[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 1603 Introduced in Senate (IS)]
107th CONGRESS
1st Session
S. 1603
To provide for reform relating to Federal employment, and for other
purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
October 31, 2001
Mr. Voinovich (for himself and Mr. Thompson) introduced the following
bill; which was read twice and referred to the Committee on
Governmental Affairs
_______________________________________________________________________
A BILL
To provide for reform relating to Federal employment, 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; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Federal Human
Capital Act of 2001''.
(b) Table of Contents.--The table of contents of this Act is as
follows:
Sec. 1. Short title; table of contents.
TITLE I--CHIEF HUMAN CAPITAL OFFICERS
Sec. 101. Short title.
Sec. 102. Agency Chief Human Capital Officers.
Sec. 103. Compensation.
Sec. 104. Chief Human Capital Officers Council.
Sec. 105. Report on human capital metrics for the Federal Government.
Sec. 106. Effective date.
TITLE II--REFORM RELATING TO FEDERAL HUMAN CAPITAL MANAGEMENT
Sec. 201. Inclusion of agency human capital strategic planning in
program performance reports.
Sec. 202. Reform of the competitive service hiring process.
Sec. 203. Permanent extension, revision, and expansion of authorities
for use of voluntary separation incentive
pay and voluntary early retirement.
Sec. 204. Phased retirement for certain specialized positions.
Sec. 205. Streamlined critical pay authority.
Sec. 206. Expedited approval for appointments to positions classified
above GS-15.
Sec. 207. Improvement and accountability of Federal employee
performance.
TITLE III--REFORMS RELATING TO THE SENIOR EXECUTIVE SERVICE
Sec. 301. Assignment of senior executives to private organizations.
Sec. 302. Repeal of recertification requirements of senior executives.
Sec. 303. Management and scientific or technical qualifications for
certain senior level positions.
TITLE IV--REFORMS RELATING TO FEDERAL EMPLOYEE CAREER DEVELOPMENT AND
BENEFITS
Sec. 401. Agency training.
Sec. 402. Accrual of leave for newly hired Federal employees with
qualified experience.
Sec. 403. Expansion of national security education program to include
education for service governmentwide.
TITLE I--CHIEF HUMAN CAPITAL OFFICERS
SEC. 101. SHORT TITLE.
This title may be cited as the ``Chief Human Capital Officers Act
of 2001''.
SEC. 102. AGENCY CHIEF HUMAN CAPITAL OFFICERS.
(a) In General.--Part II of title 5, United States Code, is amended
by inserting after chapter 13 the following:
``Chapter 14--Agency Chief Human Capital Officers
``Sec.
``1401. Establishment of agency Chief Human Capital Officers.
``1402. Authority and functions of agency Chief Human Capital Officers.
``1403. Establishment of agency Deputy Chief Human Capital Officers.
``Sec. 1401. Establishment of agency Chief Human Capital Officers
``(a) There shall be within each agency described in subsection (b)
an agency Chief Human Capital Officer. Each agency Chief Human Capital
Officer shall--
``(1) for those agencies described in subsection (b)(1)--
``(A) be appointed by the President, by and with
the advice and consent of the Senate; or
``(B) be designated by the President, in
consultation with the head of the agency, from among
officials of the agency who are required by law to be
so appointed;
``(2) for those agencies described in subsection (b)(2)--
``(A) be appointed by the head of the agency;
``(B) be in the competitive service or the senior
executive service; and
``(C) be career appointees; and
``(3) be appointed or designated, as applicable, from among
individuals who possess demonstrated ability in general
management of, and knowledge of and extensive practical
experience in human resources practices in large governmental
or business entities.
``(b)(1) The agencies referred to in subsection (a)(1) are the
following:
``(A) The Department of Agriculture.
``(B) The Department of Commerce.
``(C) The Department of Defense.
``(D) The Department of Education.
``(E) The Department of Energy.
``(F) The Department of Health and Human Services.
``(G) The Department of Housing and Urban Development.
``(H) The Department of the Interior.
``(I) The Department of Justice.
``(J) The Department of Labor.
``(K) The Department of State.
``(L) The Department of Transportation.
``(M) The Department of the Treasury.
``(N) The Department of Veterans Affairs.
``(O) The Environmental Protection Agency.
``(P) The National Aeronautics and Space Administration.
``(2) The agencies referred to in subsection (a)(2) are the
following:
``(A) The Agency for International Development.
``(B) The Federal Emergency Management Agency.
``(C) The General Services Administration.
``(D) The National Science Foundation.
``(E) The Nuclear Regulatory Commission.
``(F) The Office of Personnel Management.
``(G) The Small Business Administration.
``Sec. 1402. Authority and functions of agency Chief Human Capital
Officers
``(a) An agency Chief Human Capital Officer shall--
``(1) set the workforce development strategy of the agency;
``(2) assess current workforce characteristics and future
needs based on the strategic plan and mission of the agency;
``(3) align human resources policies with organization
mission, strategic goals, and performance outcomes;
``(4) develop and advocate a culture of continuous learning
to attract and retain employees with superior abilities;
``(5) identify best practices and benchmarking studies; and
``(6) create systems for measuring intellectual capital and
identifying links of that capital to organizational performance
and growth.
``(b)(1) In addition to the authority otherwise provided by this
section, each agency Chief Human Capital Officer--
``(A) subject to paragraph (2), shall have access to all
records, reports, audits, reviews, documents, papers,
recommendations, or other material which are the property of
the agency or which are available to the agency, and which
relate to programs and operations with respect to which that
agency Chief Human Capital Officer has responsibilities under
this section;
``(B) may request such information or assistance as may be
necessary for carrying out the duties and responsibilities
provided by this section from any Federal, State, or local
governmental entity; and
``(C) to the extent and in such amounts as may be provided
in advance by appropriations Acts, may--
``(i) enter into contracts and other arrangements
with public agencies and with private persons for the
preparation of studies, analyses, and other services;
and
``(ii) make such payments as may be necessary to
carry out this section.
``(2) Except as provided in paragraph (1)(B), this subsection does
not provide to an agency Chief Human Capital Officer any access greater
than permitted under any other law to records, reports, audits,
reviews, documents, papers, recommendations, or other material of any
Office of Inspector General established under the Inspector General Act
of 1978 (5 U.S.C. App.).
``Sec. 1403. Establishment of agency Deputy Chief Human Capital
Officers
``(a) There shall be within each agency described in section
1401(b) an agency Deputy Chief Human Capital Officer, who shall report
directly to the agency Chief Human Capital Officer on human resources
management matters. The position of agency Deputy Chief Human Capital
Officer shall be a career reserved position in the Senior Executive
Service.
