382 
substituting for the reference to being 60 years of age a 
reference to having attained the eligibility age applicable 
under subsection (f) of section 12731 of title 10, United 
States Code (as added by subsection (a)), to such member 
or former member for qualification for such retired pay 
under subsection (a) of such section. 
SEC. 648. COMPUTATION OF YEARS OF SERVICE FOR PUR-
POSES OF RETIRED PAY FOR NON-REGULAR 
SERVICE. 
Section 12733(3) of title 10, United States Code, is 
amended— 
(1) in subparagraph (B), by striking ‘‘and’’ at 
the end; 
(2) in subparagraph (C), by striking the period 
and inserting ‘‘before the year of service that in-
cludes October 30, 2007; and’’; and 
(3) by adding at the end the following new sub-
paragraph: 
‘‘(D) 130 days in the year of service that 
includes October 30, 2007, and in any subse-
quent year of service.’’. 
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383 
Subtitle E—Commissary and Non-
appropriated Fund Instrumen-
tality Benefits 
SEC. 651. AUTHORITY TO CONTINUE COMMISSARY AND EX-
CHANGE BENEFITS FOR CERTAIN INVOLUN-
TARILY 
SEPARATED 
MEMBERS 
OF 
THE 
ARMED FORCES. 
(a) RESUMPTION
FOR MEMBERS INVOLUNTARILY 
SEPARATED FROM ACTIVE DUTY.—Section 1146 of title 
10, United States Code, is amended— 
(1) by inserting ‘‘(a) MEMBERS
INVOLUN-
TARILY SEPARATED FROM ACTIVE DUTY.—’’ before 
‘‘The Secretary of Defense’’; 
(2) in the first sentence, by striking ‘‘October 
1, 1990, and ending on December 31, 2001’’ and in-
serting ‘‘October 1, 2007, and ending on December 
31, 2012’’; and 
(3) in the second sentence, by striking ‘‘the pe-
riod beginning on October 1, 1994, and ending on 
December 31, 2001’’ and inserting ‘‘the same pe-
riod’’. 
(b) EXTENSION TO MEMBERS INVOLUNTARILY SEPA-
RATED FROM SELECTED RESERVE.—Such section is fur-
ther amended by adding at the end the following new sub-
section: 
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384 
‘‘(b) MEMBERS INVOLUNTARILY SEPARATED FROM 
SELECTED RESERVE.—The Secretary of Defense shall 
prescribe regulations to allow a member of the Selected 
Reserve of the Ready Reserve who is involuntarily sepa-
rated from the Selected Reserve as a result of the exercise 
of the force shaping authority of the Secretary concerned 
under section 647 of this title or other force shaping au-
thority during the period beginning on October 1, 2007, 
and ending on December 31, 2012, to continue to use 
commissary and exchange stores during the two-year pe-
riod beginning on the date of the involuntary separation 
of the member in the same manner as a member on active 
duty. The Secretary of Homeland Security shall imple-
ment this provision for Coast Guard members involun-
tarily separated during the same period.’’. 
SEC. 652. AUTHORIZATION OF INSTALLMENT DEDUCTIONS 
FROM 
PAY 
OF 
EMPLOYEES 
OF 
NON-
APPROPRIATED FUND INSTRUMENTALITIES 
TO COLLECT INDEBTEDNESS TO THE UNITED 
STATES. 
Section 5514 of title 5, United States Code, is 
amended— 
(1) in subsection (a)(5), by inserting ‘‘any non-
appropriated fund instrumentality described in sec-
tion 2105(c) of this title,’’ after ‘‘Commission,’’; and 
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385 
(2) by adding at the end the following new sub-
section: 
‘‘(e) An employee of a nonappropriated fund instru-
mentality described in section 2105(c) of this title is 
deemed an employee covered by this section.’’. 
Subtitle F—Consolidation of Spe-
cial Pay, Incentive Pay, and 
Bonus Authorities 
SEC. 661. CONSOLIDATION OF SPECIAL PAY, INCENTIVE 
PAY, AND BONUS AUTHORITIES OF THE UNI-
FORMED SERVICES. 
