[House Report 105-331]
[From the U.S. Government Publishing Office]



105th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES

 1st Session                                                    105-331
_______________________________________________________________________


 
 PRESIDENTIAL AND EXECUTIVE OFFICE FINANCIAL ACCOUNTABILITY ACT OF 1997

                                _______
                                

October 21, 1997.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

_______________________________________________________________________


  Mr. Burton of Indiana, from the Committee on Government Reform and 
                   Oversight, submitted the following

                              R E P O R T

                        [To accompany H.R. 1962]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Government Reform and Oversight, to whom was 
referred the bill (H.R. 1962) to provide for the appointment of 
a Chief Financial Officer and Deputy Chief Financial Officer in 
the Executive Office of the President, having considered the 
same, report favorably thereon with amendments and recommend 
that the bill as amended do pass.

                                CONTENTS

                                                                   Page
  I. Background and Need for the Legislation..........................3
 II. Legislative Hearings and Committee Actions.......................5
III. Committee Hearings and Written Testimony.........................5
 IV. Explanation of the Bill..........................................6
  V. Compliance with Rule XI..........................................7
 VI. Budget Analysis and Projections..................................7
VII. Cost Estimate of the Congressional Budget Office.................7
VIII.Statement of Constitutional Authority............................9

 IX. Committee Recommendation.........................................9
  X. Congressional Accountability Act; P.L. 104-1.....................9
 XI. Unfunded Mandates Reform Act; P.L. 104-4, Section 423............9
XII. Federal Advisory Committee Act (5 U.S.C. App.) Section 5(b)......9
XIII.Changes in Existing Law..........................................9


  The amendments are as follows:
  Strike out all after the enacting clause and insert in lieu 
thereof the following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Presidential and Executive Office 
Financial Accountability Act of 1997''.

SEC. 2. CHIEF FINANCIAL OFFICER IN THE EXECUTIVE OFFICE OF THE 
                    PRESIDENT.

  (a) In General.--Section 901 of title 31, United States Code, is 
amended by adding at the end the following:
  ``(c)(1) There shall be within the Executive Office of the President 
a Chief Financial Officer, who shall be designated or appointed by the 
President from among individuals meeting the standards described in 
subsection (a)(3). The position of Chief Financial Officer established 
under this paragraph may be so established in any Office (including the 
Office of Administration) of the Executive Office of the President.
  ``(2) The Chief Financial Officer designated or appointed under this 
subsection shall, to the extent that the President determines 
appropriate and in the interest of the United States, have the same 
authority and perform the same functions as apply in the case of a 
Chief Financial Officer of an agency described in subsection (b).
  ``(3) The President shall submit to Congress notification with 
respect to any provision of section 902 that the President determines 
shall not apply to a Chief Financial Officer designated or appointed 
under this subsection.
  ``(4) The President may designate an employee of the Executive Office 
of the President (other than the Chief Financial Officer), who shall be 
deemed `the head of the agency' for purposes of carrying out section 
902, with respect to the Executive Office of the President.''.
  (b) Plan For Implementation.--Not later than 90 days after the date 
of the enactment of this Act, the President shall communicate in 
writing to the Chairman of the Committee on Government Reform and 
Oversight of the House of Representatives and the Chairman of the 
Committee on Governmental Affairs of the Senate a plan for 
implementation of the provisions of, including the amendments made by, 
this Act.
  (c) Deadline For Appointment.--The Chief Financial Officer designated 
or appointed under section 901(c) of title 31, United States Code (as 
added by subsection (a)), shall be so designated or appointed not later 
than 180 days after the date of the enactment of this Act.
  (d) Pay.--The Chief Financial Officer designated or appointed under 
such section shall receive basic pay at the rate payable for level IV 
of the Executive Schedule under section 5315 of title 5, United States 
Code.
  (e) Transfer of Functions.--(1) The President may transfer such 
offices, functions, powers, or duties thereof, as the President 
determines are properly related to the functions of the Chief Financial 
Officer under section 901(c) of title 31, United States Code (as added 
by subsection (a)).
  (2) The personnel, assets, liabilities, contracts, property, records, 
and unexpended balances of appropriations, authorizations, allocations, 
and other funds employed, held, used, arising from, available or to be 
made available, of any office the functions, powers, or duties of which 
are transferred under paragraph (1) shall also be so transferred.
  (f) Separate Budget Request.--Section 1105(a) of title 31, United 
States Code, is amended by inserting after paragraph (30) the following 
new paragraph:
          ``(31) a separate statement of the amount of appropriations 
        requested to carry out the provisions of the Presidential and 
        Executive Office Financial Accountability Act of 1997.''.
  (g) Technical and Conforming Amendments.--Section 503(a) of title 31, 
United States Code, is amended--
          (1) in paragraph (7) by striking ``respectively.'' and 
        inserting ``respectively (excluding any officer designated or 
        appointed under section 901(c)).''; and
          (2) in paragraph (8) by striking ``Officers.'' and inserting 
        ``Officers (excluding any officer designated or appointed under 
        section 901(c)).''.

