Special Inspector General for overseas contingency operations

(a)

Purposes

The purposes of this section are as follows: (1)To provide for the independent and objective conduct and supervision of audits and investigations relating to the programs and operations funded with amounts appropriated or otherwise made available for overseas contingency operations. (2)To provide for the independent and objective leadership and coordination of, and recommendations on, policies designed to— (A)promote economy, efficiency, and effectiveness in the administration of the programs and operations described in paragraph (1); and (B)prevent and detect waste, fraud, and abuse in such programs and operations. (3)To provide for an independent and objective means of keeping the Secretary of State, the Secretary of Defense, and the Administrator of the United States Agency for International Development fully and currently informed about problems and deficiencies relating to the administration of such programs and operations and the necessity for and progress on corrective action. (b)

Office of Inspector General

There is hereby established the Office of the Special Inspector General for Overseas Contingency Operations to carry out the purposes of subsection (a). (c)

Appointment of Inspector General; Removal

(1)

Appointment

The head of the Office of the Special Inspector General for Overseas Contingency Operations is the Special Inspector General for Overseas Contingency Operations, who shall be appointed by the President, by and with the advice and consent of the Senate. (2)

Qualifications

The appointment of the Special Inspector General shall be made without regard to political affiliation and solely on the basis of integrity and demonstrated ability in accounting, auditing, financial analysis, law, management analysis, public administration, or investigations. (3)

Deadline for nomination

The nomination of an individual as Special Inspector General shall be made not later than 30 days after the date of the enactment of this Act. (4)

Compensation

The annual rate of basic pay of the Special Inspector General shall be the annual rate of basic pay provided for an Inspector General under section 3(e) of the Inspector General Act of 1978 (5 U.S.C. App.). (5)

Prohibition on political activities

For purposes of section 7324 of title 5, United States Code, the Special Inspector General shall not be considered an employee who determines policies to be pursued by the United States in the nationwide administration of Federal law. (6)

Removal

The Special Inspector General shall be removable from office in accordance with the provisions of section 3(b) of the Inspector General Act of 1978 (5 U.S.C. App.). (d)

Assistant Inspectors General

The Special Inspector General shall, in accordance with applicable laws and regulations governing the civil service— (1)appoint an Assistant Special Inspector General for Auditing who shall have the responsibility for supervising the performance of auditing activities relating to programs and operations supported by amounts appropriated or otherwise made available for overseas contingency operations; and (2)appoint an Assistant Special Inspector General for Investigations who shall have the responsibility for supervising the performance of investigative activities relating to such programs and operations. (e)

Supervision

(1)

In general

Except as provided in paragraph (2), the Special Inspector General shall report directly to, and be under the general supervision of, the Secretary of State and the Secretary of Defense. (2)

Independence to conduct investigations and audits

An officer of the Department of Defense or the Department of State may not prevent or prohibit the Special Inspector General from initiating, carrying out, or completing any audit or investigation related to amounts appropriated or otherwise made available for overseas contingency operations or from issuing any subpoena during the course of any such audit or investigation. (f)

Duties

(1)

Oversight of overseas contingency operations

It shall be the duty of the Special Inspector General to conduct, supervise, and coordinate audits and investigations of the treatment, handling, and expenditure of amounts appropriated or otherwise made available for overseas contingency operations, and of the programs, operations, and contracts carried out utilizing such funds, including the following: (A)The oversight and accounting of the obligation and expenditure of such funds. (B)The monitoring and review of overseas contingency operation activities funded by such funds. (C)The monitoring and review of contracts funded by such funds. (D)The monitoring and review of the transfer of such funds and associated information between and among departments, agencies, and entities of the United States and private and nongovernmental entities. (E)The maintenance of records on the use of such funds to facilitate future audits and investigations of the use of such funds. (F)The investigation of overpayments such as duplicate payments or duplicate billing and any potential unethical or illegal actions of Federal employees, contractors, or affiliated entities and the referral of such reports, as necessary, to the Department of Justice to ensure further investigations, prosecutions, recovery of further funds, or other remedies. (2)

