[Congressional Record Volume 162, Number 91 (Thursday, June 9, 2016)]
[Senate]
[Pages S3740-S3741]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 4637. Ms. HIRONO (for herself and Mr. Sullivan) submitted an 
amendment intended to be proposed by her to the bill S. 2943, to 
authorize appropriations for fiscal year 2017 for military activities 
of the Department of Defense, for military construction, and for 
defense activities of the Department of Energy, to prescribe military 
personnel strengths for such fiscal year, and for other purposes; which 
was ordered to lie on the table; as follows:

       On page 249, between lines 12 and 13, insert the following:
       (a) Report on Military Compensation Package.--
       (1) Report required.--Not later than one year after the 
     date of the enactment of this Act, the Secretary of Defense 
     shall submit to the Committees on Armed Services of the 
     Senate and the House of Representatives a report on the full 
     array of the military compensation package, including--
       (A) the adequacy of Regular Military Compensation to 
     sustain all aspects of the All-Volunteer Force;
       (B) the modernization of the military retirement system to 
     be accomplished by part I of subtitle D of title VI of the 
     National Defense Authorization Act for Fiscal Year 2016 
     (Public Law 114-92; 129 Stat. 842);
       (C) indirect compensation that accrues by reason of 
     military service, including commissary and exchange benefits, 
     child care, health care, military life insurance, education 
     benefits, and veterans benefits;
       (D) the value of providing greater transparency to members 
     of the Armed Forces, prospective members of the Armed Forces, 
     and the public by providing an annual statement to members of 
     the total value of their military compensation packing, 
     including the value of the compensation described in 
     subparagraph (C);
       (E) the impacts of the matters in subparagraphs (A) through 
     (D) on recruitment, retention, and compensation of the All-
     Volunteer Force.
       (2) Elements.--The report required by paragraph (1) shall 
     include the following:
       (A) A review of all the components of Regular Military 
     Compensation, defined by the Department of Defense as the 
     following:
       (i) Basic pay.
       (ii) Basic allowance for housing.
       (iii) Basic allowance for subsistence
       (iv) The tax treatment of pay and allowances.
       (B) An analysis of Regular Military Compensation with 
     respect to the following:
       (i) Members of the Armed Forces who are married to other 
     members.
       (ii) Members who reside with other members.
       (iii) Members who share accommodations to achieve improved 
     financial standards.
       (C) A review of--
       (i) the ability of members to contribute toward military 
     retirement under the modernized military retirement system 
     described in paragraph (1)(B), including a review of the pay 
     and allowances required to contribute under the current 
     Regular Military Compensation structure and under any 
     proposed changes to Regular Military Compensation; and
       (ii) the adequacy of the modernized system to contribute to 
     the successful recruitment and retention of individual to and 
     in military service.
       (D) A review of indirect compensation, including commissary 
     and exchange benefits, child care, health care, 
     Servicemembers'

[[Page S3741]]

     Group Life Insurance (SGLI), education benefits, and veterans 
     benefits, and the manner in which such compensation impacts 
     the total military compensation package.
       (E) A robust analysis of, and a proposal for reform of, the 
     personal statement of military compensation issued annually 
     to each member, including its accuracy, its currency with 
     current and proposed changes to military compensation, and a 
     requirement for the clear statement of both ``Total Direct 
     Compensation'' and ``Service-Estimated Indirect 
     Compensation''.
       (F) An assessment of the adequacy of Regular Military 
     Compensation, the modernized military retirement system, and 
     indirect compensation for the recruitment and retention of 
     the All-Volunteer Force (including the readiness and combat 
     effectiveness of the Force) and for overall military 
     compensation.
       (G) A review and assessment of any other matters the 
     Secretary considers appropriate to produce recommendations on 
     the means by which to best recruit, retain, and reward the 
     All-Volunteer Force with a competitive compensation and 
     benefits package.
       (3) Form.--The report required by paragraph (1) shall be 
     submitted in unclassified form, but may include a classified 
     annex.
       (4) Surveys.--Each annual status of forces survey conducted 
     by the Defense Manpower Data Center (DMDC) after fiscal year 
     2017 shall include questions on the value of the total 
     military compensation package, including basic allowance for 
     housing, to members of the Armed Forces, with such questions 
     designed to determine the following:
       (A) The value of the total military compensation package to 
     members.
       (B) The impact of the current total military compensation 
     package on the retention of members, and on the recruitment 
     of individuals to military service in the All-Volunteer 
     Force.
       After section 604, insert the following:

     SEC. 604A. DELAY IN EFFECTIVE DATE AND IMPROVEMENT OF REFORM 
                   OF BASIC ALLOWANCE FOR HOUSING.

       (a) Delay.--
       (1) In general.--Notwithstanding any provision of section 
     403a of title 37, United States Code (as added by section 
     604(a) of this Act), or subsection (p) of section 403 of 
     title 37, United States Code (as added by section 604(b) of 
     this Act), the reform of basic allowance for housing provided 
     for in such section 403a shall take effect on January 1, 
     2019.
       (2) Construction of certain dates.--Any reference to 
     ``January 1, 2018'' in section 403a of title 37, United 
     States Code (as so added), or subsection (p) of section 403 
     of title 37, United States Code (as so added), shall be 
     deemed to be a reference to ``January 1, 2019''. Any 
     reference to ``December 31, 2017'' in subsection (m) of such 
     section 403a shall be deemed to be a reference to ``December 
     31, 2018''.
       (b) Inclusion of Cost Utilities in Determination of Amount 
     Payable.--
       (1) Inclusion.--Subsection (b)(2) of section 403a of title 
     37, United States Code (as so added), is amended by striking 
     subparagraphs (A) and (B) and inserting the following new 
     subparagraphs:
       ``(A) A maximum amount of the allowance shall be 
     established for each military housing area, based on the 
     costs of adequate housing and utilities in such area, for 
     each pay grade and dependency status.
       ``(B) The amount of the allowance payable to a member may 
     not exceed the lesser of--
       ``(i) the actual monthly cost of housing of the member plus 
     an amount equal to the estimated average amount paid for 
     utilities in the military housing area concerned during the 
     preceding year; or
       ``(ii) the maximum amount determined under subparagraph (A) 
     for members in the member's pay grade and dependency 
     status.''.
       (2) Effective date.--The amendment made by paragraph (1) 
     shall take effect on the date of the enactment of this Act 
     immediately after the coming into effect of the amendment in 
     section 604(a) of this Act adding section 403a of title 37, 
     United States Code, to which section 403a the amendment made 
     by paragraph (1) relates.
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