  Amend the title so as to read:

      A bill to provide for a Chief Financial Officer in the 
Executive Office of the President.

                 I. Background and Need for Legislation

                             a. background

    All Federal institutions must be accountable to the 
citizens and taxpayers of this Nation for their financial 
management. This is no less true of the White House than it is 
of any other department or agency. The Chief Financial Officers 
Act of 1990 put in place a system of financial accountability. 
H.R. 1962 will help improve financial management and 
accountability at the White House by bringing it within the 
scope of this system of accountability. Specifically, the bill 
will ensure that the Executive Office of the President must 
comply, unless exemptions are made, with section 902 of the 
Chief Financial Officers Act of 1990 (31 U.S.C. 901).
    The Executive Office of the President is a collection of 
disparate agencies and offices. Executive Order 8248, of 
September 8, 1939, established the divisions of the Executive 
Office and defined their functions. Various agencies had been 
transferred to the Executive Office of the President by the 
President's Reorganization Plans I and II of 1939 (5 U.S.C. 
App.), effective July 1, 1939, under authority of the 
Reorganization Act of 1939 (5 U.S.C. 133-133r, 133t note).
    The Presidential and Executive Office Accountability Act, 
P. L. 104-331, ensures that those offices constituting the 
Executive Office of the President are subject to the same laws 
as Congress and the rest of the country. In that spirit, H.R. 
1962 applies the Chief Financial Officers Act (CFO Act) to the 
Executive Office of the President. It directs the President to 
appoint or designate a Chief Financial Officer (CFO) and, to 
the fullest extent practicable, stipulates compliance by the 
Executive Office of the President with the requirements of 
section 902 of the CFO Act. The CFO Act allows departments and 
agencies flexibility in setting up the Office of the Chief 
Financial Officer. The Executive Office of the President would 
have similar flexibility, so long as accountability is retained 
and reports are produced by a CFO. The CFO should hold a 
position in the organization sufficiently elevated to ensure 
that the President--as the individual with ultimate 
responsibility for the Executive Office of the President--is 
aware of the activities, findings, and recommendations of the 
CFO.

