[House Report 107-379]
[From the U.S. Government Publishing Office]



107th Congress                                            Rept. 107-379
                        HOUSE OF REPRESENTATIVES
 2d Session                                                      Part 1

======================================================================



 
                     DIGITAL TECH CORPS ACT OF 2002

                                _______
                                

 March 18, 2002.--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, 
                        submitted the following

                              R E P O R T

                             together with

                            ADDITIONAL VIEWS

                        [To accompany H.R. 3925]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Government Reform, to whom was referred the 
bill (H.R. 3925) to establish an exchange program between the 
Federal Government and the private sector in order to promote 
the development of expertise in information technology 
management, and for other purposes, having considered the same, 
report favorably thereon with an amendment and recommend that 
the bill as amended do pass.
  The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Digital Tech Corps Act of 2002''.

SEC. 2. FINDINGS.

  Congress finds that--
          (1) unless action is taken soon, there will be a crisis in 
        the government's ability to deliver essential services to the 
        American people;
          (2) by 2006, over 50 percent of the Federal Government's 
        information technology workforce will be eligible to retire, 
        creating a huge demand in the Federal Government for high-skill 
        workers;
          (3) despite a 44 percent decrease in the demand for 
        information technology workers in the private sector, the 
        Information Technology Association of America reported in 2001 
        that employers will need to fill over 900,000 new information 
        technology jobs and will be unable to find qualified workers 
        for 425,000 of those jobs;
          (4) to highlight the urgency of this situation, in January 
        2001, the General Accounting Office added the Federal 
        Government's human capital management to its list of high-risk 
        problems for which an effective solution must be found;
          (5) despite efforts to increase flexibility in Federal 
        agencies' employment practices, compensation issues continue to 
        severely restrain recruitment for Federal agencies; and
          (6) an effective, efficient, and economical response to this 
        crisis would be to create a vibrant, ongoing exchange effort 
        designed to share talent, expertise, and advances in management 
        between leading-edge businesses and Federal agencies engaged in 
        best practices.

SEC. 3. INFORMATION TECHNOLOGY EXCHANGE PROGRAM.

  (a) In General.--Subpart B of part III of title 5, United States 
Code, is amended by adding at the end the following:

         ``CHAPTER 37--INFORMATION TECHNOLOGY EXCHANGE PROGRAM

``Sec.
``3701. Definitions.
``3702. General provisions.
``3703. Assignment of employees to private sector organizations.
``3704. Assignment of employees from private sector organizations.
``3705. Application to Office of the Chief Technology Officer of the 
District of Columbia.
``3706. Reporting requirement.
``3707. Regulations.

``Sec. 3701. Definitions

  ``For purposes of this chapter--
          ``(1) the term `agency' means an Executive agency, but does 
        not include the General Accounting Office; and
          ``(2) the term `detail' means--
                  ``(A) the assignment or loan of an employee of an 
                agency to a private sector organization without a 
                change of position from the agency that employs the 
                individual, or
                  ``(B) the assignment or loan of an employee of a 
                private sector organization to an agency without a 
                change of position from the private sector organization 
                that employs the individual,
        whichever is appropriate in the context in which such term is 
        used.

