I
106TH CONGRESS
1ST SESSION
H. R. 500
To increase the rates of military basic pay and to revise the formula for
the computation of retired pay for members of the Armed Forces who
first entered military service on or after August 1, 1986.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 2, 1999
Mr. MURTHA introduced the following bill; which was referred to the
Committee on Armed Services
A BILL
To increase the rates of military basic pay and to revise
the formula for the computation of retired pay for mem-
bers of the Armed Forces who first entered military
service on or after August 1, 1986.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Military Pay and Re-
tirement Reform Act of 1999’’.
SEC. 2. FISCAL YEAR 2000 INCREASE IN MILITARY BASIC
PAY AND REFORM OF BASIC PAY RATES.
(a) WAIVER OF SECTION 1009 ADJUSTMENT.—The
adjustment to become effective during fiscal year 2000 re-
quired by section 1009 of title 37, United States Code,
in the rates of monthly basic pay authorized members of
the uniformed services shall not be made.
(b) JANUARY 1, 2000, INCREASE IN BASIC PAY.—
Effective on January 1, 2000, the rates of monthly basic
pay for members of the uniformed services shall be in-
creased by 4.4 percent.
(c) REFORM OF BASIC PAY RATES.—Effective on
July 1, 2000, the rates of monthly basic pay for members
of the uniformed services within each pay grade are as
follows:
COMMISSIONED OFFICERS 1
Years of service computed under section 205 of title 37, United States Code
Pay
Grade
2 or less
Over 2
Over 3
Over 4
Over 6
O–10 2
$0.00
$0.00
$0.00
$0.00
$0.00
O–9 ...
0.00
0.00
0.00
0.00
0.00
O–8 ...
6,569.10
6,784.50
6,926.40
6,966.60
7,148.40
O–7 ...
5,458.50
5,829.60
5,829.60
5,871.90
6,091.20
O–6 ...
4,045.50
4,444.50
4,736.10
4,736.10
4,754.40
O–5 ...
3,236.10
3,799.50
4,062.30
4,112.10
4,276.20
O–4 ...
2,727.30
3,321.30
3,542.70
3,592.20
3,798.60
O–3 3
2,534.40
2,873.40
3,100.80
3,351.90
3,512.40
O–2 3
2,210.40
2,517.90
2,899.80
2,997.60
3,059.40
O–1 3
1,919.10
1,997.40
2,413.80
2,413.80
2,413.80
Over 8
Over 10
Over 12
Over 14
Over 16
O–10 2
$0.00
$0.00
$0.00
$0.00
$0.00
O–9 ...
0.00
0.00
0.00
0.00
0.00
O–8 ...
7,443.00
7,512.30
7,794.60
7,876.20
8,119.20
O–7 ...
6,258.30
6,451.20
6,643.80
6,837.00
7,443.00
O–6 ...
4,958.40
4,985.70
4,985.70
5,152.50
5,769.00
O–5 ...
4,276.20
4,404.90
4,642.50
4,953.60
5,268.30
O–4 ...
3,966.00
4,236.90
4,447.20
4,593.60
4,740.90
O–3 3
3,688.50
3,835.50
4,024.80
4,123.20
4,123.20
O–2 3
3,059.40
3,059.40
3,059.40
3,059.40
3,059.40
O–1 3
2,413.80
2,413.80
2,413.80
2,413.80
2,413.80
Over 18
Over 20
Over 22
Over 24
Over 26
O–10 2
$0.00
$10,614.30
$10,666.80
$10,888.80
$11,275.20
O–9 ...
0.00
9,283.80
9,417.60
9,611.10
9,948.30
O–8 ...
8,471.40
8,796.60
9,013.50
9,013.50
9,013.50
O–7 ...
7,955.10
7,955.10
7,955.10
7,955.10
7,995.10
O–6 ...
6,063.00
6,357.00
6,524.10
6,695.70
7,024.20
O–5 ...
5,415.30
5,562.30
5,731.80
5,731.80
5,731.80
O–4 ...
4,791.60
4,791.60
4,791.60
4,791.60
4,791.60
O–3 3
4,123.20
4,123.20
4,123.20
4,123.20
4,123.20
O–2 3
3,059.40
3,059.40
3,059.40
3,059.40
3,059.40
O–1 3
2,413.80
2,413.80
2,413.80
2,413.80
2,413.80
1 Notwithstanding the pay rates specified in this table, basic pay for commissioned officers may
not exceed the rate of basic pay for level V of the Executive Schedule.
2 While serving as Chairman or Vice Chairman of the Joint Chiefs of Staff, Chief of Staff of the
Army, Chief of Naval Operations, Chief of Staff of the Air Force, Commandant of the Marine
Corps, or Commandant of the Coast Guard, basic pay for this grade is calculated to be
$12,441.00, regardless of cumulative years of service computed under section 205 of title 37,
United States Code. However, actual basic pay for these officers may not exceed the rate of basic
pay for level V of the Executive Schedule.
