[Congressional Record Volume 144, Number 113 (Tuesday, September 1, 1998)]
[Senate]
[Pages S9802-S9805]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




              TRANSPORTATION AND TRAVEL REFORM ACT OF 1998

  Ms. SNOWE. Mr. President, I ask unanimous consent that the Senate now 
proceed to the consideration of calendar No. 533, H.R. 930.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The clerk will report.
  The legislative clerk read as follows:

       A bill (H.R. 930) to require Federal employees to use 
     Federal travel charge cards for all payments of expenses of 
     official Government travel, and for other purposes.

  The PRESIDING OFFICER. Is there objection to the immediate 
consideration of the bill?
  There being no objection, the Senate proceeded to consider the bill 
(H.R. 930) to require Federal employees to use Federal travel charge 
cards for all payments of expenses of official Government travel, to 
amend title 31, United States Code, to establish requirements for 
prepayment audits of Federal agency transportation expenses, to 
authorize reimbursement of Federal agency employees for taxes incurred 
on travel or transportation reimbursements, and to authorize test 
programs for the payment of Federal employee travel expenses and 
relocation expenses, which had been reported from the Committee on 
Governmental Affairs, with amendments; as follows:

  (The parts of the bill intended to be stricken are shown in boldface 
brackets and the parts of the bill intended to be inserted are shown in 
italic.)

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Travel and Transportation 
     Reform Act of [1997] 1998''.

     SEC. 2. REQUIRING USE OF THE TRAVEL CHARGE CARD.

       (a) In General.--Under regulations issued by the 
     Administrator of General Services after consultation with the 
     Secretary of the Treasury, the Administrator shall require 
     that Federal employees use the travel charge card established 
     pursuant to the United States Travel and Transportation 
     Payment and Expense Control System, or any Federal 
     contractor-issued travel charge card, for all payments of 
     expenses of official Government travel. The Administrator 
     shall exempt any

[[Page S9803]]

