[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5620 Introduced in House (IH)]

<DOC>






114th CONGRESS
  2d Session
                                H. R. 5620

 To amend title 38, United States Code, to provide for the removal or 
 demotion of employees of the Department of Veterans Affairs based on 
           performance or misconduct, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              July 5, 2016

Mr. Miller of Florida introduced the following bill; which was referred 
to the Committee on Veterans' Affairs, and in addition to the Committee 
  on Oversight and Government Reform, for a period to be subsequently 
   determined by the Speaker, in each case for consideration of such 
 provisions as fall within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
 To amend title 38, United States Code, to provide for the removal or 
 demotion of employees of the Department of Veterans Affairs based on 
           performance or misconduct, and for other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``VA Accountability 
First and Appeals Modernization Act of 2016''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. References to title 38, United States Code.
Sec. 3. Removal or demotion of employees based on performance or 
                            misconduct.
Sec. 4. Reduction of benefits for members of the Senior Executive 
                            Service within the Department of Veterans 
                            Affairs convicted of certain crimes.
Sec. 5. Authority to recoup bonuses or awards paid to employees of 
                            Department of Veterans Affairs.
Sec. 6. Authority to recoup relocation expenses paid to or on behalf of 
                            employees of Department of Veterans 
                            Affairs.
Sec. 7. Senior executives: personnel actions based on performance or 
                            misconduct.
Sec. 8. Treatment of whistleblower complaints in Department of Veterans 
                            Affairs.
Sec. 9. Appeals reform.
Sec. 10. Limitation on awards and bonuses paid to senior executive 
                            employees of Department of Veterans 
                            Affairs.

SEC. 2. REFERENCES TO TITLE 38, UNITED STATES CODE.

    Except as otherwise expressly provided, whenever in this Act an 
amendment or repeal is expressed in terms of an amendment to, or repeal 
of, a section or other provision, the reference shall be considered to 
be made to a section or other provision of title 38, United States 
Code.

SEC. 3. REMOVAL OR DEMOTION OF EMPLOYEES BASED ON PERFORMANCE OR 
              MISCONDUCT.

    (a) In General.--Chapter 7 is amended by adding at the end the 
following new section:
``Sec. 715. Employees: removal or demotion based on performance or 
              misconduct
    ``(a) In General.--The Secretary may remove or demote an individual 
who is an employee of the Department if the Secretary determines the 
performance or misconduct of the individual warrants such removal or 
demotion. If the Secretary so removes or demotes such an individual, 
the Secretary may--
            ``(1) remove the individual from the civil service (as 
        defined in section 2101 of title 5); or
            ``(2) demote the individual by means of--
                    ``(A) a reduction in grade for which the individual 
                is qualified and that the Secretary determines is 
                appropriate; or
                    ``(B) a reduction in annual rate of pay that the 
                Secretary determines is appropriate.
    ``(b) Pay of Certain Demoted Individuals.--(1) Notwithstanding any 
other provision of law, any individual subject to a demotion under 
subsection (a)(2)(A) shall, beginning on the date of such demotion, 
receive the annual rate of pay applicable to such grade.
    ``(2) An individual so demoted may not be placed on administrative 
leave or any other category of paid leave during the period during 
which an appeal (if any) under this section is ongoing, and may only 
receive pay if the individual reports for duty. If an individual so 
demoted does not report for duty, such individual shall not receive pay 
or other benefits pursuant to subsection (e)(5).
    ``(c) Notice to Congress.--Not later than 30 days after removing or 
demoting an individual under subsection (a), the Secretary shall submit 
to the Committees on Veterans' Affairs of the Senate and House of 
Representatives notice in writing of such removal or demotion and the 
reason for such removal or demotion.
    ``(d) Procedure.--(1) Subsection (b) of section 7513 of title 5 
shall apply with respect to a removal or a demotion under this section, 
except that the period for notice and response, which includes the 
advance notice period required by paragraph (1) of such subsection and 
the response period required by paragraph (2) of such subsection, shall 
not exceed a total of ten calendar days.
    ``(2) The procedures under chapter 43 of title 5 shall not apply to 
a removal or demotion under this section.
    ``(3)(A) Subject to subparagraph (B) and subsection (e), any 
removal or demotion under subsection (a) may be appealed to the Merit 
Systems Protection Board under section 7701 of title 5.
    ``(B) An appeal under subparagraph (A) of a removal or demotion may 
only be made if such appeal is made not later than seven days after the 
date of such removal or demotion.
    ``(e) Expedited Review by MSPB.--(1) Upon receipt of an appeal 
under subsection (d)(3)(A), the Merit Systems Protection Board shall 
expedite any such appeal under such section and, in any such case, 
shall issue a decision not later than 60 days after the date of the 
appeal.
    ``(2) Notwithstanding section 7701(c)(1)(B) of title 5, the Merit 
Systems Protection Board shall uphold the decision of the Secretary to 
remove or demote an employee under subsection (a) if the decision is 
supported by substantial evidence.
    ``(3) The decision of the Merit Systems Protection Board under 
paragraph (1), and any final removal or demotion described in paragraph 
(4), may be appealed to the United States Court of Appeals for the 
Federal Circuit pursuant to section 7703 of title 5. Any decision by 
such Court shall be in compliance with section 7462(f)(2) of this 
title.
    ``(4) In any case in which the Merit Systems Protection Board 
cannot issue a decision in accordance with the 60-day requirement under 
paragraph (1), the removal or demotion is final. In such a case, the 
Merit Systems Protection Board shall, within 14 days after the date 
that such removal or demotion is final, submit to Congress and the 
Committees on Veterans' Affairs of the Senate and House of 
Representatives a report that explains the reasons why a decision was 
not issued in accordance with such requirement.
    ``(5) The Merit Systems Protection Board may not stay any removal 
or demotion under this section.
    ``(6) During the period beginning on the date on which an 
individual appeals a removal from the civil service under subsection 
(d) and ending on the date that the Merit Systems Protection Board 
issues a final decision on such appeal, such individual may not receive 
any pay, awards, bonuses, incentives, allowances, differentials, 
student loan repayments, special payments, or benefits.
    ``(7) To the maximum extent practicable, the Secretary shall 
provide to the Merit Systems Protection Board such information and 
assistance as may be necessary to ensure an appeal under this 
subsection is expedited.
    ``(f) Whistleblower Protection.--(1) In the case of an individual 
seeking corrective action (or on behalf of whom corrective action is 
sought) from the Office of Special Counsel based on an alleged 
prohibited personnel practice described in section 2302(b) of title 5, 
the Secretary may not remove or demote such individual under subsection 
(a) without the approval of the Special Counsel under section 1214(f) 
of title 5.
    ``(2) In the case of an individual who has filed a whistleblower 
complaint, as such term is defined in section 741 of this title, the 
Secretary may not remove or demote such individual under subsection (a) 
until a final decision with respect to the whistleblower complaint has 
been made.
    ``(g) Termination of Investigations by Office of Special Counsel.--
Notwithstanding any other provision of law, the Special Counsel 
(established by section 1211 of title 5) may terminate an investigation 
of a prohibited personnel practice alleged by an employee or former 
employee of the Department after the Special Counsel provides to the 
employee or former employee a written statement of the reasons for the 
termination of the investigation. Such statement may not be admissible 
as evidence in any judicial or administrative proceeding without the 
consent of such employee or former employee.
    ``(h) Relation to Other Authorities.--The authority provided by 
this section is in addition to the authority provided by subchapter V 
of chapter 74 of this title, subchapter II of chapter 75 of title 5, 
chapter 43 of such title, and any other authority with respect to 
disciplining an individual.
    ``(i) Definitions.--In this section:
            ``(1) The term `individual' means an individual occupying a 
        position at the Department but does not include--
                    ``(A) an individual, as that term is defined in 
                section 713(g)(1); or
                    ``(B) a political appointee.
            ``(2) The term `grade' has the meaning given such term in 
        section 7511(a) of title 5.
            ``(3) The term `misconduct' includes neglect of duty, 
        malfeasance, or failure to accept a directed reassignment or to 
        accompany a position in a transfer of function.
            ``(4) The term `political appointee' means an individual 
        who is--
                    ``(A) employed in a position described under 
                sections 5312 through 5316 of title 5 (relating to the 
                Executive Schedule);
                    ``(B) a limited term appointee, limited emergency 
                appointee, or noncareer appointee in the Senior 
                Executive Service, as defined under paragraphs (5), 
                (6), and (7), respectively, of section 3132(a) of title 
                5; or
                    ``(C) employed in a position of a confidential or 
                policy-determining character under schedule C of 
                subpart C of part 213 of title 5 of the Code of Federal 
                Regulations.''.
    (b) Clerical and Conforming Amendments.--
            (1) Clerical.--The table of sections at the beginning of 
        chapter 7 is amended by inserting after the item relating to 
        section 713 the following new item:

``715. Employees: removal or demotion based on performance or 
                            misconduct.''.
            (2) Conforming.--Section 4303(f) of title 5, United States 
        Code, is amended--
                    (A) by striking ``or'' at the end of paragraph (2);
                    (B) by striking the period at the end of paragraph 
                (3) and inserting ``, or''; and
                    (C) by adding at the end the following:
            ``(4) any removal or demotion under section 715 of title 
        38.''.

SEC. 4. REDUCTION OF BENEFITS FOR MEMBERS OF THE SENIOR EXECUTIVE 
              SERVICE WITHIN THE DEPARTMENT OF VETERANS AFFAIRS 
              CONVICTED OF CERTAIN CRIMES.

    (a) Reduction of Benefits.--
            (1) In general.--Chapter 7 is further amended by inserting 
        after section 715, as added by section 3, the following new 
        section:
``Sec. 717. Senior executives: reduction of benefits of individuals 
              convicted of certain crimes
    ``(a) Reduction of Annuity for Removed Employee.--(1) The Secretary 
shall order that the covered service of an individual removed from a 
senior executive position for performance or misconduct under section 
713 of this title, chapter 43 or subchapter V of chapter 75 of title 5, 
or any other provision of law shall not be taken into account for 
purposes of calculating an annuity with respect to such individual 
under chapter 83 or chapter 84 of title 5, if--
            ``(A) the individual is convicted of a felony that 
        influenced the individual's performance while employed in the 
        senior executive position; and
            ``(B) before such order is made, the individual is 
        afforded--
                    ``(i) notice of the order and an opportunity to 
                respond to the order; and
                    ``(ii) consistent with paragraph (2), an 
                opportunity to appeal the order to another department 
                or agency of the Federal Government.
    ``(2) If a final decision on an appeal made under paragraph 
(1)(B)(ii) is not made by the applicable department or agency of the 
Federal Government within 30 days after receiving such appeal, the 
order of the Secretary under paragraph (1) shall be final and not 
subject to further appeal.
    ``(b) Reduction of Annuity for Retired Employee.--(1) The Secretary 
may order that the covered service of an individual who is subject to a 
removal or transfer action for performance or misconduct under section 
713 of this title, chapter 43 or subchapter V of chapter 75 of title 5, 
or any other provision of law but who leaves employment at the 
Department prior to the issuance of a final decision with respect to 
such action shall not be taken into account for purposes of calculating 
an annuity with respect to such individual under chapter 83 or chapter 
84 of title 5, if--
            ``(A) the individual is convicted of a felony that 
        influenced the individual's performance while employed in the 
        senior executive position; and
            ``(B) before such order is made, the individual is afforded 
        notice and an opportunity for a hearing conducted by another 
        department or agency of the Federal Government.
    ``(2) The Secretary shall make such an order not later than seven 
days after the date of the conclusion of a hearing referred to in 
paragraph (1)(B) that determines that such order is lawful.
    ``(c) Administrative Requirements.--(1) Not later than 30 days 
after the Secretary issues an order under subsection (a) or (b), the 
Director of the Office of Personnel Management shall recalculate the 
annuity of the individual.
    ``(2) A decision regarding whether the covered service of an 
individual shall be taken into account for purposes of calculating an 
annuity under subsection (a) or (b) is final and may not be reviewed by 
any department or agency or any court.
    ``(d) Lump-Sum Annuity Credit.--Any individual with respect to whom 
an annuity is reduced under subsection (a) or (b) shall be entitled to 
be paid so much of such individual's lump-sum credit as is attributable 
to the period of covered service.
    ``(e) Spouse or Children Exception.--The Secretary, in consultation 
with the Office of Personnel Management, shall prescribe regulations 
that may provide for the payment to the spouse or children of any 
individual referred to in subsection (a) or (b) of any amounts which 
(but for this subsection) would otherwise have been nonpayable by 
reason of such subsections. Any such regulations shall be consistent 
with the requirements of section 8332(o)(5) and 8411(l)(5) of title 5, 
as the case may be.
    ``(f) Definitions.--In this section:
            ``(1) The term `covered service' means, with respect to an 
        individual subject to a removal or transfer for performance or 
        misconduct under section 713 of this title, chapter 43 or 
        subchapter V of chapter 75 of title 5, or any other provision 
        of law, the period of service beginning on the date that the 
        Secretary determines under such applicable provision that the 
        individual engaged in activity that gave rise to such action 
        and ending on the date that the individual is removed or 
        transferred from the senior executive position or leaves 
        employment at the Department prior to the issuance of a final 
        decision with respect to such action, as the case may be.
            ``(2) The term `lump-sum credit' has the meaning given such 
        term in section 8331(8) or section 8401(19) of title 5, as the 
        case may be.
            ``(3) The term `senior executive position' has the meaning 
        given such term in section 713(g)(3) of this title.
            ``(4) The term `service' has the meaning given such term in 
        section 8331(12) or section 8401(26) of title 5, as the case 
        may be.''.
            (2) Clerical amendment.--The table of sections at the 
        beginning of chapter 7 of such title is amended by inserting 
        after the item relating to section 715, as added by section 3, 
        the following new item:

``717. Senior executives: reduction of benefits of individuals 
                            convicted of certain crimes.''.
    (b) Application.--Section 717 of title 38, United States Code, as 
added by subsection (a)(1), shall apply to any action of removal or 
transfer under section 713 of title 38, United States Code, commencing 
on or after the date of the enactment of this Act.