Other duties related to oversight

The Special Inspector General shall establish, maintain, and oversee such systems, procedures, and controls as the Special Inspector General considers appropriate to discharge the duties under paragraph (1). (3)

Oversight in response to emergencies, destabilization, armed conflict or other circumstances

(A)

Audit and investigative authority

The Special Inspector General shall, in addition to the other responsibilities and authorities of the Special Inspector General under this section, conduct, supervise, and coordinate audits and investigations of the treatment, handling, and expenditure of amounts appropriated or otherwise made available for the activities described in subparagraph (B), and of the programs, operations, and contracts carried out utilizing such funds (including the oversight and accounting of the obligation and expenditure of such funds). (B)

Activities described

The activities described in this paragraph are activities funded or undertaken, outside of the United States, by the Department of Defense and either the Department of State or the United States Agency for International Development— (i)to build or rebuild physical infrastructure; (ii)to establish, reestablish, strengthen, or otherwise provide for a political, security, or societal institution; (iii)to provide products or services to the people of a foreign country; (iv)in response to emergencies, destabilization, armed conflict, or circumstances otherwise necessitating stabilization or reconstruction operations; or (v)where a rapid response by the United States is required or anticipated to be required. (4)

Duties and responsibilities under the Inspector General Act of 1978

In addition to the duties specified in paragraphs (1), (2), and (3) the Special Inspector General shall also have the duties and responsibilities of inspectors general under the Inspector General Act of 1978. (5)

Coordination of efforts

In carrying out the duties, responsibilities, and authorities of the Special Inspector General under this section, the Special Inspector General shall coordinate with, and receive the cooperation of each of the following: (A)The Inspector General of the Department of Defense. (B)The Inspector General of the Department of State. (C)The Inspector General of the United States Agency for International Development. (g)

Powers and authorities

(1)

Authorities under the Inspector General Act of 1978

In carrying out the duties specified in subsection (f), the Special Inspector General shall have the authorities provided in section 6 of the Inspector General Act of 1978. (2)

Audit standards

The Special Inspector General shall carry out the duties specified in subsection (f)(1) in accordance with section 4(b)(1) of the Inspector General Act of 1978. (h)

Personnel, Facilities, and Other Resources

(1)

Personnel

(A)

In general

The Special Inspector General may select, appoint, and employ such officers and employees as may be necessary for carrying out the duties of the Special Inspector General, subject to the provisions of title 5, United States Code, governing appointments in the competitive service, and the provisions of chapter 51 and subchapter III of chapter 53 of such title, relating to classification and General Schedule pay rates. The Special Inspector General shall reduce the number of officers and employees after the conclusion of a contingency operation if the Special Inspector General determines such officers and employees are no longer necessary for carrying out the duties of the Special Inspector General. (B)

Additional personnel authority

(i)

In general

Subject to clause (ii), the Special Inspector General may exercise the authorities of subsections (b) through (i) of section 3161 of title 5, United States Code (to the same extent and in the same manner as an organization described under subsection (a) of that section). (ii)

Periods of appointment

In exercising the employment authorities under subsection (b) of section 3161 of title 5, United States Code, as provided under clause (i) of this subparagraph, paragraph (2) of such subsection (b) (relating to periods of appointments) shall not apply. (2)

Reemployment authorities

The provisions of section 9902(g) of title 5, United States Code, shall apply with respect to the Office of the Special Inspector General for Overseas Contingency Operations. For purposes of the preceding sentence, such provisions shall be applied— (A)by substituting the Office of the Special Inspector General for Overseas Contingency Operations for the Department of Defense each place it appears; (B)by substituting

Contingency Operation and Emergency Oversight Act of 2011

for the National Defense Authorization Act for Fiscal Year 2004 (Public Law 108–136) in paragraph (2)(A) thereof; and (C)by substituting the Special Inspector General for Overseas Contingency Operations for the Secretary in paragraph (4) thereof. (3)

Employment of experts and consultants

The Special Inspector General may obtain services as authorized by section 3109 of title 5, United States Code, at daily rates not to exceed the equivalent rate prescribed for grade GS–15 of the General Schedule by section 5332 of such title. (4)

