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from the fiscal year for which the agency is making 
an application for payment— 
‘‘(A) if such agency is newly established by 
a State (first year of operation only); or 
‘‘(B) if— 
‘‘(i) such agency was eligible to re-
ceive a payment under this section in the 
previous fiscal year; 
‘‘(ii) such agency has had an overall 
increase (as determined by the Secretary of 
Education in consultation with the Sec-
retary of Defense, the Secretary of Inte-
rior, or other Federal agencies) of not less 
than 100 students or 10 percent as de-
scribed in— 
‘‘(I) subparagraphs (A), (B), and 
(D) of subsection (a)(1); or 
‘‘(II) subparagraphs (C), (E), 
(F) and (G) of subsection (a)(1) if 
those children described in subpara-
graphs (C), (E), (F) and (G) are civil-
ian dependents of employees of the 
Department of Defense; and 
‘‘(iii) such increase occurred during 
the period between the end of the school 
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year preceding the fiscal year for which the 
application is being made and the begin-
ning of the school year immediately pre-
ceding that fiscal year as the result of clo-
sure or realignment of military installa-
tions under the base closure process or the 
relocation of members of the Armed Forces 
and civilian employees of the Department 
of Defense as part of force structure 
changes or movements of units or per-
sonnel between military installations.’’. 
Subtitle I—Military Families 
SEC. 581. PRESENTATION OF BURIAL FLAG. 
(a) INCLUSION OF SURVIVING SPOUSE; CONSOLIDA-
TION OF FLAG-RELATED AUTHORITIES.—Subsection (e) 
of section 1482 of title 10, United States Code, is amend-
ed— 
(1) by designating the current text as para-
graph (2) and redesignating current paragraphs (1) 
and (2) as subparagraphs (A) and (B), respectively; 
(2) by inserting before paragraph (2), as so 
designated, the following: 
‘‘(e) PRESENTATION
OF FLAG
OF
THE UNITED 
STATES.—(1) In the case of a decedent covered by section 
1481 of this title, the Secretary concerned may pay the 
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necessary expenses for the presentation of a flag of the 
United States— 
‘‘(A) to the person designated under subsection 
(c) to direct disposition of the remains; 
‘‘(B) to the parents or parent of the decedent, 
if the person presented a flag under subparagraph 
(A) is other than a parent of the decedent; and 
‘‘(C) to the surviving spouse (including a re-
married surviving spouse) of the decedent, if the 
person presented a flag under subparagraph (A) is 
other than the spouse.’’; and 
(3) by inserting at the end the following new 
paragraphs: 
‘‘(3) A flag to be presented to a person under sub-
paragraph (B) or (C) of paragraph (1) shall be of equal 
size to the flag presented under subparagraph (A) of such 
paragraph to the person designated to direct disposition 
of the remains of the decedent. 
‘‘(4) This subsection does not apply to a military pris-
oner who dies while in the custody of the Secretary con-
cerned and while under a sentence that includes a dis-
charge. 
‘‘(5) In this subsection, the term ‘parent’ includes a 
natural parent, a stepparent, a parent by adoption, or a 
person who for a period of not less than one year before 
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the death of the decedent stood in loco parentis to the 
decedent. Preference under paragraph (1)(B) shall be 
given to the persons who exercised a parental relationship 
at the time of, or most nearly before, the death of the 
decedent.’’. 
(b) REPEAL
OF SUPERSEDED PROVISIONS.—Sub-
section (a) of such section is amended by striking para-
graphs (10) and (11). 
SEC. 582. EDUCATION AND TRAINING OPPORTUNITIES FOR 
MILITARY SPOUSES. 
