[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[S. 486 Introduced in Senate (IS)]







104th CONGRESS
  1st Session
                                 S. 486

 To reorganize the Federal administrative law judiciary, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

              March 2 (legislative day, February 22), 1995

   Mr. Heflin (for himself, Mr. Specter, Mr. Ford, Mr. Thurmond, Mr. 
 Bumpers, Mr. Brown, Mr. Simon, Mr. Shelby, Ms. Moseley-Braun, and Mr. 
Cohen) introduced the following bill; which was read twice and referred 
                   to the Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
 To reorganize the Federal administrative law judiciary, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Reorganization of the Federal 
Administrative Judiciary Act''.

SEC. 2. FINDINGS.

    The Congress finds that--
            (1) in order to promote efficiency, productivity, the 
        reduction of administrative functions, and to provide economies 
        of scale and better public service and public trust in the 
        administrative resolution of disputes, Federal administrative 
        law judges should be organized in a unified corps;
            (2) the dispersal of administrative law judges appointed 
        under section 3105 of title 5, United States Code, in every 
        Federal agency that requires hearings to be conducted by 
        administrative law judges, underutilizes the potential of 
        administrative law judges to serve the public and assist the 
        Federal courts as special masters and finders of fact in 
        specific instances to help reduce the backlog of cases in 
        Federal courts;
            (3) the organization of administrative law judges in a 
        corps will best promote their assignment to Federal agency 
        needs as demand requires;
            (4) a unified administrative law judge corps will better 
        promote the use of information technology in serving the 
        public; and
            (5) an administrative law judge corps will, through 
        consolidation, eliminate unnecessary offices and reduce travel 
        and other related costs.

SEC. 3. ESTABLISHMENT OF ADMINISTRATIVE LAW JUDGE CORPS.

    (a) In General.--Chapter 5 of title 5, United States Code, is 
amended by adding at the end thereof the following new subchapter:

