[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[S. 1360 Engrossed in Senate (ES)]

113th CONGRESS
  2d Session
                                S. 1360

_______________________________________________________________________

                                 AN ACT


 
To amend the Improper Payments Elimination and Recovery Improvement Act 
  of 2012, including making changes to the Do Not Pay initiative, for 
 improved detection, prevention, and recovery of improper payments to 
             deceased individuals, 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 ``Improper Payments Agency Cooperation 
Enhancement Act of 2014''.

SEC. 2. DISTRIBUTION OF DEATH INFORMATION FURNISHED TO OR MAINTAINED BY 
              THE SOCIAL SECURITY ADMINISTRATION.

    (a) In General.--
            (1) In general.--Section 205(r) of the Social Security Act 
        (42 U.S.C. 405(r)) is amended--
                    (A) in paragraph (2)--
                            (i) by striking ``may'' and inserting 
                        ``shall''; and
                            (ii) by inserting ``, and to ensure the 
                        completeness, timeliness, and accuracy of,'' 
                        after ``transmitting'';
                    (B) by striking paragraphs (3), (4), and (5) and 
                inserting the following:
    ``(3)(A) The Commissioner of Social Security shall, to the extent 
feasible, provide for the use of information regarding all deceased 
individuals furnished to or maintained by the Commissioner under this 
subsection in accordance with subparagraph (B), subject to such 
safeguards as the Commissioner of Social Security determines are 
necessary or appropriate to protect the information from unauthorized 
use or disclosure, by any Federal or State agency providing federally-
funded benefits or administering a Federal program for such benefits, 
including the agency operating the Do Not Pay working system for 
ensuring proper payment of those benefits, through a cooperative 
arrangement with the agency (that includes the agency's Inspector 
General) or with an agency's Inspector General, if--
            ``(i) under such arrangement the agency (including, if 
        applicable, the agency's Inspector General) provides 
        reimbursement to the Commissioner of Social Security for the 
        reasonable cost of carrying out such arrangement, including the 
        reasonable costs associated with the collection and maintenance 
        of information regarding deceased individuals furnished to the 
        Commissioner pursuant to paragraph (1), and
            ``(ii) such arrangement does not conflict with the duties 
        of the Commissioner of Social Security under paragraph (1).
    ``(B) The Commissioner of Social Security shall, to the extent 
feasible, provide for the use of information regarding all deceased 
individuals furnished to or maintained by the Commissioner under this 
subsection, through a cooperative arrangement in order for a Federal 
agency to carry out any of the following purposes, if the requirements 
of clauses (i) and (ii) of subparagraph (A) are met:
            ``(i) Operating the Do Not Pay working system established 
        by section 5 of the Improper Payments Elimination and Recovery 
        Improvement Act of 2012. Under such arrangement, the agency 
        operating the working system may compare death information 
        disclosed by the Commissioner with personally identifiable 
        information reviewed through the working system, and may 
        redisclose such comparison of information, as appropriate, to 
        any Federal or State agency authorized to use the working 
        system.
            ``(ii) To ensure proper payments under a Federal program or 
        the proper payment of federally-funded benefits, including for 
        purposes of payment certification, payment disbursement, and 
        the prevention, identification, or recoupment of improper 
        payments.
            ``(iii) To carry out tax administration or debt collection 
        duties of the agency.
            ``(iv) For use by any policing agency of the Federal 
        Government with the principle function of prevention, 
        detection, or investigation of crime or the apprehension of 
        alleged offenders.
    ``(4) The Commissioner of Social Security may enter into similar 
arrangements with States to provide information regarding all deceased 