(a) EMPLOYMENT AND CAREER OPPORTUNITIES FOR 
SPOUSES.—Subchapter I of chapter 88 of title 10, United 
States Code, is amended by inserting after section 1784 
the following new section: 
‘‘§ 1784a. Education and training opportunities for 
military spouses to expand employment 
and career opportunities 
‘‘(a) PROGRAMS
AND TUITION ASSISTANCE.—(1) 
The Secretary of Defense may establish programs to assist 
the spouse of a member of the armed forces described in 
subsection (b) in achieving— 
‘‘(A) the education and training required for a 
degree or credential at an accredited college, univer-
sity, or technical school in the United States that ex-
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pands employment and career opportunities for the 
spouse; or 
‘‘(B) the education prerequisites and profes-
sional licensure or credential required, by a govern-
ment or government sanctioned licensing body, for 
an occupation that expands employment and career 
opportunities for the spouse. 
‘‘(2) As an alternative to, or in addition to, estab-
lishing a program under this subsection, the Secretary 
may provide tuition assistance to an eligible spouse who 
is pursuing education, training, or a license or credential 
to expand the spouse’s employment and career opportuni-
ties. 
‘‘(b) ELIGIBLE SPOUSES.—Assistance under this sec-
tion is limited to a spouse of a member of the armed forces 
who is serving on active duty. 
‘‘(c) EXCEPTIONS.—Subsection (b) does not in-
clude— 
‘‘(1) a person who is married to, but legally 
separated from, a member of the armed forces under 
court order or statute of any State or territorial pos-
session of the United States; and 
‘‘(2) a spouse of a member of the armed forces 
who is also a member of the armed forces. 
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‘‘(d) REGULATIONS.—The Secretary of Defense shall 
prescribe regulations to govern the availability and use of 
assistance under this section. The Secretary shall ensure 
that programs established under this section do not result 
in inequitable treatment for spouses of members of the 
armed forces who are also members, since they are ex-
cluded from participation in the programs under sub-
section (c)(2).’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
at the beginning of such subchapter is amended by insert-
ing after the item relating to section 1784 the following 
new item: 
‘‘1784a. Education and training opportunities for military spouses to expand 
employment and career opportunities.’’. 
SEC. 583. SENSE OF THE CONGRESS REGARDING HONOR 
GUARD DETAILS FOR FUNERALS OF VET-
ERANS. 
It is the sense of the Congress that the Secretaries 
of the military departments should, to the maximum ex-
tent practicable, provide honor guard details for the funer-
als of veterans as is required under section 1491 of title 
10, United States Code, as added by section 567(b) of 
Public Law 105–261 (112 Stat. 2030). 
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Army Reserve, Navy Reserve, Air Force Reserve, Marine 
Corps Reserve, and Coast Guard Reserve ordered to active 
duty for this purpose’’. 
SEC. 592. INTEREST PAYMENTS ON CERTAIN CLAIMS ARIS-
ING 
FROM 
CORRECTION 
OF 
MILITARY 
RECORDS. 
(a) INTEREST PAYABLE ON CLAIMS.—Subsection (c) 
of section 1552 of title 10, United States Code, is amend-
ed by adding at the end the following new paragraph: 
‘‘(4) If the correction of military records under this 
section involves setting aside a conviction by court-martial, 
the payment of a claim under this subsection in connection 
with the correction of the records shall include interest 
at not less than the rate of interest in effect under section 
1035 of this title at the time the payment is made. The 
interest shall be calculated on an annual basis, and com-
pounded, using the amount of the lost pay, allowances, 
compensation, emoluments, or other pecuniary benefits in-
volved, and the amount of any fine or forfeiture paid, be-
ginning from the date of the conviction through the date 
on which the payment is made.’’. 
(b) CONFORMING AMENDMENT REGARDING CORREC-
TIONS
BOARD
AUTHORITY
TO
OVERTURN
CONVIC-
TIONS.—Subsection (f) of such section is amended by in-
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serting ‘‘convened after May 4, 1950, and’’ after ‘‘court- 
martial cases’’. 
(c) CLERICAL AMENDMENTS.—Subsection (c) of such 
section is further amended— 
(1) by redesignating paragraphs (1), (2), and 
(3) as subparagraphs (A), (B), and (C), respectively; 
(2) by inserting ‘‘(1)’’ after ‘‘(c)’’; 
(3) by striking ‘‘If the claimant’’ and inserting 
the following: 
‘‘(2) If the claimant’’; and 
(4) by striking ‘‘A claimant’s acceptance’’ and 
inserting the following: 
‘‘(3) A claimant’s acceptance’’. 
