(5) Expansion of the authority of the Physical 
Disability Board of Review to include review of the 
separation of members of the Armed Forces on the 
basis of a mental condition not amounting to dis-
ability, including separation on the basis of a per-
sonality or adjustment disorder, is warranted in 
order to ensure that any veteran wrongly separated 
on such basis will have the ability to access disability 
benefits and employment opportunities available to 
veterans. 
SEC. 3. REVIEW BY PHYSICAL DISABILITY BOARD OF RE-
VIEW OF MILITARY SEPARATION ON BASIS OF 
A MENTAL CONDITION NOT AMOUNTING TO 
DISABILITY. 
(a) MEMBERS ENTITLED TO REVIEW BY PHYSICAL 
DISABILITY BOARD OF REVIEW.—Section 1554a of title 
10, United States Code, is amended— 
(1) in subsection (a)(1), by striking ‘‘disability 
determinations of covered individuals by Physical 
Evaluation Boards’’ and inserting ‘‘disability and 
separation determinations regarding certain mem-
bers and former members of the armed forces de-
scribed in subsection (b)’’; and 
(2) by striking subsection (b) and inserting the 
following new subsection: 
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‘‘(b) COVERED INDIVIDUALS.—For purposes of this 
section, covered individuals are members and former mem-
bers of the armed forces who— 
‘‘(1) during the period beginning on September 
11, 2001, and ending on December 31, 2014, are 
separated from the armed forces due to unfitness for 
duty because of a medical condition with a disability 
rating of 20 percent disabled or less and are found 
to be not eligible for retirement; or 
‘‘(2) before December 31, 2014, are separated 
from the armed forces due to unfitness for duty be-
cause of a mental condition not amounting to dis-
ability, including separation on the basis of a per-
sonality disorder or adjustment disorder.’’. 
(b) NATURE AND SCOPE OF REVIEW.—Such section 
is further amended— 
(1) by redesignating subsections (d), (e), and 
(f) as subsections (e), (f), and (g), respectively; and 
(2) by inserting after subsection (c) the fol-
lowing new subsection (d): 
‘‘(d) REVIEW OF SEPARATIONS DUE TO UNFITNESS 
FOR DUTY BECAUSE OF A MENTAL CONDITION NOT 
AMOUNTING TO DISABILITY.—(1) Upon the request of a 
covered individual described in paragraph (2) of sub-
section (b), or a surviving spouse, next of kin, or legal 
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representative of a covered individual described in such 
paragraph, the Physical Disability Board of Review shall 
review the findings and decisions of the Physical Evalua-
tion Board with respect to such covered individual. In ad-
dition, the Physical Disability Board of Review may re-
view, upon its own motion, the findings and decisions of 
the Physical Evaluation Board with respect to a covered 
individual described in such paragraph. 
‘‘(2) Whenever a review is conducted under para-
graph (1), the members of the Physical Disability Board 
of Review must include at least one licensed psychologist 
and one licensed psychiatrist who has not had any fidu-
ciary responsibility to the Department of Defense since 
December 31, 2001. 
‘‘(3) In conducting the review under paragraph (1), 
the Physical Disability Board of Review shall consider— 
‘‘(A) the findings of the psychologist or psychia-
trist of the Department of Defense who diagnosed 
the mental condition; 
‘‘(B) the findings and decisions of the separa-
tion authority with respect to the covered individual; 
and 
‘‘(C) whether the separation authority correctly 
followed the process for separation as set forth in 
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law, including Department of Defense regulations, 
directives, and policies. 
‘‘(4) The review by the Physical Disability Board of 
Review under paragraph (1) shall be based on the records 
of the Department of Defense and the Department of Vet-
erans Affairs and such other evidence as may be presented 
to the Physical Disability Board of Review. The board 
shall consider any and all evidence to be considered, in-
cluding private mental health records submitted by the 
covered individual in support of the claim. 
‘‘(5) If the Physical Disability Board of Review pro-
poses, upon its own motion, to conduct a review under 
paragraph (1) with respect to a covered individual, the 
board shall notify the covered individual, or a surviving 
spouse, next of kin, or legal representative of the covered 
individual, of the proposed review and obtain the consent 
of the covered individual or a surviving spouse, next of 
kin, or legal representative of the covered individual before 
proceeding with the review. 
‘‘(6) After the Physical Disability Board of Review 
has completed the review under this subsection with re-
spect to the separation of a covered individual, the board 
must provide the claimant with a statement of reasons 
concerning the board’s decision. The covered individual 
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has the right to raise with the board a motion for reconsid-
eration if— 
‘‘(A) new evidence can be presented that would 
address the issues raised in the board’s statement of 
reasons; or 
‘‘(B) the board has made a plain error in mak-
ing its recommendation.’’. 
