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Implementing DOD's Homosexual Conduct Policy' which was released on 
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United States Government Accountability Office: 
GAO: 

Report to the Honorable Susan A. Davis, House of Representatives: 

January 2011: 

Military Personnel: 

Personnel and Cost Data Associated with Implementing DOD's Homosexual 
Conduct Policy: 

GAO-11-170: 

GAO Highlights: 

Highlights of GAO-11-170, a report to the Honorable Susan A. Davis, 
House of Representatives. 

Why GAO Did This Study: 

From fiscal years 1994 through 2009, the Department of Defense (DOD) 
separated over 13,000 active military servicemembers under its 
homosexual conduct policy. These separations represent about 0.37 
percent of the 3.6 million members separated for all reasons, 
including expiration of terms of service and retirement. In 2005, GAO 
reported on the number of separated servicemembers under DOD’s 
homosexual conduct policy who held critical skills and the costs 
associated with administering the policy from fiscal years 1994 
through 2003. GAO was asked to examine data from fiscal years 2004 
through 2009 to determine (1) the extent to which the policy has 
resulted in the separation of servicemembers with skills in critical 
occupations and important foreign languages and (2) the services’ 
costs for certain activities associated with administering the policy. 
GAO obtained and analyzed DOD personnel and cost data; examined DOD 
regulations and policy documents; and conducted interviews with 
officials from the Office of the Under Secretary of Defense for 
Personnel and Readiness, the Defense Manpower Data Center, and each of 
the military services. 

GAO provided a draft of this report to DOD for review and comment. DOD 
did not have any comments on the report. 

What GAO Found: 

According to GAO’s analysis of Defense Manpower Data Center data, 
3,664 servicemembers were separated under DOD’s homosexual conduct 
policy from fiscal years 2004 through 2009. Of the 3,664 separations, 
1,458 of these separated servicemembers held a critical occupation or 
an important foreign language skill as determined by GAO and the 
services. More specifically, 1,442 (39 percent) of the servicemembers 
separated under the policy held critical occupations, such as 
infantryman and security forces, while 23 (less than 1 percent) of the 
servicemembers held skills in an important foreign language, such as 
Arabic or Spanish. Seven separated servicemembers held both a critical 
occupation and an important foreign language skill. However, the 
number of separated servicemembers with critical occupations could be 
an underestimation because of a number of factors. For example, the 
Air Force provided the occupations eligible for enlistment bonuses 
from fiscal years 2006 through 2009, but could not provide this 
information for fiscal years 2004 and 2005 because the Air Force’s 
data were incomplete. 

Using available DOD cost data, GAO calculated that it cost DOD about 
$193.3 million ($52,800 per separation) in constant fiscal year 2009 
dollars to separate and replace the 3,664 servicemembers separated 
under the homosexual conduct policy. This $193.3 million comprises 
$185.6 million in replacement costs and $7.7 million in administrative 
costs. The cost to recruit and train replacements amounted to about 
$185.6 million. In calculating these costs, GAO included variable 
costs, such as recruiting bonuses, and excluded fixed costs, such as 
salaries and buildings, to the extent possible because according to 
service officials there would likely be no significant increase in 
fixed costs when recruiting and training a relatively small number of 
replacement personnel. Each of the services tracks and maintains data 
in different ways, which in some cases affected their ability to 
provide GAO with only variable costs. For example, while the Army and 
Air Force could disaggregate variable and fixed recruiting and 
training costs, the Navy could not disaggregate variable and fixed 
recruiting and training costs, and the Marine Corps could not 
disaggregate variable and fixed training costs. To the extent that 
recruiting and training cost data provided by the services contain 
fixed costs, this is an overestimation of replacement costs. 
Administrative costs amounted to about $7.7 million and include costs 
associated with certain legal activities, such as board hearings, and 
nonlegal activities, such as processing separation paperwork. The Air 
Force, Army, and Marine Corps provided GAO with administrative cost 
estimates; however, Navy officials explained that changes in 
separation processes from fiscal years 2004 through 2009 prevented 
them from providing an accurate administrative cost estimate in time 
for the data to be included in GAO’s analyses. Because the Navy did 
not provide these data, GAO’s calculation is an underestimation of 
DOD’s likely total administrative costs. Because of data limitations, 
GAO was unable to determine the extent of the overestimation of the 
replacement costs, the underestimation of the administrative costs, or 
the resulting net impact on GAO’s total calculations. 

View [hyperlink, http://www.gao.gov/products/GAO-11-170] or key 
components. For more information, contact Zina Merritt at (202) 512-
5257 or merrittz@gao.gov. 

[End of section] 

Contents: 

Letter: 

Background: 

Some Servicemembers Separated under the Homosexual Conduct Policy Held 
Skills in Critical Occupations or Important Foreign Languages: 

Certain Costs Associated with Administering DOD's Homosexual Conduct 
Policy Can Be Calculated: 

Appendix I: Scope and Methodology: 

Appendix II: General Information on Separated Servicemembers: 

Appendix III: Data on Reserve and National Guard Servicemembers 
Separated under the Homosexual Conduct Policy: 

Appendix IV: Information on Critical Occupations and Important Foreign 
Languages for Servicemembers Separated under DOD's Homosexual Conduct 
Policy: 

Appendix V: GAO Contact and Staff Acknowledgments: 

Related GAO Products: 

Tables: 

Table 1: Number of Separations of Active Duty Servicemembers for 
Homosexual Conduct by Fiscal Year and Military Service, from Fiscal 
Years 2004 through 2009: 

Table 2: Number of Active Duty Servicemembers with Critical 
Occupations Separated for Homosexual Conduct from Fiscal Years 2004 
through 2009: 

Table 3: Number of Active Duty Servicemembers with Intelligence-
Related Critical Occupations Separated under the Homosexual Conduct 
Policy, by Service, from Fiscal Years 2004 through 2009: 

Table 4: Examples of Critical Occupations of Servicemembers Separated 
under the Homosexual Conduct Policy across All Services from Fiscal 
Years 2004 through 2009: 

Table 5: Number of Active Duty Servicemembers with Important Foreign 
Language Skills Separated under the Homosexual Conduct Policy from 
Fiscal Years 2004 through 2009: 

Table 6: Languages Spoken by--and the Proficiency Levels of-- 
Servicemembers Separated under the Homosexual Conduct Policy from 
Fiscal Years 2004 through 2009: 

Table 7: Cost of Replacements for Servicemembers Separated under the 
Homosexual Conduct Policy from Fiscal Years 2004 through 2009 (Dollars 
in Millions): 

Table 8: Cost of Recruiting Replacements for Servicemembers Separated 
under the Homosexual Conduct Policy from Fiscal Years 2004 through 
2009 (Dollars in Thousands): 

Table 9: Cost of Training Replacements for Servicemembers Separated 
under the Homosexual Conduct Policy from Fiscal Years 2004 through 
2009 (Dollars in Millions): 

Table 10: Administrative Costs of Separating Servicemembers under the 
Homosexual Conduct Policy from Fiscal Years 2004 through 2009 (Dollars 
in Thousands): 

Table 11: Legal Administrative Cost of Separating Servicemembers under 
the Homosexual Conduct Policy from Fiscal Years 2004 through 2009 
(Dollars in Thousands): 

Table 12: Nonlegal Administrative Cost of Separating Servicemembers 
under the Homosexual Conduct Policy from Fiscal Years 2004 through 
2009 (Dollars in Thousands): 

Table 13: Total Separations for All Reasons by Fiscal Year and Service 
from Fiscal Years 2004 through 2009: 

Table 14: Separation Reasons for Enlisted Servicemembers from Fiscal 
Years 2004 through 2009: 

Table 15: Separation Reasons for Officers from Fiscal Years 2004 
through 2009: 

Table 16: Separations of Reserve and National Guard Servicemembers for 
Homosexual Conduct, by Fiscal Year and Military Service, from Fiscal 
Years 2004 through 2009: 

Table 17: Most Common Critical Occupations Held by Separated 
Servicemembers, by Service, from Fiscal Years 2004 through 2009: 

Table 18: Lengths of Service of Servicemembers Separated under the 
Homosexual Conduct Policy Who Held Skills in Critical Occupations from 
Fiscal Years 2004 through 2009: 

Table 19: Lengths of Service of Servicemembers Who Held Skills in 
Important Foreign Languages from Fiscal Years 2004 through 2009: 

Figures: 

Figure 1: Separations under the Homosexual Conduct Policy by Race from 
Fiscal Years 2004 through 2009: 

Figure 2: Separations under the Homosexual Conduct Policy by Rank, 
Gender, Length of Service, and Branch from Fiscal Years 2004 through 
2009: 

Figure 3: Amount of Time Served by Servicemembers Separated under the 
Homosexual Conduct Policy Who Held Skills in Critical Occupations from 
Fiscal Years 2004 through 2009: 

Figure 4: Amount of Time Served by Servicemembers Separated under the 
Homosexual Conduct Policy Who Held Skills in Important Foreign 
Languages from Fiscal Years 2004 through 2009: 

Figure 5: Services' Cost of Administering DOD's Homosexual Conduct 
Policy from Fiscal Years 2004 through 2009 (Dollars in Thousands): 

[End of section] 

United States Government Accountability Office: 
Washington, DC 20548: 

January 20, 2011: 

The Honorable Susan A. Davis: 
House of Representatives: 

Dear Ms. Davis: 

In 1993, Congress enacted a law setting out the policy concerning 
homosexuality in the armed forces.[Footnote 1] This statute states 
that "the presence in the armed forces of persons who demonstrate a 
propensity or intent to engage in homosexual acts would create an 
unacceptable risk to the high standards of morale, good order and 
discipline, and unit cohesion that are the essence of military 
capability." The law requires servicemembers to be separated from the 
armed forces, under regulations prescribed by the Secretary of 
Defense, if they meet certain criteria set forth in the law.[Footnote 
2] From fiscal years 1994 through 2009, the Department of Defense 
(DOD) separated over 13,000 active duty military servicemembers under 
the homosexual conduct policy. These separations represent 
approximately 0.37 percent of the 3.6 million servicemembers separated 
for all reasons during this period.[Footnote 3] (For more information 
on total separations from fiscal years 2004 through 2009, see appendix 
II.) 

In 2005, we reported on the number of separated servicemembers who 
held skills in critical occupations and important foreign languages at 
the time of separation and the costs associated with administering 
DOD's homosexual conduct policy for the period covering fiscal years 
1994 through 2003.[Footnote 4] You asked us to examine data from 
fiscal years 2004 through 2009. Specifically, this report provides 
information on (1) the extent to which servicemembers with skills in 
critical occupations and important foreign languages were separated 
under the policy and (2) the services' costs for certain activities 
associated with administering the policy (i.e., recruiting and 
training replacements of separated servicemembers and administrative 
processes associated with separating servicemembers). 

In conducting this audit, we obtained data from the Defense Manpower 
Data Center (DMDC)[Footnote 5] and each of the military services on 
active duty separations under the homosexual conduct policy across all 
of the service components--the Air Force, Army, Marine Corps, and 
Navy--for the period covering fiscal years 2004 through 2009. We also 
obtained the total number of Reserve and National Guard component 
servicemembers separated under the policy during the same period of 
time.[Footnote 6] (See appendix III.) However, we did not include 
separated Reserve and National Guard servicemembers in our analysis 
because according to DMDC, DOD only collects data on separations for 
homosexual conduct for the active duty members of the Air Force, Army, 
Marine Corps, and Navy.[Footnote 7] We determined that the data 
provided by DOD and the services were sufficiently reliable for the 
purposes of presenting separations, personnel information for 
separated servicemembers, and costs associated with administering the 
homosexual conduct policy. These data were current as of November 30, 
2010. 

To determine the extent to which servicemembers with skills in 
critical occupations and important foreign languages were separated 
under DOD's homosexual conduct policy, we obtained data from DMDC on 
the occupational specialties and foreign languages of the enlisted 
servicemembers and officers separated under the policy. We interviewed 
officials from the Office of the Under Secretary of Defense for 
Personnel and Readiness and the offices within the services that are 
responsible for managing occupational specialties, determining foreign 
language requirements, and administering bonus programs to identify 
critical occupations and important foreign languages. Based on these 
discussions, we and the services determined for the purposes of this 
report that an occupation was "critical" if a financial incentive was 
provided under the enlistment, reenlistment, and retention bonus 
programs or if it was included in service-specific critical 
occupations lists.[Footnote 8] We also relied on the services to 
designate the critical occupations that they considered to be 
intelligence related. Through our interviews, we and the services 
determined for the purposes of this report that a foreign language was 
"important" if a financial incentive was provided under the foreign 
language proficiency bonus program. Using these criteria, we analyzed 
separation data to determine the number of servicemembers who held 
critical occupations and were proficient in important foreign 
languages at the time of their separation. 

To calculate the costs associated with administering DOD's homosexual 
conduct policy, we interviewed officials from the Office of the Under 
Secretary of Defense for Personnel and Readiness and offices within 
the active services that are responsible for personnel policy, 
recruitment and training budgets, servicemember pay and benefits, 
separation processing, legal affairs, and discharge reviews to 
identify the cost of recruiting and training through initial 
occupational training of the replacements of servicemembers separated 
under the policy and the administrative costs of processing the 
separations of servicemembers under the policy. To determine 
replacement costs, we obtained and analyzed recruiting and training 
cost data from each of the services. To the extent possible, we used 
variable costs and excluded fixed costs to calculate the services' 
costs to recruit and train replacements because, given the magnitude 
of DOD's overall forces, there would likely be no significant increase 
in fixed costs (e.g., instructor salaries) when replacing a relatively 
small number of personnel (i.e., approximately 400 to 700 
servicemembers per year).[Footnote 9] We analyzed these data to 
calculate the costs of recruiting and training through initial 
occupational training for the replacements of servicemembers separated 
under the policy. To the extent that recruiting and training cost data 
provided by the services contain fixed costs, this would result in an 
overestimation of replacement costs. To determine administrative 
costs, we asked the military services to provide data on the key tasks 
and personnel associated with the separation process, such as 
paralegal work, attorneys' and pastoral counseling of servicemembers, 
and commanders' inquiries. We analyzed data on these tasks and 
personnel, along with military pay rates, to calculate the 
administrative costs of processing the separations of servicemembers 
separated under the policy. The Navy explained that it was not able to 
provide this information because changes in separation processes from 
fiscal years 2004 through 2009 prevented Navy officials from providing 
an accurate administrative cost estimate in time for the data to be 
included in our analyses. Because the Navy was not able to provide 
this information, our calculation is an underestimation of DOD's 
likely total administrative costs. We were unable to determine the 
extent of the overestimation of replacement costs, the underestimation 
of administrative costs, or the resulting net impact on our 
calculations. 

We conducted this performance audit from January 2010 through January 
2011 in accordance with generally accepted government auditing 
standards. Those standards require that we plan and perform the audit 
to obtain sufficient, appropriate evidence to provide a reasonable 
basis for our findings and conclusions based on our audit objectives. 
We believe that the evidence obtained provides a reasonable basis for 
our findings and conclusions based on our audit objectives. A detailed 
discussion of our scope and methodology can be found in appendix I. 

Background: 

Homosexuality and the Military: 

In November 1993, Congress enacted a law concerning homosexual conduct 
in the armed forces and required the Secretary of Defense to prescribe 
regulations to implement that policy.[Footnote 10] Following the 
enactment of the law, DOD issued its implementing guidance, including 
Department of Defense Instruction 1304.26, Qualification Standards for 
Enlistment, Appointment, and Induction. Under that instruction, 
applicants for enlistment, appointment, or induction shall not be 
asked or required to reveal their sexual orientation, nor shall they 
be asked to reveal whether they have engaged in homosexual conduct, 
unless independent evidence is received indicating that an applicant 
engaged in such conduct or the applicant volunteers a statement that 
he or she is homosexual or bisexual, or words to that effect. This is 
generally referred to as the "Don't Ask, Don't Tell" policy. In 
exchange for the services' silence ("don't ask") about a person's 
homosexuality prior to induction, gay and lesbian servicemembers, as a 
condition of continued service, agree to silence ("don't tell") about 
this aspect of their lives. 

Separations for Homosexual Conduct from Fiscal Years 2004 through 2009: 

According to our analysis of DMDC data, 3,664 active duty 
servicemembers were separated under the homosexual conduct policy from 
fiscal years 2004 through 2009. (See table 1.) This figure represents 
servicemembers who were on active duty at the time of their 
separation, including members of the Reserve or National Guard 
components of the military services who were on active duty for 31 or 
more consecutive days before their dates of separation. These 
servicemembers are included in the figure because according to DMDC, a 
servicemember in the Reserves or National Guard who was separated 
after at least 31 consecutive days of active duty service is 
considered to be an active duty separation. 

Table 1: Number of Separations of Active Duty Servicemembers for 
Homosexual Conduct by Fiscal Year and Military Service, from Fiscal 
Years 2004 through 2009: 

Fiscal year: 2004; 
Air Force: 92; 
Army: 325; 
Marine Corps: 59; 
Navy: 177; 
Total: 653. 

Fiscal year: 2005; 
Air Force: 88; 
Army: 386; 
Marine Corps: 74; 
Navy: 177; 
Total: 725. 

