H.R. 4909 — what changed

added In this Act, the term “congressional defense committees” has the meaning given that term in section 101(a)(16) of title 10, United States Code.

added None of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2017 for the Navy shall be used to select only a single contractor for the construction of the Littoral Combat Ship or any successor frigate class ship program until the Secretary of the Navy certifies to the congressional defense committees that such selection of a single contractor will be conducted—

added Section 231a of title 10, United States Code, is amended—

added Section 141 of the National Defense Authorization Act for Fiscal Year 2013 (Public Law 112–239; 126 Stat. 1659) is amended by striking subsection (d).

added Section 136 of the National Defense Authorization Act for Fiscal Year 2007 (Public Law 109–364; 120 Stat. 2114) is amended by striking subsection (b).

added Section 123(a)(1) of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111–383; 124 Stat. 4158; 10 U.S.C. 167 note.) is amended by inserting “ending on or before September 30, 2018” after “each fiscal quarter”.

added “(4) In carrying out this subsection, the Secretary shall act through the Assistant Secretary of Defense for Research and Engineering.”

added Section 219 of the Duncan Hunter National Defense Authorization Act for Fiscal Year 2009 (Public Law 110–417; 10 U.S.C. 2358 note), as most recently amended by section 262 of the National Defense Authorization Act for Fiscal Year 2014 (Public Law 113–66), is amended—

added “(d) Special rule—For purposes of this section, a federally funded research and development center shall be considered a defense laboratory if the center is sponsored by the Department of Defense.”

added Of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2017 for the Tactical Combat Training System Increment II of the Navy, not more than 80 percent may be obligated or expended until the Secretary of the Navy and the Secretary of the Air Force submit to the congressional defense committees the report required by section 235 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 129 Stat. 780).

added Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall—

added Section 526 of the Energy Independence and Security Act of 2007 (Public Law 110–140; 42 U.S.C. 17142) is amended by adding at the end the following: “This provision shall not be construed as a constraint on any conventional or unconventional fuel procurement necessary for military operations, including for test and certification purposes.”

added During the five-year period beginning on the date of the enactment of this Act, the Secretary of Defense shall treat a Government-owned, contractor-operated industrial plant of the Department of the Army as an eligible facility under section 4551(2) of title 10, United States Code.

added “(a) Annual report related to installations energy management—Not later than 120 days after the end of each fiscal year ending before January 31, 2021, the Secretary of Defense shall submit to the congressional defense committees an installation energy report detailing the fulfillment during that fiscal year of the energy performance goals for the Department of Defense under section 2911 of this title. Each report shall contain the following:

added “(1) The energy performance goals for the Department of Defense with respect to transportation systems, support systems, utilities, and infrastructure and facilities for the fiscal year covered by the report and the next 5, 10, and 20 fiscal years, including any changes to such energy performance goals since the submission of the previous report under this section.

added “(2) A master plan for the achievement of the energy performance goals of the Department of Defense, as such goals are set forth in any laws, regulations, executive orders, or Department of Defense policies, including—

added “(A) a separate plan for each military department and Defense Agency;

added “(B) a standard for the measurement of energy consumed by transportation systems, support systems, utilities, and facilities and infrastructure, applied consistently across the military departments;

added “(C) a methodology for measuring reductions in energy consumption that accounts for changes—

added “(i) in the sizes of fleets; and

added “(ii) in the number and overall square footage of facility plants;

added “(D) standards to track annual progress in meeting energy performance goals;

added “(E) a description of any requirements and proposed investments relating to energy performance goals included in the materials submitted in support of the budget of the President (as submitted to Congress under section 1105(a) of title 31) for the fiscal year covered by the report; and

added “(F) a description of any energy savings resulting from the implementation of the master plan or any other energy performance measures.

added “(3) A table listing all energy projects financed through third party financing mechanisms (including energy savings performance contracts, enhanced use leases, utility energy service contracts, utility privatization agreements, and other contractual mechanisms), including—

added “(A) the duration of each such mechanism, an estimate of the financial obligation incurred through the duration of each such mechanism, whether the project incorporates energy security into its design, and the estimated payback period for each such mechanism; and

added “(B) any renewable energy certificates relating to the project, including the purchasing authority for the certificates, the price of the certificates, and whether the certificates were bundled or unbundled.

added “(4) A description of the types and quantities of energy consumed by the Department of Defense and by members of the armed forces and civilian personnel residing or working on military installations during the fiscal year covered by the report, including a breakdown of energy consumption by—

added “(A) user group;

added “(B) the type of energy consumed, including the quantities of any renewable energy consumed that was produced or procured by the Department of Defense; and

added “(C) the cost of the energy consumed.

added “(5) A description of the types and amount of financial incentives received under section 2913 of this title during the preceding fiscal year and the appropriation account or accounts to which the incentives were credited.

added “(6) A description and estimate of the progress made by the military departments in meeting the certification requirements for sustainable green-building standards in construction and major renovations as required by section 433 of the Energy Independence and Security Act of 2007 (Public Law 110–140; 121 Stat. 1612).

added “(7) Details of utility outages at military installations, including the total number and locations of outages, the financial impact of the outages, and measures taken to mitigate outages in the future at the affected locations and across the Department of Defense.

added “(8) A description of any other issues and strategies the Secretary determines relevant to a comprehensive and renewable energy policy.”

added “(H) The comments and recommendations of the Assistant Secretary under section 2926(c) of this title, including the certification required under paragraph (3) of such section.”

added Section 3063 of title 10, United States Code, is amended—

added “(13) Explosive Ordnance Disposal Corps; and”

added “2283. Explosive ordnance disposal program

added “(a) In General—The Secretary of Defense shall carry out a program to be known as the “Explosive Ordnance Disposal Program” (in this section referred to as the “Program”) under which the Secretary shall ensure close and continuous coordination between the military departments on matters relating to explosive ordnance disposal.

added “(b) Roles, responsibilities, and authorities—In carrying out the Program under subsection (a)—

added “(1) the Secretary of Defense shall—

added “(A) assign responsibility for the coordination and integration of explosive ordnance disposal to a single office or entity in the Office of the Secretary of Defense;

added “(B) designate the Secretary of the Navy, or a designee of the Secretary’s choice, as the executive agent for the Department of Defense to coordinate and integrate research, development, test, and evaluation activities and procurement activities of the military departments with respect to explosive ordnance disposal; and

added “(C) exercise oversight over explosive ordnance disposal through the Defense Acquisition Board process; and

added “(2) the Secretary of each military department shall assess the needs of the military department concerned with respect to explosive ordnance disposal and may carry out research, development, test, and evaluation activities and procurement activities to address such needs.

added “(c) Annual budget justification documents

added “(1) The Secretary of Defense shall submit to Congress, as a part of the defense budget materials for each fiscal year after fiscal year 2017, a consolidated budget justification display, in classified and unclassified form, that covers all activities of Department of Defense relating to the Program.

added “(2) The budget display under paragraph (1) for a fiscal year shall include a single program element for each of the following:

added “(A) Research, development, test, and evaluation.

added “(B) Procurement.

added “(C) Military construction.

added “(d) Management Review

added “(1) The Secretary of Defense, acting through the Office of the Secretary of Defense assigned responsibility for the coordination and integration of explosive ordnance disposal under subsection (b)(1)(A), shall conduct a review of the management structure of the Program, including—

added “(A) research, development, test, and evaluation;

added “(B) procurement;

added “(C) doctrine development;

added “(D) policy;

added “(E) training;

added “(F) development of requirements;

added “(G) readiness; and

added “(H) risk assessment.