                      b. need for the legislation

    The bill is intended to improve financial management 
practices and accountability in the Executive Office of the 
President (EOP). Over the years, since the creation of the EOP 
in 1939, various Presidents have used Executive orders, 
reorganization plans, and sometimes legislative initiatives to 
reconfigure the EOP to better suit their respective priorities. 
The EOP currently includes the White House Office, the 
Executive Residence of the White House, the Office of the Vice 
President, the Council of Economic Advisers, the Council on 
Environmental Quality, the National Security Council, the 
Office of Administration, the Office of Management and Budget 
(OMB), the Office of National Drug Control Policy, the Office 
of Policy Development, the Office of Science and Technology 
Policy, and the Office of the United States Trade 
Representative. The bill provides for designation of a CFO to 
oversee financial management of the entities of the EOP, 
thereby bringing these entities into conformity with other 
major Executive departments and agencies subject to the Chief 
Financial Officers Act of 1990. In so extending coverage of an 
existing law to the Executive Office of the President, H.R. 
1962 echoes the objectives and spirit of the Presidential and 
Executive Office Accountability Act which was enacted in 
1996.1
---------------------------------------------------------------------------
    \1\ P. L. 104-331, 110 Stat. 4053 (1996).
---------------------------------------------------------------------------
    The Chief Financial Officers Act of 1990 has been widely 
viewed as the most important legislation addressing financial 
management improvement in the Federal Government since the 
Budget and Accounting Procedures Act of 1950.2 The 
CFO Act, as amended, directs the major Executive Branch 
agencies (24 are now covered) to undertake important financial 
management reforms. For example, its provisions call for 
improvements in agency accounting and financial management 
systems and for production of more complete and reliable 
financial information, including preparation of audited 
financial statements. While implementation of the CFO Act is 
well underway, challenges remain in fully achieving its 
purposes, as most recently detailed in the 1997 Federal 
Financial Management Status Report and Five Year 
Plan.3 Extending the coverage of the CFO Act to the 
Executive Office of the President would bring greater 
accountability to financial operations there, allowing its 
entities to benefit from the unique functions performed by a 
CFO.
---------------------------------------------------------------------------
    \2\ P. L. 81-784, 64 Stat. 832 (1950).
    \3\ The CFO Act requires the Office of Management and Budget to 
submit such a document to Congress each year. See: ``Federal Financial 
Management Status Report & Five-Year Plan,'' June 1997. Washington, 
GPO, 1997. Also available electronically at http://www.whitehouse.gov/
WH/EXECUTIVE OFFICE OF THE PRESIDENT/OMB/Finance/97plan.pdt.
---------------------------------------------------------------------------
    Recent congressional hearings have focused on activities in 
the White House that evidence undesirable practices relating to 
fiscal management and financial accountability. For example, if 
there had been a CFO on the scene, the unorthodox accounting 
practices that have prevailed in the White House Travel Office 
would not have been allowed to continue. A CFO would have 
provided the Travel Office managers with the guidance and 
expert advice they sorely needed, but never received. The 
Committee believes that establishing a CFO in the EOP will 
improve dramatically the organizational structure for financial 
operations in its component units, including the White House 
Office.
    Such an officer will operate for the most part within the 
framework of the Chief Financial Officers Act, to improve 
coordination, enhance accountability, ensure fiscal 
responsibility, and institute needed technological advances 
throughout the EOP. Although financial management functions are 
currently performed in the EOP primarily by the Financial 
Management Division in the Office of Administration, existing 
practices do not reach the level of attention and 
accountability envisioned by H.R. 1962. This bill contemplates 
a well-crafted design and implementation of new and improved 
accounting procedures and calls for increased vigilance on the 
part of the CFO and staff to related fiscal matters. The 
underlying objective is to provideleadership, coordination, 
accountability, so as to ensure the appropriate use of taxpayers' 
dollars.
    The Committee notes that H.R. 1962 provides the President 
with discretion to implement this law in a manner that 
recognizes the unique nature of the Executive Office of the 
President. The Committee recommends that the Treasury, Postal 
and General Government Appropriations Subcommittee appropriates 
the funds necessary to fulfill the duties of the CFO.

             II. Legislative Hearings and Committee Actions

    On May 1, 1997, the Government Reform and Oversight 
Committee's Subcommittee on Government Management, Information, 
and Technology held a hearing on the proposal. On June 19, 
1997, Representative Stephen Horn (R-CA), Chairman of the 
Subcommittee on Government Management, Information, and 
Technology, introduced H.R. 1962 with six co-sponsors. The 
Subcommittee marked up the bill on September 4, 1997. One 
amendment was offered and adopted at the Subcommittee mark-up, 
and the bill as amended was approved by voice vote. 
Subsequently, the Committee on Government Reform and Oversight 
marked up the bill on September 30, 1997, approving the 
amendment in the nature of a substitute, and reporting it 
favorably, as amended, on a voice vote, for consideration by 
the House of Representatives.

             III. Committee Hearings and Written Testimony

    On May 1, 1997, the Subcommittee on Government Management, 
Information, and Technology held a hearing to solicit comments 
from interested parties on the draft proposal. Witnesses 
testified concerning the intent of the bill; the bill's 
objectives; the reason for various provisions, and the need for 
certain changes.
    The first panel featured Representative John L. Mica of 
Florida, who in the last Congress introduced H.R. 3452, the 
Presidential and Executive Office Accountability Act of 1996.
    The second panel consisted of two witnesses testifying in 
support of the Presidential and Executive Office Financial 
Accountability Act of 1997. Edward J. Mazur is the Vice 
President, Administration and Finance, Virginia State 
University, and former Controller, Office of Federal Financial 
Management, Office of Management and Budget. He was the first 
controller to be appointed after the passage of the Chief 
Financial Officers Act, and oversaw its implementation in the 
Executive Branch agencies. The second witness was Cornelius E. 
Tierney, Director, Center for Public Financial Management, 
George Washington University School of Business and Public 
Management. He has authored authoritative texts on Federal 
Government accounting and auditing, and was formerly Chairman 
and National Director of the governmental practice section of 
Ernst & Young. He was instrumental in the drafting of the Chief 
Financial Officers Act and in guiding its subsequent 
implementation.
    Subcommittee Chairman Horn opened the hearing by referring 
to the Presidential and Executive Office Accountability Act of 
1996, which passed the House by an overwhelming margin of 410 
to 5, last September. Mr. Horn was a co-sponsor of that bill. 
Unfortunately, time was short at that point and several 
provisions of the House-passed bill, including the provision to 
apply the CFO Act to the White House, were removed prior to 
passage in the Senate.