     payment, person, type or class of payments, or type or class 
     of personnel from any requirement established under the 
     preceding sentence in any case in which--
       (1) it is in the best interest of the United States to do 
     so;
       (2) payment through a travel charge card is impractical or 
     imposes unreasonable burdens or costs on Federal employees or 
     Federal agencies; or
       (3) the Secretary of Defense or the Secretary of 
     Transportation (with respect to the Coast Guard) requests an 
     exemption with respect to the members of the uniformed 
     services.
       (b) Agency Exemption.--The head of a Federal agency or the 
     designee of such head may exempt any payment, person, type or 
     class of payments, or type or class of agency personnel from 
     subsection (a) if the agency head or the designee determines 
     the exemption to be necessary in the interest of the agency. 
     Not later than 30 days after granting such an exemption, the 
     head of such agency or the designee shall notify the 
     Administrator of General Services in writing of such 
     exemption stating the reasons for the exemption.
       [(b)] (c) Limitation on Restriction on Disclosure.--
       (1) In general.--Section 1113 of the Right to Financial 
     Privacy Act of 1978 (12 U.S.C. 3413) is amended by adding at 
     the end the following new subsection:
       ``(q) Nothing in this title shall apply to the disclosure 
     of any financial record or information to a Government 
     authority in conjunction with a Federal contractor-issued 
     travel charge card issued for official Government travel.''.
       (2) Effective date.--The amendment made by paragraph (1) is 
     effective as of October 1, 1983, and applies to any records 
     created pursuant to the United States Travel and 
     Transportation Payment and Expense Control System or any 
     Federal contractor-issued travel charge card issued for 
     official Government travel.
       [(c)] (d) Collection of Amounts Owed.--
       (1) In general.--Under regulations issued by the 
     Administrator of General Services and upon written request of 
     a Federal contractor, the head of any Federal agency or a 
     disbursing official of the United States may, on behalf of 
     the contractor, collect by deduction from the amount of pay 
     owed to an employee of the agency any amount of funds the 
     employee owes to the contractor as a result of delinquencies 
     not disputed by the employee on a travel charge card issued 
     for payment of expenses incurred in connection with official 
     Government travel. The amount deducted from the pay owed to 
     an employee with respect to a pay period may not exceed 15 
     percent of the disposable pay of the employee for that pay 
     period, except that a greater percentage may be deducted upon 
     the written consent of the employee.
       (2) Due process protections.--Collection under this 
     subsection shall be carried out in accordance with procedures 
     substantially equivalent to the procedures required under 
     section 3716(a) of title 31, United States Code.
       (3) Definitions.--For the purpose of this subsection:
       (A) Agency.--The term ``agency'' has the meaning that term 
     has under section 101 of title 31, United States Code.
       (B) Employee.--The term ``employee'' means an individual 
     employed in or under an agency, including a member of any of 
     the uniformed services. For purposes of this subsection, a 
     member of one of the uniformed services is an employee of 
     that uniformed service.
       (C) Member; uniformed service.--Each of the terms 
     ``member'' and ``uniformed service'' has the meaning that 
     term has in section 101 of title 37, United States Code.
       [(d)] (e) Regulations.--Within 270 days after the date of 
     enactment of this Act, the Administrator of General Services 
     shall promulgate regulations implementing this section, 
     that--
       (1) make the use of the travel charge card established 
     pursuant to the United States Travel and Transportation 
     System and Expense Control System, or any Federal contractor-
     issued travel charge card, mandatory for all payments of 
     expenses of official Government travel pursuant to this 
     section;
       (2) specify the procedures for effecting under subsection 
     [(c)] (d) a deduction from pay owed to an employee, and 
     ensure that the due process protections provided to employees 
     under such procedures are no less than the protections 
     provided to employees pursuant to section 3716 of title 31, 
     United States Code;
       (3) provide that any deduction under subsection [(c)] (d) 
     from pay owed to an employee may occur only after 
     reimbursement of the employee for the expenses of Government 
     travel with respect to which the deduction is made; and
       (4) require agencies to promptly reimburse employees for 
     expenses charged on a travel charge card pursuant to this 
     section, and by no later than 30 days after the submission of 
     a claim for reimbursement.
       [(e)] (f) Reports.--
       (1) In general.--The Administrator of General Services 
     shall submit 2 reports to the Congress on agency compliance 
     with this section and regulations that have been issued under 
     this section.
       (2) Timing.--The first report under this subsection shall 
     be submitted before the end of the 180-day period beginning 
     on the date of enactment of this Act, and the second report 
     shall be submitted after that period and before the end of 
     the 540-day period beginning on that date of enactment.
       (3) Preparation.--Each report shall be based on a sampling 
     survey of agencies that expended more than $5,000,000 during 
     the previous fiscal year on travel and transportation 
     payments, including payments for employee relocation. The 
     head of an agency shall provide to the Administrator the 
     necessary information in a format prescribed by the 
     Administrator and approved by the Director of the Office of 
     Management and Budget.
       (g) Reimbursement of Travel Expenses.--In accordance with 
     regulations prescribed by the Administrator of General 
     Services, the head of an agency shall ensure that the agency 
     reimburses an employee who submits a proper voucher for 
     allowable travel expenses in accordance with applicable 
     travel regulations within 30 days after submission of the 
     voucher. If an agency fails to reimburse an employee who has 
     submitted a proper voucher within 30 days after submission of 
     the voucher, the agency shall pay the employee a late payment 
     fee as prescribed by the Administrator.

     SEC. 3. PREPAYMENT AUDITS OF TRANSPORTATION EXPENSES.