SEC. 5. AUTHORITY TO RECOUP BONUSES OR AWARDS PAID TO EMPLOYEES OF 
              DEPARTMENT OF VETERANS AFFAIRS.

    (a) In General.--Chapter 7 is further amended by inserting after 
section 717, as added by section 4, the following new section:
``Sec. 719. Recoupment of bonuses or awards paid to employees of 
              Department
    ``(a) Recoupment.--Notwithstanding any other provision of law, the 
Secretary may issue an order directing an employee of the Department to 
repay the amount, or a portion of the amount, of any award or bonus 
paid to the employee under title 5, including under chapters 45 or 53 
of such title, or this title if--
            ``(1) the Secretary determines such repayment appropriate 
        pursuant to regulations prescribed under subsection (c); and
            ``(2) before such repayment, the employee is afforded 
        notice and an opportunity for a hearing conducted by another 
        department or agency of the Federal Government.
    ``(b) Review.--(1) Upon the issuance of an order by the Secretary 
under subsection (a), the employee shall be afforded--
            ``(A) notice of the order and an opportunity to respond to 
        the order; and
            ``(B) consistent with paragraph (2), an opportunity to 
        appeal the order to another department or agency of the Federal 
        Government.
    ``(2) If a final decision on an appeal made under paragraph (1)(B) 
is not made by the applicable department or agency of the Federal 
Government within 30 days after receiving such appeal, the order of the 
Secretary under subsection (a) shall be final and not subject to 
further appeal.
    ``(c) Regulations.--The Secretary shall prescribe regulations to 
carry out this section.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter, as amended by section 4, is amended by inserting after 
the item relating to section 717 the following new item:

``719. Recoupment of bonuses or awards paid to employees of 
                            Department.''.
    (c) Effective Date.--Section 719 of title 38, United States Code, 
as added by subsection (a), shall apply with respect to an award or 
bonus paid by the Secretary of Veterans Affairs to an employee of the 
Department of Veterans Affairs on or after the date of the enactment of 
this Act.
    (d) Construction.--Nothing in this Act or the amendments made by 
this Act may be construed to modify the certification issued by the 
Office of Personnel Management and the Office of Management and Budget 
regarding the performance appraisal system of the Senior Executive 
Service of the Department of Veterans Affairs.

SEC. 6. AUTHORITY TO RECOUP RELOCATION EXPENSES PAID TO OR ON BEHALF OF 
              EMPLOYEES OF DEPARTMENT OF VETERANS AFFAIRS.

    (a) In General.--Chapter 7 is further amended by adding at the end 
the following new section:
``Sec. 721. Recoupment of relocation expenses paid on behalf of 
              employees of Department
    ``(a) Recoupment.--(1) Notwithstanding any other provision of law, 
the Secretary may direct an employee of the Department to repay the 
amount, or a portion of the amount, paid to or on behalf of the 
employee under title 5 for relocation expenses, including any expenses 
under section 5724 or 5724a of such title, or this title if--
            ``(A) the Secretary determines that--
                    ``(i) the employee has committed an act of fraud, 
                waste, or malfeasance; and
                    ``(ii) such repayment is appropriate pursuant to 
                regulations prescribed under subsection (c); and
            ``(B) before such repayment is ordered, the individual is 
        afforded--
                    ``(i) notice of the determination of the Secretary 
                and an opportunity to respond to the determination; and
                    ``(ii) consistent with paragraph (2), an 
                opportunity to appeal the determination to another 
                department or agency of the Federal Government.
    ``(2) If a final decision on an appeal made under paragraph 
(1)(B)(ii) is not made by the applicable department or agency of the 
Federal Government within 30 days after receiving such appeal, the 
order of the Secretary under paragraph (1) shall be final and not 
subject to further appeal.
    ``(b) Review.--A decision regarding a repayment by an employee 
pursuant to subsection (a)(1)(B)(ii) is final and may not be reviewed 
by any department, agency, or court.
    ``(c) Regulations.--The Secretary shall prescribe regulations to 
carry out this section.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is further amended by adding at the end the following new 
item:

``721. Recoupment of relocation expenses paid to or on behalf of 
                            employees of Department.''.
    (c) Effective Date.--Section 721 of title 38, United States Code, 
as added by subsection (a), shall apply with respect to an amount paid 
by the Secretary of Veterans Affairs to or on behalf of an employee of 
the Department of Veterans Affairs for relocation expenses on or after 
the date of the enactment of this Act.
    (d) Construction.--Nothing in this section or the amendments made 
by this section may be construed to modify the certification issued by 
the Office of Personnel Management and the Office of Management and 
Budget regarding the performance appraisal system of the Senior 
Executive Service of the Department of Veterans Affairs.

SEC. 7. SENIOR EXECUTIVES: PERSONNEL ACTIONS BASED ON PERFORMANCE OR 
              MISCONDUCT.

