[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 870 Reported in Senate (RS)]






                                                       Calendar No. 919
106th CONGRESS
  2d Session
                                 S. 870

To amend the Inspector General Act of 1978 (5 U.S.C. App.) to increase 
   the efficiency and accountability of Offices of Inspector General 
          within Federal departments, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 22, 1999

 Ms. Collins (for herself, Mr. Roth, Mr. Grassley,  Mr. Bond, and Mr. 
   Stevens) introduced the following bill; which was read twice and 
           referred to the Committee on Governmental Affairs

            October 3 (legislative day, September 22), 2000

              Reported by Mr. Thompson, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL


 
To amend the Inspector General Act of 1978 (5 U.S.C. App.) to increase 
   the efficiency and accountability of Offices of Inspector General 
          within Federal departments, and for other purposes.

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

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Inspector General Act 
Amendments of 1999''.</DELETED>

<DELETED>SEC. 2. APPOINTMENT AND REMOVAL OF OFFICERS.</DELETED>

<DELETED>    (a) In General.--Section 3(a) of the Inspector General Act 
of 1978 (5 U.S.C. App.) is amended--</DELETED>
        <DELETED>    (1) by inserting ``(1)'' after ``(a)''; 
        and</DELETED>
        <DELETED>    (2) by adding at the end the following new 
        paragraph:</DELETED>
<DELETED>    ``(2)(A) Each appointment under this subsection shall be 
for a term of 9 years. An individual may serve more than 1 
term.</DELETED>
<DELETED>    ``(B) An individual may continue to serve as Inspector 
General beyond the expiration of the term until a successor is 
appointed and has qualified, except that such individual may not 
continue to serve for more than 1 year after the date on which the term 
would otherwise expire under this paragraph.''.</DELETED>
<DELETED>    (b) Effective Date.--The amendment made by this section 
shall take effect on the date of enactment of this Act and shall apply 
only to an appointment made on or after such date.</DELETED>

<DELETED>SEC. 3. PROHIBITION OF CASH BONUS OR AWARDS.</DELETED>

<DELETED>    Section 3 of the Inspector General Act of 1978 (5 U.S.C. 
App.) is amended by adding at the end the following:</DELETED>
<DELETED>    ``(e) An Inspector General (as defined under section 
8G(a)(2)(6) or 11(3)) may not receive any cash award or cash bonus, 
including any cash award under chapter 45 of title 5, United States 
Code.''.</DELETED>

<DELETED>SEC. 4. EXTERNAL REVIEWS.</DELETED>

<DELETED>    (a) In General.--Section 4 of the Inspector General Act of 
1978 (5 U.S.C. App.) is amended by inserting at the end the 
following:</DELETED>
<DELETED>    ``(e)(1)(A) Not less than every 3 years an external review 
shall be conducted of each Office defined under sections 11(4) and 
8G(5).</DELETED>
<DELETED>    ``(B) The Inspector General of each Office defined under 
sections 11(4) and 8G(5) shall arrange with the General Accounting 
Office or an appropriate private entity for the conduct of the 
review.</DELETED>
<DELETED>    ``(C) If an Inspector General contracts with a private 
entity for a review under this subsection, the private entity shall be 
contracted in accordance with section 303 of the Federal Property and 
Administrative Services Act of 1949 (41 U.S.C. 253).</DELETED>
<DELETED>    ``(2) At a minimum, an external review under this 
subsection shall evaluate whether the Office of Inspector General 
properly manages and controls--</DELETED>
        <DELETED>    ``(A) contracts awarded by the Office of Inspector 
        General, including a determination of whether--</DELETED>
                <DELETED>    ``(i) procedures used to procure contracts 
                are in accordance with applicable laws and regulations; 
                and</DELETED>
                <DELETED>    ``(ii) costs incurred are reasonable and 
                allowable under the terms of each contract;</DELETED>
        <DELETED>    ``(B) appropriated funds, including a 
        determination of whether training and travel funds are expended 
        in accordance with applicable laws and regulations; 
        and</DELETED>
        <DELETED>    ``(C) personnel actions, including a determination 
        of whether hiring and promotion practices used and performance 
        awards issued are in accordance with applicable laws and 
        regulations.</DELETED>
<DELETED>    ``(3) Not later than 30 calendar days after the completion 
of an external review, a report of the results shall be submitted to 
the head of the establishment and simultaneously to the appropriate 
committees or subcommittees of Congress.''.</DELETED>
<DELETED>    (b) Technical and Conforming Amendment.--The section 
heading for section 4 of the Inspector General Act of 1978 (5 U.S.C. 
App.) is amended to read as follows:</DELETED>

 <DELETED>``duties and responsibilities; report of criminal violations 
           to attorney general; external reviews''.</DELETED>

