12 2 STA T . 1 59PUBLIC LA W 11 0– 1 8 1 —J A N .28 , 2008 (1)bystrik i ng s u bs ec ti o ns (c) a n d (d)
( 2 ) by redesignating subsection (b) as subsection (d) and , in suc h subsection, by striking ‘ ‘ S ubsection (a)(2) ’ ’ and inserting ‘‘ TREATM E N T OFCHILD REN .— Subsection (b)(2)’’; and ( 3 ) by striking subsection (a) and inserting the f o l lo w ing new subsections
‘‘(a) D E S I G NATION OF R E C I P IENTS.—(1) O n and after J uly 1, 2 0 0 8 , or such earlier date as the Secretary of Defense m ay p rescribe, a person co v ered by section 1 475 or 147 6 of this title may designate one or more persons to receive all or a portion of the amount payable under section 1478 of this title. The designation of a person to receive a portion of the amount shall indicate the percentage of the amount, to be specified only in 10 percent increments, that the designated person may receive. The balance of the amount of the death gratuity, if any, shall be paid in accordance with subsection (b). ‘‘(2) I f a person covered by section 1475 or 1476 of this title has a spouse, but designates a person other than the spouse to receive all or a portion of the amount payable under section 1478 of this title, the Secretary concerned shall provide notice of the designation to the spouse. ‘‘(b) DISTRI BU TION OF REMAINDER; DISTRIBUTION IN A BSENCE OF DESIGNATED RECIPIENT.—If a person covered by section 1475 or 1476 of this title does not make a designation under subsection (a) or designates only a portion of the amount payable under section 1478 of this title, the amount of the death gratuity not covered by a designation shall be paid as follows: ‘‘(1) To the surviving spouse of the person, if any. ‘‘(2) If there is no surviving spouse, to any surviving chil - dren (as prescribed by subsection (d)) of the person and the descendants of any deceased children by representation. ‘‘(3) If there is none of the above, to the surviving parents (as prescribed by subsection (c)) of the person or the survivor of them. ‘‘(4) If there is none of the above, to the duly-appointed e x ecutor or administrator of the estate of the person. ‘‘(5) If there is none of the above, to other next of kin of the person entitled under the laws of domicile of the person at the time of the person’s death. ‘‘(c) TREATMENT OF P ARENTS.— F or purposes of subsection (b)(3), parents include fathers and mothers through adoption. H owever, only one father and one mother may be recogni z ed in any case, and preference shall be given to those who exercised a parental relationship on the date, or most nearly before the date, on which the decedent entered a status described in section 1475 or 1476 of this title.’’. (b) CLERICAL AND CONFORMING AMENDMENTS.—Subsection (e) of such section is amended— (1) by inserting ‘‘ E FFECT OF DEATH B EFORE RECEIPT OF G RATUIT Y .—’’ after ‘‘(e)’’; (2) by striking ‘‘subsection (a) or (d)’’ and inserting ‘‘sub- section (a) or (b)’’; and (3) by striking ‘‘subsection (a).’’ and inserting ‘‘subsection (b)’’. (c) E X ISTING DESIGNATION AUTHORITY.—The authority provided by subsection (d) of section 1477 of title 10, U nited States Code, as in effect on the day before the date of the enactment of this Terminat i o n d ate .10USC 1 47 7 note. N oti f i c ation.
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