[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2066 Reported in Senate (RS)]







                                                       Calendar No. 449
109th CONGRESS
  2d Session
                                H. R. 2066

                          [Report No. 109-257]

     To amend title 40, United States Code, to establish a Federal 
    Acquisition Service, to replace the General Supply Fund and the 
Information Technology Fund with an Acquisition Services Fund, and for 
                            other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 24, 2005

Received; read twice and referred to the Committee on Homeland Security 
                        and Governmental Affairs

                              May 25, 2006

                Reported by Ms. Collins, with amendments
  [Omit the part struck through and insert the part printed in italic]

_______________________________________________________________________

                                 AN ACT


 
     To amend title 40, United States Code, to establish a Federal 
    Acquisition Service, to replace the General Supply Fund and the 
Information Technology Fund with an Acquisition Services Fund, and for 
                            other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``General Services Administration 
Modernization Act''.

SEC. 2. FEDERAL ACQUISITION SERVICE.

    (a) Establishment.--
            (1) In general.--Section 303 of title 40, United States 
        Code, is amended to read as follows:
``Sec. 303. Federal Acquisition Service
    ``(a) Establishment.--There is established in the General Services 
Administration a Federal Acquisition Service. The Administrator of 
General Services shall appoint a Commissioner of the Federal 
Acquisition Service, who shall be the head of the Federal Acquisition 
Service.
    ``(b) Functions.--Subject to the direction and control of the 
Administrator of General Services, the Commissioner of the Federal 
Acquisition Service shall be responsible for carrying out functions 
related to the uses for which the Acquisition Services Fund is 
authorized under section 321 of this title, including any functions 
that were carried out by the entities known as the Federal Supply 
Service and the Federal Technology Service and such other related 
functions as the Administrator considers appropriate.
    ``(c) Regional Executives.--The Administrator may appoint 
<DELETED>up to five</DELETED> Regional Executives in the Federal 
Acquisition Service, to carry out such functions within the Federal 
Acquisition Service as the Administrator considers appropriate.''.
            (2) Clerical amendment.--The item relating to section 303 
        at the beginning of chapter 3 of such title is amended to read 
        as follows:

``303.  Federal Acquisition Service.''.
    (b) Executive Schedule Compensation.--Section 5316 of title 5, 
United States Code, is amended by striking ``Commissioner, Federal 
Supply Service, General Services Administration.'' and inserting the 
following:
            ``Commissioner, Federal Acquisition Service, General 
        Services Administration.''.
    (c) References.--Any reference in any other Federal law, Executive 
order, rule, regulation, reorganization plan, or delegation of 
authority, or in any document--
            (1) to the Federal Supply Service is deemed to refer to the 
        Federal Acquisition Service;
            (2) to the GSA Federal Technology Service is deemed to 
        refer to the Federal Acquisition Service;
            (3) to the Commissioner of the Federal Supply Service is 
        deemed to refer to the Commissioner of the Federal Acquisition 
        Service; and
            (4) to the Commissioner of the GSA Federal Technology 
        Service is deemed to refer to the Commissioner of the Federal 
        Acquisition Service.

SEC. 3. ACQUISITION SERVICES FUND.

