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PART IV—OTHER MATTERS
SEC. 1641. JOINT ELECTRONIC HEALTH RECORD FOR THE
DEPARTMENT OF DEFENSE AND DEPART-
MENT OF VETERANS AFFAIRS.
(a) IN GENERAL.—The Secretary of Defense and the
Secretary of Veterans Affairs shall jointly—
(1) develop and implement a joint electronic
health record for use by the Department of Defense
and the Department of Veterans Affairs; and
(2) accelerate the exchange of health care infor-
mation between the Department of Defense and the
Department of Veterans Affairs in order to support
the delivery of health care by both Departments.
(b) DEPARTMENT OF DEFENSE-DEPARTMENT OF VET-
ERANS AFFAIRS INTERAGENCY PROGRAM OFFICE FOR A
JOINT ELECTRONIC HEALTH RECORD.—
(1) IN GENERAL.—There is hereby established a
joint element of the Department of Defense and the
Department of Veterans Affairs to be known as the
‘‘Department of Defense-Department of Veterans Af-
fairs Interagency Program Office for a Joint Elec-
tronic Health Record’’ (in this section referred to as
the ‘‘Office’’).
(2) PURPOSES.—The purposes of the Office shall
be as follows:
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(A) To act as a single point of account-
ability for the Department of Defense and the
Department of Veterans Affairs in the rapid de-
velopment, test, and implementation of a joint
electronic health record for use by the Depart-
ment of Defense and the Department of Veterans
Affairs.
(B) To accelerate the exchange of health
care information between Department of Defense
and the Department of Veterans Affairs in order
to support the delivery of health care by both De-
partments.
(c) LEADERSHIP.—
(1) DIRECTOR.—The Director of the Department
of Defense-Department of Veterans Affairs Inter-
agency Program Office for a Joint Electronic Health
Record shall be the head of the Office.
(2) DEPUTY DIRECTOR.—The Deputy Director of
the Department of Defense-Department of Veterans
Affairs Interagency Program Office for a Joint Elec-
tronic Health Record shall be the deputy head of the
office and shall assist the Director in carrying out the
duties of the Director.
(3) APPOINTMENTS.—(A) The Director shall be
appointed by the Secretary of Defense, with the con-
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currence of the Secretary of Veterans Affairs, from
among employees of the Department of Defense and
the Department of Veterans Affairs in the Senior Ex-
ecutive Service who are qualified to direct the develop-
ment and acquisition of major information technology
capabilities.
(B) The Deputy Director shall be appointed by
the Secretary of Veterans Affairs, with the concur-
rence of the Secretary of Defense, from among employ-
ees of the Department of Defense and the Department
of Veterans Affairs in the Senior Executive Service
who are qualified to direct the development and ac-
quisition of major information technology capabili-
ties.
(4) ADDITIONAL GUIDANCE.—In addition to the
direction, supervision, and control provided by the
Secretary of Defense and the Secretary of Veterans Af-
fairs, the Office shall also receive guidance from the
Department of Veterans Affairs-Department of De-
fense Joint Executive Committee under section 320 of
title 38, United States Code, in the discharge of the
functions of the Office under this section.
(5) TESTIMONY.—Upon request by any of the ap-
propriate committees of Congress, the Director and
the Deputy Director shall testify before such com-
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mittee regarding the discharge of the functions of the
Office under this section.
(d) FUNCTION.—The function of the Office shall be to
develop and prepare for deployment, by not later than Sep-
tember 30, 2010, a joint electronic health record to be uti-
lized by both the Department of Defense and the Depart-
ment of Veterans Affairs in the provision of medical care
and treatment to members of the Armed Forces and vet-
erans, which health record shall comply with applicable
interoperability standards, implementation specifications,
and certification criteria (including for the reporting of
quality measures) of the Federal Government.
(e) SCHEDULES AND BENCHMARKS.—Not later than
30 days after the date of the enactment of this Act, the Sec-
retary of Defense and the Secretary of Veterans Affairs shall
jointly establish a schedule and benchmarks for the dis-
charge by the Office of its function under this section, in-
cluding each of the following:
(1) A schedule for the establishment of the Office.
(2) A schedule and deadline for the establishment
of the requirements for the joint electronic health
record described in subsection (d), including coordina-
tion with the Office of the National Coordinator for
Health Information Technology in the development of
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a nationwide interoperable health information tech-
nology infrastructure.
(3) A schedule and associated deadlines for any
acquisition and testing required in the development
and deployment of the joint electronic health record.
(4) A schedule and associated deadlines and re-
quirements for the deployment of the joint electronic
health record.
(5) Proposed funding for the Office for each of
fiscal years 2009 through 2013 for the discharge of its
function.
(f) PILOT PROJECTS.—
(1) AUTHORITY.—In order to assist the Office in
the discharge of its function under this section, the
Secretary of Defense and the Secretary of Veterans Af-
fairs may, acting jointly, carry out one or more pilot
projects to assess the feasability and advisability of
various technological approaches to the achievement of
the joint electronic health record described in sub-
section (d).
(2) TREATMENT AS SINGLE HEALTH CARE SYS-
TEM.—For purposes of each pilot project carried out
under this subsection, the health care system of the
Department of Defense and the health care system of
the Department of Veterans Affairs shall be treated as
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a single health care system for purposes of the regula-
tions promulgated under section 264(c) of the Health
Insurance Portability and Accountability Act of 1996
(42 U.S.C. 1320d–2 note).
(g) STAFF AND OTHER RESOURCES.—
(1) IN GENERAL.—The Secretary of Defense and
the Secretary of Veterans Affairs shall assign to the
Office such personnel and other resources of the De-
partment of Defense and the Department of Veterans
Affairs as are required for the discharge of its func-
tion under this section.
(2) ADDITIONAL SERVICES.—Subject to the ap-
proval of the Secretary of Defense and the Secretary
of Veterans Affairs, the Director may utilize the serv-
ices of private individuals and entities as consultants
to the Office in the discharge of its function under
this section. Amounts available to the Office shall be
available for payment for such services.