``(b) Consistent with qualification standards developed by, and in
consultation with, the agency Chief Human Capital Officer, the head of
each agency shall appoint as Deputy Chief Human Capital Officer an
individual with demonstrated ability and experience in human resources,
and not less than 6 years practical experience in human resources
management at large governmental entities.''.
(b) Technical and Conforming Amendment.--The table of chapters for
part II of title 5, United States Code, is amended by inserting after
the item relating to chapter 13 the following:
``14. Agency Chief Human Capital Officers................... 1401.''.
SEC. 103. COMPENSATION.
Section 5315 of title 5, United States Code, is amended by adding
at the end the following:
``Chief Human Capital Officer, Department of Agriculture.
``Chief Human Capital Officer, Department of Commerce.
``Chief Human Capital Officer, Department of Defense.
``Chief Human Capital Officer, Department of Education.
``Chief Human Capital Officer, Department of Energy.
``Chief Human Capital Officer, Department of Health and
Human Services.
``Chief Human Capital Officer, Department of Housing and
Urban Development.
``Chief Human Capital Officer, Department of the Interior.
``Chief Human Capital Officer, Department of Justice.
``Chief Human Capital Officer, Department of Labor.
``Chief Human Capital Officer, Department of State.
``Chief Human Capital Officer, Department of
Transportation.
``Chief Human Capital Officer, Department of the Treasury.
``Chief Human Capital Officer, Department of Veterans
Affairs.
``Chief Human Capital Officer, Environmental Protection
Agency.
``Chief Human Capital Officer, National Aeronautics and
Space Administration.''.
SEC. 104. CHIEF HUMAN CAPITAL OFFICERS COUNCIL.
(a) Establishment.--There is established a Chief Human Capital
Officers Council, consisting of--
(1) the Director of the Office of Personnel Management and
the Deputy Director of the Office of Personnel Management, who
shall act as co-chairpersons of the council; and
(2) each of the agency Chief Human Capital Officers
appointed under section 1401 of title 5, United States Code, as
added by this Act.
(b) Functions.--The Chief Human Capital Officers Council shall meet
periodically to advise and coordinate the activities of the agencies of
its members on such matters as modernization of human resources
systems, improved quality of human resources information, and
legislation affecting human resources operations and organizations.
SEC. 105. REPORT ON HUMAN CAPITAL METRICS FOR THE FEDERAL GOVERNMENT.
(a) In General.--The Office of Personnel Management shall enter
into a contract with the National Academy of Public Administration to
conduct a study and prepare a report on the feasibility and
desirability of developing human capital metrics for use by the Federal
Government.
(b) Contents.--The report under subsection (a) shall examine the
feasibility and desirability of developing a proposed set of metrics
that--
(1) may be applied to the Federal Government human capital
process;
(2) provides for the basic quantitative analysis and
measurement for human capital that are necessary for reform
efforts;
(3) provides for standardized measurements of--
(A) the efficiency of the human capital process of
a Federal agency; and
(B) the success of a Federal agency in achieving
human capital objectives;
(4) provides for an accurate comparison among agencies to
encourage management focus on human capital issues; and
(5) may be used as the basis for regular reports prepared
by Chief Human Capital Officers.
(c) Submission of Report.--Not later than 1 year after the date of
enactment of this Act, the Office of Personnel Management shall submit
the report prepared under this section to--
(1) the Committee on Governmental Affairs of the Senate;
and
(2) the Committee on Government Reform of the House of
Representatives.
SEC. 106. EFFECTIVE DATE.
(a) In General.--Except as provided under subsection (b), this
title shall take effect 180 days after the date of enactment of this
Act.
(b) Report.--Section 105 shall take effect on the date of enactment
of this Act.
TITLE II--REFORM RELATING TO FEDERAL HUMAN CAPITAL MANAGEMENT
SEC. 201. INCLUSION OF AGENCY HUMAN CAPITAL STRATEGIC PLANNING IN
PROGRAM PERFORMANCE REPORTS.
Section 1116(d) of title 31, United States Code, is amended--
(1) in paragraph (4), by striking ``and'' after the
semicolon;
(2) by redesignating paragraph (5) as paragraph (6); and
(3) by inserting after paragraph (4) the following:
``(5) include a review of the performance goals and
evaluation of the performance plan relating to strategic plans
concerning human capital; and''.
SEC. 202. REFORM OF THE COMPETITIVE SERVICE HIRING PROCESS.
(a) In General.--Chapter 33 of title 5, United States Code, is
amended by inserting after section 3318 the following:
``Sec. 3319. Competitive service alternative hiring system
``(a)(1) This section shall apply only to competitive service
positions in an Executive agency or an agency in the judicial branch.
``(2) Before the head of an agency may take any action under this
section--
``(A) the head of that agency shall submit a plan to the
Office of Personnel Management detailing the implementation of
this section; and
``(B) the Office of Personnel Management shall approve the
plan.
``(3) If the Office of Personnel Management disapproves a plan
under this subsection, the head of an agency may resubmit the plan with
modifications for approval.
``(b) Notwithstanding sections 3309, 3313, 3317(a), and 3318(a),
the head of an agency, consistent with subsection (a), may provide that
applicants for positions in that agency may be evaluated according to a
quality category rating system that divides qualified applicants into 2
or more categories that are based on degrees of merit, rather than
according to numerical ratings.
``(c) Each applicant who meets the minimum qualification
requirements for a position shall be assigned to the appropriate
category based on an evaluation of the quality of the knowledge,
skills, and abilities of the applicant relative to successful
performance in the position to be filled.
``(d) Within each quality category, applicants who are eligible for
veterans' preference under section 2108 shall be listed ahead of the
applicants who are not eligible for preference. Among preference
eligibles, a preference eligible under section 2108(3) (C) through (G)
shall be listed ahead of a preference eligible under section 2108(3)
(A) and (B).
``(e)(1) Notwithstanding subsection (c), each applicant, except for
applicants for scientific and professional positions at grade GS-9 or
higher in the General Schedule, who meets the minimum qualifications
requirements for the position and who is a preference eligible
described in section 2108(3)(C) with a compensable service-connected
disability of 10 percent or more, shall be listed in the top of the
highest quality category ahead of other preference eligible applicants.
``(2) Applicants for scientific or professional positions at grade
GS-9 or higher in the General Schedule shall be listed within the
category grouping of such applicants, except that applicants who are
eligible for veterans' preference under section 2108 shall be listed
ahead of the applicants who are not eligible for preference.
