[Congressional Record Volume 161, Number 35 (Monday, March 2, 2015)]
[House]
[Pages H1507-H1509]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




 AUTHORIZING SECRETARY OF VETERANS AFFAIRS TO RECOUP BONUSES AND AWARDS

  Mr. MILLER of Florida. Mr. Speaker, I move to suspend the rules and 
pass the bill (H.R. 280) to authorize the Secretary of Veterans Affairs 
to recoup bonuses and awards paid to employees of the Department of 
Veterans Affairs, as amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                                H.R. 280

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

     SECTION 1. AUTHORITY TO RECOUP BONUSES OR AWARDS PAID TO 
                   EMPLOYEES OF DEPARTMENT OF VETERANS AFFAIRS.

       (a) In General.--Chapter 7 of title 38, United States Code, 
     is amended by adding at the end the following new section:

     ``Sec. 715. 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.--A decision regarding a repayment by an 
     employee pursuant to subsection (a)(2) is final and may not 
     be reviewed by any department or agency or any 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:

``715. Recoupment of bonuses or awards paid to employees of 
              Department.''.
       (c) Effective Date.--Section 715 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 before, 
     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.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Florida (Mr. Miller) and the gentlewoman from Florida (Ms. Brown) each 
will control 20 minutes.
  The Chair recognizes the gentleman from Florida.
  Mr. MILLER of Florida. I yield myself such time as I may consume.
  Mr. Speaker, H.R. 280, as amended, is similar to a bill that I 
introduced last Congress. I would like to thank my friend Mr. Chaffetz 
for helping us bring this bill to the floor today. It would authorize 
and provide for the Secretary to have the authority to rescind a bonus 
or a performance award from VA employees when the Secretary deems it 
appropriate. To ensure a fair process, the provision would also give 
the employee an opportunity to hold a hearing on the Secretary's 
decision to recoup that bonus.
  Now, I proposed this legislation last Congress because VA had given 
the Committee on Veterans' Affairs conflicting statements whether or 
not they had the authority, and later they confirmed that they did not 
have that authority. So it is clear to me that this is still an 
authority that the Secretary still needs as more and more 
investigations, in fact, are being completed by the Department, the VA 
inspector general, and the Committee on Veterans' Affairs.
  As these investigations into falsified wait times, data manipulation, 
and several other issues at the VA continue, I hope this authority will 
be applied appropriately and that it will be utilized as yet another 
tool for the Secretary to use to instill true accountability throughout 
his agency on behalf of America's veterans.
  I reserve the balance of my time.

         House of Representatives, Committee on Oversight and 
           Government Reform,
                                Washington, DC, February 26, 2015.
     Hon. Jeff Miller,
     Chairman, Committee on Veterans' Affairs, Cannon House Office 
         Building, Washington, DC.
       Dear Mr. Chairman: I write concerning H.R. 280, to 
     authorize the Secretary of Veterans Affairs to recoup bonuses 
     and awards paid to employees of the Department of Veterans 
     Affairs. As you know, the Committee on Veterans' Affairs 
     received an original referral and the Committee on Oversight 
     and Government Reform a secondary referral when the bill was 
     introduced on January 12, 2015. I recognize and appreciate 
     your desire to bring this legislation before the House of 
     Representatives in an expeditious manner, and accordingly, 
     the Committee on Oversight and Government Reform will forego 
     action on the bill.
       The Committee takes this action with our mutual 
     understanding that by foregoing consideration of H.R. 280 at 
     this time, we do not waive any jurisdiction over the subject 
     matter contained in this or similar legislation. Further, I 
     request your support for the appointment of conferees from 
     the Committee on Oversight and Government Reform during any 
     House-Senate conference convened on this or related 
     legislation.
       Finally, I would ask that a copy of our exchange of letters 
     on this matter be included in the bill report filed by the 
     Committee on Veterans' Affairs, as well as in the 
     Congressional Record during floor consideration, to 
     memorialize our understanding.
           Sincerely,
                                                   Jason Chaffetz,
     Chairman.
                                  ____

                                         House of Representatives,


                               Committee on Veterans' Affairs,

                                Washington, DC, February 27, 2015.
     Hon. Jason Chaffetz,
     Chairman, House Committee on Oversight and Government Reform, 
         Rayburn House Office Building, Washington, DC.
       Dear Chairman Chaffetz: In reference to your letter on 
     February 26, 2015, I write to confirm our mutual 
     understanding regarding H.R. 280, as amended, ``To authorize 
     the Secretary of Veterans Affairs to recoup bonuses and 
     awards paid to employees of the Department of Veterans 
     Affairs.''
       I appreciate the House Committee on Oversight and 
     Government Reform's waiver of consideration of provisions 
     under its jurisdiction and its subject matter as specified in 
     your letter. I acknowledge that the waiver was granted only 
     to expedite floor consideration of HR. 280, as amended, and 
     does not in any way waive or diminish the House Committee on 
     Oversight and Government Reform's jurisdictional interests 
     over this legislation or similar legislation. I will support 
     a request from the House Committee on Oversight and 
     Government Reform for appointment to any House-Senate 
     conference on H.R. 280, as amended.
       Again, thank you for your assistance with these matters.
       With warm personal regards, I am
           Sincerely,
                                                      Jeff Miller,
                                                         Chairman.

