More soliders may suffer from post-traumatic stress disorder and amputation, says Principi.
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To consolidate resources, Air and Marine Operations will move into Customs and Border Protection.
Immigration and Customs Enforcement bureau inherits $10 million obligation.
Security services firm Dyncorp took issue with controversial $293 million award to British company.
Bill is similar to Senate measure, but includes contentious provisions on immigration and law enforcement and excludes other key recommendations.
Stop-loss orders in the active-duty military have caused a shortfall in recruiting goals for the Army National Guard, so personnel officials are turning to the private sector.