312 
(B) Breast screening. 
(C) Cervical screening. 
(D) Prostate screening. 
(E) Annual physical exam. 
(F) Vaccinations 
(2) MEDICARE-ELIGIBLE.—The term ‘‘medi-
care-eligible’’ has the meaning provided by section 
1111((b) of title 10, United States Code. 
SEC. 712. MILITARY HEALTH RISK MANAGEMENT DEM-
ONSTRATION PROJECT. 
(a) DEMONSTRATION
PROJECT
REQUIRED.—The 
Secretary of Defense shall conduct a demonstration 
project designed to evaluate the efficacy of providing in-
centives to encourage healthy behaviors on the part of eli-
gible military health system beneficiaries. 
(b) ELEMENTS OF DEMONSTRATION PROJECT.— 
(1) WELLNESS
ASSESSMENT.—The Secretary 
shall develop a wellness assessment to be offered to 
beneficiaries enrolled in the demonstration project. 
The wellness assessment shall incorporate nationally 
recognized standards for health and healthy behav-
iors and shall be offered to determine a baseline and 
at appropriate intervals determined by the Sec-
retary. The wellness assessment shall include the fol-
lowing:
313 
(A) A self-reported health risk assessment. 
(B) Physiological and biometric measures, 
including at least— 
(i) blood pressure; 
(ii) glucose level; 
(iii) lipids; and 
(iv) nicotine use. 
(2) POPULATION ENROLLED.—Non-medicare el-
igible retired beneficiaries of the military health sys-
tem and their dependents who are enrolled in 
TRICARE Prime and who reside in the demonstra-
tion project service area shall be enrolled in the dem-
onstration project. 
(3) GEOGRAPHIC
COVERAGE
OF
DEMONSTRA-
TION PROJECT.—The demonstration project shall be 
conducted in at least three geographic areas within 
the United States where TRICARE Prime is of-
fered, as determined by the Secretary. The area cov-
ered by the project shall be referred to as the dem-
onstration project service area. 
(4) PROGRAMS.—The Secretary shall develop 
programs to assist enrollees to improve healthy be-
haviors, as identified by the wellness assessment. 
(5) INCLUSION
OF
INCENTIVES
REQUIRED.— 
For the purpose of conducting the demonstration
314 
project, the Secretary may offer monetary and non- 
monetary incentives to enrollees to encourage par-
ticipation in the demonstration project. 
(c) EVALUATION OF DEMONSTRATION PROJECT.— 
The Secretary shall annually evaluate the demonstration 
project for the following: 
(1) The extent to which the health risk assess-
ment and the physiological and biometric measures 
of beneficiaries are improved from the baseline (as 
determined in the wellness assessment). 
(2) In the case of baseline health risk assess-
ments and physiological and biometric measures that 
reflect healthy behaviors, the extent to which the 
measures are maintained. 
(d) IMPLEMENTATION PLAN.—The Secretary of De-
fense shall submit a plan to implement the health risk 
management demonstration project required by this sec-
tion not later than 90 days after the date of the enactment 
of this Act. 
(e) DURATION OF PROJECT.—The health risk man-
agement demonstration project shall be implemented for 
a period of three years, beginning not later than March 
1, 2009, and ending three years after that date. 
(f) REPORT.—
315 
(1) IN
GENERAL.—The Secretary of Defense 
shall submit to the Committees on Armed Services 
of the Senate and the House of Representatives an 
annual report on the effectiveness of the health risk 
management demonstration project in improving the 
health risk measures of military health system bene-
ficiaries enrolled in the demonstration project. The 
first report shall be submitted not later than one 
year after the date of the enactment of this Act, and 
subsequent reports shall be submitted for each year 
of the demonstration project with the final report 
being submitted not later than 90 days after the ter-
mination of the demonstration project. 
(2) MATTERS COVERED.—Each report shall ad-
dress, at a minimum, the following: 
(A) The number of beneficiaries who were 
enrolled in the project. 
(B) The number of enrolled beneficiaries 
who participate in the project. 
(C) The incentives to encourage healthy 
behaviors that were provided to the bene-
ficiaries in each beneficiary category, and the 
extent to which the incentives encouraged 
healthy behaviors.
316 
(D) An assessment of the effectiveness of 
the demonstration project. 
(E) Recommendations for adjustments to 
the demonstration project. 
(F) The estimated costs avoided as a re-
sult of decreased health risk conditions on the 
part of each of the beneficiary categories. 
(G) Recommendations for extending the 
demonstration project or implementing a per-
manent wellness assessment program. 
(H) Identification of legislative authorities 
required to implement a permanent program. 
SEC. 713. SMOKING CESSATION PROGRAM UNDER TRICARE. 
(a) TRICARE SMOKING CESSATION PROGRAM.— 
Not later than 180 days after the date of the enactment 
of this Act, the Secretary of Defense shall establish a 
smoking cessation program under the TRICARE pro-
gram, to be made available to all beneficiaries under the 
TRICARE program who are not medicare-eligible. The 
Secretary may prescribe such regulations as may be nec-
essary to implement the program. 
(b) ELEMENTS.—The program shall include, at a 
minimum, the following elements: 
(1) The availability, at no cost to the bene-
ficiary, of pharmaceuticals used for smoking ces-
317 
sation, with a limitation on the availability of such 
pharmaceuticals to the national mail-order pharmacy 
program under the TRICARE program if appro-
priate. 
(2) Access to a toll-free quit line that is avail-
able 24 hours a day, 7 days a week. 
(3) Access to printed and Internet web-based 
tobacco cessation material. 
(c) PLAN.—Not later than 90 days after the date of 
the enactment of this Act, the Secretary shall submit to 
the congressional defense committees a plan to implement 
the program. 
(d) REFUND OF COPAYMENTS.— 
(1) AUTHORITY.—Under regulations prescribed 
by the Secretary of Defense, the Secretary may pay 
a refund to a medicare-eligible beneficiary otherwise 
excluded by this section, subject to the availability of 
appropriations specifically for such refunds, con-
sisting of an amount up to the difference between— 
(A) the amount the beneficiary pays for co-
payments for smoking cessation services de-
scribed in subsection (b) during fiscal year 
2009; and 
(B) the amount the beneficiary would have 
paid during such fiscal year if the beneficiary
318 
had not been excluded under subsection (a) 
from the smoking cessation program under that 
subsection. 
(2) 
COPAYMENTS
COVERED.—The 
refunds 
under paragraph (1) are available only for copay-
ments paid by medicare-eligible beneficiaries during 
fiscal year 2009. 