    (a) Expansion of Covered Personnel Actions.--Section 713 is amended 
in subsection (a)(1) by inserting after ``such removal.'' the 
following: ``If the Secretary determines that the performance or 
misconduct of such an individual does not merit removal from the senior 
executive service position, the Secretary may suspend, reprimand, or 
admonish the individual.''.
    (b) Removal of Appeal to Merit Systems Protection Board.--Section 
713 is further amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``so removes'' 
                and inserting ``removes''; and
                    (B) by adding at the end the following:
    ``(3) On the date that is 5 days before taking any personnel action 
against a senior executive under paragraph (1), the Secretary shall 
provide the individual with--
            ``(A) notice in writing of the proposed personnel action, 
        including the reasons for such action; and
            ``(B) an opportunity to respond to the proposed personnel 
        action within the 5-day period.'';
            (2) in subsection (b)(2)--
                    (A) by striking ``under this section'' and 
                inserting ``under section 723''; and
                    (B) by striking the second sentence;
            (3) in subsection (c)--
                    (A) by striking ``30'' and inserting ``5''; and
                    (B) by striking ``and the reason for such removal 
                or transfer'' and inserting ``, the reason for such 
                removal or transfer, the name and position of the 
                employee, and all charging documents and evidence 
                pertaining to such removal or transfer'';
            (4) by striking subsections (d) and (e) and inserting the 
        following:
    ``(d) Procedure.--(1) The procedures under title 5 shall not apply 
to any personnel action under this section.
    ``(2) A personnel action under this section--
            ``(A) may be appealed to the Senior Executive Disciplinary 
        Appeals Board under section 723; and
            ``(B) may not be appealed to the Merit Systems Protection 
        Board under section 7701 of title 5.'';
            (5) by redesignating subsections (f) and (g) as subsections 
        (e) and (f), respectively; and
            (6) in subsection (f), as redesignated by paragraph (5), by 
        adding at the end the following:
            ``(4) The term `suspend' means the placing of an individual 
        in a temporary status without duties and pay for a period 
        greater than 14 days.''.
    (c) Removal of Expedited Procedures.--Section 707 of the Veterans 
Access, Choice, and Accountability Act of 2014 (38 U.S.C. 713 note) is 
amended by--
            (1) striking subsection (b); and
            (2) redesignating subsections (c) and (d) as subsections 
        (b) and (c), respectively.
    (d) Senior Executive Disciplinary Appeals Board.--Chapter 7 is 
further amended by inserting after section 721, as added by section 6, 
the following new section:
``Sec. 723. Senior Executive Disciplinary Appeals Board
    ``(a) The Secretary shall from time to time appoint a board to hear 
appeals of any personnel action taken under section 713. Such board 
shall be known as the Senior Executive Disciplinary Appeals Board 
(hereinafter referred to as the `Board'). Each Board shall consist of 3 
employees of the Department. The Board shall have exclusive 
jurisdiction to review any personnel action under section 713.
    ``(b) Upon an appeal of such a personnel action, the Senior 
Executive Disciplinary Appeals Board shall--
            ``(1) review all evidence provided by the Secretary and the 
        appellant; and
            ``(2) issue a decision not later than 21 days after the 
        date of the appeal.
    ``(c) The Board shall afford an employee appealing a personnel 
action an opportunity for an oral hearing. If such a hearing is held, 
the appellant may be represented by counsel.
    ``(d) The Board shall uphold the decision of the Secretary if--
            ``(1) there is substantial evidence supporting the 
        decision; and
            ``(2) the applicable personnel action is within the 
        tolerable bounds of reasonableness.
    ``(e) If the Board issues a decision under this section that 
reverses or otherwise mitigates the applicable personnel action, the 
Secretary may reverse the decision of the Board. Consistent with the 
requirements of subsection (g), the decision of the Secretary under 
this subsection shall be final.
    ``(f) In any case in which the Board cannot issue a decision in 
accordance with the 21-day requirement under subsection (b)(2), the 
personnel action is final.
    ``(g) A petition to review a final order or final decision of the 
Secretary or the Board under this section shall be filed in the United 
States Court of Appeals for the Federal Circuit. Any decision by such 
Court shall be in compliance with section 7462(f)(2) of this title.
    ``(h) During the period beginning on the date on which an 
individual appeals a removal from the civil service under section 
713(d) and ending on the date that the Board or Secretary issues a 
final decision on such appeal, such individual may not receive any pay, 
awards, bonuses, incentives, allowances, differentials, student loan 
repayments, special payments, or benefits.''.
    (e) Technical and Clerical Amendments.--
            (1) Technical amendment.--The section heading of section 
        713 is amended to read as follows: Senior executives: personnel 
        actions based on performance or misconduct.
            (2) Clerical amendments.--The table of contents for such 
        chapter is further amended--
                    (A) by striking the item relating to section 713 
                and inserting the following:

``713. Senior executives: personnel actions based on performance or 
                            misconduct.'';
                and
                    (B) by adding at the end the following:

``723. Senior Executive Disciplinary Appeals Board.''.
    (f) Rule of Construction.--Nothing in this section or section 731 
of title 38, United States Code, (as added by subsection (c)) shall be 
construed to apply to an appeal of a removal, transfer, or other 
personnel action that was pending before the date of the enactment of 
this Act.

SEC. 8. TREATMENT OF WHISTLEBLOWER COMPLAINTS IN DEPARTMENT OF VETERANS 
              AFFAIRS.

    (a) In General.--Chapter 7 is further amended by adding at the end 
the following new subchapter:

               ``SUBCHAPTER II--WHISTLEBLOWER COMPLAINTS

``Sec. 741. Whistleblower complaint defined
    ``In this subchapter, the term `whistleblower complaint' means a 
complaint by an employee of the Department disclosing, or assisting 
another employee to disclose, a potential violation of any law, rule, 
or regulation, or gross mismanagement, gross waste of funds, abuse of 
authority, or substantial and specific danger to public health and 
safety.
``Sec. 742. Treatment of whistleblower complaints
    ``(a) Filing.--(1) In addition to any other method established by 
law in which an employee may file a whistleblower complaint, an 
employee of the Department may file a whistleblower complaint in 
accordance with subsection (g) with a supervisor of the employee.
    ``(2) Except as provided by subsection (d)(1), in making a 
whistleblower complaint under paragraph (1), an employee shall file the 
initial complaint with the immediate supervisor of the employee.
    ``(b) Notification.--(1) Not later than four business days after 
the date on which a supervisor receives a whistleblower complaint by an 
employee under this section, the supervisor shall notify, in writing, 
the employee of whether the supervisor determines that there is a 
reasonable likelihood that the complaint discloses a violation of any 
law, rule, or regulation, or gross mismanagement, gross waste of funds, 
abuse of authority, or substantial and specific danger to public health 
and safety. The supervisor shall retain written documentation regarding 
the whistleblower complaint and shall submit to the next-level 
supervisor a written report on the complaint.
    ``(2) On a monthly basis, the supervisor shall submit to the 
appropriate director or other official who is superior to the 
supervisor a written report that includes the number of whistleblower 
complaints received by the supervisor under this section during the 
month covered by the report, the disposition of such complaints, and 
any actions taken because of such complaints pursuant to subsection 
(c). In the case in which such a director or official carries out this 
paragraph, the director or official shall submit such monthly report to 
the supervisor of the director or official.
    ``(c) Positive Determination.--If a supervisor makes a positive 
determination under subsection (b)(1) regarding a whistleblower 
complaint of an employee, the supervisor shall include in the 
notification to the employee under such subsection the specific actions 
that the supervisor will take to address the complaint.
    ``(d) Filing Complaint With Next-Level Supervisors.--(1) If any 
circumstance described in paragraph (3) is met, an employee may file a 
whistleblower complaint in accordance with subsection (g) with the 
next-level supervisor who shall treat such complaint in accordance with 
this section.
    ``(2) An employee may file a whistleblower complaint with the 
Secretary if the employee has filed the whistleblower complaint to each 
level of supervisors between the employee and the Secretary in 
accordance with paragraph (1).
    ``(3) A circumstance described in this paragraph are any of the 
following circumstances:
            ``(A) A supervisor does not make a timely determination 
        under subsection (b)(1) regarding a whistleblower complaint.
            ``(B) The employee who made a whistleblower complaint 
        determines that the supervisor did not adequately address the 
        complaint pursuant to subsection (c).
            ``(C) The immediate supervisor of the employee is the basis 
        of the whistleblower complaint.
    ``(e) Transfer of Employee Who Files Whistleblower Complaint.--If a 
supervisor makes a positive determination under subsection (b)(1) 
regarding a whistleblower complaint filed by an employee, the Secretary 
shall--
            ``(1) inform the employee of the ability to volunteer for a 
        transfer in accordance with section 3352 of title 5; and
            ``(2) give preference to the employee for such a transfer 
        in accordance with such section.
    ``(f) Prohibition on Exemption.--The Secretary may not exempt any 
employee of the Department from being covered by this section.
    ``(g) Whistleblower Complaint Form.--(1) A whistleblower complaint 
filed by an employee under subsection (a) or (d) shall consist of the 
form described in paragraph (2) and any supporting materials or 
documentation the employee determines necessary.
    ``(2) The form described in this paragraph is a form developed by 
the Secretary, in consultation with the Special Counsel, that includes 
the following:
            ``(A) An explanation of the purpose of the whistleblower 
        complaint form.
            ``(B) Instructions for filing a whistleblower complaint as 
        described in this section.
            ``(C) An explanation that filing a whistleblower complaint 
        under this section does not preclude the employee from any 
        other method established by law in which an employee may file a 
        whistleblower complaint.
            ``(D) A statement directing the employee to information 
        accessible on the Internet website of the Department as 
        described in section 745(c).
            ``(E) Fields for the employee to provide--
                    ``(i) the date that the form is submitted;
                    ``(ii) the name of the employee;
                    ``(iii) the contact information of the employee;
                    ``(iv) a summary of the whistleblower complaint 
                (including the option to append supporting documents 
                pursuant to paragraph (1)); and
                    ``(v) proposed solutions to complaint.
            ``(F) Any other information or fields that the Secretary 
        determines appropriate.
    ``(3) The Secretary, in consultation with the Special Counsel, 
shall develop the form described in paragraph (2) by not later than 60 
days after the date of the enactment of this section.
``Sec. 743. Adverse actions against supervisory employees who commit 
              prohibited personnel actions relating to whistleblower 
              complaints
    ``(a) In General.--(1) In accordance with paragraph (2), the 
Secretary shall carry out the following adverse actions against 
supervisory employees whom the Secretary, an administrative judge, the 
Merit Systems Protection Board, the Office of Special Counsel, an 
adjudicating body provided under a union contract, a Federal judge, or 
the Inspector General of the Department determines committed a 
prohibited personnel action described in subsection (c):
            ``(A) With respect to the first offense, an adverse action 
        that is not less than a 14-day suspension and not more than 
        removal.
            ``(B) With respect to the second offense, removal.
    ``(2)(A) Except as provided by subparagraph (B), and 
notwithstanding subsections (b) and (c) of section 7513 and section 
7543 of title 5, the provisions of subsections (d) and (e) of section 
713 of this title shall apply with respect to an adverse action carried 
out under paragraph (1).
    ``(B) An employee who is notified of being the subject of a 
proposed adverse action under paragraph (1) may not be given more than 
five days following such notification to provide evidence to dispute 
such proposed adverse action. If the employee does not provide any such 
evidence, or if the Secretary determines that such evidence is not 
sufficient to reverse the determination to propose the adverse action, 
the Secretary shall carry out the adverse action following such five-
day period.
    ``(b) Limitation on Other Adverse Actions.--With respect to a 
prohibited personnel action described in subsection (c), if the 
Secretary carries out an adverse action against a supervisory employee, 
the Secretary may carry out an additional adverse action under this 
section based on the same prohibited personnel action if the total 
severity of the adverse actions do not exceed the level specified in 
subsection (a).
    ``(c) Prohibited Personnel Action Described.--A prohibited 
personnel action described in this subsection is any of the following 
actions:
            ``(1) Taking or failing to take a personnel action in 
        violation of section 2302 of title 5 against an employee 
        relating to the employee--
                    ``(A) filing a whistleblower complaint in 
                accordance with section 742 of this title;
                    ``(B) filing a whistleblower complaint with the 
                Inspector General of the Department, the Special 
                Counsel, or Congress;
                    ``(C) providing information or participating as a 
                witness in an investigation of a whistleblower 
                complaint in accordance with section 742 or with the 
                Inspector General of the Department, the Special 
                Counsel, or Congress;
                    ``(D) participating in an audit or investigation by 
                the Comptroller General of the United States;
                    ``(E) refusing to perform an action that is 
                unlawful or prohibited by the Department; or
                    ``(F) engaging in communications that are related 
                to the duties of the position or are otherwise 
                protected.
            ``(2) Preventing or restricting an employee from making an 
        action described in any of subparagraphs (A) through (F) of 
        paragraph (1).
            ``(3) Conducting a peer review or opening a retaliatory 
        investigation relating to an activity of an employee that is 
        protected by section 2302 of title 5.
            ``(4) Requesting a contractor to carry out an action that 
        is prohibited by section 4705(b) or section 4712(a)(1) of title 
        41, as the case may be.
``Sec. 744. Evaluation criteria of supervisors and treatment of bonuses
    ``(a) Evaluation Criteria.--(1) In evaluating the performance of 
supervisors of the Department, the Secretary shall include the criteria 
described in paragraph (2).
    ``(2) The criteria described in this subsection are the following:
            ``(A) Whether the supervisor treats whistleblower 
        complaints in accordance with section 742.
            ``(B) Whether the appropriate deciding official, 
        performance review board, or performance review committee 
        determines that the supervisor was found to have committed a 
        prohibited personnel action described in section 743(b) by an 
        administrative judge, the Merit Systems Protection Board, the 
        Office of Special Counsel, an adjudicating body provided under 
        a union contract, a Federal judge, or, in the case of a 
        settlement of a whistleblower complaint (regardless of whether 
        any fault was assigned under such settlement), the Secretary.
    ``(b) Bonuses.--(1) The Secretary may not pay to a supervisor 
described in subsection (a)(2)(B) an award or bonus under this title or 
title 5, including under chapter 45 or 53 of such title, during the 
one-year period beginning on the date on which the determination was 
made under such subsection.
    ``(2) Notwithstanding any other provision of law, the Secretary 
shall issue an order directing a supervisor described in subsection 
(a)(2)(B) to repay the amount of any award or bonus paid under this 
title or title 5, including under chapter 45 or 53 of such title, if--
            ``(A) such award or bonus was paid for performance during a 
        period in which the supervisor committed a prohibited personnel 
        action as determined pursuant to such subsection (a)(2)(B);
            ``(B) the Secretary determines such repayment appropriate 
        pursuant to regulations prescribed by the Secretary to carry 
        out this section; and
            ``(C) before such order is made, the supervisor is 
        afforded--
                    ``(i) notice of the order and an opportunity to 
                respond to the order; and
                    ``(ii) an opportunity to appeal the order to 
                another department or agency of the Federal Government, 
                except that any such department or agency shall issue a 
                final decision with respect to such appeal not later 
                than the date that is 30 days after the date the 
                department or agency received such appeal.
``Sec. 745. Training regarding whistleblower complaints
    ``(a) Training.--The Secretary, in coordination with the 
Whistleblower Protection Ombudsman designated under section 3(d)(1)(C) 
of the Inspector General Act of 1978 (5 U.S.C. App.), shall annually 
provide to each employee of the Department training regarding 
whistleblower complaints, including--
            ``(1) an explanation of each method established by law in 
        which an employee may file a whistleblower complaint;
            ``(2) an explanation of prohibited personnel actions 
        described by section 743(c) of this title;
            ``(3) with respect to supervisors, how to treat 
        whistleblower complaints in accordance with section 742 of this 
        title;
            ``(4) the right of the employee to petition Congress 
        regarding a whistleblower complaint in accordance with section 
        7211 of title 5;
            ``(5) an explanation that the employee may not be 
        prosecuted or reprised against for disclosing information to 
        Congress in instances where such disclosure is permitted by 
        law, including under sections 5701, 5705, and 7742 of this 
        title, under section 552a of title 5 (commonly referred to as 
        the Privacy Act), under chapter 93 of title 18, and pursuant to 
        regulations promulgated under section 264(c) of the Health 
        Insurance Portability and Accountability Act of 1996 (Public 
        Law 104-191);
            ``(6) an explanation of the language that is required to be 
        included in all nondisclosure policies, forms, and agreements 
        pursuant to section 115(a)(1) of the Whistleblower Protection 
        Enhancement Act of 2012 (5 U.S.C. 2302 note); and
            ``(7) the right of contractors to be protected from 
        reprisal for the disclosure of certain information under 
        section 4705 or 4712 of title 41.
    ``(b) Certification.--The Secretary shall annually provide training 
on merit system protection in a manner that the Special Counsel 
certifies as being satisfactory.
    ``(c) Publication.--(1) The Secretary shall publish on the Internet 
website of the Department, and display prominently at each facility of 
the Department, the rights of an employee to file a whistleblower 
complaint, including the information described in paragraphs (1) 
through (7) of subsection (a).
    ``(2) The Secretary shall publish on the Internet website of the 
Department, the whistleblower complaint form described in section 
742(g)(2).
``Sec. 746. Notice to Congress
    ``Not later than 30 days after the date on which the Secretary 
receives from the Special Counsel information relating to a 
whistleblower complaint pursuant to section 1213 of title 5, the 
Secretary shall notify the Committees on Veterans' Affairs of the House 
of Representatives and the Senate, the Committee on Oversight and 
Government Reform of the House of Representatives, and the Committee on 
Homeland Security and Governmental Affairs of the Senate of such 
information, including the determination made by the Special 
Counsel.''.
    (b) Conforming and Clerical Amendments.--
            (1) Conforming amendment.--Such chapter is further amended 
        by inserting before section 701 the following:

              ``SUBCHAPTER I--GENERAL EMPLOYEE MATTERS''.

            (2) Clerical amendments.--The table of sections at the 
        beginning of such chapter is amended--
                    (A) by inserting before the item relating to 
                section 701 the following new item:

               ``subchapter i--general employee matters'';

                and
                    (B) by adding at the end the following new items:

                ``subchapter ii--whistleblower complaints

``741. Whistleblower complaint defined.
``742. Treatment of whistleblower complaints.
``743. Adverse actions against supervisory employees who commit 
                            prohibited personnel actions relating to 
                            whistleblower complaints.
``744. Evaluation criteria of supervisors and treatment of bonuses.
``745. Training regarding whistleblower complaints.
``746. Notice to Congress.''.

SEC. 9. APPEALS REFORM.

    (a) Definitions.--Section 101 of title 38, United States Code, is 
amended by adding at the end the following new paragraphs:
            ``(34) The term `Agency of Original Jurisdiction' means the 
        activity which entered the original determination with regard 
        to a claim for benefits under this title.
            ``(35) The term `relevant evidence' means evidence that 
        tends to prove or disprove a matter in issue.''.
    (b) Notice to Claimants of Required Information and Evidence.--
Section 5103 of title 38, United States Code, is amended--
            (1) in subsection (a)(2)(B)(i) by striking ``, a claim for 
        reopening a prior decision on a claim, or a claim for an 
        increase in benefits;'' and inserting ``or a supplemental 
        claim;''; and
            (2) in subsection (b) by adding at the end the following 
        new paragraph:
            ``(6) Nothing in this section shall require notice to be 
        sent for a supplemental claim that is filed within the 
        timeframe set forth in subsections (a)(2)(B) and (a)(2)(D) of 
        section 5110 of this title.''.
    (c) Rule With Respect to Disallowed Claims.--Section 5103A(f) of 
title 38, United States Code, is amended to read as follows:
    ``(f) Rule With Respect to Disallowed Claims.--Nothing in this 
section shall be construed to require the Secretary to readjudicate a 
claim that has been disallowed except when new and relevant evidence is 
presented or secured, as described in section 5108 of this title.''.
    (d) Other Matters.--Chapter 51 of title 38, United States Code, is 
amended by inserting after section 5103A the following new sections:
``Sec. 5103B. Applicability of duty to assist
    ``(a) Time Frame.--The Secretary's duty to assist under section 
5103A of this title shall apply only to a claim, or supplemental claim, 
for a benefit under a law administered by the Secretary until the time 
that a claimant is provided notice of the decision of the agency of 
original jurisdiction decision with respect to such claim, or 
supplemental claim, under section 5104 of this title.
    ``(b) Non-Applicability to Certain Reviews and Appeals.--The 
Secretary's duty to assist under section 5103A of this title shall not 
apply to higher-level review by the agency of original jurisdiction, 
pursuant to section 5104B of this title, or to review on appeal by the 
Board of Veterans' Appeals.
    ``(c) Correction of Duty To Assist Errors.--(1) If, during review 
of the decision of the agency of original jurisdiction under section 
5104B of this title, the higher-level reviewer identifies an error on 
the part of the agency of original jurisdiction to satisfy its duties 
under section 5103A of this title, and that error occurred prior to the 
decision of the agency of original jurisdiction being reviewed, the 
higher-level reviewer shall return the claim for correction of such 
error and readjudication unless the claim can be granted in full.
    ``(2) If the Board, during review on appeal of a decision of the 
agency of original jurisdiction decision, identifies an error on the 
part of the agency of original jurisdiction to satisfy its duties under 
section 5103A of this title, and that error occurred prior to the 
decision of the agency of original jurisdiction on appeal, the Board 
shall remand the claim to the agency of original jurisdiction for 
correction of such error and readjudication unless the claim can be 
granted in full. Remand for correction of such error may include 
directing the agency of original jurisdiction to obtain an advisory 
medical opinion under section 5109 of this title.
``Sec. 5104A. Binding nature of favorable findings
    ``Any finding favorable to the claimant as described in section 
5104(b)(4) of this title shall be binding on all subsequent 
adjudicators within the department, unless clear and convincing 
evidence is shown to the contrary to rebut such favorable finding.
``Sec. 5104B. Higher-level review by the agency of original 
              jurisdiction
    ``(a) In General.--The claimant may request a review of the 
decision of the agency of original jurisdiction by a higher-level 
adjudicator within the jurisdiction of the agency of original 
jurisdiction.
    ``(b) Time and Manner of Request.--A request for higher-level 
review by the agency of original jurisdiction must be in writing in the 
form prescribed by the Secretary and made within one year of the notice 
of the decision of the agency of original jurisdiction. Such request 
may specifically indicate whether such review is requested by a higher-
level adjudicator at the same office within the agency of original 
jurisdiction or by an adjudicator at a different office of the agency 
of original jurisdiction.
    ``(c) Decision.--Notice of a higher-level review decision under 
this section shall be provided in writing.
    ``(d) Evidentiary Record for Review.--The evidentiary record before 
the higher-level reviewer shall be limited to the evidence of record in 
the decision of the agency of original jurisdiction being reviewed.
    ``(e) De Novo Review.--Higher-level review under this section shall 
be de novo.''.
    (e) Notice of Decisions.--Section 5104(b) of title 38, United 
States Code, is amended to read as follows:
    ``(b) In any case where the Secretary denies a benefit sought, the 
notice required by subsection (a) shall also include--
            ``(1) identification of the issues adjudicated;
            ``(2) a summary of the evidence considered by the 
        Secretary;
            ``(3) a summary of the applicable laws and regulations;
            ``(4) identification of findings favorable to the claimant;
            ``(5) identification of elements not satisfied leading to 
        the denial;
            ``(6) an explanation of how to obtain or access evidence 
        used in making the decision; and
            ``(7) if applicable, identification of the criteria that 
        must be satisfied to grant service connection or the next 
        higher level of compensation.''.
    (f) Supplemental Claims.--Section 5108 of title 38, United States 
Code, is amended to read as follows:
``Sec. 5108. Supplemental claims
    ``If new and relevant evidence is presented or secured with respect 
to a supplemental claim, the Secretary shall readjudicate the claim 
taking into consideration any evidence added to the record prior to the 
former disposition of the claim.''.
    (g) Remands for Medical Opinions.--Section 5109 of title 38, United 
States Code, is amended by adding at the end the following new 
subsection:
    ``(d) The Board of Veterans' Appeals may remand a claim to direct 
the agency of original jurisdiction to obtain an advisory medical 
opinion under this section to correct an error on the part of the 
agency of original jurisdiction to satisfy its duties under section 
5103A of this title when such error occurred prior to the decision of 
the agency of original jurisdiction on appeal. The Board's remand 
instructions shall include the questions to be posed to the independent 
medical expert providing the advisory medical opinion.''.
    (h) Effective Dates of Awards.--Section 5110 of title 38, United 
States Code, is amended--
            (1) by striking subsection (a) and inserting the following 
        new subsection (a):
    ``(a)(1) Unless specifically provided otherwise in this chapter, 
the effective date of an award based on an initial claim, or a 
supplemental claim, of compensation, dependency and indemnity 
compensation, or pension, shall be fixed in accordance with the facts 
found, but shall not be earlier than the date of receipt of application 
therefor.
    ``(2) For purposes of applying the effective date rules in this 
section, the date of application shall be considered the date of the 
filing of the initial application for a benefit provided that the claim 
is continuously pursued by filing any of the following either alone or 
in succession:
            ``(A) A request for higher-level review under section 5104B 
        of this title within one year of an agency of original 
        jurisdiction decision.
            ``(B) A supplemental claim under section 5108 of this title 
        within one year of an agency of original jurisdiction decision.
            ``(C) A notice of disagreement within one year of an agency 
        of original jurisdiction decision.
            ``(D) A supplemental claim under section 5108 of this title 
        within one year of a decision of the Board of Veterans' 
        Appeals.
    ``(3) Except as otherwise provided in this section, for 
supplemental claims received more than one year after an agency of 
original jurisdiction decision or a decision by the Board of Veterans' 
Appeals, the effective date shall be fixed in accordance with the facts 
found, but shall not be earlier than the date of receipt of the 
supplemental claim.''; and
            (2) in subsection (i) by--
                    (A) striking ``reopened'' and inserting 
                ``readjudicated'';
                    (B) striking ``material'' and inserting 
                ``relevant''; and
                    (C) striking ``reopening'' and inserting 
