12 2 STA T .467PUBLIC LA W 11 0– 1 8 1 —J A N .28 , 2008 ‘ ‘ (1)Norecha rac t er iz atio n o f the s e p aration of s u ch in d i -v idua l or m odification of the disa b ilit y ratin g previously assigned such individual . ‘‘( 2 ) T he recharacterization of the separation of such indi- vidual to retirement for disability. ‘‘( 3 ) The modification of the disability rating previously assigned such individual by the P hysical E valuation B oard concerned ,w hich modified disability rating may not be a reduc- tion of the disability rating previously assigned such individual by that Physical Evaluation Board. ‘‘( 4 ) The issuance of a new disability rating for such indi- vidual. ‘‘(e) COR R ECTI O N O FM I L IT A R YR ECOR DS . — (1) The S ecretary con- cerned may correct the military records of a covered individual in accordance with a recommendation made by the Physical D is- ability Board of Review under subsection (d). A ny such correction may be made effective as of the effective date of the action ta k en on the report of the Physical Evaluation Board to which such recommendation relates. ‘‘(2) I n the case of a member previously separated pursuant to the findings and decision of a Physical Evaluation Board together with a lump-sum or other payment of back pay and allowances at separation, the amount of pay or other monetary benefits to which such member would be entitled based on the member ’ s mili- tary record as corrected shall be reduced to take into account receipt of such lump-sum or other payment in such manner as the Secretary of Defense considers appropriate. ‘‘(3) If the Physical Disability Board of Review makes a rec- ommendation not to correct the military records of a covered indi- vidual, the action taken on the report of the Physical Evaluation Board to which such recommendation relates shall be treated as final as of the date of such action. ‘‘(f) RE GU LATIONS.—(1) This section shall be carried out in accordance with regulations prescribed by the Secretary of Defense. ‘‘(2) The regulations under paragraph (1) shall specify reason- able deadlines for the performance of reviews re q uired by this section. ‘‘(3) The regulations under paragraph (1) shall specify the effect of a determination or pending determination of a Physical Evalua- tion Board on considerations by boards for correction of military records under section 1 5 52 of this title.’’. (2) CLERICAL A M ENDMENT.—The table of sections at the beginning of chapter 79 of such title is amended by inserting after the item relating to section 1554 the following new item
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‘ 15 5 4a.Revi e wofs e p a r a t io n wit hd isa b i l it y ratin g of 20 per c ent disabled or less. ’ ’. (b) IM P LEMENTATION.—The Secretary of Defense shall establish the board of review required by section 1554a of title 1 0 , U nited States Code (as added by subsection (a)), and prescribe the regula- tions required by such section, not later than 90 days after the date of the enactment of this Act. SEC.164 4. AUTHORIZ ATIO N O FP I L OT PRO G RA M S TO IMPRO V E THE D ISA B ILIT Y EVALUATION SYSTEM FOR MEMBERS OF THE ARMED FORCES. (a) PILOT PROGRAMS.— 10USC 10 7 1 note.D e adli ne. 10USC1 5 5 4 a note.
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