            ``SUBCHAPTER VI--ADMINISTRATIVE LAW JUDGE CORPS

``Sec. 597. Definitions
    ``For the purposes of this subchapter--
            ``(1) `agency' means an authority referred to in section 
        551(1);
            ``(2) `Corps' means the Administrative Law Judge Corps of 
        the United States established under section 598;
            ``(3) `administrative law judge' means an administrative 
        law judge appointed under section 3105 on or before the 
        effective date of the Reorganization of the Federal 
        Administrative Judiciary Act or under section 599c after such 
        effective date;
            ``(4) `chief judge' means the chief administrative law 
        judge appointed and serving under section 599;
            ``(5) `Council' means the Council of the Administrative Law 
        Judge Corps established under section 599b;
            ``(6) `Board', unless otherwise indicated, means the 
        Complaints Resolution Board established under section 599e; and
            ``(7) `division chief judge' means the chief administrative 
        law judge of a division appointed and serving under section 
        599a.
``Sec. 598. Establishment; membership
    ``(a) Establishment.--There is established an Administrative Law 
Judge Corps consisting of all administrative law judges, in accordance 
with the provisions of subsection (b). Such Corps shall be administered 
in Washington, D.C.
    ``(b) Membership.--An administrative law judge serving as such on 
the date of the commencement of the operation of the Corps shall be 
transferred to the Corps as of that date. An administrative law judge 
who is appointed on or after the date of the commencement of the 
operation of the Corps shall be a member of the Corps as of the date of 
such appointment.
``Sec. 599. Chief administrative law judge
    ``(a) Appointment; Term.--The chief administrative law judge shall 
be the chief administrative officer of the Corps and shall be the 
presiding judge of the Corps. The chief judge shall be appointed by the 
President, by and with the advice and consent of the Senate. The chief 
judge shall be learned in the law. The chief judge shall serve for a 
term of five years or until a successor is appointed and qualifies to 
serve. A chief judge may be reappointed upon the expiration of the term 
of such judge, by and with the advice and consent of the Senate.
    ``(b) Vacancies.--(1) If the office of chief judge is vacant, the 
division chief judge who is senior in length of service as a member of 
the Council shall serve as acting chief judge until such vacancy is 
filled.
    ``(2) If 2 or more division chief judges have the same length of 
service as members of the Council, the division chief judge who is 
senior in length of service as an administrative law judge shall serve 
as such acting chief judge.
    ``(c) Special Functions of Chief Judge.--(1) In addition to other 
duties conferred on the chief judge, the chief judge shall be 
responsible for developing programs and practices, in coordination with 
agencies using administrative law judges, which foster economy and 
efficiency in the processing of cases heard by administrative law 
judges. These programs and practices shall include--
            ``(A) training of judges in more than one subject area;
            ``(B) employment of computers and software and other 
        information technology for automated decision preparation, case 
        docketing, and research;
            ``(C) consolidating hearing facilities and law libraries; 
        and
            ``(D) programs and practices to foster overall efficient 
        use of staff, personnel, equipment, and facilities.
    ``(2) In order to minimize costs--
            ``(A) all administrative law judges and support personnel 
        shall, for at least 1 year after the date of the commencement 
        of the operation of the Corps, continue to use the office space 
        and facilities, at the agencies using such judges and 
        personnel, available before such date, and
            ``(B) the chief judge shall phase in transfers of 
        administrative law judges and support personnel to other 
        facilities so that the cost of providing facilities for the 
        Corps shall not exceed the cost of maintaining such judges and 
        personnel in equivalent space available at agencies using the 
        Corps.
    ``(d) Reports.--The chief judge shall, within 90 days after the end 
of each fiscal year, make a written report to the President and the 
Congress concerning the business of the Corps during the preceding 
fiscal year. The report shall include information and recommendations 
of the Council concerning the future personnel requirements of the 
Corps.
    ``(e) Service After Term Expires.--After serving as chief judge, an 
individual may continue to serve as an administrative law judge unless 
such individual has been removed from office in accordance with section 
599e.
``Sec. 599a. Divisions of the Corps; division chief judges
    ``(a) Assignment to Divisions.--Each judge of the Corps shall be 
assigned to a division by the Council, pursuant to section 599b. The 
assignment of a judge who was an administrative law judge on the date 
of commencement of the operation of the Corps shall be made after 
consideration of the areas of specialization in which the judge has 
served. Each division shall be headed by a division chief judge who 
shall exercise administrative supervision over such division.
    ``(b) Divisions.--The divisions of the Corps shall be as follows:
            ``(1) Division of Communications, Public Utility, and 
        Transportation Regulation.
            ``(2) Division of Safety and Environmental Regulation.
            ``(3) Division of Labor.
            ``(4) Division of Labor Relations.
            ``(5) Division of Health and Human Services Programs.
            ``(6) Division of Securities, Commodities, and Trade 
        Regulation.
            ``(7) Division of General Programs.
            ``(8) Division of Financial Services Institutions.
    ``(c) Appointment of Division Chief Judges.--(1) The division chief 
judge of each division set forth in subsection (b) shall be appointed 
by the President, by and with the advice and consent of the Senate, and 
shall be learned in the law.
    ``(2) Division chief judges shall be appointed for 5-year terms, 
except that of those division chief judges first appointed, the 
President shall designate 2 such individuals to be appointed for 5-year 
terms, 3 for 4-year terms, and 2 for 3-year terms.
    ``(3) Any division chief judge appointed to fill an unexpired term 
shall be appointed only for the remainder of such predecessor's term, 
but may be reappointed as provided in paragraph (4).
    ``(4) Any division chief judge may be reappointed upon the 
expiration of his or her term.
    ``(5) Any judge, after serving as division chief judge, may 
continue to serve as an administrative law judge unless such individual 
has been removed from office in accordance with section 599e.
``Sec. 599b. Council of the Corps
    ``(a) In General.--The policymaking body of the Corps shall be the 
Council of the Corps. The chief judge and the division chief judges 
shall constitute the Council. The chief judge shall preside over the 
Council. If the chief judge is unable to be present at a meeting of the 
Council, the division chief judge who is senior in length of service as 
a member of such Council shall preside at the meeting.
    ``(b) Quorum; Voting.--One half of all of the members of the 
Council shall constitute a quorum for the purpose of transacting 
business. The affirmative vote by a majority of all the members of the 
Council shall be required to approve a matter on behalf of the Council. 
Each member of the Council shall have one vote.
    ``(c) Meetings.--Meetings of the Council shall be held at least 
once a month at the call of the chief judge or by the call of one-third 
or more of the members of the Council.
    ``(d) Powers.--The Council is authorized--
            ``(1) to assign judges to divisions and transfer or 
        reassign judges from one division to another, subject to the 
        provisions of section 599c;
            ``(2) to appoint persons as administrative law judges under 
        section 599c;
            ``(3) to file charges seeking adverse action against an 
        administrative law judge under section 599e;
            ``(4) to prescribe, after providing an opportunity for 
        notice and comment, the rules of practice and procedure for the 
        conduct of proceedings before the Corps, except that, with 
        respect to a category of proceedings adjudicated by an agency 
        before the effective date of the Reorganization of the Federal 