``(3) Among preference eligibles, a preference eligible under
section 2108(3) (C) through (G) shall be listed ahead of a preference
eligible under section 2108(3) (A) and (B).
``(f) An appointing official may select any qualified applicant
within the highest category, except that an appointing official may not
pass over a preference eligible to select a nonpreference eligible in
the same category unless the requirements of section 3312(b) or 3318(b)
are satisfied. If fewer than 3 applicants have been assigned to the
highest category, an appointing official may select any qualified
applicant in the next lower category, or categories, if necessary to
provide a group of at least 3 qualified applicants. An appointing
official may not pass over a preference eligible to select a
nonpreference eligible in a lower category.
``(g)(1) Notwithstanding section 3304(b), the head of an agency may
appoint individuals into the competitive service to fill positions in
that agency without competition if public notice is given and the
positions meet 1 of the following criteria:
``(A) There is a severe shortage of qualified candidates.
``(B) There is a need for expedited hiring.
``(C) The position is unusual and requires special
qualifications.
``(D) The position has a historically high turnover rate.
``(2) The head of an agency may appoint individuals with
exceptional academic qualifications or special experience to positions
described under paragraph (1) at the following grade levels:
``(A) For positions for which the rate of basic pay does
not exceed the maximum rate payable for a position at GS-7 of
the General Schedule, individuals who qualify on the basis of
education shall possess a baccalaureate degree with a
cumulative grade point average of 3.5 or higher on a 4.0 scale
or the equivalent on another scale.
``(B) For positions for which the rate of basic pay exceeds
the maximum rate payable for a position at GS-7 of the General
Schedule, but does not exceed the maximum rate payable for a
position at GS-12 of the General Schedule, individuals who
qualify on the basis of education shall possess a graduate-
level degree with a cumulative grade point average of 3.5 or
higher on a 4.0 scale or the equivalent on another scale.
``(3) Applicants who are eligible for veterans' preference under
section 2108 shall be considered ahead of the applicants who are not
eligible for preference. Among preference eligibles, a preference
eligible under section 2108(3) (C) through (G) shall be listed ahead of
a preference eligible under section 2108(3) (A) and (B). An appointing
official may not pass over a preference eligible to select a
nonpreference eligible unless the requirements of section 3312(b) or
3318(b) are satisfied.''.
(b) Technical and Conforming Amendment.--The table of sections for
chapter 33 of title 5, United States Code, is amended by inserting
after the item relating to section 3318 the following:
``3319. Competitive service alternative hiring system.''.
SEC. 203. PERMANENT EXTENSION, REVISION, AND EXPANSION OF AUTHORITIES
FOR USE OF VOLUNTARY SEPARATION INCENTIVE PAY AND
VOLUNTARY EARLY RETIREMENT.
(a) Voluntary Separation Incentive Payments.--
(1) In general.--
(A) Amendment to title 5, united states code.--
Chapter 35 of title 5, United States Code, is amended
by inserting after subchapter I the following:
``SUBCHAPTER II--VOLUNTARY SEPARATION INCENTIVE PAYMENTS
``Sec. 3521. Definitions
``In this subchapter, the term--
``(1) `agency' means an Executive agency as defined under
section 105; and
``(2) `employee'--
``(A) means an employee as defined under section
2105 employed by an agency and an individual employed
by a country committee established under section
8(b)(5) of the Soil Conservation and Domestic Allotment
Act (16 U.S.C. 590h(b)(5)) who--
``(i) is serving under an appointment
without time limitation; and
``(ii) has been currently employed for a
continuous period of at least 3 years; and
``(B) shall not include--
``(i) a reemployed annuitant under
subchapter III of chapter 83 or chapter 84 or
another retirement system for employees of the
Government;
``(ii) an employee having disability on the
basis of which such employee is or would be
eligible for disability retirement under
subchapter III of chapter 83 or chapter 84 or
another retirement system for employees of the
Government;
``(iii) an employee who is in receipt of a
decision notice of involuntary separation for
misconduct or unacceptable performance;
``(iv) an employee who has previously
received any voluntary separation incentive
payment from the Federal Government under this
subchapter or any other authority;
``(v) an employee covered by statutory
reemployment rights who is on transfer
employment with another organization; or
``(vi) unless an agency has waived a right
to recover funds, any employee who--
``(I) during the 24-month period
preceding the employee's date of
separation, received and did not repay
a recruitment or relocation bonus under
section 5733;
``(II) within the 12-month period
preceding the employee's date of
separation, received and did not repay
a retention allowance under section
5754; or
``(III) within the 36-month period
preceding the employee's date of
separation, received and did not repay
funds provided for student loan
repayment under section 5379.
``Sec. 3522. Agency plans; approval
``(a) Before obligating any resources for voluntary separation
incentive payments, the head of each agency shall submit to the Office
of Management and Budget a plan outlining the intended use of such
incentive payments and a proposed organizational chart for the agency
once such incentive payments have been completed.
``(b) The agency's plan under subsection (a) shall include--
``(1) the specific positions and functions to be reduced or
eliminated;
``(2) a description of which categories of employees will
be offered incentives;
``(3) the time period during which incentives may be paid;
``(4) the number and amounts of voluntary separation
incentive payments to be offered; and
``(5) a description of how the agency will operate without
the eliminated positions and functions.
``(c) The Director of the Office of Management and Budget shall
review each agency's plan and may make any appropriate modifications in
the plan. A plan under this section may not be implemented without the
approval of the Director.
``Sec. 3523. Authority to provide voluntary separation incentive
payments
``(a) A voluntary separation incentive payment under this
subchapter may be paid to an employee only as provided in the agency's
plan established under section 3522.
``(b) A voluntary incentive payment--
``(1) shall be offered to agency employees on the basis of
organizational unit, occupational series or level, geographic
location, specific window periods, other appropriate
nonpersonal factors, or a combination of such factors;
``(2) shall be paid in a lump sum after the employee's
separation;
``(3) shall be equal to the lesser of--
``(A) an amount equal to the amount the employee
would be entitled to receive under section 5595(c) if
the employee were entitled to payment under such
section (without adjustment for any previous payment
made); or
``(B) an amount determined by the agency head, not
to exceed $25,000;
``(4) may be made only in the case of an employee who
voluntarily separates (whether by retirement or resignation)
under this subchapter;
``(5) shall not be a basis for payment, and shall not be
included in the computation, of any other type of Government
benefit;
``(6) shall not be taken into account in determining the
amount of any severance pay to which the employee may be
entitled under section 5595, based on any other separation; and
``(7) shall be paid from appropriations or funds available
for the payment of the basic pay of the employee.
