‘‘SEC. 618. ESTABLISHMENT OF A UNITED STATES CON-
SULATE IN LHASA, TIBET. 
‘‘The Secretary shall seek to establish a United 
States consulate in Lhasa, Tibet, to provide services to 
United States citizens traveling to Tibet and to monitor 
political, economic, and cultural developments in Tibet, in-
cluding Tibetan areas of Qinghai, Sichuan, Gansu, and 
Yunnan provinces.’’. 
(e) RELIGIOUS PERSECUTION
IN TIBET.—Section 
620(b) of the Tibetan Policy Act of 2002 is amended by 
adding before the period at the end the following: ‘‘, in-
cluding the reincarnation system of Tibetan Buddhism’’. 
TITLE III—ORGANIZATION AND 
PERSONNEL AUTHORITIES 
Subtitle A—Towards Modernizing 
the Department of State 
SEC. 301. TOWARDS A MORE MODERN AND EXPEDITIONARY 
FOREIGN SERVICE. 
(a) TARGETED EXPANSION OF FOREIGN SERVICE.— 
The Secretary of State shall expand the Foreign Service 
to— 
(1) fill vacancies, particularly those vacancies 
overseas that are critical to key United States for-
eign policy and national security interests, and, in 
particular, to prevent crises before they emerge; 
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(2) increase the capacity of the Department of 
State to assign and deploy Foreign Service officers 
and other personnel to prevent, mitigate, and re-
spond to international crises and instability in for-
eign countries that threaten key United States for-
eign policy and national security interests; and 
(3) ensure that before being assigned to assign-
ments requiring new or improved skills, members of 
the Foreign Service receive language, security, area, 
and other training that is necessary to successfully 
execute their responsibilities and to enable such 
members to obtain advanced and other education 
that will increase the capacity of the Foreign Service 
to complete its mission. 
(b) AUTHORIZED INCREASES.— 
(1) AT
THE
DEPARTMENT
OF
STATE.—The 
Secretary of State is authorized to hire an additional 
750 members of the Foreign Service (above attri-
tion) in fiscal year 2010 over the number of such 
members employed as of September 30, 2009, and 
an additional 750 members of the Foreign Service 
(above attrition) in fiscal year 2011 over the number 
of such members employed as of September 30, 
2010. 
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(2) AT
USAID.—The Administrator of the 
United States Agency for International Development 
is authorized to hire an additional 350 members of 
the Foreign Service (above attrition) in fiscal year 
2010 over the number of such members employed as 
of September 30, 2009, and an additional 350 mem-
bers of the Foreign Service (above attrition) in fiscal 
year 2011 over the number of such members em-
ployed as of September 30, 2010. 
(3) RULE OF CONSTRUCTION.—Nothing in this 
subsection shall be construed as limiting the author-
ity of the Secretary of State or the Administrator of 
the United States Agency for International Develop-
ment to hire personnel. 
(c) EXPANSION OF FUNCTIONS OF THE FOREIGN 
SERVICE.—Section 104 of the Foreign Service Act of 
1980 (22 U.S.C. 3904) is amended— 
(1) by redesignating paragraphs (2) and (3) as 
paragraphs (3) and (4), respectively; and 
(2) by inserting after paragraph (1) the fol-
lowing new paragraph: 
‘‘(2) work actively to prevent, mitigate, and re-
spond in a timely manner to international crises and 
instability in foreign countries that threaten the key 
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United States foreign policy and national security 
interests;’’. 
(d) WORLDWIDE AVAILABILITY.—Section 301(b) of 
the Foreign Service Act of 1980 (22 U.S.C. 3941(b)) is 
amended— 
(1) by inserting ‘‘(1)’’ before ‘‘The Secretary’’; 
and 
(2) by adding at the end the following new 
paragraph: 
‘‘(2)(A) Except as provided in subparagraphs 
(B) and (C), at the time of entry into the Service, 
each member of the Service shall be available to be 
assigned worldwide. 
‘‘(B) With respect to the medical eligibility 
of any applicant for appointment as a Foreign 
Service officer candidate, the Secretary of State 
shall determine such availability through appro-
priate medical examinations. If based on such 
examinations the Secretary determines that 
such applicant is ineligible to be assigned world-
wide, the Secretary may waive the worldwide 
availability requirement under subparagraph 
(A) if the Secretary determines that such waiv-
er is required to fulfill a compelling Service 
need. The Secretary shall establish an internal 
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administrative review process for medical ineli-
gibility determinations. 
‘‘(C) The Secretary may also waive or re-
duce the worldwide availability requirement 
under subparagraph (A) if the Secretary deter-
mines, in the Secretary’s discretion, that such 
waiver or reduction is warranted.’’. 
(e) RECRUITING CANDIDATES WHO HAVE EXPERI-
ENCE IN UNSTABLE SITUATIONS.—Section 301 of the 
Foreign Service Act of 1980 (22 U.S.C. 3941), as amend-
ed by section 212(c) of this Act, is further amended by 
adding at the end the following new subsection: 
‘‘(f) The fact that an applicant for appointment as 
a Foreign Service officer candidate has the experience of 
working in situations where public order has been under-
mined by instability, or where there is no civil authority 
that can effectively provide public safety, may be consid-
ered an affirmative factor in making such appointments.’’. 
(f) TRAINING.—Section 708 of the Foreign Service 
Act of 1980 (22 U.S.C. 4028) is amended by adding at 
the end the following new subsections: 
‘‘(c) The Secretary of State shall ensure that mem-
bers of the Service receive training on methods for conflict 
mitigation and resolution and on the necessary skills to 
be able to function successfully where public order has 
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been undermined by instability or where there is no civil 
authority that can effectively provide public safety. 
‘‘(d) The Secretary of State shall ensure that mem-
bers of the Service have opportunities during their careers 
to obtain advanced education and training in academic 
and other relevant institutions in the United States and 
abroad to increase the capacity of the Service to fulfill its 
mission.’’. 
SEC. 302. QUADRENNIAL REVIEW OF DIPLOMACY AND DE-
VELOPMENT. 