Fiscal year: 2006; 
Air Force: 102; 
Army: 280; 
Marine Corps: 64; 
Navy: 166; 
Total: 612. 

Fiscal year: 2007; 
Air Force: 91; 
Army: 302; 
Marine Corps: 74; 
Navy: 160; 
Total: 627. 

Fiscal year: 2008; 
Air Force: 90; 
Army: 286; 
Marine Corps: 91; 
Navy: 152; 
Total: 619. 

Fiscal year: 2009; 
Air Force: 77; 
Army: 195; 
Marine Corps: 75; 
Navy: 81; 
Total: 428. 

Fiscal year: Total; 
Air Force: 540; 
Army: 1,774; 
Marine Corps: 437; 
Navy: 913; 
Total: 3,664. 

Fiscal year: Percentage of total; 
Air Force: 15; 
Army: 48; 
Marine Corps: 12; 
Navy: 25; 
Total: 100. 

Source: GAO analysis of DMDC data. 

[End of table] 

Of the 3,664 servicemembers separated from fiscal years 2004 through 
2009, DOD granted "honorable" separations to 2,084 members (57 
percent), "general (under honorable conditions)" separations to 369 
servicemembers (10 percent), and "under other than honorable 
conditions" separations to 95 servicemembers (3 percent).[Footnote 11] 
DOD classified the separation of 2 servicemembers (less than 1 
percent) as "bad conduct," which is a type of punitive separation 
applicable to enlisted personnel only.[Footnote 12] DOD also granted 
"uncharacterized" or entry-level separations to 1,037 servicemembers 
(28 percent), and classified 77 separations (2 percent) as "unknown or 
not applicable" for servicemembers separated under the policy. 

The following figures present demographic breakdowns for separated 
servicemembers. Figure 1 shows the percentage of servicemembers 
separated under DOD's homosexual conduct policy from fiscal years 2004 
through 2009 by race, and figure 2 shows other demographic information 
for these servicemembers, including rank, length of service upon 
separation, gender, and military branch. 

Figure 1: Separations under the Homosexual Conduct Policy by Race from 
Fiscal Years 2004 through 2009: 

[Refer to PDF for image: pie-chart and subchart] 

White (2,564): 70%; 
African American (642): 18%; 
Other (458) 13%: 
- Multiracial (64): 2%; 
- Native Hawaiian or other Pacific Islander (74): 2%; 
- American Indian or Alaskan Native (97): 3%; 
- Asian (102): 3%; 
- Unknown (121)[A]: 3%. 

Source: GAO analysis of DMDC data. 

Notes: Percentage may not equal 100 because of rounding. 

[A] Data not available. 

[End of figure] 

Figure 2: Separations under the Homosexual Conduct Policy by Rank, 
Gender, Length of Service, and Branch from Fiscal Years 2004 through 
2009: 

[Refer to PDF for image: illustration] 

Rank: 
98% (3,599) Enlisted; 
2% (65) Officer. 

Length of service: 
17% (625) Less than 3 months; 
11% (394) 3 to 6 months; 
18% (657) 6 months to 1 year; 
19% (706) 1 to 2 years; 
35% (1,282) 2 years or more. 

Gender: 
66% (2,422) Male; 
34% (1,242) Female. 

Branch: 
15% (540) Air Force; 
48% (1,774) Army; 
12% (437) Marine Corps; 
25% (913) Navy. 

Source: GAO analysis of DMDC data. 

[End of figure] 

Differences between the Current and Previous GAO Report: 

In 2005, we reported on the number of servicemembers separated under 
the policy who held skills in critical occupations and important 
foreign languages and the costs of recruiting and training 
replacements for servicemembers separated under the homosexual conduct 
policy for the period covering fiscal year 1994 through fiscal year 
2003.[Footnote 13] However, the information in the 2005 report cannot 
be compared to the information in this report for two reasons. First, 
for this report, we asked the services to provide the most current and 
complete guidance to help us determine criteria for describing 
critical occupations and important foreign languages. The services 
provided enlistment bonus lists, critical skills retention bonus 
lists, service-specific critical occupations lists, and foreign 
language proficiency bonus lists. We have added these criteria in 
order to provide a more comprehensive picture of how the services 
described critical occupations and important foreign languages from 
fiscal years 2004 through 2009. Second, in 2005, the services were 
unable to provide us with the training costs of Marine Corps 
personnel,[Footnote 14] the training costs of the medical 
professionals for each of the services, and the recruiting and 
training costs of each service's officers. For the current report, the 
Marine Corps provided data on the cost to train its personnel; the 
services provided data on the cost to train medical professionals; and 
the Air Force, Navy, and Marine Corps provided data on the cost of 
recruiting officers. The Army was not able to provide data on the cost 
of officer recruiting in time for the data to be included in our 
analyses. The Army, Air Force, and Marine Corps provided data on the 
cost of training officers. However, we did not include the cost of 
training Navy officers because the Navy provided data that were not 
specific to the occupational specialties of the separated officers. In 
order to be consistent with our methodology of calculating training 
cost calculations that are specific to the occupational specialties of 
separated servicemembers, we did not include the incomplete Navy data. 
In addition, in 2005, DOD was not able to provide us with information 
on the administrative costs of separating servicemembers under the 
homosexual conduct policy. For the current report, the Air Force, the 
Army, and the Marine Corps provided us with this information. The Navy 
explained that it was not able to provide this information because 
changes in separation processes from fiscal years 2004 through 2009 
prevented Navy officials from providing an accurate administrative 
cost estimate in time for the data to be included in our analyses. The 
analyses in this report were current as of November 30, 2010. As a 
result, the personnel and cost data provided in the 2005 report are 
not comparable to the information provided in this report. 

Some Servicemembers Separated under the Homosexual Conduct Policy Held 
Skills in Critical Occupations or Important Foreign Languages: 

Based on our analysis of DMDC data, 3,664 servicemembers were 
separated under the homosexual conduct policy from fiscal years 2004 
through 2009, and based on our analysis of information provided by the 
services, 1,458 (40 percent) of these servicemembers held skills in a 
critical occupation, an important foreign language, or both, as 
determined by us and the services. Servicemembers with critical 
occupations and important foreign language skills are not necessarily 
mutually exclusive groups because some critical occupations, such as 
cryptologic linguists and interrogators, require an important foreign 
language skill. According to our analysis, 7 servicemembers held a 
critical occupation and also held an important foreign language skill. 

Data on Servicemembers Separated under the Homosexual Conduct Policy 
Who Held Skills in Critical Occupations: 

Based on our analysis of DMDC data, of the 3,664 servicemembers who 
were discharged under the homosexual conduct policy from fiscal years 
2004 through 2009, 1,442 (39 percent) of them held skills in critical 
occupations. Based on interviews with service officials, we and the 
services determined for the purposes of this report that an occupation 
was "critical" if it received a bonus under DOD's Enlistment Bonus 
program,[Footnote 15] Accession Bonus for New Officers in Critical 
Skills program, Selective Reenlistment Bonus program, or Critical 
Skills Retention Bonus program.[Footnote 16] These bonus programs 
provide monetary incentives to individuals to help the services 
maintain adequate numbers of personnel in designated critical 
occupations. We also used service-specific critical occupations lists 
to determine critical occupations, such as the Air Force Stressed 
Career Fields List,[Footnote 17] the Marine Top Ten Critical 
Occupations List, and the list of occupations deemed critical under 
the Marine 202K Sustainment Plan.[Footnote 18] Table 2 shows, by 
service, a breakdown of the 1,442 servicemembers who held critical 
occupations and were separated from fiscal years 2004 through 2009. 

Table 2: Number of Active Duty Servicemembers with Critical 
Occupations Separated for Homosexual Conduct from Fiscal Years 2004 
through 2009: 

Fiscal year: 2004; 
Air Force: 9; 
Army: 152; 
Marine Corps: 0; 
Navy: 10; 
Total: 171. 

Fiscal year: 2005; 
Air Force: 7; 
Army: 232; 
Marine Corps: 0; 
Navy: 33; 
Total: 272. 

Fiscal year: 2006; 
Air Force: 12; 
Army: 184; 
Marine Corps: 1; 
Navy: 16; 
Total: 213. 

Fiscal year: 2007; 
Air Force: 9; 
Army: 218; 
Marine Corps: 28; 
Navy: 24; 
Total: 279. 

Fiscal year: 2008; 
Air Force: 39; 
Army: 231; 
Marine Corps: 26; 
Navy: 27; 
Total: 323. 

Fiscal year: 2009; 
Air Force: 25; 
Army: 121; 
Marine Corps: 29; 
Navy: 9; 
Total: 184. 

Fiscal year: Total; 
Air Force: 101; 
Army: 1,138; 
Marine Corps: 84; 
Navy: 119; 
Total: 1,442. 

Fiscal year: Percentage of total; 
Air Force: 7; 
Army: 79; 
Marine Corps: 6; 
Navy: 8; 
Total: 100. 

Source: GAO analysis of DMDC and service data. 

[End of table] 

The reported number of separated Navy and Air Force servicemembers who 
held skills in critical occupations could be an underestimation. The 
Navy was not able to provide the information necessary to determine 
whether separated Navy servicemembers held occupations on the 
enlistment bonus lists because of the manner in which the Navy assigns 
occupational specialties to its recruits. Also, while the Navy does 
offer accession bonuses to new officers, Navy officials could not 
determine which bonuses were offered during the fiscal years of our 
study. Thus, we could not include any Navy occupations that were 
eligible for Accession Bonuses for New Officers in Critical Skills. 
While the Air Force was able to provide the occupational specialties 
eligible for enlistment bonuses from fiscal years 2006 through 2009, 
it was unable to provide the occupational specialties eligible for 
enlistment bonuses in fiscal years 2004 and 2005 because Air Force 
data were incomplete. 

Of the total population separated under the policy, 625 servicemembers 
(17 percent) were separated with less than 3 months of military 
service, 394 servicemembers (11 percent) were separated within 3 to 6 
months of military service, 657 servicemembers (18 percent) were 
separated within 6 months to 1 year of military service, 706 
servicemembers (19 percent) were separated within 1 to 2 years of 
military service, and 1,282 servicemembers (35 percent) were separated 
with 2 years or more of military service. We analyzed the lengths of 
service for the 1,442 servicemembers separated under the homosexual 
conduct policy who held skills in critical occupations from fiscal 
years 2004 through 2009. Figure 3 shows the amount of time served 
prior to separation by servicemembers who held skills in critical 
occupations. (For more detailed information on the length of service 
of servicemembers separated under the homosexual conduct policy who 
held skills in critical occupations, see table 18 in appendix IV.) 

Figure 3: Amount of Time Served by Servicemembers Separated under the 
Homosexual Conduct Policy Who Held Skills in Critical Occupations from 
Fiscal Years 2004 through 2009: 

[Refer to PDF for image: pie-chart] 

Separated with less than 3 months of military service: 20% (288); 
Separated within 3 to 6 months of military service: 10% (145); 
Separated within 6 months to 1 year of military service: 17% (248); 
Separated within 1 to 2 years of military service: 20% (289); 
Separated with 2 years or more of military service: 33% (472). 

Source: GAO analysis of DMDC data. 

[End of figure] 

Of the 1,442 separated servicemembers who held skills in critical 
occupations, 148 (10 percent) of them held skills in intelligence- 
related critical occupations. The services reviewed the critical 
occupations held by the servicemembers separated under the homosexual 
conduct policy and designated the critical occupations that they 
deemed to be intelligence related. Examples of intelligence-related 
critical occupations include human intelligence collector, cryptologic 
technician (interpretive), intelligence specialist, and airborne 
cryptologic language analyst. Table 3 shows a breakdown, by service, 
of the 148 separated servicemembers who held intelligence-related 
critical occupations during the 6-year period. 

Table 3: Number of Active Duty Servicemembers with Intelligence-
Related Critical Occupations Separated under the Homosexual Conduct 
Policy, by Service, from Fiscal Years 2004 through 2009: 

Service: Air Force; 
Number of separated servicemembers who held skills in critical 
occupations: 101; 
Number of separated servicemembers who held skills in intelligence-
related critical occupations: 33; 
Percentage of separated servicemembers in critical occupations that 
are intelligence related: 33. 

Service: Army; 
Number of separated servicemembers who held skills in critical 
occupations: 1,138; 
Number of separated servicemembers who held skills in intelligence-
related critical occupations: 105; 
Percentage of separated servicemembers in critical occupations that 
are intelligence related: 9. 

Service: Marine Corps; 
Number of separated servicemembers who held skills in critical 
occupations: 84; 
Number of separated servicemembers who held skills in intelligence-
related critical occupations: 4; 
Percentage of separated servicemembers in critical occupations that 
are intelligence related: 5. 

Service: Navy; 
Number of separated servicemembers who held skills in critical 
occupations: 119; 
Number of separated servicemembers who held skills in intelligence-
related critical occupations: 6; 
Percentage of separated servicemembers in critical occupations that 
are intelligence related: 5. 

Service: Total; 
Number of separated servicemembers who held skills in critical 
occupations: 1,442; 
Number of separated servicemembers who held skills in intelligence-
related critical occupations: 148; 
Percentage of separated servicemembers in critical occupations that 
are intelligence related: 10. 

Source: GAO analysis of DMDC and service data. 

[End of table] 

Of those separated who held skills in critical occupations, 1,425 were 
enlisted servicemembers and 17 were officers. Separated servicemembers 
with critical occupations served an average of 22 months, which is 
about 26 months less than the typical initial service contract of most 
enlistees and the typical officer-commissioning contract.[Footnote 19] 
As shown in table 4, the most common critical occupations held by 
separated servicemembers across all services were infantryman and 
military police. (See table 17 in appendix IV for a more detailed 
list, by service, of the most common occupations held by separated 
servicemembers.) 

Table 4: Examples of Critical Occupations of Servicemembers Separated 
under the Homosexual Conduct Policy across All Services from Fiscal 
Years 2004 through 2009: 

Critical occupations: Infantryman; 
Number of separated servicemembers: 190; 
Percentage of total separated servicemembers with skills in critical 
occupations: 13. 

Critical occupations: Military police; 
Number of separated servicemembers: 120; 
Percentage of total separated servicemembers with skills in critical 
occupations: 8. 

Critical occupations: Motor transport operator; 
Number of separated servicemembers: 114; 
Percentage of total separated servicemembers with skills in critical 
occupations: 8. 

Critical occupations: Mental health specialist; 
Number of separated servicemembers: 69; 
Percentage of total separated servicemembers with skills in critical 
occupations: 5. 

Critical occupations: Food service specialist; 
Number of separated servicemembers: 68; 
Percentage of total separated servicemembers with skills in critical 
occupations: 5. 

Critical occupations: Health care specialist; 
Number of separated servicemembers: 59; 
Percentage of total separated servicemembers with skills in critical 
occupations: 4. 

Critical occupations: Unit supply specialist; 
Number of separated servicemembers: 51; 
Percentage of total separated servicemembers with skills in critical 
occupations: 4. 

Critical occupations: Nuclear field (electronics technician, 
machinist's mate, and electrician's mate); 
Number of separated servicemembers: 36; 
Percentage of total separated servicemembers with skills in critical 
occupations: 3. 

Critical occupations: Chemical, biological, radiological, nuclear 
specialist; 
Number of separated servicemembers: 34; 
Percentage of total separated servicemembers with skills in critical 
occupations: 2. 

Critical occupations: Petroleum supply specialist; 
Number of separated servicemembers: 32; 
Percentage of total separated servicemembers with skills in critical 
occupations: 2. 

Critical occupations: Signal support system specialist; 
Number of separated servicemembers: 32; 
Percentage of total separated servicemembers with skills in critical 
occupations: 2. 

Critical occupations: Other; 
Number of separated servicemembers: 637; 
Percentage of total separated servicemembers with skills in critical 
occupations: 44. 

Critical occupations: Total; 
Number of separated servicemembers: 1,442; 
Percentage of total separated servicemembers with skills in critical 
occupations: 100. 

Source: GAO analysis of DMDC and service data. 

[End of table] 

Data on Servicemembers Separated under the Homosexual Conduct Policy 
Who Held Important Foreign Language Skills: 

Based on our analysis of DMDC data, of the 3,664 servicemembers 
separated for homosexual conduct from fiscal years 2004 through 2009, 
23 (less than 1 percent) of them held skills in an important foreign 
language. Based on interviews, we and the services determined for the 
purposes of this report that a language was "important" if a financial 
incentive was provided under the Foreign Language Proficiency Bonus 
(FLPB) program. This bonus program provides incentives for the 
acquisition, maintenance, and enhancement of foreign language skills 
at a particular proficiency level. The FLPB is used to increase 
strategic language capability throughout DOD by (1) encouraging 
servicemembers with foreign language proficiency to self-identify and 
sustain proficiency; (2) providing servicemembers an incentive to 
acquire foreign language skills, improve foreign language skills, or 
both; (3) providing servicemembers whose military specialty requires a 
foreign language with an incentive to expand their proficiency to 
other foreign languages and dialects; and (4) creating a cadre of 
language professionals operating at the highest levels of proficiency. 
Table 5 shows a breakdown across all services of the 23 servicemembers 
who held important foreign language skills and were separated under 
the homosexual conduct policy during the 6-year period. 