(3) FUNDING.—Of the amounts authorized to 
be appropriated under title XIV for the Defense 
Health Program, $3,000,000 is authorized for the 
purposes of the refund authorized under this sub-
section. 
(e) REPORT.—Not later than one year after the date 
of the enactment of this Act, the Secretary shall submit 
to the congressional defense committees a report covering 
the following: 
(1) The status of the program. 
(2) The number of participants in the program. 
(3) The cost of the program. 
(4) The costs avoided that are attributed to the 
program. 
(5) The success rates of the program compared 
to other nationally recognized smoking cessation pro-
grams.
319 
(6) Findings regarding the success rate of par-
ticipants in the program. 
(7) Recommendations to modify the policies and 
procedures of the program. 
(8) Recommendations concerning the future 
utility of the program. 
(f) DEFINITIONS.—In this section: 
(1) 
TRICARE 
PROGRAM.—The 
term 
‘‘TRICARE program’’ has the meaning provided by 
section 1072(7) of title 10, United States Code. 
(2) MEDICARE-ELIGIBLE.—The term ‘‘medi-
care-eligible’’ has the meaning provided by section 
1111(b) of title 10, United States Code. 
SEC. 714. PREVENTIVE HEALTH ALLOWANCE. 
(a) ALLOWANCE.—Chapter 7 of title 37, United 
States Code, is amended by adding at the end the fol-
lowing new section: 
‘‘§ 438. Preventive health services allowance 
‘‘(a) DEMONSTRATION PROJECT.—During the period 
beginning on January 1, 2009, and ending on December 
31, 2011, the Secretary of Defense shall conduct a dem-
onstration project designed to evaluate the efficacy of pro-
viding an annual allowance (to be known as a ‘preventive 
health services allowance’) to members of the armed forces 
described in subsection (b) to increase the use of preven-
320 
tive health services by such members and their depend-
ents. 
‘‘(b) ELIGIBLE MEMBERS.—(1) Subject to the nu-
merical limitations specified in paragraph (2), a member 
of the armed forces who is serving on active duty for a 
period of more than 30 days and meets the medical and 
dental readiness requirements for the armed force of the 
member may receive a preventive health services allow-
ance. 
‘‘(2) Not more than 1,500 members of each of the 
Army, Navy, Air Force, and Marine Corps may receive 
a preventive health services allowance during any year, of 
which half in each armed force shall be members without 
dependents and half shall be members with dependents. 
‘‘(c) AMOUNT OF ALLOWANCE.—The Secretary of the 
military department concerned shall pay a preventive 
health services allowance to a member selected to receive 
the allowance in an amount equal to— 
‘‘(1) $500 per year, in the case of a member 
without dependents; and 
‘‘(2) $1,000 per year, in the case of a member 
with dependents. 
‘‘(d) AUTHORIZED
PREVENTIVE
HEALTH
SERV-
ICES.—(1) The Secretary of Defense shall specify the 
types of preventive health services that may be procured
321 
using a preventive health services allowance and the fre-
quency at which such services may be procured. 
‘‘(2) At a minimum, authorized preventive health 
services shall include, taking into consideration the age 
and gender of the member and dependents of the member: 
‘‘(A) Colorectal screening. 
‘‘(B) Breast screening. 
‘‘(C) Cervical screening. 
‘‘(D) Prostate screening. 
‘‘(E) Annual physical exam. 
‘‘(F) Annual dental exam. 
‘‘(G) Vaccinations. 
‘‘(3) The Secretary of Defense shall ensure that 
members selected to receive the preventive health services 
allowance and their dependents are provided a reasonable 
opportunity to receive the services authorized under this 
subsection in their local area. 
‘‘(e) DATA COLLECTION.—At a minimum, the Sec-
retary of Defense shall monitor and record the health of 
members receiving a preventive health services allowance 
and their dependents and the results the testing required 
to qualify for payment of the allowance, if conducted. The 
Secretary shall assess the medical utility of the testing re-
quired to qualify for payment of a preventive health allow-
ance.
322 
‘‘(f) REPORTING REQUIREMENT.—Not later than 
March 31, 2010, and March 31, 2012, the Secretary of 
Defense shall submit to Congress a report on the status 
of the demonstration project, including findings regarding 
the medical status of participants, recommendations to 
modify the policies and procedures of the program, and 
recommendations concerning the future utility of the 
project. 
‘‘(g) REGULATIONS.—The Secretary of Defense shall 
prescribe regulations to carry out this section.’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
at the beginning of such chapter is amended by adding 
at the end the following new item: 
‘‘438. Preventive health care allowance.’’. 
Subtitle C—Wounded Warrior 
Matters 
SEC. 721. CENTER OF EXCELLENCE IN PREVENTION, DIAG-
NOSIS, MITIGATION, TREATMENT, AND REHA-
BILITATION OF HEARING LOSS AND AUDI-
TORY SYSTEM INJURIES. 
(a) IN GENERAL.—The Secretary of Defense shall es-
tablish within the Department of Defense a center of ex-
cellence in the prevention, diagnosis, mitigation, treat-
ment, and rehabilitation of hearing loss and auditory sys-
tem injury to carry out the responsibilities specified in 
subsection (c).
323 
(b) PARTNERSHIPS.—The Secretary shall ensure that 
the center collaborates to the maximum extent practicable 
with the Secretary of Veterans Affairs, institutions of 
higher education, and other appropriate public and private 
entities (including international entities) to carry out the 
responsibilities specified in subsection (c). 
(c) RESPONSIBILITIES.— 
(1) IN GENERAL.—The center shall— 
(A) implement a comprehensive plan and 
strategy for the Department of Defense, as de-
veloped by the Secretary of Defense, for a reg-
istry of information for the tracking of the di-
agnosis, surgical intervention or other operative 
procedure, other treatment, and follow up for 
each case of hearing loss and auditory system 
injury incurred by a member of the Armed 
Forces while serving on active duty; 
(B) ensure the electronic exchange with 
the Secretary of Veterans Affairs of information 
obtained through tracking under subparagraph 
(A); and 
(C) enable the Secretary of Veterans Af-
fairs to access the registry and add information 
pertaining to additional treatments or surgical 
procedures and eventual hearing outcomes for
324 
veterans who were entered into the registry and 
subsequently received treatment through the 
Veterans Health Administration. 
(2) DESIGNATION OF REGISTRY.—The registry 
under this subsection shall be known as the ‘‘Hear-
ing Loss and Auditory System Injury Registry’’ 
(hereinafter referred to as the ‘‘Registry’’). 
