SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Armed Forces Reserve and National 
Guard Dual-Status Review and Modernization Act''.

SEC. 2. POSTPONEMENT OF DEADLINE FOR COMPLETION OF CONVERSION OF 
              CERTAIN MILITARY TECHNICIAN (DUAL STATUS) POSITIONS TO 
              POSITIONS OF CIVILIAN EMPLOYMENT BY THE FEDERAL 
              GOVERNMENT.

    (a) Findings.--Congress makes the following findings:
            (1) A September 2013 study conducted by a federally funded 
        research and development center found that 21 percent of the 
        military technician (dual status) positions are administrative 
        in nature--the largest category as a percentage of military 
        technician (dual status) positions. The study recommends 
        investigation on whether ``some Dual Status MilTech positions 
        supporting general administration functions could be converted 
        to Title 5 Federal civilian full-time support positions without 
        compromising unit readiness''. The study further recommends 
        investigation on whether ``it is more appropriate to use 
        military full-time support for other reasons (such as currency 
        in military operations and training and augmentation)''.
            (2) Section 1053 of the National Defense Authorization Act 
        for Fiscal Year 2016 directs the conversion of not fewer than 
        20 percent of all military technician positions to positions of 
        Federal civilian employment under title 5, United States Code, 
        by January 1, 2017. Section 1084 of the National Defense 
        Authorization Act for Fiscal Year 2017 extends the deadline for 
        that conversion from January 1, 2017, to October 1, 2017.
            (3) The Department of Defense submitted a report on the 
        management of military technicians in December 2016 that finds 
        that 12.6 percent of the military technician (dual status) 
        positions were administrative in nature, and recommended a 
        conversion of 4.8 percent of such positions to positions of 
        Federal civilian employment.
            (4) The Chief of the National Guard Bureau testified before 
        Congress in April 2017 that a conversion of 20 percent of 
        military technician (dual status) positions to positions of 
        Federal civilian employment would degrade readiness, but that a 
        lower number could be converted with minimal impact. The Chief 
        of the National Guard Bureau also testified that the Department 
        of Defense had not conducted an analysis of the associated 
        costs and benefits of a conversion of 20 percent of military 
        technician (dual status) positions to positions of Federal 
        civilian employment.
    (b) Postponement of Deadline for Completion of Conversion.--
Notwithstanding the deadline otherwise specified in paragraph (1) of 
section 1053(a) of the National Defense Authorization Act for Fiscal 
Year 2016 (10 U.S.C. 113 note) for the completion of the conversion of 
military technician positions as described in that subsection, the 
deadline for the completion of such conversion shall be 180 days after 
the date on which the Secretary of Defense transmits to Congress under 
paragraph (6) of subsection (c) the report of the working group 
required by paragraph (5) of that subsection.
    (c) Working Group on Full Time Support of the Reserve Components.--
            (1) In general.--There shall be established in the 
        Department of Defense a working group to be known as the 
        ``Working Group on Full Time Support of the Reserve 
        Components'' (in this subsection referred to as the ``working 
        group'').
            (2) Co-chairs.--The co-chairs of the working group shall be 
        the following:
                    (A) The Director of the Army National Guard.
                    (B) The Director of the Air National Guard.
                    (C) The Chief of the Army Reserve.
                    (D) The Chief of the Air Force Reserve.
            (3) Members.--The members of the working group shall 
        include the co-chairs of the working group and such other 
        personnel of the Department of Defense as the Secretary shall 
        appoint from among organizations and elements of the Department 
        with an interest in full time support of the reserve components 
        of the Armed Forces, including the National Guard Bureau and 
        the Adjutants General of the States.
            (4) Duties.--The working group shall undertake a 
        comprehensive review of full time support of the reserve 
        components of the Armed Forces, including the following:
                    (A) An identification of the missions, purposes, 
                and objectives of military technicians (dual status) in 
                support of an operational reserve force.
                    (B) A review of the posture of current military 
                technician (dual status) positions, and of their 
                current role in meeting the objectives identified 
                pursuant to subparagraph (A).
                    (C) An analysis of potential restructurings of the 
                workforce of military technicians (dual status) in 
                order to identify a restructuring that fully aligns 
                military technician (dual status) positions with 
                objectives for full time support of the reserve 
                components.
                    (D) An identification of the military technician 
                (dual status) positions whose conversion to positions 
                of Federal civilian employment under title 5, United 
                States Code, would best ensure the achievement of 
                objectives for full time support of the reserve 
                components.
                    (E) An assessment of the impact on the readiness of 
                the National Guard for domestic operations of the 
                conversion of positions identified pursuant to 
                subparagraph (D) as described in that subparagraph.
                    (F) An assessment of costs and potential savings 
                associated with the conversion of positions identified 
                pursuant to subparagraph (D) as described in that 
                subparagraph.
            (5) Report to secretary of defense.--Not later than 180 
        days after the date of the enactment of this Act, the working 
        group shall submit to the Secretary of Defense a report on the 
        comprehensive review undertaken pursuant to paragraph (4). The 
        report shall include the following:
                    (A) A comprehensive description of the review and 
                the results of the review.
                    (B) The percentage of military technician (dual 
                status) positions whose conversion to positions of 
                Federal civilian employment under title 5, United 
                States Code, would best ensure the achievement of 
                objectives for full time support of the reserve 
                components of the Armed Forces as an operational 
                reserve.
                    (C) A transition plan for implementing a new force 
                structure for full time support of the reserve 
                components, including for the conversion of positions 
                as described in subparagraph (B) which mitigates any 
                risks to readiness identified pursuant to paragraph 
                (4)(E).
                    (D) Recommendations for the reform of personnel 
                management policy for military technician (dual status) 
                positions that address--
                            (i) the eligibility of military technicians 
                        (dual status) for civilian retirement upon 
                        retirement from the Armed Forces; and
                            (ii) the process for appealing employment 
                        decisions.
                    (E) Recommendations for reforms of compensation and 
                benefits policies for military technician (dual status) 
                positions in order to provide military technicians 
                (dual status) with parity in compensation and benefits 
                with other Federal civilian employees of the Department 
                of Defense under title 5, United States Code.
            (6) Transmittal of report to congress.--The Secretary shall 
        transmit to the congressional defense committees the report of 
        the working group under paragraph (5), together with such 
        discussion and recommendations in connection with the report as 
        the Secretary considers appropriate. The Secretary shall 
        publish the report, and any such discussions and 
        recommendations, in the Federal Register at the time of 
        transmittal.
            (7) Congressional defense committees defined.--In this 
        subsection, the term ``congressional defense committees'' has 
        the meaning given that term in section 101(a)(16) of title 10, 
        United States Code.
Output: Armed Forces Reserve and National Guard Dual-Status Review and Modernization Act This bill postpones the deadline for conversion of at least 20% of all military technician (dual status) positions to positions of civilian employment in the federal government until 180 days after the Department of Defense transmits to Congress the report of the Working Group on Full Time Support of the Reserve Components, established by this bill. The working group shall undertake a comprehensive review of full-time support of the reserve components of the Armed Forces, including:  an identification of the missions, purposes, and objectives of military technicians (dual status) in support of an operational reserve force; a review of the posture of such positions and their role in meeting such objectives; an analysis of potential workforce restructuring to fully align such positions with objectives for full-time support of the reserve components; an identification of such positions the conversion of which to federal civilian positions would best ensure the achievement of such objectives; an assessment of the impact of such conversion on the readiness of the National Guard for domestic operations; and an assessment of costs and potential savings associated with such conversion.