``Sec. 3524. Additional agency contributions to the Civil Service
Retirement and Disability Fund
``(a) In addition to any other payments which the agency is
required to make under subchapter III of chapter 83 or chapter 84, the
agency shall remit to the Office of Personnel Management for deposit in
the Treasury of the United States to the credit of the Civil Service
Retirement and Disability Fund an amount equal to 15 percent of the
final basic pay of each employee of the agency who is covered under
subchapter III of chapter 83 and chapter 84 to whom a voluntary
separation incentive has been paid under this subchapter or any other
authority.
``(b) For the purpose of subsection (a), the term `final basic pay'
with respect to an employee means the total amount of basic pay which
would be payable for a year of service by that employee, computed using
the employee's final rate of basic pay, and, if last serving on other
than full-time basis, with an appropriate adjustment therefor.
``Sec. 3525. Effect of subsequent employment with the Government
``(a) An individual who has received a voluntary separation
incentive payment under this subchapter and accepts any employment for
compensation with the Government of the United States within 5 years
after the date of the separation on which the payment is based shall be
required to pay, before the individual's first day of employment, the
entire amount of the incentive payment to the agency that paid the
incentive payment.
``(b)(1) If the employment under this section is with an agency
(other than the General Accounting Office, the United States Postal
Service, or the Postal Rate Commission) the Director of the Office of
Personnel Management may, at the request of the head of the agency,
waive the repayment if--
``(A) the individual involved possesses unique abilities
and is the only qualified applicant available for the position;
or
``(B) in the case of an emergency involving a direct threat
to life or property, the individual--
``(i) has skills directly related to resolving the
emergency; and
``(ii) will serve on a temporary basis only so long
as that individual's services are made necessary by the
emergency.
``(2) If the employment under this section is with an entity in the
legislative branch, the head of the entity or the appointing official
may waive the repayment if the individual involved possesses unique
abilities and is the only qualified applicant available for the
position.
``(3) If the employment under this section is with the judicial
branch, the Director of the Administrative Office of the United States
Courts may waive the repayment if the individual involved possesses
unique abilities and is the only qualified applicant available for the
position.
``Sec. 3526. Regulations
``The Office of Personnel Management, in consultation with the
Office of Management and Budget, may prescribe regulations to carry out
this subchapter.''.
(B) Technical and conforming amendments.--Chapter
35 of title 5, United States Code, is amended--
(i) by striking the chapter heading and
inserting the following:
``CHAPTER 35--RETENTION PREFERENCE, VOLUNTARY SEPARATION INCENTIVE
PAYMENTS, RESTORATION, AND REEMPLOYMENT''; and
(ii) in the table of sections by inserting
after the item relating to section 3504 the
following:
``SUBCHAPTER II--VOLUNTARY SEPARATION INCENTIVE PAYMENTS
``3521. Definitions.
``3522. Agency plans; approval.
``3523. Authority to provide voluntary separation incentive payments.
``3524. Additional agency contributions to the Civil Service Retirement
and Disability Fund.
``3525. Effect of subsequent employment with the Government.
``3526. Regulations.''.
(2) Administrative office of the united states courts.--The
Director of the Administrative Office of the United States
Courts may, by regulation, establish a program substantially
similar to the program established under section 2 for
individuals serving in the judicial branch.
(3) Continuation of other authority.--Any agency exercising
any voluntary separation incentive authority in effect on the
effective date of this Act may continue to offer voluntary
separation incentives consistent with that authority until that
authority expires.
(4) Effective date.--This subsection shall take effect 60
days after the date of enactment of this Act.
(b) Federal Employee Voluntary Early Retirement.--
(1) Civil service retirement system.--Section 8336(d)(2) of
title 5, United States Code, is amended to read as follows:
``(2)(A) has been employed continuously, by the agency in
which the employee is serving, for at least the 31-day period
ending on the date on which such agency requests the
determination referred to in subparagraph (D);
``(B) is serving under an appointment that is not time
limited;
``(C) has not been duly notified that such employee is to
be involuntarily separated for misconduct or unacceptable
performance;
``(D) is separated from the service voluntarily during a
period in which, as determined by the Office of Personnel
Management (upon request of the agency) under regulations
prescribed by the Office--
``(i) such agency (or, if applicable, the component
in which the employee is serving) is undergoing a major
reorganization, a major reduction in force, or a major
transfer of function; and
``(ii) a significant percentage of the employees
serving in such agency (or component) will be separated
or subject to an immediate reduction in the rate of
basic pay (without regard to subchapter VI of chapter
53, or comparable provisions); and
``(E) as determined by the agency under regulations
prescribed by the Office, is within the scope of the offer of
voluntary early retirement, which may be made on the basis of--
``(i) one or more organizational units;
``(ii) one or more occupational series or levels;
``(iii) one or more geographical locations;
``(iv) other similar nonpersonal factors the Office
determines appropriate; or
``(v) any appropriate combination of such
factors;''.
(2) Federal employees' retirement system.--Section
8414(b)(1)(B) of title 5, United States Code, is amended to
read as follows:
``(B)(i) has been employed continuously, by the agency in
which the employee is serving, for at least the 31-day period
ending on the date on which such agency requests the
determination referred to in clause (iv);
``(ii) is serving under an appointment that is not time
limited;
``(iii) has not been duly notified that such employee is to
be involuntarily separated for misconduct or unacceptable
performance;
``(iv) is separated from the service voluntarily during a
period in which, as determined by the Office of Personnel
Management (upon request of the agency) under regulations
prescribed by the Office--
``(I) such agency (or, if applicable, the component
in which the employee is serving) is undergoing a major
reorganization, a major reduction in force, or a major
transfer of function; and
``(II) a significant percentage of the employees
serving in such agency (or component) will be separated
or subject to an immediate reduction in the rate of
basic pay (without regard to subchapter VI of chapter
53, or comparable provisions); and
``(v) as determined by the agency under regulations
prescribed by the Office, is within the scope of the offer of
voluntary early retirement, which may be made on the basis of--
``(I) one or more organizational units;
``(II) one or more occupational series or levels;
``(III) one or more geographical locations;
``(IV) other similar nonpersonal factors the Office
determines appropriate; or
``(V) any appropriate combination of such
factors;''.
(3) Regulations.--The Office of Personnel Management may
prescribe regulations to carry out this subsection.
SEC. 204. PHASED RETIREMENT FOR CERTAIN SPECIALIZED POSITIONS.
