(6) One representative of the National Guard Bureau who is a lieutenant general or vice admiral, or a civilian 

equivalent.

 "(7) The Assistant Secretary of Defense for Networks and Information Integration, or a designated representative.

 "(8) The Director of Operational Test and Evaluation, or a designated representative.

 "(9) Such other individuals as may be designated by the Deputy Secretary of Defense, acting in the Deputy Secretary's capacity as the Chief Management Officer.

 "(c) Meetings. The Council shall meet not less than twice a year, or more often as specified by the Deputy Secretary 

of Defense.

 "(d) Duties. The Council shall have the following responsibilities:

 "(1) Resolution of significant policy, programmatic, or budgetary issues impeding modernization or deployment 

of integrated personnel and pay systems for each military department, including issues relating to--

 "(A) common interfaces, architectures, and systems engineering;

 "(B) ensuring that developmental systems are consistent with current and future enterprise accounting and pay 

and personnel standards and practices; and

 "(C) ensuring that developmental systems are consistent with current and future Department of Defense business enterprise architecture.

 "(2) Coordination of implementation of the integrated personnel and pay system within defense organizations to 

ensure interoperability between all appropriate elements of the system.

 "(3) Establishment of metrics to assess the following:

 "(A) Business process re-engineering needed for successful deployment of the integrated pay and personnel 

system.

 "(B) Interoperability between legacy, operational, and developmental pay and personnel systems.

 "(C) Interface and systems architecture control and standardization.

 "(D) Retirement of legacy systems.

 "(E) Use of the enterprise information warehouse.

 "(F) Any other relevant matters.

 "(4) Such other responsibilities as the Secretary determines are appropriate.

 "(e) Termination. This section shall not be in effect after September 30, 2013.

 "(f) Report. Not later than March 1, 2010, the Secretary of Defense shall submit to the congressional defense committees a report on actions taken pursuant to this section.".

 Report on basing plans for certain United States geographic combatant commands. Act Oct. 28, 2009, P.L. 

111-84, Div A, Title X, Subtitle E, § 1063, 123 Stat. 2469; Jan. 7, 2011, P.L. 111-383, Div A, Title X, Subtitle H, § 

1075(d)(14), 124 Stat. 4373 (effective as of 10/28/2009 and as if included in Act Oct. 28, 2009 as enacted, as provided 

by § 1075(d) of the 2011 Act), provides:

 "(a) Report requirement. Concurrent with the delivery of the report on the 2009 quadrennial defense review required 

by section 118 of title 10, United States Code, the Secretary of Defense shall submit to the congressional defense committees a report on the plan for basing of forces outside the United States.

 "(b) Matters covered. The report required under subsection (a) shall contain a description of--

 "(1) how the plan supports the United States national security strategy;

 "(2) how the plan supports the security commitments undertaken by the United States pursuant to any international security treaty, including the North Atlantic Treaty, the Treaty of Mutual Cooperation and Security between the 

United States and Japan, and the Security Treaty Between Australia, New Zealand, and the United States of America;

 "(3) how the plan addresses the current security environment in each geographic combatant command's area of 

responsibility, including United States participation in theater security cooperation activities and bilateral partnership, 

exchanges, and training exercises;

 "(4) the impact that a permanent change in the basing of a unit currently stationed outside the United States would 

have on the matters described in paragraphs (1) through (3);

 "(5) the impact the plan will have on the status of overseas base closure and realignment actions undertaken as 

part of a global defense posture realignment strategy and the status of development and execution of comprehensive 

master plans for overseas military main operating bases, forward operating sites, and cooperative security locations of 

the global defense posture of the United States;

 "(6) any recommendations for additional closures or realignments of military installations outside of the United 

States; and

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 "(7) any comments resulting from an interagency review of the plan that includes the Department of State and 

other relevant Federal departments and agencies.

 "(c) Notification requirement. The Secretary of Defense shall notify Congress at least 30 days before the permanent 

relocation of a unit stationed outside the United States as of the date of the enactment of this Act.

 "(d) Definitions. In this section:

 "(1) Unit. The term 'unit' has the meaning determined by the Secretary of Defense for purposes of this section.

 "(2) Geographic combatant command. The term 'geographic combatant command' means a combatant command 

with a geographic area of responsibility that does not include North America.".

 Effective date and application of Oct. 28, 2009 amendments. Act Oct. 28, 2009, P.L. 111-84, Div A, Title XII, 

Subtitle C, § 1246(e), 123 Stat. 2545, provides:

 "(1) In general. The amendments made by this section [amending 10 USCS §§ 113 note, 168 note] shall take effect 

on the date of the enactment of this Act, and shall apply with respect to reports required to be submitted under subsection (a) of section 1202 of the National Defense Authorization Act for Fiscal Year 2000 [note to this section], as so 

amended, on or after that date.

 "(2) Strategy and updates for military-to-military contacts with People's Liberation Army. The requirement to include the strategy described in paragraph (11)(A) of section 1202(b) of the National Defense Authorization Act for Fiscal Year 2000, as so amended, in the report required to be submitted under section 1202(a) of such Act, as so amended, 

shall apply with respect to the first report required to be submitted under section 1202(a) of such Act on or after the date 

of the enactment of this Act. The requirement to include updates to such strategy shall apply with respect to each subsequent report required to be submitted under section 1202(a) of such Act on or after the date of the enactment of this 

Act.".

 Counter-improvised explosive device initiatives database. Act Jan. 7, 2011, P.L. 111-383, Div A, Title I, Subtitle 

C, § 124, 124 Stat. 4159, provides:

 "(a) Comprehensive database.

 (1) In general. The Secretary of Defense, acting through the Director of the Joint Improvised Explosive Device 

Defeat Organization, shall develop and maintain a comprehensive database containing appropriate information for coordinating, tracking, and archiving each counter-improvised explosive device initiative within the Department of Defense. The database shall, at a minimum, ensure the visibility of each counter-improvised explosive device initiative.

 "(2) Use of information. Using information contained in the database developed under paragraph (1), the Secretary, acting through the Director of the Joint Improvised Explosive Device Defeat Organization, shall--

 "(A) identify and eliminate redundant counter-improvised explosive device initiatives;

 "(B) facilitate the transition of counter-improvised explosive device initiatives from funding under the Joint 

Improvised Explosive Device Defeat Fund to funding provided by the military departments; and

 "(C) notify the appropriate personnel and organizations prior to a counter-improvised explosive device initiative being funded through the Joint Improvised Explosive Device Defeat Fund.

 "(3) Coordination. In carrying out paragraph (1), the Secretary shall ensure that the Secretary of each military department coordinates and collaborates on development of the database to ensure its interoperability, completeness, consistency, and effectiveness.

 "(b) Metrics. The Secretary of Defense, acting through the Director of the Joint Improvised Explosive Device Defeat 

Organization, shall--

 "(1) develop appropriate means to measure the effectiveness of counter-improvised explosive device initiatives; 

and

 "(2) prioritize the funding of such initiatives according to such means.

 "(c) Counter-improvised explosive device initiative defined. In this section, the term 'counter-improvised explosive 

device initiative' means any project, program, or research activity funded by any component of the Department of Defense that is intended to assist or support efforts to counter, combat, or defeat the use of improvised explosive devices.".

 Program to commemorate 60th anniversary of the Korean War. Act Jan. 7, 2011, P.L. 111-383, Div A, Title V, 

Subtitle H, § 574, 124 Stat. 4223, provides:

 "(a) Commemorative program authorized. The Secretary of Defense may establish and conduct a program to commemorate the 60th anniversary of the Korean War (in this section referred to as the 'commemorative program'). In conducting the commemorative program, the Secretary of Defense shall coordinate and support other programs and activities of the Federal Government, State and local governments, and other persons and organizations in commemoration of 

the Korean War.

 "(b) Schedule. If the Secretary of Defense establishes the commemorative program, the Secretary shall determine the 

schedule of major events and priority of efforts for the commemorative program to achieve the commemorative objec597 DCMA Administrative Record for FY 2013 Furlough Appeals
tives specified in subsection (c). The Secretary of Defense may establish a committee to assist the Secretary in determining the schedule and conducting the commemorative program.

 "(c) Commemorative activities and objectives. The commemorative program may include activities and ceremonies 

to achieve the following objectives:

 "(1) To thank and honor veterans of the Korean War, including members of the Armed Forces who were held as 

prisoners of war or listed as missing in action, for their service and sacrifice on behalf of the United States.

 "(2) To thank and honor the families of veterans of the Korean War for their sacrifices and contributions, especially families who lost a loved one in the Korean War.

 "(3) To highlight the service of the Armed Forces during the Korean War and the contributions of Federal agencies and governmental and non-governmental organizations that served with, or in support of, the Armed Forces.

 "(4) To pay tribute to the sacrifices and contributions made on the home front by the people of the United States 

during the Korean War.

 "(5) To provide the people of the United States with a clear understanding and appreciation of the lessons and 

history of the Korean War.

 "(6) To highlight the advances in technology, science, and medicine related to military research conducted during 

the Korean War.

 "(7) To recognize the contributions and sacrifices made by the allies of the United States during the Korean War.

 "(d) Use of the United States of America Korean War Commemoration and symbols. Subsection (c) of section 1083 

of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1918) [note to this section], as amended by section 1067 of the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999 

(Public Law 105-261; 112 Stat. 2134) and section 1052 of the National Defense Authorization Act for Fiscal Year 2000 

(Public Law 106-65; 113 Stat. 764), shall apply to the commemorative program.

 "(e) Commemorative fund.

 (1) Establishment of new account. If the Secretary of Defense establishes the commemorative program, the Secretary the Treasury shall establish in the Treasury of the United States an account to be known as the 'Department of 

Defense Korean War Commemoration Fund' (in this section referred to as the 'Fund').

 "(2) Administration and use of Fund. The Fund shall be available to, and administered by, the Secretary of Defense. The Secretary of Defense shall use the assets of the Fund only for the purpose of conducting the commemorative 

program and shall prescribe such regulations regarding the use of the Fund as the Secretary of Defense considers to be 

necessary.

 "(3) Deposits. There shall be deposited into the Fund the following:

 "(A) Amounts appropriated to the Fund.

 "(B) Proceeds derived from the use by the Secretary of Defense of the exclusive rights described in subsection 

(c) of section 1083 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1918) 

[note to this section].

 "(C) Donations made in support of the commemorative program by private and corporate donors.

 "(4) Availability. Subject to paragraph (5), amounts in the Fund shall remain available until expended.

 "(5) Treatment of unobligated funds; transfer. If unobligated amounts remain in the Fund as of September 30, 

2013, the Secretary of the Treasury shall transfer the remaining amounts to the Department of Defense Vietnam War 

Commemorative Fund established pursuant to section 598(e) of the National Defense Authorization Act for Fiscal Year 

2008 (Public Law 110-181; 10 U.S.C. 113 note). The transferred amounts shall be merged with, and available for the 

same purposes as, other amounts in the Department of Defense Vietnam War Commemorative Fund.

 "(f) Acceptance of voluntary services.

 (1) Authority to accept services. Notwithstanding section 1342 of title 31, United States Code, the Secretary of 

Defense may accept from any person voluntary services to be provided in furtherance of the commemorative program. 

The Secretary of Defense shall prohibit the solicitation of any voluntary services if the nature or circumstances of such 

solicitation would compromise the integrity or the appearance of integrity of any program of the Department of Defense 

or of any individual involved in the program.

 "(2) Compensation for work-related injury. A person providing voluntary services under this subsection shall be 

considered to be a Federal employee for purposes of chapter 81 of title 5, United States Code [5 USCS §§ 8101 et seq.], 

relating to compensation for work-related injuries. The person shall also be considered a special governmental employee for purposes of standards of conduct and sections 202, 203, 205, 207, 208, and 209 of title 18, United States Code. A 

person who is not otherwise employed by the Federal Government shall not be considered to be a Federal employee for 

any other purpose by reason of the provision of voluntary services under this subsection.

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 "(3) Reimbursement of incidental expenses. The Secretary of Defense may provide for reimbursement of incidental expenses incurred by a person providing voluntary services under this subsection. The Secretary of Defense shall 

determine which expenses are eligible for reimbursement under this paragraph.

 "(g) Report required. If the Secretary of Defense conducts the commemorative program, the Inspector General of the 

Department of Defense shall submit to Congress, not later than 60 days after the end of the commemorative program, a 

report containing an accounting of--

 "(1) all of the funds deposited into and expended from the Fund;

 "(2) any other funds expended under this section; and

 "(3) any unobligated funds remaining in the Fund as of September 30, 2013, that are transferred to the Department 

of Defense Vietnam War Commemorative Fund pursuant to subsection (e)(5).

 "(h) Limitation on expenditures. Using amounts appropriated to the Department of Defense, the Secretary of Defense 

may not expend more than $ 5,000,000 to carry out the commemorative program.".

 Report on organizational structure and policy guidance of the Department of Defense regarding information 

operations. Act Jan. 7, 2011, P.L. 111-383, Title IX, Subtitle E, § 943, 124 Stat. 4341, provides:

 "(a) Report required. Not later than 90 days after the date of the enactment of this Act, the Secretary of Defense shall 

submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives a report on the organizational structure and policy guidance of the Department of Defense with respect to 

information operations.

 "(b) Review. In preparing the report required by subsection (a), the Secretary shall review the following:

 "(1) The extent to which the current definition of 'information operations' in Department of Defense Directive 

3600.1 is appropriate.

 "(2) The location of the office within the Department of the lead official responsible for information operations of 

the Department, including assessments of the most effective location and the need to designate a principal staff assistant 

to the Secretary of Defense for information operations.

 "(3) Departmental responsibility for the development, coordination, and oversight of Department policy on information operations and for the integration of such operations.

 "(4) Departmental responsibility for the planning, execution, and oversight of Department information operations.

 "(5) Departmental responsibility for coordination within the Department, and between the Department and other 

departments and agencies of the Federal Government, regarding Department information operations, and for the resolution of conflicts in the discharge of such operations, including an assessment of current coordination bodies and decisionmaking processes.

 "(6) The roles and responsibilities of the military departments, combat support agencies, the United States Special 

Operations Command, and the other combatant commands in the development and implementation of information operations.

 "(7) The roles and responsibilities of the defense intelligence agencies for support of information operations.

 "(8) The role in information operations of the following Department officials:

 "(A) The Assistant Secretary of Defense for Public Affairs.

 "(B) The Assistant Secretary of Defense for Special Operations and Low-Intensity Conflict.

 "(C) The senior official responsible for information processing and networking capabilities.

 "(9) The role of related capabilities in the discharge of information operations, including public affairs capabilities, civil-military operations capabilities, defense support of public diplomacy, and intelligence.

 "(10) The management structure of computer network operations in the Department for the discharge of information operations, and the policy in support of that component.

 "(11) The appropriate use, management, and oversight of contractors in the development and implementation of 

information operations, including an assessment of current guidance and policy directives pertaining to the uses of contractors for these purposes.

 "(c) Form. The report required by subsection (a) shall be submitted in unclassified form, with a classified annex, if 

necessary.

 "(d) Department of Defense directive. Upon the submittal of the report required by subsection (a), the Secretary shall 

prescribe a revised directive for the Department of Defense on information operations. The directive shall take into account the results of the review conducted for purposes of the report.

 "(e) Information operations defined. In this section, the term 'information operations' means the information operations specified in Department of Defense Directive 3600.1, as follows:

 "(1) Electronic warfare.

 "(2) Computer network operations.

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 "(3) Psychological operations.

 "(4) Military deception.

 "(5) Operations security.".

 Biennial report on nuclear triad. Act Jan. 7, 2011, P.L. 111-383, Div A, Title X, Subtitle F, § 1054, 124 Stat. 4358, 

provides:

 "(a) Report. Not later than March 1 of each even-numbered year, beginning March 1, 2012, the Secretary of Defense, 

in consultation with the Administrator for Nuclear Security, shall submit to the congressional defense committees a report on the nuclear triad.

