A bill to amend title 5 of the United States Code in order to provide that certain benefits to which employees of the United States stationed in Alaska, Hawaii, Puerto Rico, the Canal Zone, or the Territories or Possessions of the United States are entitled may be terminated under certain conditions.

Authorizes Federal agencies to deny specified transportation and leave benefits to any employee stationed in, but not a resident of, Alaska, Hawaii, Puerto Rico, Guam, or any possession of the United States if: (1) qualified local residents who are not already Federal employees are eligible and available for the position held by the employee; (2) the employee's current contract or agreement has expired; and (3) the employee indicates that assignment to a comparable position in the continental United States or to any other area in which such employee claims actual residence would not be acceptable.