Title 10, Armed ForcesRelease 119-110

§1603 Additional Compensation, Incentives, and Allowances

Title 10 › Subtitle A — General Military Law › PART II — PERSONNEL › CHAPTER 83 — CIVILIAN DEFENSE INTELLIGENCE EMPLOYEES › SUBCHAPTER I — DEFENSE-WIDE INTELLIGENCE PERSONNEL POLICY › § 1603

Last updated Sep 22, 2026|Official source

Summary

The Secretary of Defense can give extra pay, benefits, incentives, and allowances to people in defense intelligence jobs, similar to what is allowed for comparable jobs under title 5, but not higher than those title 5 levels. U.S. citizens or nationals in those jobs who are stationed outside the continental United States or in Alaska may get a location allowance when local living costs are much higher than in Washington, D.C., or when the local environment is very different and helps with recruiting, or both. That allowance cannot be larger than the amount allowed under section 5941(a) of title 5. After the Secretary files a required strategy report, he may also give certain allowances and benefits under section 9904(1) of title 5 to employees in the Defense Clandestine Service even if they are assigned inside the United States or are not directly supporting DoD activities abroad. No more than 125 covered employees may get those benefits each year. The Secretary must send a strategy report tied to the latest Future-Years Defense Program explaining mission changes, how this authority will help, and an implementation plan with cost comparisons. By December 31, 2020, and each year after, the Secretary must report the number of covered employees who received these benefits and whether the benefits helped the Defense Intelligence Agency achieve its goals. Reports may be classified. Appropriate congressional committees means the congressional defense committees and the House and Senate intelligence committees. A covered employee means someone in the Defense Clandestine Service assigned at a U.S. location with living costs equal to or higher than Washington, D.C.

Full Legal Text

Title 10, §1603

Armed Forces, Source: USLM XML via OLRC

(a)Additional Compensation Based on Title 5 Authorities.—
The Secretary of Defense may provide employees in defense intelligence positions compensation (in addition to basic pay), including benefits, incentives, and allowances, consistent with, and not in excess of the level authorized for, comparable positions authorized by title 5.
(b)Allowances Based on Living Costs and Environment.—
(1)In addition to basic pay, employees in defense intelligence positions who are citizens or nationals of the United States and are stationed outside the continental United States or in Alaska may be paid an allowance, in accordance with regulations prescribed by the Secretary of Defense, while they are so stationed.
(2)An allowance under this subsection shall be based on—
(A)living costs substantially higher than in the District of Columbia;
(B)conditions of environment which (i) differ substantially from conditions of environment in the continental United States, and (ii) warrant an allowance as a recruitment incentive; or
(C)both of the factors specified in subparagraphs (A) and (B).
(3)An allowance under this subsection may not exceed the allowance authorized to be paid by section 5941(a) of title 5 for employees whose rates of basic pay are fixed by statute.
(c)Additional Allowances and Benefits for Certain Employees of the Defense Clandestine Service.—
(1)Beginning on the date on which the Secretary of Defense submits the report under paragraph (3)(A), in addition to the authority to provide compensation under subsection (a), the Secretary may provide a covered employee allowances and benefits under paragraph (1) of section 9904 of title 5 without regard to the limitations in that section—
(A)that the employee be assigned to activities outside the United States; or
(B)that the activities to which the employee is assigned be in support of Department of Defense activities abroad.
(2)The Secretary may not provide allowances and benefits under paragraph (1) to more than 125 covered employees per year.
(3)(A)The Secretary shall submit to the appropriate congressional committees a report containing a strategy addressing the mission of the Defense Clandestine Service during the period covered by the most recent future-years defense program submitted under section 221 of this title, including—
(i)how such mission will evolve during such period;
(ii)how the authority provided by paragraph (1) will assist the Secretary in carrying out such mission; and
(iii)an implementation plan for carrying out paragraph (1), including a projection of how much the amount of the allowances and benefits provided under such paragraph compare with the amount of the allowances and benefits provided before the date of the report.
(B)Not later than December 31, 2020, and each year thereafter, the Secretary shall submit to the appropriate congressional committees a report, with respect to the fiscal year preceding the date on which the report is submitted—
(i)identifying the number of covered employees for whom the Secretary provided allowances and benefits under paragraph (1); and
(ii)evaluating the efficacy of such allowances and benefits in enabling the execution of the objectives of the Defense Intelligence Agency.
(C)The reports under subparagraphs (A) and (B) may be submitted in classified form.
(4)In this subsection:
(A)The term “appropriate congressional committees” means—
(i)the congressional defense committees; and
(ii)the Permanent Select Committee on Intelligence of the House of Representatives and the Select Committee on Intelligence of the Senate.
(B)The term “covered employee” means an employee in a defense intelligence position who is assigned to the Defense Clandestine Service at a location in the United States that the Secretary determines has living costs equal to or higher than the District of Columbia.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Prior Provisions

A prior section 1603, added Pub. L. 97–89, title VII, § 701(a)(1), Dec. 4, 1981, 95 Stat. 1160; amended Pub. L. 99–145, title XIII, § 1302(a)(3), Nov. 8, 1985, 99 Stat. 738; Pub. L. 99–661, div. A, title XIII, § 1343(a)(9), Nov. 14, 1986, 100 Stat. 3992, related to limits on pay to members of the Defense Intelligence Senior Executive Service, prior to repeal by Pub. L. 104–201, div. A, title XVI, §§ 1632(a)(3), 1635, Sept. 23, 1996, 110 Stat. 2745, 2752, effective Oct. 1, 1996. Provisions similar to those in this section were contained in section 1590(d) and 1604(b)(2), (d) of this title prior to repeal by Pub. L. 104–201, §§ 1632(a)(3), 1633(a).

Amendments

2019—Subsec. (c). Pub. L. 116–92 added subsec. (c).

Statutory Notes and Related Subsidiaries

Effective Date

Section effective Oct. 1, 1996, see section 1635 of Pub. L. 104–201, set out as an

Effective Date

of 1996 Amendment note under section 1593 of this title.

Reference

Citations & Metadata

Citation

10 U.S.C. § 1603

Title 10, Armed Forces

Last Updated

Sep 22, 2026

Release point: 119-110