 "(b) Matters included. The report under subsection (a) shall include the following:

 "(1) A detailed discussion of the modernization and sustainment plans for each component of the nuclear triad 

over the 10-year period beginning on the date of the report.

 "(2) The funding required for each platform of the nuclear triad with respect to operation and maintenance, modernization, and replacement.

 "(3) Any industrial capacities that the Secretary considers vital to ensure the viability of the nuclear triad.

 "(c) Nuclear triad defined. In this section, the term 'nuclear triad' means the nuclear deterrent capabilities of the 

United States composed of ballistic missile submarines, land-based missiles, and strategic bombers.

 Treatment of successor contingency operation to Operation Iraqi Freedom. Act Jan. 7, 2011, P.L. 111-383, Div 

A, Title X, Subtitle H, § 1077, 124 Stat. 4379, provides: "Any law applicable to Operation Iraqi Freedom shall apply in 

the same manner and to the same extent to the successor contingency operation known as Operation New Dawn, except 

as specifically provided in this Act, any amendment made by this Act, or any other law enacted after the date of the enactment of this Act.".

 Designation of Department of Defense senior official with principal responsibility for airship programs. Act 

Dec. 31, 2011, P.L. 112-81, Div A, Title IX, Subtitle A, § 903, 125 Stat. 1532, provides:

 "Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall--

 "(1) designate a senior official of the Department of Defense as the official with principal responsibility for the 

airship programs of the Department; and

 "(2) set forth the responsibilities of that senior official with respect to such programs.".

 Authority to support operations and activities of the Office of Security Cooperation in Iraq. Act Dec. 31, 2011, 

P.L. 112-81, Div A, Title XII, Subtitle B, § 1215, 125 Stat. 1631; Jan. 2, 2013, P.L. 112-239, Div A, Title XII, Subtitle 

B, § 1211(a)-(c), 126 Stat. 1982, provides:

 "(a) Authority. The Secretary of Defense may support United States Government transition activities in Iraq by 

providing funds for the following:

 "(1) Operations and activities of the Office of Security Cooperation in Iraq.

 "(2) Operations and activities of security assistance teams in Iraq.

 "(b) Types of support. The operations and activities for which the Secretary may provide funds under the authority in 

subsection (a) may include life support, transportation and personal security, and construction and renovation of facilities.

 "(c) Limitation on amount. The total amount of funds provided under the authority in subsection (a) in fiscal year 

2012 may not exceed $ 524,000,000 and in fiscal year 2013 may not exceed $ 508,000,000.

 "(d) Source of funds. Funds for purposes of subsection (a) for fiscal year 2012 or fiscal year 2013 shall be derived 

from amounts available for fiscal year 2012 or 2013, as the case may be, for operation and maintenance for the Air 

Force.

 "(e) Coverage of costs of OSCI in connection with sales of defense articles or defense services to Iraq. The President 

shall ensure that any letter of offer for the sale to Iraq of any defense articles or defense services issued after the date of 

the enactment of this Act includes, consistent with the provisions of the Arms Export Control Act (22 U.S.C. 2751 et 

seq.), charges sufficient to recover the costs of operations and activities of security assistance teams in Iraq in connection with such sale.

 "(f) Additional authority for activities of OSCI. During fiscal year 2013, the Secretary of Defense, with the concurrence of the Secretary of State, may authorize the Office of Security Cooperation in Iraq to conduct non-operational 

training activities in support of Iraqi Ministry of Defense and Counter Terrorism Service personnel in an institutional 

environment to address capability gaps, integrate processes relating to intelligence, air sovereignty, combined arms, 

logistics and maintenance, and to manage and integrate defense-related institutions.

 "(g) Report. Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall, in 

consultation with the Secretary of State, submit to the congressional defense committees, the Committee on Foreign 

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Relations of the Senate, and the Committee on Foreign Affairs of the House of Representatives a report on the activities 

of the Office of Security Cooperation in Iraq. The report shall include the following:

 "(1) A description, in unclassified form (but with a classified annex if appropriate), of any capability gaps in the 

security forces of Iraq, including capability gaps relating to intelligence matters, protection of Iraq airspace, and logistics and maintenance.

 "(2) A description of the manner in which the programs of the Office of Security Cooperation in Iraq, in conjunction with other United States programs such as the Foreign Military Financing program, the Foreign Military Sales program, and joint training exercises, will address the capability gaps described in paragraph (1) if the Government of Iraq 

requests assistance in addressing such capability gaps.".

 Strategy to counter improvised explosive devices. Act Jan. 3, 2012, P.L. 112-87, Title V, § 503, 125 Stat. 1896, 

provides:

 "(a) Strategy.

 (1) Establishment. The Director of National Intelligence and the Secretary of Defense shall establish a coordinated 

strategy utilizing all available personnel and assets for intelligence collection and analysis to identify and counter network activity and operations in Pakistan and Afghanistan relating to the development and use of improvised explosive 

devices.

 "(2) Contents. The strategy established under paragraph (1) shall identify--

 "(A) the networks that design improvised explosive devices, provide training on improvised explosive device 

assembly and employment, and smuggle improvised explosive device components into Afghanistan;

 "(B) the persons and organizations not directly affiliated with insurgents in Afghanistan who knowingly enable 

the movement of commercial products and material used in improvised explosive device construction from factories and 

vendors in Pakistan into Afghanistan;

 "(C) the financiers, financial networks, institutions, and funding streams that provide resources to the insurgency in Afghanistan; and

 "(D) the links to military, intelligence services, and government officials who are complicit in allowing the 

insurgent networks in Afghanistan to operate.

 "(b) Report and implementation. Not later than 120 days after the date of the enactment of this Act, the Director of 

National Intelligence and the Secretary of Defense shall--

 "(1) submit to the congressional intelligence committees and the Committees on Armed Services of the House of 

Representatives and the Senate a report containing the strategy established under subsection (a); and

 "(2) implement such strategy.".

 Commemoration of the 50th Anniversary of the Vietnam War. Pres. Proc. No. 8829 of May 25, 2012, 77 Fed. 

Reg. 32875, provides:

 "By the President of the United States of America

 "A Proclamation

 "As we observe the 50th anniversary of the Vietnam War, we reflect with solemn reverence upon the valor of a generation that served with honor. We pay tribute to the more than 3 million servicemen and women who left their families 

to serve bravely, a world away from everything they knew and everyone they loved. From Ia Drang to Khe Sanh, from 

Hue to Saigon and countless villages in between, they pushed through jungles and rice paddies, heat and monsoon, 

fighting heroically to protect the ideals we hold dear as Americans. Through more than a decade of combat, over air, 

land, and sea, these proud Americans upheld the highest traditions of our Armed Forces.

 "As a grateful Nation, we honor more than 58,000 patriots--their names etched in black granite--who sacrificed all 

they had and all they would ever know. We draw inspiration from the heroes who suffered unspeakably as prisoners of 

war, yet who returned home with their heads held high. We pledge to keep faith with those who were wounded and still 

carry the scars of war, seen and unseen. With more than 1,600 of our service members still among the missing, we 

pledge as a Nation to do everything in our power to bring these patriots home. In the reflection of The Wall, we see the 

military family members and veterans who carry a pain that may never fade. May they find peace in knowing their 

loved ones endure, not only in medals and memories, but in the hearts of all Americans, who are forever grateful for 

their service, valor, and sacrifice.

 "In recognition of a chapter in our Nation's history that must never be forgotten, let us renew our sacred commitment 

to those who answered our country's call in Vietnam and those who awaited their safe return. Beginning on Memorial 

Day 2012, the Federal Government will partner with local governments, private organizations, and communities across 

America to participate in the Commemoration of the 50th Anniversary of the Vietnam War--a 13-year program to honor 

and give thanks to a generation of proud Americans who saw our country through one of the most challenging missions 

we have ever faced. While no words will ever be fully worthy of their service, nor any honor truly befitting their sacri601 DCMA Administrative Record for FY 2013 Furlough Appeals
fice, let us remember that it is never too late to pay tribute to the men and women who answered the call of duty with 

courage and valor. Let us renew our commitment to the fullest possible accounting for those who have not returned. 

Throughout this Commemoration, let us strive to live up to their example by showing our Vietnam veterans, their families, and all who have served the fullest respect and support of a grateful Nation.

 "NOW, THEREFORE, I, BARACK OBAMA, President of the United States of America, by virtue of the authority 

vested in me by the Constitution and the laws of the United States, do hereby proclaim May 28, 2012, through November 11, 2025, as the Commemoration of the 50th Anniversary of the Vietnam War. I call upon Federal, State, and local 

officials to honor our Vietnam veterans, our fallen, our wounded, those unaccounted for, our former prisoners of war, 

their families, and all who served with appropriate programs, ceremonies, and activities.

 "IN WITNESS WHEREOF, I have hereunto set my hand this twenty-fifth day of May, in the year of our Lord two 

thousand twelve, and of the Independence of the United States of America the two hundred and thirty-sixth.".

 Designation of Department of Defense senior official for enterprise resource planning system data conversion. 

Act Jan. 2, 2013, P.L. 112-239, Div A, Title IX, Subtitle A, § 903, 126 Stat. 1866, provides:

 "Not later than 90 days after the date of the enactment of this Act, the Secretary of Defense shall--

 "(1) designate a senior official of the Department of Defense as the official with principal responsibility for coordination and management oversight of data conversion for all enterprise resource planning systems of the Department; 

and

 "(2) set forth the responsibilities of that senior official with respect to such data conversion.".

 Electronic warfare strategy of the Department of Defense; guidance and plan required. Act Jan. 2, 2013, P.L. 

112-239, Div A, Title X, Subtitle G, § 1061(a), (b), 126 Stat. 1939, provides:

 "(a) Guidance required. Not later than January 1, 2013, the Secretary of Defense shall review and update Department 

of Defense guidance related to electronic warfare to ensure that oversight roles and responsibilities within the Department related to electronic warfare policy and programs are clearly defined. Such guidance shall clarify, as appropriate, 

the roles and responsibilities related to the integration of electronic warfare matters and cyberspace operations.

 "(b) Plan required. Not later than October 1, 2013, the Commander of the United States Strategic Command shall 

update and issue guidance regarding the responsibilities of the Command with regard to joint electronic warfare capabilities. Such guidance shall--

 "(1) define the role and objectives of the Joint Electromagnetic Spectrum Control Center or any other center established in the Command to provide governance and oversight of electronic warfare matters; and

 "(2) include an implementation plan outlining tasks, metrics, and timelines to establish such a center.".

 United States participation in Headquarters Eurocorps. Act Jan. 2, 2013, P.L. 112-239, Div A, Title XII, Subtitle 

F, § 1275, 126 Stat. 2027, provides:

 "(a) Participation authorized. The Secretary of Defense may, with the concurrence of the Secretary of State, authorize 

the participation of members of the Armed Forces as members of the staff of Headquarters Eurocorps for the purpose of 

supporting the North Atlantic Treaty Organization (NATO) activities of the NATO Rapid Deployable Corps Eurocorps.

 "(b) Memorandum of understanding.

 (1) Requirement. The participation of members of the Armed Forces as members of the staff of Headquarters Eurocorps shall be in accordance with the terms of one or more memoranda of understanding entered into by the Secretary 

of Defense, with the concurrence of the Secretary of State, and Headquarters Eurocorps.

 "(2) Cost-sharing arrangements. If Department of Defense facilities, equipment, or funds are used to support 

Headquarters Eurocorps, the memoranda of understanding under paragraph (1) shall provide details of any cost-sharing 

arrangement or other funding arrangement.

 "(c) Limitation on number of members participating as staff. Not more than two members of the Armed Forces may 

participate as members of the staff of Headquarters Eurocorps, until the Secretary of Defense submits to the Committees 

on Armed Services of the Senate and the House of Representatives a report setting forth the following:

 "(1) A certification by the Secretary of Defense that the participation of more than two members of the Armed 

Forces in Headquarters Eurocorps is in the national interests of the United States.

 "(2) A description of the benefits of the participation of the additional members proposed by the Secretary.

 "(3) A description of the plans for the participation of the additional members proposed by the Secretary, including the grades and posts to be filled.

 "(4) A description of the costs associated with the participation of the additional members proposed by the Secretary.

 "(d) Notice on participation of number of members above certain ceiling. Not more than 10 members of the Armed 

Forces may participate as members of the staff of Headquarters Eurocorps unless the Secretary of Defense submits to 

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the Committees on Armed Services of the Senate and the House of Representatives a notice that the number of members 

so participating will exceed 10 members.

 "(e) Availability of appropriated funds.

 (1) Availability. Funds appropriated to the Department of Defense for operation and maintenance are available as 

follows:

 "(A) To pay the United States' share of the operating expenses of Headquarters Eurocorps.

 "(B) To pay the costs of the participation of members of the Armed Forces participating as members of the 

staff of Headquarters Eurocorps, including the costs of expenses of such participants.

 "(2) Limitation. No funds may be used under this section to fund the pay or salaries of members of the Armed 

Forces who participate as members of the staff of the Headquarters, North Atlantic Treaty Organization (NATO) Rapid 

Deployable Corps under this section.

 "(f) Headquarters Eurocorps defined. In this section, the term 'Headquarters Eurocorps' refers to the multinational 

military headquarters, established on October 1, 1993, which is one of the High Readiness Forces (Land) associated 

with the Allied Rapid Reaction Corps of NATO.".

 Identification requirements for access to military installations. Act Jan. 2, 2013, P.L. 112-239, Div B, Title 

XXVIII, Subtitle B, § 2812, 126 Stat. 2150, provides:

 "(a) Procedural requirements for identification verification. Not later than 180 days after the date of the enactment of 

this Act, the Secretary of Defense shall publish procedural requirements regarding access to military installations in the 

United States by individuals, including individuals performing work under a contract awarded by the Department of 

Defense. The procedural requirements may vary between military installations, or parts of installations, depending on 

the nature of the installation, the nature of the access granted, and the level of security required.

 "(b) Issues addressed. The procedures required by subsection (a) shall address, at a minimum, the following:

 "(1) The forms of identification to be required to permit entry.

 "(2) The measures to be used to verify the authenticity of such identification and identify individuals who seek 

unauthorized access to a military installation through the use of fraudulent identification or other means.

 "(3) The measures to be used to notify Department of Defense security personnel of any attempt to gain unauthorized access to a military installation.".

 Continuation of requirement for prior matching of disbursements to particular obligations in fiscal year 2013. 

Act March 26, 2013, P.L. 113-6, Div C, Title VIII, § 8067, 127 Stat. 313, provides: "Section 8106 of the Department of 

Defense Appropriations Act, 1997 (titles I through VIII of the matter under subsection 101(b) of Public Law 104-208; 

110 Stat. 3009-111; 10 U.S.C. 113 note) shall continue in effect to apply to disbursements that are made by the Department of Defense in fiscal year 2013.".

 Similar provisions were contained in Acts Aug. 9, 2000, P.L. 106-259, Title VIII, § 8137, 114 Stat. 704; Jan. 10, 

2002, P.L. 107-117, Div A, Title VIII, § 8118, 115 Stat. 2273; Oct. 23, 2002, P.L. 107-248, Title VIII, § 8098, 116 Stat. 

1559; Sept. 30, 2003, P.L. 108-87, Title VIII, § 8092, 117 Stat. 1094; Aug. 5, 2004, P.L. 108-287, Title VIII, § 8091, 

118 Stat. 992; Dec. 30, 2005, P.L. 109-148, Div A, Title VIII, § 8083, 119 Stat. 2717; Sept. 29, 2006, P.L. 109-289, Div 

A, Title VIII, § 8074, 120 Stat. 1291; Nov. 13, 2007, P.L. 110-116, Div A, Title VIII, § 8076, 121 Stat. 1332; Sept. 30, 

2008, P.L. 110-329, Div C, Title VIII, § 8073, 122 Stat. 3637; Dec. 19, 2009, P.L. 111-118, Div A, Title VIII, § 8073, 

123 Stat. 3445; April 15, 2011, P.L. 112-10, Div A, Title VIII, § 8070, 125 Stat. 73; Dec. 23, 2011, P.L. 112-74, Div A, 

Title VIII, § 8068, 125 Stat. 822.