(a) Civil Service Retirement System.--Section 8344 of title 5,
United States Code, is amended--
(1) in subsection (l)--
(A) in paragraph (1), by striking ``(k)'' and
inserting ``(l)''; and
(B) in paragraph (2), by striking ``or (k)'' and
inserting ``(k), or (l)'';
(2) by redesignating subsection (l) as subsection (m); and
(3) by inserting after subsection (k) the following:
``(l) The head of an Executive agency may waive the application of
this section with respect to a reemployed annuitant, if--
``(1) the annuitant is reemployed--
``(A) within 180 days after separation from service
with the agency from which the annuitant retired; and
``(B) for the purpose of providing a period of
transition between the annuitant and the employee who
will permanently perform the former duties of the
annuitant;
``(2) the reemployment--
``(A)(i) is under section 3104, 3133, or 5108; or
``(ii) is in a position at GS-13, GS-14, or GS-15
of the General Schedule;
``(B) is on a part-time basis not to exceed 1,040
hours annually; and
``(C) does not exceed a period of 2 calendar years;
and
``(3) the annuitant is not a disability annuitant.''.
(b) Federal Employees Retirement System.--Section 8468 of title 5,
United States Code, is amended--
(1) in subsection (i)--
(A) in paragraph (1), by striking ``(h)'' and
inserting ``(i)''; and
(B) in paragraph (2), by striking ``or (h)'' and
inserting ``(h), or (i)'';
(2) by redesignating subsection (i) as subsection (j); and
(3) by inserting after subsection (h) the following:
``(i) The head of an Executive agency may waive the application of
this section with respect to a reemployed annuitant, if--
``(1) the annuitant is reemployed--
``(A) within 180 days after separation from service
with the agency from which the annuitant retired; and
``(B) for the purpose of providing a period of
transition between the annuitant and the employee who
will permanently perform the former duties of the
annuitant;
``(2) the reemployment--
``(A)(i) is under section 3104, 3133, or 5108; or
``(ii) is in a position at GS-13, GS-14, or GS-15
of the General Schedule;
``(B) is on a part-time basis not to exceed 1,040
hours annually; and
``(C) does not exceed a period of 2 calendar years;
and
``(3) the annuitant is not a disability annuitant.''.
SEC. 205. STREAMLINED CRITICAL PAY AUTHORITY.
(a) In General.--Chapter 53 of title 5, United States Code, is
amended by inserting after section 5377 the following:
``Sec. 5377a. Streamlined critical pay authority
``(a) In this section, the term `agency' means an Executive agency
as defined under section 105.
``(b) Notwithstanding the provisions of this title governing
appointments in the competitive service or the Senior Executive Service
and chapters 51 and 53 (relating to classification and pay rates), the
head of an agency may, for a period of 10 years after the effective
date of this section, establish, fix the compensation of, and appoint
individuals to, designated critical administrative, technical, and
professional positions needed to carry out the functions of that
agency, if--
``(1) the positions--
``(A) require expertise of an extremely high level
in an administrative, technical, or professional field;
and
``(B) are critical to the agency's successful
accomplishment of an important mission;
``(2) the exercise of the authority is necessary to recruit
or retain an individual exceptionally well qualified for the
position;
``(3) the number of such positions for an agency at any one
time does not exceed 1 position for every 3,000 employees
employed by that agency;
``(4) the designation of such positions is approved by the
head of the agency;
``(5) the terms of such appointments are limited to no more
than 4 years;
``(6) the appointees to such positions were not employees
of that agency before the effective date of this section;
``(7) the total annual compensation for any appointee to
such positions does not exceed the highest total annual
compensation payable at the rate determined under section 104
of title 3; and
``(8) all such positions are excluded from the collective
bargaining unit.
``(c) Individuals appointed under this section shall not be
considered to be employees for purposes of subchapter II of chapter
75.''.
(b) Technical and Conforming Amendment.--The table of sections for
chapter 53 of title 5, United States Code, is amended by inserting
after the item relating to section 5377 the following:
``5377a. Streamlined critical pay authority.''.
(c) Effective Date.--The amendments made by this section shall take
effect 90 days after the date of enactment of this Act.
SEC. 206. EXPEDITED APPROVAL FOR APPOINTMENTS TO POSITIONS CLASSIFIED
ABOVE GS-15.
Section 3324(a) of title 5, United States Code, is amended by
inserting after the first sentence ``Not later than 30 days after
receipt of a request for approval under this section, the Office of
Personnel Management shall make a decision on that approval.''.
SEC. 207. IMPROVEMENT AND ACCOUNTABILITY OF FEDERAL EMPLOYEE
PERFORMANCE.
(a) Actions Based on Unacceptable Performance.--Section
4303(b)(1)(A) of title 4303 of title 5, United States Code, is amended
by striking ``30 days'' and inserting ``15 days''.
(b) Study on Disciplinary and Termination Process.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the General Accounting Office shall--
(A) conduct a study on the disciplinary and
termination process relating to Federal employees with
unacceptable performances; and
(B) submit a report on the study, including
findings and recommendations to--
(i) the Office of Personnel Management;
(ii) the Committee on Governmental Affairs
of the Senate; and
(iii) the Committee on Government Reform of
the House of Representatives.
(2) Content.--The study under this subsection shall--
(A) evaluate the disciplinary and termination
process relating to Federal employees; and
(B) make recommendations on modifying and
streamlining that process to provide for greater
accountability for Federal employees in meeting
established performance standards.
(3) Authorization of appropriations.--There are authorized
to be appropriated to the General Accounting Office such sums
as may be necessary to carry out this subsection.
TITLE III--REFORMS RELATING TO THE SENIOR EXECUTIVE SERVICE
SEC. 301. ASSIGNMENT OF SENIOR EXECUTIVES TO PRIVATE ORGANIZATIONS.
(a) In General.--Chapter 33 of title 5, United States Code, is
amended by adding at the end the following:
``SUBCHAPTER IX--ASSIGNMENTS TO PRIVATE ORGANIZATIONS
``Sec. 3398. Definitions
``In this subchapter, the term--
``(1) `agency' means--
``(A) except for purposes of paragraph (2), an
agency as defined under section 3132; and
``(B) for purposes of paragraph (2), each authority
of the Government of the United States, whether or not
it is within or subject to review by another agency;
``(2) `organization' means any private entity that is not
an agency or a State or local government; and
``(3) `senior executive' means a member of the Senior
Executive Service who, at the time of an assignment under this
subchapter is serving in a career reserved position as defined
under section 3132(a)(8).
``Sec. 3398a. General provisions
``(a)(1) On request from or with the concurrence of an
organization, and with the consent of the senior executive concerned,
the head of an agency may arrange for the assignment of a senior
executive of that agency to an organization for work of mutual concern
to that agency and the organization that the head of the agency
determines will be beneficial to both.