added “(2) Not later than May 1, 2018, the Secretary shall provide to the Committees on Armed Services of the Senate and the House of Representatives a briefing that includes—

added “(A) the results of the review described in paragraph (1); and

added “(B) a description of any measures undertaken to improve joint coordination and oversight of the Program and ensure a coherent and effective approach to its management.

added “(e) Definitions—In this section:

added “(1) The term explosive ordnance means any munition containing explosives, nuclear fission or fusion materials, or biological or chemical agents, including—

added “(A) bombs and warheads;

added “(B) guided and ballistic missiles;

added “(C) artillery, mortar, rocket, and small arms munitions;

added “(D) mines, torpedoes, and depth charges;

added “(E) demolition charges;

added “(F) pyrotechnics;

added “(G) clusters and dispensers;

added “(H) cartridge and propellant actuated devices;

added “(I) electro-explosive devices; and

added “(J) clandestine and improvised explosive devices.

added “(2) The term disposal means, with respect to explosive ordnance, the detection, identification, field evaluation, defeat, disablement, or rendering safe, recovery and exploitation, and final disposition of the ordnance.”

added “(3) the interests of national security, as determined by the Secretary of Defense.”

added “(b) Studies

added “(1) In general—Under regulations prescribed by the Secretary, if the Secretary decides that constructing or altering a structure may result in an obstruction of the navigable airspace, an interference with air navigation facilities and equipment or the navigable airspace, or, after consultation with the Secretary of Defense, an unacceptable risk to the national security of the United States, the Secretary shall conduct an aeronautical study to decide the extent of such impacts on the safe and efficient use of the airspace, facilities, or equipment. In conducting the study, the Secretary shall—

added “(A) consider factors relevant to the efficient and effective use of the navigable airspace, including—

added “(i) the impact on arrival, departure, and en route procedures for aircraft operating under visual flight rules;

added “(ii) the impact on arrival, departure, and en route procedures for aircraft operating under instrument flight rules;

added “(iii) the impact on existing public-use airports and aeronautical facilities;

added “(iv) the impact on planned public-use airports and aeronautical facilities;

added “(v) the cumulative impact resulting from the proposed construction or alteration of a structure when combined with the impact of other existing or proposed structures; and

added “(vi) other factors relevant to the efficient and effective use of navigable airspace; and

added “(B) include the finding made by the Secretary of Defense under subsection (f).

added “(2) Report—On completing the study, the Secretary shall issue a report disclosing the extent of the—

added “(A) adverse impact on the safe and efficient use of the navigable airspace that the Secretary finds will result from constructing or altering the structure; and

added “(B) unacceptable risk to the national security of the United States, as determined by the Secretary of Defense under subsection (f).”

added “(f) National security finding—As part of an aeronautical study conducted under subsection (b), the Secretary of Defense shall—

added “(1) make a finding on whether the construction, alteration, establishment, or expansion of a structure or sanitary landfill included in the study would result in an unacceptable risk to the national security of the United States; and

added “(2) transmit the finding to the Secretary of Transportation for inclusion in the report required under subsection (b)(2).

added “(g) Unacceptable risk to national security of United States defined—In this section, the term “unacceptable risk to the national security of the United States” has the meaning given the term in section 211.3 of title 32, Code of Federal Regulations, as in effect on January 6, 2014.”

added The Secretary of the Navy and the Commandant of the Marine Corps shall work in coordination with the Secretary of the Army to develop, not later than April 1, 2017, a joint acquisition strategy to provide more effective personal protective equipment and organizational clothing and equipment to meet the specific and unique requirements for female Marines and soldiers.

added To ensure that an adequate, competitive supply of custom designed motors is available to the Department of Defense, particularly to meet its replacement motor requirements for older equipment, and to protect small businesses that supply such motors to the Department of Defense, the requirements of section 431.25 of title 10, Code of Federal Regulations, shall not be enforced against manufacturers of specialty motors, whether characterized by the Department as special purpose or definite purpose motors, provided that such manufacturers qualify as small businesses and provided further that such manufacturers do not also manufacture general purpose motors and provided further that such manufacturers were in the business of manufacturing such motors on June 1, 2016.

added Of the amounts authorized to be appropriated for Operation and Maintenance, Defense-Wide, for the Office of the Under Secretary of Defense for Policy, for fiscal year 2017, not more than 85 percent of such amounts may be obligated or expended until the Secretary of Defense establishes and implements the process by which members of the Armed Forces may carry an appropriate firearm on a military installation, as required by section 526 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 129 Stat. 813; 10 U.S.C. 2672 note).

added Section 691(b) of title 10, United States Code, is amended by striking paragraphs (1) through (4) and inserting the following new paragraphs:

added “(1) For the Army, 480,000.

added “(2) For the Navy, 322,900.

added “(3) For the Marine Corps, 185,000.

added “(4) For the Air Force, 321,000.”

added It is the sense of Congress that—

added Section 1161(b) of title 10, United States Code, is amended by inserting “or the Secretary of Defense, or in the case of a commissioned officer of the Coast Guard, the Secretary of the department in which the Coast Guard is operating when it is not operating in the Navy,” after “President”.

added Section 512 of the National Defense Authorization Act for Fiscal Year 2014 (Public Law 113–66; 127 Stat. 752; 32 U.S.C. prec. 301 note) is amended—

added Section 115 of title 10, United States Code, is amended—

added Section 701(i) of title 10, United States Code, is amended—

added “10102a. Deployment prioritization and readiness of army components

added “(a) Deployment prioritization—The Secretary of the Army shall maintain a system for identifying the priority of deployment for units of all components of the Army.

added “(b) Deployability readiness rating—The Secretary of the Army shall maintain a readiness rating system for units of all components of the Army that provides an accurate assessment of the deployability of a unit and those shortfalls of a unit that require the provision of additional resources. The system shall ensure—

added “(1) that the personnel readiness rating of a unit reflects—

added “(A) both the percentage of the overall personnel requirement of the unit that is manned and deployable and the fill and deployability rate for critical occupational specialties necessary for the unit to carry out its basic mission requirements; and

added “(B) the number of personnel in the unit who are qualified in their primary military occupational specialty; and

added “(2) that the equipment readiness assessment of a unit—

added “(A) documents all equipment required for deployment;

added “(B) reflects only that equipment that is directly possessed by the unit;

added “(C) specifies the effect of substitute items; and

added “(D) assesses the effect of missing components and sets on the readiness of major equipment items.”

added “(2) the execution of the instrument is notarized by—

added “(A) a military legal assistance counsel;

added “(B) a person who is authorized to act as a notary under section 1044a of this title who—

added “(i) is not an attorney; and

added “(ii) is supervised by a military legal assistance counsel; or

added “(C) a State-licensed notary employed by a military department or the Coast Guard who is supervised by a military legal assistance counsel;”

added “(6) All civilian paralegals serving at military legal assistance offices, supervised by a military legal assistance counsel (as defined in section 1044d(g) of this title).”

added Section 1175a(j) of title 10, United States Code, is amended—

added The Secretaries of each of the military departments shall ensure that each member of the Armed Forces with dependents receives annually, and prior to each deployment, notice of the child custody protections afforded to members of the Armed Forces under the Servicemembers Civil Relief Act (50 U.S.C. 3901 et seq.).

added “701a. Parental leave

added “(a) Leave authorized—A member of the armed forces who is performing active service may be allowed leave under this section for each instance in which the member becomes a parent as a result of the member’s spouse giving birth.