(h) ANNUAL REPORTS.—
(1) IN GENERAL.—Not later than January 1,
2009, and each year thereafter through 2014, the Di-
rector shall submit to the Secretary of Defense and the
Secretary of Veterans Affairs, and to the appropriate
committees of Congress, a report on the activities of
the Office during the preceding calendar year. Each
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report shall include, for the year covered by such re-
port, the following:
(A) A detailed description of the activities
of the Office, including a detailed description of
the amounts expended and the purposes for
which expended.
(B) An assessment of the progress made by
the Department of Defense and the Department
of Veterans Affairs in the development and im-
plementation of the joint electronic health record
described in subsection (d).
(2) AVAILABILITY TO PUBLIC.—The Secretary of
Defense and the Secretary of Veterans Affairs shall
make available to the public each report submitted
under paragraph (1), including by posting such re-
port on the Internet website of the Department of De-
fense and the Department of Veterans Affairs, respec-
tively, that is available to the public.
(i) COMPTROLLER GENERAL ASSESSMENT OF IMPLE-
MENTATION.—Not later than six months after the date of
the enactment of this Act and every six months thereafter
until the completion of the implementation of the joint elec-
tronic health record described in subsection (d), the Comp-
troller General of the United States shall submit to the ap-
propriate committees of Congress a report setting forth the
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assessment of the Comptroller General of the progress of the
Department of Defense and the Department of Veterans Af-
fairs in developing and implementing the joint electronic
health record.
(j) FUNDING.—
(1) IN GENERAL.—The Secretary of Defense and
the Secretary of Veterans Affairs shall each contribute
equally to the costs of the Office in fiscal year 2008
and fiscal years thereafter. The amount so contributed
by each Secretary in fiscal year 2008 shall be up to
$10,000,000.
(2) SOURCE OF FUNDS.—(A) Amounts contrib-
uted by the Secretary of Defense under paragraph (1)
shall be derived from amounts authorized to be appro-
priated for the Department of Defense for the Defense
Health Program and available for program manage-
ment and technology resources.
(B) Amounts contributed by the Secretary of Vet-
erans Affairs under paragraph (1) shall be derived
from amounts authorized to be appropriated for the
Department of Veterans Affairs for Medical Care and
available for program management and technology re-
sources.
(k) JOINT ELECTRONIC HEALTH RECORD DEFINED.—
In this section, the term ‘‘joint electronic health record’’
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means a single system that includes patient information
across the continuum of medical care, including inpatient
care, outpatient care, pharmacy care, patient safety, and
rehabilitative care.
SEC. 1642. ENHANCED PERSONNEL AUTHORITIES FOR THE
DEPARTMENT 
OF 
DEFENSE 
FOR 
HEALTH
CARE PROFESSIONALS FOR CARE AND TREAT-
MENT OF WOUNDED AND INJURED MEMBERS
OF THE ARMED FORCES.
(a) IN GENERAL.—Section 1599c of title 10, United
States Code, is amended to read as follows:
‘‘§ 1599c. Health care professionals: enhanced ap-
pointment and compensation authority
for personnel for care and treatment of
wounded and injured members of the
armed forces
‘‘(a) IN GENERAL.—The Secretary of Defense may, in
the discretion of the Secretary, exercise any authority for
the appointment and pay of health care personnel under
chapter 74 of title 38 for purposes of the recruitment, em-
ployment, and retention of civilian health care professionals
for the Department of Defense if the Secretary determines
that the exercise of such authority is necessary in order to
provide or enhance the capacity of the Department to pro-
vide care and treatment for members of the armed forces
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who are wounded or injured on active duty in the armed
forces and to support the ongoing patient care and medical
readiness, education, and training requirements of the De-
partment of Defense.
‘‘(b) RECRUITMENT OF PERSONNEL.—(1) The Secre-
taries of the military departments shall each develop and
implement a strategy to disseminate among appropriate
personnel of the military departments authorities and best
practices for the recruitment of medical and health profes-
sionals, including the authorities under subsection (a).
‘‘(2) Each strategy under paragraph (1) shall—
‘‘(A) assess current recruitment policies, proce-
dures, and practices of the military department con-
cerned to assure that such strategy facilitates the im-
plementation of efficiencies which reduce the time re-
quired to fill vacant positions for medical and health
professionals; and
‘‘(B) clearly identify processes and actions that
will be used to inform and educate military and civil-
ian personnel responsible for the recruitment of med-
ical and health professionals.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of chapter 81 of such title is amended by
striking the item relating to section 1599c and inserting
the following new item:
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‘‘1599c. Health care professionals: enhanced appointment and compensation au-
thority for personnel for care and treatment of wounded and in-
jured members of the armed forces.’’.
(c) REPORTS ON STRATEGIES ON RECRUITMENT OF
MEDICAL AND HEALTH PROFESSIONALS.—Not later than
six months after the date of the enactment of this Act, each
Secretary of a military department shall submit to the con-
gressional defense committees a report setting forth the
strategy developed by such Secretary under section 1599c(b)
of title 10, United States Code, as added by subsection (a).
SEC. 1643. PERSONNEL SHORTAGES IN THE MENTAL
HEALTH WORKFORCE OF THE DEPARTMENT
OF DEFENSE, INCLUDING PERSONNEL IN THE
MENTAL HEALTH WORKFORCE.
(a) RECOMMENDATIONS ON MEANS OF ADDRESSING
SHORTAGES.—
(1) REPORT.—Not later than 45 days after the
date of the enactment of this Act, the Secretary of De-
fense shall submit to the Committees on Armed Serv-
ices of the Senate and the House of Representatives a
report setting forth the recommendations of the Sec-
retary for such legislative or administrative actions
as the Secretary considers appropriate to address
shortages in health care professionals within the De-
partment of Defense, including personnel in the men-
tal health workforce.
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(2) ELEMENTS.—The report required by para-
graph (1) shall address the following:
(A) Enhancements or improvements of fi-
nancial incentives for health care professionals,
including personnel in the mental health work-
force, of the Department of Defense in order to
enhance the recruitment and retention of such
personnel, including recruitment, accession, or
retention bonuses and scholarship, tuition, and
other financial assistance.