(a) CONSOLIDATION.—Chapter 5 of title 37, United 
States Code, is amended— 
(1) by inserting before section 301 the following 
subchapter heading: 
‘‘SUBCHAPTER I—EXISTING SPECIAL PAY, 
INCENTIVE PAY, AND BONUS AUTHORITIES’’; 
and 
(2) by adding at the end the following new sub-
chapters: 
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386 
‘‘SUBCHAPTER II—CONSOLIDATION OF SPE-
CIAL PAY, INCENTIVE PAY, AND BONUS AU-
THORITIES 
‘‘§ 331. General bonus authority for enlisted members 
‘‘(a) AUTHORITY TO PROVIDE BONUS.—The Sec-
retary concerned may pay a bonus under this section to 
a person, including a member of the armed forces, who— 
‘‘(1) enlists in an armed force; 
‘‘(2) enlists in or affiliates with a reserve com-
ponent of an armed force; 
‘‘(3) reenlists, voluntarily extends an enlist-
ment, or otherwise agrees to serve— 
‘‘(A) for a specified period in a designated 
career field, skill, or unit of an armed force; or 
‘‘(B) under other conditions of service in 
an armed force; 
‘‘(4) transfers from a regular component of an 
armed force to a reserve component of that same 
armed force or from a reserve component of an 
armed force to the regular component of that same 
armed force; or 
‘‘(5) transfers from a regular component or re-
serve component of an armed force to a regular com-
ponent or reserve component of another armed force, 
subject to the approval of the Secretary with juris-
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387 
diction over the armed force to which the member is 
transferring. 
‘‘(b) SERVICE ELIGIBILITY.—A bonus authorized by 
subsection (a) may be paid to a person or member only 
if the person or member agrees under subsection (d)— 
‘‘(1) to serve for a specified period in a des-
ignated career field, skill, unit, or grade; or 
‘‘(2) to meet some other condition or conditions 
of service imposed by the Secretary concerned. 
‘‘(c) MAXIMUM AMOUNT
AND METHOD
OF PAY-
MENT.— 
‘‘(1) MAXIMUM AMOUNT.—The Secretary con-
cerned shall determine the amount of a bonus to be 
paid under this section, except that— 
‘‘(A) a bonus paid under paragraph (1) or 
(2) of subsection (a) may not exceed $50,000 
for a minimum two-year period of obligated 
service agreed to under subsection (d); 
‘‘(B) a bonus paid under paragraph (3) of 
subsection (a) may not exceed $30,000 for each 
year of obligated service in a regular component 
agreed to under subsection (d); 
‘‘(C) a bonus paid under paragraph (3) of 
subsection (a) may not exceed $15,000 for each 
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389 
section is in addition to any other pay and allowance to 
which the person or member is entitled. 
‘‘(f) RELATIONSHIP
TO PROHIBITION
ON BOUN-
TIES.—A bonus authorized under this section is not a 
bounty for purposes of section 514(a) of title 10. 
‘‘(g) REPAYMENT.—A person or member who re-
ceives a bonus under this section and who fails to complete 
the period of service, or meet the conditions of service, 
for which the bonus is paid, as specified in the written 
agreement under subsection (d), shall be subject to the 
repayment provisions of section 373 of this title. 
‘‘(h) TERMINATION OF AUTHORITY.—No agreement 
may be entered into under this section after December 31, 
2009. 
‘‘§ 332. General bonus authority for officers 
‘‘(a) AUTHORITY TO PROVIDE BONUS.—The Sec-
retary concerned may pay a bonus under this section to 
a person, including an officer in the uniformed services, 
who— 
‘‘(1) accepts a commission or appointment as 
an officer in a uniformed service; 
‘‘(2) affiliates with a reserve component of a 
uniformed service; 
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390 
‘‘(3) agrees to remain on active duty or to serve 
in an active status for a specific period as an officer 
in a uniformed service; 
‘‘(4) transfers from a regular component of a 
uniformed service to a reserve component of that 
same uniformed service or from a reserve component 
of a uniformed service to the regular component of 
that same uniformed service; or 
‘‘(5) transfers from a regular component or re-
serve component of a uniformed service to a regular 
component or reserve component of another uni-
formed service, subject to the approval of the Sec-
retary with jurisdiction over the uniformed service to 
which the member is transferring. 
‘‘(b) SERVICE ELIGIBILITY.—A bonus authorized by 
subsection (a) may be paid to a person or officer only if 
the person or officer agrees under subsection (d)— 
‘‘(1) to serve for a specified period in a des-
ignated career field, skill, unit, or grade; or 
‘‘(2) to meet some other condition or conditions 
of service imposed by the Secretary concerned. 