        Administrative Judiciary Act, the Council may not amend or 
        revise the rules of practice and procedure prescribed by that 
        agency during the 2 years following such effective date without 
        the approval of that agency, and any amendments or revisions 
        made to such rules shall not affect or be applied to any 
        pending action;
            ``(5) to issue such rules and regulations as may be 
        appropriate for the efficient conduct of the business of the 
        Corps and the implementation of this subchapter, including the 
        assignment of cases to administrative law judges;
            ``(6) subject to the civil service and classification laws 
        and regulations--
                    ``(A) to select, appoint, employ, and fix the 
                compensation of the employees (other than 
                administrative law judges) that the Council deems 
                necessary to carry out the functions, powers, and 
                duties of the Corps; and
                    ``(B) to prescribe the authority and duties of such 
                employees;
            ``(7) to establish, abolish, alter, consolidate, and 
        maintain such regional, district, and other field offices as 
        are necessary to carry out the functions, powers, and duties of 
        the Corps and to assign and reassign employees to such field 
        offices;
            ``(8) to procure temporary and intermittent services under 
        section 3109;
            ``(9) to enter into, to the extent or in such amounts as 
        are authorized in appropriation Acts, without regard to section 
        3709 of the Revised Statutes of the United States (41 U.S.C. 
        5), contracts, leases, cooperative agreements, or other 
        transactions that may be necessary to conduct the business of 
        the Corps;
            ``(10) to delegate any of the chief judge's functions or 
        powers with the consent of the chief judge, or whenever the 
        office of such chief judge is vacant, to one or more division 
        chief judges or other employees of the Corps, and to authorize 
        the redelegation of any of those functions or powers;
            ``(11) to establish, after consulting with an agency, 
        initial and continuing educational programs to assure that each 
        administrative law judge assigned to hear cases of that agency 
        has the necessary training in the specialized field of law of 
        that agency;
            ``(12) to make suitable arrangements for continuing 
        education and training of other employees of the Corps, so that 
        the level of expertise in the divisions of the Corps will be 
        maintained and enhanced; and
            ``(13) to determine all other matters of general policy of 
        the Corps.
    ``(e) Official Seal.--The Council shall select an official seal for 
the Corps which shall be judicially noticed.
``Sec. 599c. Appointment and transfer of administrative law judges
    ``(a) Appointment.--After the initial establishment of the Corps, 
the Council shall appoint new or additional judges as may be necessary 
for the efficient and expeditious conduct of the business of the Corps. 
Appointments shall be made from a register maintained by the Office of 
Personnel Management under subchapter I of chapter 33 of this title. 
Upon request by the chief judge, the Office of Personnel Management 
shall certify enough names from the top of such register to enable the 
Council to consider five names for each vacancy. Notwithstanding 
section 3318, a vacancy in the Corps may be filled from the highest 
five eligible individuals available for appointment on the certificate 
furnished by the Office of Personnel Management.
    ``(b) Limitation on Judge's Duties.--A judge of the Corps may not 
perform or be assigned to perform duties inconsistent with the duties 
and responsibilities of an administrative law judge.
    ``(c) Reassignments; Details.--A judge or staff member of the Corps 
on the date of commencement of the operation of the Corps, and all new 
judges and staff members appointed by the Council, may not thereafter 
be involuntarily reassigned to a new permanent duty station if such 
station is beyond the commuting area of the duty station which is the 
judge's or staff member's permanent duty station on that date. A judge 
or staff member of the Corps may be temporarily detailed, once in a 24-
month period, to a new duty station at any location, for a period of 
not more than 120 days.
``Sec. 599d. Jurisdiction
    ``(a) In General.--Any case, claim, action, or proceeding 
authorized to be heard before an administrative law judge on the day 
before the effective date of the Reorganization of the Federal 
Administrative Judiciary Act shall, on or after such date, be referred 
to the Corps for adjudication on the record after an opportunity for a 
hearing.
    ``(b) Types of Cases.--An administrative law judge who is a member 
of the Corps shall hear and render a decision upon--
            ``(1) every case of adjudication subject to the provisions 
        of section 553, 554, or 556;
            ``(2) every case in which hearings are required by law to 
        be held in accordance with sections 553, 554, or section 556;
            ``(3) every other case referred to the Corps by an agency 
        in which a determination is to be made on the record after an 
        opportunity for a hearing; and
            ``(4) every case referred to the Corps by a court for an 
        administrative law judge to act as a special master or to 
        otherwise making findings of fact on behalf of the referring 
        court, which shall continue to have exclusive and undiminished 
        jurisdiction over the case.
    ``(c) Referral of Cases.--When a case under subsection (b) arises, 
it shall be referred to the Corps. Under regulations issued by the 
Council, the case shall be assigned to a division. The appropriate 
division chief shall assign cases to judges, taking into consideration 
specialization, training, workload, and conflicts of interest.
    ``(d) Referrals by Agencies and Courts.--Courts are authorized to 
refer, subject to the approval of the majority of the Council and the 
parties in the court proceeding, those cases, or portions thereof, in 
which they seek an administrative law judge to act as a special master 
pursuant to the provisions of Rule 53(a) of the Federal Rules of Civil 
Procedure which shall continue to have exclusive and undiminished 
jurisdiction over the case. When a court has referred a case to an 
administrative law judge, the recommendations, rulings, and findings of 
fact of the administrative law judge are subject to de novo review by 
the referring court.
    ``(e) Satisfaction of Other Procedural Requirements.--Compliance 
with this subchapter shall satisfy all requirements imposed under 
section 916 of the Financial Institutions Reform, Recovery, and 
Enforcement Act of 1989.
    ``(f) Application of Agency Policy.--The provisions of this 
subchapter shall effect no change in--
            ``(1) an agency's rulemaking, interpretative, or 
        policymaking authority in carrying out the statutory 
        responsibilities vested in the agency or agency head;
            ``(2) the adjudicatory authority of administrative law 
        judges; or
            ``(3) the authority of an agency to review decisions of 
        administrative law judges under any applicable provision of 
        law.
``Sec. 599e. Removal and discipline
    ``(a) In General.--(1) Except as provided under paragraph (2), an 
administrative law judge may not be removed, suspended, reprimanded, or 
disciplined except for misconduct or neglect of duty, but may be 
removed for physical or mental disability (consistent with prohibitions 
on discrimination otherwise imposed by law).
    ``(2) Paragraph (1) shall not apply to an action initiated under 
section 1215.
    ``(b) Rules of Judicial Conduct.--No later than 180 days after the 
appointment and confirmation of the Council, the Council shall adopt 
and issue rules of judicial conduct for administrative law judges. Such 
code shall be enforced by the Council and shall include standards 
governing--
            ``(1) judicial conduct and extra-judicial activities to 
        avoid actual, or the appearance of, improprieties or conflicts 
        of interest;
            ``(2) the performance of judicial duties impartially and 
        diligently;
            ``(3) avoidance of bias or prejudice with respect to all 
        parties; and
            ``(4) efficiency and management of cases so as to reduce 
        dilatory practices and unnecessary costs.
    ``(c) Disciplinary Action by the Council.--An administrative law 
judge may be subject to disciplinary action by the Council under 