    (a) Abolishment of General Supply Fund and Information Technology 
Fund.--The General Supply Fund and the Information Technology Fund in 
the Treasury are hereby abolished.
    (b) Transfers.--Capital assets and balances remaining in the 
General Supply Fund and the Information Technology Fund as in existence 
immediately before this section takes effect shall be transferred to 
the Acquisition Services Fund and shall be merged with and be available 
for the purposes of the Acquisition Services Fund under section 321 of 
title 40, United States Code (as amended by this Act).
    (c) Assumption of Obligations.--Any liabilities, commitments, and 
obligations of the General Supply Fund and the Information Technology 
Fund as in existence immediately before this section takes effect shall 
be assumed by the Acquisition Services Fund.
    (d) Existence and Composition of Acquisition Services Fund.--
Subsections (a) and (b) of section 321 of title 40, United States Code, 
are amended to read as follows:
    ``(a) Existence.--The Acquisition Services Fund is a special fund 
in the Treasury.
    ``(b) Composition.--
            ``(1) In general.--The Fund is composed of amounts 
        authorized to be transferred to the Fund or otherwise made 
        available to the Fund.
            ``(2) Other credits.--The Fund shall be credited with all 
        reimbursements, advances, and refunds or recoveries relating to 
        personal property or services procured through the Fund, 
        including--
                    ``(A) the net proceeds of disposal of surplus 
                personal property; and
                    ``(B) receipts from carriers and others for loss 
                of, or damage to, personal property; and
                    ``(C) receipts from agencies charged fees pursuant 
                to rates established by the Administrator.
            ``(3) Cost and capital requirements.--The Administrator 
        shall determine the cost and capital requirements of the Fund 
        for each fiscal year and shall develop a plan concerning such 
        requirements in consultation with the Chief Financial Officer 
        of the General Services Administration. Any change to the cost 
        and capital requirements of the Fund for a fiscal year shall be 
        approved by the Administrator. The Administrator shall 
        establish rates to be charged agencies provided, or to be 
        provided, supply of personal property and non-personal services 
        through the Fund, in accordance with the plan.
            ``(4) Deposit of fees.--Fees collected by the Administrator 
        under section 313 of this title may be deposited in the Fund to 
        be used for the purposes of the Fund.''.
    (e) Uses of Fund.--Section 321(c) of such title is amended in 
paragraph (1)(A)--
            (1) by striking ``and'' at the end of clause (i);
            (2) by inserting ``and'' after the semicolon at the end of 
        clause (ii); and
            (3) by inserting after clause (ii) the following new 
        clause:
                            ``(iii) personal services related to the 
                        provision of information technology (as defined 
                        in section 11101(6) of this title);''.
    (f) Payment for Property and Services.--Section 321(d)(2)(A) of 
such title is amended--
            (1) by striking ``and'' at the end of clause (iv);
            (2) by redesignating clause (v) as clause (vi); and
            (3) by inserting after clause (iv) the following new 
        clause:
                            ``(v) the cost of personal services 
                        employed directly in providing information 
                        technology (as defined in section 11101(6) of 
                        this title); and''.
    (g) Transfer of Uncommitted Balances.--Subsection (f) of section 
321 of such title is amended to read as follows:
    ``(f) Transfer of Uncommitted Balances.--Following the close of 
each fiscal year, after making provision for a sufficient level of 
inventory of personal property to meet the needs of Federal agencies, 
the replacement cost of motor vehicles, and other anticipated operating 
needs reflected in the cost and capital plan developed under subsection 
(b), the uncommitted balance of any funds remaining in the Fund shall 
be transferred to the general fund of the Treasury as miscellaneous 
receipts.''.
    (h) Conforming and Clerical Amendments.--
            (1) Section 322 of such title is repealed.
            (2) The heading for section 321 of such title is amended to 
        read as follows:
``Sec. 321. Acquisition Services Fund''.
            (3) The table of sections for chapter 3 of such title is 
        amended by striking the items relating to sections 321 and 322 
        and inserting the following:

``321.  Acquisition Services Fund.''.
            (4) Section 573 of such title is amended by striking 
        ``General Supply Fund'' both places it appears and inserting 
        ``Acquisition Services Fund''.
            (5) Section 604(b) of such title is amended--
                    (A) in the heading, by striking ``GENERAL SUPPLY 
                FUND'' and inserting ``ACQUISITION SERVICES FUND''; and
                    (B) in the text, by striking ``General Supply 
                Fund'' and inserting ``Acquisition Services Fund''.
            (6) Section 605 of such title is amended--
                    (A) in subsection (a)--
                            (i) in the heading, by striking ``general 
                        supply fund'' and inserting ``acquisition 
                        services fund''; and
                            (ii) in the text, by striking ``General 
                        Supply Fund'' and inserting ``Acquisition 
                        Services Fund''; and
                    (B) in subsection (b)(2)--
                            (i) by striking ``321(f)(1)'' and inserting 
                        ``321(f)''; and
                            (ii) by striking ``General Supply Fund'' 
                        and inserting ``Acquisition Services Fund''.

SEC. 4. PROVISIONS RELATING TO ACQUISITION PERSONNEL.