(a) DEVELOPMENT OF NATIONAL STRATEGY ON DI-
PLOMACY AND DEVELOPMENT.— 
(1) IN GENERAL.—Not later than December 1, 
2010, the President shall develop and transmit to 
the appropriate congressional committees a national 
strategy on United States diplomacy and develop-
ment. The strategy shall include the following: 
(A) An identification of key objectives and 
missions for United States foreign policy and 
foreign assistance policies and programs, in-
cluding a clear statement on United States ob-
jectives for development assistance. 
(B) A description of the roles of civilian 
agencies and mechanisms for implementing 
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such strategy, including interagency coordina-
tion. 
(C) The requirements for overseas infra-
structure necessary to carry out such strategy. 
(D) Plans to adapt such agencies and 
mechanisms to changing circumstances and the 
role of international institutions in such strat-
egy. 
(E) Budget requirements to carry out such 
strategy. 
(F) Other elements of United States for-
eign policy and foreign assistance policies and 
programs with a view toward determining and 
expressing the strategy of the United States 
and establishing a diplomacy and development 
program for the next ten years. 
(2) RELATIONSHIP
TO
NATIONAL
SECURITY 
STRATEGY.—The strategy described in paragraph 
(1) shall be consistent with any National Security 
Strategy prescribed by the President pursuant to 
section 108 of the National Security Act of 1947 
(50 U.S.C. 404a) that has been issued after the date 
of the enactment of this Act. 
(b) REVIEW REQUIRED.— 
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(1) IN
GENERAL.—Beginning in 2013, the 
President shall every four years, during a year fol-
lowing a year evenly divisible by four, conduct a 
comprehensive examination (to be known as a 
‘‘Quadrennial Review of Diplomacy and Develop-
ment’’) of the national strategy for United States di-
plomacy and development described in subsection 
(a). 
(2) KEY ELEMENTS OF REVIEW.—The review 
described in paragraph (1) shall include the fol-
lowing: 
(A) A review of all elements of the strategy 
described in subsection (a), consistent with the 
most recent National Security Strategy pre-
scribed by the President pursuant to section 
108 of the National Security Act of 1947 (50 
U.S.C. 404a) that has been issued after the 
date of the enactment of this Act. 
(B) A review of the roles and responsibil-
ities of Federal departments and agencies in 
carrying out the strategy described in sub-
section (a) and the mechanisms for cooperation 
between such departments and agencies, includ-
ing the coordination of such departments and 
agencies and the relationship between the prin-
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cipal offices of such departments and agencies 
and offices defining sufficient capacity, re-
sources, overseas infrastructure, budget plan, 
and other elements of United States diplomacy 
and development of the United States that 
would be required to have a high level of con-
fidence that the United States can successfully 
execute the full range of missions called for in 
such strategy. 
(C) Identifying the budget plan that would 
be required to provide sufficient resources to 
execute successfully the full range of missions 
called for in the strategy described in sub-
section (a) at a high level of success and any 
additional resources required to achieve such a 
level of success. 
(D) Making recommendations that are not 
constrained to comply with the budget sub-
mitted to Congress by the President pursuant 
to section 1105(a) of title 31, United States 
Code. 
(3) INTERAGENCY
COORDINATION
AND
CON-
SULTATION.— 
(A) IN GENERAL.—Each Quadrennial Re-
view of Diplomacy and Development shall take 
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into account the views of the Secretary of State, 
the Administrator of the United States Agency 
for International Development, the Secretary of 
Defense, the Secretary of the Treasury, the 
United States Trade Representative, and the 
head of any other relevant agency. 
(B) DELEGATION.—If the President dele-
gates the requirements of this section, the head 
of the Federal department or agency to whom 
such delegation is made shall consult with each 
official specified in subparagraph (A). 
(c) 
CONSULTATION
WITH
OUTSIDE
STAKE-
HOLDERS.—In developing the strategy required under 
subsection (a) and conducting the review required under 
subsection (b), the President shall consult with private 
businesses, non-governmental organizations involved in di-
plomacy and development, and experts at academic insti-
tutions or institutions involved in the study of foreign pol-
icy or development matters. 
(d) QRDD AND CONGRESSIONAL COMMITTEES.— 
(1) CONSULTATION.—In developing the strat-
egy required under subsection (a) and conducting 
the review required under subsection (b), the Presi-
dent shall consult with the appropriate congressional 
committees. 
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(2) REPORT.—The President shall transmit to 
the appropriate congressional committees a report 
on each Quadrennial Review of Diplomacy and De-
velopment. The report shall be submitted in the year 
following the year in which such a Quadrennial Re-
view is conducted, but not later than the date on 
which the President submits the budget for the next 
fiscal year to Congress under section 1105(a) of title 
31, United States Code. The report shall include the 
following: 
(A) The results of such a Quadrennial Re-
view, including a comprehensive discussion of 
the national strategy for United States foreign 
policy and foreign assistance policies and pro-
grams, the roles and responsibilities of and 
strategic guidance for civilian agencies and 
mechanisms in implementing such strategy, the 
requirements for overseas infrastructure nec-
essary to carry out such strategy, plans to 
adapt such agencies and mechanisms to chang-
ing circumstances, and the role of international 
institutions in such strategy. 
(B) The assumed or defined objectives and 
missions that inform the national strategy for 
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United States foreign policy and foreign assist-
ance policies and programs. 
(C) The threats to the assumed or defined 
objectives and missions of the United States 
that were examined for the purposes of such a 
Quadrennial Review. 
(D) The assumptions used in such a Quad-
rennial Review, including assumptions relating 
to— 
(i) the capacity of United States dip-
lomatic and development personnel to re-
spond to such threats; 
(ii) the cooperation and capacity of al-
lies, other friendly countries, and inter-
national institutions in addressing such 
threats; 
(iii) levels of engagement in oper-
ations other than war and smaller-scale 
contingencies and withdrawal from such 
operations and contingencies; and 
(iv) the intensity, duration, and mili-
tary and political end-states of conflicts 
and smaller-scale contingencies that arise 
in the diplomatic and development context. 
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(E) The anticipated roles and missions of 
the reserve components available to civilian 
agencies, including capabilities and resources 
necessary to assure that such reserve compo-
nents can capably discharge such roles and mis-
sions. 