Table 5: Number of Active Duty Servicemembers with Important Foreign 
Language Skills Separated under the Homosexual Conduct Policy from 
Fiscal Years 2004 through 2009: 

Fiscal year: 2004; 
Air Force: 1; 
Army: 2; 
Marine Corps: 0; 
Navy: 2; 
Total: 5. 

Fiscal year: 2005; 
Air Force: 0; 
Army: 2; 
Marine Corps: 0; 
Navy: 4; 
Total: 6. 

Fiscal year: 2006; 
Air Force: 0; 
Army: 1; 
Marine Corps: 1; 
Navy: 1; 
Total: 3. 

Fiscal year: 2007; 
Air Force: 0; 
Army: 1; 
Marine Corps: 1; 
Navy: 5; 
Total: 7. 

Fiscal year: 2008; 
Air Force: 0; 
Army: 1; 
Marine Corps: 0; 
Navy: 1; 
Total: 2. 

Fiscal year: 2009; 
Air Force: 0; 
Army: 0; 
Marine Corps: 0; 
Navy: 0; 
Total: 0. 

Fiscal year: Total; 
Air Force: 1; 
Army: 7; 
Marine Corps: 2; 
Navy: 13; 
Total: 23. 

Fiscal year: Percentage of total; 
Air Force: 4; 
Army: 30; 
Marine Corps: 9; 
Navy: 57; 
Total: 100. 

Source: GAO analysis of DMDC and service data. 

[End of table] 

Of the 23 servicemembers separated who held skills in an important 
foreign language, 22 were enlisted servicemembers and 1 was an 
officer. Separated servicemembers with an important foreign language 
skill served an average of 26 months, which is about 22 months less 
than the typical initial service contract of most enlistees and the 
typical officer-commissioning contract. To assess listening, reading, 
and speaking proficiencies, DOD uses an 11-point scale that represents 
the degree of competence in the language in which a member possesses 
the highest proficiency. The scale includes numeric values of 00 (no 
proficiency), 06 (memorized proficiency), 10 (elementary proficiency), 
16 (elementary proficiency plus), 20 (limited working proficiency), 26 
(limited working proficiency plus), 30 (general professional 
proficiency), 36 (general professional proficiency plus), 40 (advanced 
professional proficiency), 46 (advanced professional proficiency 
plus), and 50 (functionally native proficiency). To receive the FLPB, 
servicemembers must attain a minimum of 20/20 or higher on the scale 
in any two modalities (listening, reading, or speaking). As shown in 
table 6, the most common important language skills held by separated 
servicemembers were Arabic and Spanish. 

Table 6: Languages Spoken by--and the Proficiency Levels of-- 
Servicemembers Separated under the Homosexual Conduct Policy from 
Fiscal Years 2004 through 2009: 

Fiscal year: 2004: 

Rank: Enlisted; 
Service: Air Force; 
Important foreign language: Russian; 
Listening proficiency: 20; 
Reading proficiency[A]: 20. 

Rank: Enlisted; 
Service: Army; 
Important foreign language: Arabic; 
Listening proficiency: 26; 
Reading proficiency[A]: 30. 

Rank: Enlisted; 
Service: Army; 
Important foreign language: Korean; 
Listening proficiency: 20; 
Reading proficiency[A]: 20. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Korean; 
Listening proficiency: 20; 
Reading proficiency[A]: 26. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Chinese (Mandarin); 
Listening proficiency: 26; 
Reading proficiency[A]: 30. 

Fiscal year: 2005: 

Rank: Enlisted; 
Service: Army; 
Important foreign language: Spanish; 
Listening proficiency: 20; 
Reading proficiency[A]: 30. 

Rank: Enlisted; 
Service: Army; 
Important foreign language: Polish; 
Listening proficiency: 30; 
Reading proficiency[A]: 30. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Spanish; 
Listening proficiency: 50; 
Reading proficiency[A]: 50. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Spanish; 
Listening proficiency: 30; 
Reading proficiency[A]: 26. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Spanish; 
Listening proficiency: 50; 
Reading proficiency[A]: 50. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Spanish; 
Listening proficiency: 20; 
Reading proficiency[A]: 30. 

Fiscal year: 2006: 

Rank: Enlisted; 
Service: Army; 
Important foreign language: Arabic; 
Listening proficiency: 20; 
Reading proficiency[A]: 26. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Haitian-Creole; 
Listening proficiency: 30; 
Reading proficiency[A]: 30. 

Rank: Enlisted; 
Service: Marine Corps; 
Important foreign language: Lithuanian; 
Listening proficiency: 30; 
Reading proficiency[A]: 30. 

Fiscal year: 2007: 

Rank: Officer; 
Service: Army; 
Important foreign language: Vietnamese; 
Listening proficiency: 20; 
Reading proficiency[A]: 20. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Arabic; 
Listening proficiency: 30; 
Reading proficiency[A]: 30. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Spanish; 
Listening proficiency: 30; 
Reading proficiency[A]: 30. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Spanish; 
Listening proficiency: 20; 
Reading proficiency[A]: 26. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Arabic; 
Listening proficiency: 20; 
Reading proficiency[A]: 26. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Spanish; 
Listening proficiency: 20; 
Reading proficiency[A]: 20. 

Rank: Enlisted; 
Service: Marine Corps; 
Important foreign language: Tagalog; 
Listening proficiency: 30; 
Reading proficiency[A]: 20. 

Fiscal year: 2008: 

Rank: Enlisted; 
Service: Army; 
Important foreign language: Tagalog; 
Listening proficiency: 26; 
Reading proficiency[A]: 20. 

Rank: Enlisted; 
Service: Navy; 
Important foreign language: Serbian; 
Listening proficiency: 20; 
Reading proficiency[A]: 20. 

Fiscal year: 2009: 

According to our analysis, no servicemembers separated under the 
policy in fiscal year 2009 held an important foreign language skill. 

Source: GAO analysis of DMDC and service data. 

[A] Speaking proficiency scores were not provided by DMDC for 
separated servicemembers who held skills in important foreign 
languages. 

[End of table] 

Of the total population separated under the policy, 625 servicemembers 
(17 percent) were separated with less than 3 months of military 
service, 394 servicemembers (11 percent) were separated within 3 to 6 
months of military service, 657 servicemembers (18 percent) were 
separated within 6 months to 1 year of military service, 706 
servicemembers (19 percent) were separated within 1 to 2 years of 
military service, and 1,282 servicemembers (35 percent) were separated 
with 2 years or more of military service. We analyzed the lengths of 
service for the 23 servicemembers separated under the homosexual 
conduct policy who held skills in important foreign languages from 
fiscal years 2004 through 2009. Figure 4 shows the amount of time 
served prior to separation by servicemembers who held skills in 
important foreign languages. (For more detailed information on the 
length of service of servicemembers separated under the homosexual 
conduct policy who held skills in important foreign languages, see 
table 19 in appendix IV.) 

Figure 4: Amount of Time Served by Servicemembers Separated under the 
Homosexual Conduct Policy Who Held Skills in Important Foreign 
Languages from Fiscal Years 2004 through 2009: 

[Refer to PDF for image: pie-chart] 

Separated within 3 to 6 months of military service: 9% (2); 
Separated within 6 months to 1 year of military service: 26% (6); 
Separated within 1 to 2 years of military service: 17% (4); 
Separated with 2 years or more of military service: 48% (11). 

Source: GAO analysis of DMDC data. 

Note: According to our analysis, no servicemembers who held skills in 
important foreign languages were separated under the policy with less 
than 3 months of military service. 

[End of figure] 

Certain Costs Associated with Administering DOD's Homosexual Conduct 
Policy Can Be Calculated: 

Using available DOD cost data, we calculated that it cost DOD 
approximately $193.3 million ($52,800 per separation) in constant 
fiscal year 2009 dollars to separate and replace the 3,664 
servicemembers separated under the homosexual conduct policy from 
fiscal years 2004 through 2009. This figure represents about $185.6 
million in recruiting and training costs for replacing servicemembers 
separated under the policy and about $7.7 million in certain 
administrative costs for which we were able to obtain data. (See 
figure 5 for the services' cost of administering DOD's homosexual 
conduct policy.) In calculating the services' costs to recruit and 
train replacements, we used variable costs and excluded fixed costs to 
the extent possible because, according to service officials, there 
would likely be no significant increase in fixed costs when recruiting 
and training a relatively small number of replacement personnel. For 
example, in fiscal year 2009, the Army separated 195 servicemembers 
under the homosexual conduct policy. This means that in fiscal year 
2009, the Army would have needed to recruit 195 replacements. In that 
same year, the Army recruited about 70,000 soldiers. Thus, in order to 
replace the 195 separated servicemembers in fiscal year 2009, the Army 
would have needed to recruit .003 percent more soldiers than it would 
have otherwise recruited. According to Army officials, because this 
.003 percent of additional recruiting represents such a small portion 
of total recruiting, there would likely be no need to increase 
recruiting infrastructure or hire more recruiting personnel. Because 
the services do not use "fixed costs" and "variable costs" as 
categories in their recruiting and training budgets, we provided each 
service with a common set of criteria to define these terms, and asked 
each service to determine the fixed and variable components of their 
cost data and provide us with variable costs. However, each of the 
services tracks and maintains data in different ways, which in some 
cases affected their ability to provide us with only variable costs. 
For example, while the Army and Air Force were able to provide us with 
variable recruiting and training costs, the Navy was not able to 
provide variable recruiting and training costs, and the Marine Corps 
was not able to provide variable training costs. In these cases, Navy 
and Marine Corps officials explained that they were not able to 
provide data with only variable costs because of the way their 
services track these data. While the Navy and Marine Corps track the 
total budgets of recruiting and training commands and individual 
courses, they do not track individual cost elements of these totals. 
For this reason, they were not able to determine the fixed and 
variable components of their cost data. To the extent that recruiting 
and training cost data provided by the services contain fixed costs, 
this would result in an overestimation of replacement costs. To 
calculate the administrative cost of carrying out separations, we 
asked the services to identify the legal and nonlegal processes 
associated with the separation process and requested data on personnel 
involved in carrying out these tasks. Using these data and military 
pay rates, we calculated administrative costs. While the Air Force, 
Army, and Marine Corps provided us with this information, the Navy did 
not provide data on the legal and nonlegal processes associated with 
carrying out separations. The Navy explained that it was not able to 
provide this information because changes in separation processes from 
fiscal years 2004 through 2009 prevented Navy officials from providing 
an accurate administrative cost estimate in time for the data to be 
included in our analyses. Because the Navy did not provide data on 
administrative costs, our calculation of these costs is an 
underestimation of DOD's likely total administrative costs. 

Figure 5: Services' Cost of Administering DOD's Homosexual Conduct 
Policy from Fiscal Years 2004 through 2009: 

[Refer to PDF for image: 4 pie-charts] 

Service: Air Force[A]; 
Administrative cost: 3% ($634,600); 
Combined replacement cost: 97% ($19,382,200). 

Service: Army; 
Administrative cost: 14% ($6,490,400); 
Recruiting cost: 23% ($10,502,300); 
Training cost: 64% ($28,901,200). 

Service: Marine Corps; 
Administrative cost: 3% ($580,100); 
Recruiting cost: 3% ($668,600); 
Training cost: 94% ($21,290,500). 

Service: Navy[B]; 
Recruiting cost: 13% ($14,056,900); 
Training cost: 87% ($90,813,700). 

Source: GAO analysis of military service and Office of the Secretary 
of Defense data. 

[A] The Air Force provided a single cost that included recruiting and 
training costs combined. 

[B] The Navy explained that it was not able to provide this 
information because changes in separation processes from fiscal years 
2004 through 2009 prevented Navy officials from providing an accurate 
administrative cost estimate in time for the data to be included in 
our analyses. 

[End of figure] 

Cost to Recruit and Train Replacements for Separations under the 
Policy from Fiscal Years 2004 through 2009: 

All of the services were able to provide data related to the cost to 
recruit and train servicemembers. Based on these data, we calculated 
that it cost DOD about $185.6 million in constant fiscal year 2009 
dollars to recruit and train replacements for the 3,664 servicemembers 
separated under the homosexual conduct policy from fiscal years 2004 
through 2009.[Footnote 20] Our calculation includes the cost to the 
services to recruit a new servicemember, provide him or her with basic 
training, and graduate the servicemember from initial skills training 
in the occupational specialty in which a servicemember had been 
separated. Our calculation of replacement costs concludes with the end 
of initial skills training because, according to each of the military 
services, this is the point in a servicemember's career at which he or 
she is considered minimally qualified to perform required tasks within 
a separated servicemember's occupational specialty. To the extent 
possible, we included variable recruiting and training costs in our 
calculations, such as recruiting bonuses and consumable supplies used 
by trainees, and excluded fixed costs, such as the cost of recruiting 
and training infrastructure or recruiter and instructor salaries. 
[Footnote 21] This approach was taken because there would likely be no 
significant increase in fixed costs when recruiting and training a 
relatively small number of replacement personnel. As shown in table 7, 
our calculations for the services' replacement costs amount to about 
$19.4 million for the Air Force, $39.4 million for the Army, $22.0 
million for the Marine Corps, and $104.9 million for the Navy. The 
Navy recruiting and training cost calculation is larger than the other 
services' calculations because according to Navy officials, the Navy 
recruiting and training cost data contain both fixed and variable 
costs. 

Table 7: Cost of Replacements for Servicemembers Separated under the 
Homosexual Conduct Policy from Fiscal Years 2004 through 2009: 

Fiscal year: 2004; 
Air Force[A]: $2.9 million; 
Army: $6.2 million; 
Marine Corps[B]: $2.7 million; 
Navy[C]: $20.1 million; 
Total: $31.9 million. 

Fiscal year: 2005; 
Air Force[A]: $3.0 million; 
Army: $7.4 million; 
Marine Corps[B]: $3.1 million; 
Navy[C]: $20.3 million; 
Total: $33.8 million. 

Fiscal year: 2006; 
Air Force[A]: $3.6 million; 
Army: $5.9 million; 
Marine Corps[B]: $3.3 million; 
Navy[C]: $19.0 million; 
Total: $31.8 million. 

Fiscal year: 2007; 
Air Force[A]: $3.7 million; 
Army: $7.1 million; 
Marine Corps[B]: $4.0 million; 
Navy[C]: $18.8 million; 
Total: $33.6 million. 

Fiscal year: 2008; 
Air Force[A]: $3.3 million; 
Army: $7.3 million; 
Marine Corps[B]: $5.1 million; 
Navy[C]: $17.3 million; 
Total: $33.0 million. 

Fiscal year: 2009; 
Air Force[A]: $2.8 million; 
Army: $5.5 million; 
Marine Corps[B]: $3.8 million; 
Navy[C]: $9.4 million; 
Total: $21.5 million. 

Fiscal year: Total[D]; 
Air Force[A]: $19.4 million; 
Army: $39.4 million; 
Marine Corps[B]: $22.0 million; 
Navy[C]: $104.9 million; 
Total: $185.6 million. 

Fiscal year: Number of separated servicemembers; 
Air Force[A]: 540; 
Army: 1,774; 
Marine Corps[B]: 437; 
Navy[C]: 913; 
Total: 3,664. 

Fiscal year: Percentage of total; 
Air Force[A]: 10%; 
Army: 21%; 
Marine Corps[B]: 12%; 
Navy[C]: 56%; 
Total: 100%. 

Source: GAO analysis of service data. 

Note: All figures are in constant fiscal year 2009 dollars. 

[A] While the Army, Marine Corps, and Navy were able to provide 
separate costs for recruiting and training, the Air Force provided an 
aggregated cost for recruiting and training that did not separate 
those costs. Using combined recruiting and training data from the Air 
Force, we calculated that over the 6-year period, the Air Force's 
replacement costs were about $19.4 million in constant fiscal year 
2009 dollars. 

[B] Marine Corps officials noted that their recruiting cost data 
consist of variable costs, while their training cost data consist of 
both fixed and variable costs. The Marine Corps tracks the total 
budget of training commands and individual courses but does not track 
individual cost elements of these totals. For this reason, Marine 
Corps officials were not able to determine the fixed and variable 
components of their training cost data. 

[C] According to service officials, the recruiting and training cost 
data provided by the Navy include both fixed and variable costs, while 
the recruiting and training cost data provided by the Air Force and 
Army consist of variable costs. 

[D] Totals may not equal sums of individual service costs because of 
rounding. 

[End of table] 

The services were able to provide data related to the cost to recruit 
replacement servicemembers. We calculated that from fiscal year 2004 
through 2009, it cost DOD about $25.2 million in constant fiscal year 
2009 dollars to recruit replacements for servicemembers separated 
under the homosexual conduct policy. This calculation represents about 
14 percent of the total calculated replacement cost associated with 
separating servicemembers under DOD's homosexual conduct policy. 
Recruiting costs include, but are not limited to, the costs associated 
with enlistment bonuses; recruit travel; and recruiting support, such 
as the processing of a recruit's paperwork. As shown in table 8, the 
Navy's cost to recruit replacements was the largest among the services 
because, according to Navy officials, the Navy included both fixed and 
variable costs in its recruiting estimates. According to Army and 
Marine Corps officials, the recruiting cost data provided by the Army 
and Marine Corps consist of variable costs. In addition, while the Air 
Force, Navy, and Marine Corps provided data on the cost of recruiting 
officers, the Army was not able to provide data on the cost of 
recruiting officers in time for the data to be included in our 
analyses. The Air Force could not provide disaggregated recruiting and 
training costs and instead provided a replacement cost estimate that 
combines variable recruiting and training costs. 