added “(b) Amount of leave—Leave under this section shall be at least 14 days, under regulations prescribed under this section by the Secretary concerned.

added “(c) Duration of availability of leave—Leave under this section is lost as follows:

added “(1) If not used within one year of the date of the birth giving rise to the leave.

added “(2) If the member having the leave becomes entitled to leave under this section with respect to a different child.

added “(3) If not used before separation from active service.

added “(d) Coordination with other leave authorities—Leave under this section is in addition to any other leave and may not be deducted or charged against other leave authorized by this chapter.

added “(e) Regulations—This section shall be carried out under regulations prescribed by the Secretary concerned. Regulations prescribed under this section by the Secretaries of the military departments shall be as uniform as practicable and shall be subject to approval by the Secretary of Defense.”

added “(3) In the event that two members of the armed forces who are married to each other adopt a child in a qualifying child adoption, the two members shall be allowed a total of at least 36 days of leave under this subsection, to be shared between the two members. The Secretary concerned shall permit the transfer of such leave between the two members to accommodate individual family circumstances.”

added “(19) Section 701(i) and 701a, Adoption Leave and Parental Leave.”

added “(a) Reporting by military and civilian personnel—A member of the armed forces, civilian employee of the Department of Defense, or contractor employee working on a military installation who is mandated by Federal regulation or State law to report known or suspected instances of child abuse and neglect shall provide the report directly to State Child Protective Services or another appropriate State agency in addition to the member’s or employee’s chain of command or any designated Department point of contact.

added “(b) Training for mandated reporters—The Secretary of Defense shall ensure that individuals referred to in subsection (a) who are mandated by State law to report known or suspected instances of child abuse and neglect receive appropriate training, in accordance with State guidelines, intended to improve their—

added “(1) ability to recognize evidence of child abuse and neglect; and

added “(2) understanding of the mandatory reporting requirements imposed by law.”

added “(d) Definitions—In this section:

added “(1) The term”

added “(2) The term “State” includes the District of Columbia, the Commonwealth of Puerto Rico, the Commonwealth of the Northern Mariana Islands, Guam, the Virgin Islands, American Samoa, the Federated States of Micronesia, the Republic of the Marshall Islands, and the Republic of Palau.”

added Section 1631 of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111–383; 124 Stat. 4433; 10 U.S.C. 1561 note) is amended—

added “(g) Coordination of release date between annual report regarding sexual assaults and family advocacy report—The Secretary of Defense shall ensure that the report required under subsection (a) for a year is delivered to the Committees on Armed Services of the Senate and House of Representatives simultaneously with the Department of Defense Family Advocacy Report for that year required by section 543 of the National Defense Authorization Act for Fiscal Year 2017.”

added “(i) Burdens of Proof—The burdens of proof specified in section 1221(e) of title 5 shall apply in any investigation conducted by an Inspector General under subsection (c) or (d), any review performed by a board for the correction of military records under subsection (g), and any review conducted by the Secretary of Defense under subsection (h).”

added Section 1034(c)(4) of title 10, United States Code, is amended by adding at the end the following new subparagraph:

added “(F) The Secretary concerned shall ensure that any individual investigating an allegation as described in paragraph (1) must have training in the definition and characteristics of retaliation. In addition, if the investigation involves alleged retaliation in response to a communication regarding a violation of a law or regulation prohibiting rape, sexual assault, or other sexual misconduct in violation of sections 920 through 920c of this title (articles 120 through 120c of the Uniform Code of Military Justice), the training shall include specific instruction regarding such violations.”

added Section 2015(c) of title 10, United States Code, is amended—

added “(2) The requirements for a credentialing program specified in this paragraph are that the credentialing program—

added “(A) is accredited by a nationally-recognized third-party personnel certification program accreditor;

added “(B)

added “(i) is sought or accepted by employers within the industry or sector involved as a recognized, preferred, or required credential for recruitment, screening, hiring, retention, or advancement purposes; and

added “(ii) where appropriate, is endorsed by a nationally-recognized trade association or organization representing a significant part of the industry or sector;

added “(C) grants licenses that are recognized by the Federal Government or a State government; or

added “(D) meets credential standards of a Federal agency.”

added “2111c. Senior military colleges: ROTC cyber institutes

added “(a) Program authorized—The Secretary of Defense may establish cyber institutes at each of the senior military colleges for the purpose of accelerating the development of foundational expertise in critical cyber operational skills for future military and civilian leaders of the armed forces and the Department of Defense, including such leaders of the reserve components.

added “(b) Elements—Each cyber institute established under this section shall include each of the following:

added “(1) Training for members of the program who possess cyber operational expertise from beginning through advanced skill levels, including instruction and practical experiences that lead to cyber certifications recognized in the field.

added “(2) Training in targeted strategic foreign language proficiency designed to significantly enhance critical cyber operational capabilities and tailored to current and anticipated readiness requirements.

added “(3) Training related to mathematical foundations of cryptography and cryptographic theory and practice designed to complement and reinforce cyber education along with the strategic language programs critical to cyber operations.

added “(4) Training designed to expand the pool of qualified cyber instructors necessary to support cyber education in regional school systems.

added “(c) Partnerships With Department of Defense and the Armed Forces—Any cyber institute established under this section may enter into a partnership with any active or reserve component of the armed forces or any agency of the Department of Defense to facilitate the development of critical cyber skills.

added “(d) Partnerships With Other Schools—Any cyber institute established under this section may enter into a partnership with one or more local educational agencies to facilitate the development of critical cyber skills under the program among students attending the elementary and secondary schools of such agencies who may pursue a military career.

added “(e) Senior military colleges—The senior military colleges are the senior military colleges in section 2111a(f) of this title.”

added “(a) Authority of Secretary—The Secretary of the Army may employ as many civilians as professors, instructors, lecturers, researchers, and administrative faculty at the Army War College, the United States Army Command and General Staff College, and the Army University as the Secretary considers necessary.”

added “4021. Army War College, United States Army Command and General Staff College, and Army University: civilian faculty members”

added “(a) Authority of Secretary—The Secretary of the Navy may employ as many civilians as professors, instructors, lecturers, researchers, and administrative faculty at a school of the Naval War College or of the Marine Corps University as the Secretary considers necessary.”

added “(a) Authority of Secretary—The Secretary of the Air Force may employ as many civilians as professors, instructors, lecturers, researchers, and administrative faculty at a school of the Air University as the Secretary considers necessary.”

added “(b) Effect of change in name—The Secretary of the military department concerned shall reissue a certificate of discharge or an order of acceptance of resignation in the new name of any person who, after separation from an armed force under the jurisdiction of that Secretary, legally changes the person’s name to reflect the person’s gender identity.”

added “1551. Correction of name after separation from service”

added “(e) Prohibition related to display of Confederate battle flag

added “(1) The Secretary of a military department may not establish, maintain, or support a unit of the program at any educational institution, including any senior military college specified in section 2111a of this title, that displays, in a location other than in a museum exhibit, the Confederate battle flag.

added “(2)

added “(A) Upon making a determination under paragraph (1) that an educational institution displays, in a location other than in a museum exhibit, the Confederate battle flag, the Secretary of the military department concerned shall terminate, in accordance with subparagraph (B), any unit of the program at that educational institution in existence as of the date of the determination.

added “(B) The termination of a unit of the program at an educational institution pursuant to this paragraph shall take effect on the date on which—

added “(i) each member of the program who, as of the date of the determination, is enrolled in the educational institution is no longer so enrolled; and

added “(ii) each student who, as of the date of the determination, is enrolled in the educational institution but not yet a member of the program, is no longer so enrolled.