(3) CONSULTATION
IN
DEVELOPMENT.—The 
center shall develop the Registry in consultation with 
audiologists, speech and language pathologists, 
otolaryngologists, and other specialist personnel of 
the Department of Defense and the audiologists, 
speech and language pathologists, otolaryngologists, 
and other specialist personnel of the Department of 
Veterans Affairs. The mechanisms and procedures of 
the Registry shall reflect applicable expert research 
on military and other hearing loss. 
(4) MECHANISMS.—The mechanisms of the 
Registry for tracking under paragraph (1)(A) shall 
ensure that each military medical treatment facility 
or other medical facility shall submit to the center 
for inclusion in the Registry information on the di-
agnosis, surgical intervention or other operative pro-
cedure, other treatment, and follow up for each case 
of hearing loss and auditory system injury described
325 
in that paragraph as follows (to the extent applica-
ble): 
(A) Not later than 30 days after surgery 
or other operative intervention, including a sur-
gery or other operative intervention carried out 
as a result of a follow-up examination. 
(B) Not later than 180 days after the 
hearing loss and auditory system injury is re-
ported or recorded in the medical record. 
(5) COORDINATION OF CARE AND BENEFITS.— 
(A) The center shall provide notice to the National 
Center 
for 
Rehabilitative 
Auditory 
Research 
(NCRAR) of the Department of Veterans Affairs 
and to the auditory system impairment services of 
the Veterans Health Administration on each member 
of the Armed Forces described in subparagraph (B) 
for purposes of ensuring the coordination of the pro-
vision of ongoing auditory system rehabilitation ben-
efits and services by the Department of Veterans Af-
fairs after the separation or release of such member 
from the Armed Forces. 
(B) A member of the Armed Forces described 
in this subparagraph is a member of the Armed 
Forces with significant hearing loss or auditory sys-
tem injury incurred while serving on active duty, in-
326 
cluding a member with auditory dysfunction related 
to traumatic brain injury. 
(d) UTILIZATION OF REGISTRY INFORMATION.—The 
Secretary of Defense and the Secretary of Veterans Af-
fairs shall jointly ensure that information in the Registry 
is available to appropriate audiologists, speech and lan-
guage pathologists, otolaryngologists, and other specialist 
personnel of the Department of Defense and the Depart-
ment of Veterans Affairs for purposes of encouraging and 
facilitating the conduct of research, and the development 
of best practices and clinical education, on hearing loss 
or auditory system injury incurred by members of the 
Armed Forces. 
(e) INCLUSION
OF RECORDS
OF OIF/OEF VET-
ERANS.—The Secretary of Defense shall take appropriate 
actions to include in the Registry such records of members 
of the Armed Forces who incurred a hearing loss or audi-
tory system injury while serving on active duty on or after 
September 11, 2001, but before the establishment of the 
Registry, as the Secretary considers appropriate for pur-
poses of the Registry. 
SEC. 722. CLARIFICATION TO CENTER OF EXCELLENCE RE-
LATING TO MILITARY EYE INJURIES. 
Section 1623(d) of Public Law 110–181 is amended 
by striking ‘‘in combat’’ at the end.
327 
SEC. 723. NATIONAL CASUALTY CARE RESEARCH CENTER. 
(a) REDESIGNATION
OF RESEARCH PROGRAM
AS 
CENTER.—Not later than October 1, 2009, the Secretary 
of Defense shall designate a center be known as the ‘‘Na-
tional Casualty Care Research Center’’ (in this section re-
ferred to as the ‘‘Center’’), which shall consist of the pro-
gram known as the combat casualty care research pro-
gram at the Army Medical Research and Materiel Com-
mand as modified in accordance with this section. 
(b) DIRECTOR.—There shall be a director of the Cen-
ter, who shall be appointed by the Secretary after con-
sultation with the commanding general of the Medical Re-
search and Materiel Command. 
(c) ACTIVITIES OF THE CENTER.—In addition to the 
functions already performed by the combat casualty care 
research program, the Center shall— 
(1) provide a public-private partnership for 
funding clinical and experimental studies in combat 
injury; 
(2) integrate laboratory and clinical research to 
hasten improvements in care to both civilians and 
members of the Armed Forces who are injured; 
(3) ensure that data from both military and ci-
vilian entities, including the Joint Theater Trauma 
Registry and the National Trauma Data Bank, are
328 
optimally used to establish research agendas and 
measure improvements in outcomes; and 
(4) fund the full spectrum of injury research 
and evaluation, including— 
(A) laboratory, translational, and clinical 
research; 
(B) point of wounding and pre-hospital 
care; 
(C) early resuscitative management; 
(D) initial and definitive surgical care; 
(E) rehabilitation and reintegration into 
society; and 
(F) coordinate multi-institutional civilian/ 
military collaboration and trauma research. 
(d) AUTHORIZATION.—In addition to amounts au-
thorized for the combat casualty care research program 
of the Army Medical Research and Materiel Command, 
there is authorized to be appropriated $1,000,000 for the 
Center established pursuant to this section. 
(e) FUNDING ADJUSTMENTS.—For the amounts au-
thorized in subsection (d): 
(1) The amount for the Defense Health Pro-
gram, Research and Development, is hereby in-
creased by $1,000,000, to be available for the
329 
United States Army Medical Research and Materiel 
Command. 
(2) The amount for Weapons Procurement, 
Navy, is hereby reduced by $1,000,000, to be de-
rived from other missiles. 
SEC. 724. PEER-REVIEWED RESEARCH PROGRAM ON EX-
TREMITY WAR INJURIES. 
(a) 
ESTABLISHMENT
OF
PEER-REVIEWED 
ORTHOPAEDIC EXTREMITY TRAUMA RESEARCH PRO-
GRAM.—Not later than 180 days after the date of the en-
actment of this Act, the Secretary of Defense shall estab-
lish a competitive, peer-reviewed research program within 
the Defense Health Program’s research and development 
function to conduct peer-reviewed medical research at 
military and civilian institutions designed to develop sci-
entific information aimed at saving injured extremities, 
avoiding amputations, and preserving and restoring the 
function of injured extremities. Such research shall ad-
dress military medical needs and include the full range 
of scientific inquiry encompassing basic, translational, and 
clinical research. 
(b) REPORT.—Not later than 180 days after the date 
of the enactment of this Act, the Secretary of Defense 
shall submit to Congress a report on the plans for estab-
lishment, management, and operation of the Peer-Re-
330 
viewed Research Program on Extremity War Injuries re-
quired under this section. 
(c) EFFECTIVE DATE.—This section shall be in effect 
until September 30, 2013. 