Contracting authority

To the extent and in such amounts as may be provided in advance by appropriations Acts, the Special Inspector General may enter into contracts and other arrangements for audits, studies, analyses, and other services with public agencies and with private persons, and make such payments as may be necessary to carry out the duties of the Special Inspector General. (5)

Resources

The Secretary of State, the Secretary of Defense, or the Administrator of the United States Agency for International Development, as appropriate, shall provide the Special Inspector General with appropriate and adequate office space at appropriate locations of the Department of State, the Department of Defense, or the United States Agency for International Development, as the case may be, together with such equipment, office supplies, and communications facilities and services as may be necessary for the operation of such offices, and shall provide necessary maintenance services for such offices and the equipment and facilities located therein. (6)

Assistance from Federal agencies

(A)

In general

Upon request of the Special Inspector General for information or assistance from any department, agency, or other entity of the Federal Government, the head of such entity shall, insofar as is practicable and not in contravention of any existing law, furnish such information or assistance to the Special Inspector General. (B)

Reporting of refused assistance

Whenever information or assistance requested by the Special Inspector General is, in the judgment of the Special Inspector General, unreasonably refused or not provided, the Special Inspector General shall report the circumstances to the Secretary of State, the Secretary of Defense, or the Administrator of the United States Agency for International Development, as appropriate, and to the appropriate congressional committees without delay. (i)

Reports

(1)

Quarterly reports during overseas contingency operations

During overseas contingency operations, not later than 30 days after the end of each fiscal-year quarter, the Special Inspector General shall submit to the appropriate congressional committees a report summarizing, for the period of that quarter and, to the extent possible, the period from the end of such quarter to the time of the submission of the report, the activities during such period of the Special Inspector General and the activities under programs and operations funded with amounts appropriated or otherwise made available for the relevant overseas contingency operation. Each report shall include, for the period covered by such report, a detailed statement of all obligations, expenditures, and revenues associated with the relevant overseas contingency operation, including the following: (A)Obligations and expenditures of appropriated funds. (B)A project-by-project and program-by-program accounting of the costs incurred to date for overseas contingency operations, together with the estimate of the Department of Defense, the Department of State, and the United States Agency for International Development, as applicable, of the costs to complete each project and each program. (C)Revenues attributable to or consisting of funds provided by foreign nations or international organizations to programs and projects funded by any department or agency of the United States Government, and any obligations or expenditures of such revenues. (D)Revenues attributable to or consisting of foreign assets seized or frozen that contribute to programs and projects funded by any department or agency of the United States Government, and any obligations or expenditures of such revenues. (E)Operating expenses of agencies or entities receiving amounts appropriated or otherwise made available for contingency contracting. (F)In the case of any contract, grant, agreement, or other funding mechanism described in paragraph (3)— (i)the amount of the contract, grant, agreement, or other funding mechanism; (ii)a brief discussion of the scope of the contract, grant, agreement, or other funding mechanism; (iii)a discussion of how the department or agency of the United States Government involved in the contract, grant, agreement, or other funding mechanism identified, and solicited offers from, potential individuals or entities to perform the contract, grant, agreement, or other funding mechanism, together with a list of the potential individuals or entities that were issued solicitations for the offers; and (iv)the justification and approval documents on which was based the determination to use procedures other than procedures that provide for full and open competition. (2)

Annual reports during non-contingencies

During periods in which the United States is not engaged in overseas contingency operations, not later than 30 days after the end of each fiscal year, the Special Inspector General shall submit to the appropriate congressional committees a report summarizing, for the period of that year and, to the extent possible, the period from the end of such year to the time of the submission of the report, activities during such period of the Special Inspector General and the activities under programs and operations funded with amounts appropriated or otherwise made available for planning of overseas contingency operations. Each report shall include, for the period covered by such report, a detailed statement of all obligations, expenditures, and revenues associated with planning of overseas contingency operations, including those obligations, expenditures, and revenues listed in subparagraphs (A) through (E) of paragraph (1). (3)

Covered contracts, grants, agreements, and funding mechanisms

A contract, grant, agreement, or other funding mechanism described in this paragraph is any major contract, grant, agreement, or other funding mechanism that is entered into by any department or agency of the United States Government that involves the use of amounts appropriated or otherwise made available for overseas contingency operations. (4)

