[House Report 105-87]
[From the U.S. Government Publishing Office]



                                                                       
105th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES

 1st Session                                                     105-87
_______________________________________________________________________


 
                  FOR THE RELIEF OF JOHN WESLEY DAVIS

_______________________________________________________________________


  May 5, 1997.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

Mr. Smith of Texas, from the Committee on the Judiciary, submitted the 
                               following

                              R E P O R T

                        [To accompany H.R. 584]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on the Judiciary, to whom was referred the 
bill (H.R. 584) for the relief of John Wesley Davis, having 
considered the same, reports favorably thereon with an 
amendment and recommends that the bill as amended do pass.

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

SECTION 1. WAIVER OF TIME LIMITATIONS.

    The time limitations set forth in sections 3702(c) and 3328(a)(1) 
of title 31, United States Code, shall not apply with respect to a 
claim by John Wesley Davis, of Forestville, Maryland, for the amounts 
due to him by the--
            (1) Department of the Navy in the amount of $42,123.84; and
            (2) Department of the Treasury in the amount of $12,508.20.
The amounts due are represented by checks that were received but not 
negotiated by John Wesley Davis.

SEC. 2. DEADLINE.

    Section 1 shall apply only if John Wesley Davis or his authorized 
representative submits a claim pursuant to such subsection before the 
expiration of the 6-month period beginning on the date of the enactment 
of this Act.

                          Purpose and Summary

    H.R. 584 would waive the statute of limitations with 
respect to Mr. John Wesley Davis' claim for amounts due to him 
from the Department of the Navy and the Department of the 
Treasury for checks he received, but which were never 
negotiated.

                Background and Need for the Legislation

    John Wesley Davis served for over 20 years in the U.S. Navy 
until he retired in the mid-1970's. In the last 20 years, Mr. 
Davis has been mentally incapacitated. Since 1970, unbeknownst 
to his family, Mr. Davis had accumulated almost 300 checks 
representing his Navy pay and pension, as well as tax refunds, 
without cashing them. Recently, his family found these checks. 
Although processing of some of the checks could be handled 
administratively, a large number of other checks can only be 
cashed if the agencies are authorized to do so by a private 
bill. Those checks, the majority of which were Department of 
the Navy checks, amount to $54,632.04.
    Mr. Davis is currently a resident in a nursing home, and 
his mental and financial condition are both rapidly 
deteriorating. The cost of providing care for Mr. Davis has 
been steadily increasing, and these funds are greatly needed 
for his maintenance.
    The Department of Navy has indicated that due to the unique 
circumstances of this case, they do not oppose this 
legislation. It should be noted that the bulk of the checks 
($42,123.84) are Department of Navy checks. The Treasury 
Department gave no comment on this legislation, but confirmed 
that the checks have not been cashed. The Office of Personnel 
Management had no comment on this legislation.

                                Hearings

    The Committee's Subcommittee on Immigration and Claims held 
no hearings on H.R. 584.

                        Committee Consideration

    On March 13, 1997, the Subcommittee on Immigration and 
Claims met in open session and ordered favorably reported the 
bill H.R. 584, as amended, by voice vote, a quorum being 
present.
    On April 8, 1997, the Committee on the Judiciary met in 
open session and ordered reported favorably the bill H.R. 584, 
with amendment, by voice vote, a quorum being present.

                      Committee Oversight Findings

    In compliance with clause 2(l)(3)(A) of rule XI of the 
Rules of the House of Representatives, the Committee reports 
that the findings and recommendations of the Committee, based 
on oversight activities under clause 2(b)(1) of rule X of the 
Rules of the House of Representatives, are incorporated in the 
descriptive portions of this report.

         Committee on Government Reform and Oversight Findings

    No findings or recommendations of the Committee on 
Government Reform and Oversight were received as referred to in 
clause 2(l)(3)(D) of rule XI of the Rules of the House of 
Representatives.

               New Budget Authority and Tax Expenditures

    Clause 2(l)(3)(B) of House Rule XI is inapplicable because 
this legislation does not provide new budgetary authority or 
increased tax expenditures.

               Congressional Budget Office Cost Estimate

    In compliance with clause 2(l)(3)(C) of rule XI of the 
Rules of the House of Representatives, the Committee sets 
forth, with respect to the bill, H.R. 584, the following 
estimate and comparison prepared by the Director of the 
Congressional Budget Office under section 403 of the 
Congressional Budget Act of 1974:

                                     U.S. Congress,
                               Congressional Budget Office,
                                    Washington, DC, April 10, 1997.

Hon. Henry J. Hyde,
Chairman Committee on the Judiciary,
House of Representatives, Washington, DC.

    Dear Mr. Chairman: The Congressional Budget Office has 
reviewed H.R. 584, a bill for the relief of John Wesley Davis, 
as ordered reported by the House Committee on the Judiciary on 
April 8, 1997. The bill would waive the statute of limitations 
for submitting claims against the United States Government. The 
waiver would result in payments totaling $54,632 by the 
Department of the Navy and the Department of the Treasury in 
fiscal year 1997. Because the bill would increase direct 
spending, pay-as-you-go procedures would apply.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is John R. 
Righter, who can be reached at 226-2860.
            Sincerely,
                                         June E. O'Neill, Director.