individuals furnished to or maintained by the Commissioner under this 
subsection, for any of the purposes specified in paragraph (3)(B), for 
use by States in programs wholly funded by the States, or for use in 
the administration of a benefit pension plan or retirement system for 
employees of a State or a political subdivision thereof, if the 
requirements of clauses (i) and (ii) of paragraph (3)(A) are met. For 
purposes of this paragraph, the terms `retirement system' and 
`political subdivision' have the meanings given such terms in section 
218(b).
    ``(5) The Commissioner of Social Security may use or provide for 
the use of information regarding all deceased individuals furnished to 
or maintained by the Commissioner under this subsection, subject to 
such safeguards as the Commissioner of Social Security determines are 
necessary or appropriate to protect the information from unauthorized 
use or disclosure, for statistical purposes and research activities by 
Federal and State agencies if the requirements of clauses (i) and (ii) 
of paragraph (3)(A) are met. For purposes of this paragraph, the term 
`statistical purposes' has the meaning given that term in section 502 
of the Confidential Information Protection and Statistical Efficiency 
Act of 2002.''; and
                    (C) in paragraph (8)(A)(i), by striking 
                ``subparagraphs (A) and (B) of paragraph (3)'' and 
                inserting ``clauses (i) and (ii) of paragraph (3)(A)''.
            (2) Repeal.--Effective on the date that is 5 years after 
        the date of enactment of this Act, the amendments made by this 
        subsection to paragraphs (3), (4), (5), and (8) of section 
        205(r) of the Social Security Act (42 U.S.C. 405(r)) are 
        repealed, and the provisions of section 205(r) of the Social 
        Security Act (42 U.S.C. 605(r)) so amended are restored and 
        revived as if such amendments had not been enacted.
    (b) Amendment to Internal Revenue Code.--Section 6103(d)(4) of the 
Internal Revenue Code of 1986 is amended--
            (1) in subparagraphs (A) and (B), by striking ``Secretary 
        of Health and Human Services'' each place it appears and 
        inserting ``Commissioner of Social Security''; and
            (2) in subparagraph (B)(ii), by striking ``such Secretary'' 
        and all that follows through ``deceased individuals.'' and 
        inserting ``such Commissioner pursuant to such contract, except 
        that such contract may provide that such information is only to 
        be used by the Social Security Administration (or any other 
        Federal agency) for purposes authorized in the Social Security 
        Act or this title.''.
    (c) Report to Congress on Alternative Sources of Death Data.--
            (1) Requirements.--The Director of the Office of Management 
        and Budget shall conduct a review of potential alternative 
        sources of death data maintained by the non-Federal sources, 
        including sources maintained by State agencies or associations 
        of State agencies, for use by Federal agencies and programs. 
        The review shall include analyses of--
                    (A) the accuracy and completeness of such data;
                    (B) interoperability of such data;
                    (C) the extent to which there is efficient 
                accessability of such data by Federal agencies;
                    (D) the cost to Federal agencies of accessing and 
                maintaining such data;
                    (E) the security of such data;
                    (F) the reliability of such data; and
                    (G) a comparison of the potential alternate sources 
                of death data to the death data distributed by the 
                Commissioner of Social Security.
            (2) Report.--Not later than 4 years after the date of 
        enactment of this Act, the Director of the Office of Management 
        and Budget shall submit a report to Congress on the results of 
        the review and analyses required under paragraph (1). The 
        report shall include a recommendation by the Director of the 
        Office of Management and Budget regarding whether to extend the 
        agency access to death data distributed by the Commissioner of 
        Social Security provided under the amendments made by 
        subsection (a)(1) beyond the date on which such amendments are 
        to be repealed under subsection (a)(2).