‘‘(c) MAXIMUM AMOUNT
AND METHOD
OF PAY-
MENT.— 
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391 
‘‘(1) MAXIMUM AMOUNT.—The Secretary con-
cerned shall determine the amount of a bonus to be 
paid under this section, except that— 
‘‘(A) a bonus paid under paragraph (1) of 
subsection (a) may not exceed $60,000 for a 
minimum three-year period of obligated service 
agreed to under subsection (d); 
‘‘(B) a bonus paid under paragraph (2) of 
subsection (a) may not exceed $12,000 for a 
minimum three-year period of obligated service 
agreed to under subsection (d); 
‘‘(C) a bonus paid under paragraph (3) of 
subsection (a) may not exceed $50,000 for each 
year of obligated service in a regular component 
agreed to under subsection (d); 
‘‘(D) a bonus paid under paragraph (3) of 
subsection (a) may not exceed $12,000 for each 
year of obligated service in a reserve component 
agreed to under subsection (d); and 
‘‘(E) a bonus paid under paragraph (4) or 
(5) of subsection (a) may not exceed $10,000. 
‘‘(2) LUMP SUM OR INSTALLMENTS.—A bonus 
under this section may be paid in a lump sum or in 
periodic installments, as determined by the Secretary 
concerned. 
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392 
‘‘(3) FIXING
BONUS
AMOUNT.—Upon accept-
ance by the Secretary concerned of the written 
agreement required by subsection (d), the total 
amount of the bonus to be paid under the agreement 
shall be fixed. 
‘‘(d) WRITTEN AGREEMENT.—To receive a bonus 
under this section, a person or officer determined to be 
eligible for the bonus shall enter into a written agreement 
with the Secretary concerned that specifies— 
‘‘(1) the amount of the bonus; 
‘‘(2) the method of payment of the bonus under 
subsection (c)(2); 
‘‘(3) the period of obligated service; and 
‘‘(4) the type or conditions of the service. 
‘‘(e) RELATIONSHIP TO OTHER PAY AND ALLOW-
ANCES.—The bonus paid to a person or officer under this 
section is in addition to any other pay and allowance to 
which the person or officer is entitled. 
‘‘(f) REPAYMENT.—A person or officer who receives 
a bonus under this section and who fails to complete the 
period of service, or meet the conditions of service, for 
which the bonus is paid, as specified in the written agree-
ment under subsection (d), shall be subject to the repay-
ment provisions of section 373 of this title. 
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393 
‘‘(g) TERMINATION OF AUTHORITY.—No agreement 
may be entered into under this section after December 31, 
2009. 
‘‘§ 333. Special bonus and incentive pay authorities 
for nuclear officers 
‘‘(a) NUCLEAR OFFICER BONUS.—The Secretary of 
the Navy may pay a nuclear officer bonus under this sec-
tion to a person, including an officer in the Navy, who— 
‘‘(1) is selected for the officer naval nuclear 
power training program in connection with the su-
pervision, operation, and maintenance of naval nu-
clear propulsion plants and agrees to serve, upon 
completion of such training, on active duty in con-
nection with the supervision, operation, and mainte-
nance of naval nuclear propulsion plants; or 
‘‘(2) has the current technical and operational 
qualification for duty in connection with the super-
vision, operation, and maintenance of naval nuclear 
propulsion plants and agrees to remain on active 
duty in connection with the supervision, operation, 
and maintenance of naval nuclear propulsion plants. 
‘‘(b) NUCLEAR OFFICER INCENTIVE PAY.—The Sec-
retary of the Navy may pay nuclear officer incentive pay 
under this section to an officer in the Navy who— 
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394 
‘‘(1) is entitled to basic pay under section 204 
of this title; and 
‘‘(2) remains on active duty for a specified pe-
riod while maintaining current technical and oper-
ational qualifications, as approved by the Secretary, 
for duty in connection with the supervision, oper-
ation, and maintenance of naval nuclear propulsion 
plants. 
‘‘(c) ADDITIONAL ELIGIBILITY CRITERIA.—The Sec-
retary of the Navy may impose such additional criteria 
for the receipt of a nuclear officer bonus or nuclear officer 
incentive pay under this section as the Secretary deter-
mines to be appropriate. 
