[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3144 Introduced in House (IH)]






108th CONGRESS
  1st Session
                                H. R. 3144

To amend title 36, United States Code, to amend the Federal charter of 
                  the United States Olympic Committee.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 23, 2003

 Mr. Stearns (for himself, Mr. Stupak, and Ms. Schakowsky) introduced 
    the following bill; which was referred to the Committee on the 
                               Judiciary

_______________________________________________________________________

                                 A BILL


 
To amend title 36, United States Code, to amend the Federal charter of 
                  the United States Olympic Committee.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``United States Olympic Committee 
Reform Act''.

SEC. 2. DEFINITIONS.

    Section 220501(b) of title 36, United States Code, is amended--
            (1) by redesignating paragraphs (5) through (8) as 
        paragraphs (6) through (9), respectively; and
            (2) by inserting after paragraph (4) the following:
            ``(5) `independent director' means an independent director, 
        as defined by the bylaws of the corporation, who, at minimum--
                    ``(A) has not been an officer or director of the 
                Executive Committee of the corporation, during the 3-
                year period prior to appointment as an independent 
                director;
                    ``(B) has not been an officer or a member of the 
                Athlete's Advisory Council, the National Governing 
                Bodies Council, or of the International Olympic 
                Committee, during the 3-year period prior to 
                appointment as an independent director;
                    ``(C) has not, during the 3-year period prior to 
                appointment as an independent director, received any 
                compensation from, and does not have a personal service 
                contract with, the corporation, any United States 
                Olympic Entity, any International Olympic entity, or a 
                member of the corporation's senior management;
                    ``(D) has not, during the 3-year period prior to 
                appointment as an independent director, had such a 
                close affiliation with a company or firm that is 
                counsel, auditor, advisor, paid consultant of, or has a 
                material business relationship with, the corporation, 
                any United States Olympic entity, any International 
                Olympic entity, or a member of the corporation's senior 
                management, that in the judgment of the Nominating and 
                Governance Committee would adversely affect the 
                director's ability to represent the interests of the 
                United State public in the activities of the 
                corporation;
                    ``(E) has no relationship with the corporation, any 
                United States Olympic entity, any International Olympic 
                entity, or a member of the corporation's senior 
                management that in the judgment of the Nominating and 
                Governance Committee would adversely affect the 
                director's ability to represent the interests of the 
                United State public in the activities of the 
                corporation; and
                    ``(F) is not an immediate family member of any 
                person described in subparagraphs (A) through (E).''.

SEC. 3. PURPOSES.

    Section 220503 of title 36, United States Code, is amended to read 
as follows:
``Sec. 220503. Purposes
    ``The purposes of this corporation are--
            ``(1) to exercise exclusive jurisdiction directly or 
        through constituent members or committees, over--
                    ``(A) all matters pertaining to the United States 
                participation in the Olympic Games, the Paralympic 
                Games, and the Pan American Games, including 
                representation of the United States in such games; and
                    ``(B) the organization of the Olympic Games, the 
                Paralympic Games, and the Pan American Games when held 
                in the United States;
            ``(2) to obtain for the United States, directly or by 
        delegation to the appropriate national governing body or 
        paralympic sports organization, the most competent amateur 
        representation possible in each event of the Olympic Games, the 
        Paralympic games, and the Pan American Games;
            ``(3) to provide for swift resolution of conflicts or 
        disputes involving amateur athletes, national governing bodies, 
        paralympic sports organizations, and amateur sports 
        organizations, and protect the opportunity of any amateur 
        athlete, coach, trainer, manager, administrator, or official to 
        participate in amateur competition; and
            ``(4) to encourage and provide assistance to amateur 
        athletic programs and activities for women and men, athletes 
        with disabilities, and athletes who are racial and ethnic 
        minorities.''.

SEC. 4. GOVERNANCE.