SEC. 725. REVIEW OF POLICIES AND PROCESSES RELATED 
TO THE DELIVERY OF MAIL TO WOUNDED 
MEMBERS OF THE ARMED FORCES. 
(a) REVIEW
OF DELIVERY POLICY
AND PROC-
ESSES.—The Secretary of Defense shall review the policies 
and processes related to the delivery of letters, packages, 
messages, and other communications that are intended as 
measures of support and addressed generally to wounded 
and injured members of the Armed Forces (such as ‘‘To 
any Wounded Warrior’’ or ‘‘To Any Wounded Service 
Member’’) in military medical treatment facilities and 
other locations where members of the Armed Forces are 
treated and rehabilitated. 
(b) SPECIFIC PROCESSES.—In conducting the review 
under subsection (a), the Secretary of Defense shall deter-
mine the following: 
(1) Whether the current Department of Defense 
prohibition on the direct delivery of such letters, 
packages, messages, and other communications to 
wounded and injured members of the Armed Forces 
should be modified.
331 
(2) The adequacy, particularly from the per-
spective of wounded and injured members of the 
Armed Forces, of the current governmental and non- 
governmental delivery processes. 
(c) CORRECTIVE ACTIONS.—Based on the review 
under subsection (a), the Secretary of Defense may take 
actions to correct or modify the policies and processes re-
lated to the delivery of letters, packages, messages, and 
other communications to wounded and injured members 
of the Armed Forces as the Secretary determines appro-
priate. 
(d) REPORT.—Not later than 90 days after the date 
of the enactment of this Act, the Secretary of Defense 
shall submit to the Committee on Armed Services of the 
Senate and the Committee on Armed Services of the 
House of Representatives a report on the results of the 
review under subsection (a) and the ongoing and projected 
actions to correct or modify the policies and processes re-
lated to the delivery of letters, packages, messages, and 
other communications to wounded and injured members 
of the Armed Forces. 
SEC. 726. POST-DEPLOYMENT MENTAL HEALTH SCREENING 
DEMONSTRATION PROJECT. 
(a) DEMONSTRATION
PROJECT
REQUIRED.—The 
Secretary of Defense shall conduct a demonstration
332 
project to assess the feasibility and efficacy of providing 
a face to face post-deployment mental health screening be-
tween a member of the Armed Forces and a mental health 
provider. 
(b) ELEMENTS.—The demonstration project shall in-
clude, at a minimum, the following elements: 
(1) A combat stress evaluation conducted in 
person by a qualified mental health professional 
within 120 to 180 days after the date on which the 
member returns from combat theater. 
(2) Phone follow-ups by a case manager, not 
necessarily stationed at the military installation, at 
the following intervals after the initial post-deploy-
ment screening: 
(A) Six months. 
(B) Twelve months. 
(C) Eighteen months. 
(D) Twenty-four months. 
(c) CONSULTATION.—The Secretary of Defense shall 
develop the demonstration project in consultation with the 
Secretary of Veterans Affairs and the Secretary of Health 
and Human Services. The Secretary of Defense may also 
coordinate the program with any accredited college, uni-
versity, hospital-based or community-based mental health 
center the Secretary considers appropriate.
333 
(d) SELECTION OF MILITARY INSTALLATION.—The 
demonstration project shall be conducted at two military 
installations, one active duty and one reserve component 
demobilization station, selected by the Secretary of De-
fense. The installations selected shall have members of the 
Armed Forces on active duty and members of the reserve 
components that use the installation as a training and op-
erating base, with members routinely deploying in support 
of operations in Iraq, Afghanistan, and other assignments 
related to the global war on terrorism. 
(e) PERSONNEL REQUIREMENTS.—The Secretary of 
Defense shall ensure an adequate number of the following 
personnel in the program: 
(1) Qualified mental health professionals that 
are licensed psychologists, psychiatrists, psychiatric 
nurses, or clinical social workers. 
(2) Suicide prevention counselors. 
(f) TIMELINE.— 
(1) The demonstration project required by this 
subsection shall be implemented not later than Sep-
tember 30, 2009. 
(2) Authority for this demonstration project 
shall expire on September 30, 2011. 
(g) REPORTS.—The Secretary of Defense shall sub-
mit to the congressional defense committees—
334 
(1) a plan to implement the demonstration 
project, including site selection and criteria for 
choosing the site, not later than June 1, 2009, 
(2) an interim report every 180 days thereafter; 
and 
(3) a final report detailing the results not later 
than January 1, 2012. 
Subtitle D—Other Matters 
SEC. 731. REPORT ON STIPEND FOR MEMBERS OF RESERVE 
COMPONENTS FOR HEALTH CARE FOR CER-
TAIN DEPENDENTS. 
The Secretary of Defense shall submit to the congres-
sional defense committees a report on the extent to which 
the Secretary has exercised the authority provided in sec-
tion 704 of the National Defense Authorization Act for 
Fiscal Year 2008 (Public Law 110–181; 122 Stat. 188; 
10 U.S.C. 1076 note). 
SEC. 732. REPORT ON PROVIDING THE EXTENDED CARE 
HEALTH OPTION PROGRAM TO AUTISTIC DE-
PENDENTS OF MILITARY RETIREES. 
(a) REPORT REQUIRED.—Not later than 90 days 
after the date of the enactment of this Act, the Secretary 
of Defense shall submit to the congressional defense com-
mittees a report that contains a plan for including autistic 
dependents of military retirees in the Extended Care
335 
Health Option program (hereafter in this section referred 
to as the ‘‘ECHO program’’). 
(b) CONTENTS OF REPORT.—The report required 
under subsection (a) shall include the following: 
(1) The most current data on the number of 
military retirees with autistic dependents and an es-
timate of the number of future military retirees with 
autistic dependents. 
(2) The cost estimates of providing extended 
benefits under the ECHO program to autistic de-
pendents of all current and future military retirees. 
(3) The feasibility of including autistic depend-
ents of military retirees in any ongoing demonstra-
tion or pilot programs within the ECHO program. 
(4) The statutory and regulatory impediments 
to including autistic dependents of military retirees 
in the ECHO program. 
SEC. 733. SENSE OF CONGRESS REGARDING AUTISM THER-
APY SERVICES. 
(a) MINIMUM COST SHARE PER MONTH.—The Sec-
retary of Defense shall ensure that autistic children of 
members of the Armed Forces enrolled in the Extended 
Care Health Option program shall be eligible to receive 
a minimum of $5,000 per month of autistic therapy serv-
ices.