SEC. 3. IMPROVING THE SHARING AND USE OF DATA BY GOVERNMENT AGENCIES TO 
              CURB IMPROPER PAYMENTS.

    The Improper Payments Elimination and Recovery Improvement Act of 
2012 (31 U.S.C. 3321 note) is amended--
            (1) in section 5--
                    (A) in subsection (a)(2), by striking subparagraph 
                (A) and inserting the following:
                    ``(A) The death records maintained by the 
                Commissioner of the Social Security Administration.''; 
                and
                    (B) in subsection (b)--
                            (i) by redesignating paragraph (5) as 
                        paragraph (6); and
                            (ii) by inserting after paragraph (4) the 
                        following:
            ``(5) Use of death and prisoner information.--The 
        Commissioner of Social Security, and the head of any other 
        agency that obtains information on deaths or incarcerated 
        individuals directly from the Commissioner of Social Security 
        pursuant to an agreement under section 205(r) or sections 
        202(x) and 1611(e) of the Social Security Act (42 U.S.C. 
        405(r), 405(x), 1382(e)) or the Department of the Treasury's Do 
        Not Pay program, shall be considered to have satisfied the 
        requirements of this section as such requirements relate to 
        payments or to identifying, preventing, or recovering improper 
        payments in the case of deaths or incarcerated individuals. 
        Nothing in the preceding sentence shall be construed as 
        exempting the Commissioner of Social Security or the head of 
        any other agency that obtains information on deaths or 
        incarcerated individuals directly from the Commissioner of 
        Social Security under an agreement under section 205(r) or 
        sections 202(x) and 1611(e) of the Social Security Act (42 
        U.S.C. 405(r), 405(x), 1382(e)) or the Department of the 
        Treasury's Do Not Pay program from being subject to any 
        improper payment reporting requirement of the Director of the 
        Office of Management.''; and
            (2) by adding at the end the following:

``SEC. 7. IMPROVING THE USE OF DEATH DATA BY GOVERNMENT AGENCIES.

    ``(a) Prompt Reporting of Death Information by the Department of 
State and the Department of Defense.--Not later than 1 year after the 
date of enactment of this section, the Secretary of State and the 
Secretary of Defense, in coordination with the Commissioner of Social 
Security, shall establish a procedure under which each Secretary shall, 
promptly and on a regular basis, submit to the Commissioner information 
relating to the deaths of individuals. The Commissioner shall, to the 
extent feasible, provide for the use of death information submitted 
under this subsection for the purpose specified in clause (i) of 
section 205(r)(3)(B) of the Social Security Act (42 U.S.C. 
405(r)(3)(B)).
    ``(b) Guidance by the Office of Management and Budget.--
            ``(1) Guidance to agencies.--Not later than 6 months after 
        the date of enactment of this section, and in consultation with 
        the Council of Inspectors General on Integrity and Efficiency 
        and the heads of other relevant Federal, State, and local 
        agencies, and Indian tribes and tribal organizations, the 
        Director of the Office of Management and Budget shall issue 
        guidance for each agency or component of an agency that 
        operates or maintains a database of information relating to 
        beneficiaries, annuity recipients, or any purpose described in 
        section 205(r)(3)(B) of the Social Security Act (42 U.S.C. 
        405(r)(3)(B)) for which improved data matching with databases 
        relating to the death of an individual (in this section 
        referred to as `death databases') would be relevant and 
        necessary regarding implementation of this section to provide 
        such agencies or components access to the death databases no 
        later than 6 months after such date of enactment.
            ``(2) Plan to assist states and local agencies and indian 
        tribes and tribal organizations.--Not later than 1 year after 
        the date of enactment of this section, the Director of the 
        Office of Management and Budget shall develop a plan to assist 
        States and local agencies, and Indian tribes and tribal 
        organizations, in providing electronically to the Federal 
        Government records relating to the death of individuals, which 
        may include recommendations to Congress for any statutory 
        changes or financial assistance to States and local agencies 
        and Indian tribes and tribal organizations that are necessary 
        to ensure States and local agencies and Indian tribes and 
        tribal organizations can provide such records electronically. 
        The plan may include recommendations for the authorization of 
        appropriations or other funding to carry out the plan.
    ``(c) Reports.--
            ``(1) Report to congress on improving data matching 
        regarding payments to deceased individuals.--Not later than 270 
        days after the date of enactment of this section, the Director 
        of the Office of Management and Budget, in consultation with 
        the heads of other relevant Federal agencies, and in 
        consultation with States and local agencies, Indian tribes and 
        tribal organizations, shall submit to Congress a plan to 
        improve how States and local agencies and Indian tribes and 
        tribal organizations that provide benefits under a federally-
        funded program will improve data matching with the Federal 
        Government with respect to the death of individuals who are 
        recipients of such benefits.
            ``(2) Annual report.--Not later than 1 year after the date 
        of enactment of this section, and for each of the 4 succeeding 
        years, the Director of the Office of Management and Budget 
        shall submit to Congress a report regarding the implementation 
        of this section. The first report submitted under this 
        paragraph shall include the recommendations of the Director 
        required under subsection (b)(2).
    ``(d) Definitions.--In this section, the terms `Indian tribe' and 
`tribal organization' have the meanings given those terms in section 4 
of the Indian Self-Determination and Education Assistance Act (25 
U.S.C. 450b).''.