(B) Modifications of service obligations of
health care professionals, including personnel in
the mental health workforce.
(C) Such other matters as the Secretary
considers appropriate.
(b) RECRUITMENT.—Commencing not later than 180
days after the date of the enactment of this Act, the Sec-
retary of Defense shall implement programs to recruit
qualified individuals in health care fields (including mental
health) to serve in the Armed Forces as health care and
mental health personnel of the Armed Forces.
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Subtitle C—Disability Matters
PART I—DISABILITY EVALUATIONS
SEC. 1651. UTILIZATION OF VETERANS’ PRESUMPTION OF
SOUND CONDITION IN ESTABLISHING ELIGI-
BILITY OF MEMBERS OF THE ARMED FORCES
FOR RETIREMENT FOR DISABILITY.
(a) RETIREMENT OF REGULARS AND MEMBERS ON
ACTIVE DUTY FOR MORE THAN 30 DAYS.—Clause (i) of
section 1201(b)(3)(B) of title 10, United States Code, is
amended to read as follows:
‘‘(i) the member has six months or
more of active military service and the dis-
ability was not noted at the time of the
member’s entrance on active duty (unless
compelling evidence or medical judgment is
such to warrant a finding that the dis-
ability existed before the member’s entrance
on active duty);’’.
(b) SEPARATION OF REGULARS AND MEMBERS ON AC-
TIVE
DUTY
FOR
MORE
THAN
DAYS.—Section
1203(b)(4)(B) of such title is amended by striking ‘‘and the
member has at least eight years of service computed under
section 1208 of this title’’ and inserting ‘‘, the member has
six months or more of active military service, and the dis-
ability was not noted at the time of the member’s entrance
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on active duty (unless evidence or medical judgment is such
to warrant a finding that the disability existed before the
member’s entrance on active duty)’’.
SEC. 1652. REQUIREMENTS AND LIMITATIONS ON DEPART-
MENT OF DEFENSE DETERMINATIONS OF DIS-
ABILITY WITH RESPECT TO MEMBERS OF THE
ARMED FORCES.
(a) IN GENERAL.—Chapter 61 of title 10, United
States Code, is amended by inserting after section 1216 the
following new section:
‘‘§ 1216a. Determinations of disability: requirements
and limitations on determinations
‘‘(a) UTILIZATION OF VA SCHEDULE FOR RATING DIS-
ABILITIES IN DETERMINATIONS OF DISABILITY.—(1) In
making a determination of disability of a member of the
armed forces for purposes of this chapter, the Secretary
concerned—
‘‘(A) shall, to the extent feasible, utilize the
schedule for rating disabilities in use by the Depart-
ment of Veterans Affairs, including any applicable
interpretation of the schedule by the United States
Court of Appeals for Veterans Claims; and
‘‘(B) except as provided in paragraph (2), may
not deviate from the schedule or any such interpreta-
tion of the schedule.
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‘‘(2) In making a determination described in para-
graph (1), the Secretary concerned may utilize in lieu of
the schedule described in that paragraph such criteria as
the Secretary of Defense and the Secretary of Veterans Af-
fairs may jointly prescribe for purposes of this subsection
if the utilization of such criteria will result in a determina-
tion of a greater percentage of disability than would be oth-
erwise determined through the utilization of the schedule.
‘‘(b) CONSIDERATION
OF
ALL
MEDICAL
CONDI-
TIONS.—In making a determination of the rating of dis-
ability of a member of the armed forces for purposes of this
chapter, the Secretary concerned shall take into account all
medical conditions, whether individually or collectively,
that render the member unfit to perform the duties of the
member’s office, grade, rank, or rating.’’.
(b) CLERICAL AMENDMENT.—The table of sections at
the beginning of chapter 61 of such title is amended by in-
serting after the item relating to section 1216 the following
new item:
‘‘1216a. Determinations of disability: requirements and limitations on determina-
tions.’’.
SEC. 1653. REVIEW OF SEPARATION OF MEMBERS OF THE
ARMED FORCES SEPARATED FROM SERVICE
WITH A DISABILITY RATING OF 20 PERCENT
DISABLED OR LESS.
(a) BOARD REQUIRED.—
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(1) IN GENERAL.—Chapter 79 of title 10, United
States Code, is amended by inserting after section
1554 adding the following new section:
‘‘§ 1554a. Review of separation with disability rating
of 20 percent disabled or less
‘‘(a) IN GENERAL.—(1) The Secretary of Defense shall
establish within the Office of the Secretary of Defense a
board of review to review the disability determinations of
covered individuals by Physical Evaluation Boards. The
board shall be known as the ‘Physical Disability Board of
Review’.
‘‘(2) The Board shall consist of not less than three
members appointed by the Secretary.
‘‘(b) COVERED INDIVIDUALS.—For purposes of this
section, covered individuals are members and former mem-
bers of the armed forces who, during the period beginning
on September 11, 2001, and ending on December 31,
2009—
‘‘(1) are separated from the armed forces due to
unfitness for duty due to a medical condition with a
disability rating of 20 percent disabled or less; and
‘‘(2) are found to be not eligible for retirement.
‘‘(c) REVIEW.—(1) Upon its own motion, or upon the
request of a covered individual, or a surviving spouse, next
of kin, or legal representative of a covered individual, the
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Board shall review the findings and decisions of the Phys-
ical Evaluation Board with respect to such covered indi-
vidual.
‘‘(2) The review by the Board under paragraph (1)
shall be based on the records of the armed force concerned
and such other evidence as may be presented to the Board.
A witness may present evidence to the Board by affidavit
or by any other means considered acceptable by the Sec-
retary of Defense.
‘‘(d) AUTHORIZED RECOMMENDATIONS.—The Board
may, as a result of its findings under a review under sub-
section (c), recommend to the Secretary concerned the fol-
lowing (as applicable) with respect to a covered individual:
‘‘(1) No recharacterization of the separation of
such individual or modification of the disability rat-
ing previously assigned such individual.