336 
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that the Secretary of Defense should ensure that the 
process in determining eligibility for autistic therapy serv-
ices provided to the children of members of the Armed 
Forces is conducted in an expeditious manner and without 
delay. 
(c) STUDY AND REPORT.— 
(1) STUDY.—The Secretary of Defense shall 
conduct a study on autistic therapy services in the 
Department of Defense. The study shall include— 
(A) an evaluation of whether such services 
would be better managed under the TRICARE 
program; and 
(B) the potential benefits and costs of a 
transition of the management of such services 
from the exceptional family member programs 
to the TRICARE program. 
(2) REPORT.—Not later than July 30, 2009, 
the Secretary shall submit to the Committees on 
Armed Services of the Senate and the House of Rep-
resentatives a report on the results of the study. 
(d) DEFINITIONS.—In this section: 
(1) AUTISTIC THERAPY SERVICES.—The term 
‘‘autistic therapy services’’ includes applied behavior 
analysis.
337 
(2) 
TRICARE 
PROGRAM.—The 
term 
‘‘TRICARE program’’ has the meaning provided by 
section 1072 of title 10, United States Code. 
(3) EXTENDED
CARE
HEALTH
OPTION.—The 
term ‘‘Extended Care Health Option’’ means the 
program of extended benefits provided pursuant to 
subsections (d), (e), and (f) of section 1079 of title 
10, United States Code. 
(e) FUNDING.—Of the amount authorized to be ap-
propriated by section 1511(a), $29,000,000 is authorized 
to be used to carry out this section. 
SEC. 734. REPORT ON IMPLEMENTATION OF RECOMMENDA-
TIONS CONTAINED IN REPORT ON HEALTH 
EFFECTS OF EXPOSURE TO DEPLETED URA-
NIUM. 
Not later than 120 days after the date of the enact-
ment of this Act, the Secretary of Defense shall submit 
to Congress a report describing the measures underway 
to implement the recommendations contained in the report 
entitled ‘‘Review of the Toxicologic and Radiologic Risks 
to Military Personnel from Exposure to Depleted Uranium 
During and After Combat’’, which was conducted pursu-
ant to section 716 of the John Warner National Defense 
Authorization Act for Fiscal Year 2007 (Public Law 109– 
364; 120 Stat. 2391).
338 
SEC. 735. SUICIDE RISK BY MILITARY OCCUPATION. 
(a) STUDY.—The Secretary of Defense shall conduct 
a study to identify the mental health risks associated with 
the performance of military duties. 
(b) ELEMENTS.—The study shall include the fol-
lowing elements: 
(1) An assessment of suicide incidence by mili-
tary occupation. 
(2) An identification of military occupations 
with a high incidence of suicide. 
(3) An evaluation of current suicide prevention 
programs for those military occupations with a high 
incidence of suicide. 
(4) An assessment of the need for additional 
suicide prevention programs specific to military oc-
cupations with a high incidence of suicide. 
(c) REPORT.—Not later than 120 days after the date 
of enactment of this Act, the Secretary of Defense shall 
submit to the Congressional Defense Committees a report 
on the findings of the study. The report shall include any 
recommendations for improving suicide prevention pro-
grams for military occupations with a high incidence of 
suicide.
339 
SEC. 736. IMPLEMENTATION OF RECOMMENDATIONS OF 
DEPARTMENT OF DEFENSE MENTAL HEALTH 
TASK FORCE. 
(a) IN GENERAL.—The Comptroller General of the 
United States shall conduct a review of the implementa-
tion by the Department of Defense of recommendations 
made by the Department of Defense Task Force on Men-
tal Health (in this section referred to as the ‘‘Task 
Force’’) developed pursuant to section 723 of the National 
Defense Authorization Act for Fiscal Year 2006 (Public 
Law 109–163; 119 Stat. 3348) to ensure a full continuum 
of psychological health services and care for members of 
the Armed Forces and their families. 
(b) REPORT REQUIRED.—Not later than one year 
after the date of the enactment of this Act, the Comp-
troller General shall submit to the congressional defense 
committees a report on the results of the review required 
by this section. The report shall include such recommenda-
tions as the Comptroller General considers appropriate. 
SEC. 737. TRANSITIONAL HEALTH CARE FOR CERTAIN 
MEMBERS OF THE ARMED FORCES WHO 
AGREE TO SERVE IN THE SELECTED RE-
SERVE OF THE READY RESERVE. 
(a) PROVISION OF TRANSITIONAL HEALTH CARE.— 
Section 1145(a)(2) of title 10, United States Code, is
340 
amended by adding at the end the following new subpara-
graph: 
‘‘(E) A member who is separated from active 
duty who agrees to become a member of the Selected 
Reserve of the Ready Reserve of a reserve compo-
nent.’’. 
(b) EFFECTIVE DATE.—Subparagraph (E) of section 
1145(a)(2) of title 10, United States Code, as added by 
subsection (a), shall apply with respect to members of the 
Armed Forces separated from active duty after the date 
of the enactment of this Act. 
(c) OFFSET.—The amount in section 201(4) for re-
search, development, test, and evaluation, Defense-wide, 
is hereby reduced by $22,000,000, to be derived from the 
Missile Defense Agency. 
TITLE VIII—ACQUISITION POL-
ICY, ACQUISITION MANAGE-
MENT, AND RELATED MAT-
TERS 
Subtitle A—Acquisition Policy and Management 
Sec. 801. Review of impact of illegal subsidies on acquisition of KC–45 aircraft. 
Sec. 802. Assessment of urgent operational needs fulfillment. 
Sec. 803. Preservation of tooling for major defense acquisition programs. 
Sec. 804. Prohibition on procurement from beneficiaries of foreign subsidies. 
Sec. 805. Domestic industrial base considerations during source selection. 
Sec. 806. Commercial software reuse preference. 
Sec. 807. Comprehensive proposal analysis required during source selection. 
Subtitle B—Amendments to General Contracting Authorities, Procedures, and 
Limitations 
Sec. 811. Acquisition workforce expedited hiring authority.
341 
Sec. 812. Definition of system for Defense Acquisition Challenge Program. 
Sec. 813. Career path and other requirements for military personnel in the ac-
quisition field. 
Sec. 814. Technical data rights for non-FAR agreements. 
Sec. 815. Clarification that cost accounting standards apply to Federal con-
tracts performed outside the United States. 
Subtitle C—Provisions Relating to Inherently Governmental Functions 
Sec. 821. Policy on personal conflicts of interest by employees of Department 
of Defense contractors. 
Sec. 822. Development of guidance on personal services contracts. 
Sec. 823. Limitation on performance of product support integrator functions. 