‘‘(d) MAXIMUM AMOUNT
AND METHOD
OF PAY-
MENT.— 
‘‘(1) MAXIMUM AMOUNT.—The Secretary of the 
Navy shall determine the amounts of a nuclear offi-
cer bonus or nuclear officer incentive pay to be paid 
under this section, except that— 
‘‘(A) a nuclear officer bonus paid under 
subsection (a) may not exceed $35,000 for each 
12-month period of the agreement under sub-
section (e); and 
‘‘(B) the amount of nuclear officer incen-
tive paid under subsection (b) may not exceed 
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395 
$25,000 for each 12-month period of qualifying 
service. 
‘‘(2) LUMP SUM OR INSTALLMENTS.—A nuclear 
officer bonus or nuclear officer incentive pay under 
this section may be paid in a lump sum or in peri-
odic installments. 
‘‘(3) FIXING
BONUS
AMOUNT.—Upon accept-
ance by the Secretary concerned of the written 
agreement required by subsection (e), the total 
amount of the nuclear officer bonus to be paid under 
the agreement shall be fixed. 
‘‘(e) WRITTEN AGREEMENT FOR BONUS.— 
‘‘(1) AGREEMENT REQUIRED.—To receive a nu-
clear officer bonus under subsection (a), a person or 
officer determined to be eligible for the bonus shall 
enter into a written agreement with the Secretary of 
the Navy that specifies— 
‘‘(A) the amount of the bonus; 
‘‘(B) the method of payment of the bonus 
under subsection (d)(2); 
‘‘(C) the period of obligated service; and 
‘‘(D) the type or conditions of the service. 
‘‘(2) REPLACEMENT
AGREEMENT.—An officer 
who is performing obligated service under an agree-
ment for a nuclear officer bonus may execute a new 
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397 
for which the bonus or incentive pay is paid, as specified 
in the written agreement under subsection (e) in the case 
of a nuclear officer bonus, shall be subject to the repay-
ment provisions of section 373 of this title. 
‘‘(h) REGULATIONS.—This section shall be adminis-
tered under regulations prescribed by the Secretary of the 
Navy. 
‘‘(i) TERMINATION OF AUTHORITY.—No agreement 
may be entered into under this section after December 31, 
2009. 
‘‘§ 334. Special aviation incentive pay and bonus au-
thorities for officers 
‘‘(a) AVIATION INCENTIVE PAY.—The Secretary con-
cerned may pay aviation incentive pay under this section 
to an officer in a regular or reserve component of a uni-
formed service who— 
‘‘(1) is entitled to basic pay under section 204 
of this title or compensation under section 206 of 
this title; 
‘‘(2) maintains, or is in training leading to, an 
aeronautical rating or designation that qualifies the 
officer to engage in operational flying duty or pro-
ficiency flying duty; 
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398 
‘‘(3) engages in, or is in training leading to, fre-
quent and regular performance of operational flying 
duty or proficiency flying duty; 
‘‘(4) engages in or remains in aviation service 
for a specified period; and 
‘‘(5) meets such other criteria as the Secretary 
concerned determines appropriate. 
‘‘(b) AVIATION BONUS.—The Secretary concerned 
may pay an aviation bonus under this section to an officer 
in a regular or reserve component of a uniformed service 
who— 
‘‘(1) is entitled to aviation incentive pay under 
subsection (a); 
‘‘(2) has completed any active duty service com-
mitment incurred for undergraduate aviator training 
or is within one year of completing such commit-
ment; 
‘‘(3) executes a written agreement to remain on 
active duty in a regular component or to serve in an 
active status in a reserve component in aviation 
service for at least one year; and 
‘‘(4) meets such other criteria as the Secretary 
concerned determines appropriate. 
‘‘(c) MAXIMUM AMOUNT
AND METHOD
OF PAY-
MENT.— 
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399 
‘‘(1) MAXIMUM AMOUNT.—The Secretary con-
cerned shall determine the amount of a bonus or in-
centive pay to be paid under this section, except 
that— 
‘‘(A) aviation incentive pay under sub-
section (a) shall be paid at a monthly rate, not 
to exceed $850 per month; and 
‘‘(B) an aviation bonus under subsection 
(b) may not exceed $25,000 for each 12-month 
period of obligated service agreed to under sub-
section (d). 
