Military Department Reorganization Act of 1986

Military Department Reorganization Act of 1986 - Directs the Secretary of Defense to reorganize the executive part of each of the military departments, following specified reorganization policies. Defines the executive part of the military department. Outlines the functions of the Assistant Secretaries of a military department as reorganized under this Act. Limits to 30 the size of the personal staff of the Secretary of a military department. Limits also the size of the staff of each military department to 85 percent of the size of such staff before the reorganization.

Requires the Secretary of Defense to provide that operation and planning responsibilities that are duplicated by the staff of the Joint Chiefs of Staff shall be shifted to that staff.

Requires the Secretary, as well as the Secretaries of the military departments, to provide that functions able to be performed by commands outside the Washington, D.C. area shall be reassigned to those commands.

Directs the Secretary of Defense to complete implementation of this Act no later than 180 days after enactment of this Act, and to report to the Congress on such implementation 30 days after such date.