Sec. 824. Performance by private security contractors of inherently govern-
mental functions in an area of combat operations. 
Subtitle D—Defense Industrial Security 
Sec. 831. Requirements relating to facility clearances. 
Sec. 832. Foreign ownership control or influence. 
Sec. 833. Congressional oversight relating to facility clearances and foreign 
ownership control or influence; definitions. 
Subtitle E—Other Matters 
Sec. 841. Clarification of status of Government rights in the designs of depart-
ment of defense vessels, boats, and craft, and components 
thereof. 
Sec. 842. Expansion of authority to retain fees from licensing of intellectual 
property. 
Sec. 843. Transfer of sections of title 10 relating to Milestone A and Milestone 
B for clarity. 
Sec. 844. Earned value management study and report. 
Sec. 845. Report on market research. 
Sec. 846. System development and demonstration benchmark report. 
Sec. 847. Additional matters required to be reported by contractors performing 
security functions in areas of combat operations. 
Sec. 848. Report relating to munitions. 
Sec. 849. Additional contractor requirements and responsibilities relating to al-
leged crimes by or against contractor personnel in Iraq and Af-
ghanistan. 
Sec. 850. Requirement for Department of Defense to adopt an acquisition 
strategy for Defense Base Act insurance. 
Sec. 851. Motor carrier fuel surcharges. 
Sec. 852. Requirement for defense contract clause prohibiting certain uses of 
foreign shell companies.
342 
Subtitle A—Acquisition Policy and 
Management 
SEC. 801. REVIEW OF IMPACT OF ILLEGAL SUBSIDIES ON 
ACQUISITION OF KC–45 AIRCRAFT. 
(a) REVIEW OF ILLEGAL SUBSIDIES REQUIRED.— 
The Secretary of the Air Force, not later than 10 days 
after a ruling by the World Trade Organization that either 
or both of the United States or the European Union, or 
any political entity within the United States or the Euro-
pean Union, has provided illegal subsidies to a manufac-
turer of large commercial aircraft, shall begin a review, 
as described in subsection (b), of the impact of such illegal 
subsidies on the source selection for the KC–45 Aerial Re-
fueling Aircraft Program. 
(b) PERFORMANCE OF THE REVIEW.—In performing 
the review required by subsection (a), the Secretary of Air 
Force shall comply with the following requirements: 
(1) The Secretary shall seek information from 
the public on the potential impact of illegal subsidies 
on the source selection process for the KC–45 Aerial 
Refueling Aircraft Program through a notice and 
comment process. The Secretary shall adopt such 
procedures for handling information provided under 
such notice and comment process as are necessary to
345 
funded research and development center to assess the ef-
fectiveness of the processes used by the Department of De-
fense for the generation of urgent operational need re-
quirements, and the acquisition processes used to fulfill 
such requirements. Such assessment shall include the fol-
lowing: 
(1) A description and evaluation of the effec-
tiveness of the procedures used to generate 
warfighting requirements through the urgent oper-
ational need process. 
(2) An evaluation of the extent to which urgent 
operational need statements are used to document 
required capability gaps or are used to request spe-
cific acquisition outcomes, such as specific systems 
or equipment. 
(3) A description and evaluation of the effec-
tiveness of the processes used by each of the military 
departments to prioritize and fulfill urgent oper-
ational needs, including the rapid acquisition proc-
esses of the military departments. 
(4) A description and evaluation of the effec-
tiveness of the procedures used to generate 
warfighting requirements through the joint urgent 
operational need process.
346 
(5) An evaluation of the extent to which joint 
urgent operational need statements are used to doc-
ument urgent joint capability gaps or are used— 
(A) to avoid using service-specific urgent 
operational need and acquisition processes; 
(B) to document non-urgent capability 
gaps; or 
(C) to request specific acquisition out-
comes, such as specific systems or equipment. 
(6) A description and evaluation of the effec-
tiveness of the processes used by the various ele-
ments of the Department of Defense to prioritize 
and fulfill joint urgent operational needs, including 
the Joint Improvised Explosive Device Defeat Orga-
nization and the Joint Rapid Acquisition Cell. 
(7) An evaluation of the extent to which joint 
acquisition entities maintain oversight, once a mili-
tary department or defense agency has been des-
ignated as responsible for execution and fielding of 
a capability in response to a joint urgent operational 
need statement, including oversight of— 
(A) the responsiveness of the military de-
partment or agency in execution;
347 
(B) the field performance of the capability 
delivered in response to the joint urgent oper-
ational need statement; and 
(C) the concurrent development of a long- 
term acquisition and sustainment strategy. 
(8) Recommendations regarding— 
(A) common definitions and standards for 
urgent operational needs statements and joint 
urgent operational need statements; 
(B) best practices and process improve-
ments 
for 
the 
creation, 
evaluation, 
prioritization, and fulfillment of urgent oper-
ational need statements and joint urgent oper-
ational need statements; and 
(C) the extent to which rapid acquisition 
processes should be consolidated or expanded. 
(b) SUBMISSION TO CONGRESS.—Not later than 180 
days after the date of the enactment of this Act, the Sec-
retary of Defense shall submit to the congressional defense 
committees the report resulting from the study conducted 
pursuant to subsection (a). 
(c) DEFINITIONS.—In this section: 
(1) The term ‘‘urgent operational need’’ or ‘‘ur-
gent operational need statement’’ means a high pri-
348 
ority capability gap from an ongoing, named oper-
ation— 
(A) that is validated and resourced by a 
specific military department or defense agency; 
and 
(B) that, if not addressed immediately, will 
seriously endanger personnel or pose a major 
threat to ongoing operations. 
(2) The term ‘‘joint urgent operational need’’ 
means a high priority capability gap from an ongo-
ing, named operation— 
(A) that is identified by a combatant com-
mander; 
(B) that requires validation and resourcing 
by the Joint Chiefs of Staff; 
(C) that falls outside of the established 
processes of the military departments; and 
(D) that, if not addressed immediately will 
seriously endanger personnel or pose a major 
threat to ongoing operations. 
SEC. 803. PRESERVATION OF TOOLING FOR MAJOR DE-
FENSE ACQUISITION PROGRAMS. 