(d) RETROACTIVE
EFFECTIVENESS
OF
AMEND-
MENTS.—The amendment made by subsection (a) shall 
apply with respect to any sentence of a court-martial set 
aside by a Corrections Board on or after October 1, 2007, 
when the Corrections Board includes an order or rec-
ommendation for the payment of a claim for the loss of 
pay, allowances, compensation, emoluments, or other pe-
cuniary benefits, or for the repayment of a fine or for-
feiture, that arose as a result of the conviction. In this 
subsection, the term ‘‘Corrections Board’’ has the mean-
ing given that term in section 1557 of title 10, United 
States Code. 
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SEC. 593. EXTENSION OF LIMITATION ON REDUCTIONS OF 
PERSONNEL 
OF 
AGENCIES 
RESPONSIBLE 
FOR REVIEW AND CORRECTION OF MILITARY 
RECORDS. 
Section 1559(a) of title 10, United States Code, is 
amended by striking ‘‘October 1, 2008’’ and inserting 
‘‘December 31, 2010’’. 
SEC. 594. AUTHORITY TO ORDER RESERVE UNITS TO AC-
TIVE DUTY TO PROVIDE ASSISTANCE IN RE-
SPONSE TO A MAJOR DISASTER OR EMER-
GENCY. 
Section 12304(b) of title 10, United States Code, is 
amended— 
(1) by redesignating paragraphs (1) and (2) as 
subparagraphs (A) and (B), respectively; 
(2) by inserting ‘‘(1)’’ before ‘‘The authority’’; 
and 
(3) by adding at the end the following new 
paragraph: 
‘‘(2) The authority under subsection (a) includes au-
thority to order any unit of the Selected Reserve of the 
Army Reserve, Navy Reserve, Air Force Reserve, Marine 
Corps Reserve, or Coast Guard Reserve to active duty to 
provide assistance in responding to a major disaster or 
emergency (as those terms are defined in section 102 of 
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the Robert T. Stafford Disaster Relief and Emergency As-
sistance Act (42 U.S.C. 5122)).’’. 
SEC. 595. SENIOR MILITARY LEADERSHIP DIVERSITY COM-
MISSION. 
(a) ESTABLISHMENT
OF COMMISSION.—There is 
hereby established a commission to be known as the ‘‘Sen-
ior Military Leadership Diversity Commission’’. 
(b) COMPOSITION.— 
(1) MEMBERSHIP.—The commission shall be 
composed of 23 members, as follows: 
(A) The Director of the Defense Manpower 
Management Center. 
(B) The Director of the Defense Equal 
Opportunity Management Institute. 
(C) 1 senior military leader from each of 
the Army, Navy, Air Force, and Marine Corps 
who serves or has served in a leadership posi-
tion with either a military department com-
mand or combatant command shall be ap-
pointed by the Secretary of Defense. 
(D) 1 retired general or flag officer from 
each of the Army, Navy, Air Force, and Marine 
Corps shall be appointed by the Secretary of 
Defense. 
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HR 5658 PCS 
(E) 1 retired senior noncommissioned offi-
cer from each of the Army, Navy, Air Force, 
and Marine Corps shall be appointed by the 
Secretary of Defense. 
(F) 5 retired senior officers who served in 
leadership positions with either a military de-
partment command or combatant command 
shall be appointed by the Secretary of Defense, 
of which no less than 3 shall represent the 
views of minority veterans. 
(G) 4 individuals with expertise in culti-
vating diverse leaders in private or non-profit 
organizations shall be appointed by the Sec-
retary of Defense. 
(2) CHAIRMAN.—The Secretary of Defense 
shall designate one member described in paragraphs 
(1)(F) or (1)(G) as chairman of the commission. 
(3) PERIOD
OF
APPOINTMENT; VACANCIES.— 
Members shall be appointed for the life of the com-
mission. Any vacancy in the commission shall be 
filled in the same manner as the original appoint-
ment. 