subsection (j). An administrative law judge may be removed only after 
the Council has filed with the Merit Systems Protection Board a notice 
of removal and the Merit Systems Protection Board has determined on the 
record, after an opportunity for a hearing before the Merit Systems 
Protection Board, that there is good cause to take the action of 
removal.
    ``(d) Complaints Resolution Board.--Under regulations issued by the 
Council, a Complaints Resolution Board shall be established within the 
Corps to consider and to recommend appropriate action to be taken when 
a complaint is made concerning conduct of a judge of the Corps. Such 
complaint may be made by any interested person, including parties, 
practitioners, the chief judge, administrative law judges, and 
agencies.
    ``(e) Composition of the Board.--(1) The Board shall consist of--
            ``(A) 2 judges from each division of the Corps, who shall 
        be appointed by the Council; and
            ``(B) 16 attorneys who shall be appointed in accordance 
        with the provisions of paragraph (2).
    ``(2) The Council shall request a list of candidates to be members 
of the Board from the American Bar Association. Such list may not 
include any individual who is an administrative law judge or former 
administrative law judge.
    ``(3) The chief judge and the division chief judges may not serve 
on the Board.
    ``(4) No individual may serve 2 successive terms on the Board.
    ``(5)(A) Except as provided under subparagraph (B), all terms on 
the Board shall be 2 years.
    ``(B) In making the original appointments to the Board, the Council 
shall designate one-half of the appointments made under paragraph 
(1)(A) and one-half of the appointments made under paragraph (1)(B), as 
a term of 1 year.
    ``(6)(A) Each member of the Board who is not an officer or employee 
of the Federal Government shall be compensated at a rate equal to the 
daily equivalent of the annual rate of basic pay prescribed for a 
position at the level of AL-3, rate C under section 5372 of this title 
for each day (including travel time) during which such member is 
engaged in the performance of the duties of the Board. All members of 
the Board who are administrative law judges shall serve without 
compensation in addition to that received for their services as 
officers or employees of the United States.
    ``(B) The members of the Board shall be allowed travel expenses, 
including per diem in lieu of subsistence, at rates authorized for 
employees of agencies under subchapter I of chapter 57 of title 5, 
United States Code, while away from their homes or regular places of 
business in the performance of services for the Board.
    ``(f) Filing and Referral of Complaint.--(1) A complaint concerning 
the official conduct of an administrative law judge shall be made in 
writing. The complaint shall be filed with the chief judge, or it may 
be originated by the chief judge on his own motion. The chief judge 
shall refer the complaint to a 5-member panel designated by the 
Council--
            ``(A) consisting of 3 administrative law judges appointed 
        under subsection (e)(1)(A), none of whom may be serving in the 
        same division as the administrative law judge who is the 
        subject of the complaint; and
            ``(B) two members appointed under subsection (e)(1)(B), 
        none of whom regularly practice before the division to which 
        the administrative law judge, who is the subject of the 
        complaint is assigned.
    ``(2) Any individual chosen to serve on the panel who has a 
personal or financial conflict of interest involving the administrative 
law judge who is the subject of the complaint shall be disqualified by 
the Council from serving on the panel. The Council shall replace any 
disqualified individual or vacancy with another member of the Board who 
is eligible to serve on the panel.
    ``(g) Chief Judge Action.--(1) After expeditiously reviewing a 
complaint, the chief judge, by written order stating his reason, may--
            ``(A) dismiss the complaint, if the chief judge finds the 
        complaint to be--
                    ``(i) directly related to the merits of a decision 
                or procedural ruling; or
                    ``(ii) frivolous;
            ``(B) conclude the proceeding if the chief judge finds that 
        appropriate corrective action has been taken or that action on 
        the complaint is no longer necessary because of intervening 
        events; or
            ``(C) refer the complaint to the Complaint Resolution Board 
        in accordance with subsection (f).
    ``(2) The chief judge shall transmit copies of the written order to 
the complainant and to the administrative law judge who is the subject 
of the complaint.
    ``(h) Notice of the Complaint.--The administrative law judge and 
the complainant shall be given notice of receipt of the complaint and 
notice of referral of the complaint to the panel.
    ``(i) Inquiry and Report by Panel.--(1) The panel shall inquire 
into the complaint and have authority to conduct a full investigation 
of the complaint, including authority to hold hearings and issue 
subpoenas, examine witnesses, and receive evidence. All proceedings of 
the Complaint Resolution Board shall be confidential. The 
administrative law judge who is the subject of the complaint shall have 
the right to be represented by counsel and shall have an opportunity to 
appear before the panel. The complainant shall be afforded an 
opportunity to appear at the proceedings conducted by the investigating 
panel, if the panel concludes that the complainant could offer 
substantial information.
    ``(2) In determining whether misconduct has occurred, the panel 
shall apply a preponderance of evidence standard of proof to its 
proceedings.
    ``(3)(A) Within 90 days after the referral of the complaint, the 
panel shall report to the Council on its findings of fact and 
recommendations for appropriate disciplinary action, if any, that 
should be taken against the administrative law judge.
    ``(B) If the panel has not completed its inquiry within 90 days 
after receiving the complaint, the panel shall request an extension of 
time from the Council to complete its inquiry.
    ``(C) A copy of the report shall be provided concurrently to the 
Council, the administrative law judge who is the subject of the 
complaint, and the complainant. The Council shall retain all reports 
filed under this section and such reports shall be confidential, except 
that a recommendation for disciplinary action shall be made available 
to the public.
    ``(4) The recommendations of the panel shall include one of the 
following:
            ``(A) Dismissal of all or part of the complaint.
            ``(B) Direct informal reprimand.
            ``(C) Direct formal reprimand.
            ``(D) Suspension.
            ``(E) Automatic referral to the Merit Systems Protection 
        Board on recommendations of removal.
    ``(5) The recommendations of the panel are binding on the Council, 
unless the administrative law judge appeals to the Merit Systems 
Protection Board.
    ``(j) Disciplinary Action.--Except as provided in subsection 
(a)(2), the Council shall take appropriate disciplinary action against 
the administrative law judge based upon the report of the panel within 
30 days after receiving the report of the panel. Such disciplinary 
action shall be enforced by the Council and shall be final unless the 
administrative law judge files an appeal with the Merit Systems 
Protection Board within 30 days after receiving notice of such 
disciplinary action.
    ``(k) Recommendation for Relief to Agency, Department, or 
Commission.--Based upon a finding of judicial misconduct by an 
administrative law judge, the Council shall have authority to recommend 
to the head of an agency, department or commission that action may be 
taken to provide relief to aggrieved individuals due to the judicial 
misconduct by an administrative law judge.''.
    (b) Appointments of Division Chief Judges.--It is the sense of the 
Congress that the President should appoint as division chief judges 
under section 599a(c) of title 5, United States Code (as added by 
subsection (a) of this section), individuals who have served as an 
administrative law judge for at least 5 years.
    (c) Administrative Provision.--Except as provided under subchapter 
VI of chapter 5 of title 5, United States Code, the chief 
administrative law judge and the division chief judges appointed under 
such subchapter shall be deemed administrative law judges appointed 
under section 3105.
    (d) Technical and Conforming Amendment.--The table of sections for 
chapter 5 of title 5, United States Code, is amended by adding at the 
end thereof the following:

            ``SUBCHAPTER VI--ADMINISTRATIVE LAW JUDGE CORPS

``Sec.
``597. Definitions.
``598. Establishment; membership.
``599. Chief administrative law judge.
``599a. Divisions of the Corps; division chief judges.
``599b. Council of the Corps.
``599c. Appointment and transfer of administrative law judges.
``599d. Jurisdiction.
``599e. Removal and discipline.''.

SEC. 4. AGENCY REVIEW STUDY AND REPORT.

    (a) Study.--The chief administrative law judge of the 
Administrative Law Judge Corps of the United States shall conduct a 
study of the various types and levels of agency review to which 
decisions of administrative law judges are subject. A separate study 
shall be conducted for each division of the Corps. The studies shall 
include monitoring and evaluating data and shall be conducted in 
consultation with the division chief judges, the Chairman of the 
Administrative Conference of the United States, and the agencies that 
review the decisions of administrative law judges.
    (b) Report.--(1) Not later than 2 years after the effective date of 
this Act, the Council shall report to the President and the Congress on 
the findings and recommendations resulting from the studies conducted 
under subsection (a).
    (2) The report under paragraph (1) shall include recommendations, 
including recommendations for new legislation, for any reforms that may 
be appropriate to make review of administrative law judges' decisions 
more efficient and meaningful and to accord greater finality to such 
decisions, except that all decisions subject, before the effective date 
of this Act, to review pursuant to section 205(g) of the Social 
Security Act (42 U.S.C. 405(g)) shall continue to be subject to such 
review pursuant to such section.
    (3) The report under paragraph (1) shall also include 
recommendations for using staff more efficiently to decrease backlogs, 
especially in the area of social security disability cases.

SEC. 5. TRANSITION AND SAVINGS PROVISIONS.