``Sec. 3702. General provisions

  ``(a) Assignment Authority.--On request from or with the agreement of 
a private sector organization, and with the consent of the employee 
concerned, the head of an agency may arrange for the assignment of an 
employee of the agency to a private sector organization or an employee 
of a private sector organization to the agency. An eligible employee is 
an individual who--
          ``(1) works in the field of information technology 
        management;
          ``(2) is considered an exceptional performer by the 
        individual's current employer; and
          ``(3) is expected to assume increased information technology 
        management responsibilities in the future.
An employee of an agency shall be eligible to participate in this 
program only if the employee is employed at the GS-11 level or above 
(or equivalent) and is serving under a career or career-conditional 
appointment or an appointment of equivalent tenure in the excepted 
service.
  ``(b) Agreements.--Each agency that exercises its authority under 
this chapter shall provide for a written agreement between the agency 
and the employee concerned regarding the terms and conditions of the 
employee's assignment. In the case of an employee of the agency, the 
agreement shall--
          ``(1) require the employee to serve in the civil service, 
        upon completion of the assignment, for a period equal to the 
        length of the assignment; and
          ``(2) provide that, in the event the employee fails to carry 
        out the agreement (except for good and sufficient reason, as 
        determined by the head of the agency from which assigned) the 
        employee shall be liable to the United States for payment of 
        all expenses of the assignment.
An amount under paragraph (2) shall be treated as a debt due the United 
States.
  ``(c) Termination.--Assignments may be terminated by the agency or 
private sector organization concerned for any reason at any time.
  ``(d) Duration.--Assignments under this chapter shall be for a period 
of between 6 months and 1 year, and may be extended in 3-month 
increments for a total of not more than 1 additional year, except that 
no assignment under this chapter may commence after the end of the 5-
year period beginning on the date of the enactment of this chapter.
  ``(e) Assistance.--The Chief Information Officers Council, by 
agreement with the Office of Personnel Management, may assist in the 
administration of this chapter, including by maintaining lists of 
potential candidates for assignment under this chapter, establishing 
mentoring relationships for the benefit of individuals who are given 
assignments under this chapter, and publicizing the program.

``Sec. 3703. Assignment of employees to private sector organizations

  ``(a) In General.--An employee of an agency assigned to a private 
sector organization under this chapter is deemed, during the period of 
the assignment, to be on detail to a regular work assignment in his 
agency.
  ``(b) Coordination With Chapter 81.--Notwithstanding any other 
provision of law, an employee of an agency assigned to a private sector 
organization under this chapter is entitled to retain coverage, rights, 
and benefits under subchapter I of chapter 81, and employment during 
the assignment is deemed employment by the United States, except that, 
if the employee or the employee's dependents receive from the private 
sector organization any payment under an insurance policy for which the 
premium is wholly paid by the private sector organization, or other 
benefit of any kind on account of the same injury or death, then, the 
amount of such payment or benefit shall be credited against any 
compensation otherwise payable under subchapter I of chapter 81.
  ``(c) Reimbursements.--The assignment of an employee to a private 
sector organization under this chapter may be made with or without 
reimbursement by the private sector organization for the travel and 
transportation expenses to or from the place of assignment, subject to 
the same terms and conditions as apply with respect to an employee of a 
Federal agency or a State or local government under section 3375, and 
for the pay, or a part thereof, of the employee during assignment. Any 
reimbursements shall be credited to the appropriation of the agency 
used for paying the travel and transportation expenses or pay.
  ``(d) Tort Liability; Supervision.--The Federal Tort Claims Act and 
any other Federal tort liability statute apply to an employee of an 
agency assigned to a private sector organization under this chapter. 
The supervision of the duties of an employee of an agency so assigned 
to a private sector organization may be governed by an agreement 
between the agency and the organization.