NOTES:

Code of Federal Regulations:

 Department of Defense--Nonprocurement debarment and suspension, 2 CFR 1125.10 et seq.

 United States Nuclear Regulatory Commission--Nonprocurement debarment and suspension, 2 CFR 2000.10 et seq.

 Office of the Secretary of Defense--Military commission instructions, 32 CFR 10.1 et seq.

 Office of the Secretary of Defense--Responsibilities of the chief prosecutor, prosecutors, and assistant prosecutors, 

32 CFR 12.1 et seq.

 Office of the Secretary of Defense--Responsibilities of the chief defense counsel, detailed defense counsel, and civilian defense counsel, 32 CFR 13.1 et seq.

 Office of the Secretary of Defense--Qualification of civilian defense counsel, 32 CFR 14.1 et seq.

 Office of the Secretary of Defense--Reporting relationships for military commission personnel, 32 CFR 15.1 et seq.

 Office of the Secretary of Defense--Sentencing, 32 CFR 16.1 et seq.

 Office of the Secretary of Defense--Administrative procedures, 32 CFR 17.1 et seq.

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 Office of the Secretary of Defense--DoD grants and agreements--general matters, 32 CFR 21.100 et seq.

 Office of the Secretary of Defense--DoD grants and agreements--awards and administration, 32 CFR 22.100 et seq.

 Office of the Secretary of Defense--New restrictions on lobbying, 32 CFR 28.100 et seq.

 Office of the Secretary of Defense--Administrative requirements for grants and agreements with institutions of higher education, hospitals, and other non-profit organizations, 32 CFR 32.1 et seq.

 Office of the Secretary of Defense--Uniform administrative requirements for grants and cooperative agreements to 

State and local governments, 32 CFR 33.1 et seq.

 Office of the Secretary of Defense--Administrative requirements for grants and agreements with for-profit organizations, 32 CFR 34.1 et seq.

 Office of the Secretary of Defense--Technology investment agreements, 32 CFR 37.100 et seq.

 Office of the Secretary of Defense--Sexual Assault Prevention and Response (SAPR) Program, 32 CFR 103.1 et seq.

 Office of the Secretary of Defense--Indebtedness of military personnel, 32 CFR 112.1 et seq.

 Office of the Secretary of Defense--Indebtedness procedures of military personnel, 32 CFR 113.1 et seq.

 Office of the Secretary of Defense--Revitalizing base closure communities and addressing impacts of realignment, 

32 CFR 174.1 et seq.

 Office of the Secretary of Defense--Defense support of civil authorities (DSCA), 32 CFR 185.1 et seq.

 Office of the Secretary of Defense--The DoD Civilian Equal Employment Opportunity (EEO) program, 32 CFR 

191.1 et seq.

 Office of the Secretary of Defense--Administration and support of basic research by the Department of Defense, 32 

CFR 272.1 et seq.

 Office of the Secretary of Defense--Defense Finance and Accounting Service (DFAS), 32 CFR 352a.1 et seq.

 Department of the Navy--Release of official information in litigation and testimony by Department of the Navy personnel as witnesses, 32 CFR 725.1 et seq.

 

Related Statutes & Rules:

 Annual rate of compensation of Secretary, 5 USCS § 5312.

 Reports to Congressional committees, policies and procedures on recall to active duty of Ready Reserve members, 

10 USCS § 12302.

 National Security Agency employment, delegation of authority for terminating, notwithstanding subsec. (d) of this 

section, 50 USCS § 833.

 This section is referred to in 10 USCS §§ 117, 153, 487, 667, 2501, 3038, 5143, 5144, 8038, 10504; 22 USCS § 

2595a; 50 USCS § 1523; 50 USCS Appx §§ 2077, 2152.

 

Research Guide:

Am Jur: 

 53 Am Jur 2d, Military and Civil Defense § 4.

 

Law Review Articles: 

 Zamir. Administrative Control of Administrative Action: The Exceptions. 51 NYU L Rev 587, 1976.

Interpretive Notes and Decisions:

1. Generally 2. Particular directives of Secretary

1. Generally

604 DCMA Administrative Record for FY 2013 Furlough Appeals
Secretary of War [now Secretary of Army] was regular constitutional organ of President for administration of military establishment of United States, and rules and orders publicly promulgated through him had to be received as acts of 

executive, and as such, were binding upon all within sphere of his legal and constitutional authority. United States v 

Eliason (1842) 41 US 291, 16 Pet 291, 10 L Ed 968, 2 AFTR 2195.

2. Particular directives of Secretary

Neither President by executive order nor Congress in National Security Act of 1947, as amended, and Armed Service Procurement Act of 1947 (10 USCS §§ 2304, 2306), has authorized Department of Defense to create industrial 

security clearance program under which affected persons may lose their jobs and may be restrained in following their 

chosen professions on basis of fact determinations concerning their fitness for clearance made in proceedings in which 

they are denied traditional procedural safeguards of confrontation and cross-examination. Greene v McElroy (1959) 

360 US 474, 79 S Ct 1400, 3 L Ed 2d 1377, 37 CCH LC P 65644.

Right of person in Armed Forces to be classified as conscientious objector after induction is based on Department 

of Defense Directive No. 1300.6 (May 10, 1968), issued by Secretary of Defense pursuant to his authority under 10 

USCS § 133, directive's purpose being to provide uniform procedures for utilization of conscientious objectors in 

Armed Forces and consideration of requests for discharge on grounds of conscientious objection. Parisi v Davidson 

(1972) 405 US 34, 31 L Ed 2d 17, 92 S Ct 815.

Directive issued by Secretary of Defense establishing insurance requirements on automobiles parked or driven on 

military reservations and qualification requirements for agents soliciting insurance on military reservations was within 

his authority. Royal Standard Ins. Co. v McNamara (1965, CA8 Ark) 344 F2d 240.

Determination by particular military department whether it is practicable and equitable under facts and circumstances of particular case to discharge conscientious objector, once enlisted or illegally inducted into armed forces, is 

ultimately vested by statute, directive issued by Secretary of Defense under 10 USCS § 133 [now § 113] and regulation 

with discretion of military itself. United States ex rel. O'Hare v Eichstaedt (1967, ND Cal) 285 F Supp 476.

 

Unpublished Opinions

Unpublished: Under 10 USCS § 113, Secretary of Department of Defense delegated to Under Secretary for Personnel and Readiness authority to regulate in area of readiness and training, and while current Departmental directive 

was not in effect when Under Secretary issued Dep't Def. Directive 1334.01 regarding wearing of uniforms, its provisions were consistent with those that governed at time and Under Secretary was vested with sufficient statutory and regulatory authority to issue, in his own right, that regulation. United States v Simmons (2011, NMCCA) 2011 CCA 

LEXIS 164.

605 DCMA Administrative Record for FY 2013 Furlough Appeals
UNITED STATES CODE SERVICE

Copyright © 2013 Matthew Bender & Company, Inc.

a member of the LexisNexis Group (TM)

All rights reserved.

*** Current through PL 113-22, approved 7/25/13 ***

TITLE 10. ARMED FORCES 

SUBTITLE A. GENERAL MILITARY LAW 

PART I. ORGANIZATION AND GENERAL MILITARY POWERS 

CHAPTER 2. DEPARTMENT OF DEFENSE

Go to the United States Code Service Archive Directory

10 USCS § 111

§ 111. Executive department 

(a) The Department of Defense is an executive department of the United States.

 

(b) The Department is composed of the following:

 (1) The Office of the Secretary of Defense.

 (2) The Joint Chiefs of Staff.

 (3) The Joint Staff.

 (4) The Defense Agencies.

 (5) Department of Defense Field Activities.

 (6) The Department of the Army.

 (7) The Department of the Navy.

 (8) The Department of the Air Force.

 (9) The unified and specified combatant commands.

 (10) Such other offices, agencies, activities, and commands as may be established or designated by law or by the 

President.

 (11) All offices, agencies, activities, and commands under the control or supervision of any element named in paragraphs (1) through (10).

 

(c) If the President establishes or designates an office, agency, activity, or command in the Department of Defense of a 

kind other than those described in paragraphs (1) through (9) of subsection (b), the President shall notify Congress not 

later than 60 days thereafter.

HISTORY: 

 (Added Sept. 7, 1962, P.L. 87-651, Title II, § 202, 76 Stat. 517; Oct. 1, 1986, P.L. 99-433, Title I, § 101(a)(2) in part, 

(b), 100 Stat. 994, 995.)

 HISTORY; ANCILLARY LAWS AND DIRECTIVES

 

Prior law and revision: 

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----------------------------------------------------------------------- 

Revised Section Source (USCS) Source (Statutes at Large) 

----------------------------------------------------------------------- 

131 ....... 5:171(a) (less last 10 July 26, 1947, ch. 343, 

 words), (b). Sec. 201(a) (less last 10 

 words), (b); restated 

 Aug. 10, 1949, ch. 412, 

Sec. 4 (1st (less last 10 

words) and 2d pars.), 

 63 Stat. 579. 

----------------------------------------------------------------------- 

 

 The words "There is established", in 5 U.S.C. 171(a), are omitted as executed. 5 U.S.C. 171(b) (1st 26 words) is 

omitted as covered by the definitions of "department" and "military departments" in section 101(5) and (7), respectively, 

of this title. 5 U.S.C. 171(b) (27th through 49th words) is omitted as executed. 5 U.S.C. 171(b) (last 18 words) is omitted as surplusage.

 

Amendments: 

 

1986. Act Oct. 1, 1986 redesignated this section, formerly 10 USCS § 131, as 10 USCS § 111, and in this section as 

redesignated, designated the existing provisions as subsec. (a); and added subsecs. (b) and (c).

 

Short titles: 

 Act Oct. 1, 1986, P.L. 99-433, § 1, 100 Stat. 993, provides: "This Act may be cited as the 'Goldwater-Nichols Department of Defense Reorganization Act of 1986'."

 

Transfer of functions: 

 For transfer of functions, personnel, assets, and liabilities of the Department of Defense, including the functions of 

the Secretary of Defense relating thereto, to the Secretary of Homeland Security, and for treatment of related references, 

see 6 USCS §§ 121(g)(2), 183(2), 551(d), 552(d), and 557, and the Department of Homeland Security Reorganization 

Plan of November 25, 2002, as modified, which appears as 6 USCS § 542 note.

 Missions and functions of elements of Department of Defense as specified in classified annex to Act Sept. 23, 1996, 

P.L. 104-201, and related personnel, assets, and balances of appropriations and authorizations of appropriations, transferred to National Imagery and Mapping Agency, see §§ 1111 and 1113 of Act Sept. 23, 1996, P.L. 104-201, which 

appear as 10 USCS § 441 notes.

 

Other provisions: 

 Reorganization Plan No. 6 of 1953, effective June 30, 1953, 18 Fed. Reg. 3743, 67 Stat. 638, provides:

 Prepared by the President and transmitted to the Senate and the House of Representatives in Congress assembled, April 30, 1953, pursuant to the provisions of the Reorganization Act of 1949, approved June 20, 1949, 

as amended [see 5 USCS §§ 901 et seq.].

 

Department of Defense

 § 1. Transfers of functions

 (a) All functions of the Munitions Board, the Research and Development Board, the Defense Supply Management 

Agency, and the Director of Installations are hereby transferred to the Secretary of Defense.

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 (b) The selection of the Director of the Joint Staff by the Joint Chiefs of Staff, and his tenure, shall be subject to the 

approval of the Secretary of Defense.

 (c) The selection of the members of the Joint Staff by the Joint Chiefs of Staff, and their tenure, shall be subject to 

the approval of the Chairman of the Joint Chiefs of Staff.

 (d) The functions of the Joint Chiefs of Staff with respect to managing the Joint Staff and the Director thereof are 

hereby transferred to the Chairman of the Joint Chiefs of Staff.

 § 2. Abolition of agencies and functions

 (a) There are hereby abolished the Munitions Board, the Research and Development Board, and the Defense Supply 

Management Agency.

 (b) The offices of Chairman of the Munitions Board, Chairman of the Research and Development Board, Director of 

the Defense Supply Management Agency, Deputy Director of the Defense Supply Management Agency, and Director 

of Installations are hereby abolished.

 (c) The Secretary of Defense shall provide for winding up any outstanding affairs of the said abolished agency, 

boards, and offices, not otherwise provided for in this reorganization plan.

 (d) The function of guidance to the Munitions Board in connection with strategic and logistic plans as required by 

section 213(c) of the National Security Act of 1947, as amended [former 5 USC § 171h(c)], is hereby abolished.

 § 3. Assistant Secretaries of Defense

 [Repealed by Act Aug. 6, 1958, P.L. 85-599, § 10(b), 72 Stat. 521. This section authorized the appointment of six 

additional Assistant Secretaries and prescribed their duties and compensation. For the effective date of repeal, see 10 

USCS § 3014 note.].

 § 4. General Counsel

 [Repealed by Act Sept. 7, 1962, P.L. 87-651, Title III, § 307C, 76 Stat. 526. This Section authorized appointment of 

a General Counsel for the Department of Defense. For similar provisions, see 10 USCS § 139.].

 § 5. Performance of functions

 [Repealed by Act Sept. 7, 1962, P.L. 87-651, Title III, § 307C, 76 Stat. 526. This section authorized the Secretary of 

Defense from time to time to make such provisions as he deemed appropriate authorizing the performance by any other 

officer, or by any agency or employee, of the Department of any function of the Secretary. For similar provisions, see 

10 USCS § 113.].

 § 6. Miscellaneous provisions

 (a) The Secretary of Defense may from time to time effect such transfers within the Department of Defense of any of 

the records, property, and personnel affected by this reorganization plan, and such transfers of unexpended balances 

(available or to be made available for use in connection with any affected function or agency) of appropriations, allocations, and other funds of such Department, as he deems necessary to carry out the provisions of this reorganization plan.

 (b) Nothing herein shall affect the compensation of the Chairman of the Military Liaison Committee (63 Stat. 762).

 Defense Manpower Commission. Act Nov. 16, 1973, P.L. 93-155, Title VII, §§ 701-708, 87 Stat. 609-611, provided that the Commission be established; provided for its composition, duties, powers, compensation, staff, appropriations, and use of the General Services Administration; and directed that interim reports to the President and to Congress 

be submitted and that the Commission terminate 60 days after its final report which was to be submitted not more than 

24 months after the appointment of the Commission.

 Study and investigation of the Air Force Reserve and the Air National Guard. Act Nov. 16, 1973, P.L. 93-155, 

Title VIII, § 810, 87 Stat. 618, provided that the Secretary of Defense study the relative status of the Air Force Reserve 

and the Air National Guard of the United States; measure the effects on costs and combat capability as well as other 

advantages and disadvantages of (1) merging the Reserve into the Guard, (2) merging the Guard into the Reserve, and 

(3) retaining the status quo; and consider the modernization needs and manpower problems of both; and also directed 

that a report of such study be submitted to the President and to the Congress no later than Jan. 31, 1975.

 Ex. Or. No. 12049 superseded. Ex. Or. No. 12049 of March 27, 1978, 43 Fed. Reg. 13363, as amended by Ex. Or. 

No. 12107 of Dec. 28, 1978, 44 Fed. Reg. 1055; Ex. Or. No. 12608 of Sept. 9, 1987, § 15, 52 Fed. Reg. 34617, which 

formerly appeared as a note to this section, was superseded by Ex. Or. 12788 of Jan. 15, 1992, 57 Fed. Reg. 2213, 

which appears as 10 USCS § 2391 note. The superseded order provided for the design and establishment of a Defense 

Economic Adjustment Program.