<DELETED>SEC. 5. ANNUAL REPORTS.</DELETED>

<DELETED>    (a) In General.--Section 5(a) of the Inspector General Act 
of 1978 (5 U.S.C. App.) is amended--</DELETED>
        <DELETED>    (1) by striking the first sentence and inserting 
        ``Each Inspector General shall, not later than October 31 of 
        each year, prepare annual reports summarizing the activities 
        and accomplishments of the Office during the immediately 
        preceding 12-month period ending September 30.'';</DELETED>
        <DELETED>    (2) by striking paragraphs (1) through (12) and 
        inserting the following:</DELETED>
        <DELETED>    ``(1) a summary of the program areas within the 
        establishment identified by the Inspector General as high risk 
        because of vulnerabilities to waste, fraud, abuse, and 
        mismanagement;</DELETED>
        <DELETED>    ``(2) a description of the most significant 
        audits, investigations (administrative, civil, and criminal), 
        and evaluations and inspections completed during the reporting 
        period;</DELETED>
        <DELETED>    ``(3) a summary of each report made to the head of 
        the establishment under section 6(b)(2) during the reporting 
        period;</DELETED>
        <DELETED>    ``(4) a table showing--</DELETED>
                <DELETED>    ``(A)(i) the total number of final audit 
                reports issued by the Office of Inspector General; 
                and</DELETED>
                <DELETED>    ``(ii) the financial benefits associated 
                with the reports segregated by category, such as budget 
                reductions, costs avoided, questioned costs, and 
                revenue enhancements; and</DELETED>
                <DELETED>    ``(B) corrective actions taken and program 
                improvements made during the reporting period in 
                response to either an Office of Inspector General audit 
                finding or recommendation (excluding any recommendation 
                included under subparagraph (A) with respect to such 
                corrective actions);</DELETED>
        <DELETED>    ``(5) a table showing--</DELETED>
                <DELETED>    ``(A) the judicial and administrative 
                actions associated with investigations conducted by the 
                Office of Inspector General;</DELETED>
                <DELETED>    ``(B) the number of--</DELETED>
                        <DELETED>    ``(i) cases referred for criminal 
                        prosecution, civil remedies, or administrative 
                        actions;</DELETED>
                        <DELETED>    ``(ii) cases presented but 
                        declined for prosecution, segregated by 
                        criminal and civil;</DELETED>
                        <DELETED>    ``(iii) cases accepted for 
                        prosecution (both Federal and State), 
                        segregated by criminal and civil;</DELETED>
                        <DELETED>    ``(iv) defendants 
                        indicted;</DELETED>
                        <DELETED>    ``(v) defendants 
                        convicted;</DELETED>
                        <DELETED>    ``(vi) defendants acquitted or 
                        charges dismissed after indictment;</DELETED>
                        <DELETED>    ``(vii) defendants sentenced to 
                        terms of imprisonment;</DELETED>
                        <DELETED>    ``(viii) defendants sentenced to 
                        terms of probation; and</DELETED>
                        <DELETED>    ``(ix) suspensions, disbarments, 
                        exclusions, sanctions, or some other similar 
                        administrative action; and</DELETED>
                <DELETED>    ``(C) the total amount of fines, 
                restitutions, and recoveries;</DELETED>
        <DELETED>    ``(6) a description of the organization and 
        management structure of the Office of Inspector General, 
        including--</DELETED>
                <DELETED>    ``(A) an organization chart showing the 
                major components of the Office;</DELETED>
                <DELETED>    ``(B) a statistical table showing the 
                number of authorized full-time equivalent positions 
                segregated by component and by headquarters and field 
                office; and</DELETED>
                <DELETED>    ``(C) the amount of funding received in 
                prior and current fiscal years;</DELETED>
        <DELETED>    ``(7) a table showing--</DELETED>
                <DELETED>    ``(A) the number of contracts, and 
                associated dollar value, awarded on a noncompetitive 
                basis by the Office of Inspector General; and</DELETED>
                <DELETED>    ``(B) with respect to any individual 
                contract valued over $100,000, awarded on a 
                noncompetitive basis--</DELETED>
                        <DELETED>    ``(i) the name of the 
                        contractor;</DELETED>
                        <DELETED>    ``(ii) statement of 
                        work;</DELETED>
                        <DELETED>    ``(iii) the time period of the 
