(2) LIMITATIONS.—Any such adjustment shall 
be prorated based on the portion of the waiting pe-
riod completed as of the day before conversion. No 
adjustment under this subsection may result in a 
rate above the maximum rate of the applicable rate 
range. 
(c) SPECIAL TRANSITIONAL RULES.— 
(1) SPECIAL
RULES.—The Secretary, in the 
Secretary’s sole and exclusive discretion, may estab-
lish special transitional rules to prevent a reduction 
in a member’s rate of pay due to a conversion to the 
Foreign Service Schedule established under section 
15(b). Notwithstanding subsection (a)(4), such rules 
may authorize a member stationed in a nonforeign 
area to temporarily continue to receive a portion of 
an allowance or post differential under section 5941 
of title 5, United States Code. 
(2) 
APPLICABILITY.—This 
subsection 
shall 
apply to a member who, immediately before conver-
sion— 
(A) is entitled to a locality-based com-
parability payment under section 5304 of title 
5, United States Code, at a rate exceeding the 
locality rate applicable in Washington, D.C., at 
that time; or 
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(B) is entitled to a nonforeign area allow-
ance or differential under section 5941 of such 
title. 
(3) TREATMENT
OF
TEMPORARY
ADJUST-
MENT.—Any temporary adjustment provided to a 
member described in paragraph (2)(A) shall be 
treated as basic pay for the same purposes as the lo-
cality-based comparability payment under section 
5304 of title 5, United States Code. 
SEC. 17. TECHNICAL AND CONFORMING AMENDMENTS. 
(a) TECHNICAL AND CONFORMING AMENDMENTS TO 
THE FOREIGN SERVICE ACT.—The Foreign Service Act 
of 1980 (22 U.S.C. 3901 et seq.) is amended— 
(1) 
in 
section 
402(a)(2) 
(22 
U.S.C. 
3962(a)(2))— 
(A) by striking ‘‘The Secretary shall’’ and 
inserting ‘‘The Secretary, in the Secretary’s 
sole and exclusive discretion, shall’’; 
(B) by striking ‘‘the Secretary may’’ and 
inserting ‘‘The Secretary, in the Secretary’s 
sole and exclusive discretion, may’’; and 
(C) by inserting ‘‘under precepts pre-
scribed by the Secretary’’ after ‘‘system’’; 
(2) in section 602(a) (22 U.S.C. 4002(a)), by 
amending paragraph (3) to read as follows: 
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‘‘(3) approvals or denials of pay for perform-
ance salary adjustments under sections 402(a)(2) 
and 406(a)’’; 
(3) in section 605 (22 U.S.C. 4005)— 
(A) in subsection (a)— 
(i) by inserting ‘‘and pay for perform-
ance salary adjustments under sections 
402(a)(2) 
and 
406(a)’’ 
after 
‘‘Rec-
ommendations for promotion’’; and 
(ii) by inserting ‘‘and pay for perform-
ance salary adjustments’’ after ‘‘shall 
make promotions’’; and 
(B) in subsection (b)— 
(i) by inserting ‘‘or precepts pre-
scribed by the Secretary’’ after ‘‘set forth 
by regulation’’; and 
(ii) by inserting ‘‘or salary adjust-
ment’’ after ‘‘delay the promotion’’; 
(4) 
in 
section 
806(a)(9) 
(22 
U.S.C. 
4046(a)(9)), by adding at the end the following: 
‘‘This paragraph shall not apply to service per-
formed on or after the first day of the first pay pe-
riod beginning on or after April 1, 2008.’’; and 
(5) 
in 
section 
855(a)(3) 
(22 
U.S.C. 
4071d(a)(3)), by adding at the end the following: 
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