added “(3) Not later than January 31, 2017, and each January 31 thereafter through January 31, 2021, the Secretary of Defense shall submit to the congressional defense committees a report—

added “(A) identifying each unit of the program located at an educational institution that displays, in a location other than in a museum exhibit, the Confederate battle flag; and

added “(B) describing the implementation of this subsection with respect to that educational institution.

added “(4) In this subsection, the term “Confederate battle flag” means the battle flag of the Army of Northern Virginia, the battle flag of the Army of Tennessee, the battle flag of Forrest’s Cavalry Corps, the Second Confederate Navy Jack, the Second Confederate Navy Ensign, or other flag with a like design.”

added “(f) Exception—The prohibition under subsection (e) shall not apply to an educational institution if the board of visitors of such institution has voted to take down the flag described in such subsection.”

added “(c)

added “(1) The Secretary of the Army shall ensure that under such regulations as the Secretary may prescribe, the cremated remains of any person described in paragraph (2) are eligible for inurnment in Arlington National Cemetery with military honors in accordance with section 1491 of title 10.

added “(2) A person described in this paragraph is a person whose service has been determined to be active duty service pursuant to section 401 of the GI Bill Improvement Act of 1977 (Public Law 95–202; 38 U.S.C. 106 note) as of the date of the enactment of this paragraph.”

added “190. Representation on boards, councils, and committees making recommendations relating to military personnel issues

added “(a) Representation required—Notwithstanding any other provision of law, any board, council, or committee established under this chapter that is responsible for making any recommendation relating to any military personnel issue affecting enlisted members of the armed forces shall include representation on the board, council, or committee from enlisted members of the armed forces or retired enlisted members of the armed forces.

added “(b) Military personnel issues—For purposes of this section, military personnel issues include issues relating to health care, retirement benefits, pay, direct and indirect compensation, and entitlements for members of the armed forces.”

added Section 1142(b)(11) of title 10, United States Code, is amended by inserting before the period at the end the following: “, and information concerning options available to the member for registering at or following separation to donate brain tissue at time of the member’s death for research regarding traumatic brain injury and chronic traumatic encephalopathy”.

added Congress—

added It is the sense of Congress that a statute currently exists, specifically paragraph (2) of section 504(b) of title 10, United States Code, which states that “the Secretary concerned may authorize the enlistment of a person not described in paragraph (1) [of that section] if the Secretary determines that such enlistment is vital to the national interest”.

added “(b) For purposes of this chapter:

added “(1) A member of the Armed Forces on active duty and the spouse of such a member are residents of the State in which the permanent duty station of the member is located.

added “(2) The spouse of such a member may satisfy the identification document requirements of this chapter by presenting—

added “(A) the military identification card issued to the spouse; and

added “(B) the official Permanent Change of Station Orders annotating the spouse as being authorized for collocation, or an official letter from the commanding officer of the member verifying that the member and the spouse are collocated at the permanent duty station of the member.”

added The adjustment in the rates of monthly basic pay required by subsection (a) of section 1009 of title 37, United States Code, to be made on January 1, 2017, shall take effect, notwithstanding any determination made by the President under subsection (e) of such section with respect to an alternative pay adjustment to be made on such date.

added Section 403(b)(7)(E) of title 37, United States Code, is amended by striking “December 31, 2016” and inserting “December 31, 2017”.

added The following sections of title 37, United States Code, are amended by striking “December 31, 2016” and inserting “December 31, 2017”:

added The following sections of title 37, United States Code, are amended by striking “December 31, 2016” and inserting “December 31, 2017”:

added The following sections of title 37, United States Code, are amended by striking “December 31, 2016” and inserting “December 31, 2017”:

added The following sections of title 37, United States Code, are amended by striking “December 31, 2016” and inserting “December 31, 2017”:

added Section 334(c)(1) of title 37, United States Code, is amended by striking subparagraphs (A) and (B) and inserting the following new subparagraphs:

added “(A) aviation incentive pay under subsection (a) shall be paid at a monthly rate not to exceed $1,000 per month; and

added “(B) an aviation bonus under subsection (b) may not exceed $60,000 for each 12-month period of obligated service agreed to under subsection (d).”

added Section 332(c)(1)(B) of title 37, United States Code, is amended by striking “$12,000” and inserting “$20,000”.

added Subparagraph (B) of section 1413a(b)(3) of title 10, United States Code, is amended by striking “the amount equal to” and all that follows through “creditable service multiplied” and inserting the following: “the amount equal to the retired pay multiplier determined for the member under section 1409 of this title multiplied”.

added The amendment to be made by section 632(c)(2) of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 129 Stat. 847) shall not take effect.

added “(1) has completed not less than 8 and not more than 12 years of service in a uniformed service; and”

added “(b) Payment amount—The Secretary concerned shall determine the payment amount under this section as a multiple of a full TSP member’s monthly basic pay but shall not be less than 2.5 times the member’s monthly basic pay. The maximum amount the Secretary concerned may pay the member under this section is—

added “(1) in the case of a member of a regular component or in a reserve component if the member is performing active Guard and Reserve duty (as defined in section 101(d)(6) of title 10), 13 times the amount of the monthly basic pay payable to the member for the month during which the agreement under subsection (a)(2) is entered into; and

added “(2) in the case of any member not covered by paragraph (1), 6 times the amount of monthly basic pay to which the member would be entitled for the month during which the agreement under subsection (a)(2) is entered into if the member were serving on active duty at the time the agreement is entered into.”

added “(d) Timing of payment—The Secretary concerned shall pay continuation pay under subsection (a) to a full TSP member when the member has completed not less than 8 and not more than 12 years of service in a uniformed service.”

added “(2) Dependent children annuity

added “(A) Annuity when no eligible surviving spouse—In the case of a person described in paragraph (1), the Secretary concerned shall pay an annuity under this subchapter to the dependent children of that person under section 1450(a)(2) of this title as applicable.

added “(B) Optional annuity when there is an eligible surviving spouse—The Secretary may pay an annuity under this subchapter to the dependent children of a person described in paragraph (1) under section 1450(a)(3) of this title, if applicable, instead of paying an annuity to the surviving spouse under paragraph (1), if the Secretary concerned, in consultation with the surviving spouse, determines it appropriate to provide an annuity for the dependent children under this paragraph instead of an annuity for the surviving spouse under paragraph (1).”

added “(5) Deemed election to provide an annuity for dependent—Paragraph (6) of subsection (d) shall apply in the case of a member described in paragraph (1) who dies after November 23, 2003, when no other annuity is payable on behalf of the member under this subchapter.”

added “(3)

added “(A) The Secretary of Defense shall develop and implement a comprehensive strategy to optimize management practices across the defense commissary system and the exchange system that reduce reliance of those systems on appropriated funding without reducing benefits to the patrons of those systems or the revenue generated by nonappropriated fund entities or instrumentalities of the Department of Defense for the morale, welfare, and recreation of members of the armed forces.

added “(B) The Secretary shall ensure that savings generated due to such optimization practices are shared by the defense commissary system and the exchange system through contracts or agreements that appropriately reflect the participation of the systems in the development and implementation of such practices.

added “(C) If the Secretary determines that the reduced reliance on appropriated funding pursuant to subparagraph (A) is insufficient to maintain the benefits to the patrons of the defense commissary system, and if the Secretary converts the defense commissary system to a nonappropriated fund entity or instrumentality pursuant to paragraph (1) of section 2484(j) of this title, the Secretary shall transfer appropriated funds pursuant to paragraph (2) of such section to ensure the maintenance of such benefits.