    (a) In General.--Chapter 2205 of title 36, United States Code, is 
amended by redesignating sections 220505 through 220512 as sections 
220506 through 220513, respectively, and inserting after section 220504 
the following new section:
``Sec. 220505. Governance
    ``(a) In General.--Consistent with the provisions of this chapter, 
the corporation shall adopt bylaws to establish and maintain provisions 
with respect to its governance which shall include the requirements 
contained in subsections (b) through (f):
    ``(b) Board of Directors.--
            ``(1) In general.--The corporation shall be governed by a 
        Board of Directors (in this chapter referred to as the `Board') 
        as follows:
                    ``(A) Elected members.--The Board shall be composed 
                of 9 elected members who shall be nominated by the 
                Nominating and Governance Committee (described in 
                paragraph (7)(C)). The elected members shall consist 
                of--
                            ``(i) 5 members who shall be independent 
                        directors;
                            ``(ii) 2 members who shall be elected from 
                        among individuals proposed by the National 
                        Governing Bodies Council; and
                            ``(iii) 2 members who shall be elected from 
                        among individuals proposed by the Athlete's 
                        Advisory Council.
                    ``(B) Ex officio members.--The Board shall have as 
                ex officio members the members of the International 
                Olympic Committee (IOC) that are required by that 
                committee's charter.
                    ``(C) Non-voting members.--
                            ``(i) Liaison of the olympic assembly.--The 
                        liaison of the Olympic Assembly (described in 
                        subsection (d)(3)) shall serve as a nonvoting 
                        ex officio member of the Board.
                            ``(ii) Representation of paralympic sports 
                        organization.--Unless at least 1 of the elected 
                        members under subparagraph (A) is a 
                        representative of a paralympic sports 
                        organization, such a representative shall be 
                        appointed by the Nominating and Governance 
                        Committee of the Board to serve as a nonvoting 
                        member of the Board.
            ``(2) Terms.--Members of the Board shall serve for 
        appointed terms in accordance with the bylaws of the 
        corporation. No member shall serve on the Board for a period 
        greater than 6 years.
            ``(3) Qualifications.--Each member shall have demonstrated 
        the highest character and integrity, significant professional 
        success, and a commitment to public service, and shall have 
        demonstrated by their vocation or experience the capacity to 
        further the objectives and purposes of the United States 
        Olympic Committee, and shall have such other specific qualities 
        or expertise as the Board considers necessary.
            ``(4) Removal.--Members may be removed from the Board only 
        for cause, in accordance with the bylaws of the corporation.
            ``(5) Voting.--
                    ``(A) In general.--
                            ``(i) Elected members.--Each of the 9 
                        elected members described in paragraph (1)(A) 
                        shall have the number of votes equal to the 
                        number of ex officio members described in 
                        paragraph (1)(B).
                            ``(ii) Ex officio members.--The ex officio 
                        members described in paragraph (1)(B) shall 
                        each have 1 vote on all matters on which the 
                        Board votes except--
                                    ``(I) the selection of the chair of 
                                the Board;
                                    ``(II) the election of new members;
                                    ``(III) the composition of Board 
                                committees; and
                                    ``(IV) any matter which presents 
                                such members with a conflict of 
                                interest.
                    ``(B) Tie votes.--A tie vote shall be broken as 
                provided for in the bylaws of the corporation, in 
                accordance with the following:
                            ``(i) Matters of purely business and 
                        governance.--On matters related purely to the 
                        business and governance of the corporation, a 
                        tie vote of the Board shall be broken by the 
                        majority of the votes cast by the independent 
                        directors described in paragraph (1)(A)(i).
                            ``(ii) Matters related to sport.--On 
                        matters related to sport and all matters other 
                        than those described in clause (i), a tie vote 
                        of the Board shall be broken by a majority of 
                        the votes cast by the members described in 
                        clauses (ii) and (iii) of paragraph (1)(A), and 
                        the ex officio members described in paragraph 
                        (1)(B).
            ``(6) Chair.--The Board shall elect 1 of the members to 
        serve as chair of the Board, who shall serve as chair for a 
        term of 4 years. The chair may serve an additional 2 years 
        (beyond the 4 year term established for the Board in paragraph 
        (2)) in order to complete his or her 4 year term as chair. The 
        first chair elected after the date of enactment of the United 
        States Olympic Committee Reform Act shall be an independent 
        member.
            ``(7) Committees.--In addition to any committees, 
        subcommittees, and task forces as may be necessary or 
        appropriate and for which sufficient funds exist, the Board 
        shall establish the following standing committees:
                    ``(A) An Audit Committee, consisting of--
                            ``(i) 3 Board members described in 
                        paragraph (1)(A)(i); and
                            ``(ii) 1 Board member described in 
                        paragraph (1)(A)(iii).
                    ``(B) An Ethics Committee, consisting of--
                            ``(i) 3 persons who meet the definition of 
                        `independent director' in section 220501(b)(5) 
                        and who are not members of the Board;
                            ``(ii) 1 person who meets the definition of 
                        `amateur athlete' in section 220501(b)(1) and 
                        who is not a member of the Board; and
                            ``(iii) 1 elected member of the Board 
                        described in paragraph (1)(A).
                    ``(C) A Nominating and Governance Committee and a 
                Compensation Committee, each consisting of--
                            ``(i) 3 Board members described in 
                        paragraph (1)(A)(i);
                            ``(ii) 1 Board member described in 
                        paragraph (1)(A)(ii); and
                            ``(iii) 1 Board member described in 
                        paragraph (1)(A)(iii).
            ``(8) Remuneration and travel expenses.--The members of the 
        Board shall not receive any compensation, fee, salary, or other 
        remuneration for their service on the Board, but shall be 
        reimbursed for actual and reasonable travel expenses incurred 
