AVIATOR RETENTION BONUSES

SEC. 632. AVIATOR RETENTION BONUSES (a) Extension and Codification of Current Program.—Section 301b of title 37, United States Code, is amended to read as follows: “§ 301b. Special pay: aviation career officers extending period of active duty “(a) Bonus Authorized.—An aviation officer described in subsection (b) who, during the period beginning on January 1, 1989, and ending on September 30, 1991, executes a written agreement to remain on active duty in aviation service for at least one year may, upon the acceptance of the agreement by the Secretary concerned, be paid a retention bonus as provided in this section. “(b) Covered Officers.—An aviation officer referred to in subsection (a) is an officer of a uniformed service who— “(1) is entitled to aviation career incentive pay under section 301a of this title; “(2) is in an aviation specialty designated by the Secretary concerned (with the approval of the Secretary of Defense in the case of the Secretary of a military department) as a critical aviation specialty; “(3) is in a pay grade below pay grade 0–6; “(4) is qualified to perform operational flying duty; “(5) has completed at least six but less than 13 years of active duty; and “(6) has completed any active duty service commitment incurred for undergraduate aviator training. 103 STAT. 1452 “(c) Amount of Bonus.—The amount of a retention bonus paid under this section may not be more than— “(1) $12,000 for each year covered by the written agreement, if the officer agrees to remain on active duty to complete 14 years of commissioned service; or “(2) $6,000 for each year covered by the written agreement, if the officer agrees to remain on active duty for one or two years. “(d) Proration.—The term of an agreement under subsection (a) and the amount of the bonus under subsection (c) may be prorated as long as such agreement does not extend beyond the date on which the officer making such agreement would complete 14 years of commissioned service. “(e) Payment of Bonus.—Upon the acceptance of a written agreement under subsection (a) by the Secretary concerned, the total amount payable pursuant to the agreement becomes fixed and may be paid by the Secretary in either a lump sum or installments. “(f) Additional Pay.—A retention bonus paid under this section is in addition to any other pay and allowances to which an officer is entitled. “(g) Repayment of Bonus.—(1) If an officer who has entered into a written agreement under subsection (a) and has received all or part of a retention bonus under this section fails to complete the total period of active duty specified in the agreement, the Secretary concerned may require the officer to repay the United States, on a pro rata basis and to the extent that the Secretary determines conditions and circumstances warrant, all sums paid under this section. “(2) An obligation to repay the United States imposed under paragraph (1) is for all purposes a debt owed to the United States. “(3) A discharge in bankruptcy under title 11 that is entered less than 5 years after the termination of a written agreement entered into under subsection (a) does not discharge the officer signing the agreement from a debt arising under such agreement or under paragraph (1). This paragraph applies to any case commenced under title 11 after January 1, 1989. “(h) Regulations.— The Secretaries concerned shall prescribe regulations to carry out this section. Regulations prescribed by the Secretary of a military department shall be subject to the approval of the Secretary of Defense. “(i) Reports.—(1) Not later than February 15 of each year, the Secretaries concerned shall submit to the Secretary of Defense a report analyzing the effect of the provision of retention bonuses to aviation officers during the preceding fiscal year on the retention of qualified aviators. Each report shall include— “(A) a comparison of the cost of paying bonuses to officers who enter into an agreement for the period referred to in subsection (c)(1) with the cost of paying bonuses to officers who enter into an agreement for a period referred to in subsection (c)(2); “(B) a description of the increase in the retention of qualified aviators as a result of the program; and “(C) an examination of the desirability of targeting the retention bonus program toward officers in a critical aviation specialty rather than on the basis of experience or other criteria. “(2) Not later than March 15 of each year, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and House of Representatives copies of the reports submitted to the Secretary under paragraph (1) with regard to the preceding 103 STAT. 1453fiscal year, together with such comments and recommendations as the Secretary considers appropriate. “(j) Limitation on Payments for Fiscal Year 1990.—(1) The total amount of payments made under this section to officers of the Air Force during fiscal year 1990 may not exceed $78,000,000. “(2) The total amount of payments made under this section to officers of the Navy during fiscal year 1990 may not exceed $30,000,000. “(k) Definitions.—In this section: “(1) The term ‘aviation service’ means the service performed by an officer holding an aeronautical rating or designation (except a flight surgeon or other medical officer). “(2) The term ‘aviation specialty’ means a community of pilots identified by type of aircraft or weapon system or a community of other designated aeronautical officers so identified. “(3) The term ‘critical aviation specialty’ means an aviation specialty in which there exists a shortage of officers on the date of designation under subsection (b). “(4) The term ‘operational flying duty’ has the meaning given such term in section 301a(a)(6)(A) of this title.”. (b) Conforming Amendment.—Section 611 of the National Defense Authorization Act, Fiscal Year 1989 (Public Law 100–456; 102 Stat. 1977), is amended by striking out subsection (e). (c) Agreements Entered Into Under the Former Law.—(1) The amendment made by subsection (a) shall not affect an agreement entered into under section 301b of title 37, United States Code (as in effect on September 30, 1989), and, except as provided in paragraph (2), the provisions of such section as in effect on such day shall continue to apply with respect to such agreement. (2) For pay periods beginning after September 30, 1989, an officer serving under an agreement entered into under section 301b of such title before October 1, 1987, shall be entitled during the remainder of the agreement to the monthly rate of aviation career incentive pay specified in section 301a(b) of such title and corresponding to the officer’s years of aviation service or years of service as an officer. (d) Coverage of Period of Lapsed Authority.—(1) In the case of an aviation officer described in paragraph (2) who executes an agreement under section 301b of title 37, United States Code, during the 90-day period beginning on the date of the enactment of this Act, the Secretary concerned may deem such agreement to have been executed and accepted for purposes of such section on the first date on which the officer would have qualified for such an agreement had the amendment made by subsection (a) taken effect on October 1, 1989. (2) An aviation officer referred to in paragraph (1) is an officer who, during the period beginning on October 1, 1989, and ending on the date of the enactment of this Act, would have qualified for an agreement under such section had the amendment made by subsection (a) taken effect on October 1, 1989. (3) For purposes of this subsection, the term “Secretary concerned” has the meaning given that term by section 101(5) of title 37, United States Code.