 Provisions as to annual report on NATO readiness repealed. Act Nov. 9, 1979, P.L. 96-107, Title VIII, § 808, 93 

Stat. 814, formerly classified as a note to this section, was repealed by Act Oct. 12, 1982, P.L. 97-295, § 6(b) in part, 96 

Stat. 1315. Such section provided for an annual report on NATO readiness. For provisions as to the construction of repeals by § 6(b) of Act Oct. 12, 1982, see Act Oct. 12, 1982, P.L. 97-295, § 6, 96 Stat. 1314, which appears as 10 USCS 

§ 101 note. For similar provisions, see 10 USCS § 117.

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 Declaration of Congressional policy. Act Oct. 1, 1986, P.L. 99-433, § 3, 100 Stat. 993, provides:

 "In enacting this Act [this note, among other things; for full classification, consult USCS Tables volumes], it is the 

intent of Congress, consistent with the congressional declaration of policy in section 2 of the National Security Act of 

1947 (50 U.S.C. 401)--

 "(1) to reorganize the Department of Defense and strengthen civilian authority in the Department;

 "(2) to improve the military advice provided to the President, the National Security Council, and the Secretary of 

Defense;

 "(3) to place clear responsibility on the commanders of the unified and specified combatant commands for the 

accomplishment of missions assigned to those commands;

 "(4) to ensure that the authority of the commanders of the unified and specified combatant commands is fully 

commensurate with the responsibility of those commanders for the accomplishment of missions assigned to their commands;

 "(5) to increase attention to the formulation of strategy and to contingency planning;

 "(6) to provide for more efficient use of defense resources;

 "(7) to improve joint officer management policies; and

 "(8) otherwise to enhance the effectiveness of military operations and improve the management and administration of the Department of Defense.".

 Commission on Roles and Missions of the Armed Forces. Act Nov. 30, 1993, P.L. 103-160, Div A, Title IX, Subtitle E, §§ 951-960, 107 Stat. 1738; Oct. 5, 1994, P.L. 103-337, Div A, Title IX, Subtitle C, § 923(a)(1), (2), (b)-(d), 108 

Stat. 2830, provide:

 "Sec. 951. Findings.

 "Congress makes the following findings:

 "(1) The current allocation of roles and missions among the Armed Forces evolved from the practice during 

World War II to meet the Cold War threat and may no longer be appropriate for the post-Cold War era.

 "(2) Many analysts believe that a realignment of those roles and mission is essential for the efficiency and effectiveness of the Armed Forces, particularly in light of lower budgetary resources that will be available to the Department 

of Defense in the future. 

 "(3) The existing process of a triennial review of roles and missions by the Chairman of the Joint Chiefs of Staff 

pursuant to provisions of law enacted by the Goldwater- Nichols Department of Defense Reorganization Act of 1986 

[Act Nov. 5, 1990, P.L. 101-510, 103 Stat. 1485; for full classification, consult USCS Tables volumes] has not produced the comprehensive review envisioned by Congress.

 "(4) It is difficult for any organization, and may be particularly difficult for the Department of Defense, to reform 

itself without the benefit and authority provided by external perspectives and analysis.

 "Sec. 952. Establishment of Commission.

 "(a) Establishment. There is hereby established a commission to be known as the Commission on Roles and Missions 

of the Armed Forces (hereinafter in this subtitle referred to as the 'Commission').

 "(b) Composition and qualifications.

 (1) The Commission shall be composed of eleven members. Members of the Commission shall be appointed by 

the Secretary of Defense.

 "(2) The Commission shall be appointed from among private United States citizens with appropriate and diverse 

military, organizational, and management experiences and historical perspectives.

 "(3) The Secretary shall designate one of the members as chairman of the Commission.

 "(c) Period of appointment; vacancies. Members shall be appointed for the life of the Commission. Any vacancy in 

the Commission shall not affect its powers, but shall be filled in the same manner as the original appointment.

 "(d) Initial organizational requirements.

 (1) The Secretary shall make all appointments to the Commission within 45 days after the date of the enactment 

of this Act.

 "(2) The Commission shall convene its first meeting within 30 days after the first date on which all members of 

the Commission have been appointed. At that meeting, the Commission shall develop an agenda and a schedule for 

carrying out its duties.

 "Sec. 953. Duties of Commission.

 "(a) In general. The Commission shall--

 "(1) review the efficacy and appropriateness for the post-Cold War era of the current allocations among the 

Armed Forces of roles, missions, and functions;

 "(2) evaluate and report on alternative allocations of those roles, missions, and functions; and

609 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(3) make recommendations for changes in the current definition and distribution of those roles, missions, and 

functions. 

 "(b) Review of potential military operations. The Commission shall review the types of military operations that may 

be required in the post-Cold War era, taking into account the requirements for success in various types of operations. As 

part of such review, the Commission shall take into consideration the official strategic planning of the Department of 

Defense. The types of operations to be considered by the Commission as part of such review shall include the following:

 "(1) Defense of the United States.

 "(2) Warfare against other national military forces.

 "(3) Participation in peacekeeping, peace enforcement, and other nontraditional activities.

 "(4) Action against nuclear, chemical, and biological weapons capabilities in hostile hands.

 "(5) Support of law enforcement.

 "(6) Other types of operations as specified by the chairman of the Commission.

 "(c) Commission to define broad mission areas and key support requirements. As a result of the review under subsection (b), the Commission shall define broad mission areas and key support requirements for the United States military establishment as a whole.

 "(d) Development of conceptual framework for organizational allocations. The Commission shall develop a conceptual framework for the review of the organizational allocation among the Armed Forces of military roles, missions, and 

functions. In developing that framework, the Commission shall consider--

 "(1) static efficiency (such as duplicative overhead and economies of scale);

 "(2) dynamic effectiveness (including the benefits of competition and the effect on innovation);

 "(3) interoperability, responsiveness, and other aspects of military effectiveness in the field;

 "(4) gaps in mission coverage and so-called orphan missions that are inadequately served by existing organizational entities;

 "(5) division of responsibility on the battlefield;

 "(6) exploitation of new technology and operational concepts;

 "(7) the degree of disruption that a change in roles and missions would entail;

 "(8) the experience of other nations; and

 "(9) the role of the Army National Guard of the United States, the Air National Guard of the United States, and 

the other reserve components.

 "(e) Recommendations concerning military roles and missions. Based upon the conceptual framework developed 

under subsection (d) to evaluate possible changes to the existing allocation among the Armed Forces of military roles, 

missions, and functions, the Commission shall recommend--

 "(1) the functions for which each military department should organize, train, and equip forces;

 "(2) the missions of combatant commands; and

 "(3) the roles that Congress should assign to the various military elements of the Department of Defense, including the Army National Guard of the United States, the Air National Guard of the United States, and the other reserve 

components.

 "(f) Recommendations concerning civilian elements of Department of Defense. The Commission may address the 

roles, missions, and functions of civilian portions of the Department of Defense and other national security agencies to 

the extent that changes in these areas are collateral to changes considered in military roles, missions, and functions.

 "(g) Recommendations concerning process for future changes. The Commission shall also recommend a process for 

continuing to adapt the roles, missions, and functions of the Armed Forces to future changes in technology and in the 

international security environment.

 "(h) Recommendations concerning reserve components. The Commission shall also address the roles, missions, and 

functions of the Army National Guard of the United States, the Air National Guard of the United States, and the other 

reserve components within the total force of the Armed Forces, particularly in light of lower budgetary resources that 

will be available to the Department of Defense in the future.

 "(i) Recommendations concerning programs and force structure. The Commission may also recommend changes that 

would better align programs and force structure with projected missions and threats.

 "Sec. 954. Reports.

 "(a) Implementation plan. Not later than three months after the date on which all members of the Commission have 

been appointed, the Commission shall transmit to the Committees on Armed Services of the Senate and House of Representatives a report setting forth its plan for the work of the Commission. The plan shall be developed following dis610 DCMA Administrative Record for FY 2013 Furlough Appeals
cussions with the Secretary of Defense, the Chairman of the Joint Chiefs of Staff, and the chairmen of those committees.

 "(b) Commission report. The Commission shall, not later than one year after the date of its first meeting, submit to 

the committees named in subsection (a) and to the Secretary of Defense and the Chairman of the Joint Chiefs of Staff a 

report setting forth the activities, findings, and recommendations of the Commission, including any recommendations 

for legislation that the Commission considers advisable.

 "(c) Action by Secretary of Defense. The Secretary of Defense, after consultation with the Chairman of the Joint 

Chiefs of Staff, shall submit comments on the Commission's report to the committees referred to in subsection (b) not 

later than 90 days following receipt of the report.

 "Sec. 955. Powers.

 "(a) Hearings. The Commission or, at its direction, any panel or member of the Commission, may, for the purpose of 

carrying out the provisions of this subtitle, hold hearings, sit and act at times and places, take testimony, receive evidence, and administer oaths to the extent that the Commission or any panel or member considers advisable.

 "(b) Information. The Commission may secure directly from the Department of Defense and any other Federal department or agency any information that the Commission considers necessary to enable the Commission to carry out its 

responsibilities under this subtitle. Upon request of the chairman of the Commission, the head of such department or

agency shall furnish such information expeditiously to the Commission.

 "Sec. 956. Commission procedures.

 "(a) Meetings. The Commission shall meet at the call of the chairman.

 "(b) Quorum.

 (1) Seven members of the Commission shall constitute a quorum, but a lesser number of members may hold 

hearings.

 "(2) The Commission shall act by resolution agreed to by a majority of the members of the Commission.

 "(c) Panels. The Commission may establish panels composed of less than the full membership of the Commission for 

the purpose of carrying out the Commission's duties. The actions of each such panel shall be subject to the review and 

control of the Commission. Any findings and determinations made by such a panel shall not be considered the findings 

and determinations of the Commission unless approved by the Commission.

 "(d) Authority of individuals to act for Commission. Any member or agent of the Commission may, if authorized by 

the Commission, take any action which the Commission is authorized to take under this subtitle.

 "Sec. 957. Personnel matters; expert services.

 "(a) Pay of members. Each member of the Commission shall be paid at a rate equal to the daily equivalent of the 

annual rate of basic pay payable for level V of the Executive Schedule under section 5316 of title 5, United States Code, 

for each day (including travel time) during which the member is engaged in the performance of the duties of the Commission. All members of the Commission who are officers or employees of the United States shall serve without pay in 

addition to that received for their services as officers or employees of the United States.

 "(b) Travel expenses. The members of the Commission shall be allowed travel expenses, including per diem in lieu 

of subsistence, at rates authorized for employees of agencies under subchapter I of chapter 57 of title 5, United States 

Code [5 USCS §§ 5701 et seq.], while away from their homes or regular places of business in the performance of services for the Commission.

 "(c) Staff.

 (1) The chairman of the Commission may, without regard to the provisions of title 5, United States Code, governing appointments in the competitive service, appoint a staff director and such additional personnel as may be necessary 

to enable the Commission to perform its duties. The appointment of a staff director shall be subject to the approval of 

the Commission.

 "(2) The chairman of the Commission may fix the pay of the staff director and other personnel without regard to 

the provisions of chapter 51 and subchapter III of chapter 53 of title 5, United States Code [5 USCS §§ 5100 et seq., 

5331 et seq.], relating to classification of positions and General Schedule pay rates, except that the rate of pay fixed 

under this paragraph for the staff director may not exceed the rate payable for level V of the Executive Schedule under 

section 5316 of such title and the rate of pay for other personnel may not exceed the maximum rate payable for grade 

GS-15 of the General Schedule [5 USCS § 5332].

 "(d) Detail of government employees. Upon request of the chairman of the Commission, the head of any Federal 

department or agency may detail, on a nonreimbursable basis, any personnel of that department or agency to the Commission to assist it in carrying out its duties.

 "(e) Procurement of temporary and intermittent services. The chairman of the Commission may procure temporary 

and intermittent services under section 3109(b) of title 5, United States Code, at rates for individuals which do not ex611 DCMA Administrative Record for FY 2013 Furlough Appeals
ceed the daily equivalent of the annual rate of basic pay payable for level V of the Executive Schedule under section 

5316 of such title.

 "(f) FFRDC support.

 (1) Upon the request of the chairman of the Commission, the Secretary of Defense shall make available to the 

Commission, without reimbursement, the services of any federally funded research and development center that is covered by a sponsoring agreement of the Department of Defense. The cost of the services made available under this subsection may not exceed $ 20,000,000.

 "(2) Notwithstanding any other provision of law, any analytic support or related services provided by such a center to the Commission shall not be subject to any overall ceiling established by this or any other Act on the activities or 

budgets of such centers.

 "Sec. 958. Miscellaneous administrative provisions.

 "(a) Postal and printing services. The Commission may use the United States mails and obtain printing and binding 

services in the same manner and under the same conditions as other departments and agencies of the Federal Government.

 "(b) Miscellaneous administrative and support services. The Secretary of Defense shall furnish the Commission, on a 

reimbursable basis, any administrative and support services requested by the Commission.

 "(c) Gifts. The Commission may accept, use, and dispose of gifts or donations of services or property.

 "(d) Travel. To the maximum extent practicable, the members and employees of the Commission shall travel on military aircraft, military ships, military vehicles, or other military conveyances when travel is necessary in the performance of a responsibility of the Commission, except that no such aircraft, ship, vehicle, or other conveyance may be 

scheduled primarily for the transportation of any such member or employee when the cost of commercial transportation 

is less expensive.

 "Sec. 959. Payment of Commission expenses.

 "The compensation, travel expenses, and per diem allowances of members and employees of the Commission shall 

be paid out of funds available to the Department of Defense for the payment of compensation, travel allowances, and 

per diem allowances, respectively, of civilian employees of the Department of Defense. The other expenses of the 

Commission shall be paid out of funds available to the Department of Defense for the payment of similar expenses incurred by that Department.

 "Sec. 960. Termination of the Commission.

 "The Commission shall terminate on the last day of the sixteenth month that begins after the date of its first meeting, 

but not earlier than 30 days after the date of the Secretary of Defense's submission of comments on the Commission's 

report.".

 Termination of Department of Defense reporting requirements determined by Secretary of Defense to be unnecessary or incompatible with efficient management of the Department of Defense. Act Nov. 30, 1993, P.L. 

103-160, Div A, Title XI, Subtitle F, § 1151, 107 Stat. 1758, provides:

 "(a) Termination of report requirements. Unless otherwise provided by a law enacted after the date of the enactment 

of this Act, each provision of law requiring the submittal to Congress (or any committee of Congress) of any report 

specified in the list submitted under subsection (b) shall, with respect to that requirement, cease to be effective on October 30, 1995.

 "(b) Preparation of list.

 (1) The Secretary of Defense shall submit to Congress a list of each provision of law that, as of the date specified 

in subsection (c), imposes upon the Secretary of Defense (or any other officer of the Department of Defense) a reporting 

requirement described in paragraph (2). The list of provisions of law shall include a statement or description of the report required under each such provision of law.

 "(2) Paragraph (1) applies to a requirement imposed by law to submit to Congress (or specified committees of 

Congress) a report on a recurring basis, or upon the occurrence of specified events, if the Secretary determines that the 

continued requirement to submit that report is unnecessary or incompatible with the efficient management of the Department of Defense.

 "(3) The Secretary shall submit with the list an explanation, for each report specified in the list, of the reasons 

why the Secretary considers the continued requirement to submit the report to be unnecessary or incompatible with the 

efficient management of the Department of Defense.

 "(c) Submission of list. The list under subsection (a) shall be submitted not later than April 30, 1994.

 "(d) Scope of section. For purposes of this section, the term 'report' includes a certification, notification, or other 

characterization of a communication.

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 "(e) Interpretation of section. This section does not require the Secretary of Defense to review each report required of 

the Department of Defense by law.".

 Armed Forces Commission on Roles and Missions; additional members. Act Oct. 5, 1994, P.L. 103-337, Div A, 

Title IX, Subtitle C, § 923(a)(3), (4), 108 Stat. 2830, provides:

 "(3) The additional members of the Commission on Roles and Missions of the Armed Forces authorized by the 

amendment made by paragraph (1) [amending § 952(b)(1) of Act Nov. 30, 1994, P.L. 103-160, which appears as a note 

to this section] shall be appointed by the Secretary of Defense not later than 30 days after the date of the enactment of 

this Act.