                        contract; and</DELETED>
                        <DELETED>    ``(iv) the dollar amount of the 
                        contract;</DELETED>
        <DELETED>    ``(8)(A) a summary of each audit report issued in 
        previous reporting periods for which no management decision has 
        been made by the end of the reporting period (including the 
        date and title of each such report);</DELETED>
        <DELETED>    ``(B) an explanation of the reasons such 
        management decision has not been made; and</DELETED>
        <DELETED>    ``(C) a statement concerning the desired timetable 
        for achieving a management decision on each such 
        report;'';</DELETED>
        <DELETED>    (3) by redesignating paragraph (13) as paragraph 
        (9);</DELETED>
        <DELETED>    (4) in paragraph (9) (as redesignated by paragraph 
        (3) of this subsection)--</DELETED>
                <DELETED>    (A) by striking ``section 05(b)'' and 
                inserting ``section 804(b)''; and</DELETED>
                <DELETED>    (B) by striking the period and inserting a 
                semicolon and ``and''; and</DELETED>
        <DELETED>    (5) by adding at the end the following new 
        paragraph:</DELETED>
        <DELETED>    ``(10) any other information that the Inspector 
        General determines appropriate to include in the annual 
        report.''.</DELETED>
<DELETED>    (b) Semiannual Reports.--Section 5 of the Inspector 
General Act of 1978 (5 U.S.C. App.) is amended--</DELETED>
        <DELETED>    (1) by redesignating subsection (f) as subsection 
        (g); and</DELETED>
        <DELETED>    (2) by inserting after subsection (e) the 
        following:</DELETED>
<DELETED>    ``(f)(1) Subject to paragraph (4), in addition to any 
annual report required to be furnished and transmitted under subsection 
(b), an Inspector General shall prepare and submit a report described 
under paragraph (2) to--</DELETED>
        <DELETED>    ``(A) the applicable congressional committee, if 
        the chairman or ranking member of a congressional committee 
        with appropriate jurisdiction submits a written request to such 
        Inspector General; or</DELETED>
        <DELETED>    ``(B) to the Comptroller General of the United 
        States if the Comptroller General submits a written request to 
        such Inspector General.</DELETED>
<DELETED>    ``(2) A report referred to under paragraph (1) shall--
</DELETED>
        <DELETED>    ``(A) contain the information required for an 
        annual report under subsection (a); and</DELETED>
        <DELETED>    ``(B) summarize the activities of the Office 
        during the 6-month period ending on March 31 of the calendar 
        year following the date on which the request is made.</DELETED>
<DELETED>    ``(3) A report under this subsection shall be submitted on 
April 30 of the calendar year following the date on which the request 
is made.</DELETED>
<DELETED>    ``(4) An Inspector General shall not be required to submit 
a report under this subsection if the written request for such report 
is submitted to the Inspector General after November 30 of the calendar 
year preceding the date on which the report is otherwise required to be 
submitted to a congressional committee or the Comptroller 
General.''.</DELETED>
<DELETED>    (c) Submission of Other Reports.--Nothing in the 
amendments made by this section shall be construed to limit an 
Inspector General from submitting any report containing in whole or 
part information required in an annual or semiannual report furnished 
and transmitted under section 5 of the Inspector General Act of 1978 (5 
U.S.C. App.) to Congress more frequently than on an annual or 
semiannual basis.</DELETED>
<DELETED>    (d) Technical and Conforming Amendments.--</DELETED>
        <DELETED>    (1) Section 4(a)(2) of the Inspector General Act 
        of 1978 (5 U.S.C. App.) is amended by striking ``semiannual'' 
        and inserting ``annual''.</DELETED>
        <DELETED>    (2) Section 5 of the Inspector General Act of 1978 
        (5 U.S.C. App.) is amended--</DELETED>
                <DELETED>    (A) in subsection (b)--</DELETED>
                        <DELETED>    (i) by striking ``Semiannual'' and 
                        inserting ``Annual''; and</DELETED>
                        <DELETED>    (ii) by striking ``April 30 and''; 
                        and</DELETED>
                <DELETED>    (B) in subsection (c)--</DELETED>
                        <DELETED>    (i) in the first sentence by 
                        striking ``semiannual'' and inserting 
                        ``annual''; and</DELETED>
                        <DELETED>    (ii) in the second sentence by 
                        striking ``semiannual'' and inserting 
                        ``annual''.</DELETED>
        <DELETED>    (3) Section 8(f) of the Inspector General Act of 
        1978 (5 U.S.C. App.) is amended by striking ``semiannual'' and 
        inserting ``annual''.</DELETED>
        <DELETED>    (4) Section 8A(c) of the Inspector General Act of 
        1978 (5 U.S.C. App.) is amended by striking ``semiannual'' and 
        inserting ``annual''.</DELETED>