(c) CORRECTION
OF
MILITARY
RECORDS.—Sub-
section (f) of such section, as redesignated by subsection 
(b)(1), is amended to read as follows: 
‘‘(f) CORRECTION OF MILITARY RECORDS.—(1) The 
Secretary of the military department concerned shall cor-
rect the military records of a covered individual in accord-
ance with the recommendation made by the Physical Dis-
ability Board of Review under subsection (e) unless the 
Secretary determines that the board has made a clearly 
erroneous recommendation. Any such correction shall be 
made effective as of the date of the separation of the cov-
ered individual. 
‘‘(2) In the case of a covered individual previously 
separated with a lump-sum or other payment of back pay 
and allowances at separation, the amount of pay or other 
monetary benefits to which such individual would be enti-
tled based on the individual’s military record as corrected 
shall be adjusted to take into account receipt of such 
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lump-sum or other payment in such manner as the Sec-
retary of the military department concerned considers ap-
propriate. 
‘‘(3) If the Physical Disability Board of Review 
makes a recommendation not to correct the military 
records of a covered individual, the action taken on the 
report of the Physical Evaluation Board to which such rec-
ommendation relates shall be treated as final as of the 
date of such action.’’. 
(d) CONFORMING AMENDMENTS.—Such section is 
further amended— 
(1) in subsection (c)— 
(A) by inserting after ‘‘REVIEW’’ the fol-
lowing: ‘‘OF SEPARATIONS DUE TO UNFITNESS 
FOR DUTY BECAUSE OF MEDICAL CONDITION 
WITH A LOW DISABILITY RATING’’; and 
(B) in paragraph (1)— 
(i) by inserting ‘‘described in para-
graph (1) of subsection (b)’’ after ‘‘a cov-
ered individual’’ the first place it appears; 
(ii) by inserting ‘‘described in such 
paragraph’’ after ‘‘a covered individual’’ 
the second place it appears; and 
(iii) by striking the second sentence 
and inserting the following new sentence: 
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‘‘In addition, the Physical Disability Board 
of Review may review, upon its own mo-
tion, the findings and decisions of the 
Physical Evaluation Board with respect to 
a covered individual described in such 
paragraph.’’; and 
(2) in subsection (e), as redesignated by sub-
section (b)(1), by striking ‘‘under subsection (c)’’ 
and inserting ‘‘conducted under subsection (c) or 
(d)’’. 
(e) NOTIFICATION OF NEW AVAILABILITY OF RE-
VIEW.— 
(1) NOTIFICATION REQUIREMENT.—In the case 
of individuals described in subsection (b)(2) of sec-
tion 1554a of title 10, United States Code, as 
amended by subsection (a), who have been separated 
from the Armed Forces during the period beginning 
on September 11, 2001, and ending on the date of 
the enactment of this Act or who are separated after 
that date, the Secretary of Defense shall ensure, to 
the greatest extent practicable, that such individuals 
receive oral and written notification of their right to 
a review of their separation from the Armed Forces 
under such section 1554a. 
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(2) COMPLIANCE.—The Secretary of the mili-
tary department with jurisdiction over the Armed 
Force in which the individual served immediately be-
fore separation shall be responsible for providing to 
the individual the notification required by paragraph 
(1). The Secretary of Defense shall monitor compli-
ance with this notification requirement and promptly 
notify Congress of any failures to comply. 
(3) LEGAL
COUNSEL.—The notification re-
quired by paragraph (1) shall— 
(A) inform the individual of the right to 
obtain legal or non-legal counsel to represent 
the individual before the Physical Disability 
Board of Review; and 
(B) include a list of organizations that 
may provide such counsel at no cost to the indi-
vidual. 
(f) CLERICAL AMENDMENTS.— 
(1) SECTION HEADING.—The heading of such 
section is amended to read as follows: 
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‘‘§ 1554a. Physical Disability Board of Review: review 
of separations with disability rating of 20 
percent or less and separations on basis 
of mental condition not amounting to dis-
ability’’. 
(2) TABLE OF SECTIONS.—The table of sections 
at the beginning of chapter 79 of such title is 
amended by striking the item relating to section 
1554a and inserting the following new item: 
‘‘1554a. Physical Disability Board of Review: review of separations with dis-
ability rating of 20 percent or less and separations on basis of 
mental condition not amounting to disability.’’. 
Æ 
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