  Ms. BROWN of Florida. I yield myself such time as I may consume.
  Mr. Speaker, I rise in support of H.R. 280, as amended. This measure 
would provide the Secretary of Veterans Affairs with the authority to 
issue an order directing an employee of the VA to repay a bonus or a 
portion of the bonus provided to that employee. H.R. 280 provides the 
Secretary may do this if the Secretary determines that the repayment is 
appropriate. This authority would apply to an award or a bonus paid by 
the VA before, on, or after the date of the enactment of H.R. 280. The 
bill provides that any affected employee be provided with notice and 
the opportunity for a hearing conducted by another agency or 
department.
  I support this measure, but I want to take this opportunity to 
address a few concerns for the Record.
  I believe that the Secretary should have a limited authority, beyond 
administrative error, to recoup a bonus paid to the VA employee when 
the underlying basis of that bonus is false or the result of 
wrongdoing, fraud, or criminal conduct by the employee. I hope that the 
Secretary will use this broad grant of rulemaking authority provided in 
H.R. 280 to provide narrow and specific grounds for recoupment.
  Secondly, I am concerned about the application of this authority to 
bonuses provided before the date of the enactment. I know that Chairman 
Miller and all of us are concerned over bonuses that may have been 
awarded over the last number of years to VA managers who took 
activities, steps to cover up the delay and wait time faced by our 
veterans. Even though I am unhappy with their action, I would not like 
to see the authority provided to the Secretary under the bill to be 
done away with because of a constitutional challenge to this authority.

[[Page H1508]]