‘‘(2) LUMP SUM OR INSTALLMENTS.—A bonus 
under this section may be paid in a lump sum or in 
periodic installments, as determined by the Secretary 
concerned. 
‘‘(3) FIXING
BONUS
AMOUNT.—Upon accept-
ance by the Secretary concerned of the written 
agreement required by subsection (d), the total 
amount of the bonus to be paid under the agreement 
shall be fixed. 
‘‘(d) WRITTEN AGREEMENT FOR BONUS.—To receive 
an aviation officer bonus under this section, an officer de-
termined to be eligible for the bonus shall enter into a 
written agreement with the Secretary concerned that 
specifies— 
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400 
‘‘(1) the amount of the bonus; 
‘‘(2) the method of payment of the bonus under 
subsection (c)(2); 
‘‘(3) the period of obligated service; and 
‘‘(4) the type or conditions of the service. 
‘‘(e) RESERVE COMPONENT OFFICERS PERFORMING 
INACTIVE DUTY TRAINING.—A reserve component officer 
who is entitled to compensation under section 206 of this 
title and who is authorized aviation incentive pay under 
this section may be paid an amount of incentive pay that 
is proportionate to the compensation received under sec-
tion 206 for inactive-duty training. 
‘‘(f) RELATIONSHIP TO OTHER PAY AND ALLOW-
ANCES.— 
‘‘(1) AVIATION INCENTIVE PAY.—Aviation in-
centive pay paid to an officer under subsection (a) 
shall be in addition to any other pay and allowance 
to which the officer is entitled, except that an officer 
may not receive a payment under such subsection 
and section 351 or 353 of this title for the same 
skill and period of service. 
‘‘(2) AVIATION
BONUS.—An aviation bonus 
paid to an officer under subsection (b) shall be in 
addition to any other pay and allowance to which the 
officer is entitled, except that an officer may not re-
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401 
ceive a payment under such subsection and section 
332 or 353 of this title for the same skill and period 
of service. 
‘‘(g) REPAYMENT.—An officer who receives aviation 
incentive pay or an aviation bonus under this section and 
who fails to fulfill the eligibility requirements for the re-
ceipt of the incentive pay or bonus or complete the period 
of service for which the incentive pay or bonus is paid, 
as specified in the written agreement under subsection (d) 
in the case of a bonus, shall be subject to the repayment 
provisions of section 373 of this title. 
‘‘(h) DEFINITIONS.—In this section: 
‘‘(1) The term ‘aviation service’ means service 
performed by an officer in a regular or reserve com-
ponent (except a flight surgeon or other medical offi-
cer) while holding an aeronautical rating or designa-
tion or while in training to receive an aeronautical 
rating or designation. 
‘‘(2) The term ‘operational flying duty’ means 
flying performed under competent orders by rated or 
designated regular or reserve component officers 
while serving in assignments in which basic flying 
skills normally are maintained in the performance of 
assigned duties as determined by the Secretary con-
cerned, and flying performed by members in training 
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402 
that leads to the award of an aeronautical rating or 
designation. 
‘‘(3) The term ‘proficiency flying duty’ means 
flying performed under competent orders by rated or 
designated regular or reserve component officers 
while serving in assignments in which such skills 
would normally not be maintained in the perform-
ance of assigned duties. 
‘‘(4) The term ‘officer’ includes an individual 
enlisted and designated as an aviation cadet under 
section 6911 of title 10. 
‘‘(i) TERMINATION OF AUTHORITY.—No agreement 
may be entered into under this section after December 31, 
2009. 
‘‘§ 335. Special bonus and incentive pay authorities 
for officers in health professions 
‘‘(a) HEALTH PROFESSIONS BONUS.—The Secretary 
concerned may pay a health professions bonus under this 
section to a person, including an officer in the uniformed 
services, who is a graduate of an accredited school in a 
health profession and who— 
‘‘(1) accepts a commission or appointment as 
an officer in a regular or reserve component of a 
uniformed service, or affiliates with a reserve compo-
nent of a uniformed service, and agrees to serve on 
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403 
active duty in a regular component or in an active 
status in a reserve component in a health profession; 
‘‘(2) accepts a commission or appointment as 
an officer and whose health profession specialty is 
designated by the Secretary of Defense as a criti-
cally short wartime specialty; or 
‘‘(3) agrees to remain on active duty or con-
tinue serving in an active status in a reserve compo-
nent in a health profession. 
