Defense and Deficit Reduction Act - Prohibits the aggregate funds appropriated or otherwise made available for military functions administered by the Department of Defense (DOD) from exceeding: (1) in the case of FY2011, the aggregate for FY2008; and (2) in the case of FY2012-FY2016, the aggregate for the previous fiscal year.
Excludes military personnel pay and benefits in the determination of such aggregate funds.
Requires all resulting savings to be used for deficit reduction.