  Finally, I would like to point out that if this bill is enacted, the 
VA will be the only Department that I am aware of where the Secretary 
will have the power to recoup bonuses. I hope the Secretary and those 
that follow this Secretary will use this authority with caution.
  I urge my colleagues to support H.R. 280, as amended.
  I yield back the balance of my time.
  Mr. MILLER of Florida. Mr. Speaker, I yield 2 minutes to the 
gentleman from the First District of Michigan (Mr. Benishek), the 
subcommittee chairman of the Subcommittee on Health.
  Mr. BENISHEK. Mr. Speaker, today I rise in support of H.R. 280, 
legislation to allow the VA Secretary to claw back bonuses from senior 
employees who were found to have manipulated veterans' care data.
  Frankly, I can't believe that this wasn't already the case. No 
business in America would allow employees to not only stay at work, but 
to hold on to bonuses that they earned by cooking the books. This is 
exactly what the VA has done. The VA has paid more than $380,000 in 
2013 to directors and top executives at VA hospitals that were under 
investigation for falsifying data.
  I am the father of a veteran. I know exactly the character of those 
who choose to serve the cause of freedom. They deserve so much better. 
Bonuses should be awarded only for exceptional performance. This kind 
of severe mismanagement has to end. I know I speak for all my 
colleagues when I say it will not be tolerated by this Congress.
  Secretary McDonald says he is working to change the culture of the 
VA, and I give him credit for that. Too often the VA seems to be 
focusing on the health of the organization, not the health of the 
veteran. I agree with him that the VA must return the focus to the 
veteran. However, I would like to see more meaningful strides toward 
accountability than I have seen thus far. Congress will keep giving him 
the tools, but it is ultimately up to him to use them. This is a 
management problem, and it is best solved by good management.
  I thank Chairman Miller for his leadership on this bill, and I urge 
my colleagues to support it, but even more so, I urge Secretary 
McDonald to use this authority. You have a willing partner in Congress 
in the fight to change the culture at the VA.
  Mr. MILLER of Florida. I reserve the balance of my time.
  The SPEAKER pro tempore. The gentlewoman from Florida has yielded 
back the balance of her time. The gentleman from Florida is recognized.
  Mr. MILLER of Florida. Mr. Speaker, I have two more speakers at this 
point. I yield 2 minutes to the gentleman from the Sixth District of 
Colorado (Mr. Coffman), who chairs the Subcommittee on Oversight and 
Investigations.
  Mr. COFFMAN. I thank the chairman for yielding me this time.
  Mr. Speaker, I rise in strong support of H.R. 280 because, like most 
Americans, I am appalled at the bonuses awarded to officials within the 
Department of Veterans Affairs despite gross mismanagement and 
incompetence by those very same officials.
  In my home State of Colorado, a VA director conveniently announced 
her retirement just days after yet another secret waiting list was 
discovered at her hospital in Denver. Incredibly, she had received over 
$100,000 in bonuses over the past 7 years.
  I believe bonuses are a reward for exceptional work and not an 
entitlement for simply showing up at the job. However, the VA's broadly 
abused bonus system has spread a sense of entitlement and a complete 
lack of accountability.
  This law gives the VA Secretary the ability to reclaim bonuses paid 
to corrupt VA officials. On behalf of the American taxpayer, I urge my 
colleagues to support this commonsense measure to help combat VA's 
broken culture.
  Mr. MILLER of Florida. Mr. Speaker, I yield 2 minutes to the 
gentleman from the Sixth District of Pennsylvania (Mr. Costello), a new 
member of the committee, an outstanding supporter of America's 
veterans.
  Mr. COSTELLO of Pennsylvania. Mr. Speaker, bringing more 
accountability and transparency to our Veterans Affairs system is 
something Members of both parties can and should support. As a member 
of the Committee on Veterans Affairs, I believe this is an area where 
we can make immediate and substantive reforms that are supported by 
both parties.
  After months of being in the spotlight for scandal after scandal, 
after widespread and systemic lack of accountability, we all agree that 
we need real change in an effort to assist our Nation's veterans. H.R. 
280 is one such piece of legislation that will help bring 
accountability to a Department where it is severely lacking.
  Mr. Speaker, I rise today as a cosponsor of this legislation that 
will authorize the Secretary of Veterans Affairs to recoup bonuses and 
awards paid to employees at the Department of Veterans Affairs. The VA 
paid more than $380,000 in cash bonuses to top executives at 38 
hospitals that are under investigation for falsifying wait times for 
medical care.
  At every twist and turn, these executives received a bonus, while so 
many of our veterans have been faced with long wait periods or failed 
care at VA hospitals around the country. It is disgraceful that 
employees would be benefiting while so many veterans are struggling.
  It is only right that we would authorize the Secretary of Veterans 
Affairs to recoup many of these bonuses and awards in an effort to 
instill more accountability at the Department. In fact, it is common 
sense. If you receive a bonus under false pretenses, you should have to 
pay it back.
  I, along with so many other Americans, am asking the question, Where 
is the accountability? H.R. 280 will not only ensure our veterans 
receive the care they deserve and have earned, but it also promotes 
transparency and accountability where it is greatly needed.
  I want to thank Chairman Miller for his leadership and his work on 
this important issue.
  Mr. MILLER of Florida. Mr. Speaker, I appreciate my colleague from 
Florida and her support, and at this point I urge all Members to 
support H.R. 280, as amended.
  I yield back the balance of my time.
  Ms. JACKSON LEE. Mr. Speaker, I rise in strong support of H.R. 280, a 
bill which authorizes the Secretary of Veterans Affairs to recoup 
bonuses paid to VA executives who knowingly falsified data on the 
treatment of our nation's veterans.
  Last year, it was discovered that a VA hospital in Phoenix, Arizona 
falsified waitlist records for veterans to see a doctor in order to 
make it appear that the facility was meeting waitlist goals.
  This deliberate, and deplorable, action allowed VA executives to 
receive performance bonuses and awards, while veterans waited up to six 
months to a year for care, and it was reported that some died as a 
result.
  To date, the VA has paid more than $380,000 in cash bonuses to top 
executives at 38 hospitals that are under investigation for falsifying 
wait times for medical care.
  In response to the waitlist scandal, many members of Congress on both 
sides of the aisle have called for the VA to take action to recover 
bonuses paid to VA officials who falsified waitlist records.
  However, the VA has said it is uncertain whether it has that 
authority.
  This bill directs the Secretary of Veterans Affairs to require VA 
employees to repay, in part or in full, bonuses or performance awards 
in appropriate circumstances under regulations to be established by the 
department.
  This authority would apply to bonuses or rewards paid on or after the 
date of enactment and would not authorize the VA to recover previously 
paid bonuses.
  Furthermore, under the bill, VA employees would receive notification 
and be given a hearing at which they could contest allegations about 
their performance.
  The measure requires that an appeal decision would be final and not 
reviewable by any other agency or court.
  Our nation supports more than 2 million troops and reservists, their 
families, and 22 million veterans, including 32,477 in the 18th 
Congressional District of Texas.
  We have a responsibility to ensure that they will be provided the 
quality job opportunities they have earned.
  I cannot, in good conscience, allow VA executives who knowingly 
falsified data which kept our nation's veterans from receiving proper 
care, to keep bonuses that they do not deserve.
  This money should be used to help those who have risked their lives 
to protect our freedom, not for awarding VA executives who shamefully 
put these veterans' health at risk.
  I ask my fellow Members to support H.R. 280.
  The SPEAKER pro tempore. The question is on the motion offered by

[[Page H1509]]

the gentleman from Florida (Mr. Miller) that the House suspend the 
rules and pass the bill, H.R. 280, as amended.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds 
being in the affirmative, the ayes have it.
  Mr. MILLER of Florida. Mr. Speaker, I object to the vote on the 
ground that a quorum is not present and make the point of order that a 
quorum is not present.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, further 
proceedings on this motion will be postponed.
  The point of no quorum is considered withdrawn.

                          ____________________