(F) The extent to which diplomatic and de-
velopment personnel need to be shifted to dif-
ferent regions to carry out the national strategy 
under subsection (a). 
(G) Any other matter the Secretary con-
siders appropriate. 
(e) INDEPENDENT PANEL ASSESSMENT.— 
(1) IN GENERAL.—Not later than six months 
before the date on which the report on a Quadren-
nial Review of Diplomacy and Development is to be 
transmitted under subsection (d), the President shall 
establish a panel to conduct an assessment of such 
a Quadrennial Review. 
(2) REPORT ON ASSESSMENT.—Not later than 
three months after the date on which the report on 
such a Quadrennial Review is transmitted under 
subsection (d), the panel established under para-
graph (1) shall submit to the appropriate congres-
sional committees an assessment of such a Quadren-
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nial Review, including an assessment of the rec-
ommendations of such a Quadrennial Review, the 
stated and implied assumptions incorporated in such 
a Quadrennial Review, and the vulnerabilities of the 
strategy underlying such a Quadrennial Review. 
(f) EXCLUSION.—Any provision in this section relat-
ing to budgets or budget plans shall not be construed to 
require any information on any program that is funded 
from accounts within budget function 050 (National De-
fense). 
SEC. 303. ESTABLISHMENT OF THE LESSONS LEARNED 
CENTER. 
(a) ESTABLISHMENT.—The Secretary of State, in 
consultation with the Administrator of the United States 
Agency for International Development (USAID), is au-
thorized to establish in the Department of State and under 
the authority of the Undersecretary for Management a 
Lessons Learned Center (referred to in this section as the 
‘‘LLC’’) which will serve as a central organization for col-
lection, analysis, archiving, and dissemination of observa-
tions, best practices, and lessons learned by, from, and 
to Foreign Service officers and support personnel in the 
Department of State and USAID. 
(b) PURPOSE.—The purpose of the LLC is to in-
crease, enhance, and sustain the ability of the Department 
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of State and USAID to effectively carry out their missions 
by devising a system for the collection, analysis, archiving, 
and dissemination of lessons learned, improving informa-
tion sharing and learning capacity, and enabling, encour-
aging, and rewarding critical, innovative analysis. 
(c) REPORT.—Not later than 180 days after the date 
of the enactment of this Act, the Secretary of State shall 
submit to the appropriate congressional committees a re-
port on the status of efforts to establish the LLC. The 
report shall include recommendations— 
(1) concerning the regulation and structure of 
the LLC, including— 
(A) how to encourage service in the LLC; 
(B) how to provide for the necessary aca-
demic freedom to provide innovative, critical 
analysis; 
(C) how to ensure that the staffing of the 
LLC is a mix of senior and junior staff of the 
Foreign Service and civil service in the Depart-
ment of State and USAID; 
(D) the anticipated expenditures associated 
with the establishment of the LLC under sub-
section (a); and 
(E) physical structure of the LLC; and 
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(2) for any legislation necessary to establish the 
LLC. 
(d) DEFINITIONS.—In this section: 
(1) ACADEMIC FREEDOM.—The term ‘‘academic 
freedom’’ means the capability, capacity, and au-
thorization to produce analysis and evaluation with-
out concern for retaliation or other negative impact 
on the observer’s career. 
(2) LESSONS
LEARNED.—The term ‘‘lessons 
learned’’ means information resulting from evalua-
tion or observation of negotiations, operations, exer-
cises, training events, or other processes and experi-
ences, particularly any corrective measures or inno-
vative techniques, that produced an improved per-
formance or increased capability. 
SEC. 304. LOCALLY EMPLOYED STAFF COMPENSATION. 
(a) FINDINGS.—Congress finds the following: 
(1) United States diplomatic and consular mis-
sions worldwide retain over 51,000 locally employed 
staff under local compensation plans (LCP’s) in 
about 170 overseas missions. 
(2) The locally employed staff is the backbone 
of diplomatic operations, providing management, 
programmatic, security, maintenance, custodial, and 
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other services wherever the Department of State has 
established an overseas post. 
(3) Foreign Service and other United States of-
ficers who rotate in-and-out of such missions every 
two to three years are highly dependent on the local 
employees to bring them up to speed and make sure 
that the work of any such mission does not falter in 
transitions during rotations. 
(4) As the number of positions at such missions 
designated for United States officers that are not 
filled continues to increase, locally employed staff 
are called upon to assume many of the responsibil-
ities that United States staff have carried in the 
past. 
(5) Based on a survey conducted by the Office 
of the Inspector General (OIG) Department of 
State, the United States is failing to provide a com-
petitive compensation package for locally employed 
staff that is commensurate with their experience, 
technical skills, and responsibilities. 
(6) The Department of State OIG survey data 
show that the United States Government is pro-
viding salary increases that are approximately 60 
percent of what is the prevailing practice of the local 
labor market. 
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(7) The Department of State OIG has found 
numerous cases in which such missions are losing 
staff to other employers. The OIG has also found 
numerous cases where it is difficult to replace em-
ployees who left to take other jobs, particularly in 
countries with low unemployment rates. 
(b) POLICY REVIEW.—The Secretary of State shall 
direct a policy review to assess the adequacy of locally em-
ployed staff compensation. In carrying out such policy re-
view the Secretary shall consider the recommendations of 
the Office of the Inspector General of the Department of 
State, including the following: 
(1) The Bureau of Human Resources, in co-
ordination with the Office of Management, Policy, 
Rightsizing and Innovation, should hire an outside 
contractor with international experience to perform 
an organizational review of the Compensation Man-
agement Division of the Office of Overseas Employ-
ment to advise on the organization of the compensa-
tion management division and on how many analysts 
are required to handle the compensation manage-
ment responsibilities, and to recommend training 
and certifications the analysts should obtain. 