       (a) In General.--(1) Section 3322 of title 31, United 
     States Code, is amended in subsection (c) by inserting after 
     ``classifications'' the following: ``if the Administrator of 
     General Services has determined that verification by a 
     prepayment audit conducted pursuant to section 3726(a) of 
     this title for a particular mode or modes of transportation, 
     or for an agency or subagency, will not adequately protect 
     the interests of the Government''.
       (2) Section 3528 of title 31, United States Code, is 
     amended--
       (A) in subsection (a) by striking ``and'' after the 
     semicolon at the end of paragraph (3), by striking the period 
     at the end of subsection (a)(4)(C) and inserting ``; and'', 
     and by adding at the end the following new paragraph:
       ``(5) verifying transportation rates, freight 
     classifications, and other information provided on a 
     Government bill of lading or transportation request, unless 
     the Administrator of General Services has determined that 
     verification by a prepayment audit conducted pursuant to 
     section 3726(a) of this title for a particular mode or modes 
     of transportation, or for an agency or subagency, will not 
     adequately protect the interests of the Government.'';
       (B) in subsection (c)(1), by inserting after ``deductions'' 
     the following: ``and the Administrator of General Services 
     has determined that verification by a prepayment audit 
     conducted pursuant to section 3726(a) of this title for a 
     particular mode or modes of transportation, or for an agency 
     or subagency, will not adequately protect the interests of 
     the Government''; and
       (C) in subsection (c)(2), by inserting after ``agreement'' 
     the following: ``and the Administrator of General Services 
     has determined that verification by a prepayment audit 
     conducted pursuant to section 3726(a) of this title for a 
     particular mode or modes of transportation, or for an agency 
     or subagency, will not adequately protect the interests of 
     the Government''.
       (3) Section 3726 of title 31, United States Code, is 
     amended--
       (A) by amending subsection (a) to read as follows:
       ``(a)(1) Each agency that receives a bill from a carrier or 
     freight forwarder for transporting an individual or property 
     for the United States Government shall verify its correctness 
     (to include transportation rates, freight classifications, or 
     proper combinations thereof), using prepayment audit, prior 
     to payment in accordance with the requirements of this 
     section and regulations prescribed by the Administrator of 
     General Services.
       ``(2) The Administrator of General Services may exempt 
     bills, a particular mode or modes of transportation, or an 
     agency or subagency from a prepayment audit and verification 
     and in lieu thereof require a postpayment audit, based on 
     cost effectiveness, public interest, or other factors the 
     Administrator considers appropriate.
       ``(3) Expenses for prepayment audits shall be funded by the 
     agency's appropriations used for the transportation services.
       ``(4) The audit authority provided to agencies by this 
     section is subject to oversight by the Administrator.'';
       (B) by redesignating subsections (b), (c), (d), (e), (f), 
     and (g) in order as subsections (d), (e), (f), (g), (h), and 
     (i), respectively;
       (C) by inserting after subsection (a) the following new 
     subsections:
       ``(b) The Administrator may conduct pre- or postpayment 
     audits of transportation bills of any Federal agency. The 
     number and types of bills audited shall be based on the 
     Administrator's judgment.
       ``(c)(1) The Administrator shall adjudicate transportation 
     claims which cannot be resolved by the agency procuring the 
     transportation services, or the carrier or freight-forwarder 
     presenting the bill.
       ``(2) A claim under this section shall be allowed only if 
     it is received by the Administrator not later than 3 years 
     (excluding time of war) after the later of the following 
     dates:
       ``(A) The date of accrual of the claim.
       ``(B) The date payment for the transportation is made.
       ``(C) The date a refund for an overpayment for the 
     transportation is made.
       ``(D) The date a deduction under subsection (d) of this 
     section is made.'';
       (D) in subsection (f), as so redesignated, by striking 
     ``subsection (c)'' and inserting ``subsection (e)'', and by 
     adding at the end the

[[Page S9804]]

     following new sentence: ``This reporting requirement expires 
     December 31, 1998.'';
       (E) in subsection (i)(1), as so redesignated, by striking 
     ``subsection (a)'' and inserting ``subsection (c)''; and
       (F) by adding after subsection (i), as so redesignated, the 
     following new subsection:
       ``(j) The Administrator of General Services may provide 
     transportation audit and related technical assistance 
     services, on a reimbursable basis, to any other agency. Such 
     reimbursements may be credited to the appropriate revolving 
     fund or appropriation from which the expenses were 
     incurred.''.
       (b) Effective Date.--The amendments made by this section 
     shall become effective 18 months after the date of enactment 
     of this Act.

     SEC. 4. REIMBURSEMENT FOR TAXES ON MONEY RECEIVED FOR TRAVEL 
                   EXPENSES.