(4) DEADLINE FOR APPOINTMENT.—All mem-
bers of the commission shall be appointed not later 
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than 60 days after the date of the enactment of this 
Act. 
(5) QUORUM.—12 members of the commission 
shall constitute a quorum but a lesser number may 
hold hearings. 
(c) MEETINGS.— 
(1) INITIAL MEETING.—The commission shall 
conduct its first meeting not later than 30 days 
after the date on which a majority of the appointed 
members of the commission have been appointed. 
(2) MEETINGS.—The commission shall meet at 
the call of the chairman. 
(d) DUTIES.— 
(1) STUDY.—The commission shall study the 
diversity within the senior leadership of the Armed 
Forces. The study shall be a comprehensive evalua-
tion and assessment of policies that provide opportu-
nities for the advancement of minority members of 
the Armed Forces. 
(2) SCOPE
OF
STUDY.—In carrying out the 
study, the commission shall examine the following: 
(A) Efforts to develop and maintain di-
verse leadership at all levels of the Armed 
Forces. 
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HR 5658 PCS 
(B) The successes and failures of devel-
oping and maintaining a diverse leadership, 
particularly at the general and flag officer posi-
tions. 
(C) The effect of expanding Department of 
Defense secondary educational programs to di-
verse civilian populations, to include service 
academy preparatory schools. 
(D) The ability of current recruitment and 
retention practices to attract and maintain a di-
verse pool of qualified individuals in sufficient 
numbers in officer pre-commissioning programs. 
(E) The ability of current activities to in-
crease continuation rates for ethnic and gender 
specific members of the Armed Forces. 
(F) The benefits of conducting an annual 
conference attended by civilian military, active- 
duty and retired military, and corporate leaders 
on diversity, to include a review of current pol-
icy and the annual demographic data from the 
Defense Equal Opportunity Management Insti-
tute. 
(G) The status of prior recommendations 
made to the Department of Defense and to 
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Congress concerning diversity initiatives within 
the Armed Forces. 
(H) The incorporation of private sector 
practices that have been successful in culti-
vating diverse leadership. 
(I) The establishment and maintenance of 
fair promotion and command opportunities for 
ethnic and gender specific members of the 
Armed Forces at the O–5 grade level and 
above. 
(J) An assessment of pre-command billet 
assignments of ethnic-specific members of the 
Armed Forces. 
(K) An assessment of command selection 
of ethnic-specific members of the Armed 
Forces. 
(3) CONSULTATION WITH PRIVATE PARTIES.— 
In carrying out the study under this subsection, the 
commission may consult with appropriate private, 
for profit, and non-profit organizations and advocacy 
groups to learn methods for developing, imple-
menting, and sustaining senior diverse leadership 
within the Department of Defense. 
(e) REPORTS.— 
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HR 5658 PCS 
(1) IN GENERAL.—Not later than 12 months 
after the date on which the commission first meets, 
the commission shall submit to the President and 
Congress a report on the study. The report shall in-
clude the following— 
(A) the findings and conclusions of the 
commission; 
(B) the recommendations of the commis-
sion for improving diversity within the Depart-
ment of Defense; and 
(C) other information and recommenda-
tions the commission considers appropriate. 
(2) INTERIM REPORTS.—The commission may 
submit to the President and Congress interim re-
ports as the Commission considers appropriate. 
(f) POWERS OF THE COMMISSION.— 
(1) HEARINGS.—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 appropriate. 
(2) INFORMATION FROM FEDERAL AGENCIES.— 
Upon request by the chairman of the commission, 
any department or agency of the Federal Govern-
ment may provide information that the commission 
considers necessary to carry out its duties. 
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(g) INCLUSION OF COAST GUARD IN SENIOR MILI-
TARY LEADERSHIP DIVERSITY COMMISSION.— 
(1) EXPANSION OF COMMISSION.—The commis-
sion shall include two additional members, as fol-
lows: 
(A) 1 retired flag officer of the Coast 
Guard appointed by the Secretary of Homeland 
Security, in consultation with the Commandant 
of the Coast Guard. 