(2) 
The 
Office 
of 
Management, 
Policy, 
Rightsizing and Innovation, in coordination with the 
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Bureau of Human Resources and the Bureau of Re-
source Management, should ensure that the working 
group on locally employed staff compensation re-
views the connectivity between the activities of the 
Office of Overseas Employment and the Office of 
State Programs, Operations and Budget in the Bu-
reau of Resource Management, and makes and dis-
tributes written, documented determinations as to 
the data used by the two offices to make estimates 
of locally employed staff compensation adjustments, 
the timing of these activities, and the responsibility 
each office has for tracking implementation of locally 
employed staff compensation adjustments. 
(3) The Bureau of Human Resources, in co-
ordination with the Office of Management, Policy, 
Rightsizing and Innovation, should implement a lo-
cally employed staff compensation review process 
whereby the Office of Overseas Employment in the 
Bureau of Human Resources reviews and adjust 
each post’s salary schedule every five years based on 
a recent salary survey. During the intervening years, 
the Department should authorize cost-of-living (or 
inflation) adjustments based on reliable inflation 
data. 
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(4) The Bureau of Human Resources, in co-
ordination with the Office of Management, Policy, 
Rightsizing and Innovation, should implement a sys-
tematic process of providing comprehensive informa-
tion to diplomatic and consular missions, Depart-
ment of State offices, and agency headquarters on 
periodic salary survey reviews, including comprehen-
sible salary survey analysis, explanations of salary 
survey changes, and if appropriate, copies of the off- 
the-shelf surveys for the host country. This approach 
should be documented and made a part of the peri-
odic process. 
(5) The Bureau of Human Resources, in co-
ordination with the Office of Management, Policy, 
Rightsizing and Innovation, the regional bureaus, 
and the Bureau of Resource Management, should es-
tablish, maintain, and monitor a database that 
tracks information related to locally employed staff 
compensation and adjustments, including budgetary 
resources, salary level ceilings calculated by the Of-
fice of Overseas Employment, salary levels requested 
by post, salary levels implemented, dates for these 
activities, and calculations of whether the Depart-
ment is meeting prevailing practice. This database 
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should replace the current practice of commu-
nicating salary review information by cable. 
(6) The Bureau of Human Resources, in co-
ordination with the Office of Management, Policy, 
Rightsizing and Innovation, should evaluate the pos-
sibility of using different pay setting data estab-
lishing different pay scales for blue-collar positions 
and for professional level positions, and should issue 
and distribute a written report on the findings and 
the possibility of implementing the findings. 
(7) 
The 
Office 
of 
Management, 
Policy, 
Rightsizing and Innovation should ensure that the 
working group on locally employed staff compensa-
tion considers the possibility of including members 
from other United States Government agencies that 
employ locally employed staff. Whether this rec-
ommendation is implemented or not, the Office of 
Management, Policy, Rightsizing and Innovation 
should document the decision in writing, and dis-
tribute the decision widely in the Department of 
State and to other agencies that employ locally em-
ployed staff. 
(8) 
The 
Office 
of 
Management, 
Policy, 
Rightsizing and Innovation should ensure that the 
working group on locally employed staff compensa-
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tion considers the possibility of centralizing decision 
making for locally employed staff salary increases, 
and, whether such is eventually implemented or not, 
make a determination as to its value, document the 
decision in writing, and distribute the decision wide-
ly in the Department of State. 
(9) The Bureau of Human Resources, in co-
operation with Resource Management International 
Cooperative Administrative Support Services, should 
establish a senior level interagency locally employed 
staff board of governors to set overall locally em-
ployed staff policy. 
(10) The Bureau of Human Resources should 
send the cable announcing the proposed salary in-
creases for locally employed staff to the attention of 
both the chief of mission and the management offi-
cer. 
(11) The Bureau of Human Resources should 
request a list of position titles and grades from all 
positions with exception rate ranges and details on 
the exception rate range adjustments in the 2010 
Locally Employed Staff Compensation Question-
naire. 
(c) REPORT.—Not later than 90 days after the date 
of the enactment of this Act, the Secretary of State shall 
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submit to the appropriate committees a report on the im-
plementation of this section, including a review of efforts 
to implement the recommendations of the Office of the 
Inspector General of the Department of State specified in 
subsection (b). 
Subtitle B—Foreign Service Pay 
Equity and Death Gratuity 
SEC. 311. SHORT TITLE. 
This subtitle may be cited as the ‘‘Foreign Service 
Overseas Pay Equity Act of 2009’’. 
SEC. 312. OVERSEAS COMPARABILITY PAY ADJUSTMENT. 
(a) OVERSEAS COMPARABILITY PAY ADJUSTMENT.— 
(1) IN GENERAL.—Chapter 4 of the Foreign 
Service Act of 1980 (22 U.S.C. 3961 and following) 
is amended by adding at the end the following: 
‘‘SEC. 415. OVERSEAS COMPARABILITY PAY ADJUSTMENT. 
‘‘(a) IN GENERAL.—A member of the Service who is 
designated class 1 or below for purposes of section 403 
and whose official duty station is neither in the continental 
United States nor in a non-foreign area shall receive, in 
accordance with the phase-in schedule set forth in sub-
section (c), a locality-based comparability payment (stated 
as a percentage) equal to the locality-based comparability 
payment (stated as a percentage) that would be provided 
under section 5304 of title 5, United States Code, if such 
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member’s official duty station were in the District of Co-
lumbia. 
‘‘(b) TREATMENT AS BASIC PAY.—The amount of 
any locality-based comparability payment which is payable 
to a member of the Service by virtue of this section— 
‘‘(1) shall be considered to be part of the basic 
pay of such member— 
‘‘(A) for the same purposes as provided for 
under section 5304(c)(2)(A) of title 5, United 
States Code; and 
‘‘(B) for purposes of chapter 8; and 
‘‘(2) shall be subject to any limitations on pay 
applicable to locality-based comparability payments 
under section 5304 of title 5, United States Code. 
‘‘(c) PHASE-IN.—The locality-based comparability 
payment payable to a member of the Service under this 
section shall— 
‘‘(1) beginning on the first day of the first pay 
period that is 90 days after the date of the enact-
ment of this subsection, be equal to 33.33 percent 
of the payment which would otherwise apply under 
subsection (a); 
‘‘(2) beginning on the first day of the first pay 
period in April 2010, be equal to 66.67 percent of 
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the payment which would otherwise apply under sub-
section (a); and 
‘‘(3) beginning on the first day of the first pay 
period in fiscal year 2012 and each subsequent fiscal 
year, be equal to the payment determined under sub-
section (a). 