<DELETED>SEC. 6. INSPECTORS GENERAL AT LEVEL III OF EXECUTIVE 
              SCHEDULE.</DELETED>

<DELETED>    (a) Level IV Positions.--Section 5315 of title 5, United 
States Code, is amended by striking each item relating to the following 
positions:</DELETED>
        <DELETED>    (1) Inspector General, Department of 
        Education.</DELETED>
        <DELETED>    (2) Inspector General, Department of 
        Energy.</DELETED>
        <DELETED>    (3) Inspector General, Department of Health and 
        Human Services.</DELETED>
        <DELETED>    (4) Inspector General, Department of 
        Agriculture.</DELETED>
        <DELETED>    (5) Inspector General, Department of Housing and 
        Urban Development.</DELETED>
        <DELETED>    (6) Inspector General, Department of 
        Labor.</DELETED>
        <DELETED>    (7) Inspector General, Department of 
        Transportation.</DELETED>
        <DELETED>    (8) Inspector General, Department of Veterans 
        Affairs.</DELETED>
        <DELETED>    (9) Inspector General, Department of 
        Defense.</DELETED>
        <DELETED>    (10) Inspector General, United States Information 
        Agency.</DELETED>
        <DELETED>    (11) Inspector General, Department of 
        State.</DELETED>
        <DELETED>    (12) Inspector General, Department of 
        Commerce.</DELETED>
        <DELETED>    (13) Inspector General, Department of the 
        Interior.</DELETED>
        <DELETED>    (14) Inspector General, Department of 
        Justice.</DELETED>
        <DELETED>    (15) Inspector General, Department of the 
        Treasury.</DELETED>
        <DELETED>    (16) Inspector General, Agency for International 
        Development.</DELETED>
        <DELETED>    (17) Inspector General, Environmental Protection 
        Agency.</DELETED>
        <DELETED>    (18) Inspector General, Federal Emergency 
        Management Agency.</DELETED>
        <DELETED>    (19) Inspector General, General Services 
        Administration.</DELETED>
        <DELETED>    (20) Inspector General, National Aeronautics and 
        Space Administration.</DELETED>
        <DELETED>    (21) Inspector General, Nuclear Regulatory 
        Commission.</DELETED>
        <DELETED>    (22) Inspector General, Office of Personnel 
        Management.</DELETED>
        <DELETED>    (23) Inspector General, Railroad Retirement 
        Board.</DELETED>
        <DELETED>    (24) Inspector General, Small Business 
        Administration.</DELETED>
        <DELETED>    (25) Inspector General, Federal Deposit Insurance 
        Corporation.</DELETED>
        <DELETED>    (26) Inspector General, Resolution Trust 
        Corporation.</DELETED>
        <DELETED>    (27) Inspector General, Central Intelligence 
        Agency.</DELETED>
        <DELETED>    (28) Inspector General, Social Security 
        Administration.</DELETED>
        <DELETED>    (29) Inspector General, United States Postal 
        Service.</DELETED>
<DELETED>    (b) Level III Positions.--Section 5314 of title 5, United 
States Code, is amended by adding at the end the following:</DELETED>
        <DELETED>    ``Inspector General, Department of 
        Education.</DELETED>
        <DELETED>    ``Inspector General, Department of 
        Energy.</DELETED>
        <DELETED>    ``Inspector General, Department of Health and 
        Human Services.</DELETED>
        <DELETED>    ``Inspector General, Department of 
        Agriculture.</DELETED>
        <DELETED>    ``Inspector General, Department of Housing and 
        Urban Development.</DELETED>
        <DELETED>    ``Inspector General, Department of 
        Labor.</DELETED>
        <DELETED>    ``Inspector General, Department of 
        Transportation.</DELETED>
        <DELETED>    ``Inspector General, Department of Veterans 
        Affairs.</DELETED>
        <DELETED>    ``Inspector General, Department of 
        Defense.</DELETED>
        <DELETED>    ``Inspector General, Department of 
        State.</DELETED>
        <DELETED>    ``Inspector General, Department of 
        Commerce.</DELETED>
        <DELETED>    ``Inspector General, Department of the 
        Interior.</DELETED>
        <DELETED>    ``Inspector General, Department of 
        Justice.</DELETED>
        <DELETED>    ``Inspector General, Department of the 
        Treasury.</DELETED>
        <DELETED>    ``Inspector General, Agency for International 
        Development.</DELETED>
        <DELETED>    ``Inspector General, Corporation for Community and 
        National Service.</DELETED>
        <DELETED>    ``Inspector General, Environmental Protection 
        Agency.</DELETED>
        <DELETED>    ``Inspector General, Federal Emergency Management 
        Agency.</DELETED>
        <DELETED>    ``Inspector General, General Services 
        Administration.</DELETED>
        <DELETED>    ``Inspector General, National Aeronautics and 
        Space Administration.</DELETED>
        <DELETED>    ``Inspector General, Nuclear Regulatory 
        Commission.</DELETED>
        <DELETED>    ``Inspector General, Office of Personnel 
        Management.</DELETED>
        <DELETED>    ``Inspector General, Railroad Retirement 
        Board.</DELETED>
        <DELETED>    ``Inspector General, Small Business 
        Administration.</DELETED>
        <DELETED>    ``Inspector General, Federal Deposit Insurance 
        Corporation.</DELETED>
        <DELETED>    ``Inspector General, Central Intelligence 
        Agency.</DELETED>
        <DELETED>    ``Inspector General, Social Security 
        Administration.</DELETED>
        <DELETED>    ``Inspector General, United States Postal 
        Service.''.</DELETED>
<DELETED>    (c) Savings Provision.--Nothing in this section shall have 
the effect of reducing the rate of pay of any individual serving as an 
Inspector General on the effective date of this section.</DELETED>