‘‘(2) The recharacterization of the separation of
such individual to retirement for disability.
‘‘(3) The modification of the disability rating
previously assigned such individual by the Physical
Evaluation Board concerned, which modified dis-
ability rating may not be a reduction of the disability
rating previously assigned such individual by that
Physical Evaluation Board.
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‘‘(4) The issuance of a new disability rating for
such individual.
‘‘(e) CORRECTION OF MILITARY RECORDS.—(1) The
Secretary concerned may correct the military records of a
covered individual in accordance with a recommendation
made by the Board under subsection (d). Any such correc-
tion may be made effective as of the effective date of the
action taken on the report of the Physical Evaluation Board
to which such recommendation relates.
‘‘(2) In the case of a member previously separated pur-
suant to the findings and decision of a Physical Evaluation
Board together 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 member would be en-
titled based on the member’s military record as corrected
shall be reduced to take into account receipt of such lump-
sum or other payment in such manner as the Secretary of
Defense considers appropriate.
‘‘(3) If the Board makes a recommendation not to cor-
rect the military records of a covered individual, the action
taken on the report of the Physical Evaluation Board to
which such recommendation relates shall be treated as final
as of the date of such action.
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‘‘(f) REGULATIONS.—(1) This section shall be carried
out in accordance with regulations prescribed by the Sec-
retary of Defense.
‘‘(2) The regulations under paragraph (1) shall specify
reasonable deadlines for the performance of reviews required
by this section.
‘‘(3) The regulations under paragraph (1) shall specify
the effect of a determination or pending determination of
a Physical Evaluation Board on considerations by boards
for correction of military records under section 1552 of this
title.’’.
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of chapter 79 of such title is
amended by inserting after the item relating to sec-
tion 1554 the following new item:
‘‘1554a. Review of separation with disability rating of 20 percent disabled or
less.’’.
(b) IMPLEMENTATION.—The Secretary of Defense shall
establish the board of review required by section 1554a of
title 10, United States Code (as added by subsection (a)),
and prescribe the regulations required by such section, not
later than 90 days after the date of the enactment of this
Act.
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SEC. 1654. PILOT PROGRAMS ON REVISED AND IMPROVED
DISABILITY EVALUATION SYSTEM FOR MEM-
BERS OF THE ARMED FORCES.
(a) PILOT PROGRAMS.—
(1) IN
GENERAL.—The Secretary of Defense
shall, in consultation with the Secretary of Veterans
Affairs, carry out pilot programs with respect to the
disability evaluation system of the Department of De-
fense for the purpose set forth in subsection (d).
(2) REQUIRED PILOT PROGRAMS.—In carrying
out this section, the Secretary of Defense shall carry
out the pilot programs described in paragraphs (1)
through (3) of subsection (c). Each such pilot program
shall be implemented not later than 90 days after the
date of the enactment of this Act.
(3) AUTHORIZED
PILOT
PROGRAMS.—In car-
rying out this section, the Secretary of Defense may
carry out such other pilot programs as the Secretary
of Defense, in consultation with the Secretary of Vet-
erans Affairs, considers appropriate.
(b) DISABILITY EVALUATION SYSTEM OF THE DE-
PARTMENT OF DEFENSE.—For purposes of this section, the
disability evaluation system of the Department of Defense
is the system of the Department for the evaluation of the
disabilities of members of the Armed Forces who are being
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separated or retired from the Armed Forces for disability
under chapter 61 of title 10, United States Code.
(c) SCOPE OF PILOT PROGRAMS.—
(1) DISABILITY DETERMINATIONS BY DOD UTI-
LIZING VA ASSIGNED DISABILITY RATING.—Under one
of the pilot programs under subsection (a), for pur-
poses of making a determination of disability of a
member of the Armed Forces under section 1201(b) of
title 10, United States Code, for the retirement, sepa-
ration, or placement of the member on the temporary
disability retired list under chapter 61 of such title,
upon a determination by the Secretary of the mili-
tary department concerned that the member is unfit
to perform the duties of the member’s office, grade,
rank, or rating because of a physical disability as de-
scribed in section 1201(a) of such title—
(A) the Secretary of Veterans Affairs
shall—
(i) conduct an evaluation of the mem-
ber for physical disability; and
(ii) assign the member a rating of dis-
ability in accordance with the schedule for
rating disabilities utilized by the Secretary
of Veterans Affairs based on all medical
conditions (whether individually or collec-
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tively) that render the member unfit for
duty; and
(B) the Secretary of the military depart-
ment concerned shall make the determination of
disability regarding the member utilizing the
rating of disability assigned under subparagraph
(A)(ii).
(2) DISABILITY
DETERMINATIONS
UTILIZING
JOINT DOD/VA ASSIGNED DISABILITY RATING.—Under
one of the pilot programs under subsection (a), in
making a determination of disability of a member of
the Armed Forces under section 1201(b) of title 10,
United States Code, for the retirement, separation, or
placement of the member on the temporary disability
retired list under chapter 61 of such title, the Sec-
retary of the military department concerned shall,
upon determining that the member is unfit to perform
the duties of the member’s office, grade, rank, or rat-
ing because of a physical disability as described in
section 1201(a) of such title—
(A) provide for the joint evaluation of the
member for disability by the Secretary of the
military department concerned and the Sec-
retary of Veterans Affairs, including the assign-
ment of a rating of disability for the member in
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accordance with the schedule for rating disabil-
ities utilized by the Secretary of Veterans Affairs
based on all medical conditions (whether indi-
vidually or collectively) that render the member
unfit for duty; and
(B) make the determination of disability re-
garding the member utilizing the rating of dis-
ability assigned under subparagraph (A).
(3) ELECTRONIC CLEARING HOUSE.—Under one
of the pilot programs, the Secretary of Defense shall
establish and operate a single Internet website for the
disability evaluation system of the Department of De-
fense that enables participating members of the
Armed Forces to fully utilize such system through the
Internet, with such Internet website to include the fol-
lowing:
(A) The availability of any forms required
for the utilization of the disability evaluation
system by members of the Armed Forces under
the system.