‘‘(d) NON-FOREIGN AREA DEFINED.—For purposes 
of this section, the term ‘non-foreign area’ has the same 
meaning as is given such term in regulations carrying out 
section 5941 of title 5, United States Code.’’. 
(2) CONFORMING AMENDMENT.—The table of 
contents set forth in section 2 of such Act is amend-
ed by inserting after the item relating to section 414 
the following: 
‘‘SEC. 415. OVERSEAS COMPARABILITY PAY ADJUSTMENT.’’. 
(b) CONFORMING AMENDMENTS RELATING TO THE 
FOREIGN SERVICE RETIREMENT SYSTEMS.— 
(1) CONTRIBUTIONS TO THE FUND.—Effective 
as of the first pay period beginning on or after Octo-
ber 1, 2010, section 805(a) of the Foreign Service 
Act of 1980 (22 U.S.C. 4045(a)) is amended— 
(A) in paragraph (1)— 
(i) in the first sentence, by striking 
‘‘7.25 percent’’ and inserting ‘‘7 percent’’; 
and 
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(ii) in the second sentence, by striking 
‘‘The contribution by the employing agen-
cy’’ through ‘‘and shall be made’’ and in-
serting ‘‘An equal amount shall be contrib-
uted by the employing agency’’; 
(B) in paragraph (2)— 
(i) in subparagraph (A), by striking ‘‘, 
plus an amount equal to .25 percent of 
basic pay’’; and 
(ii) in subparagraph (B), by striking 
‘‘, plus an amount equal to .25 percent of 
basic pay’’; and 
(C) in paragraph (3), by striking all that 
follows ‘‘Code’’ and inserting a period. 
(2) COMPUTATION
OF
ANNUITIES.—Section 
806(a)(9) of such Act (22 U.S.C. 4046(a)(9)) is 
amended by striking ‘‘is outside the continental 
United States shall’’ and inserting ‘‘was outside the 
continental United States during the period begin-
ning on December 29, 2002, and ending on the day 
before the first day of the first pay period beginning 
on or after October 1, 2011 (or during any portion 
thereof), shall, to the extent that such computation 
is based on the basic salary or basic pay of such 
member for such period (or portion thereof),’’. 
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(3) 
ENTITLEMENT
TO
ANNUITY.—Section 
855(a)(3) of such Act (22 U.S.C. 4071d(a)(3)) is 
amended— 
(A) by striking ‘‘section 8414’’ and insert-
ing ‘‘section 8415’’; and 
(B) by striking ‘‘is outside the continental 
United States shall’’ and inserting ‘‘was outside 
the continental United States during the period 
beginning on December 29, 2002, and ending 
on the day before the first day of the first pay 
period beginning on or after October 1, 2011 
(or during any portion thereof), shall, to the ex-
tent that such computation is based on the 
basic salary or basic pay of such member for 
such period (or portion thereof),’’. 
(4) DEDUCTIONS
AND
WITHHOLDINGS
FROM 
PAY.—Section 856(a)(2) of such Act (22 U.S.C. 
4071e(a)(2)) is amended to read as follows: 
‘‘(2) The applicable percentage under this sub-
section shall be as follows: 
‘‘Percentage 
Time Period 
7.5 ..........................................................................
Before January 1, 
1999. 
7.75 ........................................................................
January 1, 1999, to 
December 31, 1999. 
7.9 ..........................................................................
January 1, 2000, to 
December 31, 2000. 
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101 
United States Code, at the time of death, except that for 
employees compensated under local compensation plans 
established under section 408, the amount shall be equal 
to the greater of 1 year’s salary at the time of death or 
1 year’s salary at the highest step of the highest grade 
on the local compensation plan from which the employee 
was being paid at the time of death’’. 
Subtitle C—Other Organization 
and Personnel Matters 
SEC. 321. TRANSATLANTIC DIPLOMATIC FELLOWSHIP PRO-
GRAM. 
(a) FELLOWSHIP AUTHORIZED.—Chapter 5 of title 
I of the Foreign Service Act of 1980 (22 U.S.C. 3981 
et seq.) is amended by adding at the end the following 
new section: 
‘‘SEC. 
506. 
TRANSATLANTIC 
DIPLOMATIC 
FELLOWSHIP 
PROGRAM. 
‘‘(a) IN GENERAL.—The Secretary is authorized to 
establish the Transatlantic Diplomatic Fellowship Pro-
gram. Under the program, the Secretary may assign a 
member of the Service, for not more than one year, to 
a position with any designated country or designated enti-
ty that permits an employee to be assigned to a position 
with the Department. 
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102 
‘‘(b) SALARY AND BENEFITS.—The salary and bene-
fits of a member of the Service shall be paid as described 
in subsection (b) of section 503 during a period in which 
such member is participating in the Transatlantic Diplo-
matic Fellowship Program. The salary and benefits of an 
employee of a designated country or designated entity par-
ticipating in such program shall be paid by such country 
or entity during the period in which such employee is par-
ticipating in the program. 
‘‘(c) DEFINITIONS.—In this section: 
‘‘(1) The term ‘designated country’ means a 
member country of— 
‘‘(A) the North Atlantic Treaty Organiza-
tion; or 
‘‘(B) the European Union. 
‘‘(2) The term ‘designated entity’ means— 
‘‘(A) the North Atlantic Treaty Organiza-
tion; or 
‘‘(B) the European Union. 
‘‘(d) RULE OF CONSTRUCTION.—Nothing in this sec-
tion shall be construed to— 
‘‘(1) authorize the appointment as an officer or 
employee of the United States of— 
‘‘(A) an individual whose allegiance is to 
any country, government, or foreign or inter-
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103 
national entity other than to the United States; 
or 
‘‘(B) an individual who has not met the re-
quirements of sections 3331, 3332, 3333, and 
7311 of title 5, United States Code, and any 
other provision of law concerning eligibility for 
appointment as, and continuation of employ-
ment as, an officer or employee of the United 
States; or 
‘‘(2) authorize the Secretary to assign a mem-
ber of the Service to a position with any foreign 
country whose laws, or foreign or international enti-
ty whose rules, require such member to give alle-
giance or loyalty to such country or entity while as-
signed to such position.’’ 