``(2) The period of an assignment under this subchapter may not
exceed 1 year. The head of an agency may extend the period of
assignment for not more than 1 additional year.
``(b)(1) A senior executive of an agency may be assigned under this
subchapter only if the senior executive agrees, as a condition of
accepting an assignment under this subchapter, to serve in the civil
service upon the completion of the assignment for a period equal to the
length of the assignment.
``(2) Each agreement required under paragraph (1) shall provide
that in the event the senior executive fails to carry out the agreement
(except for good and sufficient reason, as determined by the head of
the agency from which assigned) the senior executive shall be liable to
the United States for payment of all expenses (excluding salary) of the
assignment. The amount shall be treated as a debt due the United
States.
``Sec. 3398b. Assignment of senior executives to organizations
``(a)(1) A senior executive of an agency assigned to an
organization under this subchapter is deemed, during the assignment, to
be either--
``(A) on detail to a regular work assignment in that
agency; or
``(B) on leave without pay from that senior executive's
position in the agency.
``(2) A senior executive assigned either on detail or on leave
without pay remains an employee of that agency.
``(3) The Federal Tort Claims Act and any other Federal tort
liability statute apply to a senior executive so assigned.
``(4) The supervision of the duties of a senior executive on detail
may be governed by agreement between the agency and the organization
concerned.
``(b) The assignment of a senior executive of an agency either on
detail or on leave without pay to an organization under this subchapter
may be made with or without reimbursement by the organization for the
travel and transportation expenses to or from the place of
assignment and for the pay, or supplemental pay, or a part thereof, of
the senior executive during assignment. Any reimbursements shall be
credited to the appropriation of the agency used for paying the travel
and transportation expenses or pay.
``(c) For any senior executive so assigned and on leave without
pay--
``(1) if the rate of pay for that senior executive's
employment by the organization is less than the rate of pay the
senior executive would have received had he continued in his
regular assignment in the agency, the senior executive is
entitled to receive supplemental pay from the agency in an
amount equal to the difference between the organization rate
and the agency rate;
``(2) the senior executive is entitled to annual and sick
leave to the same extent as if the senior executive had
continued in regular assignment in the agency; and
``(3) the senior executive is entitled, notwithstanding any
other law--
``(A) to continuation of insurance under chapter
87, and coverage under chapter 89 or other applicable
authority, if the senior executive pays currently into
the Employee's Life Insurance Fund and the Employee's
Health Benefits Fund or other applicable health
benefits system (through the employing agency) the
amount of the employee contributions;
``(B) to credit the period of assignment under this
subchapter toward periodic step-increases, retention,
and leave accrual purposes, and, on payment into the
Civil Service Retirement and Disability Fund or other
applicable retirement system of the percentage of his
organization pay, and of any supplemental pay, that
would have been deducted from a like agency pay for the
period of the assignment and payment by the agency into
the fund or system of the amount that would have been
payable by the agency during the period of the
assignment with respect to a like agency pay, to treat
that senior executive's service during that period as
service of the type performed in the agency immediately
before that assignment; and
``(C) for the purpose of subchapter I of chapter
85, to credit the service performed during the period
of assignment under this subchapter as Federal service,
and to consider organization pay (and any supplemental
pay) as Federal wages.
``(d) The agency shall deposit currently in the Employee's Life
Insurance Fund, the Employee's Health Benefits Fund or other applicable
health benefits system, respectively, the amount of the Government's
contributions on account of service with respect to which employee
contributions are collected under subsection (c) (3).
``(e) A senior executive so assigned and on leave without pay who
dies or suffers disability as a result of personal injury sustained
while in the performance of duty during an assignment under this
subchapter shall be treated, for the purpose of subchapter I of chapter
81, as though he were an employee as defined under section 8101 who had
sustained the injury in the performance of duty.
``Sec. 3398c. Travel expenses
``(a) Appropriations of an agency are available to pay, or
reimburse, a senior executive in accordance with--
``(1) subchapter I of chapter 57, for the expenses of--
``(A) travel, including a per diem allowance, to
and from the assignment location;
``(B) a per diem allowance at the assignment
location during the period of the assignment; and
``(C) travel, including a per diem allowance, while
traveling on official business away from his designated
post of duty during the assignment when the head of the
agency considers the travel in the interest of the
United States;
``(2) section 5724, for the expenses of transportation of
his immediate family and of his household goods and personal
effects to and from the assignment location;
``(3) section 5724a(a), for the expenses of per diem
allowances for the immediate family of the senior executive to
and from the assignment location;
``(4) section 5724a(c), for subsistence expenses of the
senior executive and his immediate family while occupying
temporary quarters at the assignment location and on return to
his former post of duty;
``(5) section 5724a(g), to be used by the senior executive
for miscellaneous expenses related to change of station where
movement or storage of household goods is involved; and
``(6) section 5726(c), for the expenses of nontemporary
storage of household goods and personal effects in connection
with assignment at an isolated location.
``(b) Expenses under subsection (a), other than those under
paragraph (1)(C) of that subsection, may not be allowed in connection
with the assignment of a senior executive under this subchapter, unless
and until the senior executive agrees in writing to complete the entire
period of his assignment or 1 year, whichever is shorter, unless
separated or reassigned for reasons beyond his control that are
acceptable to the agency concerned. If the senior executive violates
the agreement, the money spent by the United States for these expenses
is recoverable from the senior executive as a debt due the United
States.
``(c) Appropriations of an agency are available to pay expenses
under section 5742 with respect to a senior executive assigned under
this subchapter.
``Sec. 3398d. Regulations
``The President may prescribe regulations for the administration of
this subchapter.''.
(b) Technical and Conforming Amendment.--The table of sections for
chapter 33 of title 5, United States Code, is amended by adding at the
end the following:
``SUBCHAPTER IX--ASSIGNMENTS TO PRIVATE ORGANIZATIONS
``Sec.
``3398. Definitions.
``3398a. General provisions.
``3398b. Assignment of senior executives to organizations.
``3398c. Travel expenses.
``3398d. Regulations.''.
(c) Effective Date.--The amendments made by this section shall take
effect 90 days after the date of enactment of this Act.
SEC. 302. REPEAL OF RECERTIFICATION REQUIREMENTS OF SENIOR EXECUTIVES.