    (a) Transfer of Functions.--There are transferred to the 
administrative law judges of the Administrative Law Judge Corps 
established by section 598 of title 5, United States Code (as added by 
section 3 of this Act), all functions authorized to be performed on the 
day before the effective date of this Act by the administrative law 
judges appointed under section 3105 of such title before the effective 
date of this Act.
    (b) Use of Agency Facilities and Personnel.--With the consent of 
the agencies concerned, the Administrative Law Judge Corps of the 
United States may use the facilities and the services of officers, 
employees, and other personnel of agencies from which functions and 
duties are transferred to the Corps for so long as may be needed to 
facilitate the orderly transfer of those functions and duties under 
this Act.
    (c) Incidental Transfers.--The personnel, assets, liabilities, 
contracts, property, records, and unexpended balances of 
appropriations, authorizations, allocations, and other funds employed, 
held, used, arising from, available or to be made available, in 
connection with the functions transferred by this Act, are, subject to 
section 1531 of title 31, United States Code, transferred to the Corps 
for appropriate allocation.
    (d) Pay of Transferred Personnel.--The transfer of personnel 
pursuant to subsection (b) or (c) shall be without reduction in pay or 
classification for 5 years after such transfer.
    (e) Authorities of Director of OMB.--The Director of the Office of 
Management and Budget, at such time or times as the Director shall 
provide, may make such determinations as may be necessary with regard 
to the functions transferred by this Act, and to make such additional 
incidental dispositions of personnel, assets, liabilities, grants, 
contracts, property, records, and unexpended balances of 
appropriations, authorizations, allocations, and other funds held, 
used, arising from, available to, or to be made available in connection 
with such functions, as may be necessary to carry out the provisions of 
this Act.
    (f) Continued Effectiveness of Prior Actions.--All orders, 
determinations, rules, regulations, permits, contracts, collective 
bargaining agreements, recognition of labor organizations, 
certificates, licenses, and privileges which have been issued, made, 
granted, or allowed to become effective in the exercise of any duties, 
powers, or functions which are transferred under this Act and are in 
effect at the time this Act becomes effective shall continue in effect 
according to their terms until modified, terminated, superseded, set 
aside, or repealed by the Administrative Law Judge Corps of the United 
States or a judge thereof in the exercise of authority vested in the 
Corps or its members by this Act, by a court of competent jurisdiction, 
or by operation of law.
    (g) Pending Proceedings.--(1) Except as provided in subsections 
(d)(5) and (e) of section 599b of title 5, United States Code, this Act 
shall not affect any proceeding before any department or agency or 
component thereof which is pending at the time this Act takes effect. 
Such a proceeding shall be continued before the Administrative Law 
Judge Corps of the United States or a judge thereof, or, to the extent 
the proceeding does not relate to functions so transferred, shall be 
continued before the agency in which it was pending on the effective 
date of this Act.
    (2) No suit, action, or other proceeding commenced before the 
effective date of this Act shall abate by reason of the enactment of 
this Act.
    (h) Reports by Office of Management and Budget.--The Director of 
the Office of Management and Budget shall monitor and report to the 
Congress--
            (1) 60 days after the effective date of this Act, on the 
        amount of all funds expended in fiscal year 1995 by each agency 
        on the functions transferred under this Act and the amendments 
        made by this Act;
            (2) no later than October 1, 1995, on the amount of 
        unexpended balances of appropriations, authorizations, 
        allocations, and other funds transferred by all agencies to the 
        Administrative Law Judge Corps under this Act and the 
        amendments made by this Act; and
            (3) 1 year after the effective date of this Act, and each 
        of the next 2 years thereafter on--
                    (A) whether the expenditure of each agency that 
                transfers functions and duties under this Act and the 
                amendments made by this Act are reduced by the amount 
                of savings resulting from the transfer of such 
                functions and duties; and
                    (B) the Government savings resulting from transfer 
                of such functions to the Administrative Law Judge Corps 
                and recommendations to the Congress on how to achieve 
                additional savings.

SEC. 6. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated for each of fiscal years 
1996, 1997, 1998, 1999, and 2000 to carry out the provisions of this 
Act and subchapter VI of title 5, United States Code (as added by 
section 3 of this Act) such amounts as may be necessary, not to exceed 
in any such fiscal year the total amount expended by all agencies in 
fiscal year 1995 in performing all functions transferred under this Act 
and the amendments made by this Act.

SEC. 7. TECHNICAL AND CONFORMING AMENDMENTS.