Table 8: Cost of Recruiting Replacements for Servicemembers Separated 
under the Homosexual Conduct Policy from Fiscal Years 2004 through 
2009: 

Fiscal year: 2004; 
Army: $1,455,700; 
Marine Corps[A]: $61,700; 
Navy: $2,736,400; 
Total: $4,253,800. 

Fiscal year: 2005; 
Army: $1,447,400; 
Marine Corps[A]: $77,300; 
Navy: $2,717,900; 
Total: $4,242,600. 

Fiscal year: 2006; 
Army: $1,415,200; 
Marine Corps[A]: $67,700; 
Navy: $2,547,900; 
Total: $4,030,800. 

Fiscal year: 2007; 
Army: $1,931,100; 
Marine Corps[A]: $64,500; 
Navy: $2,474,600; 
Total: $4,470,300. 

Fiscal year: 2008; 
Army: $2,213,500; 
Marine Corps[A]: $191,100; 
Navy: $2,344,200; 
Total: $4,748,800. 

Fiscal year: 2009; 
Army: $2,039,400; 
Marine Corps[A]: $206,300; 
Navy: $1,235,900; 
Total: $3,481,600. 

Fiscal year: Total[B]; 
Army: $10,502,300; 
Marine Corps[A]: $668,600; 
Navy: $14,056,900; 
Total: $25,227,800. 

Fiscal year: Number of separated servicemembers; 
Army: 1,774; 
Marine Corps[A]: 437; 
Navy: 913; 
Total: 3,124. 

Fiscal year: Percentage of total; 
Army: 42%; 
Marine Corps[A]: 3%; 
Navy: 56%; 
Total: 100%. 

Source: GAO analysis of service data. 

Note: All figures are in constant fiscal year 2009 dollars. 

[A] The Marine Corps classified enlistment bonuses and college funds 
as fixed costs, whereas the Army classified enlistment bonuses and 
college funds as variable costs. In our calculations, we consider 
enlistment bonuses and college funds to be variable costs for both 
services. 

[B] Totals may not equal sums of individual service costs because of 
rounding. 

[End of table] 

The services were able to provide data related to the cost to train 
replacement servicemembers through initial occupational training. We 
calculated that from fiscal year 2004 through 2009, it cost DOD about 
$141.0 million in constant fiscal year 2009 dollars to train 
replacements for servicemembers separated under the homosexual conduct 
policy. This calculation represents about 76 percent of the total 
calculated replacement cost associated with separating servicemembers 
under DOD's homosexual conduct policy. Costs associated with basic 
training and initial skills training include, but are not limited to, 
clothing and equipment, supplies, student travel, administration of 
courses of instruction, replacement servicemembers' salaries and 
benefits during training, and overhead costs associated with training 
centers. 

As shown in table 9, there is variation in the size of our 
calculations of the services' cost to train replacement 
servicemembers. For example, the Navy's cost to train replacements was 
the largest among the services because the Navy included both fixed 
and variable costs in its training estimates. Although the Marine 
Corps included fixed and variable costs in its training estimates, the 
Navy separated over twice as many servicemembers as the Marine Corps. 
Moreover, according to the Marine Corps, a significant proportion of 
its servicemembers' training is carried out by other services. 
However, the Marine Corps does not track the cost of training it 
receives from the other services and therefore could not provide us 
with comprehensive data on the cost to train Marine Corps personnel. 
Marine Corps officials explained that the other services that train 
Marine Corps servicemembers may contribute up to 60 percent of the 
total cost of training in the occupational specialties held by Marine 
Corps servicemembers separated under the policy from fiscal years 2004 
through 2009. As can be seen in table 9, the Air Force is not included 
because it could not provide disaggregated recruiting and training 
costs and instead provided a replacement cost estimate that combines 
variable recruiting and training costs. While the Army, Air Force, and 
Marine Corps provided data on the cost of training officers, we did 
not include the cost of training Navy officers because the Navy 
provided data that were not specific to the occupational specialties 
of the separated officers. In order to be consistent with our 
methodology of calculating training cost calculations that are 
specific to the occupational specialties of separated servicemembers, 
we did not include the incomplete Navy data. 

Table 9: Cost of Training Replacements for Servicemembers Separated 
under the Homosexual Conduct Policy from Fiscal Years 2004 through 
2009: 

Fiscal year: 2004; 
Army: $4.8 million; 
Marine Corps: $2.6 million; 
Navy: $17.3 million; 
Total: $24.8 million. 

Fiscal year: 2005; 
Army: $5.9 million; 
Marine Corps: $3.1 million; 
Navy: $17.6 million; 
Total: $26.5 million. 

Fiscal year: 2006; 
Army: $4.4 million; 
Marine Corps: $3.2 million; 
Navy: $16.5 million; 
Total: $24.1 million. 

Fiscal year: 2007; 
Army: $5.1 million; 
Marine Corps: $4.0 million; 
Navy: $16.3 million; 
Total: $25.4 million. 

Fiscal year: 2008; 
Army: $5.1 million; 
Marine Corps: $4.9 million; 
Navy: $15.0 million; 
Total: $25.0 million. 

Fiscal year: 2009; 
Army: $3.5 million; 
Marine Corps: $3.6 million; 
Navy: $8.1 million; 
Total: $15.2 million. 

Fiscal year: Total[A]; 
Army: $28.9 million; 
Marine Corps: $21.3 million; 
Navy: $90.8 million; 
Total: $141.0 million. 

Fiscal year: Number of separated servicemembers; 
Army: 1,774; 
Marine Corps: 437; 
Navy: 913; 
Total: 3,124. 

Fiscal year: Percentage of total; 
Army: 20; 
Marine Corps: 15; 
Navy: 64; 
Total: 100. 

Source: GAO analysis of service data. 

Notes: All figures are in constant fiscal year 2009 dollars. 

[A] Totals may not equal sums of individual service costs because of 
rounding. 

[End of table] 

To the extent that recruiting and training cost data provided by the 
services contain fixed costs, this would result in an overestimation 
of replacement costs. However, we were not able to determine the 
extent of the replacement cost overestimation. 

Administrative Costs Could Be Estimated from Data Provided by Three of 
the Services: 

The Air Force, Army, and Marine Corps were able to provide estimates 
on the administrative costs associated with separating servicemembers 
under DOD's homosexual conduct policy. The Navy explained that it was 
not able to provide this information because changes in separation 
processes from fiscal years 2004 through 2009 prevented Navy officials 
from providing an accurate administrative cost estimate in time for 
the data to be included in our analyses. Using the estimates of the 
Air Force, Army, and Marine Corps, we calculated that from fiscal 
years 2004 through 2009, it cost DOD about $7.7 million in constant 
fiscal year 2009 dollars to separate 2,751 servicemembers from the 
three services under DOD's homosexual conduct policy[Footnote 22]. As 
shown in table 10, our calculation of the services' administrative 
costs for implementing the homosexual conduct policy includes two 
types of costs: legal and nonlegal. Legal administrative costs 
amounted to about $2.5 million (33 percent) of the total 
administrative cost, while nonlegal administrative costs amounted to 
about $5.2 million (67 percent) of the total administrative cost. 

Table 10: Administrative Costs of Separating Servicemembers under the 
Homosexual Conduct Policy from Fiscal Years 2004 through 2009: 

Case category: Legal; 
Air Force: $228,500; 
Army[A]: $2,108,600; 
Marine Corps: $181,700; 
Total: $2,518,900. 

Case category: Nonlegal; 
Air Force: $406,100; 
Army[A]: $4,381,800; 
Marine Corps: $398,300; 
Total: $5,186,200. 

Case category: Total[B]; 
Air Force: $634,600; 
Army[A]: $6,490,400; 
Marine Corps: $580,100; 
Total: $7,705,100. 

Case category: Number of separated servicemembers; 
Air Force: 540; 
Army[A]: 1,774; 
Marine Corps: 437; 
Total: 2,751. 

Case category: Percentage of total; 
Air Force: 8%; 
Army[A]: 84%; 
Marine Corps: 8%; 
Total: 100%. 

Source: GAO analysis of service data. 

Note: All figures are in constant fiscal year 2009 dollars. 

[A] Administrative costs for the Army are larger because the Army 
identified a larger number of administrative processes for separating 
servicemembers under the homosexual conduct policy than the other two 
services. Because Army officials reported a greater number of tasks 
and more time processing cases, the Army's administrative costs are 
higher than those of the other two services. In addition, the Army 
separated more servicemembers than the other two services, which would 
result in a higher total administrative cost. 

[B] Totals may not equal sums of individual service costs because of 
rounding. 

[End of table] 

Legal administrative costs involve the costs associated with the 
services' review of homosexual conduct cases. According to the 
services, the legal costs include paralegal work, attorneys' 
counseling of servicemembers, and board hearings. With the exception 
of the Navy, the services were able to identify approximately 3,700 
cases associated with DOD's homosexual conduct policy from fiscal 
years 2004 through 2009. These cases include board cases (cases in 
which a service board and legal officials reviewed a case),[Footnote 
23] nonboard cases (cases in which legal officials reviewed a case, 
but it was not reviewed by a service board), and unsubstantiated cases 
(cases in which legal officials reviewed a case, but the case did not 
result in a separation).[Footnote 24] Table 11 shows the legal 
administrative costs by military service and types of cases for the 6-
year period. 

Table 11: Legal Administrative Cost of Separating Servicemembers under 
the Homosexual Conduct Policy from Fiscal Years 2004 through 2009: 

Type of case[A]: Board cases; 
Air Force: $30,500; 
Army[B]: $436,000; 
Marine Corps: $12,000; 
Total: $478,500. 

Type of case[A]: Nonboard cases; 
Air Force: $139,400; 
Army[B]: $1,469,600; 
Marine Corps: $111,100; 
Total: $1,720,100. 

Type of case[A]: Unsubstantiated cases; 
Air Force: $58,600; 
Army[B]: $203,100; 
Marine Corps: $58,600; 
Total: $320,300. 

Type of case[A]: Total[C]; 
Air Force: $228,500; 
Army[B]: $2,108,600; 
Marine Corps: $181,700; 
Total: $2,518,900. 

Type of case[A]: Number of separated servicemembers; 
Air Force: 540; 
Army[B]: 1,774; 
Marine Corps: 437; 
Total: 2,751. 

Type of case[A]: Percentage of total; 
Air Force: 9%; 
Army[B]: 84%; 
Marine Corps: 7%; 
Total: 100%. 

Source: GAO analysis of service data. 

Note: All figures are in constant fiscal year 2009 dollars. 

[A] According to the services, a total of 3,695 cases were considered 
from fiscal years 2004 through 2009. Of these, 121 were board cases, 
2,630 were nonboard cases, and 944 were unsubstantiated cases. 

[B] Administrative costs for the Army are larger because the Army 
identified a larger number of administrative processes for separating 
servicemembers under the homosexual conduct policy than the other two 
services. Because Army officials reported a greater number of tasks 
and more time processing cases, the Army's administrative costs are 
higher than those of the other two services. In addition, the Army 
separated more servicemembers than the other two services, which would 
result in a higher total administrative cost. 

[C] Totals may not equal sums of individual service costs because of 
rounding. 

[End of table] 

According to the services, the nonlegal costs include commanders' 
inquiries, pastoral counseling of servicemembers, and the processing 
of separation paperwork. As shown in table 12, these activities occur 
at successive levels of command within and outside of the 
servicemember's unit. 

Table 12: Nonlegal Administrative Cost of Separating Servicemembers 
under the Homosexual Conduct Policy from Fiscal Years 2004 through 
2009: 

Level of command: Company or flight; 
Air Force: $29,200; 
Army[A]: $711,400; 
Marine Corps[B]: $23,400; 
Total: $764,000. 

Level of command: Battalion or squadron, and above; 
Air Force: $119,900; 
Army[A]: $1,098,100; 
Marine Corps[B]: $374,900; 
Total: $1,592,900. 

Level of command: Outside of servicemember's direct chain of command; 
Air Force: $257,000; 
Army[A]: $2,572,300; 
Marine Corps[B]: No data; 
Total: $2,829,300. 

Level of command: Total; 
Air Force: $406,100; 
Army[A]: $4,381,800; 
Marine Corps[B]: $398,300; 
Total: $5,186,200. 

Level of command: Number of separated servicemembers[C]; 
Air Force: 540; 
Army[A]: 1,774; 
Marine Corps[B]: 437; 
Total: 2,751. 

Level of command: Percentage of total; 
Air Force: 8%; 
Army[A]: 84%; 
Marine Corps[B]: 8%; 
Total: 100%. 

Source: GAO analysis of service data. 

Note: All figures are in constant fiscal year 2009 dollars. 

[A] Administrative costs for the Army are larger because the Army 
identified a larger number of administrative processes for separating 
servicemembers under the homosexual conduct policy than the other two 
services. Because Army officials reported a greater number of tasks 
and more time processing cases, the Army's administrative costs are 
higher than those of the other two services. In addition, the Army 
separated more servicemembers than the other two services, which would 
result in a higher total administrative cost. 

[B] The Marine Corps did not report nonlegal administrative costs for 
activities that occurred outside a servicemember's chain of command. 

[C] According to the services, the number of nonlegal administrative 
reviews and the number of separations are the same. 

[End of table] 

Because the Navy was not able to provide data on administrative costs 
in time for the data to be included in our analyses, our calculation 
of these costs is an underestimation of DOD's likely total 
administrative costs. We were not able to determine the extent of the 
administrative cost underestimation. 

We provided a draft of this report to DOD for review and comment. DOD 
did not have any comments on the report. 

We are sending copies of this report to the appropriate congressional 
committees; the Secretary of Defense; the Secretaries of the Army, the 
Navy, and the Air Force; the Commandant of the Marine Corps; and the 
Director, Office of Management and Budget. The report also is 
available at no charge on the GAO Web site at [hyperlink, 
http://www.gao.gov]. 

If you or your staff have any questions about this report, please 
contact me at (202) 512-5257 or merrittz@gao.gov. Contact points for 
our Offices of Congressional Relations and Public Affairs may be found 
on the last page of this report. Key contributors to this report are 
listed in appendix V. 

Sincerely yours, 

Signed by: 

Zina D. Merritt: 
Acting Director: 
Defense Capabilities and Management: 

[End of section] 

Appendix I: Scope and Methodology: 

Scope: 

In conducting our review of the Department of Defense's (DOD) 
homosexual conduct policy, the scope of our work included active duty 
separations under the homosexual conduct policy across all of the 
service components--the Air Force, Army, Marine Corps, and Navy--for 
the period covering fiscal years 2004 through 2009. We also obtained 
the total number of Reserve and National Guard servicemembers 
separated under the policy during the same period of time.[Footnote 
25] However, we did not include Reserve and National Guard 
servicemembers in our analysis because according to the Defense 
Manpower Data Center (DMDC), DOD only collects data on separations for 
homosexual conduct for the active duty members of the Air Force, Army, 
Marine Corps, and Navy. According to an official with DMDC, the 
official tracking of separations for homosexual conduct began in 1997, 
at which time it was decided to include only active duty 
servicemembers. Data on servicemembers separated under DOD's 
homosexual conduct policy were obtained from DMDC and each of the 
military services and are current as of November 30, 2010. 