        for attending Board meetings or in furtherance of duties that 
        they have been requested to perform by the Chair.
            ``(9) Duties.--The Board shall have the following duties:
                    ``(A) To oversee the corporation's business and 
                operations in the United States and abroad, including 
                all matters relating to financial, commercial, legal, 
                personnel, and governance.
                    ``(B) To set the policy and direction of the 
                corporation consistent with the corporation's mission 
                and purposes.
                    ``(C) To establish a Nominating and Governance 
                Committee to provide for a process for nominating new 
                Board members.
                    ``(D) To elect new Board members from among those 
                persons nominated by the Nominating and Governance 
                Committee.
                    ``(E) To select and evaluate the Chief Executive 
                Officer.
                    ``(F) To oversee the bid city process in the United 
                States, and to monitor the organizing committee of the 
                Olympic Games when the Games are held in the United 
                States.
    ``(c) Chief Executive Officer.--
            ``(1) In general.--The corporation shall have a chief 
        executive officer who shall not be a member of the Board of 
        Directors. The chief executive officer shall be elected by, and 
        report to, the Board, as provided in the bylaws of the 
        corporation. The chief executive officer shall be responsible, 
        with Board approval, for filling other key senior management 
        positions as provided in the bylaws of the corporation.
            ``(2) Duties.--The chief executive officer shall, either 
        directly or by delegation--
                    ``(A) manage all staff functions and the day-to-day 
                affairs and business operations of the corporation, 
                including relations with international organizations; 
                and
                    ``(B) implement the mission and policies of the 
                corporation, as determined by the Board.
    ``(d) Olympic Assembly.--
            ``(1) In general.--The corporation shall have an Olympic 
        Assembly (in this chapter referred to as the Assembly) in which 
        all of the constituencies of the corporation shall be 
        represented. The size and composition of the Assembly shall be 
        determined by the Board and shall include--
                    ``(A) Olympic athletes and former Olympic athletes;
                    ``(B) representatives of Olympic sports 
                organizations;
                    ``(C) representatives of Pan American sports 
                organizations;
                    ``(D) a representative of an affiliated sports 
                organization;
                    ``(E) representatives of community-based and 
                education-based multisport organizations;
                    ``(F) representatives of the United States Armed 
                Forces; and
                    ``(G) a representative of a State Olympic 
                organization.
            ``(2) Terms.--Each member of the Assembly shall serve for a 
        term of 4 years, beginning with the first meeting following a 
        Summer Olympic Games and extending until the first meeting 
        following the subsequent Summer Olympic Games. There shall be 
        no limit to the number of terms which a member may serve.
            ``(3) Liaison.--Each Assembly shall elect a liaison from 
        among its members who shall preside over the annual meetings of 
        the Assembly, and who shall be limited to serving 1 term of 4 
        years.
            ``(4) Role and responsibilities.--
                    ``(A) Required activities.--The Assembly shall--
                            ``(i) meet annually, at the time of a 
                        meeting of the Board of Directors, to represent 
                        the interests of its members; and
                            ``(ii) receive and review reports from the 
                        Board concerning sport matters and the business 
                        of the corporation.
                    ``(B) Permitted activities.--The Assembly may--
                            ``(i) propose items for consideration by 
                        the chair to be included on the agenda for the 
                        Board; and
                            ``(ii) perform other functions as the Board 
                        determines to be appropriate.
            ``(5) Expenses.--The Board shall set the budget for the 
        Assembly, which may pay the actual and reasonable expenses of 
        members of the Assembly to attend the annual meeting, and any 
        special meetings called by the Board.
    ``(e) Standards and Compliance Program.--The corporation shall 
maintain a standards and compliance program that includes, at minimum, 
the following requirements:
            ``(1) The development and distribution of written standards 
        of conduct, as well as written policies, procedures, and 
        protocols that promote the United States Olympic Committee's 
        commitment to compliance with such standards and address 
        specific areas of potential infractions of compliance.
            ``(2) The designation of a compliance or ethics officer at 
        the executive level who shall report to the Board and shall be 
        charged with the responsibility for developing, operating, and 
        monitoring the compliance program.
            ``(3) The development and implementation of regular, 
        effective education and training programs for all affected 
        United States Olympic Committee employees, including paid 
        senior management, officers, volunteers, and directors of a 
        member organization.
            ``(4) The creation and maintenance of an effective line of 
        communication between the compliance officer and all United 
        States Olympic Committee employees and volunteers, including a 
        process, such as a hotline or other reporting system, to 
        receive complaints, and the adoption of procedures to protect 
        the anonymity of complainants and to protect complainants from 
        retaliation.
            ``(5) The use of audits and other risk evaluation 
        techniques to monitor compliance, identify problem areas, 
        affecting the United States Olympic Committee, its officers, 
        employees, and volunteers, and assist in the reduction of 
        identified problems.
            ``(6) The development of policies and procedures with 
        respect to the investigation of identified systemic problems, 
        which include direction regarding the prompt and proper 
        response to detected offenses, such as the initiation of 
        appropriate corrective action and preventive measures.
            ``(7) The development of a system to respond to allegations 
        of illegal or improper activities and the enforcement of 
        appropriate disciplinary action against United States Olympic 
        Committee employees who have violated internal compliance 
        policies, applicable statutes, regulations, or other United 
        states Olympic Committee requirements.
    ``(f)10-Year Review.--Not later than January 1, 2014, and every 10 
years thereafter, the Board shall appoint an independent commission to 
study and determine whether the governance structure of the corporation 
continues to serve the purpose for which it was created. Such 
commission shall transmit to Congress a report which shall include 
recommendations for changes to the governance structure of the 
corporation.''.
    (b) Table of Sections.--The table of sections for subchapter I of 
chapter 2205 of title 36, United States Code, is amended to read as 
follows:

                      ``subchapter i--corporation
``Sec.
``220501. Title and definitions.
``220502. Organization.
``220503. Purposes.
``220504. Membership.
``220505. Governance.
``220506. Powers.
``220507. Exclusive right to name, seals, emblems, and badges.
``220508. Restrictions.
``220509. Headquarters, principle office, and meetings.
``220510. Resolution of disputes.
``220511. Services of process.
``220512. Annual report.
``220513. Complete teams.''.
    (c) Powers Related to Amateur Athletics and the Olympic, 
Paralympic, and Pan-American Games.--Section 220506(c) of title 36, 
United States Code, (as amended by this Act) is amended--
            (1) in the subsection heading by inserting ``, Paralympic, 
        and Pan-American'' after ``Olympic''; and
            (2) in paragraph (3), by inserting ``or paralympic sports 
        organization'' after ``governing body''.
    (d) Transition.--
            (1) Continuance of existing board during transition.--The 
        individuals serving as members of the Board of Directors of the 
        United States Olympic Committee on the date of enactment of 
        this Act shall continue to serve as the Board until a Board of 
        Directors has been elected under paragraph (2)(B) of this 
        subsection.
            (2) Initial nominating and governance committee.--
                    (A) In general.--Until the initial Board of 
                Directors has been elected and taken office, the 
                Nominating and Governance Committee required by section 
                220505(b)(6)(C) of title 36, United States Code, (as 
                amended by this Act) shall consist of--
                            (i) 1 individual selected by the Athlete's 
                        Advisory Council from among its members;
                            (ii) 1 individual selected by the National 
                        Governing Bodies' Council from among its 
                        members;
                            (iii) 1 individual selected by the public-
                        sector directors of the United States Olympic 
                        Committee from among such directors serving on 
                        the date of enactment of this Act;
                            (iv) 1 individual selected by the 
                        Governance and Ethics Task Force established by 
                        the United States Olympic Committee in 
                        February, 2003, from among its members; and
                            (v) 1 individual selected by the 
                        Independent Commission on Reform established by 
                        the United States Olympic Committee in March, 
                        2003, from among its members, who shall chair 
                        the committee.
                    (B) Election of new board of directors.--The 
                Nominating and Governance Committee established by 
                paragraph (2) shall--
                            (i) elect an initial Board of Directors who 
                        shall serve for the terms provided in section 
                        220505(b)(2)(C) of title 36, United States Code 
                        (as amended by this Act); and
                            (ii) elect 1 of the independent members 
                        described in section 220505(b)(1)(A)(i) of that 
                        title (as amended by this Act) to serve as 
                        chair until the terms of the members elected 
                        under clause (i) have expired.
                    (C) Eligibility for new board of directors.--
                Members of the initial Nominating and Governance 
                Committee shall not be eligible to serve on the initial 
                Board of Directors that has been elected under 
                subparagraph (B), but shall be eligible for election to 
                subsequent Boards.