                ``readjudication''.
    (i) Definition of Award or Increased Reward.--Section 5111(d)(1) of 
title 38, United States Code, is amended by striking ``or reopened 
award;'' and inserting ``award or award based on a supplemental 
claim;''.
    (j) Recognition of Agents and Attorneys Generally.--Section 5904 of 
title 38, United States Code, is amended--
            (1) in subsection (c)(1) by striking ``notice of 
        disagreement is filed'' and inserting ``claimant is provided 
        notice of the initial decision of the agency of original 
        jurisdiction under section 5104 of this title''; and
            (2) in subsection (c)(2) by striking ``notice of 
        disagreement is filed'' and inserting ``claimant is provided 
        notice of the initial decision of the agency of original 
        jurisdiction under section 5104 of this title''.
    (k) Correction of Obvious Errors.--Section 7103 of title 38, United 
States Code, is amended--
            (1) in subsection (b)(1)(A) by striking ``heard'' and 
        inserting ``decided''; and
            (2) in subsection (b)(1)(B) by striking ``heard'' and 
        inserting ``decided''.
    (l) Jurisdiction of Board.--Section 7104(b) of title 38, United 
States Code, is amended by striking ``reopened'' and inserting 
``readjudicated''.
    (m) Filing of Appeal.--Section 7105 of title 38, United States 
Code, is amended--
            (1) in subsection (a)--
                    (A) by striking the first sentence and inserting 
                ``Appellate review will be initiated by the filing of a 
                notice of disagreement in the form prescribed by the 
                Secretary.''; and
                    (B) by striking ``hearing and'';
            (2) by amending subsection (b) to read as follows:
    ``(b)(1) Except in the case of simultaneously contested claims, 
notice of disagreement shall be filed within one year from the date of 
the mailing of notice of the decision of the agency of original 
jurisdiction under section 5104, 5104B, or 5108 of this title. A notice 
of disagreement postmarked before the expiration of the one-year period 
will be accepted as timely filed. A question as to timeliness or 
adequacy of the notice of disagreement shall be decided by the Board.
    ``(2) Notices of disagreement must be in writing, must set out 
specific allegations of error of fact or law, and may be filed by the 
claimant, the claimant's legal guardian, or such accredited 
representative, attorney, or authorized agent as may be selected by the 
claimant or legal guardian. Not more than one recognized organization, 
attorney, or agent will be recognized at any one time in the 
prosecution of a claim. Notices of disagreement must be filed with the 
Board.
    ``(3) The notice of disagreement shall indicate whether the 
claimant requests a hearing before the Board, requests an opportunity 
to submit additional evidence without a Board hearing, or requests 
review by the Board without a hearing or submission of additional 
evidence. If the claimant does not expressly request a Board hearing in 
the notice of disagreement, no Board hearing will be held.'';
            (3) by amending subsection (c) to read as follows:
    ``(c) If no notice of disagreement is filed in accordance with this 
chapter within the prescribed period, the action or decision of the 
agency of original jurisdiction shall become final and the claim will 
not thereafter be readjudicated or allowed, except as may otherwise be 
provided by section 5104B or 5108 of this title or regulations not 
inconsistent with this title.'';
            (4) by striking subsections (d)(1) through (d)(5);
            (5) by adding a new subsection (d) to read as follows:
    ``(d) The Board of Veterans' Appeals may dismiss any appeal which 
fails to allege specific error of fact or law in the decision being 
appealed.''; and
            (6) by striking subsection (e).
    (n) Simultaneously Contested Claims.--Subsection (b) of section 
7105A of title 38, United States Code, is amended to read as follows:
    ``(b) The substance of the notice of disagreement shall be 
communicated to the other party or parties in interest and a period of 
30 days shall be allowed for filing a brief or argument in response 
thereto. Such notice shall be forwarded to the last known address of 
record of the parties concerned, and such action shall constitute 
sufficient evidence of notice.''.
    (o) Administrative Appeals.--Strike section 7106 of title 38, 
United States Code.
    (p) Dockets and Hearings.--Section 7107 of title 38, United States 
Code, is amended--
            (1) by amending subsection (a) to read as follows:
    ``(a) The Board shall maintain two separate dockets. A non-hearing 
option docket shall be maintained for cases in which no Board hearing 
is requested and no additional evidence will be submitted. A separate 
and distinct hearing option docket shall be maintained for cases in 
which a Board hearing is requested in the notice of disagreement or in 
which no Board hearing is requested, but the appellant requests, in the 
notice of disagreement, an opportunity to submit additional evidence. 
Except as provided in subsection (b), each case before the Board will 
be decided in regular order according to its respective place on the 
Board's non-hearing option docket or the hearing option docket.'';
            (2) by amending subsection (b) to read as follows:
    ``(b) A case on either the Board's non-hearing option docket or 
hearing option docket, may, for cause shown, be advanced on motion for 
earlier consideration and determination. Any such motion shall set 
forth succinctly the grounds upon which the motion is based. Such a 
motion may be granted only--
            ``(1) if the case involves interpretation of law of general 
        application affecting other claims;
            ``(2) if the appellant is seriously ill or is under severe 
        financial hardship; or
            ``(3) for other sufficient cause shown.'';
            (3) by amending subsection (c) to read as follows:
    ``(c)(1) For cases on the Board hearing option docket in which a 
hearing is requested in the notice of disagreement, the Board shall 
notify the appellant whether a Board hearing will be held--
            ``(A) at its principal location, or
            ``(B) by picture and voice transmission at a facility of 
        the Department where the Secretary has provided suitable 
        facilities and equipment to conduct such hearings.
    ``(2)(A) Upon notification of a Board hearing at the Board's 
principal location as described in subsection (c)(1)(A) of this 
section, the appellant may alternatively request a hearing as described 
in subsection (c)(1)(B) of this section. If so requested, the Board 
shall grant such request.
    ``(B) Upon notification of a Board hearing by picture and voice 
transmission as described in subsection (c)(1)(B) of this section, the 
appellant may alternatively request a hearing as described in 
subsection (c)(1)(A) of this section. If so requested, the Board shall 
grant such request.''; and
            (4) by striking subsections (d) and (e) and redesignating 
        subsection (f) as subsection (d).
    (q) Independent Medical Opinions.--Strike section 7109 of title 38, 
United States Code.
    (r) Revision of Decisions on Grounds of Clear and Unmistakable 
Error.--Section 7111(e) of title 38, United States Code, is amended by 
striking ``merits, without referral to any adjudicative or hearing 
official acting on behalf of the Secretary.'' and inserting 
``merits.''.
    (s) Evidentiary Record.--Chapter 71 of title 38, United States 
Code, is amended by adding the following new section:
``Sec. 7113. Evidentiary record before the board
    ``(a) Non-Hearing Option Docket.--For cases in which a Board 
hearing is not requested in the notice of disagreement, the evidentiary 
record before the Board shall be limited to the evidence of record at 
the time of the agency of original jurisdiction decision on appeal.
    ``(b) Hearing Option Docket.--(1) Except as provided in paragraph 
(2), for cases on the hearing option docket in which a hearing is 
requested in the notice of disagreement, the evidentiary record before 
the Board shall be limited to the evidence of record at the time of the 
agency of original jurisdiction decision on appeal.
    ``(2) The evidentiary record before the Board for cases on the 
hearing option docket in which a hearing is requested, shall include 
each of the following, which the Board shall consider in the first 
instance--
            ``(A) evidence submitted by the appellant and his or her 
        representative, if any, at the Board hearing; and
            ``(B) evidence submitted by the appellant and his or her 
        representative, if any, within 90 days following the Board 
        hearing.
    ``(3)(A) Except as provided in subparagraph (B) of this paragraph, 
for cases on the hearing option docket in which a hearing is not 
requested in the notice of disagreement, the evidentiary record before 
the Board shall be limited to the evidence considered by the agency of 
original jurisdiction in the decision on appeal.
    ``(B) The evidentiary record before the Board for cases on the 
hearing option docket in which a hearing is not requested, shall 
include each of the following, which the Board shall consider in the 
first instance--
            ``(i) evidence submitted by the appellant and his or her 
        representative, if any, with the notice of disagreement; and
            ``(ii) evidence submitted by the appellant and his or her 
        representative, if any, within 90 days following receipt of the 
        notice of disagreement.''.
    (t) Conforming Amendment.--The heading of section 7105 is amended 
by striking ``notice of disagreement and''.
    (u) Clerical Amendments.--
            (1) Chapter 51.--The table of sections at the beginning of 
        chapter 51 of title 38, United States Code, is amended--
                    (A) by inserting after the item relating to section 
                5103A the following new item:

``5103B. Applicability of duty to assist.'';
                and
                    (B) by inserting after the item relating to section 
                5104 the following new items:

``5104A. Binding nature of favorable findings.
``5104B. Higher-level review by the agency of original jurisdiction.'';
                and
                    (C) by striking the item relating to section 5108 
                and inserting the following new item:

``5108. Supplemental claims.''.
            (2) Chapter 71.--The table of sections at the beginning of 
        chapter 71 of title 38, United States Code, is amended--
                    (A) by striking the item relating to section 7105 
                and inserting the following new item:

``7105. Filing of appeal.'';
                    (B) by striking the item relating to section 7106;
                    (C) by striking the item relating to section 7109; 
                and
                    (D) by adding at the end the following new item:

``7113. Evidentiary record before the Board.''.

SEC. 10. LIMITATION ON AWARDS AND BONUSES PAID TO SENIOR EXECUTIVE 
              EMPLOYEES OF DEPARTMENT OF VETERANS AFFAIRS.

    Section 705 of the Veterans Access, Choice, and Accountability Act 
of 2014 (Public Law 113-146; 38 U.S.C. 703 note) is amended by striking 
the period at the end and inserting the following: ``, except that 
during each of fiscal years 2017 through 2021, no award or bonus may be 
paid to any employee of the Department of Veterans Affairs who is a 
member of the Senior Executive Service.''.
                                 <all>