added “(4) On not less than a quarterly basis, the Secretary shall provide to the congressional defense committees a briefing on the defense commissary system, including—

added “(A) an assessment of the savings the system provides patrons;

added “(B) the status of implementing section 2484(i) of this title;

added “(C) the status of implementing section 2484(j), including whether the system requires any appropriated funds pursuant to paragraph (2) of such section;

added “(D) the status of carrying out a program for such system to sell private label merchandise; and

added “(E) any other matters the Secretary considers appropriate.”

added “(i) Variable pricing program

added “(1) Notwithstanding subsection (e), and subject to subsection (k), the Secretary may establish a variable pricing program pursuant to which prices may be established in response to market conditions and customer demand, in accordance with the requirements of this subsection. Notwithstanding the amount of the uniform surcharge assessed in subsection (d), the Secretary may provide for an alternative surcharge of not more than five percent of sales proceeds under such variable pricing program to be made available for the purposes specified in subsection (h).

added “(2) Subject to subsection (k), before establishing a variable pricing program under this subsection, the Secretary shall establish the following:

added “(A) Specific, measurable benchmarks for success in the provision of high quality grocery merchandise, discount savings to patrons, and levels of customer satisfaction while achieving savings for the Department of Defense.

added “(B) A baseline of overall savings to patrons achieved by commissary stores prior to the initiation of the variable pricing program, based on a comparison of prices charged by those stores on a regional basis with prices charged by relevant local competitors for a representative market basket of goods.

added “(3) The Secretary shall ensure that the defense commissary system implements the variable pricing program by conducting price comparisons using the methodology established for paragraph (2)(B) and adjusting pricing as necessary to ensure that pricing in the variable pricing program achieves overall savings to patrons that are consistent with the baseline savings established for the relevant region pursuant to such paragraph.

added “(j) Conversion to nonappropriated fund entity or instrumentality

added “(1) Subject to subsection (k), if the Secretary determines that the variable pricing program has met the benchmarks for success established pursuant to paragraph (2)(A) of subsection (i) and the savings requirements established pursuant to paragraph (3) of such subsection over a period of at least six months, the Secretary may convert the defense commissary system to a nonappropriated fund entity or instrumentality, with operating expenses financed in whole or in part by receipts from the sale of products and the sale of services. Upon such conversion, appropriated funds shall be transferred to the defense commissary system only in accordance with paragraph (2) or section 2491 of this title. The requirements of section 2483 shall not apply to the defense commissary system operating as a nonappropriated fund entity or instrumentality.

added “(2) If the Secretary determines that the defense commissary system operating as a nonappropriated fund entity or instrumentality is likely to incur a loss in any fiscal year as a result of compliance with the savings requirement established in subsection (i), the Secretary shall authorize a transfer of appropriated funds available for such purpose to the commissary system in an amount sufficient to offset the anticipated loss. Any funds so transferred shall be considered to be nonappropriated funds for such purpose.

added “(3)

added “(A) The Secretary of Defense may identify positions of employees in the defense commissary system who are paid with appropriated funds whose status may be converted to the status of an employee of a nonappropriated fund entity or instrumentality.

added “(B) The status and conversion of employees in a position identified by the Secretary under subparagraph (A) shall be addressed as provided in section 2491(c) for employees in morale, welfare, and recreation programs, including with respect to requiring the consent of such employee to be so converted.

added “(C) No individual who is an employee of the defense commissary system as of the date of the enactment of this subsection shall suffer any loss of or decrease in pay as a result of a conversion made under this paragraph.

added “(k) Oversight required to ensure continued benefit to patrons

added “(1) With respect to each action described in paragraph (2), the Secretary may not carry out such action until—

added “(A) the Secretary provides to the congressional defense committees a briefing on such action, including a justification for such action; and

added “(B) a period of 30 days has elapsed following such briefing.

added “(2) The actions described in this paragraph are the following:

added “(A) Establishing the representative market basket of goods pursuant to subsection (i)(2)(B).

added “(B) Establishing the variable pricing program under subsection (i)(1).

added “(C) Converting the defense commissary system to a nonappropriated fund entity or instrumentality under subsection (j)(1).”

added “(c) Common business practices

added “(1) Notwithstanding subsections (a) and (b), the Secretary of Defense may establish common business processes, practices, and systems—

added “(A) to exploit synergies between the defense commissary system and the exchange system; and

added “(B) to optimize the operations of the defense retail systems as a whole and the benefits provided by the commissaries and exchanges.

added “(2) The Secretary may authorize the defense commissary system and the exchange system to enter into contracts or other agreements—

added “(A) for products and services that are shared by the defense commissary system and the exchange system; and

added “(B) for the acquisition of supplies, resale goods, and services on behalf of both the defense commissary system and the exchange system.

added “(3) For the purpose of a contract or agreement authorized under paragraph (2), the Secretary may—

added “(A) use funds appropriated pursuant to section 2483 of this title to reimburse a nonappropriated fund entity or instrumentality for the portion of the cost of a contract or agreement entered by the nonappropriated fund entity or instrumentality that is attributable to the defense commissary system; and

added “(B) authorize the defense commissary system to accept reimbursement from a nonappropriated fund entity or instrumentality for the portion of the cost of a contract or agreement entered by the defense commissary system that is attributable to the nonappropriated fund entity or instrumentality.”

added “(h) Expert commercial advice—The Secretary of Defense may enter into a contract with an entity to obtain expert commercial advice, commercial assistance, or other similar services not otherwise carried out by the Defense Commissary Agency, to implement section 2481(c), subsections (i) and (j) of section 2484, and section 2487(c) of this title.”

added Section 478a(c) of title 37, United States Code, is amended—

added “(2) The Secretary concerned may authorize, on a case-by-case basis, a higher reimbursement amount for a member under subsection (a) when the member—

added “(A) resides—

added “(i) in the same State as the training location; and

added “(ii) outside of an urbanized area with a population of 50,000 or more, as determined by the Bureau of the Census; and

added “(B) is required to commute to a training location—

added “(i) using an aircraft or boat on account of limited or nonexistent vehicular routes to the training location or other geographical challenges; or

added “(ii) from a permanent residence located more than 75 miles from the training location.”

added Section 1007(c)(3) of title 37, United States Code, is amended by adding at the end the following new subparagraphs:

added “(C)

added “(i) In accordance with clause (ii), if the indebtedness of a member of the uniformed services to the United States occurs, through no fault of the member, as a result of the overpayment of pay or allowances to the member or upon the settlement of the member’s accounts, the Secretary concerned may not recover the indebtedness from the member, including a retired or former member, using deductions from the pay of the member, deductions from retired or separation pay, or any other collection method unless recovery of the indebtedness commences before the end of the 10-year period beginning on the date on which the indebtedness was incurred.

added “(ii) Clause (i) applies with respect to cases of indebtedness that incur on or after October 1, 2027.

added “(D)

added “(i) Not later than January 1 of each of years 2017 through 2027, the Director of the Defense Finance and Accounting Service shall review all cases occurring during the 10-year period prior to the date of the review of indebtedness of a member of the uniformed services, including a retired or former member, to the United States in which—

added “(I) the recovery of the indebtedness commenced after the end of the 10-year period beginning on the date on which the indebtedness was incurred; or

added “(II) the Director did not otherwise notify the member of such indebtedness during such 10-year period.

added “(ii) The Director shall submit to the congressional defense committees and the Committees on Veterans’ Affairs of the House of Representatives and the Senate each review conducted under clause (i), including the amounts owed to the United States by the members included in such review.”