(B) 1 senior commissioned officer or non-
commissioned officer of the Coast Guard on ac-
tive duty appointed by the Secretary of Home-
land Security, in consultation with the Com-
mandant of the Coast Guard. 
(2) ARMED FORCES DEFINED.—In this section, 
the term ‘‘Armed Forces’’ means the Army, Navy, 
Air Force, Marine Corps, and Coast Guard. 
(h) TERMINATION OF COMMISSION.—The commis-
sion shall terminate 60 days after the date on which the 
commission submits the report under subsection (e)(1). 
SEC. 596. LIMITATION ON SIMULTANEOUS DEPLOYMENT TO 
COMBAT ZONES OF DUAL-MILITARY COUPLES 
WHO HAVE MINOR DEPENDENTS. 
(a) AUTHORITY TO OBTAIN DEFERMENT.—In the 
case of a member of the Armed Forces with minor depend-
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HR 5658 PCS 
ents who has a spouse who is also a member of the Armed 
Forces, and the spouse is deployed in an area for which 
imminent danger pay is authorized under section 310 of 
title 37, United States Code, the member may request a 
deferment of a deployment to such an area until the 
spouse returns from such deployment. 
(b) REPEAL OF LIMITED AUTHORITY.—Section 586 
of the National Defense Authorization Act for Fiscal Year 
2008 (Public Law 11-–181; 112 Stat. 132; 10 U.S.C. 991 
note) is amended by striking the second sentence. 
SEC. 597. ADDITIONAL FUNDS TO CARRY OUT FUNERAL 
HONOR FUNCTIONS AT FUNERALS FOR VET-
ERANS. 
(a) ADDITIONAL FUNDS.—The amount made avail-
able in section 421 is hereby increased by $3,000,000, of 
which $1,000,000 shall be available to the Secretary of 
the Army, $1,000,000 shall be available to the Secretary 
of the Navy, and $1,000,000 shall be available to the Sec-
retary of the Air Force to comply with the requirements 
of section 1491 of title 10, United States Code. 
(b) CORRESPONDING OFFSET.—The amount pro-
vided in section 201(1) for research, development, test, 
and evaluation, Army, is hereby reduced by $3,000,000, 
to be derived from the basic research under the University 
Research Initiatives. 
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TITLE VI—COMPENSATION AND 
OTHER PERSONNEL BENEFITS 
Subtitle A—Pay and Allowances 
Sec. 601. Fiscal year 2009 increase in military basic pay. 
Sec. 602. Permanent prohibition on charges for meals received at military 
treatment facilities by members receiving continuous care. 
Sec. 603. Equitable treatment of senior enlisted members in computation of 
basic allowance for housing. 
Sec. 604. Increase in maximum authorized payment or reimbursement amount 
for temporary lodging expenses. 
Sec. 605. Availability of portion of a second family separation allowance for 
married couples with dependents. 
Sec. 606. Stabilization of pay and allowances for senior enlisted members and 
warrant officers appointed as officers and officers reappointed 
in a lower grade. 
Sec. 607. Extension of authority for income replacement payments for reserve 
component members experiencing extended and frequent mobi-
lization for active duty service. 
Sec. 608. Guaranteed pay increase for members of the Armed Forces of one- 
half of one percentage point higher than Employment Cost 
Index. 
Subtitle B—Bonuses and Special and Incentive Pays 
Sec. 611. Extension of certain bonus and special pay authorities for Reserve 
forces. 
Sec. 612. Extension of certain bonus and special pay authorities for health care 
professionals. 
Sec. 613. Extension of special pay and bonus authorities for nuclear officers. 
Sec. 614. Extension of authorities relating to payment of other title 37 bonuses 
and special pays. 
Sec. 615. Extension of authorities relating to payment of referral bonuses. 
Sec. 616. Increase in maximum bonus and stipend amounts authorized under 
Nurse Officer Candidate Accession Program. 
Sec. 617. Maximum length of nuclear officer incentive pay agreements for serv-
ice. 
Sec. 618. Technical changes regarding consolidation of special pay, incentive 
pay, and bonus authorities of the uniformed services. 