(a) GUIDANCE REQUIRED.—The Secretary of De-
fense shall issue guidance requiring that all unique tooling 
associated with the production of hardware for a major
349 
defense acquisition program be preserved and stored 
through the end of the service life of the end item associ-
ated with such a program. Such guidance shall— 
(1) provide that either a component of the De-
partment of Defense or a contractor (or subcon-
tractor at any tier) may be responsible for preserva-
tion and storage of such tooling; 
(2) require that the milestone decision authority 
approve a plan for the preservation and storage of 
such tooling prior to granting a Milestone C ap-
proval; 
(3) if such tooling is to be preserved and stored 
by a component of the Department of Defense, re-
quire the component to ensure adequate funds and 
facilities are available to preserve and store such 
tooling through the projected service life of the end 
item; 
(4) if such tooling is to be preserved and stored 
by a contractor, or a subcontractor at any tier, re-
quire that any production contract (or subcontract) 
awarded in support of the major defense acquisition 
program include a contract clause regarding the 
preservation and storage of such tooling; and 
(5) provide a mechanism for the Secretary of 
Defense to waive such requirement if—
350 
(A) the Secretary determines that such a 
waiver is in the best interest of national secu-
rity; and 
(B) notifies the congressional defense com-
mittees at least 15 days before taking such ac-
tion. 
(b) DEFINITIONS.—In this section: 
(1) MAJOR DEFENSE ACQUISITION PROGRAM.— 
The term ‘‘major defense acquisition program’’ has 
the meaning provided in section 2430 of title 10, 
United States Code. 
(2) MILESTONE
DECISION
AUTHORITY.—The 
term ‘‘milestone decision authority’’ has the meaning 
provided in section 2366a(f)(2). 
(3) MILESTONE C APPROVAL.—The term ‘‘Mile-
stone C approval’’ has the meaning provided in sec-
tion 2366(e)(8) of title 10, United States Code. 
SEC. 804. PROHIBITION ON PROCUREMENT FROM BENE-
FICIARIES OF FOREIGN SUBSIDIES. 
(a) PROHIBITION.—Except as provided in subsections 
(c) and (d), the Secretary of Defense may not enter into 
a contract for the procurement of goods or services from 
any foreign person to which the government of a foreign 
country that is a member of the World Trade Organization 
has provided a subsidy if—
351 
(1) the United States has requested consulta-
tions with that foreign country under the Agreement 
on Subsidies and Countervailing Measures on the 
basis, in whole or in part, that the subsidy is a pro-
hibited subsidy under that Agreement; and 
(2) either— 
(A) the dispute before the World Trade 
Organization has not been resolved; or 
(B) the World Trade Organization has 
ruled that the subsidy provided by the foreign 
country is a prohibited subsidy under the 
Agreement on Subsidies and Countervailing 
Measures. 
(b) ADDITIONAL APPLICABILITY.— 
(1) JOINT VENTURES.—The prohibition under 
subsection (a) with respect to a foreign person also 
applies to any joint venture, cooperative organiza-
tion, partnership, or contracting team of which that 
foreign person is a member. 
(2) SUBCONTRACTS AND TASK AND DELIVERY 
ORDERS.—The prohibition under subsection (a) with 
respect to a contract also applies to any sub-
contracts at any tier entered into under the contract 
and any task orders or delivery orders at any tier 
issued under the contract.
352 
(c) EXCEPTIONS TO APPLICABILITY.— 
(1) INAPPLICABILITY
TO
PROGRAMS
WITH 
MILESTONE
B
APPROVAL.—The prohibition under 
subsection (a) shall not apply to any contract under 
a major defense acquisition program that has re-
ceived Milestone B approval as of the date of the en-
actment of this Act. 
(2) INAPPLICABILITY
TO
CERTAIN
PROCURE-
MENTS.—The prohibition under subsection (a) shall 
not apply to a contract for the procurement of goods 
or services from a foreign person being provided a 
subsidy if— 
(A) in any case in which goods or services 
are the subject of the consultation requested by 
the United States (as described in subsection 
(a)(1)), the goods or services to be procured 
under the contract are not related to the goods 
and services that are the subject of the con-
sultation; or 
(B) in any case in which the subject of the 
consultation requested by the United States (as 
described in subsection (a)) is not a good or 
service (but is law, regulations, or other policies 
of the foreign country), the Department of De-
fense contracting officer for the contract has
353 
certified that the foreign person has dem-
onstrated that the cost of the offeror’s proposal 
is not materially affected by the subsidy. 
(d) WAIVER.—The President may waive the prohibi-
tion in this section with respect to a specific contract if 
the President (without delegation) determines that failure 
to waive the prohibition would result in a significant and 
imminent threat to national security. The President shall 
submit to Congress a notice of any waiver granted under 
this subsection within 7 days after granting it. 
(e) DURATION OF PROHIBITION.—In the case of a 
subsidy that the World Trade Organization has ruled is 
a prohibited subsidy as described in subsection (a)(2)(B), 
the prohibition under subsection (a) shall not apply to a 
contract for the procurement of goods or services that 
were the subject of the consultation after— 
(1) the dispute is resolved; and 
(2) either— 
(A) a mutual agreement has been reached 
between the United States and the foreign gov-
ernment with respect to the prohibited subsidy; 
or 
(B) the foreign government has agreed to 
comply with the requirements of the ruling
354 
issued by the World Trade Organization in the 
dispute. 
(f) DEFINITIONS.—In this section: 
(1) The term ‘‘Agreement on Subsidies and 
Countervailing Measures’’ means the agreement de-
scribed in section 101(d)(12) of the Uruguay Round 
Agreements Act (19 U.S.C. 3501(d)(12)). 
(2) The term ‘‘foreign person’’ means— 
(A) an individual who is not a United 
States person or an alien lawfully admitted for 
permanent residence into the United States; or 
(B) a corporation, partnership, or other 
nongovernmental entity which is not a United 
States person. 
(3) The term ‘‘United States person’’ means— 
(A) a natural person who is a citizen of the 
United States or who owes permanent alle-
giance to the United States; and 
(B) a corporation or other legal entity 
which is organized under the laws of the United 
States, any State or territory thereof, or the 
District of Columbia, if natural persons de-
scribed in subparagraph (A) own, directly or in-
directly, more than 50 percent of the out-
355 
standing capital stock or other beneficial inter-
est in such legal entity. 
(4) The term ‘‘major defense acquisition pro-
gram’’ means a Department of Defense acquisition 
program that is a major defense acquisition program 
for purposes of section 2430 of title 10, United 
States Code. 
(5) The term ‘‘Milestone B approval’’ has the 
meaning provided that term in section 2366(e)(7) of 
such title. 
SEC. 805. DOMESTIC INDUSTRIAL BASE CONSIDERATIONS 
DURING SOURCE SELECTION. 