                      IV. Explanation of the Bill

                              A. OVERVIEW

    This measure brings the agencies of the Executive Office of 
the President to the fullest extent practicable within the 
framework and under the requirements of the Chief Financial 
Officers (CFO) Act. H.R. 1962 authorizes the President to 
appoint a Chief Financial Officer in a unit or office within 
the Executive Office of the President and, to the fullest 
extent practicable, mandates adherence to most provisions of 
the CFO Act. In recognition of the decentralized structure of 
the EOP and the unique functions its agencies perform in 
support of the President, H.R. 1962 anticipates that some 
exemptions may be necessary. In fact, the bill provides 
considerable discretion for the President to exempt the new CFO 
from any of a number of responsibilities otherwise stipulated 
by the CFO Act as authority and functions to be performed by an 
agency's Chief Financial Officer.
    However, notwithstanding such possible exemptions, the bill 
establishes that the CFO for the EOP shall perform, to the 
extent practicable, the general functions and duties 
established under the CFO Act in order to implement needed 
financial management improvements. The intent of this 
legislation is to foster improved systems of accounting, 
financial management and internal controls throughout the 
component entities of the Executive Office of the President. 
This should facilitate prevention, or at least early detection, 
of waste, fraud and abuse within the Executive Office of the 
President, as well as in the other Executive Branch agencies 
already covered by the CFO Act. Implementation of these 
provisions will promote not only accountability and proper 
fiscal management but also efficiency and cost reductions.

                     B. SECTION-BY-SECTION ANALYSIS

Section 1. Short title

    Section 1 provides that the Act shall be cited as the 
``Presidential and Executive Office Financial Accountability 
Act of 1997.''

Section 2. Chief Financial Officer in the Executive Office of the 
        President

    Section 2(a) provides that section 901 of Title 31, U.S.C., 
is amended by adding at the end a new subsection 901(c) of 
Title 31, U.S.C. The new subsection 901(c) requires the 
appointment or designation of a CFO in the EOP. This officer 
shall be appointed or designated by the President from among 
individuals meeting the standards described in section 
901(a)(3) of Title 31, U.S.C., i.e., an individual who 
possesses demonstrated ability in general management of, 
andknowledge of and extensive practical experience in financial 
management practices in large governmental or business entities. The 
position of CFO may be established in any office of the EOP, including 
the Office of Administration (OA).
    Section 2(a) provides further that the CFO, to the extent 
that the President determines appropriate and in the interest 
of the United States, shall have the same authority and perform 
the same functions as other CFOs under the CFO Act. The 
President must submit to Congress notification with respect to 
any provision of section 902 of Title 31, U.S.C. that the 
President determines shall not apply to the CFO of the EOP. 
This section provides that the President may designate an 
employee of the EOP, other than the appointed or designated 
CFO, as the ``head of the agency'' for purposes of carrying out 
section 902 of Title 31, U.S.C., relating to the authority, 
functions and duties of the CFO.
    Section 2(b) provides that not later than 90 days after the 
date of enactment, the President is required to communicate in 
writing with the Chairman of the House Committee on Government 
Reform and Oversight and the Chairman of the Senate Committee 
on Governmental Affairs, a plan for the implementation of the 
provisions of H.R. 1962, as enacted.
    Section 2(c) provides that the CFO shall be appointed or 
designated under the provisions of this bill, as enacted, not 
later than 180 days after the date of enactment.
    Section 2(d) provides that the CFO of the EOP shall receive 
basic pay at the rate payable for Level IV of the Executive 
Schedule under 5 U.S.C. Sec. 5315.
    Section 2(e) provides that the President may transfer such 
offices, functions, powers, or duties thereof, as the President 
determines are properly related to the functions of the CFO 
under 31 U.S.C. 901(c), as added by this bill. The personnel, 
assets, liabilities, contracts, property, records, and 
unexpended balances of appropriations, authorizations, 
allocations, and other funds employed, held, used, arising 
from, available or to be made available, of any office, the 
functions, powers, or duties of which are transferred to the 
CFO of the EOP, as established under H.R. 1962, shall also be 
transferred thereto.
    Section 2(f) provides that a separate budget request shall 
apply to the CFO of the EOP. Section 1105(a) of Title 31, 
U.S.C., is amended by adding paragraph (32) and providing that 
a separate statement of the amount of appropriations requested 
to carry out the provisions of H.R. 1962, as enacted, shall be 
included in the EOP's annual budget request.
    Section 2(g) provides for technical and conforming 
amendments.