(B) Secure mechanisms for the submission
of such forms by members of the Armed Forces
under the system, and for the tracking of the ac-
ceptance and review of any forms so submitted.
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(C) Secure mechanisms for advising mem-
bers of the Armed Forces under the system of any
additional information, forms, or other items
that are required for the acceptance and review
of any forms so submitted.
(D) The continuous availability of assist-
ance to members of the Armed Forces under the
system (including assistance through the case-
workers assigned to such members of the Armed
Forces) in submitting and tracking such forms,
including assistance in obtaining information,
forms, or other items described by subparagraph
(C).
(E) Secure mechanisms to request and re-
ceive personnel files or other personnel records of
members of the Armed Forces under the system
that are required for submission under the dis-
ability evaluation system, including the capa-
bility to track requests for such files or records
and to determine the status of such requests and
of responses to such requests.
(4) OTHER PILOT PROGRAMS.—Under any pilot
program carried out by the Secretary of Defense
under subsection (a)(3), the Secretary shall provide
for the development, evaluation, and identification of
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such practices and procedures under the disability
evaluation system of the Department of Defense as the
Secretary considers appropriate for purpose set forth
in subsection (d).
(d) PURPOSE.—The purpose of each pilot program
under subsection (a) shall be—
(1) to provide for the development, evaluation,
and identification of revised and improved practices
and procedures under the disability evaluation system
of the Department of Defense in order to—
(A) reduce the processing time under the
disability evaluation system of members of the
Armed Forces who are likely to be retired or sep-
arated for disability, and who have not requested
continuation on active duty, including, in par-
ticular, members who are severely wounded;
(B) identify and implement or seek the
modification of statutory or administrative poli-
cies and requirements applicable to the disability
evaluation system that—
(i) are unnecessary or contrary to ap-
plicable best practices of civilian employers
and civilian healthcare systems; or
(ii) otherwise result in hardship, arbi-
trary, or inconsistent outcomes for members
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of the Armed Forces, or unwarranted ineffi-
ciencies and delays;
(C) eliminate material variations in poli-
cies, interpretations, and overall performance
standards among the military departments
under the disability evaluation system; and
(D) determine whether it enhances the capa-
bility of the Department of Veterans Affairs to
receive and determine claims from members of
the Armed Forces for compensation, pension,
hospitalization, or other veterans benefits; and
(2) in conjunction with the findings and rec-
ommendations of applicable Presidential and Depart-
ment of Defense study groups, to provide for the even-
tual development of revised and improved practices
and procedures for the disability evaluation system in
order to achieve the objectives set forth in paragraph
(1).
(e) UTILIZATION OF RESULTS IN UPDATES OF COM-
PREHENSIVE POLICY ON CARE, MANAGEMENT, AND TRANSI-
TION OF COVERED SERVICEMEMBERS.—The Secretary of
Defense and the Secretary of Veterans Affairs shall jointly
incorporate responses to any findings and recommendations
arising under the pilot programs required by subsection (a)
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in updating the comprehensive policy on the care and man-
agement of covered servicemembers under section 1611.
(f) CONSTRUCTION WITH OTHER AUTHORITIES.—
(1) IN GENERAL.—Subject to paragraph (2), in
carrying out a pilot program under subsection (a)—
(A) the rules and regulations of the Depart-
ment of Defense and the Department of Veterans
Affairs relating to methods of determining fitness
or unfitness for duty and disability ratings for
members of the Armed Forces shall apply to the
pilot program only to the extent provided in the
report on the pilot program under subsection
(h)(1); and
(B) the Secretary of Defense and the Sec-
retary of Veterans Affairs may waive any provi-
sion of title 10, 37, or 38, United States Code,
relating to methods of determining fitness or
unfitness for duty and disability ratings for
members of the Armed Forces if the Secretaries
determine in writing that the application of such
provision would be inconsistent with the purpose
of the pilot program.
(2) LIMITATION.—Nothing in paragraph (1)
shall be construed to authorize the waiver of any pro-
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vision of section 1216a of title 10, United States
Code, as added by section 1652 of this Act.
(g) DURATION.—Each pilot program under subsection
(a) shall be completed not later than one year after the date
of the commencement of such pilot program under that sub-
section.
(h) REPORTS.—
(1) INITIAL REPORT.—Not later than 90 days
after the date of the enactment of this Act, the Sec-
retary of Defense shall submit to the appropriate com-
mittees of Congress a report on the pilot programs
under subsection (a). The report shall include—
(A) a description of the scope and objectives
of each pilot program;
(B) a description of the methodology to be
used under such pilot program to ensure rapid
identification under such pilot program of re-
vised or improved practices under the disability
evaluation system of the Department of Defense
in order to achieve the objectives set forth in sub-
section (d)(1); and
(C) a statement of any provision described
in subsection (f)(1)(B) that shall not apply to
the pilot program by reason of a waiver under
that subsection.
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(2) INTERIM REPORT.—Not later than 150 days
after the date of the submittal of the report required
by paragraph (1), the Secretary shall submit to the
appropriate committees of Congress a report describ-
ing the current status of such pilot program.
(3) FINAL
REPORT.—Not later than 90 days
after the completion of all the pilot programs de-
scribed in paragraphs (1) through (3) of subsection
(c), the Secretary shall submit to the appropriate
committees of Congress a report setting forth a final
evaluation and assessment of such pilot programs.
The report shall include such recommendations for
legislative or administrative action as the Secretary
considers appropriate in light of such pilot programs.
SEC. 1655. REPORTS ON ARMY ACTION PLAN IN RESPONSE
TO DEFICIENCIES IN THE ARMY PHYSICAL
DISABILITY EVALUATION SYSTEM.
(a) REPORTS REQUIRED.—Not later than 30 days
after the date of the enactment of this Act, and every 120
days thereafter until March 1, 2009, the Secretary of De-
fense shall submit to the congressional defense committees
a report on the implementation of corrective measures by
the Department of Defense with respect to the Physical Dis-
ability Evaluation System (PDES) in response to the fol-
lowing:
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(1) The report of the Inspector General of the
Army on that system of March 6, 2007.