 "(4) At least one of the additional members of the Commission appointed pursuant to the amendment made by paragraph (1) [amending § 952(b)(1) of Act Nov. 30, 1994, P.L. 103-160, which appears as a note to this section] shall have 

previous military experience and management experience with the reserve components.".

 Redesignation of Advanced Research Projects Agency. Act Feb. 10, 1996, P.L. 104-106, Div A, Title IX, Subtitle A, § 908, 110 Stat. 406, provides:

 "(a) Redesignation. The agency in the Department of Defense known as the Advanced Research Projects Agency 

shall after the date of the enactment of this Act be designated as the Defense Advanced Research Projects Agency.

 "(b) References. Any reference in any law, regulation, document, record, or other paper of the United States or in any 

provision of this Act to the Advanced Research Projects Agency shall be considered to be a reference to the Defense 

Advanced Research Projects Agency.".

 Mission of the White House Communications Agency. Act Sept. 23, 1996, P.L. 104-201, Div A, Title IX, Subtitle 

A, § 912, 110 Stat. 9623; Jan. 6, 2006, P.L. 109-163, Div A, Title IX, Subtitle A, § 906, 119 Stat. 3402, provides:

 "(a) Telecommunications support and audiovisual support services. The Secretary of Defense shall ensure that the 

activities of the White House Communications Agency in providing support services on a nonreimbursable basis for the 

President from funds appropriated for the Department of Defense for any fiscal year are limited to the provision of telecommunications support and audiovisual support services to the President and Vice President and to related elements 

(as defined in regulations of that agency and specified by the President with respect to particular individuals within 

those related elements).

 "(b) Other support. Support services other than telecommunications and audiovisual support services described in 

subsection (a) may be provided by the Department of Defense for the President through the White House Communications Agency on a reimbursable basis.

 "(c) White House Communications Agency. For purposes of this section, the term 'White House Communications 

Agency' means the element of the Department of Defense within the Defense Communications Agency that is known 

on the date of the enactment of this Act as the White House Communications Agency and includes any successor agency.".

 Force structure review. Act Sept. 23, 1996, P.L. 104-201, Div A, Title IX, Subtitle B, §§ 921-926, 110 Stat. 2623, 

provide:

 "Sec. 921. Short title.

 "This subtitle may be cited as the 'Military Force Structure Review Act of 1996'.

 "Sec. 922. Findings.

 "Congress makes the following findings:

 "(1) Since the collapse of the Soviet Union in 1991, the United States has conducted two substantial assessments 

of the force structure of the Armed Forces necessary to meet United States defense requirements.

 "(2) The assessment by the Bush Administration (known as the 'Base Force' assessment) and the assessment by 

the Clinton Administration (known as the 'Bottom-Up Review') were intended to reassess the force structure of the 

Armed Forces in light of the changing realities of the post-Cold War world.

 "(3) Both assessments served an important purpose in focusing attention on the need to reevaluate the military 

posture of the United States, but the pace of global change necessitates a new, comprehensive assessment of the defense 

strategy of the United States and the force structure of the Armed Forces required to meet the threats to the United 

States in the twenty-first century.

 "(4) The Bottom-Up Review has been criticized on several points, including--

 "(A) the assumptions underlying the strategy of planning to fight and win two nearly simultaneous major regional conflicts;

 "(B) the force levels recommended to carry out that strategy; and

 "(C) the funding proposed for such recommended force levels.

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 "(5) In response to the recommendations of the Commission on Roles and Missions of the Armed Forces, the 

Secretary of Defense endorsed the concept of conducting a quadrennial review of the defense program at the beginning 

of each newly elected Presidential administration, and the Department intends to complete the first such review in 1997.

 "(6) The review is to involve a comprehensive examination of defense strategy, the force structure of the active, 

guard, and reserve components, force modernization plans, infrastructure, and other elements of the defense program 

and policies in order to determine and express the defense strategy of the United States and to establish a revised defense program through the year 2005.

 "(7) In order to ensure that the force structure of the Armed Forces is adequate to meet the challenges to the national security interests of the United States in the twenty-first century, to assist the Secretary of Defense in conducting 

the review referred to in paragraph (5), and to assess the appropriate force structure of the Armed Forces through the 

year 2010 and beyond (if practicable), it is important to provide for the conduct of an independent, nonpartisan review 

of the force structure that is more comprehensive than prior assessments of the force structure, extends beyond the 

quadrennial defense review, and explores innovative and forward-thinking ways of meeting such challenges.

 "Sec. 923. Quadrennial Defense Review.

 "(a) Requirement in 1997. The Secretary of Defense, in consultation with the Chairman of the Joint Chiefs of Staff, 

shall complete in 1997 a review of the defense program of the United States intended to satisfy the requirements for a 

Quadrennial Defense Review as identified in the recommendations of the Commission on Roles and Missions of the 

Armed Forces. The review shall include a comprehensive examination of the defense strategy, force structure, force 

modernization plans, infrastructure, budget plan, and other elements of the defense program and policies with a view 

toward determining and expressing the defense strategy of the United States and establishing a revised defense program 

through the year 2005.

 "(b) Involvement of National Defense Panel.

 (1) The Secretary shall apprise the National Defense Panel established under section 924, on an ongoing basis, of 

the work undertaken in the conduct of the review.

 "(2) Not later than March 14, 1997, the Chairman of the National Defense Panel shall submit to the Secretary the 

Panel's assessment of work undertaken in the conduct of the review as of that date and shall include in the assessment 

the recommendations of the Panel for improvements to the review, including recommendations for additional matters to 

be covered in the review.

 "(c) Assessments of review. Upon completion of the review, the Chairman of the Joint Chiefs of Staff and the 

Chairman of the National Defense Panel, on behalf of the Panel, shall each prepare and submit to the Secretary such 

Chairman's assessment of the review in time for the inclusion of the assessment in its entirety in the report under subsection (d).

 "(d) Report. Not later than May 15, 1997, the Secretary shall submit to the Committee on Armed Services of the 

Senate and the Committee on National Security of the House of Representatives a comprehensive report on the review. 

The report shall include the following:

 "(1) The results of the review, including a comprehensive discussion of the defense strategy of the United States 

and the force structure best suited to implement that strategy.

 "(2) The threats examined for purposes of the review and the scenarios developed in the examination of such 

threats.

 "(3) The assumptions used in the review, including assumptions relating to the cooperation of allies and mission-sharing, levels of acceptable risk, warning times, and intensity and duration of conflict.

 "(4) The effect on the force structure of preparations for and participation in peace operations and military operations other than war.

 "(5) The effect on the force structure of the utilization by the Armed Forces of technologies anticipated to be 

available by the year 2005, including precision guided munitions, stealth, night vision, digitization, and communications, and the changes in doctrine and operational concepts that would result from the utilization of such technologies.

 "(6) The manpower and sustainment policies required under the defense strategy to support engagement in conflicts lasting more than 120 days.

 "(7) The anticipated roles and missions of the reserve components in the defense strategy and the strength, capabilities, and equipment necessary to assure that the reserve components can capably discharge those roles and missions.

 "(8) The appropriate ratio of combat forces to support forces (commonly referred to as the 'tooth-to-tail' ratio) 

under the defense strategy, including, in particular, the appropriate number and size of headquarter units and Defense 

Agencies for that purpose.

 "(9) The air-lift and sea-lift capabilities required to support the defense strategy.

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 "(10) The forward presence, pre-positioning, and other anticipatory deployments necessary under the defense 

strategy for conflict deterrence and adequate military response to anticipated conflicts.

 "(11) The extent to which resources must be shifted among two or more theaters under the defense strategy in the 

event of conflict in such theaters.

 "(12) The advisability of revisions to the Unified Command Plan as a result of the defense strategy.

 "(13) Any other matter the Secretary considers appropriate.

 "Sec. 924. National Defense Panel.

 "(a) Establishment. Not later than December 1, 1996, the Secretary of Defense shall establish a nonpartisan, independent panel to be known as the National Defense Panel (in this section referred to as the 'Panel'). The Panel shall have 

the duties set forth in this section.

 "(b) Membership. The Panel shall be composed of a chairman and eight other individuals appointed by the Secretary, 

in consultation with the chairman and ranking member of the Committee on Armed Services of the Senate and the 

chairman and ranking member of the Committee on National Security of the House of Representatives, from among 

individuals in the private sector who are recognized experts in matters relating to the national security of the United 

States.

 "(c) Duties. The Panel shall--

 "(1) conduct and submit to the Secretary the assessment of the review under section 923 that is required by subsection (b)(2) of that section;

 "(2) conduct and submit to the Secretary the comprehensive assessment of the review that is required by subsection (c) of that section upon completion of the review; and

 "(3) conduct the assessment of alternative force structures for the Armed Forces required under subsection (d).

 "(d) Alternative force structure assessment.

 (1) The Panel shall submit to the Secretary an independent assessment of a variety of possible force structures of 

the Armed Forces through the year 2010 and beyond, including the force structure identified in the report on the review 

under section 923(d). The purpose of the assessment is to develop proposals for an 'above the line' force structure of the 

Armed Forces and to provide the Secretary and Congress recommendations regarding the optimal force structure to 

meet anticipated threats to the national security of the United States through the time covered by the assessment.

 "(2) In conducting the assessment, the Panel shall examine a variety of potential threats (including near-term 

threats and long-term threats) to the national security interests of the United States, including the following:

 "(A) Conventional threats across a spectrum of conflicts.

 "(B) The proliferation of weapons of mass destruction and the means of delivering such weapons, and the illicit 

transfer of technology relating to such weapons.

 "(C) The vulnerability of United States technology to nontraditional threats, including information warfare.

 "(D) Domestic and international terrorism.

 "(E) The emergence of a major potential adversary having military capabilities similar to those of the United 

States.

 "(F) Any other significant threat, or combination of threats, identified by the Panel.

 "(3) For purposes of the assessment, the Panel shall develop a variety of scenarios requiring a military response by 

the United States, including the following:

 "(A) Scenarios developed in light of the threats examined under paragraph (2).

 "(B) Scenarios developed in light of a continuum of conflicts ranging from a conflict of lesser magnitude than 

the conflict described in the Bottom-Up Review to a conflict of greater magnitude than the conflict so described.

 "(4) As part of the assessment, the Panel shall also--

 "(A) develop recommendations regarding a variety of force structures for the Armed Forces that permit the 

forward deployment of sufficient air, land, and sea-based forces to provide an effective deterrent to conflict and to permit a military response by the United States to the scenarios developed under paragraph (3);

 "(B) to the extent practicable, estimate the funding required by fiscal year, in constant fiscal year 1997 dollars, 

to organize, equip, and support the forces contemplated under the force structures assessed in the assessment; and

 "(C) comment on each of the matters also to be included by the Secretary in the report required by section 

923(d).

 "(e) Report.

 (1) Not later than December 1, 1997, the Panel shall submit to the Secretary a report setting forth the activities and 

the findings and recommendations of the Panel under subsection (d), including any recommendations for legislation that 

the Panel considers appropriate.

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 "(2) Not later than December 15, 1997, the Secretary shall, after consultation with the Chairman of the Joint 

Chiefs of Staff, submit to the committees referred to in subsection (b) a copy of the report under paragraph (1), together 

with the Secretary's comments on the report.

 "(f) Information from Federal agencies. The Panel may secure directly from the Department of Defense and any of 

its components and from any other Federal department and agency such information as the Panel considers necessary to 

carry out its duties under this section. The head of the department or agency concerned shall ensure that information 

requested by the Panel under this subsection is promptly provided.

 "(g) Personnel matters.

 (1) Each member of the Panel shall be compensated at a rate equal to the daily equivalent of the annual rate of 

basic pay prescribed for level IV of the Executive Schedule under section 5315 of title 5, United States Code, for each 

day (including travel time) during which such member is engaged in the performance of the duties of the Panel.

 "(2) The members of the Panel shall be allowed travel expenses, including per diem in lieu of subsistence, at rates 

authorized for employees of agencies under subchapter I of chapter 57 of title 5, United States Code [5 USCS §§ 5701 

et seq.], while away from their homes or regular places of business in the performance of services for the Panel.

 "(3)

 (A) The chairman of the Panel may, without regard to the civil service laws and regulations, appoint and terminate an executive director, and a staff of not more than four additional individuals, if the Panel determines that an 

executive director and staff are necessary in order for the Panel to perform its duties effectively. The employment of an 

executive director shall be subject to confirmation by the Panel.

 "(B) The chairman may fix the compensation of the executive director without regard to the provisions of 

chapter 51 and subchapter III of chapter 53 of title 5, United States Code [5 USCS §§ 5331 et seq.], relating to classification of positions and General Schedule pay rates, except that the rate of pay for the executive director may not exceed 

the rate payable for level V of the Executive Schedule under section 5316 of such title.

 "(4) Any Federal Government employee may be detailed to the Panel without reimbursement, and such detail 

shall be without interruption or loss of civil service status or privilege. The Secretary shall ensure that sufficient personnel are detailed to the Panel to enable the Panel to carry out its duties effectively.

 "(5) To the maximum extent practicable, the members and employees of the Panel shall travel on military aircraft, 

military ships, military vehicles, or other military conveyances when travel is necessary in the performance of a duty of 

the Panel, except that no such aircraft, ship, vehicle, or other conveyance may be scheduled primarily for the transportation of any such member or employee when the cost of commercial transportation is less expensive.

 "(h) Administrative provisions.

 (1) The Panel may use the United States mails and obtain printing and binding services in the same manner and 

under the same conditions as other departments and agencies of the Federal Government.

 "(2) The Secretary shall furnish the Panel any administrative and support services requested by the Panel.

 "(3) The Panel may accept, use, and dispose of gifts or donations of services or property.

 "(i) Payment of panel expenses. The compensation, travel expenses, and per diem allowances of members and employees of the Panel shall be paid out of funds available to the Department of Defense for the payment of compensation, 

travel allowances, and per diem allowances, respectively, of civilian employees of the Department. The other expenses 

of the Panel shall be paid out of funds available to the Department for the payment of similar expenses incurred by the 

Department.

 "(j) Termination. The Panel shall terminate 30 days after the date on which the Panel submits its report to the Secretary under subsection (e).

 "Sec. 925. Postponement of deadlines.

 "If the Presidential election in 1996 results in the election of a new President, each deadline set forth in this subtitle 

shall be postponed by three months.

 "Sec. 926. Definitions.

 "In this subtitle:

 "(1) The term ' above the line' force structure of the Armed Forces' means the force structure (including numbers, 

strengths, and composition and major items of equipment) for the Armed Forces at the following unit levels:

 "(A) In the case of the Army, the division.

 "(B) In the case of the Navy, the battle group.

 "(C) In the case of the Air Force, the wing.

 "(D) In the case of the Marine Corps, the expeditionary force.

 "(E) In the case of special operations forces of the Army, Navy, or Air Force, the major operating unit.

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 "(F) In the case of the strategic forces, the ballistic missile submarine fleet, the heavy bomber force, and the 

intercontinental ballistic missile force.

 "(2) The term 'Commission on Roles and Missions of the Armed Forces' means the Commission on Roles and 

Missions of the Armed Forces established by subtitle E of title IX of the National Defense Authorization Act for Fiscal 

Year 1994 (Public Law 103-160; 107 Stat. 1738; 10 U.S.C. 111 note).

 "(3) The term 'military operation other than war' means any operation other than war that requires the utilization 

of the military capabilities of the Armed Forces, including peace operations, humanitarian assistance operations and 

activities, counter-terrorism operations and activities, disaster relief activities, and counter-drug operations and activities.

 "(4) The term 'peace operations' means military operations in support of diplomatic efforts to reach long-term political settlements of conflicts and includes peacekeeping operations and peace enforcement operations.".