Methodology: 

To determine the extent to which servicemembers with skills in 
critical occupations were separated under DOD's homosexual conduct 
policy, we obtained data from DMDC on the occupational specialties 
held by the servicemembers separated under the policy from fiscal 
years 2004 through 2009. We interviewed officials from the Office of 
the Under Secretary of Defense for Personnel and Readiness and the 
offices within the services that are responsible for managing 
occupational specialties and administering bonus programs. Based on 
interviews, we and the services determined for the purposes of this 
report that an occupation was "critical" if a financial incentive was 
provided under any of the enlistment, reenlistment, or retention bonus 
programs under Department of Defense Instruction 1304.29.[Footnote 26] 
This instruction prescribes procedures with regard to Enlistment 
Bonuses (monetary incentives provided to individuals enlisting in a 
military service for a period of time and, if applicable, in a 
specific military skill experiencing critical shortages); Selective 
Reenlistment Bonuses[Footnote 27] (monetary incentives provided to 
individuals to maintain adequate numbers of enlisted personnel in 
critical skills needed to sustain the career force); Critical Skills 
Retention Bonuses (monetary incentives provided to individuals to 
maintain adequate numbers of officers or enlisted personnel with 
designated critical skills needed to sustain the career force); and 
Accession Bonuses for New Officers in Critical Skills (monetary 
incentives to individuals who accept commissions or appointments as an 
officer and serve on active duty in a military service in a skill the 
service has designated a critical officer skill). However, the Navy 
was not able to provide the information necessary to determine whether 
separated Navy servicemembers held occupations on the enlistment bonus 
lists because of the manner in which the Navy assigns occupational 
specialties to its recruits. Also, while the Navy does offer accession 
bonuses to new officers, Navy officials could not determine which 
bonuses were offered under Department of Defense Instruction 1304.29 
or during the fiscal years of our study. Thus, we could not include 
any Navy occupations that were eligible for Accession Bonuses for New 
Officers in Critical Skills. The reported number of separated Navy 
servicemembers who held skills in critical occupations would be an 
underestimation. While the Air Force was able to provide the 
occupational specialties eligible for enlistment bonuses from fiscal 
years 2006 through 2009, the Air Force was unable to provide the 
occupational specialties eligible for enlistment bonuses in fiscal 
years 2004 and 2005 because the Air Force's data were incomplete. 
Thus, the reported number of separated Air Force servicemembers who 
held skills in critical occupations would be underestimated. We used 
the Army's Top 25 Priority Occupations Lists in lieu of the Army's 
Enlistment Bonus lists because the Army noted that the occupations on 
the Top 25 Priority Occupations Lists better represent the Army's 
critical occupations for enlistment. We also included occupations 
found on additional lists that the services used to describe critical 
occupations for certain fiscal years during the period of our review, 
including the Air Force Stressed Career Fields List (fiscal years 2008 
and 2009), the Marine Top Ten Critical Occupations List (fiscal years 
2004 through 2009), and the list of occupations deemed critical under 
the Marine 202K Sustainment Plan (fiscal years 2007 through 2009). We 
then compared the occupations of the separated servicemembers to our 
lists of critical occupations, by fiscal year. To assess the number of 
servicemembers separated under DOD's homosexual conduct policy who 
held skills in intelligence-related critical occupations, we asked the 
services to analyze the critical occupations held by the 
servicemembers separated under the homosexual conduct policy and 
designate the critical occupations that the services deemed 
intelligence related. 

To determine the extent to which servicemembers with skills in 
important foreign languages were separated under DOD's homosexual 
conduct policy, we obtained data from DMDC on the foreign language 
information (i.e., foreign language, proficiency score, date of 
proficiency certification, and year of separation) of each enlisted 
servicemember and officer separated under the policy during the period 
of our review. We interviewed officials from the Office of the Under 
Secretary of Defense for Personnel and Readiness and the offices 
within the services that are responsible for determining foreign 
language requirements and administering bonus programs. Based on 
interviews, we and the services determined for the purposes of this 
report that a language was "important" if a financial incentive was 
provided under the Foreign Language Proficiency Bonus (FLPB) program. 
[Footnote 28] The FLPB provides a monetary incentive for the 
acquisition, maintenance, and enhancement of foreign language skills 
at or above proficiency levels required for occupational and 
functional performance. The FLPB is used to increase strategic 
language capability by (1) encouraging servicemembers with foreign 
language proficiency to self-identify and sustain proficiency; (2) 
providing servicemembers an incentive to acquire foreign language 
skills, improve foreign language skills, or both; (3) providing 
servicemembers whose military specialties require a foreign language 
with an incentive to expand their proficiency to other foreign 
languages and dialects; and (4) creating a cadre of language 
professionals operating at the highest levels of proficiency. To 
ensure that we considered the most comprehensive set of critical 
languages skills for each service, we also used additional lists that 
the services utilized to describe these language skills. Specifically, 
from fiscal year 2004 through fiscal year 2005, each of the services 
used its own specific list to determine which languages would qualify 
a servicemember to receive an FLPB. Subsequently, in January of fiscal 
year 2006, the Defense Language Office published its first annual 
Strategic Language List (SLL). In the SLL, DOD prioritizes languages 
for which (1) DOD has current and projected requirements, (2) training 
and testing will be provided, (3) incentives will be applied, and (4) 
other resources will be allocated. The SLL does not preclude the 
services from providing incentives for other languages for which they 
may have requirements. Therefore, from fiscal year 2006 through fiscal 
year 2009, each service created its own SLL based on both the DOD-wide 
SLL and the service's specific language capabilities and requirements. 
Since fiscal year 2006, the services have each used their own SLLs to 
determine the languages for which their servicemembers would receive 
FLPBs. To assess the number of servicemembers separated under DOD's 
homosexual conduct policy who held an important foreign language 
skill, we identified each servicemember with language skills, 
determined whether the languages qualified for FLPB in the year of the 
servicemember's separation, reviewed the servicemember's proficiency 
scores in those languages to determine whether the servicemember met 
the minimum requirements, and determined whether the servicemember's 
annual proficiency certification was within 12 months of separation. 

To calculate certain costs associated with administering DOD's 
homosexual conduct policy, we determined both the cost of recruiting 
and training through initial occupational training of the replacements 
of separated servicemembers and the services' administrative costs 
incurred when separating servicemembers under the policy. We 
determined that a replacement cost methodology is the most appropriate 
approach, and it allows us to produce the most accurate calculation 
based on the nature of the data provided by the services. The 
replacement cost methodology allows us to calculate the cost to the 
services to recruit a new servicemember, provide him or her with basic 
training, and graduate the servicemember from initial skills training 
in the occupational specialty in which a servicemember had been 
separated. Our calculation of replacement costs concludes with the end 
of initial skills training since, according to each of the military 
services, this is the point in a servicemember's career at which he or 
she is considered minimally qualified to perform required tasks within 
a separated servicemember's occupational specialty.[Footnote 29] 

To calculate the recruiting and training costs associated with 
replacing servicemembers separated under DOD's homosexual conduct 
policy, we collected recruiting and training cost data from the 
services. To the extent possible, we used variable costs and excluded 
fixed costs to calculate the services' costs to recruit and train 
replacements.[Footnote 30] Because the services do not use "fixed 
costs" and "variable costs" as categories in their recruiting and 
training budgets, we provided each service with a common set of 
criteria to define these terms and asked each service to determine the 
fixed and variable components of its cost data. Each of the services 
tracks and maintains data in different ways, which in some cases 
affected their ability to provide us with only variable costs. In 
regard to recruiting cost data, the Army and Marine Corps were able to 
provide data that according to officials consist of only variable 
costs.[Footnote 31] However, according to Navy officials, the Navy was 
not able to fully disaggregate fixed and variable costs, and so our 
Navy recruiting calculations include some fixed costs. The Army was 
not able to provide data on the cost of officer recruiting in time for 
the data to be included in our analyses. In regard to training cost 
data, the Navy and Marine Corps were not able to fully disaggregate 
fixed and variable costs. The Army and Air Force were able to provide 
training data, according to officials, that consist of only variable 
costs. To the extent that any data provided by the services contain 
fixed costs, this would result in an overestimation of calculated 
costs. However, we were not able to determine the exact extent of this 
overestimation. We reviewed the methodology and data used by the 
services to develop their cost estimate data for recruiting and 
training, and determined that they were reliable for our purposes of 
calculating replacement costs. 

* Recruiting costs: To calculate the recruiting costs associated with 
replacing servicemembers separated under DOD's homosexual conduct 
policy, we collected fiscal year data from the Army, Marine Corps, and 
Navy for the average cost to recruit active duty enlisted 
servicemembers and officers.[Footnote 32] We interviewed service 
officials who are knowledgeable about their services' recruiting costs 
and requested variable cost data for certain tasks involved in the 
recruiting of servicemembers. The services' recruiting costs include, 
but are not limited to, the costs associated with enlistment bonuses; 
recruit travel; and recruiting support, such as the processing of a 
recruit's paperwork. The Army provided data on the average variable 
cost to recruit one enlisted servicemember in each fiscal year but did 
not provide data on officer recruiting in time for the data to be 
included in our analyses. Marine Corps officials explained that the 
Marine Corps provided data on the average variable cost to recruit 
enlisted servicemembers, as well as the average variable cost to 
recruit officers in each fiscal year. According to Navy officials, the 
Navy was not able to fully disaggregate fixed and variable costs, and 
so our Navy recruiting calculations include some fixed costs. We 
multiplied each of these averages by the number of separated 
servicemembers for each service to calculate a fiscal year total. 
Finally, we converted these fiscal year totals to fiscal year 2009 
dollars and summed our calculations for each fiscal year within each 
service. These figures represent the total cost of recruiting 
replacements for separated servicemembers in the Army, Navy, and 
Marine Corps. The Air Force provided recruiting costs as part of an 
overall figure that includes both training and recruiting costs 
[Footnote 33]. Using these overall figures, we followed the same 
approach described above. 

* Training cost: These costs include compensation costs and other 
costs. 

- Compensation costs: Using service-specific training course lengths 
and DOD data on military compensation, we calculated the amount of pay 
and benefits received by replacement servicemembers during training. 
We interviewed service officials who are knowledgeable about their 
services' compensation procedures and requested data on the amounts of 
pay and benefits received by servicemembers. To calculate the cost of 
compensation for one enlisted servicemember or officer in the Army, 
Marine Corps, and Navy, we first multiplied fiscal year weekly 
compensation data provided by the services by the standard number of 
weeks spent in each service's basic training. The Navy provided fiscal 
year compensation data for the entire length of basic training. For 
occupational specialty training, we multiplied the weekly compensation 
rate by the length of initial skills training for each relevant 
occupation for all three of these services. To address occupations for 
which data on training length were not available, we used averages for 
the length of basic and initial skills training for that service's 
separated occupations in that fiscal year. Next, we converted all 
calculations into fiscal year 2009 dollars, and then summed our 
calculations for each fiscal year within each service. These figures 
represent the total compensation received during basic training and 
occupational specialty training for separated servicemembers in each 
service. The Air Force includes the value of pay and benefits provided 
to servicemembers in its overall recruiting and training cost estimate. 

- Other training costs: To calculate other training costs associated 
with replacing servicemembers separated under DOD's homosexual conduct 
policy, we collected fiscal year data from the Army, Marine Corps, 
[Footnote 34] and Navy for the costs to complete each service's basic 
training program and the initial skills training of the specific 
occupational specialties contained within each service's group of 
separated servicemembers.[Footnote 35] We interviewed service 
officials who are knowledgeable about their services' training 
procedures and requested cost data for the training of servicemembers. 
The costs associated with basic training and initial skills training 
include, but are not limited to, clothing and equipment, supplies, 
student travel, administration of courses of instruction, and overhead 
associated with training centers. We determined the length of each 
service's basic training and asked each service to provide the average 
variable cost for basic training in the fiscal year a servicemember 
was separated. We also asked the services to identify the average 
length of each initial skills course and provide the average variable 
cost for an individual servicemember to finish the initial skills 
training for each relevant occupational specialty. According to data 
provided by the services, the cost and length of training 
servicemembers in different occupational specialties can vary widely. 
By using training cost data that are specific to occupational 
specialties of the separated servicemembers, we produced the most 
accurate calculation possible, based on available data. To calculate 
the cost of training, we multiplied the average basic and occupational 
training costs by the number of servicemembers who held that 
occupation in the year of their separation. Based on our requests, the 
services supplied cost estimate data for the cost of basic training 
and of training for each relevant occupational specialty for which 
they had data. If there were occupations for which data were missing 
or unavailable, we calculated an overall average training cost for 
relevant occupations for the service and the fiscal year in which we 
were missing data. We then used that average as the training cost for 
the separated servicemembers, and followed the approach described 
above. Finally, we converted these fiscal year totals to fiscal year 
2009 dollars and summed our calculations for each fiscal year within 
each service. These figures represent the total cost of training 
replacements for separated servicemembers in each service. The Air 
Force provided variable training cost data as part of an overall 
figure that includes both training and recruiting costs. 

To calculate the administrative cost of carrying out separations, we 
asked the services to identify the legal and nonlegal processes 
associated with the separations process. According to the services, 
the legal processes may include paralegal work, attorneys' counseling 
of servicemembers, and board hearings. According to the services, the 
nonlegal costs may include commanders' inquiries, pastoral counseling 
of servicemembers, and the processing of separation paperwork. To 
collect information on the types of costs the services incur when 
separating servicemembers, we interviewed and gathered data from 
service officials who are knowledgeable about their services' 
separations procedures and requested cost data for certain tasks 
involved in the separation of servicemembers and on the personnel 
involved in carrying them out. Using these data and military pay 
rates, we calculated administrative costs. While the Air Force, Army, 
and Marine Corps provided us with this information, the Navy did not 
provide data on the legal and nonlegal processes associated with 
carrying out separations. Navy officials explained that changes in 
separation processes from fiscal years 2004 through 2009 prevented 
them from providing data on the personnel involved in carrying out key 
tasks in time for the data to be included in our analyses. Because the 
Navy did not provide data on administrative costs, our calculation of 
these costs is an underestimation of DOD's likely total administrative 
costs. For legal and nonlegal administrative costs, we asked the Air 
Force, Army, and Marine Corps to provide a list of the tasks carried 
out during separation of a servicemember under DOD's homosexual 
conduct policy, identify the positions of officials involved in 
carrying out these tasks, estimate the average amount of time required 
for each task, and identify the rank and years of service of the type 
of official who would typically carry out the task. With this 
information, we multiplied the time it typically takes to complete a 
task by the hourly pay rate of the official who typically performs the 
task, using the salary information from DOD's pay tables for fiscal 
year 2009, which are in fiscal year 2009 dollars. We repeated this 
type of calculation for each task on a service's list of tasks 
performed during a separation. Next, we summed the cost of each of 
these tasks to calculate a service's total per-case administrative 
cost of processing this type of separation. Finally, we multiplied 
this cost by the number of separated servicemembers in each fiscal 
year to calculate each service's total administrative cost of 
separating servicemembers under DOD's homosexual conduct policy. For 
legal administrative costs, we calculated these costs for the three 
different types of homosexual conduct cases that a service processes: 
board cases, nonboard cases, and unsubstantiated cases. For nonlegal 
administrative costs, we calculated costs for the three levels of 
command at which a service typically processes homosexual conduct 
separations: company or flight, battalion and above or squadron and 
above, and outside of the separated servicemember's chain of command. 
Finally, we summed each of the three service's costs to calculate per-
service totals for legal and nonlegal administrative costs over the 6-
year period of our study. The analyses in this report were current as 
of November 30, 2010. 

To calculate DOD's total cost to replace the 3,664 servicemembers 
separated under DOD's homosexual conduct policy, we summed the total 
recruiting and training costs from each service in order to calculate 
a single, DOD-wide calculation of the cost to recruit and train 
replacements for the servicemembers separated from fiscal year 2004 
through fiscal year 2009. We added this total to the administrative 
total to determine the overall total cost to DOD of implementing the 
homosexual conduct policy during this period. We were unable to 
determine the extent of the overestimation of replacement costs, the 
underestimation of the administrative costs, or the resulting net 
impact on our calculation of the overall total cost. 

We assessed the reliability of all data provided by DOD and the 
services for each of our objectives by (1) reviewing existing 
information about the data and the systems that produced them and (2) 
interviewing agency officials knowledgeable about the data to 
determine the steps taken to ensure the accuracy and completeness of 
the data. We assessed the reliability of DMDC's Active Duty Personnel 
Transaction Fiscal Year End DADT Files, Active Duty Personnel Master 
End Strength Fiscal Year End Files and Monthly Files, and Active Duty 
Language Fiscal Year End Files by (1) performing electronic testing of 
the required data elements, (2) reviewing existing information about 
the data and the system that produced them, and (3) interviewing 
agency officials knowledgeable about the data. In addition, we 
assessed the reliability of the services' cost data by (1) reviewing 
existing information about the data and the systems that produced them 
and (2) interviewing agency officials knowledgeable about the data. We 
determined that the data sets were sufficiently reliable for the 
purposes of presenting separations, personnel information for 
separated servicemembers, and costs associated with administering the 
homosexual conduct policy. 

We conducted this performance audit from January 2010 through January 
2011 in accordance with generally accepted government auditing 
standards. Those standards require that we plan and perform the audit 
to obtain sufficient, appropriate evidence to provide a reasonable 
basis for our findings and conclusions based on our audit objectives. 
We believe that the evidence obtained provides a reasonable basis for 
our findings and conclusions based on our audit objectives. 

[End of section] 

Appendix II: General Information on Separated Servicemembers: 

As shown in table 13, DOD separated a total of approximately 1.2 
million servicemembers for all reasons, including voluntary reasons, 
from fiscal years 2004 through 2009. Of the approximately 1.2 million 
servicemembers separated by the services, the services granted 
"honorable" separations to about 74 percent, "general" separations to 
about 6 percent, "under other than honorable" separations to about 5 
percent, "dishonorable dismissal" separations to less than 1 percent, 
"bad conduct" separations to about 1 percent, and "uncharacterized" 
separations to about 10 percent. About 4 percent of the separations 
were classified "unknown or not applicable."[Footnote 36] 

Table 13: Total Separations for All Reasons by Fiscal Year and Service 
from Fiscal Years 2004 through 2009: 

Fiscal year: 2004; 
Air Force: 39,222; 
Army: 88,477; 
Marine Corps: 31,886; 
Navy: 53,293; 
Total: 212,878. 

Fiscal year: 2005; 
Air Force: 45,951; 
Army: 84,907; 
Marine Corps: 32,354; 
Navy: 51,141; 
Total: 214,353. 

Fiscal year: 2006; 
Air Force: 40,421; 
Army: 69,609; 
Marine Corps: 34,750; 
Navy: 53,006; 
Total: 197,786. 