<DELETED>SEC. 7. OFFICES OF INSPECTOR GENERAL IN CERTAIN DESIGNATED 
              FEDERAL ENTITIES.</DELETED>

<DELETED>    (a) Transfer of Functions.--Section 9(a)(1) of the 
Inspector General Act of 1978 is amended--</DELETED>
        <DELETED>    (1) in subparagraph (J)--</DELETED>
                <DELETED>    (A) by inserting ``(i)'' after 
                ``(J)'';</DELETED>
                <DELETED>    (B) by inserting ``and'' after the 
                semicolon; and</DELETED>
                <DELETED>    (C) by adding at the end the 
                following:</DELETED>
                        <DELETED>    ``(ii) of the Department of Labor, 
                        the Office of Inspector General of the Pensions 
                        Benefit Guaranty Corporation, effective 30 days 
                        after the date of enactment of the Inspector 
                        General Act Amendments of 1999;'';</DELETED>
        <DELETED>    (2) in subparagraph (K)--</DELETED>
                <DELETED>    (A) by inserting ``(i)'' after 
                ``(K)'';</DELETED>
                <DELETED>    (B) by inserting ``and'' after the 
                semicolon; and</DELETED>
                <DELETED>    (C) by adding at the end the 
                following:</DELETED>
                        <DELETED>    ``(ii) of the Department of 
                        Transportation, the Office of Inspector General 
                        of the Federal Maritime Commission, effective 
                        30 days after the date of enactment of the 
                        Inspector General Act Amendments of 1999;''; 
                        and</DELETED>
        <DELETED>    (3) in subparagraph (R)--</DELETED>
                <DELETED>    (A) by inserting ``(i)'' after 
                ``(R)'';</DELETED>
                <DELETED>    (B) by inserting ``and'' after the 
                semicolon; and</DELETED>
                <DELETED>    (C) by adding at the end the 
                following:</DELETED>
                        <DELETED>    ``(ii) of the Office of Personnel 
                        Management, the Office of Inspector General of 
                        the Federal Labor Relations Authority, 
                        effective 30 days after the date of enactment 
                        of the Inspector General Act Amendments of 
                        1999;''.</DELETED>
<DELETED>    (b) Administrative Provisions.--</DELETED>
        <DELETED>    (1) Termination of offices.--The Office of 
        Inspector General of each designated Federal entity transferred 
        under subsection (a) is terminated.</DELETED>
        <DELETED>    (2) Incumbents.--The individual who is the 
        Inspector General of a designated Federal entity transferred 
        under subsection (a)--</DELETED>
                <DELETED>    (A) shall be transferred to the Office of 
                Inspector General of the applicable 
                establishment;</DELETED>
                <DELETED>    (B) shall be an employee of such Office 
                under the direction of the Inspector General of the 
                applicable establishment; and</DELETED>
                <DELETED>    (C) shall continue to be compensated at 
                not less than the rate provided for before such 
                transfer, for at least 1 year after the date of such 
                transfer.</DELETED>
        <DELETED>    (3) Personnel and assets.--Section 9 (b) and (c) 
        of the Inspector General Act of 1978 (5 U.S.C. App.) shall 
        apply to the transfers made by the amendments under subsection 
        (a) of this section.</DELETED>
<DELETED>    (c) Former Designated Federal Entity.--Section 8G(a)(2) of 
the Inspector General Act of 1978 (5 U.S.C. App.) is amended by 
striking ``the Corporation for Public Broadcasting, the Equal 
Employment Opportunity Commission, the Farm Credit Administration, the 
Federal Communications Commission, the Federal Election Commission, the 
Federal Housing Finance Board, the Federal Labor Relations Authority, 
the Federal Maritime Commission, the Federal Trade Commission, the 
Legal Services Corporation, the National Archives and Records 
Administration, the National Credit Union Administration, the National 
Endowment for the Arts, the National Endowment for the Humanities, the 
National Labor Relations Board, the National Science Foundation, the 
Panama Canal Commission, the Peace Corps, the Pension Benefit Guaranty 
Corporation,'' and inserting ``the Corporation for Public Broadcasting, 
the Equal Employment Opportunity Commission, the Farm Credit 
Administration, the Federal Communications Commission, the Federal 
Election Commission, the Federal Housing Finance Board, the Federal 
Trade Commission, the Legal Services Corporation, the National Archives 
and Records Administration, the National Credit Union Administration, 
the National Endowment for the Arts and the National Endowment for the 
Humanities, the National Labor Relations Board, the National Science 
Foundation, the Panama Canal Commission, the Peace Corps,''.</DELETED>
<DELETED>    (d) Amendments Relating to Special Provisions Concerning 
Former Designated Federal Entities.--</DELETED>
        <DELETED>    (1) Rule of construction of special provisions.--
        Section 8I of the Inspector General Act of 1978 (5 U.S.C. App.) 
        (relating to rule of construction of special provisions) is 
        amended--</DELETED>
                <DELETED>    (A) by striking ``Sec. 8I'' and inserting 
                ``Sec. 8K''; and</DELETED>
                <DELETED>    (B) by striking all beginning with 
                ``special provisions'' through ``of this Act'' and 
                inserting ``special provisions under section 8, 8A, 8B, 
                8C, 8D, 8E, 8F, or 8H of this Act.''.</DELETED>
        <DELETED>    (2) Special provisions concerning former 
        designated federal entities.--The Inspector General Act of 1978 
        (5 U.S.C. App.) is amended by inserting after section 8H the 
        following:</DELETED>

  <DELETED>``special provisions concerning former designated federal 
                           entities</DELETED>