(2) The report of the Independent Review Group
on Rehabilitation Care and Administrative Processes
at Walter Reed Army Medical Center and National
Naval Medical Center.
(3) The report of the Department of Veterans Af-
fairs Task Force on Returning Global War on Terror
Heroes.
(b) ELEMENTS OF REPORT.—Each report under sub-
section (a) shall include current information on the fol-
lowing:
(1) The total number of cases, and the number
of cases involving combat disabled servicemembers,
pending resolution before the Medical and Physical
Disability Evaluation Boards of the Army, including
information on the number of members of the Army
who have been in a medical hold or holdover status
for more than each of 100, 200, and 300 days.
(2) The status of the implementation of modi-
fications to disability evaluation processes of the De-
partment of Defense in response to the following:
(A) The report of the Inspector General on
such processes dated March 6, 2007.
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(B) The report of the Independent Review
Group on Rehabilitation Care and Administra-
tive Processes at Walter Reed Army Medical
Center and National Naval Medical Center.
(C) The report of the Department of Vet-
erans Affairs Task Force on Returning Global
War on Terror Heroes.
(c) POSTING ON INTERNET.—Not later than 24 hours
after submitting a report under subsection (a), the Sec-
retary shall post such report on the Internet website of the
Department of Defense that is available to the public.
PART II—OTHER DISABILITY MATTERS
SEC. 1661. ENHANCEMENT OF DISABILITY SEVERANCE PAY
FOR MEMBERS OF THE ARMED FORCES.
(a) IN GENERAL.—Section 1212 of title 10, United
States Code, is amended—
(1) in subsection (a)(1), by striking ‘‘his years of
service, but not more than 12, computed under section
1208 of this title’’ in the matter preceding subpara-
graph (A) and inserting ‘‘the member’s years of serv-
ice computed under section 1208 of this title (subject
to the minimum and maximum years of service pro-
vided for in subsection (c))’’;
(2) by redesignating subsection (c) as subsection
(d); and
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(3) by inserting after subsection (b) the following
new subsection (c):
‘‘(c)(1) The minimum years of service of a member for
purposes of subsection (a)(1) shall be as follows:
‘‘(A) Six years in the case of a member separated
from the armed forces for a disability incurred in line
of duty in a combat zone (as designated by the Sec-
retary of Defense for purposes of this subsection) or
incurred during the performance of duty in combat-
related operations as designated by the Secretary of
Defense.
‘‘(B) Three years in the case of any other mem-
ber.
‘‘(2) The maximum years of service of a member for
purposes of subsection (a)(1) shall be 19 years.’’.
(b) NO DEDUCTION FROM COMPENSATION OF SEVER-
ANCE
PAY
FOR
DISABILITIES
INCURRED
IN
COMBAT
ZONES.—Subsection (d) of such section, as redesignated by
subsection (a)(2) of this section, is further amended—
(1) by inserting ‘‘(1)’’ after ‘‘(d)’’;
(2) by striking the second sentence; and
(3) by adding at the end the following new para-
graphs:
‘‘(2) No deduction may be made under paragraph (1)
in the case of disability severance pay received by a member
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for a disability incurred in line of duty in a combat zone
or incurred during performance of duty in combat-related
operations as designated by the Secretary of Defense.
‘‘(3) No deduction may be made under paragraph (1)
from any death compensation to which a member’s depend-
ents become entitled after the member’s death.’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall take effect on the date of the enactment of this
Act, and shall apply with respect to members of the Armed
Forces separated from the Armed Forces under chapter 61
of title 10, United States Code, on or after that date.
SEC. 1662. ELECTRONIC TRANSFER FROM THE DEPART-
MENT OF DEFENSE TO THE DEPARTMENT OF
VETERANS AFFAIRS OF DOCUMENTS SUP-
PORTING ELIGIBILITY FOR BENEFITS.
The Secretary of Defense and the Secretary of Veterans
Affairs shall jointly develop and implement a mechanism
to provide for the electronic transfer from the Department
of Defense to the Department of Veterans Affairs of any De-
partment of Defense documents (including Department of
Defense form DD–214) necessary to establish or support the
eligibility of a member of the Armed Forces for benefits
under the laws administered by the Secretary of Veterans
Affairs at the time of the retirement, separation, or release
of the member from the Armed Forces.
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SEC. 1663. ASSESSMENTS OF TEMPORARY DISABILITY RE-
TIRED LIST.
Not later than 180 days after the date of the enactment
of this Act, the Secretary of Defense and the Comptroller
General of the United States shall each submit to the con-
gressional defense committees a report assessing the con-
tinuing utility of the temporary disability retired list in
satisfying the purposes for which the temporary disability
retired list was established. Each report shall include such
recommendations for the modification or improvement of
the temporary disability retired list as the Secretary or the
Comptroller General, as applicable, considers appropriate
in light of the assessment in such report.
Subtitle D—Improvement of
Facilities Housing Patients
SEC. 1671. STANDARDS FOR MILITARY MEDICAL TREAT-
MENT FACILITIES, SPECIALTY MEDICAL CARE
FACILITIES, AND MILITARY QUARTERS HOUS-
ING PATIENTS.
(a) ESTABLISHMENT OF STANDARDS.—The Secretary
of Defense shall establish for the military facilities referred
to in subsection (b) standards with respect to the matters
set forth in subsection (c). The standards shall, to the max-
imum extent practicable—
(1) be uniform and consistent across such facili-
ties; and
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(2) be uniform and consistent across the Depart-
ment of Defense and the military departments.
(b) COVERED MILITARY FACILITIES.—The military
facilities referred to in this subsection are the military fa-
cilities of the Department of Defense and the military de-
partments as follows:
(1) Military medical treatment facilities.
(2) Specialty medical care facilities.
(3) Military quarters or leased housing for pa-
tients.
