AUTHORITY TO TERMINATE SELECTIVE REENLISTMENT BONUS PAYMENTS

SEC. 615. AUTHORITY TO TERMINATE SELECTIVE REENLISTMENT BONUS PAYMENTS (a) Termination Authorized.— Subsection (d) of section 308 of title 37, United States Code, is amended— (1) by inserting (1) after “(d)”; and (2) by adding at the end the following new paragraph: “(2) If a refund is not required under paragraph (1) in the case of a member who fails to complete a term of enlistment, the Secretary of Defense with respect to the armed forces under the Secretary’s jurisdiction, and the Secretary of Transportation with respect to the Coast Guard when it is not operating as a service in the Navy, may decline to make any payment of a bonus installment under this section that is due to be paid to the member after the date on which the member fails to complete the term of enlistment for which the bonus is being paid. The Secretary of Defense and the Secretary of Transportation may prescribe the circumstances under which bonus installments may be terminated under this paragraph.”. (b) Effective Date.— The amendment made by subsection (a) shall apply with respect to any bonus paid under section 308 of title 37, United States Code, to a person in connection with the reenlistment or extension of the term of enlistment of the person in the Armed Forces on or after the date of the enactment of this Act.