       (a) In General.--Title 5, United States Code, is amended by 
     inserting after section 5706b the following new section:

     ``Sec. 5706c. Reimbursement for taxes incurred on money 
       received for travel expenses

       ``(a) Under regulations prescribed pursuant to section 5707 
     of this title, the head of an agency or department, or his or 
     her designee, may use appropriations or other funds available 
     to the agency for administrative expenses, for the 
     reimbursement of Federal, State, and local income taxes 
     incurred by an employee of the agency or by an employee and 
     such employee's spouse (if filing jointly), for any travel or 
     transportation reimbursement made to an employee for which 
     reimbursement or an allowance is provided.
       ``(b) Reimbursements under this section shall include an 
     amount equal to all income taxes for which the employee and 
     spouse, as the case may be, would be liable due to the 
     reimbursement for the taxes referred to in subsection (a). In 
     addition, reimbursements under this section shall include 
     penalties and interest, for the tax years 1993 and 1994 only, 
     as a result of agencies failing to withhold the appropriate 
     amounts for tax liabilities of employees affected by the 
     change in the deductibility of travel expenses made by Public 
     Law 102-486.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 57 of title 5, United States Code, is 
     amended by inserting after the item relating to section 5706b 
     the following new item:

``5706c. Reimbursement for taxes incurred on money received for travel 
              expenses.''.

       (c) Effective Date.--This section shall be effective as of 
     January 1, 1993.

     SEC. 5. AUTHORITY FOR TEST PROGRAMS.

       (a) Travel Expenses Test Programs.--Subchapter I of chapter 
     57 of title 5, United States Code, is amended by adding at 
     the end the following new section:

     ``Sec. 5710. Authority for travel expenses test programs

       ``(a)(1) Notwithstanding any other provision of this 
     subchapter, under a test program which the Administrator of 
     General Services determines to be in the interest of the 
     Government and approves, an agency may pay through the proper 
     disbursing official for a period not to exceed 24 months any 
     necessary travel expenses in lieu of any payment otherwise 
     authorized or required under this subchapter. An agency shall 
     include in any request to the Administrator for approval of 
     such a test program an analysis of the expected costs and 
     benefits and a set of criteria for evaluating the 
     effectiveness of the program.
       ``(2) Any test program conducted under this section shall 
     be designed to enhance cost savings or other efficiencies 
     that accrue to the Government.
       ``(3) Nothing in this section is intended to limit the 
     authority of any agency to conduct test programs.
       ``(b) The Administrator shall transmit a copy of any test 
     program approved by the Administrator under this section to 
     the appropriate committees of the Congress at least 30 days 
     before the effective date of the program.
       ``(c) An agency authorized to conduct a test program under 
     subsection (a) shall provide to the Administrator and the 
     appropriate committees of the Congress a report on the 
     results of the program no later than 3 months after 
     completion of the program.
       ``(d) No more than 10 test programs under this section may 
     be conducted simultaneously.
       ``(e) The authority to conduct test programs under this 
     section shall expire 7 years after the date of enactment of 
     the Travel and Transportation Reform Act of [1997] 1998.''.
       (b) Relocation Expenses Test Programs.--Subchapter II of 
     chapter 57 of title 5, United States Code, is further amended 
     by adding at the end the following new section:

     ``Sec. 5739. Authority for relocation expenses test programs

       ``(a)(1) Notwithstanding any other provision of this 
     subchapter, under a test program which the Administrator of 
     General Services determines to be in the interest of the 
     Government and approves, an agency may pay through the proper 
     disbursing official for a period not to exceed 24 months any 
     necessary relocation expenses in lieu of any payment 
     otherwise authorized or required under this subchapter. An 
     agency shall include in any request to the Administrator for 
     approval of such a test program an analysis of the expected 
     costs and benefits and a set of criteria for evaluating the 
     effectiveness of the program.
       ``(2) Any test program conducted under this section shall 
     be designed to enhance cost savings or other efficiencies 
     that accrue to the Government.
       ``(3) Nothing in this section is intended to limit the 
     authority of any agency to conduct test programs.
       ``(b) The Administrator shall transmit a copy of any test 
     program approved by the Administrator under this section to 
     the appropriate committees of the Congress at least 30 days 
     before the effective date of the program.
       ``(c) An agency authorized to conduct a test program under 
     subsection (a) shall provide to the Administrator and the 
     appropriate committees of the Congress a report on the 
     results of the program no later than 3 months after 
     completion of the program.
       ``(d) No more than 10 test programs under this section may 
     be conducted simultaneously.
       ``(e) The authority to conduct test programs under this 
     section shall expire 7 years after the date of enactment of 
     the Travel and Transportation Reform Act of [1997] 1998.''.
       (c) Clerical Amendments.--The table of sections for chapter 
     57 of title 5, United States Code, is further amended by--
       (1) inserting after the item relating to section 5709 the 
     following new item:

``5710. Authority for travel expenses test programs.'';

     and
       (2) inserting after the item relating to section 5738 the 
     following new item:

``5739. Authority for relocation expenses test programs.''.

