Pilot program to retain high-performing supervisors and managers within the Department of Defense

(a) In general The Secretary of Defense may establish a pilot program under which the Secretary may award pay, bonus, or other incentives to civilian supervisors and managers in the Department of Defense, based on performance metrics established by the Secretary (in this section referred to as the pilot program). (b) Duration The Secretary may carry out the pilot program during the five-year period beginning on the date on which the Secretary establishes the pilot program. (c) Identification and number of positions The Secretary— (1) shall identify the positions for which pay, bonus, or other incentives may be awarded under the pilot program; and (2) may award such pay, bonus, or other incentives for not more than 250 positions at any time. (d) Rates of special pay If so designated by the President under section 5305(a)(1) of title 5, United States Code, the Secretary may establish a rate for special pay under such section for positions under the pilot program. (e) Pay, bonus, and incentive authorities In carrying out the pilot program, the Secretary may use any pay, bonus, or incentive authority available to the Secretary for the recruitment, employment, and retention of civilian personnel within the Department of Defense. (f) Reports (1) Initial report Not later than 180 days after the date of the enactment of this Act, the Secretary shall submit to the appropriate congressional committees a report that includes the following: (A) The number of personnel expected to participate in the pilot program. (B) The criteria used to determine which personnel will participate in the pilot program. (C) The performance metrics used to determine which personnel will receive pay, bonus, or other incentives. (2) Annual reports One year after the date of the enactment of this Act, and each year thereafter until the pilot program terminates, the Secretary shall submit to the appropriate congressional committees a report that includes the following: (A) An update on the information included in the report required by paragraph (1). (B) The pay rate used in carrying out the pilot program, in aggregate and per position. (C) The metrics by which the Secretary is evaluating the continued performance of the personnel participating in the pilot program. (3) Appropriate congressional committees defined In this subsection, the term appropriate congressional committees means— (A) the Committee on Armed Services and the Committee on Homeland Security and Governmental Affairs of the Senate; and (B) the Committee on Armed Services and the Committee on Oversight and Government Reform of the House of Representatives.