                       V. Compliance With Rule XI

    Pursuant to rule XI, clause 2(l)(3)(A), of the Rules of the 
House of Representatives, under the authority of rule X, clause 
2(b)(1) and clause 3(f), the results and findings for those 
oversight activities are incorporated in the recommendations 
found in the bill and in this report.

                  VI. Budget Analysis and Projections

    Clause 2(l)(3)(B) of rule XI, of the Rules of the House of 
Representatives, is inapplicable because the bill does not 
provide new budget authority, new spending authority, new 
credit authority, or an increase or decrease in revenues or tax 
expenditures.

         VII. Cost Estimate of the Congressional Budget Office

    Pursuant to rule XI, clause 2(l)(3)(c) of the Rules of the 
House of Representatives, the Committee was provided the 
following estimate of the cost of H.R. 1962, prepared by the 
Congressional Budget Office.

                                     U.S. Congress,
                               Congressional Budget Office,
                                   Washington, DC, October 8, 1997.
Hon. Dan Burton,
Chairman, Committee on Government Reform and Oversight, House of 
        Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 1962, the 
Presidential and Executive Office Financial Accountability Act 
of 1997.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is John R. 
Righter.
            Sincerely,
                                         June E. O'Neill, Director.

H.R. 1962--Presidential and Executive Office Financial Accountability 
        Act of 1997

    CBO estimates that, subject to the availability of 
appropriated funds, enacting H.R.1962 would increase costs of 
the Office of Administration (OA) within the Executive Office 
of the President (EOP) by no more than $250,000 a year. The 
bill would not affect direct spending or receipts; therefore, 
pay-as-you-go procedures would not apply. H.R. 1962 contains no 
intergovernmental or private-sector mandates as defined in the 
Unfunded Mandates Reform Act of 1995 and would not affect the 
budgets of state, local, or tribal governments.
    H.R. 1962 would require the President to appoint a chief 
financial officer (CFO) for the 12 agencies and offices that 
comprise the EOP. The bill would require the CFO to comply with 
those provisions of the CFO Act that the President determines 
to be appropriate and in the interest of the United States. 
Based on information provided by the Office of Management and 
Budget and the Office of Administration, CBO expects that the 
President would appoint as CFO someone within the OA, which 
already provides centralized financial management and 
accounting services to the EOP. As a result of enacting H.R. 
1962, the OA might require an additional employee or two to 
coordinate activities within the EOP. In addition, the OA would 
need to contract with a private firm to audit the consolidated 
annual financial statements of the EOP. We estimate that the 
annual audit would cost around $100,000.
    In total, assuming no major problems exist in the financial 
management and systems of the EOP, CBO estimates that enacting 
H.R. 1962 would increase annual costs of the OA by no more than 
$250,000. In addition, it is possible that by improving 
financial systems and communication within the EOP, the 
legislation could lead to a reduction in losses from waste and 
abuse, but CBO cannot estimate the amount of such potential 
savings.
    The CBO staff contact for this estimate is John R. Righter. 
The estimate was approved by Robert A. Sunshine, Deputy 
Assistant Director for Budget Analysis.

              VIII. Statement of Constitutional Authority

    Pursuant to rule XI, clause 2(l)(4), the Committee finds 
that clauses 14 and 18 of Article I, Section 8 of the U.S. 
Constitution authorizes Congress to create a Chief Financial 
Officer in the Executive Office of the President.