<DELETED>    ``Sec. 8I. (a) For purposes of this section, the term--
</DELETED>
        <DELETED>    ``(1) `establishment' means any establishment to 
        which an office is transferred under section 9(a)(1) (J), (K), 
        or (R); and</DELETED>
        <DELETED>    ``(2) `former designated Federal entity' means a 
        designated Federal entity from which any office is transferred 
        under section 9(a)(1) (J), (K), or (R).</DELETED>
<DELETED>    ``(b) The Office of Inspector General of each 
establishment shall perform all duties, responsibilities, and functions 
of an Office of Inspector General under this Act with respect to each 
applicable former designated Federal entity.</DELETED>
<DELETED>    ``(c) The Inspector General of an establishment shall 
prepare and submit an annual report under section 5 relating to each 
applicable former designated Federal entity to the head of such former 
designated Federal entity.</DELETED>
<DELETED>    ``(d) In the administration of section 5(d) with respect 
to a former designated Federal entity--</DELETED>
        <DELETED>    ``(1) the Inspector General shall make the 
        required report to the head of such former designated Federal 
        entity instead of the head of the establishment; and</DELETED>
        <DELETED>    ``(2) the head of such former designated Federal 
        entity shall make the required transmittal to 
        Congress.</DELETED>
<DELETED>    ``(e) The head of each former designated Federal entity 
shall provide the Office of the Inspector General of the applicable 
establishment with such office space, equipment, supplies, facilities, 
and services as may be necessary, in the same manner as provided under 
section 6(c).</DELETED>

<DELETED>``special provisions concerning the national endowment for the 
      arts and the national endowment for the humanities</DELETED>

<DELETED>    ``Sec. 8J. For purposes of this Act--</DELETED>
        <DELETED>    ``(1) the National Endowment for the Arts and the 
        National Endowment for the Humanities shall be treated as a 
        single designated Federal entity;</DELETED>
        <DELETED>    ``(2) subject to paragraph (3), the heads of the 
        designated Federal entities of the National Endowment for the 
        Arts and the National Endowment for the Humanities (as 
        determined under section 8H) shall jointly exercise all 
        functions of the head of a designated Federal entity; 
        and</DELETED>
        <DELETED>    ``(3) in the appointment of a single Inspector 
        General for the National Endowment for the Arts and the 
        National Endowment for the Humanities, the heads of such 
        designated Federal entities shall consult with the Deputy 
Director for Management of the Office of Management and 
Budget.''.</DELETED>
<DELETED>    (e) Effective Date.--The amendments made by this section 
shall take effect 30 days after the date of enactment of this 
Act.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Inspector General Act Amendments of 
2000''.

SEC. 2. PROHIBITION OF CASH BONUS OR AWARDS.

    Section 3 of the Inspector General Act of 1978 (5 U.S.C. App.) is 
amended by adding at the end the following:
    ``(e) An Inspector General (as defined under section 8G(a)(6) or 
11(3)) may not receive any cash award or cash bonus, including any cash 
award under chapter 45 of title 5, United States Code.''.

SEC. 3. EXTERNAL REVIEWS.

    (a) In General.--Section 4 of the Inspector General Act of 1978 (5 
U.S.C. App.) is amended by inserting at the end the following:
    ``(e)(1)(A) Not less than every 3 years an external review shall be 
conducted of each Office defined under sections 11(4) and 8G(a)(5).
    ``(B) The Inspector General of each Office defined under sections 
11(4) and 8G(5) shall arrange with the General Accounting Office or an 
appropriate private entity for the conduct of the review.
    ``(C) If an Inspector General contracts with a private entity for a 
review under this subsection, the private entity shall be contracted in 
accordance with section 303 of the Federal Property and Administrative 
Services Act of 1949 (41 U.S.C. 253).
    ``(2) At a minimum, an external review under this subsection shall 
evaluate whether the Office of Inspector General properly manages and 
controls--
            ``(A) contracts awarded by the Office of Inspector General, 
        including a determination of whether--
                    ``(i) procedures used to procure contracts are in 
                accordance with applicable laws and regulations; and
                    ``(ii) costs incurred are reasonable and allowable 
                under the terms of each contract;
            ``(B) appropriated funds, including a determination of 
        whether training and travel funds are expended in accordance 
        with applicable laws and regulations; and
            ``(C) personnel actions, including a determination of 
        whether hiring and promotion practices used and performance 
        awards issued are in accordance with applicable laws and 
        regulations.
    ``(3) Not later than 30 calendar days after the completion of an 
external review, a report of the results shall be submitted to the head 
of the establishment and simultaneously to the appropriate committees 
or subcommittees of Congress.''.
    (b) Technical and Conforming Amendment.--The section heading for 
section 4 of the Inspector General Act of 1978 (5 U.S.C. App.) is 
amended to read as follows:

    ``duties and responsibilities; report of criminal violations to 
                 attorney general; external reviews''.

SEC. 4. ANNUAL REPORTS.