 Applicability of certain pay authorities to members of specified independent study organizations. Act Nov. 18, 

1997, P.L. 105-85, Div A, Title X, Subtitle G, § 1081, 111 Stat. 1916, provides:

 "(a) Applicability of certain pay authorities.

 (1) An individual who is a member of a commission or panel specified in subsection (b) and is an annuitant otherwise covered by section 8344 or 8468 of title 5, United States Code, by reason of membership on the commission or 

panel is not subject to the provisions of that section with respect to such membership.

 "(2) An individual who is a member of a commission or panel specified in subsection (b) and is a member or former member of a uniformed service is not subject to the provisions of subsections (b) and (c) of section 5532 of such 

title with respect to membership on the commission or panel.

 "(b) Specified entities. Subsection (a) applies--

 "(1) effective as of September 23, 1996, to members of the National Defense Panel established by section 924 of 

the National Defense Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2626) [note to this section]; and

 "(2) effective as of October 9, 1996, to members of the Commission on Servicemembers and Veterans Transition 

Assistance established by section 701 of the Veterans' Benefits Improvements Act of 1996 (Public Law 104-275; 110 

Stat. 3346; 38 U.S.C. 545 note).".

 Prohibition on restriction of Armed Forces under Kyoto Protocol to the United Nations Framework Convention on Climate Change. Act Oct. 17, 1998, P.L. 105-261, Div A, Title XII, Subtitle D, § 1232, 112 Stat. 2155, provides:

 "(a) In general. Notwithstanding any other provision of law, no provision of the Kyoto Protocol to the United Nations Framework Convention on Climate Change, or any regulation issued pursuant to such protocol, shall restrict the 

training or operations of the United States Armed Forces or limit the military equipment procured by the United States 

Armed Forces.

 "(b) Waiver. A provision of law may not be construed as modifying or superseding the provisions of subsection (a) 

unless that provision of law--

 "(1) specifically refers to this section; and

 "(2) specifically states that such provision of law modifies or supersedes the provisions of this section.

 "(c) Matters not affected. Nothing in this section shall be construed to preclude the Department of Defense from implementing any measure to achieve efficiencies or for any other reason independent of the Kyoto Protocol.".

 Commission on National Military Museum. Act Oct. 5, 1999, P.L. 106-65, Div B, Title XXIX, 113 Stat. 881; Dec. 

28, 2001, P.L. 107-107, Div A, Title X, Subtitle E, § 1048(g)(9), 115 Stat. 1228 (effective 10/5/99, and as if included in 

Act Oct. 5, 1999 as enacted, as provided by § 1048(g) of the 2001 Act), provides:

 "Sec. 2901. Establishment.

 "(a) Establishment. There is hereby established a commission to be known as the 'Commission on the National Military Museum' (in this title referred to as the 'Commission').

 "(b) Composition.

 (1) The Commission shall be composed of 11 voting members appointed from among individuals who have an 

expertise in military or museum matters as follows:

 "(A) Five shall be appointed by the President.

 "(B) Two shall be appointed by the Speaker of the House of Representatives, in consultation with the chairman 

of the Committee on Armed Services of the House of Representatives.

 "(C) One shall be appointed by the minority leader of the House of Representatives, in consultation with the 

ranking member of the Committee on Armed Services of the House of Representatives.

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 "(D) Two shall be appointed by the majority leader of the Senate, in consultation with the chairman of the 

Committee on Armed Services of the Senate.

 "(E) One shall be appointed by the minority leader of the Senate, in consultation with the ranking member of 

the Committee on Armed Services of the Senate.

 "(2) The following shall be nonvoting members of the Commission:

 "(A) The Secretary of Defense.

 "(B) The Secretary of the Army.

 "(C) The Secretary of the Navy.

 "(D) The Secretary of the Air Force.

 "(E) The Secretary of Transportation.

 "(F) The Secretary of the Smithsonian Institution.

 "(G) The Chairman of the National Capital Planning Commission.

 "(H) The Chairperson of the Commission of Fine Arts.

 "(c) Chairman. The President shall designate one of the individuals first appointed to the Commission under subsection (b)(1)(A) as the chairman of the Commission.

 "(d) Period of appointment; vacancies. Members shall be appointed for the life of the Commission. Any vacancy in 

the Commission shall be filled in the same manner as the original appointment.

 "(e) Initial organization requirements.

 (1) All appointments to the Commission shall be made not later than 90 days after the date of the enactment of 

this Act.

 "(2) The Commission shall convene its first meeting not later than 60 days after the date as of which all members 

of the Commission have been appointed.

 "Sec. 2902. Duties of Commission.

 "(a) Study of National Military Museum. The Commission shall conduct a study in order to make recommendations 

to Congress regarding an authorization for the construction of a national military museum in the National Capital Area.

 "(b) Study elements. In conducting the study, the Commission shall do the following:

 "(1) Determine whether existing military museums, historic sites, and memorials in the United States are adequate--

 "(A) to provide in a cost-effective manner for display of, and interaction with, adequately visited and adequately preserved artifacts and representations of the Armed Forces and of the wars in which the United States has been 

engaged;

 "(B) to honor the service to the United States of the active and reserve members of the Armed Forces and the 

veterans of the United States;

 "(C) to educate current and future generations regarding the Armed Forces and the sacrifices of members of the 

Armed Forces and the Nation in furtherance of the defense of freedom; and

 "(D) to foster public pride in the achievements and activities of the Armed Forces.

 "(2) Determine whether adequate inventories of artifacts and representations of the Armed Forces and of the wars 

in which the United States has been engaged are available, either in current inventories or in private or public collections, for loan or other provision to a national military museum.

 "(3) Develop preliminary proposals for--

 "(A) the dimensions and design of a national military museum in the National Capital Area;

 "(B) the location of the museum in that Area; and

 "(C) the approximate cost of the final design and construction of the museum and of the costs of operating the 

museum.

 "(c) Additional duties. If the Commission determines to recommend that Congress authorize the construction of a 

national military museum in the National Capital Area, the Commission shall also, as a part of the study under subsection (a), do the following:

 "(1) Recommend not fewer than three sites for the museum ranked by preference.

 "(2) Propose a schedule for construction of the museum.

 "(3) Assess the potential effects of the museum on the environment, facilities, and roadways in the vicinity of the 

site or sites where the museum is proposed to be located.

 "(4) Recommend the percentages of funding for the museum to be provided by the United States, State and local 

governments, and private sources, respectively.

 "(5) Assess the potential for fundraising for the museum during the 20-year period following the authorization of 

construction of the museum.

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 "(6) Assess and recommend various governing structures for the museum, including a governing structure that 

places the museum within the Smithsonian Institution.

 "(d) Requirements for location on Navy Annex property. In the case of a recommendation under subsection (c)(1) to 

authorize construction of a national military museum on the Navy Annex property authorized for reservation for such 

purpose by section 2881(b) [unclassified], the design of the national military museum on such property shall be subject 

to the following requirements:

 "(1) The design shall be prepared in consultation with the Superintendent of Arlington National Cemetery.

 "(2) The design may not provide for access by vehicles to the national military museum through Arlington National Cemetery.

 "Sec. 2903. Report.

 "The Commission shall, not later than 12 months after the date of its first meeting, submit to Congress a report on its 

findings and conclusions under this title, including any recommendations under section 2902.

 "Sec. 2904. Powers.

 "(a) Hearings. The Commission or, at its direction, any panel or member of the Commission, may, for the purpose of 

carrying out the provisions of this title, hold hearings, sit and act at times and places, take testimony, receive evidence, 

and administer oaths to the extent that the Commission or any panel or member considers advisable.

 "(b) Information. The Commission may secure directly from the Department of Defense and any other Federal department or agency information that the Commission considers necessary to enable the Commission to carry out its responsibilities under this title.

 "Sec. 2905. Commission procedures.

 "(a) Meetings. The Commission shall meet at the call of the chairman.

 "(b) Quorum.

 (1) Six of the members appointed under section 2901(b)(1) shall constitute a quorum other than for the purpose of 

holding hearings.

 "(2) The Commission shall act by resolution agreed to by a majority of the members of the Commission.

 "(c) Commission. The Commission may establish panels composed of less than full membership of the Commission 

for the purpose of carrying out the Commission's duties. The actions of each such panel shall be subject to the review 

and control of the Commission. Any findings and determinations made by such a panel shall not be considered the 

findings and determinations of the Commission unless approved by the Commission.

 "(d) Authority of individuals to act for Commission. Any member or agent of the Commission may, if authorized by 

the Commission, take any action which the Commission is authorized to take under this title.

 "Sec. 2906. Personnel matters.

 "(a) Pay of members. Members of the Commission appointed under section 2901(b)(1) shall serve without pay by 

reason of their work on the Commission.

 "(b) Travel expenses. The members of the Commission shall be allowed travel expenses, including per diem in lieu 

of subsistence, at rates authorized for employees of agencies under subchapter I of chapter 57 of title 5, United States 

Code [5 USCS § 5701 et seq.], while away from their homes or regular places of business in the performance of services for the Commission.

 "(c) Staff.

 (1) The chairman of the Commission may, without regard to the provisions of title 5, United States Code, governing appointments in the competitive service, appoint a staff director and such additional personnel as may be necessary 

to enable the Commission to perform its duties. The appointment of a staff director shall be subject to the approval of 

the Commission.

 "(2) The chairman of the Commission may fix the pay of the staff director and other personnel without regard to 

the provisions of chapter 51 and subchapter III of chapter 53 of title 5, United States Code [5 USCS §§ 5100 et seq., 

5331 et seq.], relating to classification of positions and General Schedule pay rates, except that the rate of pay fixed 

under this paragraph for the staff director may not exceed the rate payable for level V of the Executive Schedule under 

section 5316 of such title and the rate of pay for other personnel may not exceed the maximum rate payable for grade 

GS-15 of the General Schedule.

 "(d) Detail of Government employees. Upon request of the chairman of the Commission, the head of any Federal 

department or agency may detail, on a nonreimbursable basis, any personnel of that department or agency to the Commission to assist it in carrying out its duties.

 "(e) Procurement of temporary and intermittent services. The chairman of the Commission may procure temporary 

and intermittent services under section 3109(b) of title 5, United States Code, at rates for individuals which do not ex619 DCMA Administrative Record for FY 2013 Furlough Appeals
ceed the daily equivalent of the annual rate of basic pay payable for level V of the Executive Schedule under section 

5316 of such title.

 "Sec. 2907. Miscellaneous administrative provisions.

 "(a) Postal and printing services. The Commission may use the United States mails and obtain printing and binding 

services in the same manner and under the same conditions as other departments and agencies of the United States.

 "(b) Miscellaneous administrative and support services. The Secretary of Defense shall furnish the Commission, on a 

reimbursable basis, any administrative and support services requested by the Commission.

 "Sec. 2908. Funding.

 "(a) In general. Funds for activities of the Commission shall be provided from amounts appropriated for the Department of Defense for operation and maintenance for Defense-wide activities for fiscal year 2000.

 "(b) Request. Upon receipt of a written certification from the chairman of the Commission specifying the funds required for the activities of the Commission, the Secretary of Defense shall promptly disburse to the Commission, from 

such amounts, the funds required by the Commission as stated in such certification.

 "(c) Availability of certain funds. Of the funds available for activities of the Commission under this section, $ 

2,000,000 shall be available for the activities, if any, of the Commission under section 2902(c).

 "Sec. 2909. Termination of commission.

 "The Commission shall terminate 60 days after the date of the submission of its report under section 2903.".

 Commission on Review of Overseas Military Facility Structure of the United States. Act Nov. 22, 2003, P.L. 

108-132, § 128, 117 Stat. 1382; Oct. 13, 2004, P.L. 108-324, Div A, § 127, 118 Stat. 1229, provides:

 "(a) Commission on Review of Overseas Military Facility Structure of the United States.

 (1) There is established the Commission on the Review of the Overseas Military Facility Structure of the United 

States (in this section referred to as the 'Commission').

 "(2)

 (A) The Commission shall be composed of eight members of whom--

 "(i) two shall be appointed by the Majority Leader of the Senate;

 "(ii) two shall be appointed by the Minority Leader of the Senate;

 "(iii) two shall be appointed by the Speaker of the House of Representatives; and

 "(iv) two shall be appointed by the Minority Leader of the House of Representatives.

 "(B) Individuals appointed to the Commission shall have significant experience in the national security or foreign policy of the United States.

 "(C) Appointments of the members of the Commission shall be made not later than 45 days after the date of the 

enactment of this Act.

 "(3) Members shall be appointed for the life of the Commission. Any vacancy in the Commission shall not affect 

its powers, but shall be filled in the same manner as the original appointment.

 "(4) Not later than 30 days after the date on which all members of the Commission have been appointed, the 

Commission shall hold its first meeting.

 "(5) The Commission shall meet at the call of the Chairman.

 "(6) A majority of the members of the Commission shall constitute a quorum, but a lesser number of members 

may hold hearings.

 "(7) The Commission shall select a Chairman and Vice Chairman from among its members.

 "(b) Duties.

 (1) The Commission shall conduct a thorough study of matters relating to the military facility structure of the 

United States overseas.

 "(2) In conducting the study, the Commission shall--

 "(A) assess the number of forces required to be forward based outside the United States;

 "(B) examine the current state of the military facilities and training ranges of the United States overseas for all 

permanent stations and deployed locations, including the condition of land and improvements at such facilities and 

ranges and the availability of additional land, if required, for such facilities and ranges;

 "(C) identify the amounts received by the United States, whether in direct payments, in-kind contributions, or 

otherwise, from foreign countries by reason of military facilities of the United States overseas;

 "(D) assess whether or not the current military basing and training range structure of the United States overseas 

is adequate to meet the current and future mission of the Department of Defense, including contingency, mobilization, 

and future force requirements;

 "(E) assess the feasibility and advisability of the closure or realignment of military facilities of the United 

States overseas, or of the establishment of new military facilities of the United States overseas; and

620 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(F) consider or assess any other issue relating to military facilities of the United States overseas that the 

Commission considers appropriate.

 "(3)

 (A) Not later than August 15, 2005, the Commission shall submit to the President and Congress a report which 

shall contain a detailed statement of the findings and conclusions of the Commission, together with its recommendations for such legislation and administrative actions as it considers appropriate.

 "(B) In addition to the matters specified in subparagraph (A), the report shall also include a proposal by the 

Commission for an overseas basing strategy for the Department of Defense in order to meet the current and future mission of the Department.

 "(c) Powers.

 (1) The Commission may hold such hearings, sit and act at such times and places, take such testimony, and receive such evidence as the Commission considers advisable to carry out this section.

 "(2) The Commission may secure directly from any Federal department or agency such information as the Commission considers necessary to carry out this section. Upon request of the Chairman of the Commission, the head of 

such department or agency shall furnish such information to the Commission.

 "(3) Upon request of the Commission, the Administrator of General Services shall provide to the Commission, on 

a reimbursable basis, the administrative support necessary for the Commission to carry out its duties under this section.

 "(4) The Commission may use the United States mails in the same manner and under the same conditions as other 

departments and agencies of the Federal Government.

 "(5) The Commission may accept, use, and dispose of gifts or donations of services or property.

 "(d) Personnel Matters.

 (1) Each member of the Commission who is not an officer or employee of the Federal Government shall be compensated at a rate equal to the daily equivalent of the annual rate of basic pay prescribed for level IV of the Executive 

Schedule under section 5315 of title 5, United States Code, for each day (including travel time) during which such 

member is engaged in the performance of the duties of the Commission under this section. All members of the Commission who are officers or employees of the United States shall serve without compensation in addition to that received 

for their services as officers or employees of the United States.

 "(2)

 (A) Members of the Commission shall be allowed travel expenses, including per diem in lieu of subsistence, at 

rates authorized for employees of agencies under subchapter I of chapter 57 of title 5, United States Code [5 USCS §§ 

5701 et seq.], while away from their homes or regular places of business in the performance of services for the Commission under this section.

 "(B) Members and staff of the Commission may receive transportation on military aircraft to and from the 

United States, and overseas, for purposes of the performance of the duties of the Commission to the extent that such 

transportation will not interfere with the requirements of military operations.