added “1075. TRICARE Preferred

added “(a) Establishment

added “(1) Not later than January 1, 2018, the Secretary of Defense shall establish a self-managed, preferred-provider network option under the TRICARE program. Such option shall be known as “TRICARE Preferred”.

added “(2) The Secretary shall establish TRICARE Preferred in all areas. Under TRICARE Preferred, eligible beneficiaries will not have restrictions on the freedom of choice of the beneficiary with respect to health care providers.

added “(b) Enrollment eligibility

added “(1) The beneficiary categories for purposes of eligibility to enroll in TRICARE Preferred and cost sharing requirements applicable to such category are as follows:

added “(A) An “active-duty family member” category that consists of beneficiaries who are covered by section 1079 of this title (as dependents of active duty members).

added “(B) A “retired” category that consists of beneficiaries covered by subsection (c) of section 1086 of this title, other than Medicare-eligible beneficiaries described in subsection (d)(2) of such section.

added “(C) A “reserve and young adult” category that consists of beneficiaries who are covered by—

added “(i) section 1076d of this title;

added “(ii) section 1076e; or

added “(iii) section 1110b.

added “(2) A covered beneficiary who elects to participate in TRICARE Preferred shall enroll in such option under section 1099 of this title.

added “(c) Cost-sharing requirements—The cost sharing requirements under TRICARE Preferred are as follows:

added “(1) With respect to beneficiaries in the active-duty family member category or the retired category by reason of being a member or former member of the uniformed services who originally enlists or is appointed in the uniformed services on or after January 1, 2018, or by reason of being a dependent of such a member, the cost sharing requirements shall be calculated pursuant to subsection (d)(1).

added “(2)

added “(A) Except as provided by subsection (e), with respect to beneficiaries described in subparagraph (B) in the active-duty family member category or the retired category, the cost sharing requirements shall be calculated as if the beneficiary were enrolled in TRICARE Extra or TRICARE Standard as if TRICARE Extra or TRICARE Standard, as the case may be, were still being carried out by the Secretary.

added “(B) Beneficiaries described in this subparagraph are beneficiaries who are eligible to enroll in the TRICARE program by reason of being a member or former member of the uniformed services who originally enlists or is appointed in the uniformed services before January 1, 2018, or by reason of being a dependent of such a member.

added “(3) With respect to beneficiaries in the reserve and young adult category, the cost sharing requirements shall be calculated pursuant to subsection (d)(1) as if the beneficiary were in the active-duty family member category or the retired category, as applicable, except that the premiums calculated pursuant to sections 1076d, 1076e, or 1110b of this title, as the case may be, shall apply instead of any enrollment fee required under this section.

added “(d) Cost-sharing amounts for certain beneficiaries

added “(1) Beneficiaries described in subsection (c)(1) enrolled in TRICARE Preferred shall be subject to cost-sharing requirements in accordance with the amounts and percentages under the following table during calendar year 2018 and as such amounts are adjusted under paragraph (2) for subsequent years:

added “(2) Each dollar amount expressed as a fixed dollar amount in the table set forth in paragraph (1), and the amounts determined under subsection (e), shall be annually indexed to the amount by which retired pay is increased under section 1401a of this title, rounded to the next lower multiple of $1. The remaining amount above such multiple of $1 shall be carried over to, and accumulated with, the amount of the increase for the subsequent year or years and made when the aggregate amount of increases carried over under this clause for a year is $1 or more.

added “(3) Enrollment fees, deductible amounts, and catastrophic caps under this section are on a calendar-year basis.

added “(e) Exceptions to certain cost-sharing amounts for certain beneficiaries eligible prior to 2018

added “(1) Subject to paragraph (3), and in accordance with subsection (d)(2), the Secretary shall establish an annual enrollment fee for beneficiaries described in subsection (c)(2)(B) in the retired category who enroll in TRICARE Preferred (other than such beneficiaries covered by paragraph (2)). Such enrollment fee shall be $100 for an individual and $200 for a family.

added “(2) The enrollment fee established pursuant to paragraph (1) for beneficiaries described in subsection (c)(2)(B) in the retired category shall not apply with respect to the following beneficiaries:

added “(A) Retired members and the family members of such members covered by paragraph (1) of section 1086(c) of this title by reason of being retired under chapter 61 of this title or being a dependent of such a member.

added “(B) Survivors covered by paragraph (2) of such section 1086(c).

added “(3) The Secretary may not establish an annual enrollment fee under paragraph (1) until 90 days has elapsed following the date on which the Comptroller General of the United States is required to submit the review under paragraph (4).

added “(4) Not later than February 1, 2020, the Comptroller General of the United States shall submit to the Committees on Armed Services of the House of Representatives and the Senate a review of the following:

added “(A) Whether health care coverage for covered beneficiaries has changed since the enactment of this section.

added “(B) Whether covered beneficiaries are able to obtain appointments for health care according to the access standards established by the Secretary of Defense.

added “(C) The percent of network providers that accept new patients under the TRICARE program.

added “(D) The satisfaction of beneficiaries under TRICARE Preferred.

added “(f) Publication of measures—As part of the administration of TRICARE Prime and TRICARE Preferred, the Secretary shall publish on a publically available Internet website of the Department of Defense data on all measures required by section 711 of the National Defense Authorization Act for Fiscal Year 2017. The published measures shall be updated not less frequently than quarterly.

added “(g) Construction—Nothing in this section may be construed as affecting the availability of TRICARE Prime and TRICARE for Life.

added “(h) Definitions—In this section, terms “active-duty family member category”, “retired category”, and “reserve and young adult category” mean the respective categories of TRICARE Preferred enrollment described in subsection (b).”

added “1075a. TRICARE Prime: cost sharing

added “(a) Cost-sharing requirements—The cost sharing requirements under TRICARE Prime are as follows:

added “(1) There are no cost-sharing requirements for beneficiaries who are covered by section 1074(a) of this title.

added “(2) With respect to beneficiaries in the active-duty family member category or the retired category (as described in section 1075(b)(1) of this title) by reason of being a member or former member of the uniformed services who originally enlists or is appointed in the uniformed services on or after January 1, 2018, or by reason of being a dependent of such a member, the cost-sharing requirements shall be calculated pursuant to subsection (b)(1).

added “(3)

added “(A) With respect to beneficiaries described in subparagraph (B) in the active-duty family member category or the retired category (as described in section 1075(b)(1) of this title), the cost-sharing requirements shall be calculated in accordance with the other provisions of this chapter without regard to subsection (b).

added “(B) Beneficiaries described in this subparagraph are beneficiaries who are eligible to enroll in the TRICARE program by reason of being a member or former member of the uniformed services who originally enlists or is appointed in the uniformed services before January 1, 2018, or by reason of being a dependent of such a member.

added “(b) Cost-sharing amounts

added “(1) Beneficiaries described in subsection (a)(2) enrolled in TRICARE Prime shall be subject to cost-sharing requirements in accordance with the amounts and percentages under the following table during calendar year 2018 and as such amounts are adjusted under paragraph (2) for subsequent years:

added “(2) Each dollar amount expressed as a fixed dollar amount in the table set forth in paragraph (1) shall be annually indexed to the amount by which retired pay is increased under section 1401a of this title, rounded to the next lower multiple of $1. The remaining amount above such multiple of $1 shall be carried over to, and accumulated with, the amount of the increase for the subsequent year or years and made when the aggregate amount of increases carried over under this clause for a year is $1 or more.