Fiscal year: 2007; 
Air Force: 47,668; 
Army: 72,452; 
Marine Corps: 34,557; 
Navy: 53,657; 
Total: 208,334. 

Fiscal year: 2008; 
Air Force: 35,981; 
Army: 70,750; 
Marine Corps: 30,405; 
Navy: 47,794; 
Total: 184,930. 

Fiscal year: 2009; 
Air Force: 31,086; 
Army: 71,984; 
Marine Corps: 30,647; 
Navy: 43,699; 
Total: 177,416. 

Fiscal year: Total; 
Air Force: 240,329; 
Army: 458,179; 
Marine Corps: 194,599; 
Navy: 302,590; 
Total: 1,195,697. 

Source: GAO analysis of DMDC and DOD data. 

[End of table] 

Tables 14 and 15 show separations for known reasons for enlisted 
servicemembers and officers, by number of separations and per fiscal 
year. 

Table 14: Separation Reasons for Enlisted Servicemembers from Fiscal 
Years 2004 through 2009: 

Separation reason: Expiration of term of service; 
FY 2004: 76,073; 
FY 2005: 75,502; 
FY 2006: 73,396; 
FY 2007: 74,794; 
FY 2008: 65,558; 
FY 2009: 61,975; 
Total: 427,298. 

Separation reason: Retirement - 20 to 30 years of service; 
FY 2004: 29,441; 
FY 2005: 29,674; 
FY 2006: 27,038; 
FY 2007: 26,530; 
FY 2008: 22,153; 
FY 2009: 20,941; 
Total: 155,777. 

Separation reason: Unqualified for active duty - other; 
FY 2004: 7,489; 
FY 2005: 6,999; 
FY 2006: 7,001; 
FY 2007: 7,562; 
FY 2008: 7,568; 
FY 2009: 9,413; 
Total: 46,032. 

Separation reason: Disability - severance pay; 
FY 2004: 6,895; 
FY 2005: 8,829; 
FY 2006: 7,485; 
FY 2007: 7,309; 
FY 2008: 6,685; 
FY 2009: 5,938; 
Total: 43,141. 

Separation reason: Drugs; 
FY 2004: 6,310; 
FY 2005: 6,425; 
FY 2006: 6,334; 
FY 2007: 5,823; 
FY 2008: 5,506; 
FY 2009: 6,073; 
Total: 36,471. 

Separation reason: Officer Commissioning Program; 
FY 2004: 4,016; 
FY 2005: 4,439; 
FY 2006: 4,871; 
FY 2007: 6,555; 
FY 2008: 7,358; 
FY 2009: 6,835; 
Total: 34,074. 

Separation reason: Commission of a serious offense; 
FY 2004: 3,285; 
FY 2005: 3,556; 
FY 2006: 3,774; 
FY 2007: 3,881; 
FY 2008: 3,792; 
FY 2009: 4,074; 
Total: 22,362. 

Separation reason: Entry-level performance/conduct - former trainee 
discharge; 
FY 2004: 5,807; 
FY 2005: 4,713; 
FY 2006: 2,103; 
FY 2007: 2,421; 
FY 2008: 2,885; 
FY 2009: 3,122; 
Total: 21,051. 

Separation reason: Failure to meet weight or body fat standards; 
FY 2004: 3,751; 
FY 2005: 3,418; 
FY 2006: 3,183; 
FY 2007: 4,074; 
FY 2008: 4,490; 
FY 2009: 2,597; 
Total: 21,513. 

Separation reason: Character or behavior disorder; 
FY 2004: 3,546; 
FY 2005: 3,689; 
FY 2006: 3,851; 
FY 2007: 4,125; 
FY 2008: 3,190; 
FY 2009: 2,083; 
Total: 20,484. 

Separation reason: Fraudulent entry; 
FY 2004: 3,501; 
FY 2005: 3,369; 
FY 2006: 3,776; 
FY 2007: 3,433; 
FY 2008: 3,150; 
FY 2009: 3,273; 
Total: 20,502. 

Separation reason: Discreditable incidents - civilian or military; 
FY 2004: 3,520; 
FY 2005: 3,401; 
FY 2006: 3,130; 
FY 2007: 3,322; 
FY 2008: 3,254; 
FY 2009: 3,535; 
Total: 20,162. 

Separation reason: Temporary disability retirement; 
FY 2004: 2,130; 
FY 2005: 2,586; 
FY 2006: 2,622; 
FY 2007: 2,967; 
FY 2008: 3,717; 
FY 2009: 5,250; 
Total: 19,272. 

Separation reason: Good of service (discharge lieu of court martial); 
FY 2004: 2,743; 
FY 2005: 2,812; 
FY 2006: 3,021; 
FY 2007: 3,602; 
FY 2008: 3,204; 
FY 2009: 2,948; 
Total: 18,330. 

Separation reason: Parenthood; 
FY 2004: 2,853; 
FY 2005: 2,993; 
FY 2006: 2,423; 
FY 2007: 2,718; 
FY 2008: 2,550; 
FY 2009: 2,012; 
Total: 15,549. 

Separation reason: Pregnancy; 
FY 2004: 2,637; 
FY 2005: 2,657; 
FY 2006: 2,473; 
FY 2007: 2,715; 
FY 2008: 2,332; 
FY 2009: 1,970; 
Total: 14,784. 

Separation reason: Erroneous enlistment or induction; 
FY 2004: 1,691; 
FY 2005: 1,488; 
FY 2006: 2,034; 
FY 2007: 2,565; 
FY 2008: 3,111; 
FY 2009: 1,999; 
Total: 12,888. 

Separation reason: Early release - to attend school; 
FY 2004: 2,140; 
FY 2005: 2,145; 
FY 2006: 2,211; 
FY 2007: 2,154; 
FY 2008: 1,767; 
FY 2009: 1,438; 
Total: 11,855. 

Separation reason: Court martial; 
FY 2004: 2,394; 
FY 2005: 2,401; 
FY 2006: 1,595; 
FY 2007: 2,416; 
FY 2008: 1,608; 
FY 2009: 1,328; 
Total: 11,742. 

Separation reason: Early release - other, including reduction in 
force, voluntary separation incentive, and special separation benefit; 
FY 2004: 2,183; 
FY 2005: 1,702; 
FY 2006: 1,930; 
FY 2007: 984; 
FY 2008: 613; 
FY 2009: 1,258; 
Total: 8,670. 

Separation reason: Early release - other, including interdepartmental 
and intradepartmental transfers; 
FY 2004: 1,817; 
FY 2005: 2,969; 
FY 2006: 693; 
FY 2007: 1,158; 
FY 2008: 951; 
FY 2009: 835; 
Total: 8,423. 

Separation reason: Pattern of minor disciplinary infractions; 
FY 2004: 1,248; 
FY 2005: 1,515; 
FY 2006: 1,384; 
FY 2007: 1,272; 
FY 2008: 1,016; 
FY 2009: 1,088; 
Total: 7,523. 

Separation reason: Absent without leave or desertion; 
FY 2004: 1,011; 
FY 2005: 948; 
FY 2006: 1,575; 
FY 2007: 1,571; 
FY 2008: 1,513; 
FY 2009: 647; 
Total: 7,265. 

Separation reason: Unsatisfactory performance (former expeditious 
discharge program); 
FY 2004: 1,471; 
FY 2005: 1,299; 
FY 2006: 801; 
FY 2007: 857; 
FY 2008: 801; 
FY 2009: 1,150; 
Total: 6,379. 

Separation reason: Retirement - over 30 years of service; 
FY 2004: 670; 
FY 2005: 888; 
FY 2006: 1,059; 
FY 2007: 1,143; 
FY 2008: 1,029; 
FY 2009: 1,037; 
Total: 5,826. 

Separation reason: Condition existing prior to service; 
FY 2004: 1,238; 
FY 2005: 1,232; 
FY 2006: 923; 
FY 2007: 1,008; 
FY 2008: 610; 
FY 2009: 456; 
Total: 5,467. 

Separation reason: Failure to meet minimum qualification for retention; 
FY 2004: 911; 
FY 2005: 990; 
FY 2006: 1,031; 
FY 2007: 856; 
FY 2008: 769; 
FY 2009: 775; 
Total: 5,332. 

Separation reason: Permanent disability retirement; 
FY 2004: 446; 
FY 2005: 537; 
FY 2006: 570; 
FY 2007: 822; 
FY 2008: 1,121; 
FY 2009: 1,653; 
Total: 5,149. 

Separation reason: Alcoholism; 
FY 2004: 887; 
FY 2005: 863; 
FY 2006: 786; 
FY 2007: 899; 
FY 2008: 780; 
FY 2009: 916; 
Total: 5,131. 

Separation reason: Dependency or hardship; 
FY 2004: 1,013; 
FY 2005: 933; 
FY 2006: 862; 
FY 2007: 924; 
FY 2008: 661; 
FY 2009: 453; 
Total: 4,846. 

Separation reason: Misconduct - reason unknown; 
FY 2004: 921; 
FY 2005: 921; 
FY 2006: 640; 
FY 2007: 468; 
FY 2008: 431; 
FY 2009: 405; 
Total: 3,786. 

Separation reason: Death - nonbattle (other); 
FY 2004: 650; 
FY 2005: 678; 
FY 2006: 630; 
FY 2007: 554; 
FY 2008: 674; 
FY 2009: 666; 
Total: 3,852. 

Separation reason: Homosexuality; 
FY 2004: 650; 
FY 2005: 709; 
FY 2006: 600; 
FY 2007: 616; 
FY 2008: 606; 
FY 2009: 418; 
Total: 3,599. 

Separation reason: Death - battle casualty; 
FY 2004: 386; 
FY 2005: 401; 
FY 2006: 525; 
FY 2007: 860; 
FY 2008: 309; 
FY 2009: 212; 
Total: 2,693. 

Separation reason: Military Service Academy; 
FY 2004: 435; 
FY 2005: 404; 
FY 2006: 435; 
FY 2007: 410; 
FY 2008: 405; 
FY 2009: 435; 
Total: 2,524. 

Separation reason: Civil court conviction; 
FY 2004: 221; 
FY 2005: 269; 
FY 2006: 244; 
FY 2007: 247; 
FY 2008: 229; 
FY 2009: 283; 
Total: 1,493. 

Separation reason: Breach of contract; 
FY 2004: 187; 
FY 2005: 138; 
FY 2006: 142; 
FY 2007: 112; 
FY 2008: 115; 
FY 2009: 89; 
Total: 783. 

Separation reason: Death - cause not specified; 
FY 2004: 72; 
FY 2005: 106; 
FY 2006: 104; 
FY 2007: 119; 
FY 2008: 98; 
FY 2009: 79; 
Total: 578. 

Separation reason: Disability - no condition existing prior service 
severance pay; 
FY 2004: 177; 
FY 2005: 141; 
FY 2006: 96; 
FY 2007: 26; 
FY 2008: 38; 
FY 2009: 22; 
Total: 500. 

Separation reason: Sexual perversion; 
FY 2004: 81; 
FY 2005: 99; 
FY 2006: 101; 
FY 2007: 82; 
FY 2008: 59; 
FY 2009: 61; 
Total: 483. 

Separation reason: Early release - insufficient retainability; 
FY 2004: 28; 
FY 2005: 77; 
FY 2006: 76; 
FY 2007: 106; 
FY 2008: 56; 
FY 2009: 12; 
Total: 355. 

Separation reason: Retirement - other; 
FY 2004: 53; 
FY 2005: 29; 
FY 2006: 25; 
FY 2007: 30; 
FY 2008: 59; 
FY 2009: 96; 
Total: 292. 

Separation reason: Secretarial authority; 
FY 2004: 51; 
FY 2005: 77; 
FY 2006: 38; 
FY 2007: 38; 
FY 2008: 38; 
FY 2009: 24; 
Total: 266. 

Separation reason: Death - nonbattle (disease); 
FY 2004: 27; 
FY 2005: 23; 
FY 2006: 26; 
FY 2007: 38; 
FY 2008: 48; 
FY 2009: 40; 
Total: 202. 

Separation reason: Conscientious objector; 
FY 2004: 27; 
FY 2005: 33; 
FY 2006: 42; 
FY 2007: 21; 
FY 2008: 29; 
FY 2009: 23; 
Total: 175. 

Separation reason: Sole surviving family member; 
FY 2004: 6; 
FY 2005: 9; 
FY 2006: 6; 
FY 2007: 12; 
FY 2008: 8; 
FY 2009: 7; 
Total: 48. 

Separation reason: Security; 
FY 2004: 3; 
FY 2005: 13; 
FY 2006: 4; 
FY 2007: 6; 
FY 2008: 6; 
FY 2009: 10; 
Total: 42. 

Separation reason: Juvenile offender; 
FY 2004: 0; 
FY 2005: 0; 
FY 2006: 0; 
FY 2007: 8; 
FY 2008: 0; 
FY 2009: 0; 
Total: 8. 

Separation reason: Minority (underage); 
FY 2004: 3; 
FY 2005: 0; 
FY 2006: 2; 
FY 2007: 2; 
FY 2008: 0; 
FY 2009: 1; 
Total: 8. 

Separation reason: Unfitness - reason unknown; 
FY 2004: 4; 
FY 2005: 2; 
FY 2006: 0; 
FY 2007: 0; 
FY 2008: 0; 
FY 2009: 0; 
Total: 6. 

Separation reason: Unsuitability - reason unknown; 
FY 2004: 0; 
FY 2005: 0; 
FY 2006: 0; 
FY 2007: 5; 
FY 2008: 0; 
FY 2009: 0; 
Total: 5. 

Separation reason: Total; 
FY 2004: 187,099; 
FY 2005: 189,101; 
FY 2006: 177,671; 
FY 2007: 184,220; 
FY 2008: 166,950; 
FY 2009: 159,955; 
Total: 1,064,996. 

Source: GAO analysis of DMDC and DOD data. 

[End of table] 

Table 15: Separation Reasons for Officers from Fiscal Years 2004 
through 2009: 

Separation reason: Retirement - 20 to 30 years of service; 
FY 2004: 7,612; 
FY 2005: 8,265; 
FY 2006: 7,583; 
FY 2007: 7,867; 
FY 2008: 6,993; 
FY 2009: 6,709; 
Total: 45,029. 

Separation reason: Expiration of term of service; 
FY 2004: 6,322; 
FY 2005: 6,260; 
FY 2006: 5,085; 
FY 2007: 4,901; 
FY 2008: 3,643; 
FY 2009: 3,256; 
Total: 29,467. 

Separation reason: Voluntary release - other, including voluntary 
separation incentive and special separation benefit; 
FY 2004: 1,712; 
FY 2005: 2,540; 
FY 2006: 3,271; 
FY 2007: 6,903; 
FY 2008: 3,999; 
FY 2009: 3,079; 
Total: 21,504. 

Separation reason: Retirement - over 30 years of service; 
FY 2004: 538; 
FY 2005: 566; 
FY 2006: 718; 
FY 2007: 862; 
FY 2008: 746; 
FY 2009: 753; 
Total: 4,183. 

Separation reason: Failure of selection of promotion; 
FY 2004: 357; 
FY 2005: 301; 
FY 2006: 406; 
FY 2007: 276; 
FY 2008: 240; 
FY 2009: 294; 
Total: 1,874. 

Separation reason: Secretarial authority; 
FY 2004: 551; 
FY 2005: 307; 
FY 2006: 199; 
FY 2007: 42; 
FY 2008: 26; 
FY 2009: 142; 
Total: 1,267. 

Separation reason: Temporary disability retirement; 
FY 2004: 158; 
FY 2005: 192; 
FY 2006: 191; 
FY 2007: 216; 
FY 2008: 185; 
FY 2009: 266; 
Total: 1,208. 

Separation reason: Unfitness or unacceptable conduct - other; 
FY 2004: 147; 
FY 2005: 188; 
FY 2006: 185; 
FY 2007: 234; 
FY 2008: 173; 
FY 2009: 181; 
Total: 1,108. 

Separation reason: Retirement - other; 
FY 2004: 126; 
FY 2005: 128; 
FY 2006: 205; 
FY 2007: 218; 
FY 2008: 175; 
FY 2009: 212; 
Total: 1,064. 

Separation reason: Disability - severance pay; 
FY 2004: 187; 
FY 2005: 252; 
FY 2006: 179; 
FY 2007: 178; 
FY 2008: 141; 
FY 2009: 98; 
Total: 1,035. 

Separation reason: Involuntary release - other; 
FY 2004: 43; 
FY 2005: 34; 
FY 2006: 650; 
FY 2007: 74; 
FY 2008: 2; 
FY 2009: 3; 
Total: 806. 

Separation reason: Permanent disability retirement; 
FY 2004: 77; 
FY 2005: 85; 
FY 2006: 87; 
FY 2007: 114; 
FY 2008: 118; 
FY 2009: 148; 
Total: 629. 

Separation reason: Failure of course of instruction; 
FY 2004: 69; 
FY 2005: 106; 
FY 2006: 87; 
FY 2007: 15; 
FY 2008: 27; 
FY 2009: 37; 
Total: 341. 