Public availability

The Special Inspector General shall publish on a publically available website each report under paragraph (1) of this subsection. (5)

Form

Each report required under this subsection shall be submitted in unclassified form, but may include a classified annex if the Special Inspector General considers it necessary. (6)

Rule of construction

Nothing in this subsection shall be construed to authorize the public disclosure of information that is— (A)specifically prohibited from disclosure by any other provision of law; (B)specifically required by Executive order to be protected from disclosure in the interest of national defense or national security or in the conduct of foreign affairs; or (C)a part of an ongoing criminal investigation. (j)

Report coordination

(1)

Submission to Secretaries of State and Defense and the Administrator of the United States Agency for International Development

The Special Inspector General shall also submit each report required under subsection (i) to the Secretary of State, the Secretary of Defense, and the Administrator of the United States Agency for International Development. (2)

Submission to Congress

Not later than 30 days after receipt of a report under paragraph (1), the Secretary of State, the Secretary of Defense, or the Administrator of the United States Agency for International Development may submit to the appropriate congressional committees any comments on the matters covered by the report as the Secretary of State, the Secretary of Defense, or the Administrator of the United States Agency for International Development, as the case may be, considers appropriate. Any comments on the matters covered by the report shall be submitted in unclassified form, but may include a classified annex if the Secretary of State, the Secretary of Defense, or the Administrator of the United States Agency for International Development, as the case may be, considers it necessary. (k)

Transparency

(1)

Report

Not later than 60 days after submission to the appropriate congressional committees of a report under subsection (i), the Secretary of State, the Secretary of Defense, and the Administrator of the United States Agency for International Development shall jointly make copies of the report available to the public upon request, and at a reasonable cost. (2)

Comments on matters covered by report

Not later than 60 days after submission to the appropriate congressional committees under subsection (j)(2) of comments on a report under subsection (i), the Secretary of State, the Secretary of Defense, and the Administrator of the United States Agency for International Development shall jointly make copies of the comments available to the public and at a reasonable cost. (l)

Waiver

(1)

Authority

The President may waive the requirement under paragraph (1) or (2) of subsection (k) with respect to availability to the public of any element in a report under subsection (i), or any comment under subsection (j)(2), if the President determines that the waiver is justified for national security reasons. (2)

Notice of waiver

The President shall publish a notice of each waiver made under this subsection in the Federal Register no later than the date on which a report required under subsection (i), or any comment under subsection (j)(2), is submitted to the appropriate congressional committees. The report and comments shall specify whether waivers under this subsection were made and with respect to which elements in the report or which comments, as appropriate. (m)

Center on Contingency Contracting

(1)

Establishment

The Special Inspector General shall establish in the Office of the Special Inspector General for Overseas Contingency Operations the Center on Contingency Contracting (in this subsection referred to as the Center) to carry out the following activities: (A)Creating and maintaining a resource center and archive consisting of the findings of the Commission on Wartime Contracting, reports issued by the Special Inspector General for Iraq Reconstruction or the Special Inspector General for Afghanistan Reconstruction, reports issued by other Inspectors General on matters relating to contingency contracting for activities relating to the wars in Iraq and Afghanistan, and reports of committees of Congress on contingency contracting for activities relating to the wars in Iraq and Afghanistan. (B)Holding symposia and other events for the discussion of issues on contingency contracting for activities relating to the wars in Iraq and Afghanistan. (C)Serving as a center to support continuing scholarship on the oversight of wartime contracting. (2)

Administration

The Special Inspector General shall provide for the administration of the Center in such manner as the Special Inspector General considers appropriate, including the appointment of staff and the allocation of resources of the Office of the Special Inspector General for Overseas Contingency Operations to support the Center’s activities. (n)

Termination of other Offices of Special Inspectors General

(1)

In general

(A)

Termination of the Office of the Special Inspector General for Iraq Reconstruction

Notwithstanding any other law, not later than September 30, 2012, the Office of the Special Inspector General for Iraq Reconstruction shall terminate, and the assets and obligations of such Office shall be transferred to the Office of the Special Inspector General for Overseas Contingency Operations or otherwise disposed of. (B)