(c) SCOPE OF STANDARDS.—The standards required
by subsection (a) shall include the following:
(1) Generally accepted standards for the accredi-
tation of medical facilities, or for facilities used to
quarter individuals that may require medical super-
vision, as applicable, in the United States.
(2) To the extent not inconsistent with the stand-
ards described in paragraph (1), minimally accept-
able conditions for the following:
(A) Appearance and maintenance of facili-
ties generally, including the structure and roofs
of facilities.
(B) Size, appearance, and maintenance of
rooms housing or utilized by patients, including
furniture and amenities in such rooms.
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(C) Operation and maintenance of primary
and back-up facility utility systems and other
systems required for patient care, including elec-
trical systems, plumbing systems, heating, ven-
tilation, and air conditioning systems, commu-
nications systems, fire protection systems, energy
management systems, and other systems required
for patient care.
(D) Compliance with Federal Government
standards for hospital facilities and operations.
(E) Compliance of facilities, rooms, and
grounds, to the maximum extent practicable,
with the Americans with Disabilities Act of 1990
(42 U.S.C. 12101 et seq.).
(F) Such other matters relating to the ap-
pearance, size, operation, and maintenance of fa-
cilities and rooms as the Secretary considers ap-
propriate.
(d) COMPLIANCE WITH STANDARDS.—
(1) DEADLINE.—In establishing standards under
subsection (a), the Secretary shall specify a deadline
for compliance with such standards by each facility
referred to in subsection (b). The deadline shall be at
the earliest date practicable after the date of the en-
actment of this Act, and shall, to the maximum extent
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practicable, be uniform across the facilities referred to
in subsection (b).
(2) INVESTMENT.—In carrying out this section,
the Secretary shall also establish guidelines for invest-
ment to be utilized by the Department of Defense and
the military departments in determining the alloca-
tion of financial resources to facilities referred to in
subsection (b) in order to meet the deadline specified
under paragraph (1).
(e) REPORT.—
(1) IN GENERAL.—Not later than December 30,
2007, the Secretary shall submit to the congressional
defense committees a report on the actions taken to
carry out this section.
(2) ELEMENTS.—The report under paragraph
(1) shall include the following:
(A) The standards established under sub-
section (a).
(B) An assessment of the appearance, condi-
tion, and maintenance of each facility referred to
in subsection (a), including—
(i) an assessment of the compliance of
such facility with the standards established
under subsection (a); and
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(ii) a description of any deficiency or
noncompliance in each facility with the
standards.
(C) A description of the investment to be al-
located to address each deficiency or noncompli-
ance identified under subparagraph (B)(ii).
SEC. 1672. REPORTS ON ARMY ACTION PLAN IN RESPONSE
TO DEFICIENCIES IDENTIFIED AT WALTER
REED ARMY MEDICAL CENTER.
(a) REPORTS REQUIRED.—Not later than 30 days
after the date of the enactment of this Act, and every 120
days thereafter until March 1, 2009, the Secretary of De-
fense shall submit to the congressional defense committees
a report on the implementation of the action plan of the
Army to correct deficiencies identified in the condition of
facilities, and in the administration of outpatients in med-
ical hold or medical holdover status, at Walter Reed Army
Medical Center (WRAMC) and at other applicable Army
installations at which covered members of the Armed Forces
are assigned.
(b) ELEMENTS OF REPORT.—Each report under sub-
section (a) shall include current information on the fol-
lowing:
(1) The number of inpatients at Walter Reed
Army Medical Center, and the number of outpatients
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on medical hold or in a medical holdover status at
Walter Reed Army Medical Center, as a result of seri-
ous injuries or illnesses.
(2) A description of the lodging facilities and
other forms of housing at Walter Reed Army Medical
Center, and at each other Army facility, to which are
assigned personnel in medical hold or medical hold-
over status as a result of serious injuries or illnesses,
including—
(A) an assessment of the conditions of such
facilities and housing; and
(B) a description of any plans to correct in-
adequacies in such conditions.
(3) The status, estimated completion date, and
estimated cost of any proposed or ongoing actions to
correct any inadequacies in conditions as described
under paragraph (2).
(4) The number of case managers, platoon ser-
geants, patient advocates, and physical evaluation
board liaison officers stationed at Walter Reed Army
Medical Center, and at each other Army facility, to
which are assigned personnel in medical hold or med-
ical holdover status as a result of serious injuries or
illnesses, and the ratio of case workers and platoon
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sergeants to outpatients for whom they are responsible
at each such facility.
(5) The number of telephone calls received during
the preceding 60 days on the Wounded Soldier and
Family hotline (as established on March 19, 2007), a
summary of the complaints or communications re-
ceived through such calls, and a description of the ac-
tions taken in response to such calls.
(6) A summary of the activities, findings, and
recommendations of the Army tiger team of medical
and installation professionals who visited the major
medical treatment facilities and community-based
health care organizations of the Army pursuant to
March 2007 orders, and a description of the status of
corrective actions being taken with to address defi-
ciencies noted by that team.
(7) The status of the ombudsman programs at
Walter Reed Army Medical Center and at other major
Army installations to which are assigned personnel in
medical hold or medical holdover status as a result of
serious injuries or illnesses.
(c) POSTING ON INTERNET.—Not later than 24 hours
after submitting a report under subsection (a), the Sec-
retary shall post such report on the Internet website of the
Department of Defense that is available to the public.
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SEC. 1673. CONSTRUCTION OF FACILITIES REQUIRED FOR
THE CLOSURE OF WALTER REED ARMY MED-
ICAL CENTER, DISTRICT OF COLUMBIA.
(a) ASSESSMENT OF ACCELERATION OF CONSTRUC-
TION OF FACILITIES.—The Secretary of Defense shall carry
out an assessment of the feasibility (including the cost-effec-
tiveness) of accelerating the construction and completion of
any new facilities required to facilitate the closure of Walter
Reed Army Medical Center, District of Columbia, as re-
quired as a result of the 2005 round of defense base closure
and realignment under the Defense Base Closure and Re-
alignment Act of 1990 (part A of title XXIX of Public Law
101–510; U.S.C. 2687 note).