     SEC. 6. DEFINITION OF UNITED STATES.

       Chapter 57 of title 5, United States Code, is amended--
       (1) in section 5721--
       (A) in paragraph (4), by striking ``and'' following the 
     semicolon at the end;
       (B) in paragraph (5), by striking the period at the end and 
     inserting a semicolon; and
       (C) by adding at the end the following new paragraphs:
       ``(6) `United States' means the several States, the 
     District of Columbia, the Commonwealth of Puerto Rico, the 
     Commonwealth of the Northern Mariana Islands, the territories 
     and possessions of the United States, and the areas and 
     installations in the Republic of Panama that are made 
     available to the United States pursuant to the Panama Canal 
     Treaty of 1977 and related agreements (as described in 
     section 3(a) of the Panama Canal Act of 1979); and
       ``(7) `Foreign Service of the United States' means the 
     Foreign Service as constituted under the Foreign Service Act 
     of 1980.'';
       (2) in section 5722--
       (A) in subsection (a)(2), by striking ``outside the United 
     States'' and inserting ``outside the continental United 
     States''; and
       (B) in subsection (b), by striking ``United States'' each 
     place it appears and inserting ``Government'';
       (3) in section 5723(b), by striking ``United States'' each 
     place it appears and inserting ``Government'';
       (4) in section 5724--
       (A) in subsection (a)(3), by striking ``, its territories 
     or possessions'' and all that follows through ``1979''; and
       (B) in subsection (i), by striking ``United States'' each 
     place it appears in the last sentence and inserting 
     ``Government'';
       (5) in section 5724a, by striking subsection (j);
       (6) in section 5725(a), by striking ``United States'' and 
     inserting ``Government'';
       (7) in section 5727(d), by striking ``United States'' and 
     inserting ``continental United States'';
       (8) in section 5728(b), by striking ``an employee of the 
     United States'' and inserting ``an employee of the 
     Government'';
       (9) in section 5729, by striking ``or its territories or 
     possessions'' each place it appears;
       (10) in section 5731(b), by striking ``United States'' and 
     inserting ``Government''; and
       (11) in section 5732, by striking ``United States'' and 
     inserting ``Government''.

     SEC. 7. TECHNICAL CORRECTIONS TO THE FEDERAL EMPLOYEE TRAVEL 
                   REFORM ACT OF 1996.

       Section 5724a of title 5, United States Code, is amended--
       (1) in subsections (a) and (d) (1) and (2), by striking 
     ``An agency shall pay'' each place it appears and inserting 
     ``Under regulations prescribed under section 5738, an agency 
     shall pay'';
       (2) in subsections (b)(1), (c)(1), (d)(8), and (e), by 
     striking ``An agency may pay'' each place it appears and 
     inserting ``Under regulations prescribed under section 5738, 
     an agency may pay'';
       (3) by amending subsection (b)(1)(B)(ii) to read as 
     follows:
       ``(ii) an amount for subsistence expenses, that may not 
     exceed a maximum amount determined by the Administrator of 
     General Services.'';
       (4) in subsection (c)(1)(B), by striking ``an amount for 
     subsistence expenses'' and inserting ``an amount for 
     subsistence expenses, that may not exceed a maximum amount 
     determined by the Administrator of General Services,'';
       (5) in subsection (d)(2)(A), by striking ``for the sale'' 
     and inserting ``of the sale'';
       (6) in subsection (d)(2)(B), by striking ``for the 
     purchase'' and inserting ``of the purchase'';
       (7) in subsection (d)(8), by striking ``paragraph (2) or 
     (3)'' and inserting ``paragraph (1) or (2)'';
       (8) in subsection (f)(1), by striking ``Subject to 
     paragraph (2),'' and inserting ``Under

[[Page S9805]]

     regulations prescribed under section 5738 and subject to 
     paragraph (2),''; and
       (9) by striking subsection (i).

  Ms. SNOWE. Mr. President, I ask unanimous consent that the committee 
amendments be agreed to, the bill be considered read a third time and 
passed, the motion to reconsider be laid upon the table, and that any 
statements relating to the bill appear at this point in the Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The bill (H.R. 930) was passed.

                          ____________________