Separation reason: Commission of a serious offense; 
FY 2004: 72; 
FY 2005: 33; 
FY 2006: 64; 
FY 2007: 58; 
FY 2008: 36; 
FY 2009: 26; 
Total: 289. 

Separation reason: Retirement - failure of selection for promotion; 
FY 2004: 48; 
FY 2005: 62; 
FY 2006: 56; 
FY 2007: 42; 
FY 2008: 50; 
FY 2009: 29; 
Total: 287. 

Separation reason: Death - battle casualty; 
FY 2004: 59; 
FY 2005: 45; 
FY 2006: 39; 
FY 2007: 72; 
FY 2008: 42; 
FY 2009: 29; 
Total: 286. 

Separation reason: Death - cause not specified; 
FY 2004: 35; 
FY 2005: 53; 
FY 2006: 47; 
FY 2007: 45; 
FY 2008: 39; 
FY 2009: 43; 
Total: 262. 

Separation reason: Death - nonbattle, other; 
FY 2004: 47; 
FY 2005: 49; 
FY 2006: 40; 
FY 2007: 45; 
FY 2008: 26; 
FY 2009: 42; 
Total: 249. 

Separation reason: Motivational problems (apathy); 
FY 2004: 41; 
FY 2005: 31; 
FY 2006: 32; 
FY 2007: 37; 
FY 2008: 44; 
FY 2009: 41; 
Total: 226. 

Separation reason: Condition existing prior to service; 
FY 2004: 50; 
FY 2005: 62; 
FY 2006: 39; 
FY 2007: 36; 
FY 2008: 21; 
FY 2009: 11; 
Total: 219. 

Separation reason: Pregnancy; 
FY 2004: 54; 
FY 2005: 49; 
FY 2006: 36; 
FY 2007: 24; 
FY 2008: 24; 
FY 2009: 7; 
Total: 194. 

Separation reason: Court martial; 
FY 2004: 24; 
FY 2005: 36; 
FY 2006: 31; 
FY 2007: 31; 
FY 2008: 37; 
FY 2009: 25; 
Total: 184. 

Separation reason: Character or behavior disorder; 
FY 2004: 23; 
FY 2005: 21; 
FY 2006: 13; 
FY 2007: 26; 
FY 2008: 23; 
FY 2009: 13; 
Total: 119. 

Separation reason: Voluntary release - attend school or teach; 
FY 2004: 16; 
FY 2005: 19; 
FY 2006: 23; 
FY 2007: 18; 
FY 2008: 21; 
FY 2009: 19; 
Total: 116. 

Separation reason: Unqualified for active duty - other; 
FY 2004: 13; 
FY 2005: 13; 
FY 2006: 4; 
FY 2007: 20; 
FY 2008: 22; 
FY 2009: 12; 
Total: 84. 

Separation reason: Homosexuality; 
FY 2004: 3; 
FY 2005: 16; 
FY 2006: 12; 
FY 2007: 11; 
FY 2008: 13; 
FY 2009: 10; 
Total: 65. 

Separation reason: Death - nonbattle, disease; 
FY 2004: 11; 
FY 2005: 11; 
FY 2006: 8; 
FY 2007: 10; 
FY 2008: 9; 
FY 2009: 11; 
Total: 60. 

Separation reason: Dependency or hardship; 
FY 2004: 4; 
FY 2005: 12; 
FY 2006: 15; 
FY 2007: 6; 
FY 2008: 6; 
FY 2009: 3; 
Total: 46. 

Separation reason: Drugs; 
FY 2004: 12; 
FY 2005: 9; 
FY 2006: 3; 
FY 2007: 3; 
FY 2008: 4; 
FY 2009: 4; 
Total: 35. 

Separation reason: Involuntary release - maximum age or service; 
FY 2004: 12; 
FY 2005: 11; 
FY 2006: 7; 
FY 2007: 1; 
FY 2008: 1; 
FY 2009: 0; 
Total: 32. 

Separation reason: Alcoholism; 
FY 2004: 5; 
FY 2005: 4; 
FY 2006: 2; 
FY 2007: 10; 
FY 2008: 2; 
FY 2009: 2; 
Total: 25. 

Separation reason: Parenthood; 
FY 2004: 4; 
FY 2005: 3; 
FY 2006: 2; 
FY 2007: 6; 
FY 2008: 3; 
FY 2009: 2; 
Total: 20. 

Separation reason: Sexual perversion; 
FY 2004: 7; 
FY 2005: 3; 
FY 2006: 4; 
FY 2007: 2; 
FY 2008: 2; 
FY 2009: 1; 
Total: 19. 

Separation reason: Conscientious objector; 
FY 2004: 2; 
FY 2005: 6; 
FY 2006: 2; 
FY 2007: 0; 
FY 2008: 4; 
FY 2009: 3; 
Total: 17. 

Separation reason: Fraudulent entry; 
FY 2004: 0; 
FY 2005: 2; 
FY 2006: 4; 
FY 2007: 1; 
FY 2008: 3; 
FY 2009: 4; 
Total: 14. 

Separation reason: Civil court conviction; 
FY 2004: 1; 
FY 2005: 4; 
FY 2006: 0; 
FY 2007: 1; 
FY 2008: 2; 
FY 2009: 4; 
Total: 12. 

Separation reason: Failure to meet weight or body fat standards; 
FY 2004: 4; 
FY 2005: 0; 
FY 2006: 2; 
FY 2007: 0; 
FY 2008: 1; 
FY 2009: 5; 
Total: 12. 

Separation reason: Discreditable incidents - civilian or military; 
FY 2004: 1; 
FY 2005: 5; 
FY 2006: 2; 
FY 2007: 2; 
FY 2008: 1; 
FY 2009: 0; 
Total: 11. 

Separation reason: Security; 
FY 2004: 0; 
FY 2005: 2; 
FY 2006: 0; 
FY 2007: 2; 
FY 2008: 3; 
FY 2009: 0; 
Total: 7. 

Separation reason: Failure to meet minimum retention requirement; 
FY 2004: 4; 
FY 2005: 0; 
FY 2006: 1; 
FY 2007: 0; 
FY 2008: 0; 
FY 2009: 0; 
Total: 5. 

Separation reason: Good of service (discharge in lieu of court 
martial); 
FY 2004: 2; 
FY 2005: 3; 
FY 2006: 0; 
FY 2007: 0; 
FY 2008: 0; 
FY 2009: 0; 
Total: 5. 

Separation reason: Pattern of minor disciplinary infractions; 
FY 2004: 1; 
FY 2005: 0; 
FY 2006: 2; 
FY 2007: 1; 
FY 2008: 0; 
FY 2009: 0; 
Total: 4. 

Separation reason: Voluntary release - in the national interest; 
FY 2004: 0; 
FY 2005: 0; 
FY 2006: 0; 
FY 2007: 1; 
FY 2008: 0; 
FY 2009: 0; 
Total: 1. 

Separation reason: Involuntary release - temporary officer reverts to 
enlisted status; 
FY 2004: 0; 
FY 2005: 0; 
FY 2006: 0; 
FY 2007: 1; 
FY 2008: 0; 
FY 2009: 0; 
Total: 1. 

Separation reason: Total; 
FY 2004: 18,454; 
FY 2005: 19,788; 
FY 2006: 19,336; 
FY 2007: 22,412; 
FY 2008: 16,907; 
FY 2009: 15,524; 
Total: 112,421. 

Source: GAO analysis of DMDC and DOD data. 

[End of table] 

[End of section] 

Appendix III: Data on Reserve and National Guard Servicemembers 
Separated under the Homosexual Conduct Policy: 

According to our analysis of DMDC data, 577 Reserve and National Guard 
servicemembers were separated under the homosexual conduct policy from 
fiscal years 2004 through 2009.[Footnote 37] (See table 16.) The 
Reserve and National Guard separations represent about 14 percent of 
the total population of active, reserve, and guard servicemembers 
separated under the homosexual conduct policy. 

Table 16: Separations of Reserve and National Guard Servicemembers for 
Homosexual Conduct, by Fiscal Year and Military Service, from Fiscal 
Years 2004 through 2009: 

Fiscal year: 2004; 
Air National Guard[A]: N/A; 
Air Force Reserve: 4; 
Army National Guard: 49; 
Army Reserve: 26; 
Marine Corps Reserve: 3; 
Navy Reserve: 5; 
Total: 87. 

Fiscal year: 2005; 
Air National Guard[A]: N/A; 
Air Force Reserve: 7; 
Army National Guard: 50; 
Army Reserve: 30; 
Marine Corps Reserve: 13; 
Navy Reserve: 4; 
Total: 104. 

Fiscal year: 2006; 
Air National Guard[A]: N/A; 
Air Force Reserve: 2; 
Army National Guard: 40; 
Army Reserve: 27; 
Marine Corps Reserve: 6; 
Navy Reserve: 4; 
Total: 79. 

Fiscal year: 2007; 
Air National Guard[A]: N/A; 
Air Force Reserve: 3; 
Army National Guard: 58; 
Army Reserve: 33; 
Marine Corps Reserve: 15; 
Navy Reserve: 4; 
Total: 113. 

Fiscal year: 2008; 
Air National Guard[A]: 3; 
Air Force Reserve: 5; 
Army National Guard: 71; 
Army Reserve: 23; 
Marine Corps Reserve: 12; 
Navy Reserve: 4; 
Total: 118. 

Fiscal year: 2009; 
Air National Guard[A]: 0; 
Air Force Reserve: 2; 
Army National Guard: 52; 
Army Reserve: 15; 
Marine Corps Reserve: 7; 
Navy Reserve: 0; 
Total: 76. 

Fiscal year: Total; 
Air National Guard[A]: 3; 
Air Force Reserve: 23; 
Army National Guard: 320; 
Army Reserve: 154; 
Marine Corps Reserve: 56; 
Navy Reserve: 21; 
Total: 577. 

Fiscal year: Percentage of total[B]; 
Air National Guard[A]: 1; 
Air Force Reserve: 4; 
Army National Guard: 55; 
Army Reserve: 27; 
Marine Corps Reserve: 10; 
Navy Reserve: 4; 
Total: 100. 

Source: GAO analysis of DMDC, Reserve, and Guard data. 

[A] This information is not available (N/A) because according to 
officials in the Air National Guard, the Air National Guard was only 
able to account for separated servicemembers from October 2007 to the 
present because of the method used by the Air National Guard to 
document discharges. 

[B] Total may not equal 100 percent because of rounding. 

[End of table] 

[End of section] 

Appendix IV: Information on Critical Occupations and Important Foreign 
Languages for Servicemembers Separated under DOD's Homosexual Conduct 
Policy: 

Most Common Occupations Held by Servicemembers: 

Table 17 lists the most common occupations held by separated 
servicemembers, by service, from fiscal years 2004 through 2009. 

Table 17: Most Common Critical Occupations Held by Separated 
Servicemembers, by Service, from Fiscal Years 2004 through 2009: 

Service: Air Force: 

Critical occupations: Security forces; 
Number of servicemembers: 32. 

Critical occupations: Air traffic control; 
Number of servicemembers: 8. 

Critical occupations: Airborne cryptologic language analyst; 
Number of servicemembers: 6. 

Critical occupations: Operations intelligence; 
Number of servicemembers: 5. 

Critical occupations: Mideast crypto linguist; 
Number of servicemembers: 3. 

Critical occupations: Communication-computer systems operations; 
Number of servicemembers: 3. 

Critical occupations: Far East crypto linguist; 
Number of servicemembers: 2. 

Critical occupations: Aircraft armament systems; 
Number of servicemembers: 2. 

Critical occupations: Communications and information; 
Number of servicemembers: 2. 

Critical occupations: Clinical nurse; 
Number of servicemembers: 2. 

Service: Army: 

Critical occupations: Infantryman; 
Number of servicemembers: 190. 

Critical occupations: Military police; 
Number of servicemembers: 120. 

Critical occupations: Motor transport operator; 
Number of servicemembers: 114. 

Critical occupations: Mental health specialist; 
Number of servicemembers: 69. 

Critical occupations: Food service specialist; 
Number of servicemembers: 68. 

Critical occupations: Health care specialist; 
Number of servicemembers: 59. 

Critical occupations: Unit supply specialist; 
Number of servicemembers: 51. 

Critical occupations: Chemical, biological, radiological, nuclear 
specialist; 
Number of servicemembers: 34. 

Critical occupations: Petroleum supply specialist; 
Number of servicemembers: 32. 

Critical occupations: Signal support systems specialist; 
Number of servicemembers: 32. 

Service: Marine Corps: 

Critical occupations: Administrative clerk; 
Number of servicemembers: 9. 

Critical occupations: Rifleman; 
Number of servicemembers: 8. 

Critical occupations: Personnel clerk; 
Number of servicemembers: 6. 

Critical occupations: Motor vehicle operator; 
Number of servicemembers: 5. 

Critical occupations: Field radio operator; 
Number of servicemembers: 4. 

Critical occupations: Tactical network specialist; 
Number of servicemembers: 4. 

Critical occupations: Telephone system/personal computer intermediate 
repairer; 
Number of servicemembers: 4. 

Critical occupations: Military police; 
Number of servicemembers: 4. 

Critical occupations: Food service specialist; 
Number of servicemembers: 3. 

Critical occupations: Legal service specialist; 
Number of servicemembers: 3. 

Service: Navy: 

Critical occupations: Nuclear field (electronics technician, 
machinist's mate, electrician's mate); 
Number of servicemembers: 36. 

Critical occupations: Master-at-arms; 
Number of servicemembers: 21. 

Critical occupations: Operational specialist; 
Number of servicemembers: 15. 

Critical occupations: Information systems technician; 
Number of servicemembers: 12. 

Critical occupations: Fire controlman; 
Number of servicemembers: 7. 

Critical occupations: Hospital corpsman; 
Number of servicemembers: 5. 

Critical occupations: Gunner's mate; 
Number of servicemembers: 4. 

Critical occupations: Air traffic controller; 
Number of servicemembers: 3. 

Critical occupations: Cryptologic technician interpretive; 
Number of servicemembers: 3. 

Critical occupations: Aviation ordinanceman; 
Number of servicemembers: 2. 

Critical occupations: Cryptologic technician technical; 
Number of servicemembers: 2. 

Critical occupations: Sonar technician surface; 
Number of servicemembers: 2. 

Critical occupations: Surface warfare officer; 
Number of servicemembers: 2. 

Source: GAO analysis of DMDC and service data. 

[End of table] 

Lengths of Service of Separated Servicemembers Who Held Skills in 
Critical Occupations: 

Approximately 472 servicemembers (33 percent) separated under the 
homosexual conduct policy who held skills in critical occupations were 
separated after 2 years or more of service, as shown in table 18. 

Table 18: Lengths of Service of Servicemembers Separated under the 
Homosexual Conduct Policy Who Held Skills in Critical Occupations from 
Fiscal Years 2004 through 2009: 

Number of servicemembers: 

Length of service: Less than 3 months; 
Air Force: 0; 
Army: 288; 
Marine Corps: 0; 
Navy: 0; 
Total: 288. 

Length of service: Within 3 to 6 months; 
Air Force: 4; 
Army: 138; 
Marine Corps: 0; 
Navy: 3; 
Total: 145. 

Length of service: Within 6 months to 1 year; 
Air Force: 25; 
Army: 192; 
Marine Corps: 9; 
Navy: 22; 
Total: 248. 

Length of service: Within 1 to 2 years; 
Air Force: 27; 
Army: 198; 
Marine Corps: 27; 
Navy: 37; 
Total: 289. 

Length of service: Two years or more; 
Air Force: 45; 
Army: 322; 
Marine Corps: 48; 
Navy: 57; 
Total: 472. 

Number of servicemembers: Total; 
Air Force: 101; 
Army: 1,138; 
Marine Corps: 84; 
Navy: 119; 
Total: 1,442. 

Number of servicemembers: Percentage of total: 
Air Force: 7%; 
Army: 79%; 
Marine Corps: 6%; 
Navy: 8%; 
Total: 100%. 

Percentage of servicemembers[A]: 

Length of service: Less than 3 months; 
Air Force: 0%; 
Army: 25%; 
Marine Corps: 0%; 
Navy: 0%; 
Total: 20%. 

Length of service: Within 3 to 6 months; 
Air Force: 4%; 
Army: 12%; 
Marine Corps: 0%; 
Navy: 3%; 
Total: 10%. 

Length of service: Within 6 months to 1 year; 
Air Force: 25%; 
Army: 17%; 
Marine Corps: 11%; 
Navy: 18%; 
Total: 17%. 

Length of service: Within 1 to 2 years; 
Air Force: 27%; 
Army: 17%; 
Marine Corps: 32%; 
Navy: 31%; 
Total: 20%. 

Length of service: Two years or more; 
Air Force: 45%; 
Army: 28%; 
Marine Corps: 57%; 
Navy: 48%; 
Total: 33%. 

Percentage of servicemembers[A]: Total; 
Air Force: 100%; 
Army: 100%; 
Marine Corps: 100%; 
Navy: 100%; 
Total: 100%. 

Source: GAO analysis of DMDC data. 

[A] Percentages may not equal 100 because of rounding. 