(b) DEVELOPMENT AND IMPLEMENTATION OF PLAN
FOR CONSTRUCTION OF FACILITIES.—
(1) IN GENERAL.—The Secretary shall develop
and carry out a plan for the construction and com-
pletion of any new facilities required to facilitate the
closure of Walter Reed Army Medical Center as re-
quired as described in subsection (a). If the Secretary
determines as a result of the assessment under sub-
section (a) that accelerating the construction and
completion of such facilities is feasible, the plan shall
provide for the accelerated construction and comple-
tion of such facilities in a manner consistent with
that determination.
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(2) SUBMITTAL OF PLAN.—The Secretary shall
submit to the congressional defense committees the
plan required by paragraph (1) not later than Sep-
tember 30, 2007.
(c) CERTIFICATIONS.—Not later than September 30,
2007, the Secretary shall submit to the congressional defense
committees a certification of each of the following:
(1) That a transition plan has been developed,
and resources have been committed, to ensure that pa-
tient care services, medical operations, and facilities
are sustained at the highest possible level at Walter
Reed Army Medical Center until facilities to replace
Walter Reed Army Medical Center are staffed and
ready to assume at least the same level of care pre-
viously provided at Walter Reed Army Medical Cen-
ter.
(2) That the closure of Walter Reed Army Med-
ical Center will not result in a net loss of capacity
in the major military medical centers in the National
Capitol Region in terms of total bed capacity or
staffed bed capacity.
(3) That the capacity and types of medical hold
and out-patient lodging facilities currently operating
at Walter Reed Army Medical Center will be avail-
able at the facilities to replace Walter Reed Army
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Medical Center by the date of the closure of Walter
Reed Army Medical Center.
(4) That adequate funds have been provided to
complete fully all facilities identified in the Base Re-
alignment and Closure Business Plan for Walter Reed
Army Medical Center submitted to the congressional
defense committees as part of the budget justification
materials submitted to Congress together with the
budget of the President for fiscal year 2008 as con-
templated in that business plan.
(d) ENVIRONMENTAL LAWS.—Nothing in this section
shall require the Secretary or any designated representative
to waive or ignore responsibilities and actions required by
the National Environmental Policy Act of 1969 (42 U.S.C.
4321 et seq.) or the regulations implementing such Act.
Subtitle E—Outreach and Related
Information on Benefits
SEC. 1681. HANDBOOK FOR MEMBERS OF THE ARMED
FORCES ON COMPENSATION AND BENEFITS
AVAILABLE FOR SERIOUS INJURIES AND ILL-
NESSES.
(a) INFORMATION ON AVAILABLE COMPENSATION AND
BENEFITS.—The Secretary of Defense shall, in consultation
with the Secretary of Veterans Affairs, the Secretary of
Health and Human Services, and the Commissioner of So-
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cial Security, develop and maintain in handbook and elec-
tronic form a comprehensive description of the compensa-
tion and other benefits to which a member of the Armed
Forces, and the family of such member, would be entitled
upon the member’s separation or retirement from the Armed
Forces as a result of a serious injury or illness. The hand-
book shall set forth the range of such compensation and ben-
efits based on grade, length of service, degree of disability
at separation or retirement, and such other factors affecting
such compensation and benefits as the Secretary of Defense
considers appropriate.
(b) UPDATE.—The Secretary of Defense shall update
the comprehensive description required by subsection (a),
including the handbook and electronic form of the descrip-
tion, on a periodic basis, but not less often than annually.
(c) PROVISION TO MEMBERS.—The Secretary of the
military department concerned shall provide the descriptive
handbook under subsection (a) to each member of the Armed
Forces described in that subsection as soon as practicable
following the injury or illness qualifying the member for
coverage under that subsection.
(d) PROVISION TO REPRESENTATIVES.—If a member
is incapacitated or otherwise unable to receive the descrip-
tive handbook to be provided under subsection (a), the hand-
book shall be provided to the next of kin or a legal represent-
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ative of the member (as determined in accordance with reg-
ulations prescribed by the Secretary of the military depart-
ment concerned for purposes of this section).
Subtitle F—Other Matters
SEC. 1691. STUDY ON PHYSICAL AND MENTAL HEALTH AND
OTHER READJUSTMENT NEEDS OF MEMBERS
AND FORMER MEMBERS OF THE ARMED
FORCES 
WHO 
DEPLOYED 
IN 
OPERATION
IRAQI FREEDOM AND OPERATION ENDURING
FREEDOM AND THEIR FAMILIES.
(a) STUDY REQUIRED.—The Secretary of Defense
shall, in consultation with the Secretary of Veterans Affairs,
enter into an agreement with the National Academy of
Sciences for a study on the physical and mental health and
other readjustment needs of members and former members
of the Armed Forces who deployed in Operation Iraqi Free-
dom or Operation Enduring Freedom and their families as
a result of such deployment.
(b) PHASES.—The study required under subsection (a)
shall consist of two phases:
(1) A preliminary phase, to be completed not
later than 180 days after the date of the enactment
of this Act—
(A) to identify preliminary findings on the
physical and mental health and other readjust-
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ment needs described in subsection (a) and on
gaps in care for the members, former members,
and families described in that subsection; and
(B) to determine the parameters of the sec-
ond phase of the study under paragraph (2).
(2) A second phase, to be completed not later
than three years after the date of the enactment of this
Act, to carry out a comprehensive assessment, in ac-
cordance with the parameters identified under the
preliminary report required by paragraph (1), of the
physical and mental health and other readjustment
needs of members and former members of the Armed
Forces who deployed in Operation Iraqi Freedom or
Operation Enduring Freedom and their families as a
result 
of 
such 
deployment, 
including, 
at 
a
minimum—
(A) an assessment of the psychological, so-
cial, and economic impacts of such deployment
on such members and former members and their
families;
(B) an assessment of the particular impacts
of multiple deployments in Operation Iraqi
Freedom or Operation Enduring Freedom on
such members and former members and their
families;