‘‘(b) HEALTH PROFESSIONS INCENTIVE PAY.—The 
Secretary concerned may pay incentive pay under this sec-
tion to an officer in a regular or reserve component of 
a uniformed service who— 
‘‘(1) is entitled to basic pay under section 204 
of this title or compensation under section 206 of 
this title; and 
‘‘(2) is serving on active duty or in an active 
status in a designated health profession specialty or 
skill. 
‘‘(c) BOARD CERTIFICATION INCENTIVE PAY.—The 
Secretary concerned may pay board certification incentive 
pay under this section to an officer in a regular or reserve 
component of a uniformed service who— 
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411 
danger area, as described in subsection (a)(3), haz-
ardous duty pay may not exceed $250 per month. 
‘‘(c) METHOD OF PAYMENT.—Hazardous duty pay 
shall be paid on a monthly basis. A member who is eligible 
for hazardous duty pay by reason of subsection (a) shall 
receive the full monthly rate of hazardous duty pay au-
thorized by the Secretary concerned under such para-
graph, notwithstanding subsection (d). 
‘‘(d) RESERVE COMPONENT MEMBERS PERFORMING 
INACTIVE DUTY TRAINING.—A member of a reserve com-
ponent entitled to compensation under section 206 of this 
title who is authorized hazardous duty pay under this sec-
tion may be paid an amount of hazardous duty pay that 
is proportionate to the compensation received by the mem-
ber under section 206 of this title for inactive-duty train-
ing. 
‘‘(e) ADMINISTRATION
AND
RETROACTIVE
PAY-
MENTS.—The effective date for the designation of a hos-
tile fire area, as described in paragraph (1) of subsection 
(a), and for the designation of a foreign area as an immi-
nent danger area, as described in paragraph (3) of such 
subsection, may be a date that occurs before, on, or after 
the actual date of the designation by the Secretary con-
cerned. 
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412 
‘‘(f) DETERMINATION OF FACT.—Any determination 
of fact that is made in administering subsection (a) is con-
clusive. The determination may not be reviewed by any 
other officer or agency of the United States unless there 
has been fraud or gross negligence. However, the Sec-
retary concerned may change the determination on the 
basis of new evidence or for other good cause. The regula-
tions prescribed to administer this section shall define the 
activities that are considered hazardous for purposes of 
subsection (a)(2). 
‘‘(g) RELATIONSHIP TO OTHER PAY AND ALLOW-
ANCES.— 
‘‘(1) IN ADDITION TO OTHER PAY AND ALLOW-
ANCES.—A member may be paid hazardous duty pay 
under this section in addition to any other pay and 
allowances to which the member is entitled. The reg-
ulations prescribed to administer this section shall 
address dual compensation under this section for 
multiple circumstances involving performance of a 
designated hazardous duty, as described in para-
graph (2) of subsection (a), or for duty in certain 
designated areas, as described in paragraph (1) or 
(3) of such subsection, that is performed by a mem-
ber during a single month of service. 
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413 
‘‘(2) LIMITATION.—A member may not receive 
hazardous duty pay under this section for a month 
for more than three qualifying instances described in 
subsection (a)(2). 
‘‘(h) PROHIBITION ON VARIABLE RATES.—The regu-
lations prescribed to administer this section may not in-
clude varied criteria or rates for payment of hazardous 
duty for officers and enlisted members. 
‘‘(i) TERMINATION OF AUTHORITY.—No hazardous 
duty pay under this section may be paid after December 
31, 2009. 
‘‘§ 352. Assignment pay or special duty pay 
‘‘(a) ASSIGNMENT OR SPECIAL DUTY PAY AUTHOR-
IZED.—The Secretary concerned may pay assignment or 
special duty pay under this section to a member of a reg-
ular or reserve component of the uniformed services who— 
‘‘(1) is entitled to basic pay under section 204 
of this title or compensation under section 206 of 
this title; and 
‘‘(2) performs duties in an assignment, location, 
or unit designated by, and under the conditions of 
service specified by, the Secretary concerned. 
‘‘(b) MAXIMUM AMOUNT
AND METHOD
OF PAY-
MENT.— 
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414 
‘‘(1) LUMP SUM OR INSTALLMENTS.—Assign-
ment or special duty pay under subsection (a) may 
be paid monthly, in a lump sum, or in periodic in-
stallments other than monthly, as determined by the 
Secretary concerned. 