added “(3) Enrollment fees, deductible amounts, and catastrophic caps under this section are on a calendar-year basis.”

added “(c) Portability in program—The Secretary of Defense shall ensure that the enrollment status of covered beneficiaries is portable between or among TRICARE program regions of the United States and that effective procedures are in place for automatic electronic transfer of information between or among contractors responsible for administration in such regions and prompt communication with such beneficiaries. Each covered beneficiary enrolled in TRICARE Prime who has relocated the beneficiary’s primary residence to a new area in which enrollment in TRICARE Prime is available shall be able to obtain a new primary health care manager or provider within 10 days of the relocation and associated request for such manager or provider.”

added “(7) The term “TRICARE program” means the various programs carried out by the Secretary of Defense under this chapter and any other provision of law providing for the furnishing of medical and dental care and health benefits to members and former members of the uniformed services and their dependents, including the following health plan options:

added “(A) TRICARE Prime.

added “(B) TRICARE Preferred.

added “(C) TRICARE for Life.”

added “(11) The term “TRICARE Extra” means the preferred provider option of the TRICARE program made available prior to January 1, 2018, under which TRICARE Standard beneficiaries may obtain discounts on cost-sharing as a result of using TRICARE network providers.

added “(12) The term “TRICARE Preferred” the self-managed, preferred-provider network option under the TRICARE program established by section 1075 of this title.

added “(13) The term “TRICARE for Life” means the Medicare wraparound coverage option of the TRICARE program made available to the beneficiary by reason of section 1086(d) of this title.

added “(14) The term “TRICARE Prime” means the managed care option of the TRICARE program.

added “(15) The term “TRICARE Standard” means the TRICARE program made available prior to January 1, 2018, covering—

added “(A) medical care to which a dependent described in section 1076(a)(2) of this title is entitled; and

added “(B) health benefits contracted for under the authority of section 1079(a) of this title and subject to the same rates and conditions as apply to persons covered under that section.”

added “(2) The term “TRICARE Reserve Select” means the TRICARE Preferred self-managed, preferred-provider network option under section 1075 made available to beneficiaries by reason of this section and in accordance with subsection (d)(1).”

added “(2) The term “TRICARE Retired Reserve” means the TRICARE Preferred self-managed, preferred-provider network option under section 1075 made available to beneficiaries by reason of this section and in accordance with subsection (d)(1).”

added “(2) A plan under the TRICARE program.”

added “1073c. Administration of Defense Health Agency and military medical treatment facilities

added “(a) Administration of military medical treatment facilities

added “(1) Beginning October 1, 2018, the Director of the Defense Health Agency shall be responsible for the administration of each military medical treatment facility, including with respect to—

added “(A) budgetary matters;

added “(B) information technology;

added “(C) health care administration and management;

added “(D) administrative policy and procedure; and

added “(E) any other matters the Secretary of Defense determines appropriate.

added “(2) The commander of each military medical treatment facility shall be responsible for—

added “(A) ensuring the readiness of the members of the armed forces and civilian employees at such facility; and

added “(B) furnishing the health care and medical treatment provided at such facility.

added “(3) The Secretary of Defense shall establish within the Defense Health Agency a professional staff serving in senior executive service positions to carry out this subsection. The Secretary may carry out this paragraph by appointing the positions specified in subsections (b) and (c).

added “(b) DHA Assistant Director

added “(1) The Secretary of Defense may establish in the Defense Health Agency an Assistant Director for Health Care Administration. If so established, the Assistant Director shall—

added “(A) be a career appointee within the senior executive service of the Department; and

added “(B) report directly to the Director of the Defense Health Agency.

added “(2) If established under paragraph (1), the Assistant Director shall be appointed from among individuals who have equivalent education and experience as a chief executive officer leading a large, civilian health care system.

added “(3) If established under paragraph (1), the Assistant Director shall be responsible for the following:

added “(A) Establishing priorities for health care administration and management.

added “(B) Establishing policies and procedures for the provision of direct care at military medical treatment facilities.

added “(C) Establishing priorities for budgeting matters with respect to the provision of direct care at military medical treatment facilities.

added “(D) Establishing policies and procedures for clinic management and operations at military medical treatment facilities.

added “(E) Establishing priorities for information technology at and between the military medical treatment facilities.

added “(c) DHA Deputy Assistant Directors

added “(1)

added “(A) The Secretary of Defense may establish in the Defense Health Agency a Deputy Assistant Director for Information Operations.

added “(B) If established under subparagraph (A), the Deputy Assistant Director for Information Operations shall be responsible for management and execution of information technology operations at and between the military medical treatment facilities.

added “(2)

added “(A) The Secretary of Defense may establish in the Defense Health Agency a Deputy Assistant Director for Financial Operations.

added “(B) If established under subparagraph (A), the Deputy Assistant Director for Financial Operations shall be responsible for the management and execution of budgeting matters and financial management with respect to the provision of direct care at military medical treatment facilities.

added “(3)

added “(A) The Secretary of Defense may establish in the Defense Health Agency a Deputy Assistant Director for Health Care Operations.

added “(B) If established under subparagraph (A), the Deputy Assistant Director for Health Care Operations shall be responsible for the execution of health care administration and management in the military medical treatment facilities.

added “(4)

added “(A) The Secretary of Defense may establish in the Defense Health Agency a Deputy Assistant Director for Medical Affairs.

added “(B) If established under subparagraph (A), the Deputy Assistant Director for Medical Affairs shall be responsible for the management and leadership of clinical quality and process improvement, patient safety, infection control, graduate medical education, clinical integration, utilization review, risk management, patient experience, and civilian physician recruiting.

added “(5) Each Deputy Assistant Director appointed under paragraphs (1) through (4) shall—

added “(A) be a career appointee within the senior executive service of the Department; and

added “(B) report directly to the Assistant Director for Health Care Administration.

added “(d) DHA Deputy Director

added “(1) In addition to the other duties of the Joint Staff Surgeon, the Joint Staff Surgeon shall serve as the Deputy Director for Combat Support of the Defense Health Agency.

added “(2) The responsibilities of the Deputy Director shall include the following:

added “(A) Ensuring that the Defense Health Agency meets the operational needs of the commanders of the combatant commands.

added “(B) Coordinating with the military departments to ensure that the staffing at the military medical treatment facilities support readiness requirements for members of the armed forces and health care personnel.

added “(C) Serving as the link between the commanders of the combatant commands and the Defense Health Agency.

added “(e) Appointments—In carrying out subsection (a)(3), including with respect to establishing positions under subsections (b) and (c), the Secretary shall make appointments under such subsections—

added “(1) by not later than October 1, 2018; and

added “(2) by not increasing the number of full-time equivalent employees of the Defense Health Agency.

added “(f) Definitions—In this section:

added “(1) The term “career appointee” has the meaning given that term in section 3132(a)(4) of title 5.

added “(2) The term “Defense Health Agency” means the Defense Agency established pursuant to Department of Defense Directive 5136.13, or such successor Defense Agency.

added “(3) The term “senior executive service” has the meaning given that term in section 2101a of title 5.”

added “1073d. Military medical treatment facilities

added “(a) In general—To support the medical readiness of the armed forces and the readiness of medical personnel, the Secretary of Defense, in consultation with the Secretaries of the military departments, shall maintain the military medical treatment facilities described in subsections (b), (c), and (d).

added “(b) Medical centers

added “(1) The Secretary of Defense shall maintain medical centers in areas with a large population of members of the armed forces and covered beneficiaries.

