Sec. 634. REVIEW OF MANAGEMENT, FOOD, AND PRICING OPTIONS FOR DEFENSE COMMISSARY SYSTEM

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## SEC. 634 REVIEW OF MANAGEMENT, FOOD, AND PRICING OPTIONS FOR DEFENSE COMMISSARY SYSTEM ###

(a)Review Required The Secretary of Defense shall conduct a review, utilizing the services of an independent organization experienced in grocery retail analysis, of the defense commissary system to determine the qualitative and quantitative effects of— ####

(1)using variable pricing in commissary stores to reduce the expenditure of appropriated funds to operate the defense commissary system; ####

(2)implementing a program to make available more private label products in commissary stores; ####

(3)converting the defense commissary system to a nonappropriated fund instrumentality; and ####

(4)eliminating or at least reducing second-destination funding. ###

(b)Additional Elements of Review The review required by this section also shall consider the following: ####

(1)The impact of changes to the operation of the defense commissary system on commissary patrons, in particular junior enlisted members and junior officers and their dependents, that would result from— #####

(A)displacing current value and name-brand products with private-label products; and #####

(B)reducing or eliminating financial subsidies to the commissary system. ####

(2)The sensitivity of commissary patrons, in particular junior enlisted members and junior officers and their dependents, to pricing changes that may result in reduced overall cost savings for patrons. ####

(3)The feasibility of generating net revenue from pricing and stock assortment changes. ####

(4)The relationship of higher prices and reduced patron savings to patron usage and accompanying sales, both on a national and regional basis. ####

(5)The impact of changes to the operation of the defense commissary system on industry support; such as vendor stocking, promotions, discounts, and merchandising activities and programs. ####

(6)The ability of the current commissary management and information technology systems to accommodate changes to the existing pricing and management structure. ####

(7)The product category management systems and expertise of the Defense Commissary Agency. ####

(8)The impact of changes to the operation of the defense commissary system on military exchanges and other morale, welfare, and recreation programs for members of the Armed Forces. ####

(9)The identification of management and legislative changes that would be required in connection with changes to the defense commissary system. ####

(10)An estimate of the time required to implement recommended changes to the current pricing and management model of the defense commissary system. ###

(c)Submission Not later than September 1, 2015, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report containing the results of the review required by this section. # TITLE VII HEALTH CARE PROVISIONS ## Subtitle A TRICARE and Other Health Care Benefits