3 This table does not apply to commissioned officers in the grade O–1, O–2, or O–3 who have
been credited with over 4 years of active duty service as an enlisted member or warrant officer.
COMMISSIONED OFFICERS WITH OVER 4 YEARS OF ACTIVE DUTY SERVICE
AS AN ENLISTED MEMBER OR WARRANT OFFICER
Years of service computed under section 205 of title 37, United States Code
Pay
Grade
2 or less
Over 2
Over 3
Over 4
Over 6
O–3E
$0.00
$0.00
$0.00
$3,351.90
$3,512.40
O–2E
0.00
0.00
0.00
2,997.60
3,059.40
O–1E
0.00
0.00
0.00
2,413.80
2,578.50
Over 8
Over 10
Over 12
Over 14
Over 16
O–3E
$3,688.50
$3,835.50
$4,024.80
$4,184.40
$4,275.60
O–2E
3,156.30
3,321.30
3,448.20
3,542.70
3,542.70
O–1E
2,673.60
2,770.50
2,866.80
2,997.60
2,997.60
Over 18
Over 20
Over 22
Over 24
Over 26
O–3E
$4,402.50
$4,402.50
$4,402.50
$4,402.50
$4,402.50
O–2E
3,542.70
3,542.70
3,542.70
3,542.70
3,542.70
O–1E
2,997.60
2,997.60
2,997.60
2,997.60
2,997.60
WARRANT OFFICERS
Years of service computed under section 205 of title 37, United States Code
Pay
Grade
2 or less
Over 2
Over 3
Over 4
Over 6
W–5 ..
$0.00
$0.00
$0.00
$0.00
$0.00
W–4 ..
2,582.10
2,777.70
2,857.80
2,937.60
3,071.70
W–3 ..
2,346.90
2,545.80
2,545.80
2,578.50
2,684.10
W–2 ..
2,055.60
2,223.90
2,223.90
2,297.10
2,413.80
W–1 ..
1,712.70
1,963.50
1,963.50
2,127.60
2,223.90
Over 8
Over 10
Over 12
Over 14
Over 16
W–5 ..
$0.00
$0.00
$0.00
$0.00
$0.00
W–4 ..
3,204.90
3,337.50
3,471.90
3,608.40
3,739.20
W–3 ..
2,804.40
2,962.80
3,059.40
3,164.70
3,285.60
W–2 ..
2,545.80
2,642.40
2,739.30
2,833.50
2,937.90
W–1 ..
2,323.80
2,424.00
2,523.60
2,624.10
2,724.30
Over 18
Over 20
Over 22
Over 24
Over 26
W–5 ..
$0.00
$4,458.00
$4,611.00
$4,764.90
$4,918.50
W–4 ..
3,873.30
4,006.20
4,139.70
4,273.50
4,410.30
W–3 ..
3,405.60
3,525.60
3,645.60
3,765.90
3,886.20
W–2 ..
3,044.70
3,151.80
3,258.60
3,365.70
3,365.70
W–1 ..
2,824.20
2,899.80
2,899.80
2,899.80
2,899.80
ENLISTED MEMBERS
Years of service computed under section 205 of title 37, United States Code
Pay
Grade
2 or less
Over 2
Over 3
Over 4
Over 6
E–9 1
$0.00
$0.00
$0.00
$0.00
$0.00
E–8 ...
0.00
0.00
0.00
0.00
0.00
E–7 ...
1,758.90
1,920.60
1,993.20
2,066.10
2,139.60
E–6 ...
1,513.20
1,671.90
1,746.00
1,817.40
1,892.70
E–5 ...
1,327.80
1,488.30
1,560.90
1,634.70
1,708.50
E–4 ...
1,238.10
1,368.00
1,441.80
1,514.40
1,587.90
E–3 ...
1,167.00
1,255.80
1,329.00
1,330.80
1,330.80
E–2 ...
1,123.20
1,123.20
1,123.20
1,123.20
1,123.20
E–1 ...
2 1,001.70
1,001.70
1,001.70
1,001.70
1,001.70
Over 8
Over 10
Over 12
Over 14
Over 16
E–9 1
$0.00
$3,003.90
$3,071.70
$3,157.80
$3,259.20
E–8 ...
2,518.80
2,591.70
2,659.50
2,741.10
2,829.30
E–7 ...
2,212.50
2,285.40
2,359.50
2,430.90
2,504.40
E–6 ...
1,966.50
2,040.30
2,111.40
2,184.00
2,235.90
E–5 ...