SEC. 4. AVAILABILITY OF THE DO NOT PAY INITIATIVE TO THE JUDICIAL AND 
              LEGISLATIVE BRANCHES AND STATES.

    Section 5 of the Improper Payments Elimination and Recovery 
Improvement Act of 2012 (31 U.S.C. 3321 note), as amended by section 3, 
is further amended--
            (1) in subsection (b)(3)--
                    (A) in the paragraph heading, by striking ``by 
                agencies''; and
                    (B) by adding at the end the following: ``States 
                and any contractor, subcontractor, or agent of a State, 
                and the judicial and legislative branches of the United 
                States (as defined in paragraphs (2) and (3), 
                respectively, of section 202(e) of title 18, United 
                States Code), shall have access to, and use of, the Do 
                Not Pay Initiative to verify payment or award 
                eligibility for payments (as defined in section 
                (2)(g)(3) of the Improper Payments Information Act of 
                2002, 31 U.S.C. 3321 note) when, with respect to a 
                State, the Director of the Office of Management and 
                Budget determines that the Do Not Pay Initiative is 
                appropriately established for that State and any 
                contractor, subcontractor, or agent of the State, and, 
                with respect to the judicial and legislative branches 
                of the United States, when the Director of the Office 
                of Management and Budget determines that the Do Not Pay 
                Initiative is appropriately established for the 
                judicial branch or the legislative branch, as 
                applicable.''; and
            (2) in subsection (d)(2)--
                    (A) in subparagraph (B), by striking ``and'' after 
                the semicolon;
                    (B) in subparagraph (C), by striking the period at 
                the end and inserting ``; and''; and
                    (C) by inserting after subparagraph (C) the 
                following:
                    ``(D) may include States and their quasi-government 
                entities, and the judicial and legislative branches of 
                the United States (as defined in paragraphs (2) and 
                (3), respectively, of section 202(e) of title 18, 
                United States Code) as users of the system in 
                accordance with subsection (b)(3).''.

SEC. 5. DATA ANALYTICS.

    Section 5 of the Improper Payments Elimination and Recovery 
Improvement Act of 2012 (31 U.S.C. 3321 note), as amended by sections 3 
and 4, is further amended by adding at the end the following:
    ``(h) Report on Improper Payments Data Analysis.--Not later than 
180 days after the date of enactment of the Improper Payments Agency 
Cooperation Enhancement Act of 2014, the Secretary of the Treasury 
shall submit to Congress a report which shall include a description 
of--
            ``(1) data analytics performed as part of the Do Not Pay 
        Initiative for the purpose of detecting, preventing, and 
        recovering improper payments through pre-award, post-award pre-
        payment, and post-payment analysis, which shall include a 
        description of any analysis or investigations incorporating--
                    ``(A) review and data matching of payments and 
                beneficiary enrollment lists of State programs carried 
                out using Federal funds for the purposes of identifying 
                eligibility duplication, residency ineligibility, 
                duplicate payments, or other potential improper payment 
                issues;
                    ``(B) review of multiple Federal agencies and 
                programs for which comparison of data could show 
                payment duplication; and
                    ``(C) review of other information the Secretary of 
                the Treasury determines could prove effective for 
                identifying, preventing, or recovering improper 
                payments, which may include investigation or review of 
                information from multiple Federal agencies or programs; 
                and
            ``(2) the metrics used in determining whether the analytic 
        and investigatory efforts have reduced, or contributed to the 
        reduction of, improper payments or improper awards.''.

            Passed the Senate September 18, 2014.

            Attest:

                                                             Secretary.
113th CONGRESS

  2d Session

                                S. 1360

_______________________________________________________________________

                                 AN ACT

To amend the Improper Payments Elimination and Recovery Improvement Act 
  of 2012, including making changes to the Do Not Pay initiative, for 
 improved detection, prevention, and recovery of improper payments to 
             deceased individuals, and for other purposes.