    Section 37 of the Office of Federal Procurement Policy Act (41 
U.S.C. 433) is amended by adding at the end the following new 
subsections:
    ``(i) Provisions Relating to Reemployment.--
            ``(1) Policies and procedures.--The head of each executive 
        agency, after consultation with the Administrator and the 
        Director of the Office of Personnel Management, shall establish 
        policies and procedures under which the agency head may 
        reemploy in an acquisition-related position (as described in 
        subsection (g)(1)(A)) an individual receiving an annuity from 
        the Civil Service Retirement and Disability Fund, on the basis 
        of such individual's service, without discontinuing such 
        annuity. The head of each executive agency shall keep the 
        Administrator informed of the agency's use of this authority.
            ``(2) Service not subject to csrs or fers.--An individual 
        so reemployed shall not be considered an employee for the 
        purposes of chapter 83 or 84 of title 5, United States Code.
            ``(3) Criteria for exercise of authority.--Polices and 
        procedures established pursuant to this subsection shall 
        authorize the head of the executive agency, on a case-by-case 
        basis, to continue an annuity if--
                    ``(A) the unusually high or unique qualifications 
                of an individual receiving an annuity from the Civil 
                Service Retirement and Disability Fund on the basis of 
                such individual's service, <DELETED>or
                <DELETED>    ``(B) a special need of the agency for the 
                services of an employee,</DELETED>
                    ``(B) the exceptional difficulty in recruiting or 
                retaining a qualified employee, or
                    ``(C) a temporary emergency hiring need,
        makes the reemployment of an individual essential.
            ``(4) Reporting requirement.--The Administrator shall 
        submit annually to the Committee on Government Reform of the 
        House of Representatives and the Committee on Homeland Security 
        and Governmental Affairs of the Senate a report on the use of 
        the authority under this subsection, including the number of 
        employees reemployed under authority of this subsection.
            ``(5) Sunset provision.--The authority under this 
        subsection shall expire on <DELETED>December 31, 2011.</DELETED> 
        December 31, 2011.''.
<DELETED>    ``(j) Retention Bonuses.--</DELETED>
        <DELETED>    ``(1) In general.--The head of each executive 
        agency, after consultation with the Administrator, shall 
        establish policies and procedures under which the agency head 
        may pay retention bonuses to employees holding acquisition-
        related positions (as described in subsection (g)(1)(A)) within 
        such agency, except that the authority to pay a bonus under 
        this subsection shall be available only if--</DELETED>
                <DELETED>    ``(A) the unusually high or unique 
                qualifications of an employee or a special need of the 
                agency for the services of an employee makes the 
                retention of such employee essential; and</DELETED>
                <DELETED>    ``(B) the agency determines that, in the 
                absence of such a bonus, it is likely that the employee 
                would leave--</DELETED>
                        <DELETED>    ``(i) the Federal service; 
                        or</DELETED>
                        <DELETED>    ``(ii) for a different position in 
                        the Federal service under conditions described 
                        in regulations of the Office.</DELETED>
        <DELETED>    ``(2) Service agreements.--(A) Payment of a bonus 
        under this subsection shall be contingent upon the employee 
        entering into a written agreement with the agency to complete a 
        period of service with the agency in return for the 
        bonus.</DELETED>
        <DELETED>    ``(B)(i) The agreement shall include--</DELETED>
                <DELETED>    ``(I) the length of the period of service 
                required;</DELETED>
                <DELETED>    ``(II) the bonus amount;</DELETED>
                <DELETED>    ``(III) the manner in which the bonus will 
                be paid (as described in paragraph (3)(B)); 
                and</DELETED>
                <DELETED>    ``(IV) any other terms and conditions of 
                the bonus, including the terms and conditions governing 
                the termination of an agreement.</DELETED>
        <DELETED>    ``(3) Terms and conditions.--A bonus under this 
        subsection--</DELETED>
                <DELETED>    ``(A) may not exceed 50 percent of the 
                basic pay of the employee;</DELETED>
                <DELETED>    ``(B) may be paid to an employee--
                </DELETED>
                        <DELETED>    ``(i) in installments after 
                        completion of specified periods of 
                        service;</DELETED>
                        <DELETED>    ``(ii) in a single lump sum at the 
                        end of the period of service required by the 
                        agreement; or</DELETED>
                        <DELETED>    ``(iii) in any other manner 
                        mutually agreed to by the agency and the 
                        employee;</DELETED>
                <DELETED>    ``(C) is not part of the basic pay of the 
                employee; and</DELETED>
                <DELETED>    ``(D) may not be paid to an employee who 
                holds a position--</DELETED>
                        <DELETED>    ``(i) appointment to which is by 
                        the President, by and with the advice and 
                        consent of the Senate;</DELETED>
                        <DELETED>    ``(ii) in the Senior Executive 
                        Service as a noncareer appointee (as such term 
                        is defined under section 3132(a) of title 5, 
                        United States Code); or</DELETED>
                        <DELETED>    ``(iii) which has been excepted 
                        from the competitive service by reason of its 
                        confidential, policy-determining, policy-
                        making, or policy-advocating 
                        character.''.</DELETED>

SEC. 5. EFFECTIVE DATE.

    This Act and the amendments made by this Act shall take effect 60 
days after the date of the enactment of this Act.
                                                       Calendar No. 449

109th CONGRESS

  2d Session

                               H. R. 2066

                          [Report No. 109-257]

_______________________________________________________________________

                                 AN ACT

     To amend title 40, United States Code, to establish a Federal 
    Acquisition Service, to replace the General Supply Fund and the 
Information Technology Fund with an Acquisition Services Fund, and for 
                            other purposes.

_______________________________________________________________________

                              May 25, 2006

                        Reported with amendments