 "(3)

 (A) The Chairman of the Commission may, without regard to the civil service laws and regulations, appoint 

and terminate an executive director and such other additional personnel as may be necessary to enable the Commission 

to perform its duties under this section. The employment of an executive director shall be subject to confirmation by the 

Commission.

 "(B) The Commission may employ a staff to assist the Commission in carrying out its duties. The total number 

of the staff of the Commission, including an executive director under subparagraph (A), may not exceed 12.

 "(C) The Chairman of the Commission may fix the compensation of the executive director and other personnel 

without regard to chapter 51 and subchapter III of chapter 53 of title 5, United States Code [5 USCS §§ 5101 et seq. and 

5331 et seq.], relating to classification of positions and General Schedule pay rates, except that the rate of pay for the 

executive director and other personnel may not exceed the rate payable for level V of the Executive Schedule under 

section 5316 of such title.

 "(4) Any employee of the Department of Defense, the Department of State, or the General Accounting Office 

[Government Accountability Office] may be detailed to the Commission without reimbursement, and such detail shall 

be without interruption or loss of civil service status or privilege.

 "(5) The Chairman of the Commission may procure temporary and intermittent services under section 3109(b) of 

title 5, United States Code, at rates for individuals which do not exceed the daily equivalent of the annual rate of basic 

pay prescribed for level V of the Executive Schedule under section 5316 of such title.

 "(e) Security.

621 DCMA Administrative Record for FY 2013 Furlough Appeals
 (1) Members and staff of the Commission, and any experts and consultants to the Commission, shall possess security clearances appropriate for their duties with the Commission under this section.

 "(2) The Secretary of Defense shall assume responsibility for the handling and disposition of any information relating to the national security of the United States that is received, considered, or used by the Commission under this 

section.

 "(f) Termination. The Commission shall terminate 45 days after the date on which the Commission submits its report 

under subsection (b).

 "(g) Funding.

 (1) Of the amount appropriated by this Act, $ 3,000,000 shall be available to the Commission to carry out this 

section.

 "(2) The amount made available by paragraph (1) shall remain available, without fiscal year limitation, until September 2005.".

 Interagency policy coordination. Act Jan. 28, 2008, P.L. 110-181, Div A, Title IX, Subtitle F, § 952, 122 Stat. 291, 

provides:

 "(a) Plan required. Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall 

develop and submit to Congress a plan to improve and reform the Department of Defense's participation in and contribution to the interagency coordination process on national security issues.

 "(b) Elements. The elements of the plan shall include the following:

 "(1) Assigning either the Under Secretary of Defense for Policy or another official to be the lead policy official 

for improving and reforming the interagency coordination process on national security issues for the Department of Defense, with an explanation of any decision to name an official other than the Under Secretary and the relative advantages and disadvantages of such decision.

 "(2) Giving the official assigned under paragraph (1) the following responsibilities:

 "(A) To be the lead person at the Department of Defense for the development of policy affecting the national 

security interagency process.

 "(B) To serve, or designate a person to serve, as the representative of the Department of Defense in Federal 

Government forums established to address interagency policy, planning, or reforms.

 "(C) To advocate, on behalf of the Secretary, for greater interagency coordination and contributions in the execution of the National Security Strategy and particularly specific operational objectives undertaken pursuant to that 

strategy.

 "(D) To make recommendations to the Secretary of Defense on changes to existing Department of Defense 

regulations or laws to improve the interagency process.

 "(E) To serve as the coordinator for all planning and training assistance that is--

 "(i) designed to improve the interagency process or the capabilities of other agencies to work with the Department of Defense; and

 "(ii) provided by the Department of Defense at the request of other agencies.

 "(F) To serve as the lead official in Department of Defense for the development of deployable joint interagency 

task forces.

 "(c) Factors to be considered. In drafting the plan, the Secretary of Defense shall also consider the following factors:

 "(1) How the official assigned under subsection (b)(1) shall provide input to the Secretary of Defense on an ongoing basis on how to incorporate the need to coordinate with other agencies into the establishment and reform of combatant commands.

 "(2) How such official shall develop and make recommendations to the Secretary of Defense on a regular or an 

ongoing basis on changes to military and civilian personnel to improve interagency coordination.

 "(3) How such official shall work with the combatant command that has the mission for joint warfighting experimentation and other interested agencies to develop exercises to test and validate interagency planning and capabilities.

 "(4) How such official shall lead, coordinate, or participate in after-action reviews of operations, tests, and exercises to capture lessons learned regarding the functioning of the interagency process and how those lessons learned will 

be disseminated.

 "(5) The role of such official in ensuring that future defense planning guidance takes into account the capabilities 

and needs of other agencies.

 "(d) Recommendation on changes in law. The Secretary of Defense may submit with the plan or with any future 

budget submissions recommendations for any changes to law that are required to enhance the ability of the official assigned under subsection (b)(1) in the Department of Defense to coordinate defense interagency efforts or to improve the 

ability of the Department of Defense to work with other agencies.

622 DCMA Administrative Record for FY 2013 Furlough Appeals
 "(e) Annual report. If an official is named by the Secretary of Defense under subsection (b)(1), the official shall annually submit to Congress a report, beginning in the fiscal year following the naming of the official, on those actions 

taken by the Department of Defense to enhance national security interagency coordination, the views of the Department 

of Defense on efforts and challenges in improving the ability of agencies to work together, and suggestions on changes 

needed to laws or regulations that would enhance the coordination of efforts of agencies.

 "(f) Definition. In this section, the term 'interagency coordination', within the context of Department of Defense involvement, means the coordination that occurs between elements of the Department of Defense and engaged Federal 

Government agencies for the purpose of achieving an objective.

 "(g) Construction. Nothing in this provision shall be construed as preventing the Secretary of Defense from naming 

an official with the responsibilities listed in subsection (b) before the submission of the report required under this section.".

 Military activities in cyberspace. Act Dec. 31, 2011, P.L. 112-81, Div A, Title IX, Subtitle F, § 954, 125 Stat. 

1551, provides:

 "Congress affirms that the Department of Defense has the capability, and upon direction by the President may conduct offensive operations in cyberspace to defend our Nation, Allies and interests, subject to--

 "(1) the policy principles and legal regimes that the Department follows for kinetic capabilities, including the law 

of armed conflict; and

 "(2) the War Powers Resolution (50 U.S.C. 1541 et seq.).".

NOTES:

Related Statutes & Rules:

 This section is referred to in 10 USCS § 2304.

 

Research Guide:

Am Jur: 

 53 Am Jur 2d, Military and Civil Defense § 4.

Interpretive Notes and Decisions:

Arrestees' Bivens claims failed on summary judgment because Army investigators had qualified immunity based on 

their observation of arrestees removing government goods in plain view from warehouse to private residence, investigators' conduct was objective and reasonable, and 18 USCS § 1385 was inapplicable in that investigators had arrest 

powers under P.R. Laws Ann. tit. 34, app. II, R. 11, and 10 USCS § 111(b)(6). Aviles v Dep't of Army (2009, DC 

Puerto Rico) 666 F Supp 2d 224.

623 DCMA Administrative Record for FY 2013 Furlough Appeals
§ 752.401 

Subpart D-Regulatory Requirements for Removal, Suspension for More Than 14 Days, 

Reduction in Grade or Pay, or 

Furlough for 30 Days or Less 

§752.401 Coverage. 

{a) Adverse actions covered. This subpart applies to the following actions: 

(1} Removals; 

(2) Suspensions for more than 14 

days, including indefinite suspensions; 

(3) Reductions in grade; 

(4J Reductions in pay; and 

(5) Furloughs of 30 days or less. 

(b) Actions excluded. This subpart 

does not apply to: 

(1) An action imposed by the Merit 

Systems Protection Board under the 

authority of 5 U.S.C. 1215; 

(2) The reduction in grade of a supervisor or manager who has not completed the probationary period under 5 

U .S.C. 3321(a)(2) if such a reduction is 

to the grade held immediately before 

becoming a supervisor or manager: 

(3) A reduction-in-force action under 

5 u.s.c. 3502; 

(4) A reduction in grade or removal 

under 5 U.S.C. 4303; 

(5) An action against an administrative law judge under 5 U.S.C. 7521; 

(6) A suspension or removal under 5 

u.s.c. 7532; 

(7) Actions taken under any other 

provision of law which excepts the action from subchapter II of chapter 75 of 

title 5, United States Code; 

(8) Action that entitles an employee 

to grade retention under part 536 of 

this chapter, and an action to terminate this entitlement; 

{9) A voluntary action by the em- ployee; 

(10) Action taken or directed by the 

Office of Personnel Management under 

part 731 of this chapter; 

{11) Termination of appointment on 

the expiration date specified as a basic 

condition of employment at the time 

the appointment was made; 

(12) Action that terminates a temporary or term promotion and returns 

the employee to the position from 

which temporarily promoted, or to a 

different position of equivalent grade 

and pay, if the agency informed the 

employee that it was to be of limited 

duration; 

66 

5 CFR Ch. I (1-1-12 Edition) 

(13) Cancellation of a promotion to a position not classified prior to the promotion; 

(14) Placement of an employee servIng on an intermittent or seasonal 

basis in a temporary nonduty, nonpay 

status in accordance with conditions 

established at the time of appointment; 

oc 

(15) Reduction of an employee's rate 

of basic pay from a rate that is contrary to law or regulation, including a reduction necessary to comply with the 

amendments made by Public Law 108-

411, regarding pay-setting under the 

General Schedule and Federal Wage 

System and regulations implementing 

those amendments. 

(C) Employees covered. This subpart covers: 

(1) A career or career conditional em- ployee in the competitive service who 

Is not serving a probationary or trial 

period; 

{2) An employee in the competitive 

service who has completed 1 year of 

current continuous service under other 

than a temporary appointment limited 

to 1 year or less: 

(3) An employee in the excepted service who is a preference eligible in an Executive agency as defined at section 

105 of title 5, United States Code, the 

U.S. Postal Service, or the Postal Regulatory Commission and who hall completed 1 year of current continuous 

service in the same or similar posi- tions; 

(4) A Postal Service employee covered by Public Law 100--90 who has completed 1 year of current continuous 

service in the same or similar positions 

and who is either a supervisory or management employee or an employee engaged in personnel work in other than 

a purely nonconfidential clerical ca- pacity; 

(5) An employee in the excepted servIce who is a nonpreference eligible in 

an Executive agency as defined at section 10.5 of title, .5, United States Code, 

and who has completed 2 years of current continuous service in the same or simtlar positions under other than a 

temporary appointment limited to 2 

years or less; 

(6) An employee with competitive 

status who occupies a position In 

Schedule B of part 213 of this chapter; 

624 DCMA Administrative Record for FY 2013 Furlough Appeals
Office of Personnel Management 

{7) An employee who was in the com- petitive service at the time his or her 

position was first listed under Schedule 

A. B, or C of the excepted service and 

who still occupies that position; 

(8) An employee of the Department of 

Veterans Affairs appointed under sec- tion 7401(3) of title 38, United States 

Code; and 

(9) An employee of the Government 

Printing Office. 

(d) Employees excluded. This subpart 

does not apply to: 

{1} An employee whose appointment 

is made by and with the advice and 

consent of the Senate; 

(2) An employee whose position has 

been detennined to be of a confidential, policy-determining, policy-making, or policy-advocating character by 

the President for a position that the 

President has excepted from the com- petitive service; the Office of Personnel 

Management for a position that the Office has excepted from the competitive 

service <Schedule Cl; or the President or the head of an agency for a position 

excepted from the competitive service 

by statute; 

(3) A Presidential appointee; 

(4) A reemployed annuitant; 

(5} A technician In the National 

Guard described in section 8337(hJUJ of 

title 5, United States Code, who is em- ployed under section 709(al of title 32, 

United States Code; 

(6) A Foreign Service member as described in section 103 of the Foreign 

Service Act of 1980: 

{7) An employee of the Central Intelligence Agency or the Government Accountability Office: 

(8) An employee of the Veterans 

Health Administration {Department of 

Veterans Affairs) In a position which 

has been excluded from the competitive service by or under a provision of 

title 38, United States Code, unless the 

employee was appointed to the position 

under section 7401(3) of title 38, United 

States Code; 

(9) A nonpreference eligible employee 

with the U.S. Postal Service, the Postal Regulatory Commission, the Pan- ama Canal Commission, the Tennessee 

Valley Authority, the Federal Bureau 

of Investigation, the National Security 

Agency, the Defense Intelligence Agency, or any other Intelligence campo67 

§752.402 

nent of the Department of Defense (as 

defined in section 1614 of title 10, 

United States Code), or an intelligence 

activity of a m1litary department cov- ered under subchapter I of chapter 83 of 

title 10, United States Code; 

(10) An employee described in section 

5102(c)(ll) of title 5, United States 

Code, who is an alien or noncitizen oc- cupying a position outside the United 

States; 

(11) A nonpreference eligible em- ployee serving a probationary or trial 

period under an initial appointment in 

the excepted service pending conver- sion to the competitive service, unless 

he or she meets the requirements of 

paragraph (c){5) of this section; 

(12) An employee whose agency or position has been excluded from the appointing provisions of title 5, United 

States Code, bY separate statutory au- thority in the absence of any provision 

to place the employee within the cov- erage of chapter 75 of title 5, United 

States Code; and 

(13) An employee in the competitive 

service serving a probationary or trial 

period, unless he or she meets the re- quirements of paragraph (c){2) of this 

section. 

§752.402 Definitions. 

In this subpartCurrent continuous employment means a period of employment or service immediately preceding an adverse action 

without a break in Federal civilian em- ployment of a workday. 

Day means a calendar day. 

Furlough means the placing of an em- ployee in a temporary status without 

duties and pay because of lack of work or funds or other nondlsciplinary rea- sons. 

Grade means a level of classification 

under a position classification system. 

Indefinite suspension means the placing of an employee in a temporary status without duties and pay pending investigation. Inquiry, or further agency 

action. The indefinite suspension con- tinues for an indeterminate period of 

time and ends with the occurrence of 

the pending conditions set forth in the 

notice of action which may include the 

completion of any subsequent administrative action. 

625 DCMA Administrative Record for FY 2013 Furlough Appeals
§752.403 

Pay means the rate of basic pay fixed 

by law or administrative action for the 

position held by the employee, that is. 

the rate of pay before anY deductions 

and exclusive of additional pay of any 

kind. 

Similar positions means positions In 

which the duties performed are similar 

in nature and character and require 

substantially the same or similar 

qualifications. so that the incumbent 

could be interchanged between the positions without significant training or undue interruption to the work. S!~.Spension means the placing of an employee, for disciplinary reasons, in a 

temporary status without duties and 

pay for more than 14 days. 

~ 752.403 Standanl for action. 

(a) An agency may take an adverse 

action. including a performance-based 

adverse action or an indefinite suspension. under this subpart only for such cause as will promote the efficiency of 

the service. 

(b) An agency may not take an ad- verse action against an employee on the basis of any reason prohibited by 5 

u.s.a. 2ao2. 

§ 752.404 Procedures. 

(a) Statutory entitlements. An em- ployee against whom action is proposed 

under this subpart is entitled to the 

procedures provided in 5 u.s.a. 7513(b). 

(b) Notice of proposed action. (1) An 

employee against whom an action is 

proposed is entitled to at least 30 days' 

advance written notice unless there is an exception pursuant to paragraph (d) 

of this section. The notice must state 

the specific reason(s) for the proposed 

action, and inform the employee of his 

or her right to review the material 

which is relied on to support the rea- sons for action given in the notice. 

(2) When some but not all employees 

in a given competitive level are being 

furloughed, the notice of proposed ac- tion must state the basis for selecting a particular employee for furlough, as 

well as the reasons for the furlough. 