1,783.50
1,855.20
1,928.70
1,929.00
1,929.00
E–4 ...
1,587.90
1,587.90
1,587.90
1,587.90
1,587.90
E–3 ...
1,330.80
1,330.80
1,330.80
1,330.80
1,330.80
E–2 ...
1,123.20
1,123.20
1,123.20
1,123.20
1,123.20
E–1 ...
1,001.70
1,001.70
1,001.70
1,001.70
1,001.70
Over 18
Over 20
Over 22
Over 24
Over 26
E–9 1
$3,360.30
$3,460.20
$3,595.50
$3,729.60
$3,900.90
E–8 ...
2,921.40
3,014.40
3,149.10
3,282.90
3,471.90
E–7 ...
2,577.30
2,650.50
2,776.80
2,915.10
3,122.40
E–6 ...
2,274.60
2,274.60
2,274.60
2,274.60
2,274.60
E–5 ...
1,929.00
1,929.00
1,929.00
1,929.00
1,929.00
E–4 ...
1,587.90
1,587.90
1,587.90
1,587.90
1,587.90
E–3 ...
1,330.80
1,330.80
1,330.80
1,330.80
1,330.80
E–2 ...
1,123.20
1,123.20
1,123.20
1,123.20
1,123.20
E–1 ...
1,001.70
1,001.70
1,001.70
1,001.70
1,001.70
1 While serving as Sergeant Major of the Army, Master Chief Petty Officer of the Navy, Chief
Master Sergeant of the Air Force, Sergeant Major of the Marine Corps, or Master Chief Petty Of-
ficer of the Coast Guard, basic pay for this grade is $4,701.00, regardless of cumulative years of
service computed under section 205 of title 37, United States Code.
2 In the case of members in the grade E–1 who have served less than 4 months on active duty,
basic pay is $926.70.
SEC. 3. RETIRED PAY COMPUTATION FORMULA FOR MEM-
BERS OF THE ARMED FORCES WHO ENTERED
MILITARY SERVICE ON OR AFTER AUGUST 1,
1986.
(a) REPEAL OF ‘‘REDUX’’ RETIRED PAY REDUCTION
APPLICABLE TO POST-AUGUST 1, 1986, MEMBERS WITH
LESS THAN 30 YEARS OF SERVICE.—Section 1409(b) of
title 10, United States Code, is amended—
(1) by striking paragraph (2);
(2) by redesignating paragraph (3) as para-
graph (2); and
(3) in paragraph (1), by striking ‘‘paragraphs
(2) and (3)’’ and inserting ‘‘paragraph (2)’’.
(b) MODIFICATION
OF COST-OF-LIVING ADJUST-
MENT APPLICABLE
TO POST-AUGUST 1, 1986, MEM-
BERS.—Paragraph (3) of section 1401a of such title is
amended to read as follows:
‘‘(3) POST-AUGUST 1, 1986 MEMBERS.—
‘‘(A) If the percent determined under para-
graph (2) is equal than or greater than 3 per-
cent, the Secretary shall increase the retired
pay of each member and former member who
first became a member on or after August 1,
1986, by the difference between—
‘‘(i) the percent determined under
paragraph (2); and
‘‘(ii) 1 percent.
‘‘(B) If the percent determined under
paragraph (2) is less than 3 percent, the Sec-
retary shall increase the retired pay of each
member and former member who first became
a member on or after August 1, 1986, by the
lesser of—
‘‘(i) the percent determined under
paragraph (2); and
‘‘(ii) 2 percent.’’.
(c) CONFORMING AMENDMENTS.—
(1) Section 1410 of such title is amended—
(A) by striking ‘‘on that date’’ and all that
follows through ‘‘increases in the retired pay’’
and inserting ‘‘on that date if increases in the
retired pay’’;
(B) by striking ‘‘section); and’’ and insert-
ing ‘‘section).’’;
(C) by striking paragraph (2); and
(D) by amending the section heading to
read as follows:
‘‘§ 1410. Restoral of cost-of-living adjustment amount
at age 62 for members entering on or
after August 1, 1986’’.
(2) The table of sections at the beginning of
chapter 71 of such title is amended to read as fol-
lows:
‘‘1410. Restoral of cost-of-living adjustment amount at age 62 for members en-
tering on or after August 1, 1986.’’.
(3) Chapter 73 of such title is amended as fol-
lows:
(A) Section 1447(6)(A) is amended by
striking ‘‘(determined without regard to any re-
duction under section 1409(b)(2) of this title)’’.
(B) Section 1451(h) is amended by strik-
ing paragraph (3).
(C) Section 1452(c) is amended by striking
paragraph (4).
(d) EFFECTIVE DATE.—The amendments made by
this section shall take effect on October 1, 1999.
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