(b) TECHNICAL AND CONFORMING AMENDMENTS.— 
The Foreign Service Act of 1980 is amended— 
(1) in section 503 (22 U.S.C. 3983)— 
(A) in the section heading, by striking 
‘‘AND’’ and inserting ‘‘FOREIGN
GOVERN-
MENTS, OR’’; and 
(B) in subsection (a)(1), by inserting be-
fore the semicolon at the end the following: ‘‘, 
or with a foreign government under sections 
506 or 507’’; and 
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104 
(2) in section 2, in the table of contents— 
(A) by striking the item relating to section 
503 and inserting the following new item: 
‘‘Sec. 503. Assignments to agencies, international organizations, foreign govern-
ments, or other bodies.’’; and 
(B) by adding after the item relating to 
section 505 the following new item: 
‘‘Sec. 506. Transatlantic diplomatic fellowship program.’’. 
SEC. 322. SECURITY OFFICERS EXCHANGE PROGRAM. 
(a) IN GENERAL.—Chapter 5 of Title I of the For-
eign Service Act of 1980 (22 U.S.C. 3981 et seq.) is 
amended by adding after section 506 (as added by section 
311 of this Act) the following new section: 
‘‘SEC. 507. SECURITY OFFICERS EXCHANGE PROGRAM. 
‘‘(a) IN GENERAL.—The Secretary is authorized to 
establish the Security Officers Exchange Program. Under 
the program, the Secretary may assign a member of the 
Service, for not more than a total of three years, to a posi-
tion with any country or international organization des-
ignated by the Secretary pursuant to subsection (c) that 
permits an employee to be assigned to a position with the 
Department. 
‘‘(b) SALARY AND BENEFITS.—The salary and bene-
fits of the members of the Service shall be paid as de-
scribed in subsection (b) of section 503 during a period 
in which such officer is participating in the Security Offi-
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105 
cers Exchange Program. The salary and benefits of an em-
ployee of a designated country or international organiza-
tion participating in such program shall be paid by such 
country or international organization during the period in 
which such employee is participating in the program. 
‘‘(c) DESIGNATION.—The Secretary may designate a 
country or international organization to participate in this 
program if the Secretary determines that such participa-
tion is in the national security interests of the United 
States. 
‘‘(d) RULE OF CONSTRUCTION.—Nothing in this sec-
tion shall be construed to— 
‘‘(1) authorize the appointment as an officer or 
employee of the United States of— 
‘‘(A) an individual whose allegiance is to 
any country, government, or foreign or inter-
national entity other than to the United States; 
or 
‘‘(B) an individual who has not met the re-
quirements of sections 3331, 3332, 3333, and 
7311 of title 5, United States Code, and any 
other provision of law concerning eligibility for 
appointment as, and continuation of employ-
ment as, an officer or employee of the United 
States; or 
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106 
‘‘(2) authorize the Secretary to assign a mem-
ber of the Service to a position with any foreign 
country whose laws, or foreign or international enti-
ty whose rules, require such member to give alle-
giance or loyalty to such country or entity while as-
signed to such position.’’ 
(b) TECHNICAL AND CONFORMING AMENDMENT.— 
Section 2 of the Foreign Service Act of 1980 is amended, 
in the table of contents, by adding after the item relating 
to section 506 (as added by section 311(b)(2) of this Act) 
the following new item: 
‘‘Sec. 507. Security officers exchange program.’’. 
SEC. 323. SUSPENSION OF FOREIGN SERVICE MEMBERS 
WITHOUT PAY. 
(a) SUSPENSION.—Section 610 of the Foreign Serv-
ice Act of 1980 (22 U.S.C. 4010) is amended by adding 
at the end the following new subsection: 
‘‘(c)(1) In order to promote the efficiency of the Serv-
ice, the Secretary may suspend a member of the Foreign 
Service without pay when the member’s security clearance 
is suspended or when there is reasonable cause to believe 
that the member has committed a crime for which a sen-
tence of imprisonment may be imposed. 
‘‘(2) Any member of the Foreign Service for 
whom a suspension is proposed shall be entitled to— 
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107 
‘‘(A) written notice stating the specific rea-
sons for the proposed suspension; 
‘‘(B) a reasonable time to respond orally 
and in writing to the proposed suspension; 
‘‘(C) representation by an attorney or 
other representative; and 
‘‘(D) a final written decision, including the 
specific reasons for such decision, as soon as 
practicable. 
‘‘(3) Any member suspended under this section 
may file a grievance in accordance with the proce-
dures applicable to grievances under chapter 11 of 
this title. 
‘‘(4) In the case of a grievance filed under 
paragraph (3)— 
‘‘(A) the review by the Foreign Service 
Grievance Board shall be limited to a deter-
mination of whether the provisions of para-
graphs (1) and (2) have been fulfilled; and 
‘‘(B) the Foreign Service Grievance Board 
may not exercise the authority provided under 
section 1106(8). 
‘‘(5) In this subsection: 
‘‘(A) The term ‘reasonable time’ means— 
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108 
‘‘(i) with respect to a member of the 
Foreign Service assigned to duty in the 
United States, 15 days after receiving no-
tice of the proposed suspension; and 
‘‘(ii) with respect to a member of the 
Foreign Service assigned to duty outside 
the United States, 30 days after receiving 
notice of the proposed suspension. 
‘‘(B) The term ‘suspend’ or ‘suspension’ 
means the placing of a member of the Foreign 
Service in a temporary status without duties 
and pay.’’. 
(b) CONFORMING AND CLERICAL AMENDMENTS.— 
(1) AMENDMENT OF SECTION HEADING.—Such 
section, as amended by subsection (a) of this section, 
is further amended, in the section heading, by in-
serting ‘‘; SUSPENSION’’ before the period at the 
end. 