    (a) In General.--Section 5(a) of the Inspector General Act of 1978 
(5 U.S.C. App.) is amended--
            (1) by striking the first sentence and inserting ``Each 
        Inspector General shall, not later than October 31 of each 
        year, prepare annual reports summarizing the activities and 
        accomplishments of the Office during the immediately preceding 
        12-month period ending September 30.'';
            (2) by striking paragraphs (1) through (12) and inserting 
        the following:
            ``(1) a summary of the program areas within the 
        establishment identified by the Inspector General as high risk 
        because of vulnerabilities to waste, fraud, abuse, and 
        mismanagement;
            ``(2) a description of the most significant audits, 
        investigations (administrative, civil, and criminal), and 
        evaluations and inspections completed during the reporting 
        period;
            ``(3) a summary of each report made to the head of the 
        establishment under section 6(b)(2) during the reporting 
        period;
            ``(4) a table showing--
                    ``(A)(i) the total number of final audit reports 
                issued by the Office of Inspector General; and
                    ``(ii) the financial benefits associated with the 
                reports segregated by category, such as budget 
                reductions, costs avoided, questioned costs, and 
                revenue enhancements; and
                    ``(B) corrective actions taken and program 
                improvements made during the reporting period in 
                response to either an Office of Inspector General audit 
                finding or recommendation (excluding any recommendation 
                included under subparagraph (A) with respect to such 
                corrective actions);
            ``(5) a table showing--
                    ``(A) the judicial and administrative actions 
                associated with investigations conducted by the Office 
                of Inspector General;
                    ``(B) the number of--
                            ``(i) cases referred for criminal 
                        prosecution, civil remedies, or administrative 
                        actions;
                            ``(ii) cases presented but declined for 
                        prosecution, segregated by criminal and civil;
                            ``(iii) cases accepted for prosecution 
                        (both Federal and State), segregated by 
                        criminal and civil;
                            ``(iv) defendants indicted;
                            ``(v) defendants convicted;
                            ``(vi) defendants acquitted or charges 
                        dismissed after indictment;
                            ``(vii) defendants sentenced to terms of 
                        imprisonment;
                            ``(viii) defendants sentenced to terms of 
                        probation; and
                            ``(ix) suspensions, disbarments, 
                        exclusions, sanctions, or some other similar 
                        administrative action; and
                    ``(C) the total amount of fines, restitutions, and 
                recoveries;
            ``(6) a description of the organization and management 
        structure of the Office of Inspector General, including--
                    ``(A) an organization chart showing the major 
                components of the Office;
                    ``(B) a statistical table showing the number of 
                authorized full-time equivalent positions segregated by 
                component and by headquarters and field office; and
                    ``(C) the amount of funding received in prior and 
                current fiscal years;
            ``(7) a table showing--
                    ``(A) the number of contracts, and associated 
                dollar value, awarded on a noncompetitive basis by the 
                Office of Inspector General; and
                    ``(B) with respect to any individual contract 
                valued over $100,000, awarded on a noncompetitive 
                basis--
                            ``(i) the name of the contractor;
                            ``(ii) statement of work;
                            ``(iii) the time period of the contract; 
                        and
                            ``(iv) the dollar amount of the contract;
            ``(8)(A) a summary of each audit report issued in previous 
        reporting periods for which no management decision has been 
        made by the end of the reporting period (including the date and 
        title of each such report);
            ``(B) an explanation of the reasons such management 
        decision has not been made; and
            ``(C) a statement concerning the desired timetable for 
        achieving a management decision on each such report;'';
            (3) by redesignating paragraph (13) as paragraph (9);
            (4) in paragraph (9) (as redesignated by paragraph (3) of 
        this subsection)--
                    (A) by striking ``section 05(b)'' and inserting 
                ``section 804(b)''; and
                    (B) by striking the period and inserting a 
                semicolon and ``and''; and
            (5) by adding at the end the following new paragraph:
            ``(10) any other information that the Inspector General 
        determines appropriate to include in the annual report.''.
    (b) Semiannual Reports.--Section 5 of the Inspector General Act of 
1978 (5 U.S.C. App.) is amended--
            (1) by redesignating subsection (f) as subsection (g); and
            (2) by inserting after subsection (e) the following:
    ``(f)(1) Subject to paragraph (4), in addition to any annual report 
required to be furnished and transmitted under subsection (b), an 
Inspector General shall prepare and submit a report described under 
paragraph (2) to--
            ``(A) the applicable congressional committee, if the 
        chairman or ranking member of a congressional committee with 
        appropriate jurisdiction submits a written request to such 
        Inspector General; or
            ``(B) to the Comptroller General of the United States if 
        the Comptroller General submits a written request to such 
        Inspector General.
    ``(2) A report referred to under paragraph (1) shall--
            ``(A) contain the information required for an annual report 
        under subsection (a); and
            ``(B) summarize the activities of the Office during the 6-
        month period ending on March 31 of the calendar year following 
        the date on which the request is made.
    ``(3) A report under this subsection shall be submitted on April 30 
of the calendar year following the date on which the request is made.
    ``(4) An Inspector General shall not be required to submit a report 
under this subsection if the written request for such report is 
submitted to the Inspector General after November 30 of the calendar 
year preceding the date on which the report is otherwise required to be 
submitted to a congressional committee or the Comptroller General.''.
    (c) Submission of Other Reports.--Nothing in the amendments made by 
this section shall be construed to limit an Inspector General from 
submitting any report containing in whole or part information required 
in an annual or semiannual report furnished and transmitted under 
section 5 of the Inspector General Act of 1978 (5 U.S.C. App.) to 
Congress more frequently than on an annual or semiannual basis.
    (d) Technical and Conforming Amendments.--
            (1) Section 4(a)(2) of the Inspector General Act of 1978 (5 
        U.S.C. App.) is amended by striking ``semiannual'' and 
        inserting ``annual''.
            (2) Section 5 of the Inspector General Act of 1978 (5 
        U.S.C. App.) is amended--
                    (A) in subsection (b)--
                            (i) by striking ``Semiannual'' and 
                        inserting ``Annual''; and
                            (ii) by striking ``April 30 and''; and
                    (B) in subsection (c)--
                            (i) in the first sentence by striking 
                        ``semiannual'' and inserting ``annual''; and
                            (ii) in the second sentence by striking 
                        ``semiannual'' and inserting ``annual''.
            (3) Section 8(f) of the Inspector General Act of 1978 (5 
        U.S.C. App.) is amended by striking ``semiannual'' and 
        inserting ``annual''.
            (4) Section 8A(c) of the Inspector General Act of 1978 (5 
        U.S.C. App.) is amended by striking ``semiannual'' and 
        inserting ``annual''.

