He subsequently volunteered for active duty on the Army General Staff, and took part in development and passage of the National Defense Act of 1920, which included a provision that the Chief of the Militia Bureau be a National Guard officer.
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From 1927 to 1931, Nolan was commander of Fifth Corps Area, headquartered at Fort Hayes at Columbus, Ohio, one of and geographically the largest of nine corps areas established in the continental United States for the administration of the regular army and reserves by the National Defense Act of 1920.