(2) CLERICAL AMENDMENT.—The item relating 
to such section in the table of contents in section 2 
of such Act is amended to read as follows: 
‘‘Sec. 610. Separation for cause; suspension.’’. 
SEC. 324. REPEAL OF RECERTIFICATION REQUIREMENT 
FOR SENIOR FOREIGN SERVICE. 
Section 305(d) of the Foreign Service Act of 1980 
(22 U.S.C. 3945(d)) is hereby repealed. 
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109 
SEC. 325. LIMITED APPOINTMENTS IN THE FOREIGN SERV-
ICE. 
Section 309 of the Foreign Service Act of 1980 (22 
U.S.C. 3949), is amended— 
(1) in subsection (a), by striking ‘‘subsection 
(b)’’ and inserting ‘‘subsections (b) or (c)’’; 
(2) in subsection (b)— 
(A) in paragraph (3)— 
(i) by inserting ‘‘(A),’’ after ‘‘if’’; and 
(ii) by inserting before the semicolon 
at the end the following: ‘‘, or (B), the ca-
reer candidate is serving in the uniformed 
services, as defined by the Uniformed Serv-
ices 
Employment 
and 
Reemployment 
Rights Act of 1994 (38 U.S.C. 4301 et 
seq.), and the limited appointment expires 
in the course of such service’’; 
(B) in paragraph (4), by striking ‘‘and’’ at 
the end; 
(C) in paragraph (5), by striking the pe-
riod at the end and inserting ‘‘; and’’; and 
(D) by adding after paragraph (5) the fol-
lowing new paragraph: 
‘‘(6) in exceptional circumstances where the 
Secretary determines the needs of the Service re-
quire the extension of a limited appointment (A), for 
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110 
a period of time not to exceed 12 months (provided 
such period of time does not permit additional re-
view by the boards under section 306), or (B), for 
the minimum time needed to settle a grievance, 
claim, or complaint not otherwise provided for in 
this section.’’; and 
(3) by adding at the end the following new sub-
section: 
‘‘(c) Non-career Foreign Service employees who have 
served five consecutive years under a limited appointment 
may be reappointed to a subsequent limited appointment 
provided there is a one year break in service between each 
appointment. The Secretary may in cases of special need 
waive the requirement for a one year break in service.’’. 
SEC. 326. COMPENSATORY TIME OFF FOR TRAVEL. 
Section 5550b of title 5, United States Code, is 
amended by adding at the end the following new sub-
section: 
‘‘(c) The maximum amount of compensatory time off 
earned under this section may not exceed 104 hours dur-
ing any leave year (as defined by regulations established 
by the Office of Personnel Management).’’. 
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111 
SEC. 327. REEMPLOYMENT OF FOREIGN SERVICE ANNU-
ITANTS. 
Section 824(g) of the Foreign Service Act of 1980 
(22 U.S.C. 4064(g)) is amended— 
(a) in paragraph (1)(B), by striking ‘‘to facilitate 
the’’ and all that follows through ‘‘Afghanistan,’’; 
(b) by striking paragraph (2); and 
(c) by redesignating paragraph (3) as paragraph (2). 
SEC. 328. PERSONAL SERVICES CONTRACTORS. 
(a) IN GENERAL.—In addition to other authorities 
that may be available, the Secretary of State may establish 
a pilot program (in this section referred to as the ‘‘pro-
gram’’) for the purpose of hiring United States citizens 
or aliens as personal services contractors, for service in 
the United States, or for service both in the United States 
and abroad, to respond to new or emerging needs or to 
augment current services. 
(b) CONDITIONS.—The Secretary is authorized to use 
the authority of subsection (a), subject to the following 
conditions: 
(1) The Secretary determines that existing per-
sonnel resources are insufficient. 
(2) The contract length, including options, may 
not exceed two years, unless the Secretary makes a 
finding that exceptional circumstances justify an ex-
tension of up to one additional year. 
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112 
(3) Not more than a total of 200 United States 
citizens or aliens are employed at any one time as 
personal services contractors under this section. 
(4) This authority may only be used to obtain 
specialized skills or experience or to respond to ur-
gent needs. 
(c) STATUS
OF
PERSONAL
SERVICE
CONTRAC-
TORS.— 
(1) IN GENERAL.—An individual hired as a per-
sonal service contractor pursuant to this section 
shall not, by virtue of such hiring, be considered to 
be an employee of the United States Government for 
purposes of any law administered by the Office of 
Personnel Management. 
(2) APPLICABLE LAWS.—An individual hired as 
a personal service contractor pursuant to this section 
shall be covered, in the same manner as a similarly- 
situated employee, by— 
(A) the Ethics in Government Act of 1978; 
(B) section 27 of the Office of Federal 
Procurement Policy Act; and 
(C) chapter 73 of title 5, sections 201, 
203, 205, 207, 208, and 209 of title 18, and 
section 1346 and chapter 171 of title 28, 
United States Code. 
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113 
(3) EXCEPTION.—This subsection shall not af-
fect the determination as to whether an individual 
hired as a personal service contractor pursuant to 
this section is an employee of the United States Gov-
ernment for purposes of any Federal law not speci-
fied in paragraphs (1) and (2). 
(d) TERMINATION OF AUTHORITY.—The authority to 
award personal services contracts under the program au-
thorized by this section shall terminate on September 30, 
2011. A contract entered into prior to the termination 
date under this subsection may remain in effect until expi-
ration. 
SEC. 329. PROTECTION OF INTELLECTUAL PROPERTY 
RIGHTS. 
(a) RESOURCES TO PROTECT INTELLECTUAL PROP-
ERTY RIGHTS.—The Secretary of State shall ensure that 
the protection in foreign countries of the intellectual prop-
erty rights of United States persons in other countries is 
a significant component of United States foreign policy in 
general and in relations with individual countries. The 
Secretary of State, in consultation with the Director Gen-
eral of the United States and Foreign Commercial Service 
and other agencies as appropriate, shall ensure that ade-
quate resources are available at diplomatic missions in any 
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114 
country that is identified under section 182(a)(1) of the 
Trade Act of 1974 (19 U.S.C. 2242(a)(1)) to ensure— 
(1) support for enforcement action against vio-
lations of the intellectual property rights of United 
States persons in such country; and 
(2) cooperation with the host government to re-
form its applicable laws, regulations, practices, and 
agencies to enable that government to fulfill its 
international and bilateral obligations with respect to 
intellectual property rights. 