``Sec. 3704. Assignment of employees from private sector organizations

  ``(a) In General.--An employee of a private sector organization 
assigned to an agency under this chapter is deemed, during the period 
of the assignment, to be on detail to such agency.
  ``(b) Terms and Conditions.--An employee of a private sector 
organization assigned to an agency under this chapter--
          ``(1) may, notwithstanding section 209 of title 18, continue 
        to receive pay and benefits from the private sector 
        organization from which he is assigned;
          ``(2) is deemed, notwithstanding subsection (a), to be an 
        employee of the agency for the purposes of--
                  ``(A) chapter 73;
                  ``(B) sections 201, 203, 205, 207, 208, 209, 603, 
                606, 607, 643, 654, 1905, and 1913 of title 18;
                  ``(C) sections 1343, 1344, and 1349(b) of title 31;
                  ``(D) the Federal Tort Claims Act and any other 
                Federal tort liability statute;
                  ``(E) the Ethics in Government Act of 1978;
                  ``(F) section 1043 of the Internal Revenue Code of 
                1986; and
                  ``(G) section 27 of the Office of Federal Procurement 
                Policy Act; and
          ``(3) is subject to such regulations as the President may 
        prescribe.
The supervision of an employee of a private sector organization 
assigned to an agency under this chapter may be governed by agreement 
between the agency and the private sector organization concerned. Such 
an assignment may be made with or without reimbursement by the agency 
for the pay, or a part thereof, of the employee during the period of 
assignment, or for any contribution of the private sector organization 
to employee benefit systems.
  ``(c) Coordination With Chapter 81.--An employee of a private sector 
organization assigned to an agency under this chapter who suffers 
disability or dies as a result of personal injury sustained while 
performing duties during the assignment shall be treated, for the 
purpose of subchapter I of chapter 81, as an employee as defined by 
section 8101 who had sustained the injury in the performance of duty, 
except that, if the employee or the employee's dependents receive from 
the private sector organization any payment under an insurance policy 
for which the premium is wholly paid by the private sector 
organization, or other benefit of any kind on account of the same 
injury or death, then, the amount of such payment or benefit shall be 
credited against any compensation otherwise payable under subchapter I 
of chapter 81.

``Sec. 3705. Application to Office of the Chief Technology Officer of 
                    the District of Columbia

  ``(a) In General.--The Chief Technology Officer of the District of 
Columbia may arrange for the assignment of an employee of the Office of 
the Chief Technology Officer to a private sector organization, or an 
employee of a private sector organization to such Office, in the same 
manner as the head of an agency under this chapter.
  ``(b) Terms and Conditions.--An assignment made pursuant to 
subsection (a) shall be subject to the same terms and conditions as an 
assignment made by the head of an agency under this chapter, except 
that in applying such terms and conditions to an assignment made 
pursuant to subsection (a), any reference in this chapter to a 
provision of law or regulation of the United States shall be deemed to 
be a reference to the applicable provision of law or regulation of the 
District of Columbia, including the applicable provisions of the 
District of Columbia Government Comprehensive Merit Personnel Act of 
1978 (sec. 1-601.01 et seq., D.C. Official Code) and section 601 of the 
District of Columbia Campaign Finance Reform and Conflict of Interest 
Act (sec. 1-1106.01, D.C. Official Code).
  ``(c) Definition.--For purposes of this section, the term `Office of 
the Chief Technology Officer' means the office established in the 
executive branch of the government of the District of Columbia under 
the Office of the Chief Technology Officer Establishment Act of 1998 
(sec. 1-1401 et seq., D.C. Official Code).

``Sec. 3706. Reporting requirement

  ``(a) In General.--The Office of Personnel Management shall, not 
later than April 30 and October 31 of each year, prepare and submit to 
the Committee on Government Reform of the House of Representatives and 
the Committee on Governmental Affairs of the Senate a semiannual report 
summarizing the operation of this chapter during the immediately 
preceding 6-month period ending on March 31 and September 30, 
respectively.
  ``(b) Content.--Each report shall include, with respect to the 6-
month period to which such report relates--
          ``(1) the total number of individuals assigned to, and the 
        total number of individuals assigned from, each agency during 
        such period;
          ``(2) a brief description of each assignment included under 
        paragraph (1), including--
                  ``(A) the name of the assigned individual, as well as 
                the private sector organization and the agency 
                (including the specific bureau or other agency 
                component) to or from which such individual was 
                assigned;
                  ``(B) the respective positions to and from which the 
                individual was assigned, including the duties and 
                responsibilities and the pay grade or level associated 
                with each; and
                  ``(C) the duration and objectives of the individual's 
                assignment; and
          ``(3) such other information as the Office considers 
        appropriate.
  ``(c) Publication.--A copy of each report submitted under subsection 
(a)--
          ``(1) shall be published in the Federal Register; and
          ``(2) shall be made publicly available on the Internet.
  ``(d) Agency Cooperation.--On request of the Office, agencies shall 
furnish such information and reports as the Office may require in order 
to carry out this section.