    (a) Title 5, United States Code.--Title 5, United States Code, is 
amended as follows:
            (1) Section 593(b) is amended--
                    (A) by redesignating paragraphs (4), (5), and (6) 
                as paragraphs (5), (6), and (7), respectively, and
                    (B) by inserting the following after paragraph (3):
            ``(4) the chief administrative law judge of the 
        Administrative Law Judge Corps of the United States;''.
            (2) Section 3105 is amended to read as follows:
``Sec.  3105. Appointment of administrative law judges
    ``Administrative law judges shall be appointed by the Council of 
the Administrative Law Judge Corps pursuant to sections 596 and 599c of 
this title.''.
            (3) Section 3344, and the item relating to section 3344 in 
        the table of sections for chapter 33, are repealed.
            (4) Subchapter III of chapter 75, and the items relating to 
        subchapter III and section 7521 in the table of sections at the 
        beginning of chapter 75, are repealed.
            (5) Section 559 is amended--
                    (A) in the first sentence by striking ``chapter 7'' 
                and all that follows through ``7521'' and inserting 
                ``subchapter VI of this chapter, chapter 7, and 
                sections 1305, 3105, 4301(2)(E), and 5372''; and
                    (B) in the last sentence by striking ``chapter 7'' 
                and all that follows through ``7521'' and inserting 
                ``subchapter VI of this chapter, chapter 7, section 
                1305, 3105, 4301(2)(E), or 5372''.
            (6) Section 1305 is amended--
                    (A) by striking ``section 3105, 3344,'' and 
                inserting ``sections 3105,''; and
                    (B) by striking ``, and for the purpose of section 
                7521 of this title, the Merit Systems Protection Board 
                may''.
            (7) Section 5514(a)(2) is amended in the fourth sentence by 
        striking ``, except that'' and all that follows through 
        ``administrative law judge''.
            (8) Section 7105 is amended--
                    (A) in subsection (d) by striking ``, 
                administrative law judges under section 3105 of this 
                title,''; and
                    (B) in subsection (e)(2) by striking ``under 
                subsection (d) of this section'' and inserting ``under 
                section 3105 of this title''.
            (9) Section 7132(a) is amended by striking ``appointed by 
        the Authority under section 3105 of this title'' and inserting 
        ``appointed under section 3105 of this title who is conducting 
        hearings under this chapter''.
            (10) Section 7502 is amended by striking ``7521 or''.
            (11) Section 7512(E) is amended by striking ``or 7521''.
    (b) Other Provisions of Law.--
            (1) Section 6(c) of the Commodity Exchange Act is amended--
                    (A) in the second sentence (7 U.S.C. 9)--
                            (i) by striking ``Administrative Law Judge 
                        designated by the Commission'' and inserting 
                        ``administrative law judge of the 
                        Administrative Law Judge Corps''; and
                            (ii) by striking ``Administrative Law 
                        Judge'' and inserting ``administrative law 
                        judge''; and
                    (B) by striking ``Administrative Law Judge'' each 
                subsequent place it appears (7 U.S.C. 15) and inserting 
                ``administrative law judge of the Administrative Law 
                Judge Corps''.
            (2) Section 12(b) of the Commodity Exchange Act (7 U.S.C. 
        16(b)) is amended by striking ``Administrative Law Judges,''.
            (3) Section 274B(e)(2) of the Immigration and Nationality 
        Act (8 U.S.C. 1324b(e)(2)) is amended by striking ``are 
        specially designated by the Attorney General as having'' and 
        inserting ``have''.
            (4) Section 1416(a) of the Interstate Land Sales Full 
        Disclosure Act (15 U.S.C. 1715(a)) is amended--
                    (A) in the first sentence by inserting ``, subject 
                to section 599d of title 5, United States Code,'' after 
                ``who may'';
                    (B) by striking the second sentence; and
                    (C) in the third sentence by striking ``his 
                administrative law judges to other administrative law 
                judges or'' and inserting ``administrative law judges 
                carrying out functions under this title''.
            (5) Section 488A(b) of the Higher Education Act of 1965 (20 
        U.S.C. 1095a(b)) is amended in the third sentence by striking 
        ``, except that'' and all that follows through ``administrative 
        law judge''.
            (6) Section 509(1) of title 28, United States Code, is 
        amended--
                    (A) by striking ``subchapter II'' and inserting 
                ``subchapters II and VI''; and
                    (B) by striking ``employed by the Department of 
                Justice''.
            (7) Section 12 of the Occupational Safety and Health Act of 
        1970 (29 U.S.C. 661) is amended--
                    (A) in subsection (e)--
                            (i) by striking ``administrative law judges 
                        and other''; and
                            (ii) by striking ``: Provided'' and all 
                        that follows through the end of the subsection 
                        and inserting a period;
                    (B) in subsection (j) in the first sentence by 
                striking ``A'' and all that follows through 
                ``Commission,'' and inserting ``An administrative law 
                judge to whom is assigned any proceeding instituted 
                before the Commission shall hear and make a 
                determination upon the proceeding and any motion in 
                connection with such proceeding,''; and
                    (C) by striking subsection (k).
            (8) Section 502(e)(1) of the Rehabilitation Act of 1973 (29 
        U.S.C. 792(e)(1)) is amended by striking the second and third 
        sentences and inserting the following: ``Proceedings required 
        to be conducted under this section shall be presided over by 
        administrative law judges appointed under subchapter VI of 
        chapter 5 of title 5, United States Code.''.
            (9) Section 166 of the Job Training Partnership Act (29 
        U.S.C. 1576(a)) is amended in the first sentence by striking 
        ``of the Department of Labor''.
            (10) Section 5(e) of the Federal Mine Safety and Health Act 
        of 1977 (30 U.S.C. 804(e)) is amended to read as follows:
    ``(e) Proceedings required to be conducted in accordance with the 
provisions of this Act shall be presided over by administrative law 
judges appointed under subchapter VI of chapter 5 of title 5, United 
States Code.''.
            (11) Section 113 of the Federal Mine Safety and Health Act 
        of 1977 (30 U.S.C. 823) is amended--
                    (A) in subsection (b)(2) by striking all that 
                follows the second sentence;
                    (B) in subsection (d)(1) in the first sentence by 
                striking ``appointed by the Commission'' and all that 
                follows through ``by the Commission,'' and inserting 
                ``to whom is assigned any proceeding instituted before 
                the Commission shall hear and make a determination upon 
                the proceeding and any motion in connection with the 
                proceeding,''; and
                    (C) in subsection (e) in the first sentence by 
                striking ``its'' each place it appears.
            (12) Section 428(b) of the Black Lung Benefits Act (30 
        U.S.C. 938(b)) is amended by striking the seventh sentence.
            (13) Section 321(c)(1) of title 31, United States Code, is 
        amended--
                    (A) by striking ``subchapter II'' and inserting 
                ``subchapters II and VI''; and
                    (B) by striking ``employed by the Secretary''.
            (14) Section 3801(a)(7)(A) of title 31, United States Code, 
        is amended by striking ``appointed in the authority'' and all 
        that follows through ``such title;'' and inserting ``of the 
        Administrative Law Judge Corps;''.
            (15) Section 19(d) of the Longshore and Harbor Workers' 
        Compensation Act (33 U.S.C. 919(d)) is amended by amending the 
        second sentence to read as follows: ``Any such hearing shall be 
        conducted by an administrative law judge qualified under 
        subchapter VI of chapter 5 of that title.''.
            (16) Section 21(b)(5) of the Longshore and Harbor Workers' 
        Compensation Act (33 U.S.C. 921(b)(5)) is amended by striking 
        the first sentence.
            (17) Section 7101(b)(2)(B) of title 38, United States Code, 
        is amended by striking ``7521'' and inserting ``599e''.
            (18) Section 8(b)(1) of the Contract Disputes Act of 1978 
        (41 U.S.C. 607(b)(1)) is amended in the first sentence by 
        striking ``hearing examiners appointed pursuant to section 3105 
        of title 5, United States Code'' and inserting ``administrative 
        law judges appointed under section 3105 of title 5, United 
        States Code (as in effect on the day before the effective date 
        of the Reorganization of the Federal Administrative Judiciary 
        Act)''.
            (19) Section 705(a) of the Civil Rights Act of 1964 (42 
        U.S.C. 2000e-4(a)) is amended--
                    (A) by striking ``administrative law judges,''; and
                    (B) by striking ``: Provided'' and all that follows 
                through the end of the subsection and inserting a 
                period.
            (20) Section 808(c) of the Act of April 11, 1968 (42 U.S.C. 
        3608(c)), is amended--
                    (A) in the first sentence by inserting ``, subject 
                to section 599d of title 5, United States Code,'' after 
                ``The Secretary may'';
                    (B) by striking the second sentence; and
                    (C) in the last sentence by striking ``his hearing 
                examiners to other hearing examiners or'' and inserting 
                ``administrative law judges carrying out functions 
                under this title''.
            (21) Section 806 of the Omnibus Crime Control and Safe 
        Streets Act of 1968 (42 U.S.C. 3787) is amended--
                    (A) in the first sentence by striking ``appoint 
                such hearing examiners'' and all that follows through 
                ``United States Code,'' and inserting ``, subject to 
                section 599d of title 5, United States Code, request 
                the use of such administrative law judges''; and
                    (B) in the second sentence by striking ``hearing 
                examiner or administrative law judge assigned to or 
                employed thereby'' and inserting ``such administrative 
                law judge''.
            (22) Section 401(c) of the Department of Energy 
        Organization Act (42 U.S.C. 7171(c)) is amended by striking 
        ``appointment and employment of hearing examiners in accordance 
        with the provisions of title 5,'' and inserting ``referral of 
        cases to the Administrative Law Judge Corps in accordance with 
        subchapter VI of chapter 5 of title 5,''.
            (23) Section 303(c)(3) of the Independent Safety Board Act 
        of 1974 (49 U.S.C. App. 1902(c)(3)) is amended by striking ``, 
        attorneys, and administrative law judges'' and inserting ``and 
        attorneys''.
            (24) Section 304(b)(1) of the Independent Safety Board Act 
        of 1974 (49 U.S.C. App. 1903(b)(1)) is amended in the first 
        sentence by striking ``employed by or''.
    (c) References in Other Laws.--Reference in any other Federal law 
to an administrative law judge or hearing examiner or to an 
administrative law judge, hearing examiner, or employee appointed under 
section 3105 of title 5, United States Code, shall be deemed to refer 
to an administrative law judge of the Administrative Law Judge Corps 
established by section 598 of title 5, United States Code.

SEC. 8. OPERATION OF THE CORPS.

    Operation of the Corps shall commence on the date the first chief 
administrative law judge of the Corps takes office.

SEC. 9. CONTRACT DISPUTES ACT.

    Nothing in this Act or the amendments made by this Act shall be 
deemed to affect any agency board established pursuant to the Contract 
Disputes Act (41 U.S.C. 601 and following), or any other person 
designated to resolve claims or disputes pursuant to such Act.

SEC. 10. PAYMENT BY CERTAIN AGENCIES FOR ADMINISTRATIVE LAW JUDGE 
              SALARIES AND EXPENSES.

    Any agency which before the effective date of this Act paid the 
salaries and expenses of administrative law judges from fees charged by 
such agency shall on and after the effective date of this Act pay from 
such fees to the chief judge of the Administrative Law Judge Corps, or 
the designee of the chief judge, an amount necessary to reimburse the 
salaries and expenses of the Corps for services provided by the Corps 
to such agency.

SEC. 11. EFFECTIVE DATE.

    Except as otherwise provided, this Act and the amendments made by 
this Act shall take effect 120 days after the date of the enactment of 
this Act.
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