Termination of the Office of the Special Inspector General for Afghanistan Reconstruction

Notwithstanding any other law, not later than February 28, 2013, the Office of the Special Inspector General for Afghanistan Reconstruction shall terminate, and the assets and obligations of such Office shall be transferred to the Office of the Special Inspector General for Overseas Contingency Operations or otherwise disposed of. (C)

Authority and responsibility for transfer or disposal

The Secretary of Defense, in consultation with the Secretary of State and the Administrator of the United States Agency for International Development Authority, shall have the authority and responsibility for transfer or disposal under subparagraphs (A) and (B). (2)

Savings provisions

(A)

Continuing effect of legal documents

All orders, determinations, rules, regulations permits, agreements, grants, contracts, certificates, licenses, registration, privileges, and other administrative actions— (i)which have been issued, made, granted, or allowed to become effective by the President, any Federal agency or official thereof, or by a court of competent jurisdiction, in the performance of functions which are transferred under this section, and (ii)which are in effect on the relevant transfer date, or were final before the relevant transfer date and are to become effective on or after the relevant transfer date, shall continue in effect according to their terms until modified, terminated, superseded, set arise, or revoked in accordance with law by the President, the Inspector General or other authorized official, a court of competent jurisdiction, or by operation of law. (B)

Performance not affected

The provisions of this section shall not affect the performance of any pending audit, investigation, inspection, or report by the Office of the Special Inspector General for Iraq Reconstruction or the Office of the Special Inspector General for Afghanistan Reconstruction on the relevant transfer date, with respect to functions transferred by this section. Nothing in this paragraph shall be deemed to prohibit the discontinuance or modification of any performance under the same terms and conditions and to the same extent that such performance could have been discontinued or modified if this section had not been enacted. (C)

Suits not affected

The provisions of this section shall not affect suits commenced before the relevant transfer date, and in all such suits, proceedings shall be had, appeals taken, and judgments rendered in the same manner and with the same effect as if this section had not been enacted. (D)

Nonabatement of actions

A suit, action, or other proceeding commenced by or against the Office of the Special Inspector General for Iraq Reconstruction or the Office of the Special Inspector General for Afghanistan Reconstruction, or by or against any individual as an officer of the Office of the Special Inspector General for Iraq Reconstruction or the Office of the Special Inspector General for Afghanistan Reconstruction, shall not abate by reason of the enactment of this section. (3)

Disposal of property

(A)

Strict compliance

The Secretary of Defense shall carry out the disposal of any real property pursuant to this subsection in compliance with applicable law, including section 572 of title 40, United States Code. (B)

Deposit of proceeds

The Secretary of Defense shall deposit the proceeds of any disposal of real property pursuant to this subsection into the miscellaneous receipts of the Treasury in accordance with section 3302(b) of title 31, United States Code. (o)

Definitions

In this section: (1)

Appropriate congressional committees

The term appropriate congressional committees means the following: (A)The Committee on Appropriations, the Committee on Armed Services, the Committee on Foreign Relations, and the Committee on Homeland Security and Governmental Affairs of the Senate. (B)The Committee on Appropriations, the Committee on Armed Services, the Committee on Foreign Affairs, and the Committee on Oversight and Government Reform of the House of Representatives. (2)

Contingency contracting

The term contingency contracting means all stages of the process of the Federal Government of acquiring property or services during a contingency operation. (3)

Contingency operation

The term contingency operation has the meaning given that term in section 101 of title 10, United States Code. (4)

Overseas contingency operation

The term overseas contingency operation means a contingency operation that is outside of the United States. (5)

Relevant transfer date

The term relevant transfer date means— (A)September 30, 2012, with regard to the Office of the Special Inspector General for Iraq Reconstruction; and (B)February 28, 2013, with regard to the Office of the Special Inspector General for Afghanistan Reconstruction. (6)

Special Inspector General

The term Special Inspector General means the Special Inspector General for Overseas Contingency Operations appointed under subsection (c). (p)

Authorization of appropriations

To carry out this section, there are authorized to be appropriated $21,000,000 for fiscal year 2012, and such sums as may be necessary for each fiscal year thereafter.