                      IX. Committee Recommendation

    On September 30, 1997, a quorum being present, the 
Committee ordered the bill, as amended, favorably reported to 
the House for consideration.

      Committee On Government Reform and Oversight--105th Rollcall

    Date: September 30, 1997.
    Amendment No. 1.
    Description: Amendment in the nature of a substitute.
    Offered By: Mr. Stephen Horn (CA).
    Adopted by Voice Vote.
    Final Passage of H.R. 1962.
    Adopted by Voice Vote.

         X. Congressional Accountability Act; Public Law 104-1

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(B)(3) of the Congressional Accountability Act (P.L. 104-1).

    XI. Unfunded Mandates Reform Act; Public Law 104-4, Section 423

    The Committee finds that the legislation does not impose 
any Federal mandates within the meaning of section 423 of the 
Unfunded Mandates Reform Act (PL 104-4).

      XII. Federal Advisory Committee (5 U.S.C. App.) Section 5(b)

    The Committee finds that the legislation does not establish 
or authorize establishment of an advisory committee within the 
definition of 5 U.S.C. App., Section 5(b).

      XIII. Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3 of rule XIII of the Rules of the 
House of Representatives, changes in existing law made by the 
bill, as reported, are shown as follows (existing law proposed 
to be omitted is enclosed in black brackets, new matter is 
printed in italic, existing law in which no change is proposed 
is shown in roman):

                      TITLE 31, UNITED STATES CODE

          * * * * * * *

                          SUBTITLE I--GENERAL

          * * * * * * *

               CHAPTER 5--OFFICE OF MANAGEMENT AND BUDGET

          * * * * * * *

                       SUBCHAPTER I--ORGANIZATION

          * * * * * * *

Sec. 503. Functions of Deputy Director for Management

  (a) Subject to the direction and approval of the Director, 
the Deputy Director for Management shall establish 
governmentwide financial management policies for executive 
agencies and shall perform the following financial management 
functions:
          (1) * * *
          * * * * * * *
          (7) Develop and maintain qualification standards for 
        agency Chief Financial Officers and for agency Deputy 
        Chief Financial Officers appointed under sections 901 
        and 903, [respectively.] respectively (excluding any 
        officer designated or appointed under section 901(c)).
          (8) Provide advice to agency heads with respect to 
        the selection of agency Chief Financial Officers and 
        Deputy Chief Financial [Officers.] Officers (excluding 
        any officer designated or appointed under section 
        901(c)).
          * * * * * * *

               Chapter 9--Agency Chief Financial Officers

          * * * * * * *

Sec. 901. Establishment of agency Chief Financial Officers

  (a) * * *
          * * * * * * *
  (c)(1) There shall be within the Executive Office of the 
President a Chief Financial Officer, who shall be designated or 
appointed by the President from among individuals meeting the 
standards described in subsection (a)(3). The position of Chief 
Financial Officer established under this paragraph may be so 
established in any Office (including the Office of 
Administration) of the Executive Office of the President.
  (2) The Chief Financial Officer designated or appointed under 
this subsection shall, to the extent that the President 
determines appropriate and in the interest of the United 
States, have the same authority and perform the same functions 
as apply in the case of a Chief Financial Officer of an agency 
described in subsection (b).
  (3) The President shall submit to Congress notification with 
respect to any provision of section 902 that the President 
determines shall not apply to a Chief Financial Officer 
designated or appointed under this subsection.
  (4) The President may designate an employee of the Executive 
Office of the President (other than the Chief Financial 
Officer), who shall be deemed ``the head of the agency'' for 
purposes of carrying out section 902, with respect to the 
Executive Office of the President.
          * * * * * * *

                    SUBTITLE II--THE BUDGET PROCESS

          * * * * * * *

   CHAPTER 11--THE BUDGET AND FISCAL, BUDGET, AND PROGRAM INFORMATION

          * * * * * * *

Sec. 1105. Budget contents and submission to Congress

  (a) On or after the first Monday in January but not later 
than the first Monday in February of each year the President 
shall submit a budget of the United States Government for the 
following fiscal year. Each budget shall include a budget 
message and summary and supporting information. The President 
shall include in each budget the following:
          (1) * * *
          * * * * * * *
          (31) a separate statement of the amount of 
        appropriations requested to carry out the provisions of 
        the Presidential and Executive Office Financial 
        Accountability Act of 1997.
          * * * * * * *