                   Constitutional Authority Statement

    Pursuant to Rule XI, clause 2(1)(4) of the Rules of the 
House of Representatives, the Committee finds the authority for 
this legislation in the First Amendment of the Constitution.

                              Agency Views

    The comments of the Department of the Navy and the Office 
of Personnel Management on H.R. 1886, the bill's predecessor in 
the 104th Congress, are as follows:
                            Department of the Navy,
                             Office of Legislative Affairs,
                                  Washington, DC, November 6, 1995.

Hon. Lamar S. Smith,
Chairman, Subcommittee on Immigration and Claims,
Committee on the Judiciary,
House of Representatives, Washington, DC.

    Dear Mr. Chairman: This is in response to your request for 
the views of the Department of the Navy on H.R. 1886, 104th 
Congress, a bill ``For the relief of John Wesley Davis.''
    The purpose of H.R. 1886 is to waive the time limitation of 
31 U.S.C., section 3702(b), with respect to a claim by John 
Wesley Davis for $61,103.01 due him from the Departments of 
Veterans Affairs, Navy, Treasury, and the District of Columbia.
    Mr. Davis was a civilian employee of the Department of the 
Navy who retired on April 30, 1983. Recently, Mr. Davis's 
family discovered that he had received paychecks from the 
Department of the Navy which, due to Mr. Davis's diminished 
mental capacity, were never negotiated. Some of these paychecks 
are dated as early as 1970 and others as recently as 1982. All 
of the paychecks involved are dated prior to Mr. Davis's 
retirement in 1983. The Department of the Navy checks total 
$42,123.84. Of that amount, $23,348.59 are checks issued by the 
Navy's Personnel Support Activity and $18,775.75 are checks 
issued by the Defense Finance and Accounting Service, 
Cleveland. Since Mr. Davis's paychecks were not presented 
within the statutory period, they are barred under 31 U.S.C., 
section 3702(b). The Department of the Navy does not have legal 
authority to issue replacement checks to Mr. Davis. The effect 
of H.R. 1886 would waive the statutory bar to payment of this 
claim.
    The Department of Defense generally opposes private relief 
legislation which waives the statute of limitations in a 
preferential manner. It is noted, however, that the checks in 
the Davis family's possession are Department of the Navy checks 
for ``salaries and expenses,'' drawn to the order of John 
Davis. The Office of Personnel Management confirmed that Mr. 
Davis was a civilian employee of the Department of the Navy and 
has been drawing CSRS retirement checks since May 1983. It 
appears that John Davis was entitled to the paychecks which 
were not negotiated. Civilian salaries are funded in the 
Operations and Maintenance, Navy (O&M,N) appropriation. The 
nonnegotiated paychecks would have been expenditures drawn on 
O&M,N accounts which have since been canceled. Waiver of the 
time limitation of 31 U.S.C., section 3702(b) will result in 
payment of these paychecks out of the O&M,N appropriation 
current at the time the paychecks are presented for payment. 
Under the unique circumstances of this case, the Department 
does not oppose H.R. 1886.
    The Office of Management and Budget advises, that from the 
standpoint of the Administration's program, there is no 
objection to the presentation of this report for the 
consideration of the Committee.
            Sincerely,
                                                       R.J. Natter.
    cc: Hon. John Bryant,
         Ranking Minority Member.
                             Office of Personnel Management
                                  Washington, DC, November 1, 1995.

Hon. Lamar Smith,
Chairman, Subcommittee on Immigration and Claims,
Committee on the Judiciary,
House of Representatives, Washington, DC.

    Dear Mr. Smith: This is in response to your recent request 
for the Office of Personnel Management's views concerning H.R. 
1886, a bill ``For the relief of John Wesley Davis.''
    We understand that Mr. Davis retired from a career in the 
U.S. Navy in the mid-1970's. Recently, his family discovered 
that Mr. Davis accumulated hundreds of Government checks over 
the next 20 years, representing military retired pay, pension 
benefits, and Federal and District of Columbia income tax 
refunds, which he failed to negotiate due to diminished mental 
capacity. Unfortunately, by the time Mr. Davis' representatives 
initiated corrective action, substantial portions of the claims 
against the Government were no longer enforceable due to the 
Federal statute of limitations (31 U.S.C. Sec. 3702 (b)). H.R. 
1886 would waive the statute of limitations for enforcing 
claims based on obligations of the United States Government, 
for purposes of allowing Mr. Davis to be paid all of his 
previously accrued benefits.
    While I certainly empathize with Mr. Davis' situation, his 
claims do not involve any benefit system within OPM's 
jurisdiction. Accordingly, we have no comment on H.R. 1886.
    The Office of Management and Budget advises that, from the 
standpoint of the Administration's program, there is no 
objection to the submission of this report.
            Sincerely,

                                           James B. King, Director.