added “(2) Medical centers shall serve as referral facilities for members and covered beneficiaries who require comprehensive health care services that support medical readiness.

added “(3) Medical centers shall consist of the following:

added “(4) Inpatient and outpatient tertiary care facilities that incorporate specialty and subspecialty care.

added “(5) Graduate medical education programs.

added “(6) Residency training programs.

added “(7) Level one or level two trauma care capabilities.

added “(c) Hospitals

added “(1) The Secretary of Defense shall maintain hospitals in areas where civilian health care facilities are unable to support the health care needs of members of the armed forces and covered beneficiaries.

added “(2) Hospitals shall provide—

added “(A) inpatient and outpatient health services to maintain medical readiness; and

added “(B) such other programs and functions as the Secretary determines appropriate.

added “(3) Hospitals shall consist of inpatient and outpatient care facilities with limited specialty care that the Secretary determines—

added “(A) is cost effective; or

added “(B) is not available at civilian health care facilities in the area of the hospital.

added “(d) Ambulatory care centers

added “(1) The Secretary of Defense shall maintain ambulatory care centers in areas where civilian health care facilities are able to support the health care needs of members of the armed forces and covered beneficiaries.

added “(2) Ambulatory care centers shall provide the outpatient health services required to maintain medical readiness, including with respect to partnerships established pursuant to section 707 of the National Defense Authorization Act for Fiscal Year 2017.

added “(3) Ambulatory care centers shall consist of outpatient care facilities with limited specialty care that the Secretary determines—

added “(A) is cost effective; or

added “(B) is not available at civilian health care facilities in the area of the ambulatory care center.”

added “1077a. Access to military medical treatment facilities and other facilities

added “(a) Urgent care

added “(1) Beginning not later than one year after the date of the enactment of this section, the Secretary of Defense shall ensure that military medical treatment facilities, at locations the Secretary determines appropriate, provide urgent care services for members of the armed forces and covered beneficiaries until 11:00 p.m each day.

added “(2) With respect to areas in which a military medical treatment facility covered by paragraph (1) is not located, the Secretary shall ensure that members of the armed forces and covered beneficiaries may access urgent care clinics that are open during the hours specified in such paragraph through the health care provider network under the TRICARE program.

added “(3) A covered beneficiary may access urgent care services without the need for preauthorization for such services.

added “(4) The Secretary shall—

added “(A) publish information about changes in access to urgent care under the TRICARE program—

added “(i) on the primary publicly available Internet website of the Department; and

added “(ii) on the primary publicly available website of each military treatment facility; and

added “(B) ensure that such information is made available on the publically available Internet website of each current managed care contractor that has established a health care provider network under the TRICARE program.

added “(b) Nurse advice line—The Secretary shall ensure that the nurse advice line of the Department directs covered beneficiaries seeking access to care to the source of the most appropriate level of health care required to treat the medical conditions of the beneficiaries, including urgent care services described in subsection (a).”

added “(c) Primary care clinics

added “(1) The Secretary shall ensure that primary care clinics at military medical treatment facilities are available for members of the armed forces and covered beneficiaries between the hours determined appropriate under paragraph (2), including with respect to expanded hours described in subparagraph (B) of such paragraph.

added “(2)

added “(A) The Secretary shall determine the hours that each primary care clinic at a military medical treatment facility is available for members of the armed forces and covered beneficiaries based on—

added “(i) the needs of the military treatment facility to meet the access standards under the TRICARE Prime program; and

added “(ii) the primary care usage patterns of members and covered beneficiaries at such military medical treatment facility.

added “(B) The primary care clinic hours at a military medical treatment facility determined under subparagraph (A) shall include expanded hours beyond regular business hours during weekdays and the weekend if the Secretary determines under such subparagraph that sufficient demand exists at the military medical treatment facility for such expanded primary care clinic hours.”

added “1095h. TRICARE program: value-based health care

added “(a) In general—The Secretary of Defense may develop and implement value-based incentive programs as part of any contract awarded under this chapter for the provision of health care services to covered beneficiaries to encourage health care providers under the TRICARE program (including physicians, hospitals, and other persons and facilities involved in providing such health care services) to improve the following:

added “(1) The quality of health care provided to covered beneficiaries under the TRICARE program.

added “(2) The experience of covered beneficiaries in receiving health care under the TRICARE program.

added “(3) The health of covered beneficiaries.

added “(b) Value-based incentive programs

added “(1) In developing value-based incentive programs under subsection (a), the Secretary shall—

added “(A) link payments to health care providers under the TRICARE program to improved performance with respect to quality, cost, and reducing the provision of inappropriate care;

added “(B) consider the characteristics of the population of covered beneficiaries affected by the value-based incentive program;

added “(C) consider how the value-based incentive program would affect the receipt of health care under the TRICARE program by such covered beneficiaries;

added “(D) establish or maintain an assurance that such covered beneficiaries will have timely access to health care during the operation of the value-based incentive program;

added “(E) ensure that such covered beneficiaries do not incur any additional costs by reason of the value-based incentive program; and

added “(F) consider such other factors as the Secretary considers appropriate.

added “(2) With respect to a value-based incentive program developed and implemented under subsection (a), the Secretary shall ensure that—

added “(A) the size, scope, and duration of the value-based incentive program is reasonable in relation to the purpose of the value-based incentive program; and

added “(B) the value-based incentive program relies on the core quality performance metrics pursuant to section 711 of the National Defense Authorization Act for Fiscal Year 2017.

added “(c) Use of existing models—In developing a value-based incentive program under subsection (a), the Secretary may adapt a value-based incentive program conducted by a TRICARE managed care support contractor, the Centers for Medicare & Medicaid Services, or any other governmental or commercial health care program.”

added “(a) Partnership agreements—The Secretary of Defense may enter into a partnership agreement between facilities of the uniformed services and local or regional health care systems if the Secretary determines that such an agreement would—

added “(1) result in the delivery of health care to which covered beneficiaries are entitled under this chapter in a more effective, efficient, or economical manner; or

added “(2) provide members of the armed forces with additional training opportunities to maintain readiness requirements.”

added “(c) Criteria—In entering into an agreement under subsection (a) between a facility of the uniformed services and a local or regional health care system, the Secretary shall—

added “(1) identify and analyze—

added “(A) the health care delivery options provided by the local or regional health care system; and

added “(B) the health care services provided by the facility;

added “(2) assess—

added “(A) how such agreement affects the delivery of health care at the facility and the readiness of the members of the uniformed services;

added “(B) the viability of the agreement with respect to succeeding on a long-term basis in the local community of the facility; and

added “(C) the cost efficiency and effectiveness of the agreement; and

added “(3) consult with—

added “(A) the Secretary concerned;

added “(B) representatives from such facility, including the leadership of the installation at which the facility is located, the leadership of the facility, and covered beneficiaries at such installation;

added “(C) the TRICARE managed care support contractor with responsibility for such facility;

added “(D) officials of the Federal, State, and local governments, as appropriate; and

added “(E) representatives from the local or regional health care system.

added “(d) Local consortium—The Secretary shall ensure that an agreement entered into under subsection (a) between a facility of the uniformed services and a local or regional health care system is developed by a consortium representing the community of the facility and such health care system.

added “(e) Biennial evaluation—The Secretary of Defense shall evaluate each agreement entered into under subsection (a) on a biennial basis to—

added “(1) assess whether the agreement provides increased access to health care for covered beneficiaries;

added “(2) assess the training opportunities to maintain readiness requirements provided pursuant to such agreement; and

added “(3) determine whether such agreement should continue.”