(3) Under ordinary circumstances, an employee whose removal or suspension, 

including indefinite suspension, has 

been proposed will remain in a duty 

status in his or her regular position 

during the advance notice period. In 

68 

5 CFR Ch. I (1-1-12 Edition) 

those rare circumstances where the 

agency determines that the employee's 

continued presence in the workplace 

during the notice period may pose a threat to the employee or others, re- sult in loss of or damage to Government property, or otherwise jeopardize 

legitimate Government interests, the 

agency may elect one or a combination 

of the following alternatives: 

(1) Assigning the employee to duties 

where he or she Is no longer a threat to 

safety, the agency mission, or to Government property; 

(!i) Allowing the employee to take 

leave, or carrying him or her in an appropriate leave status (annual, sick, 

leave without pay, or absence without 

leave) if the employee has absented 

himself or herself from the worksite 

without requesting leave; 

(iii) Curtailing the notice period 

when the agency can invoke the provisions of paragraph {d)(l) of this section; 

" (iv) Placing the employee in a paid, 

nonduty status for such time as is nec- essary to effect the action. 

(c) Employee's answer. (1) An em- ployee may answer orally and in writing except as provided in paragraph 

(C)(2) of this section. The agency must 

give the employee a reasonable amount 

of official time to review the material 

relied on to support its proposed ac- tion, to prepare an answer orally and 

In writing, and to secure affidavits, if 

the employee is in an active duty status. The agency may require the em- ployee to furnish any answer to the 

proposed action, and affidavits and 

other documentary evidence in support 

of the answer, within such time as would be reasonable, but not less than 

7 days. 

(2) The agency will designate an official to hear the employee's oral answer who has authority either to make or recommend a final decision on the proposed adverse action. The right to an- swer orally in person does not include 

the right to a formal hearing with ex- amination of witnesses unless the 

agency provides for such hearing in its 

regulations. Under 5 U.S.C. 7513(c), the 

agency may, in its regulations, provide a hearing in place of or in addition to 

the opportunity for written and oral 

answer. 

626 DCMA Administrative Record for FY 2013 Furlough Appeals
Office of Personnel Management 

(3) If the employee wishes the agency 

to consider any medical condition 

which may contribute to a conduct, 

performance, or leave problem, the employee must be given a reasonable time 

to furnish medical documentation (as 

defined in § 339.104 of this chapter} of 

the condition. Whenever possible, the 

employee will supply such documentation within the time limits allowed for an answer. 

(d) Exceptions. (l) Section 7513(b) of 

title 5, U.S. Code, authorizes an exception to the 30 days' advance written no- tice when the agency has reasonable cause to believe that the employee has 

committed a crime for which a sen- tence of Imprisonment may be Imposed 

and is proposing a removal or suspension, Including indefinite suspension. 

This notice exception Is commonly re- ferred to as the "crime provision." 

This provision may be invoked even In 

the absence of judicial action. 

(2J The advance written notice and 

opportunity to answer are not required 

for furlough without pay due to unforeseeable circumstances, such as sudden 

breakdowns in equipment, acts of God, or sudden emergencies requiring immediate curtailment of activities. 

(e) Representation. Section 7513(b)(3) 

of title 5, U.S. Code. provides that an employee covered by this part is entitled to be represented by an attorney or other representative. An agency 

may disallow as an employee's representative an individual whose activities as representative would cause a conflict of interest or position, or an employee of the agency whose release 

from his or her official position would 

give rise to unreasonable costs or whose priority work assignments preclude his or her release. 

{0 Agency review of medical information. When medical information Is supplied by the employee pursuant to 

paragraph (c)(3) of this section, the 

agency may, If authorized, require a medical examination under the criteria 

of §339.301 of this chapter, or otherwise, 

at its option. offer a medical examination in accordance with the criteria of 

§ 339.302 of this chapter. If the employee 

has the requisite years of service under 

the Civil Service Retirement System or the Federal Employees' Retirement 

System, the agency must provide infor69 

§752.406 

mation concerning disability retirement. The agency must be aware of the 

affirmative obligations of the provisions of 29 CFR 1614.203, which require 

reasonable accommodation of a qualified Individual with a disability. 

(g) Agency decision. (1) In arriving at 

its decision, the agency will consider 

only the reasons specified in the notice 

of proposed action and any answer of 

the employee or his or her representative, or both, made to a designated official and any medical documentation 

reviewed under paragraph (f) of this 

section. 

(2) The notice must specify In writing 

the reasons for the decision and advise 

the employee of any appeal or grievance rights under § 752.405 of this part. 

The agency must deliver the notice of 

decision to the employee on or before 

the effective date of the action. 

(h) Applications for disability retirement. Section 83Ll204(e) of this chapter 

provides that an employee's application for disability retirement need not 

delay any other appropriate personnel 

action. Section 831.1205 and §844.202 of 

this chapter set forth the basis under 

which an agency must file an application for disability retirement on behalf 

of an employee. 

§752.405 Appeal and grievance rights. 

(a) Appeal rights. Under the provisions of 5 U.S.C. 7513(d), an employee 

against whom an action is taken under 

this subpart Is entitled to appeal to the 

Merit Systems Protection Board. 

(b) Grievance rights. As provided at 5 

U.S.C. 712l(e)(l), if a matter covered by 

this subpart falls within the coverage 

of an applicable negotiated grievance 

procedure, an employee may elect to 

file a grievance under that procedure or appeal to the Merit Systems Protection Board under 5 U.S.C. 7701, but not 

both. Sections 7114(aJ(5J and 

712l(bl0)(Cl of title 5, U.S. Code, and 

the terms of an applicable collective 

bargaining agreement, govern representation for employees in an exclusive bargaining unit who grieve a matter under this subpart through the ne- gotiated grievance procedure. 

§752.406 Agency records. 

The agency must maintain copies of, 

and will furnish to the Merit Systems 

627 DCMA Administrative Record for FY 2013 Furlough Appeals
§752.601 

Protection Board and to the employee 

upon his or her request, the following 

documents: 

(aJ Notice of the proposed action: 

(b) Employee's written reply, if any; 

(c) summary of the employee's oral 

reply, if any: 

(d) Notice of decision; and 

(e) Any order effecting the action, together with any supporting material. 

Subpart E [Reserved} 

Subpart F-Regulatory Requirements for Taking Adverse Action Under the Senior Executive Service 

§752.601 Coverage. 

(a) Adverse actions covered. This subpart applies to suspensions for more than 14 days and removals from the 

civil service as set forth in 5 U.S.C. 

7542. 

(bl Actions excl11ded. (1) An agency 

may not take a suspension action of 14 

days or less. 

(2) This subpart does not apply to ac- tions taken under 5 U.S.C. 1215. 3592, 

3595, or 7532. 

(c) Employees covered. This subpart 

covers the following appointees: 

(1) A career appointee-

(!) Who has completed the probationary period in the Senior Executive 

Service; 

(iiJ Who is not required to serve a probationary period in the Senior Executive Service; or (iii) Who was covered under 5 U.S.C. 

7511 immediately before appointment 

to the Senior Executive Service. 

(2) A limited term or limited emer- gency appointee-

(i) Who received the Umited appointment without a break in service in the same agency as the one In which the 

employee held a career or career-conditional appointment (or an appointment 

of equivalent tenure as determined by 

the Office of Personnel Management) 

in a permanent civil service position 

outside the Senior Executive Service; 

=• (ii) Who was covered under 5 U.S.C. 

7511 immediately before appointment 

to the Senior Executive Service. 

70 

5 CFR Ch. I (1-1-12 Edition) 

(d) Employees excluded. This subpart 

does not cover an appointee who Is 

serving as a reemployed annuitant. 

§752.6()2 Definitions. 

In this subpartCareer appointee, limited term appointee, and limited emergency appointee 

have the meaning given in 5 U.S.C. 

3132(a). 

DaY means calendar day. 

Suspension has the meaning given in 5 

u.s.c. 7501(2). 

§752.603 Standard for action. 

(a) An agency may take an adverse 

action under this subpart only for rea- sons of misconduct, neglect of duty, 

malfeasance, or failure to accept a directed reassignment or to accompany a position in a transfer of function. 

(b) An agency may not take an ad- verse action under this subpart on the 

basts of any reason prohibited by 5 

u.s.c. 2302. 

~ 752.604 ProceduJ:"es. 

(a) Stat11tory entitlements. An appointee against whom action is proposed under this subpart is entitled to 

the procedures provided in 5 U.S.C. 

7543(b). 

(b) Notice of proposed action. (1) An appointee against whom an action is proposed is entitled to at least 30 days' ad- vance written notice unless there is an exception pursuant to paragraph (d) of 

this section. The notice must state the 

specific reason(s) for the proposed action. and inform the appointee of his or her right to review the material that is 

relied on to support the reasons for ac- tion given in the notice. 

(2) Under ordinary circumstances. an appointee whose removal has been proposed will remain in a duty status in 

his or her regular position during the 

advance notice period. In those rare circumstances where the agency determines that the appointee's continued 

presence in the work place during the 

notice period may pose a threat to the 

appointee or others, result in loss of or damage to Government property, or otherw·tse jeopardize legitimate Government Interests, the agency may 

elect o-ne or a combination of the following alternatives: 

628 DCMA Administrative Record for FY 2013 Furlough Appeals
§359.801 

in application of paragraph (d)(l) of 

this section. 

(4) When an employee's saved rate be- comes equal to or lower than the max- imum payable rate of basic pay for the 

grade or level of the employee's position. the employee Is entitled to the 

maximum payable rate, and saved pay 

under this section ceases to apply, 

(e) When an employee receiving a saved rate established under this sec- tion Is covered by a pay system that 

provides different basic pay schedules 

based on geographic location (such as the General Schedule pay system), the 

saved rate must be adjusted in conjunction with a change in the employee's 

official worksite consistent with the 

geographic conversion rule for retained 

rates under 5 CFR 536.303(b). 

(f) A saved rate established under 

this section must be terminated lf-

(1) The employee has a break In serv- ice of 1 workday or more; 

(2) The employee is demoted based on unacceptable performance or conduct or at the employee's request; or (3) The employee becomes entitled to a rate of basic pay that is equal to or higher than the saved rate. 

(g) If an employee is receiving a saved rate establlshed under this sec- tion on May 1, 2005 (when section 301 of 

Pub. L. 106--411 took effect), any localtty payment under 5 U.S.C. 5304 formerly paid in addition to the employee's saved rate no longer applles as of 

that date. Any locality-adjusted saved 

rate in effect and payable on April 30. 

2005, must be converted to an equal 

saved rate effective on May 1, 2005. If 

the employee received no locality payment because of a pay limitation, no conversion under this paragraph is re- quired. 

[70 FR 31286. May 31, 2005. as amended at 73 

FR 66151, Nov. 7. 2008] 

Subpart H-Furloughs in the Senior 

Executive Service 

AUTHORITY; 5 U.S.C. 3133 and 3136. 

SOURCE; 48 FR 11925. Mar. 2, 1983. unless 

otherwise noted. 

§359.801 Agency authority. 

This subpart sets the conditions 

under which an agency may furlough 

S CFR Ch. I (1-1-11 Edition) 

career appointees in the Senior Executive Service. The furlough of a non- career, limited term, or limited emer- gency appointee Is not subject to this 

subpart. The furlough of a reemployed 

annuitant holding a career appointment also is not subject to the subpart. 

§359.802 Definitions. 

For the purpose of this subpart, furlough means the placing of an ap. 

polntee in a temporary status without 

duties and pay because of lack of work or funds or other nondisclplinary rea- sons. 

§359.803 Competition. 

Any furlough for more than 30 calendar days, or for more than 22 workdays if the furlough does not cover con- secutive calendar days, shall be made 

under competitive procedures established by the agency. The procedures 

shall be made known to the SES mem- bers In the agency. 

[48 FR ll925. Mar. 2. 1983. as amended at 60 

FR 6389, Feb. 2, 1995] 

~ 359.804 Length of furlough. 

A furlough may not extend more than one year. It may be made only 

when the agency intends to recall the 

appointee within one year. 

§359.805 Appeals. 

A career appointee who has been furloughed and who believes this subpart or the agency's procedures have not 

been correctly applied may appeal to 

the Merit Systems Protection Board 

under provisions of the Board's regulations. 

§359.806 Notice. 

(a) An appointee is entitled to a 30 

days' advance written notice of a furlough. The full notice period may be 

shortened, or waived, only In the event 

of unforseeable circumstances, such as sudden emergencies requiring Immediate curtailment of activities. 

(bl The written notice shall advise 

the appointee of: 

(1) The reason for the agency decision 

to take the furlough action. 

(2) The expected duration of the furlough and the effective dates; 

324 

629 DCMA Administrative Record for FY 2013 Furlough Appeals
Office of Personnel Management 

(3) The basis for selecting the appointee for furlough when some but not 

all Senior Executive Service appointees in a given organizational nnit are being furloughed; 

(4) The reason If the notice period Is 

less than 30 days; 

(5) The place where the appointee 

may Inspect the regulations and 

records pertinent to the action; and 

(6) The appointee's appeal rights. Including the time limit for the appeal 

and the location of the Merit Systems 

Protection Board office to which the 

appeal should be sent. 

§359.807 Records. 

The agency shall preserve all records 

relating to an action under this subpart for at least one year from the effective date of the action. 

Subpart 1-Removal of Noncareer 

and Limited Appointees and 

Reemployed Annuitants 

§359,901 Coverage. 

(a) This subpart covers the removal 

from the SES of-

(1) A noncareer appointee; 

(2) A limited emergency or a limited 

term appointee; and 

(3) A reemployed annuitant holding 

any type of appointment under the 

SES. 

(b) Coverage does not include, how- ever. a limited emergency or a limited 

tenn appointee who Is being removed 

for disciplinary reasons and who Is cov- ered by 5 CFR 752.601(C)(2). 

§359.902 Conditions of removal. 

(a) Authority. The agency may re- move an appointee subject to this subpart at any time. 

(b) Notice. The agency shall notify 

the appointee in writing before the effective date of the removal. 

(C) Placement right..s. An appointee 

covered by this subpart is not entitled 

to the placement rights provided for career appointees under subpart G of 

this part. 

(d) Appeals. Actions taken under this 

subpart are not appealable to the Merit 

Systems Protection Board under 5 u.s.a. 7701. 

§362.101 

PART 362-PRESIDENTIAL MANAGEMENT FELLOWS PROGRAM 

Subpart A--Dellnlllans 

Sec. 

362.101 Definitions. 

Subpart B-Program Administration 

362.201 Agency program.~. 

362.202 Announcement. nomination. and se- lection. 

362.203 Appointment and extensions. 

362.204 Development. evaluation. promotion. and certification. 

362.205 Waiver. 

362.206 Movement between departments or agencies. 

362.207 Withdrawal and readmission. 

362.208 Resignation. termination. reduction 

in force, and appeal rights. 

362.209 Placement upon completion. 

352.210 Transition. 

AUTHORITY: E.O. 13318 Of Nov. 21, 2003, 3 

CFR, 2003 Camp., p. 265. 

SOURCE: 7() FR 28780, May 19. 2005, unless 

otherwise noted. 

Subpart A-Definitions 

§362.101 Definitions. 

For purposes of this part, 

An agency means a component within 

the Executive Office of the President, or an Executive department, Government corporation, or independent es- tablishment as defined in 5 U.S,C. 101, 

103, and 104, respectively. 

An Executive Resources Board (ERE) 

has the same meaning as specified in 

§317.501(a) of this chapter; in those 

agencies that are not required to have an ERB pursuant to that section. it means the senior agency official or officials who have been given executive resource management and oversight re- sponsib1lity by the agency head. 

A Presidential Management Fellow or 

Fellow Is an Individual appointed, at 

the GS-9, GS--11, or GS--12 level (or 

equivalent). in the excepted service 

under §213.3102(11) of this chapter, or nnder an agency-specific authority if 

the agency is excepted from the com- petitive service. The individual must 

have completed a graduate course of 

study at a qualifying college or university, received the nomination of the 

dean or academic director, successfully 

325 

630 DCMA Administrative Record for FY 2013 Furlough Appeals