(a) REGULATIONS REQUIRED.—Not later than 120 
days after the date of the enactment of this Act, the Sec-
retary of Defense shall prescribe regulations regarding the 
application of a domestic industrial base evaluation factor 
during source selection for a major defense acquisition 
program of the Department of Defense. Such regulations 
shall— 
(1) allow the source selection authority to con-
sider impacts on the domestic industrial base as an 
evaluation factor during the source selection process; 
(2) provide the source selection authority flexi-
bility with regard to the importance assigned to such 
an evaluation factor; and
356 
(3) provide defense acquisition officials with the 
authority to impose penalties on the contractor 
awarded the contract resulting from the source se-
lection, including fines and contract termination, 
if— 
(A) the domestic industrial base evaluation 
factor was used during source selection; 
(B) the evaluation factor had a material 
effect on the outcome of the source selection; 
and 
(C) the official determines that the poten-
tial contractor knowingly or willfully misrepre-
sented impacts to the domestic industrial base 
during source selection. 
(b) IMPACTS ON DOMESTIC INDUSTRIAL BASE.—For 
purposes of the regulations, the Secretary shall consider, 
at a minimum, the following to be impacts on the domestic 
industrial base: 
(1) The creation or maintenance of domestic ca-
pability for production of critical supplies. 
(2) The creation or maintenance of domestic 
jobs. 
(3) The creation or maintenance of domestic 
scientific and technological competencies or manu-
facturing skills.
357 
(c) REPORT REQUIRED.—The Secretary of Defense 
shall notify the congressional defense committees at least 
30 days before the issuance of a request for proposal for 
any major defense acquisition program that will not use 
a domestic industrial base evaluation factor during the 
source selection process. Such notification shall include— 
(1) a brief description of the major defense ac-
quisition program; 
(2) a justification for not using a domestic in-
dustrial base evaluation factor; and 
(3) an assessment of potential impacts on the 
domestic industrial base, if known, as a result of not 
using a domestic industrial base evaluation factor. 
(d) DEFINITIONS.—In this section: 
(1) DOMESTIC
INDUSTRIAL
BASE.—The term 
‘‘domestic industrial base’’ means— 
(A) persons and organizations that are en-
gaged in research, development, production, or 
maintenance activities conducted within the 
United States and United States territories; 
and 
(B) includes, at a minimum, prime con-
tractors, as well as second and third tier sub-
contractors, engaged in such activities.
358 
(2) MAJOR DEFENSE ACQUISITION PROGRAM.— 
The term ‘‘major defense acquisition program’’ has 
the meaning provided in section 2430 of title 10, 
United States Code. 
(3) SOURCE SELECTION.—The term ‘‘source se-
lection’’, with respect to a major defense acquisition 
program, means the selection, through the use of 
competitive procedures or such other procurement 
procedures as may be applicable, of a contractor to 
perform a contract to carry out the program. 
(4) 
SOURCE
SELECTION
AUTHORITY.—The 
term ‘‘source selection authority’’, with respect to a 
major defense acquisition program, means the offi-
cial in the Department of Defense designated as re-
sponsible for the source selection for that program. 
SEC. 806. COMMERCIAL SOFTWARE REUSE PREFERENCE. 
(a) IN GENERAL.—The Secretary of Defense shall 
ensure that contracting officials identify and evaluate, at 
all stages of the acquisition process (including concept re-
finement, concept decision, and technology development), 
opportunities for the use of commercial computer software 
and, if practicable, use such software instead of developing 
new software. 
(b) REGULATIONS.—The Secretary of Defense shall 
review and revise the Defense Federal Acquisition Regula-
359 
tion Supplement, Part 207.103, to clarify that the pref-
erence for commercial items in the acquisition process in-
cludes a preference for commercial computer software, and 
the preference applies at all stages of the acquisition proc-
ess. 
SEC. 
807. 
COMPREHENSIVE 
PROPOSAL 
ANALYSIS 
RE-
QUIRED DURING SOURCE SELECTION. 
(a) REGULATIONS REQUIRED.—Not later than 120 
days after the date of the enactment of this Act, the Sec-
retary of Defense shall prescribe regulations regarding the 
comprehensive evaluation of a proposal for a major de-
fense acquisition program for which a significant propor-
tion of the research, design, development, manufacturing, 
assembly, or test and evaluation will be performed outside 
the United States. Such regulations shall— 
(1) require the offeror of such a proposal, in 
addition to providing a breakdown of costs as re-
quired by the Federal Acquisition Regulation, to 
provide a breakdown of costs not borne by the offer-
or as a result of activities performed outside the 
United States, and such costs shall— 
(A) include, at a minimum, costs borne by 
a foreign government that are not borne by a 
local, State, or Federal Government in the 
United States, such as government-borne—
360 
(i) health care; 
(ii) retirement compensation; and 
(iii) workman’s compensation; 
(B) not include direct labor and material 
costs; and 
(C) be limited to those costs that would 
otherwise be allowable and allocable to the con-
tract for the major defense acquisition program 
if all activities were performed in the United 
States; 
(2) be applicable only to proposals submitted in 
response to a solicitation from the Department of 
Defense that requires cost or pricing data; 
(3) require the contracting officer responsible 
for conducting proposal analysis to consider such 
costs in any cost and price analysis performed; and 
(4) require the contracting officer to certify, 
prior to source selection, that the contracting officer 
has no reasonable grounds to believe that the final 
assessed price excludes any cost or other element of 
price (such as the monetary policy of a foreign gov-
ernment) that other offers performing in the United 
States could not also exclude. 
(b) ADDITIONAL APPLICABILITY WITH RESPECT TO 
SUBCONTRACTORS.—The regulations under subsection (a)
375 
SEC. 822. DEVELOPMENT OF GUIDANCE ON PERSONAL 
SERVICES CONTRACTS. 
Not later than 120 days after the date of the enact-
ment of this Act, the Secretary of Defense shall develop 
guidance to— 
(1) establish a clear definition of the term ‘‘per-
sonal services contract’’; 
(2) require a clear distinction between employ-
ees of the Department of Defense and employees of 
Department of Defense contractors; 
(3) provide appropriate safeguards with respect 
to when, where, and to what extent the Secretary 
may enter into a contract for the procurement of 
personal services; and 
(4) assess and take steps to mitigate the risk 
that, as implemented and administered, non-personal 
services contracts may become personal services con-
tracts. 
SEC. 823. LIMITATION ON PERFORMANCE OF PRODUCT 
SUPPORT INTEGRATOR FUNCTIONS. 
(a) LIMITATION.— 
(1) IN
GENERAL.—Chapter 141 of title 10, 
United States Code, is amended by adding at the 
end the following new section: