‘‘(C) whether the separation authority correctly 
followed the process for separation as set forth in 
law, including regulations. 
‘‘(2) The review by the Mental Health Discharge 
Board of Review under paragraph (1) shall be based on 
the records of the Department of Defense and the Depart-
ment of Veterans Affairs and such other evidence as may 
be presented to the Mental Health Discharge Board of Re-
view. The board shall consider any and all evidence to be 
considered, including private mental health records sub-
mitted by the covered individual in support of the claim. 
‘‘(3) If the Mental Health Discharge Board of Review 
proposes, upon its own motion, to conduct a review under 
paragraph (1) with respect to a covered individual, the 
Mental Health Discharge Board of Review shall notify the 
covered individual, or a surviving spouse, next of kin, or 
legal representative of the covered individual, of the pro-
posed review and obtain the consent of the covered indi-
vidual or a surviving spouse, next of kin, or legal rep-
resentative of the covered individual before proceeding 
with the review. 
‘‘(4) After the Mental Health Discharge Board of Re-
view has completed the review under this subsection with 
respect to the separation of a covered individual, the board 
must provide the claimant with a statement of reasons 
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concerning the board’s decision. The covered individual 
has the right to raise with the board a motion for reconsid-
eration if new evidence can be presented that would ad-
dress the issues raised in the board’s statement of reasons. 
‘‘(f) AUTHORIZED RECOMMENDATIONS.—The Mental 
Health Discharge Board of Review may, as a result of its 
findings in a review under subsection (e), recommend to 
the Secretary of the military department concerned the 
following (as applicable) with respect to a covered indi-
vidual: 
‘‘(1) No negative recharacterization of the sepa-
ration of such individual or modification of the dis-
ability rating previously assigned such individual. 
‘‘(2) The recharacterization of the separation of 
such individual to retirement for disability. 
‘‘(3) The recharacterization of the separation of 
such individual— 
‘‘(A) to separation for disability with enti-
tlement to receive severance pay; 
‘‘(B) to separation upon expiration of term 
of service; or 
‘‘(C) to separation for convenience of the 
Government. 
‘‘(4) The issuance of a new disability rating for 
such individual. 
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‘‘(g) COMPLIANCE WITH ADMINISTRATIVE PROCE-
DURE ACT TRANSPARENCY REQUIREMENT.—If the Men-
tal Health Discharge Board of Review does not rec-
ommend under subsection (f)(2) a recharacterization of 
the separation of a covered individual to retirement for 
disability, the Mental Health Discharge Board of Review 
shall include a brief statement of the reasons why such 
a recommendation was not made. The recommendation 
and, if applicable, the brief statement shall be mailed to 
the covered individual or a surviving spouse, next of kin, 
or legal representative of the covered individual. 
‘‘(h) CORRECTION OF MILITARY RECORDS.—(1) The 
Secretary of the military department concerned shall cor-
rect the military records of a covered individual in accord-
ance with the recommendation made by the Mental Health 
Discharge Board of Review under subsection (f). Any such 
correction shall be made effective as of the date of the 
separation of the covered individual. 
‘‘(2) In the case of a covered individual previously 
separated with a lump-sum or other payment of back pay 
and allowances at separation, the amount of pay or other 
monetary benefits to which such individual would be enti-
tled based on the individual’s military record as corrected 
shall be reduced to take into account receipt of such lump- 
sum or other payment in such manner as the Secretary 
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of the military department concerned considers appro-
priate. 
‘‘(i) REGULATIONS.—(1) This section shall be carried 
out in accordance with regulations prescribed by the Sec-
retary of Defense. 
‘‘(2) The regulations under paragraph (1) shall speci-
fy reasonable deadlines for the performance of reviews re-
quired by this section.’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
at the beginning of such chapter is amended by inserting 
after the item relating to section 1554a the following new 
item: 
‘‘1554b. Review of separation on basis of mental condition not amounting to dis-
ability.’’. 
(c) IMPLEMENTATION.—Not later than 90 days after 
the date of the enactment of this Act, the Secretary of 
Defense shall require the establishment of the Mental 
Health Discharge Boards of Review required under sec-
tion 1554b of title 10, United States Code, as added by 
subsection (a) and prescribe the regulations required by 
subsection (i) of such section. 
Æ 
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