(b) NEW APPOINTMENTS.—The Secretary of State, 
in consultation with the Director General of the United 
States and Foreign Commercial Service, shall appoint 10 
intellectual property attache´s to serve in United States 
embassies or other diplomatic missions. The 10 appoint-
ments shall be in addition to personnel serving, on the 
date of the enactment of this Act, in the capacity of intel-
lectual property attache´s from any department or agency 
of the United States at United States embassies or other 
diplomatic missions. 
(c) PRIORITY ASSIGNMENTS.— 
(1) IN GENERAL.—Subject to paragraph (2), in 
designating the embassies or other missions to which 
attache´s are assigned under subsection (b), the Sec-
retary of State shall give priority to those countries 
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115 
where the activities of an attache´ may be carried out 
with the greatest potential benefit to reducing coun-
terfeit and pirated products in the United States 
market, to protecting the intellectual property rights 
of United States persons and their licensees, and to 
protecting the interests of United States persons 
otherwise harmed by violations of intellectual prop-
erty rights in those countries. 
(2) ASSIGNMENTS TO PRIORITY COUNTRIES.— 
In carrying out paragraph (1), the Secretary of 
State shall consider assigning intellectual property 
attache´s— 
(A) to the countries that have been identi-
fied under section 182(a)(1) of the Trade Act 
of 1974 (19 U.S.C. 2242(a)(1)); and 
(B) to the country where the Organization 
for Economic Cooperation and Development has 
its headquarters. 
(d) DUTIES AND RESPONSIBILITIES OF INTELLEC-
TUAL PROPERTY ATTACHE´S.—The intellectual property 
attache´s appointed under subsection (b), as well as others 
serving as intellectual property attache´s of any other de-
partment or agency of the United States, shall have the 
following responsibilities: 
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116 
(1) To promote cooperation with foreign gov-
ernments in the enforcement of intellectual property 
laws generally, and in the enforcement of laws 
against counterfeiting and piracy in particular. 
(2) To assist United States persons holding in-
tellectual property rights, and the licensees of such 
United States persons, in their efforts to combat 
counterfeiting and piracy of their products or works 
within the host country, including counterfeit or pi-
rated goods exported from or transshipped through 
that country. 
(3) To chair an intellectual property protection 
task force consisting of representatives from all 
other relevant sections or bureaus of the embassy or 
other mission. 
(4) To coordinate with representatives of the 
embassies or missions of other countries in informa-
tion sharing, private or public communications with 
the government of the host country, and other forms 
of cooperation for the purpose of improving enforce-
ment against counterfeiting and piracy. 
(5) As appropriate and in accordance with ap-
plicable laws and the diplomatic status of the 
attache´s, to engage in public education efforts 
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against counterfeiting and piracy in the host coun-
try. 
(6) To coordinate training and technical assist-
ance programs of the United States Government 
within the host country that are aimed at improving 
the enforcement of laws against counterfeiting and 
piracy. 
(7) To identify and promote other means to 
more effectively combat counterfeiting and piracy ac-
tivities under the jurisdiction of the host country. 
(e) TRAINING.—The Secretary of State shall ensure 
that each attache´ appointed under subsection (b) is fully 
trained for the responsibilities of the position before as-
suming duties at the United States embassy or other mis-
sion in question. 
(f) COORDINATION.—The activities of intellectual 
property attache´s under this section shall be carried out 
in coordination with the United States Intellectual Prop-
erty Enforcement Coordinator appointed under section 
301 of the Prioritizing Resources and Organization for In-
tellectual Property Act of 2008 (15 U.S.C. 8111). 
(g) REPORT TO CONGRESS.— 
(1) IN GENERAL.—The Secretary of State shall 
submit to the Congress, not later than December 31 
of each year, a report on the appointment, designa-
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(C) by adding at the end the following new 
paragraph: 
‘‘(12) wherever applicable, violence or discrimi-
nation that affects the fundamental freedoms, con-
sistent with United States law, of an individual in 
foreign countries that is based on actual or perceived 
sexual orientation and gender identity.’’; and 
(2) in section 502B(b) (22 U.S.C. 2304(b)), by 
inserting after the eighth sentence the following new 
sentence: ‘‘Wherever applicable, violence or discrimi-
nation that affects the fundamental freedoms, con-
sistent with United States law, of an individual in 
foreign countries that is based on actual or perceived 
sexual orientation and gender identity.’’. 
(e) TRAINING FOR FOREIGN SERVICE OFFICERS.— 
Section 708(a) of the Foreign Service Act of 1980 (22 
16 U.S.C. 4028(a)) is amended— 
(1) in the matter preceding paragraph (1), by 
inserting ‘‘the Secretary for Democracy, Human 
Rights and Labor,’’ before ‘‘Ambassador at Large’’; 
(2) in paragraph (2), by striking ‘‘and’’ at the 
end; 
(3) in paragraph (3), by striking the period at 
the end and inserting ‘‘; and’’; and 
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269 
property, to vote, or to hold elected office, and to 
enjoy the protection and security of a country. 
(c) THE UNITED NATIONS.— 
(1) POLICY.—It shall be the policy of the 
United States that the President and the Permanent 
Representative of the United States to the United 
Nations work with the international community to 
increase political and financial support for the work 
of the United Nations High Commissioner for Refu-
gees (UNHCR) to prevent and resolve problems re-
lated to de jure and de facto statelessness, and to 
promote the rights of the de jure or de facto state-
less, by taking these and other actions: 
(A) Increasing the attention of the United 
Nations and the UNHCR to de jure and de 
facto statelessness and increasing its capacity 
to reduce statelessness around the world by co-
ordinating the mainstreaming of de jure and de 
facto statelessness into all of the United Na-
tions human rights work, in cooperation with all 
relevant United Nations agencies. 
(B) Urging United Nations country teams 
in countries with significant de jure or de facto 
stateless populations to devote increasing atten-
tion and resources to undertake coordinated ef-
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