Sec. 619. Use of new skill incentive pay and proficiency bonus authorities to 
encourage training in critical foreign languages and foreign 
cultural studies. 
Sec. 620. Temporary targeted bonus authority to increase direct accessions of 
officers in certain health professions. 
Subtitle C—Travel and Transportation Allowances 
Sec. 631. Increased weight allowance for transportation of baggage and house-
hold effects for certain enlisted members. 
Sec. 632. Additional weight allowance for transportation of materials associated 
with employment of a member’s spouse or community support 
volunteer or charity activities. 
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HR 5658 PCS 
Sec. 633. Transportation of family pets during evacuation of nonessential per-
sonnel. 
Subtitle D—Retired Pay and Survivor Benefits 
Sec. 641. Equity in computation of disability retired pay for reserve component 
members wounded in action. 
Sec. 642. Effect of termination of subsequent marriage on payment of Survivor 
Benefit Plan annuity to surviving spouse or former spouse who 
previously transferred annuity to dependent children. 
Sec. 643. Extension to survivors of certain members who die on active duty of 
special survivor indemnity allowance for persons affected by re-
quired Survivor Benefit Plan annuity offset for dependency and 
indemnity compensation. 
Sec. 644. Election to receive retired pay for non-regular service upon retirement 
for service in an active reserve status performed after attaining 
eligibility for regular retirement. 
Sec. 645. Recomputation of retired pay and adjustment of retired grade of Re-
serve retirees to reflect service after retirement. 
Sec. 646. Correction of unintended reduction in survivor benefit plan annuities 
due to phased elimination of two-tier annuity computation and 
supplemental annuity. 
Sec. 647. Presumption of death for participants in Survivor Benefit Plan in 
missing status. 
Sec. 648. Eligibility for disability retired pay and separation pay of certain 
former cadets and midshipmen with prior enlisted service. 
Subtitle E—Commissary and Nonappropriated Fund Instrumentality Benefits 
and Operations 
Sec. 651. Use of commissary stores surcharges derived from temporary com-
missary initiatives for reserve components and retired mem-
bers. 
Sec. 652. Requirements for private operation of commissary store functions. 
Sec. 653. Additional exception to limitation on use of appropriated funds for 
Department of Defense golf courses. 
Sec. 654. Enhanced enforcement of prohibition on sale or rental of sexually ex-
plicit material on military installations. 
Sec. 655. Requirement to buy military decorations, ribbons, badges, medals, in-
signia, and other uniform accouterments produced in the 
United States. 
Sec. 656. Use of appropriated funds
to pay post allowances or overseas cost 
of living allowances to nonappropriated fund instrumentality 
employees serving overseas. 
Sec. 657. Study regarding sale of alcoholic wine and beer in commissary stores 
in addition to exchange stores. 
Subtitle F—Other Matters 
Sec. 661. Bonus to encourage Army personnel and other persons to refer per-
sons for enlistment in the Army. 
Sec. 662. Continuation of entitlement to bonuses and similar benefits for mem-
bers of the uniformed services who die, are separated or retired 
for disability, or meet other criteria. 
Sec. 663. Providing injured members of the Armed Forces information con-
cerning benefits. 
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Sec. 664. Postal benefits program for members of the Armed Forces serving 
in Iraq or Afghanistan. 
Subtitle A—Pay and Allowances 
SEC. 601. FISCAL YEAR 2009 INCREASE IN MILITARY BASIC 
PAY. 
(a) WAIVER OF SECTION 1009 ADJUSTMENT.—The 
adjustment to become effective during fiscal year 2009 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) INCREASE IN BASIC PAY.—Effective on January 
1, 2009, the rates of monthly basic pay for members of 
the uniformed services are increased by 3.9 percent. 
SEC. 602. PERMANENT PROHIBITION ON CHARGES FOR 
MEALS RECEIVED AT MILITARY TREATMENT 
FACILITIES BY MEMBERS RECEIVING CON-
TINUOUS CARE. 
Section 402(h) of title 37, United States Code, is 
amended by striking paragraph (3). 