SEC. 5. OMBUDSMAN.

    Section 220510(b) of title 36, United States Code, (as amended by 
this Act) is amended--
            (1) in paragraph (1), by striking ``corporation'' and 
        inserting ``Board'';
            (2) in paragraph (2)(A)(i), by striking ``corporation's 
        executive director'' and inserting ``Board'';
            (3) by striking clause (ii) of paragraph (2)(A) and 
        redesignating clause (iii) of such paragraph as clause (ii);
            (4) in clause (ii) of paragraph (2)(A) (as so 
        redesignated), by striking ``corporation's executive 
        committee'' and inserting ``Board'';
            (5) in paragraph (2)(B), by striking ``corporation'' and 
        inserting ``Board'';
            (6) in paragraph (2)(B)(ii), by striking ``corporation's 
        executive committee by either the corporation's executive 
        director or'' and inserting ``Board''; and
            (7) in paragraph (2)(B)(iii), by striking ``corporation's 
        executive committee'' and inserting ``Board''.

SEC. 6. REPORTING.

    (a) Annual Report.--Section 220512 of title 36, United States Code, 
(as amended by this Act) is amended--
            (1) by striking ``every fourth'' and inserting ``each'';
            (2) by striking ``4 years'' and inserting ``year''; and
            (3) in paragraph (2) by striking ``such 4-year period'' and 
        inserting ``the preceding year''.
    (b) Special Report.--Notwithstanding any other provision of law, 
the corporation shall not be required to submit to Congress any 
additional report, other than a report required by section 220512 of 
title 36, United States Code, (as amended by this Act) until 2 years 
after the date of enactment of this Act.

SEC. 7. CONFORMING AND TECHNICAL AMENDMENTS.

    Chapter 2205 of title 36, United States Code, (as amended by this 
Act) is amended--
            (1) in section 220501, by moving paragraph (7) 2 ems to the 
        right;
            (2) in section 220504, by striking ``constitution and'' 
        both places it appears;
            (3) in section 220506--
                    (A) in subsection (a)--
                            (i) in the subsection heading, by striking 
                        ``Constitution And'';
                            (ii) by striking ``constitution and''; and
                            (iii) by striking ``may amend its 
                        constitution'' and inserting ``may amend its 
                        bylaws''; and
                    (B) in subsection (b)(9), by striking ``this Act'' 
                and inserting ``this chapter'';
                    (C) in subsection (c)(5), by striking 
                ``constitution and'';
            (4) in section 220507(d)--
                    (A) by moving paragraph (3) 2 ems to the left; and
                    (B) in paragraph (3)(A), by striking 
                ``subsections'' and inserting ``subsection'';
            (5) in section 220510--
                    (A) in subsection (a), by striking ``constitution 
                and'' each place it appears;
                    (B) in subsection (b)(1)(A)--
                            (i) by striking ``constitution and'' both 
                        places it appears;
                            (ii) by striking ``a paralympic sports 
                        organizations'' and inserting ``paralympic 
                        sports organizations'';
            (6) in section 220513, by striking ``Corporation'' and 
        inserting ``corporation'';
            (7) in section 220521, by striking ``subsections (a) or 
        (b)'' and inserting ``subsection (a) or (b)'';
            (8) in section 220522(a)(4)(B), by striking ``constitution 
        and'' and
            (9) in section 220529, by striking ``constitution and'' 
        both places it appears.
                                 <all>