‘‘(2) MAXIMUM MONTHLY AMOUNT.—The max-
imum monthly amount of assignment or special duty 
pay may not exceed $5,000. 
‘‘(3) MAXIMUM
LUMP
SUM
AMOUNT.—The 
amount of a lump sum payment of assignment or 
special duty pay payable to a member may not ex-
ceed the amount equal to the product of— 
‘‘(A) the maximum monthly rate author-
ized under paragraph (2) at the time the mem-
ber enters into a written agreement under sub-
section (c); and 
‘‘(B) the number of continuous months in 
the period for which assignment or special duty 
pay will be paid pursuant to the agreement. 
‘‘(4) MAXIMUM
INSTALLMENT
AMOUNT.—The 
amount of each installment payment of assignment 
or special duty pay payable to a member on an in-
stallment basis may not exceed the amount equal 
to— 
‘‘(A) the product of— 
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415 
‘‘(i) a monthly rate specified in the 
written agreement entered into under sub-
section (c), which monthly rate may not 
exceed the maximum monthly rate author-
ized under paragraph (2) at the time the 
member enters into the agreement; and 
‘‘(ii) 
the 
number 
of 
continuous 
months in the period for which the assign-
ment or special duty pay will be paid; di-
vided by 
‘‘(B) the number of installments over such 
period. 
‘‘(5) EFFECT OF EXTENSION.—If a member ex-
tends an assignment or performance of duty speci-
fied in an agreement with the Secretary concerned 
under subsection (c), assignment or special duty pay 
for the period of the extension may be paid on a 
monthly basis, in a lump sum, or in installments, 
consistent with this subsection. 
‘‘(c) WRITTEN AGREEMENT.— 
‘‘(1) DISCRETIONARY
FOR
MONTHLY
PAY-
MENTS.—The Secretary concerned may require a 
member to enter into a written agreement with the 
Secretary in order to qualify for the payment of as-
signment or special duty pay on a monthly basis. 
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416 
The written agreement shall specify the period for 
which the assignment or special duty pay will be 
paid to the member and the monthly rate of the as-
signment or special duty pay. 
‘‘(2) REQUIRED FOR LUMP SUM OR INSTALL-
MENT
PAYMENTS.—The Secretary concerned shall 
require a member to enter into a written agreement 
with the Secretary in order to qualify for payment 
of assignment or special duty pay on a lump sum or 
installment basis. The written agreement shall speci-
fy the period for which the assignment or special 
duty pay will be paid to the member and the amount 
of the lump sum or each periodic installment. 
‘‘(d) RESERVE COMPONENT MEMBERS PERFORMING 
INACTIVE DUTY TRAINING.—A member of a reserve com-
ponent entitled to compensation under section 206 of this 
title who is authorized assignment or special duty pay 
under this section may be paid an amount of assignment 
or special duty pay that is proportionate to the compensa-
tion received by the member under section 206 of this title 
for inactive-duty training. 
‘‘(e) RELATIONSHIP TO OTHER PAY AND ALLOW-
ANCES.—Assignment or special duty pay paid to a mem-
ber under this section is in addition to any other pay and 
allowances to which the member is entitled. 
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523 
(2) approval requirements (including thresh-
olds) for the use of undefinitized contractual actions; 
(3) procedures for ensuring that timelines for 
the definitization of undefinitized contractual actions 
are met; 
(4) procedures for ensuring compliance with 
regulatory limitations on the obligation of funds pur-
suant to undefinitized contractual actions; 
(5) procedures for ensuring compliance with 
regulatory limitations on profit or fee with respect to 
costs incurred before the definitization of an 
undefinitized contractual action; and 
(6) reporting requirements for undefinitized 
contractual actions that fail to meet required 
timelines for definitization or fail to comply with 
regulatory limitations on the obligation of funds or 
on profit or fee. 
(c) REPORTS.— 
(1) REPORT
ON
GUIDANCE
AND
INSTRUC-
TIONS.—Not later than 210 days after the date of 
the enactment of this Act, the Secretary of Defense 
shall submit to the congressional defense committees 
a report setting forth the guidance and instructions 
issued pursuant to subsection (a). 
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