(a) In General.--Title 5, United States Code, is amended--
(1) in chapter 33--
(A) in section 3393(g) by striking ``3393a,'';
(B) by repealing section 3393a; and
(C) in the table of sections by striking the item
relating to section 3393a;
(2) in of chapter 35--
(A) in section 3592(a)--
(i) in paragraph (1) by inserting ``or'' at
the end;
(ii) in paragraph (2) by striking ``or'' at
the end;
(iii) by striking paragraph (3); and
(iv) by striking the last sentence;
(B) in section 3593(a) by amending paragraph (2) to
read as follows:
``(2) the appointee left the Senior Executive Service for
reasons other than misconduct, neglect of duty, malfeasance, or
less than fully successful executive performance as determined
under subchapter II of chapter 43.''; and
(C) in section 3594(b)--
(i) in paragraph (1) by inserting ``or'' at
the end;
(ii) in paragraph (2) by striking ``or'' at
the end; and
(iii) by striking paragraph (3);
(3) in section 7701(c)(1)(A) by striking ``or removal from
the Senior Executive Service for failure to be recertified
under section 3393a'';
(4) in chapter 83--
(A) in section 8336(h)(1) by striking ``for failure
to be recertified as a senior executive under section
3393a or''; and
(B) in section 8339(h), in the first sentence, by
striking ``, except that such reduction shall not apply
in the case of an employee retiring under section
8336(h) for failure to be recertified as a senior
executive''; and
(5) in chapter 84--
(A) in section 8414(a)(1) by striking ``for failure
to be recertified as a senior executive under section
3393a or''; and
(B) in section 8421(a)(2) by striking ``, except
that an individual entitled to an annuity under section
8414(a) for failure to be recertified as a senior
executive shall be entitled to an annuity supplement
without regard to such applicable minimum retirement
age''.
(b) Savings Provision.--Notwithstanding the amendments made by
subsection (a)(2)(A), an appeal under the final sentence of section
3592(a) of title 5, United States Code, that is pending on the day
before the effective date of this section--
(1) shall not abate by reason of the enactment of such
amendments; and
(2) shall continue as if such amendments had not been
enacted.
(c) Application.--The amendment made by subsection (a)(2)(B) shall
not apply with respect to an individual who, before the effective date
of this section, leaves the Senior Executive Service for failure to be
recertified as a senior executive under section 3393a of title 5,
United States Code.
SEC. 303. MANAGEMENT AND SCIENTIFIC OR TECHNICAL QUALIFICATIONS FOR
CERTAIN SENIOR LEVEL POSITIONS.
(a) In General.--
(1) Requirements for certain positions.--Chapter 51 of
title 5, United States Code, is amended by inserting after
section 5113 the following:
``Sec. 5114. Requirements of certain management, scientific, or
technical positions
``(a) In this section the term `covered position' means--
``(1) a position established under section 3104;
``(2) a position for which the rate of basic pay is fixed
under section 5377; or
``(3) a position that--
``(A) is similar to a position described under
paragraph (1) or (2); and
``(B) is designated by the head of an agency and
approved by the Office of Personnel Management.
``(b)(1) Notwithstanding any provision of this chapter or
subchapters II or III of chapter 31, the head of an agency may waive
any qualification, standard, description, classification, or similar
requirement with respect to any employee in a covered position that--
``(A) relates to administration, management, supervision,
or personnel; or
``(B) does not relate to administration, management,
supervision, or personnel.
``(2) A waiver may not apply to an employee under both
subparagraphs (A) and (B) of paragraph (1).''.
(2) Technical and conforming amendments.--
(A) Table of sections.--The table of sections for chapter
51 of title 5, United States Code, is amended by inserting
after the item relating to section 5113 the following:
``5114. Requirements of certain management, scientific, or technical
positions.''.
(B) Reference.--Section 5115 of title 5, United States
Code, is amended by striking ``except sections 5109 and 5114.''
and inserting ``except sections 5109.''.
(b) Senior Executive Service.--Section 3133 of title 5, United
States Code, is amended by adding at the end the following:
``(f) Requirements for a position authorized under this section may
be waived under section 5114.''.
(c) Federal Bureau of Investigation and Drug Enforcement
Administration Senior Executive Service.--Section 3151 of title 5,
United States Code, is amended by adding at the end the following:
``(f) Requirements for a position authorized under this section may
be waived under section 5114.''.
TITLE IV--REFORMS RELATING TO FEDERAL EMPLOYEE CAREER DEVELOPMENT AND
BENEFITS
SEC. 401. AGENCY TRAINING.
(a) Training To Accomplish Performance Plans and Strategic Goals.--
Section 4103 of title 5, United States Code, is amended by adding at
the end the following:
``(c) The head of each agency shall--
``(1) evaluate each program or plan established, operated,
or maintained under subsection (a) with respect to
accomplishing specific performance plans and strategic goals in
performing the agency mission; and
``(2) modify such program or plan to accomplish such plans
and goals.''.
(b) Agency Training Officer; Records Maintenance; Specific Training
Programs.--
(1) In general.--Chapter 41 of title 5, United States Code,
is amended by adding after section 4119 the following:
``Sec. 4120. Agency training officer
``(a) Each agency shall establish a position of training officer.
The position shall be a career reserved position in the Senior
Executive Service.
``(b) The training officer shall have responsibility for
developing, coordinating, and administering training for the agency.
``Sec. 4121. Records maintenance
``Each agency shall maintain detailed records of all activities
relating to training of employees.
``Sec. 4122. Specific training programs
``In consultation with the Office of Personnel Management, each
head of an agency shall establish--
``(1) a comprehensive management succession program to
provide training to employees to develop managers for the
agency; and
``(2) a program to provide training to managers on actions,
options, and strategies a manager may use relating to employees
with unacceptable performances.''.
(2) Technical and conforming amendment.--The table of
sections for chapter 41 of title 5, United States Code, is
amended by adding at the end the following:
``4120. Agency training officer.
``4121. Records maintenance.
``4122. Specific training programs.''.
(c) Academic Degree Training.--
(1) In general.--Section 4107 of title 5, United States
Code, is amended to read as follows:
``Sec. 4107. Academic degree training
``(a) Subject to subsection (b), an agency may select and assign an
employee to academic degree training and may pay or reimburse the costs
of academic degree training from appropriated or other available funds
if such training--
``(1) contributes significantly to--
``(A) meeting an identified agency training need;
``(B) resolving an identified agency staffing
problem; or
``(C) accomplishing goals in the agency's strategic
plan;
``(2) is part of a planned, systematic, and coordinated
agency employee development program linked to accomplishing the
agency's strategic goals; and
``(3) is accredited and is provided by a college or
university that is accredited by a nationally recognized body.