[End of table] 

Lengths of Service of Separated Servicemembers Who Held Skills in 
Important Foreign Languages: 

Approximately 11 servicemembers (48 percent) separated under the 
homosexual conduct policy who held skills in important foreign 
languages were separated after 2 years or more of service, as shown in 
table 19. 

Table 19: Lengths of Service of Servicemembers Who Held Skills in 
Important Foreign Languages from Fiscal Years 2004 through 2009: 

Number of servicemembers: 

Length of service: Less than 3 months; 
Air Force: 0; 
Army: 0; 
Marine Corps: 0; 
Navy: 0; 
Total: 0. 

Length of service: Within 3 to 6 months; 
Air Force: 0; 
Army: 0; 
Marine Corps: 1; 
Navy: 1; 
Total: 2. 

Length of service: Within 6 months to 1 year; 
Air Force: 0; 
Army: 0; 
Marine Corps: 1; 
Navy: 5; 
Total: 6. 

Length of service: Within 1 to 2 years; 
Air Force: 0; 
Army: 2; 
Marine Corps: 0; 
Navy: 2; 
Total: 4. 

Length of service: Two years or more; 
Air Force: 1; 
Army: 5; 
Marine Corps: 0; 
Navy: 5; 
Total: 11. 

Number of servicemembers: Total; 
Air Force: 1; 
Army: 7; 
Marine Corps: 2; 
Navy: 13; 
Total: 23. 

Number of servicemembers: Percentage of total; 
Air Force: 4%; 
Army: 30%; 
Marine Corps: 9%; 
Navy: 57%; 
Total: 100%. 

Percentage of servicemembers[A]: 

Length of service: Less than 3 months; 
Air Force: 0%; 
Army: 0%; 
Marine Corps: 0%; 
Navy: 0%; 
Total: 0%. 

Length of service: Within 3 to 6 months; 
Air Force: 0%; 
Army: 0%; 
Marine Corps: 50%; 
Navy: 8%; 
Total: 9%. 

Length of service: Within 6 months to 1 year; 
Air Force: 0%; 
Army: 0%; 
Marine Corps: 50%; 
Navy: 38%; 
Total: 26%. 

Length of service: Within 1 to 2 years; 
Air Force: 0%; 
Army: 29%; 
Marine Corps: 0%; 
Navy: 15%; 
Total: 17%. 

Length of service: Two years or more; 
Air Force: 100%; 
Army: 71%; 
Marine Corps: 0%; 
Navy: 38%; 
Total: 48%. 

Percentage of servicemembers[A]: Total; 
Air Force: 100%; 
Army: 100%; 
Marine Corps: 100%; 
Navy: 100%; 
Total: 100%. 

Source: GAO analysis of DMDC data. 

[A] Percentages may not equal 100 because of rounding. 

[End of table] 

[End of section] 

Appendix V: GAO Contact and Staff Acknowledgments: 

GAO Contact: 

Zina D. Merritt, (202) 512-5257 or merrittz@gao.gov: 

Staff Acknowledgments: 

In addition to the contact named above, key contributors to this 
report were Elizabeth C. McNally, Assistant Director; Clarine S. 
Allen; Christina E. Bruff; Grace A. Coleman; K. Nicole Harms; Grant M. 
Mallie; Charles W. Perdue; Steven R. Putansu; Terry L. Richardson; 
Amie M. Steele; Christopher W. Turner; Jack B. Wang; Erik S. Wilkins-
McKee; and Kimberly Y. Young. 

[End of section] 

Related GAO Products: 

Military Training: DOD Needs a Strategic Plan and Better Inventory and 
Requirements Data to Guide Development of Language Skills and Regional 
Proficiency. [hyperlink, http://www.gao.gov/products/GAO-09-568]. 
Washington, D.C.: June 19, 2009. 

Defense Management: Preliminary Observations on DOD's Plans for 
Developing Language and Cultural Awareness Capabilities. [hyperlink, 
http://www.gao.gov/products/GAO-09-176R]. Washington, D.C.: November 
25, 2008. 

Military Personnel: Evaluation Methods Linked to Anticipated Outcomes 
Needed to Inform Decisions on Army Recruitment Incentives. [hyperlink, 
http://www.gao.gov/products/GAO-08-1037R]. Washington, D.C.: September 
18, 2008. 

Military Personnel: Strategic Plan Needed to Address Army's Emerging 
Officer Accession and Retention Challenges. [hyperlink, 
http://www.gao.gov/products/GAO-07-224]. Washington, D.C.: January 19, 
2007. 

Differing Scope and Methodology in GAO and University of California 
Reports Account for Variations in Cost Estimates for Homosexual 
Conduct Policy. [hyperlink, http://www.gao.gov/products/GAO-06-909R]. 
Washington, D.C.: July 13, 2006. 

Military Personnel: Preliminary Observations on Recruiting and 
Retention Issues within the U.S. Armed Forces. [hyperlink, 
http://www.gao.gov/products/GAO-05-419T]. Washington, D.C.: March 16, 
2005. 

Military Personnel: Financial Costs and Loss of Critical Skills Due to 
DOD's Homosexual Conduct Policy Cannot Be Completely Estimated. 
[hyperlink, http://www.gao.gov/products/GAO-05-299]. Washington, D.C.: 
February 23, 2005. 

Military Personnel: Observations Related to Reserve Compensation, 
Selective Reenlistment Bonuses, and Mail Delivery to Deployed Troops. 
[hyperlink, http://www.gao.gov/products/GAO-04-582T]. Washington, 
D.C.: March 24, 2004. 

Military Personnel: DOD Needs More Effective Controls to Better Assess 
the Progress of the Selective Reenlistment Bonus Program. [hyperlink, 
http://www.gao.gov/products/GAO-04-86]. Washington, D.C.: November 13, 
2003. 

Military Personnel: Management and Oversight of Selective Reenlistment 
Bonus Program Needs Improvement. [hyperlink, 
http://www.gao.gov/products/GAO-03-149]. Washington, D.C.: November 
25, 2002. 

Foreign Languages: Human Capital Approach Needed to Correct Staffing 
and Proficiency Shortfalls. [hyperlink, 
http://www.gao.gov/products/GAO-02-375]. Washington, D.C.: January 31, 
2002. 

Military Personnel: Perceptions of Retention-Critical Personnel Are 
Similar to Those of Other Enlisted Personnel. [hyperlink, 
http://www.gao.gov/products/GAO-01-785]. Washington, D.C.: June 28, 
2001. 

Military Attrition: Better Data, Coupled with Policy Changes, Could 
Help the Services Reduce Early Separations. [hyperlink, 
http://www.gao.gov/products/GAO/NSIAD-98-213]. Washington, D.C.: 
September 15, 1998. 

DOD Training: Many DOD Linguists Do Not Meet Minimum Proficiency 
Standards. [hyperlink, http://www.gao.gov/products/GAO/NSIAD-94-191]. 
Washington, D.C.: July 12, 1994. 

Homosexuals in the Military: Policies and Practices of Foreign 
Countries. [hyperlink, http://www.gao.gov/products/GAO/NSIAD-93-215]. 
Washington, D.C.: June 25, 1993. 

Defense Force Management: DOD's Policy on Homosexuality. [hyperlink, 
http://www.gao.gov/products/GAO/NSIAD-92-98]. Washington, D.C.: June 
12, 1992. 

Defense Force Management: Statistics Related to DOD's Policy on 
Homosexuality. [hyperlink, 
http://www.gao.gov/products/GAO/NSIAD-92-98S]. Washington, D.C.: June 
12, 1992. 

[End of section] 

Footnotes: 

[1] 10 U.S.C. § 654. 

[2] For guidance implementing the law, see Department of Defense 
Instructions 1332.14, Enlisted Administrative Separations (Aug. 28, 
2008); 1332.30, Separation of Regular and Reserve Commissioned 
Officers (Mar. 29, 2010); and 1304.26, Qualification Standards for 
Enlistment, Appointment, and Induction (Sept. 20, 2005). 

[3] The 3.6 million servicemembers separated for all reasons during 
this period includes those separated for expiration of term of service 
and retirement. If we excluded these types of separations, the number 
of separations would be lower, and therefore the percentage of 
separations because of homosexual conduct would be higher. 

[4] GAO, Military Personnel: Financial Costs and Loss of Critical 
Skills Due to DOD's Homosexual Conduct Policy Cannot Be Completely 
Estimated, [hyperlink, http://www.gao.gov/products/GAO-05-299] 
(Washington, D.C.: Feb. 23, 2005). 

[5] DMDC serves as DOD's human resource information source and a 
central source in identifying, authenticating, authorizing, and 
providing information on DOD-affiliated personnel. 

[6] These separations do not include servicemembers from Reserve and 
National Guard components of the military services who were in active 
duty status for 31 or more consecutive days. 

[7] According to a DMDC official, the official tracking of active duty 
separations for homosexual conduct began in 1997. 

[8] Because of the manner in which the Navy assigns its recruits to 
occupations, the Navy was unable to provide complete data on the 
occupations of Navy servicemembers separated under the policy. Thus, 
the reported number of Navy separated servicemembers who held skills 
in critical occupations could be an underestimate. 

[9] For the purposes of this report, we define "fixed costs" as those 
that do not change with output, as opposed to "variable costs" whose 
total varies directly with changes in output. In the case of 
recruiting and training, the outputs are recruits and trainees, 
respectively. 

[10] 10 U.S.C. § 654. DOD has recently released a study considering 
the homosexual conduct policy. The Don't Ask, Don't Tell Repeal Act of 
2010 (Repeal Act), Pub. L. No. 111-321, was enacted on December 22, 
2010. Under the Repeal Act, 10 U.S.C. § 654, the section of the United 
States Code that sets out the Don't Ask, Don't Tell policy, will 
remain in effect until 60 days after the date that a number of 
requirements and certifications specified in the Repeal Act are met by 
the Secretary of Defense, the Chairman of the Joint Chiefs of Staff, 
and the President. At that time, the law would be repealed. The Repeal 
Act also specifies that, in the event that those requirements and 
certifications are not met, the policy set out at 10 U.S.C. § 654 will 
remain in effect. 

[11] See Department of Defense Instruction 1336.05, Automated Extract 
of Active Duty Military Personnel Records (July 29, 2009). At 
separation, DOD assigns a military service characterization code to 
each individual's service that represents an evaluation of a 
servicemember's conduct and performance during his or her period of 
military service. These characterizations include "honorable" (service 
reflected proper behavior and proficient performance of duty); "under 
honorable conditions" (service reflected behavior and performance that 
was short of honorable); "under other than honorable conditions" 
(servicemember was convicted of a felony by civil authorities); "bad 
conduct" (conduct was punished by a special or general court martial); 
"dishonorable" (conduct was punished by a general court martial); and 
"uncharacterized" (servicemember served 6 months or less and was 
assigned a separation reason of (1) entry level separation, (2) void 
enlistment or induction, or (3) dropped from strength). Also, some 
servicemembers' characterization is classified as "unknown or not 
applicable." 

[12] See Manual for Courts-Martial, Rule 1003(b)(8)(C). 

[13] [hyperlink, http://www.gao.gov/products/GAO-05-299]. 

[14] According to officials from the Marine Corps Training and 
Education Command, the Marine Corps did not have detailed training 
cost data until fiscal year 2008. 

[15] We used the Army's Top 25 Priority Occupations Lists in lieu of 
the Army's Enlistment Bonus lists because the Army noted that the 
occupations on the Top 25 Priority Occupations Lists better represent 
the Army's critical occupations for enlistment. 

[16] See Department of Defense Instruction 1304.29, Administration of 
Enlistment Bonuses, Accession Bonuses for New Officers in Critical 
Skills, Selective Reenlistment Bonuses, and Critical Skills Retention 
Bonuses for Active Members (Dec. 15, 2004). 

[17] The Air Force Stressed Career Fields List was available only for 
fiscal years 2008 and 2009. 

[18] The Marine Corps 202K Sustainment Plan includes critical 
occupations for the period covering the final 3 years of our review 
period: fiscal years 2007 through 2009. 

[19] Before enlisted recruits are sent to recruit training, they are 
required to take an enlistment oath and sign a contract to serve one 
of the military services for a specified period of time, generally 
from 2 to 6 years and typically for 4 years. According to service 
officials, the typical officer-commissioning contract is 4 years, with 
some contracts ranging from 3 to 10 years, depending on the occupation 
and commissioning source. 

[20] For all services, officer-commissioning costs are not included. 

[21] Other variable recruiting and training costs include, but are not 
limited to, recruit and trainee travel, college funds provided to 
servicemembers, drug testing, and compensation (salary and benefits) 
for servicemembers while they are in training. 

[22] The 2,751 separations do not include those servicemembers 
separated by the Navy. 

[23] According to service officials, a servicemember can request that 
a service board review the service's decision to separate the 
servicemember. In these cases, a board will review the separation 
case. Based on information provided by the services, board cases made 
up approximately 4 percent of all cases concerning homosexual conduct. 

[24] According to service officials and service data, the number of 
separation cases that require legal administrative work is higher than 
the total number of separations under DOD's homosexual conduct policy 
because unsubstantiated cases required review by legal personnel even 
though these cases did not result in separation. 

[25] These separations do not include servicemembers from Reserve and 
National Guard components of the military services who were in active 
duty status for 31 or more consecutive days. 

[26] See Department of Defense Instruction 1304.29, Administration of 
Enlistment Bonuses, Accession Bonuses for New Officers in Critical 
Skills, Selective Reenlistment Bonuses, and Critical Skills Retention 
Bonuses for Active Members (Dec. 15, 2004). 

[27] The Army, Marine Corps, and Navy list the occupations eligible 
for the Selective Reenlistment Bonus in their annual budget 
justifications. The Air Force, however, does not list these 
occupations in its budget justification. The services determine 
reenlistment bonus amounts by multiplying (1) a servicemember's 
current monthly basic pay by (2) the member's number of additional 
years of obligated service by (3) a bonus multiplier that can range 
from 0.5 to 15. By analyzing the Air Force Selective Reenlistment 
Bonus lists from fiscal years 2004 through 2009, we deemed most 
critical the 10 occupations with the largest bonus multipliers in each 
fiscal year. 

[28] See Department of Defense Instruction 7280.03, Foreign Language 
Proficiency Bonus (Aug. 20, 2007). 

[29] We are not suggesting by this cost estimate that the services 
specifically recruit or train a replacement to the same experience 
level or proficiency as a servicemember who has been separated under 
the homosexual conduct policy. 

[30] For the purposes of this report, we define fixed costs as those 
that do not change with output as opposed to variable costs whose 
totals vary directly with changes in output. In the case of recruiting 
and training, the output is recruits and trainees, respectively. 

[31] The Marine Corps classified enlistment bonuses and college funds 
as fixed costs, whereas the Army classified enlistment bonuses and 
college funds as variable costs. In our calculations, we consider 
enlistment bonuses and college funds to be variable costs for both 
services. 

[32] The Air Force did not provide separate recruiting and training 
cost data. Rather, it combined recruiting and training costs, 
including compensation received by personnel during training, in a 
single estimate for each enlisted and commissioned occupational 
specialty. 

[33] The Air Force was only able to provide cost data for fiscal years 
2006, 2007, and 2009. To ensure that we were able to develop an Air 
Force cost estimate over the full 6-year period of our review, we used 
military personnel cost deflators from the DOD Comptroller to 
calculate inflation-adjusted costs for fiscal years 2004, 2005, and 
2008 based on the cost data the Air Force provided for fiscal years 
2006, 2007, and 2009. These military personnel cost deflators are 
published annually in the Office of the Secretary of Defense's 
Comptroller's National Defense Budget Estimates. 

[34] While the Marine Corps provided separate sets of recruiting and 
training cost data, it was only able to provide training cost data for 
fiscal year 2008. To ensure that we were able to develop a Marine 
Corps cost estimate over the entire 6-year period of our study, we 
asked the Marine Corps to calculate annual figures for fiscal years 
2004 through 2007 and for fiscal year 2009. The Marine Corps did so, 
providing us with inflation-adjusted cost figures based on its fiscal 
year 2008 estimates. 

[35] The Air Force did not provide separate recruiting and training 
cost data. Rather, it combined recruiting and training costs, 
including compensation received by personnel during training, in a 
single estimate for each enlisted and commissioned occupational 
specialty. 

[36] See Department of Defense Instruction 1336.05, Automated Extract 
of Active Duty Military Personnel Records (July 29, 2009). At 
separation, DOD assigns a military service characterization code to 
each individual's service that represents an evaluation of a 
servicemember's conduct and performance during his or her period of 
military service. These characterizations include "honorable" (service 
reflected proper behavior and proficient performance of duty); "under 
honorable conditions" (service reflected behavior and performance that 
was short of honorable); "under other than honorable conditions" 
(servicemember was convicted of a felony by civil authorities); "bad 
conduct" (conduct was punished by a special or general court martial); 
"dishonorable" (conduct was punished by a general court martial); and 
"uncharacterized" (servicemember served 6 months or less and was 
assigned a separation reason of (1) entry-level separation, (2) void 
enlistment or induction, or (3) dropped from strength). Also, some 
servicemembers' characterization is classified as "unknown or not 
applicable." 

[37] These separations do not include separated servicemembers from 
Reserve and National Guard components of the military services who 
were in active duty status for 31 or more consecutive days. 

[End of section] 

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