SEC. 5. INSPECTORS GENERAL AT LEVEL III OF EXECUTIVE SCHEDULE.

    (a) Level IV Positions.--Section 5315 of title 5, United States 
Code, is amended by striking each item relating to the following 
positions:
            (1) Inspector General, Department of Education.
            (2) Inspector General, Department of Energy.
            (3) Inspector General, Department of Health and Human 
        Services.
            (4) Inspector General, Department of Agriculture.
            (5) Inspector General, Department of Housing and Urban 
        Development.
            (6) Inspector General, Department of Labor.
            (7) Inspector General, Department of Transportation.
            (8) Inspector General, Department of Veterans Affairs.
            (9) Inspector General, Department of Defense.
            (10) Inspector General, United States Information Agency.
            (11) Inspector General, Department of State.
            (12) Inspector General, Department of Commerce.
            (13) Inspector General, Department of the Interior.
            (14) Inspector General, Department of Justice.
            (15) Inspector General, Department of the Treasury.
            (16) Inspector General, Agency for International 
        Development.
            (17) Inspector General, Environmental Protection Agency.
            (18) Inspector General, Federal Emergency Management 
        Agency.
            (19) Inspector General, General Services Administration.
            (20) Inspector General, National Aeronautics and Space 
        Administration.
            (21) Inspector General, Nuclear Regulatory Commission.
            (22) Inspector General, Office of Personnel Management.
            (23) Inspector General, Railroad Retirement Board.
            (24) Inspector General, Small Business Administration.
            (25) Inspector General, Federal Deposit Insurance 
        Corporation.
            (26) Inspector General, Resolution Trust Corporation.
            (27) Inspector General, Central Intelligence Agency.
            (28) Inspector General, Social Security Administration.
            (29) Inspector General, United States Postal Service.
    (b) Level III Positions.--Section 5314 of title 5, United States 
Code, is amended by adding at the end the following:
            ``Inspector General, Department of Education.
            ``Inspector General, Department of Energy.
            ``Inspector General, Department of Health and Human 
        Services.
            ``Inspector General, Department of Agriculture.
            ``Inspector General, Department of Housing and Urban 
        Development.
            ``Inspector General, Department of Labor.
            ``Inspector General, Department of Transportation.
            ``Inspector General, Department of Veterans Affairs.
            ``Inspector General, Department of Defense.
            ``Inspector General, Department of State.
            ``Inspector General, Department of Commerce.
            ``Inspector General, Department of the Interior.
            ``Inspector General, Department of Justice.
            ``Inspector General, Department of the Treasury.
            ``Inspector General, Agency for International Development.
            ``Inspector General, Corporation for Community and National 
        Service.
            ``Inspector General, Environmental Protection Agency.
            ``Inspector General, Federal Emergency Management Agency.
            ``Inspector General, General Services Administration.
            ``Inspector General, National Aeronautics and Space 
        Administration.
            ``Inspector General, Nuclear Regulatory Commission.
            ``Inspector General, Office of Personnel Management.
            ``Inspector General, Railroad Retirement Board.
            ``Inspector General, Small Business Administration.
            ``Inspector General, Federal Deposit Insurance Corporation.
            ``Inspector General, Central Intelligence Agency.
            ``Inspector General, Social Security Administration.
            ``Inspector General, United States Postal Service.''.
    (c) Savings Provision.--Nothing in this section shall have the 
effect of reducing the rate of pay of any individual serving as an 
Inspector General on the effective date of this section.

SEC. 6. STUDY AND REPORT ON CONSOLIDATION OF INSPECTOR GENERAL OFFICES.

    (a) Study.--The Comptroller General shall--
            (1) develop criteria for determining whether the 
        consolidation of Federal Inspector General offices would be 
        cost-efficient and in the public interest; and
            (2) conduct a study of Federal Inspector General offices 
        using the criteria developed under paragraph (1) to determine 
        whether any such offices should be consolidated.
    (b) Report to Congress.--Not later than 180 days after the date of 
enactment of this Act, the Comptroller General shall submit a report to 
Congress containing recommendations for any legislative action, based 
on the study conducted under paragraph (2).




                                                       Calendar No. 919

106th CONGRESS

  2d Session

                                 S. 870

_______________________________________________________________________

                                 A BILL

To amend the Inspector General Act of 1978 (5 U.S.C. App.) to increase 
   the efficiency and accountability of Offices of Inspector General 
          within Federal departments, and for other purposes.

_______________________________________________________________________

            October 3 (legislative day, September 22), 2000

                       Reported with an amendment