``(b) In exercising authority under subsection (a), an agency
shall--
``(1) consistent with the merit system principles set forth
in paragraphs (2) and (7) of section 2301(b), take into
consideration the need to--
``(A) maintain a balanced workforce in which women,
members of racial and ethnic minority groups, and
persons with disabilities are appropriately represented
in Government service; and
``(B) provide employees effective education and
training to improve organizational and individual
performance;
``(2) assure that the training is not for the sole purpose
of providing an employee an opportunity to obtain an academic
degree or to qualify for appointment to a particular position
for which the academic degree is a basic requirement; and
``(3) assure that no authority under this subsection is
exercised on behalf of any employee occupying or seeking to
qualify for appointment to any position that is excepted from
the competitive service because of its confidential policy-
determining, policy-making, or policy-advocating character.''.
(2) Technical and conforming amendment.--The table of
sections for chapter 41 of title 5, United States Code, is
amended by striking the item relating to section 4107 and
inserting the following:
``4107. Academic degree training.''.
(d) Agency Training as Separate Statement in Federal Budget.--
Section 1105(a) of title 31, United States Code, is amended by adding
at the end the following:
``(34) a separate statement of the amount of appropriations
requested for training employees in each agency.''.
SEC. 402. ACCRUAL OF LEAVE FOR NEWLY HIRED FEDERAL EMPLOYEES WITH
QUALIFIED EXPERIENCE.
(a) In General.--Section 6303 of title 5, United States Code, is
amended by adding at the end the following:
``(e)(1) In this subsection, the term `period of qualified non-
Federal service' means any period of service performed by an individual
that--
``(A) except for this subsection would not otherwise be
service performed by an employee for purposes of subsection
(a); and
``(B) was performed in a position--
``(i) the duties of which were directly related to
the duties of the position in an agency that such
individual holds; and
``(ii) which meets such other conditions as the
Office of Personnel Management shall prescribe by
regulation.
``(2) For purposes of subsection (a), the head of an agency may
deem a period of qualified non-Federal service performed by an
individual to be a period of service performed as an employee.''.
(b) Effective Date.--This section shall take effect 120 days after
the date of enactment of this Act and shall only apply to an individual
hired on or after that effective date.
SEC. 403. EXPANSION OF NATIONAL SECURITY EDUCATION PROGRAM TO INCLUDE
EDUCATION FOR SERVICE GOVERNMENTWIDE.
(a) Findings and Purposes.--Section 801 of the David L. Boren
National Security Education Act of 1991 (title VIII of Public Law 102-
183; 50 U.S.C. 1901 note) is amended--
(1) in subsection (b), by striking paragraph (7) and
inserting the following:
``(7) American colleges and universities must place new
emphasis on improving teaching in areas of discipline that are
critical to the national interests of the United States.''; and
(2) in subsection (c), by striking paragraph (2) and
inserting the following:
``(2) To increase the quantity, diversity, and quality of
the teaching and learning of subjects in fields that are
critical to the national interests of the United States.''.
(b) Scholarship, Fellowship, and Grant Program.--Section 802(a)(1)
of that Act (50 U.S.C. 1902(a)) is amended by striking subparagraphs
(A), (B), and (C) and inserting the following:
``(A) awarding scholarships to undergraduate
students, and fellowships to graduate students, who are
United States citizens in order to enable students to
pursue education in the United States in areas of
discipline which will result in employment with the
Federal Government;
``(B) awarding grants to institutions of higher
education to enable such institutions to establish,
operate, or improve programs that include areas of
discipline that are critical to the national interests
of the United States; and
``(C) providing professional development
instruction to recipients of scholarships and
fellowships under the program to broaden the knowledge
of such recipients in areas of discipline relating to
service in the Federal Government.''.
(c) National Security Education Board.--Section 803 of that Act (50
U.S.C. 1903) is amended--
(1) in subsection (b)--
(A) by redesignating paragraph (7) as paragraph
(9);
(B) by inserting after paragraph (6) the following:
``(7) The Secretary of Treasury.
``(8) The Director of the Office of Personnel
Management.''; and
(C) by adding at the end the following:
``(10) The Director of the Office of Management and Budget,
who shall serve as an advisor to the Board.'';
(2) in subsection (d)--
(A) in paragraph (4)--
(i) by striking subparagraph (A); and
(ii) by redesignating subparagraphs (B),
(C), and (D) as subparagraphs (A), (B), and
(C), respectively;
(B) by redesignating paragraphs (7) and (8) as
paragraphs (10) and (11), respectively; and
(C) by inserting after paragraph (6) the following:
``(7) Develop procedures for student loan repayments under
section 802A.
``(8) Develop requirements for professional development
instruction under section 802(a)(1)(C).
``(9) Establish performance review mechanisms to monitor
the benefits of the program and evaluate the cost and benefits
of the program.''.
(d) National Security Education Trust Fund.--Section 804 of that
Act (50 U.S.C. 1904) is amended--
(1) in subsection (b)--
(A) by striking ``and'' at the end of paragraph
(1);
(B) by striking the period at the end of paragraph
(2) and inserting a semicolon; and
(C) by adding at the end the following new
paragraphs:
``(3) for student loan repayments in accordance with
section 802A; and
``(4) for professional development instruction in
accordance with section 802(a)(1)(C).''; and
(2) in subsection (e)(2), by inserting after ``section
802(b)(3)'' the following: ``, or recovered under section
802A(d)(4), ''.
(e) Annual Report.--Section 806(b) of that Act (50 U.S.C. 1906(b))
is amended--
(1) by striking paragraphs (1) and (5);
(2) by redesignating paragraphs (2), (3), (4), and (6) as
paragraphs (1), (2), (3), and (5), respectively;
(3) by inserting after paragraph (3), as so redesignated,
the following:
``(4) an analysis of the results of the program for the
previous fiscal year, and cumulatively, including--
``(A) the percentage of individuals who received
assistance under the program who subsequently became
employees of the United States Government;
``(B) in the case of individuals who did not
subsequently become employees of the United States
Government, an analysis of the reasons why they did not
become employees and an explanation as to what use, if
any, was made of the assistance by those recipients;
``(C) the percentage of student loan repayment
recipients who separated from employment before the
period specified in their agreement; and
``(D) the uses made of grants to educational
institutions under section 802(a)(1)(B);'';
(4) in paragraph (5), as so redesignated, by striking
``and'' at the end; and
(5) by inserting after paragraph (5) the following:
``(6) the results of the performance review of the program
for the previous fiscal year conducted with the mechanism
established under section 803(d)(9), including any cost and
benefit analysis conducted as part of the review; and''.
<all>