SEC. 603. EQUITABLE TREATMENT OF SENIOR ENLISTED 
MEMBERS IN COMPUTATION OF BASIC AL-
LOWANCE FOR HOUSING. 
Section 403(b)(2) of title 37, United States Code, is 
amended by adding at the end the following new sentence: 
‘‘After June 30, 2009, the determination of what con-
stitutes adequate housing for members in the pay grade 
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HR 5658 PCS 
E–8 with dependents shall be equivalent to the higher 
standard in effect for members in the pay grade E–9 with 
dependents.’’. 
SEC. 604. INCREASE IN MAXIMUM AUTHORIZED PAYMENT 
OR REIMBURSEMENT AMOUNT FOR TEM-
PORARY LODGING EXPENSES. 
(a) INCREASE.—Section 404a(e) of title 37, United 
States Code, is amended by striking ‘‘$180 a day’’ and 
inserting ‘‘$290 a day’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall take effect on October 1, 2008. 
SEC. 605. AVAILABILITY OF PORTION OF A SECOND FAMILY 
SEPARATION 
ALLOWANCE 
FOR 
MARRIED 
COUPLES WITH DEPENDENTS. 
(a) AVAILABILITY.—Section 427(d) of title 37, 
United States Code, is amended— 
(1) by inserting ‘‘(1)’’ before ‘‘A member’’; 
(2) by striking ‘‘Section 421’’ and inserting the 
following: 
‘‘(3) Section 421’’; 
(3) by striking ‘‘However’’ and inserting ‘‘Ex-
cept as provided in paragraph (2)’’; and 
(4) by inserting before paragraph (3), as so 
designated, the following new paragraph: 
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HR 5658 PCS 
‘‘(2) If a married couple, both of whom are members 
of the uniformed services, with dependents are simulta-
neously assigned to duties described in subparagraph (A), 
(B), or (C) of subsection (a)(1) and the members resided 
together with their dependents immediately before their 
assignments, the Secretary concerned shall pay one of the 
members the full amount of the monthly allowance speci-
fied in such subsection and the other member one-half of 
the monthly allowance amount until one of the members 
is no longer assigned to duties described in such subpara-
graphs. Upon expiration of the partial allowance, para-
graph (1) shall continue to apply to the remaining member 
so long as the member is assigned to duties described in 
subparagraph (A), (B), or (C) of such subsection.’’. 
(b) APPLICATION OF AMENDMENT.—Paragraph (2) 
of subsection (d) of section 427 of title 37, United States 
Code, as added by subsection (a), shall apply with respect 
to members of the uniformed services described in such 
paragraph who perform service covered by subparagraph 
(A), (B), or (C) of subsection (a)(1) such section on or 
after October 1, 2008. 
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SEC. 606. STABILIZATION OF PAY AND ALLOWANCES FOR 
SENIOR ENLISTED MEMBERS AND WARRANT 
OFFICERS APPOINTED AS OFFICERS AND OF-
FICERS REAPPOINTED IN A LOWER GRADE. 
(a) IN GENERAL.—Section 907 of title 37, United 
States Code, is amended to read as follows: 
‘‘§ 907. Members appointed or reappointed as officers: 
no reduction in pay and allowances 
‘‘(a) STABILIZATION OF PAY AND ALLOWANCES.—A 
member of the armed forces who accepts an appointment 
or reappointment as an officer without a break in service 
shall, for service as an officer, be paid the greater of— 
‘‘(1) the pay and allowances to which the officer 
is entitled as an officer; or 
‘‘(2) the pay and allowances to which the officer 
would be entitled if the officer were in the last grade 
the officer held before the appointment or reappoint-
ment as an officer. 
‘‘(b) COVERED PAYS.—(1) Subject to paragraphs (2) 
and (3), for the purposes of this section, the pay of a grade 
formerly held by an officer described in subsection (a) in-
clude special and incentive pays under chapter 5 of this 
title. 
‘‘(2) In determining the amount of the pay of a grade 
formerly held by an officer, special and incentive pays may 
be considered only so long as the officer continues to per-
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