``Sec. 3707. Regulations

  ``The Director of the Office of Personnel Management shall prescribe 
regulations for the administration of this chapter.''.
  (b) Report.--Not later than 4 years after the date of the enactment 
of this Act, the General Accounting Office shall prepare and submit to 
the Committee on Government Reform of the House of Representatives and 
the Committee on Governmental Affairs of the Senate a report on the 
operation of chapter 37 of title 5, United States Code (as added by 
this section). Such report shall include--
          (1) an evaluation of the effectiveness of the program 
        established by such chapter; and
          (2) a recommendation as to whether such program should be 
        continued (with or without modification) or allowed to lapse.
  (c) Clerical Amendment.--The analysis for part III of title 5, United 
States Code, is amended by inserting after the item relating to chapter 
35 the following:

``37. Information Technology Exchange Program...............    3701''.

SEC. 4. ETHICS PROVISIONS.

  (a) One-year Restriction On Certain Communications.--Section 
207(c)(2)(A) of title 18, United States Code, is amended--
          (1) by striking ``or'' at the end of clause (iii);
          (2) by striking the period at the end of clause (iv) and 
        inserting ``; or''; and
          (3) by adding at the end the following:
                  ``(v) an employee of a private sector organization 
                assigned to an agency under chapter 37 of title 5.''.
  (b) Disclosure of Confidential Information.--Section 1905 of title 
18, United States Code, is amended by inserting ``or being an employee 
of a private sector organization who is, or was within the past three 
years, assigned to an agency under chapter 37 of title 5,'' after ``(15 
U.S.C. 1311-1314),''.
  (c) Contract Advice.--Section 207 of title 18, United States Code, is 
amended by adding at the end the following:
  ``(l) Contract Advice by Former Details.--Whoever, being an employee 
of a private sector organization assigned to an agency under chapter 37 
of title 5, within one year after the end of that assignment, knowingly 
represents or aids, counsels, or assists in representing any other 
person (except the United States) in connection with any contract with 
that agency shall be punished as provided in section 216 of this 
title.''.
  (d) Restriction on Disclosure of Procurement Information.--Section 27 
of the Office of Federal Procurement Policy Act (41 U.S.C. 423) is 
amended in subsection (a)(1) by adding at the end the following new 
sentence: ``In the case of an employee of a private sector organization 
assigned to an agency under chapter 37 of title 5, United States Code, 
in addition to the restriction in the preceding sentence, such employee 
shall not, other than as provided by law, knowingly disclose contractor 
bid or proposal information or source selection information during the 
three-year period after the end of the assignment of such employee.''.

SEC. 5. REPORT ON EXISTING EXCHANGE PROGRAMS.

  (a) Exchange Program Defined.--For purposes of this section, the term 
``exchange program'' means an executive exchange program, the program 
under subchapter VI of chapter 33 of title 5, United States Code, and 
any other program which allows for--
          (1) the assignment of employees of the Federal Government to 
        non-Federal employers;
          (2) the assignment of employees of non-Federal employers to 
        the Federal Government; or
          (3) both.
  (b) Reporting Requirement.--Not later than 1 year after the date of 
the enactment of this Act, the Office of Personnel Management shall 
prepare and submit to the Committee on Government Reform of the House 
of Representatives and the Committee on Governmental Affairs of the 
Senate a report identifying all existing exchange programs.
  (c) Specific Information.--The report shall, for each such program, 
include--
          (1) a brief description of the program, including its size, 
        eligibility requirements, and terms or conditions for 
        participation;
          (2) specific citation to the law or other authority under 
        which the program is established;
          (3) the names of persons to contact for more information, and 
        how they may be reached; and
          (4) any other information which the Office considers 
        appropriate.

SEC. 6. TECHNICAL AND CONFORMING AMENDMENTS.

  (a) Amendments to Title 5, United States Code.--Title 5, United 
States Code, is amended--
          (1) in section 3111, by adding at the end the following:
  ``(d) Notwithstanding section 1342 of title 31, the head of an agency 
may accept voluntary service for the United States under chapter 37 of 
this title and regulations of the Office of Personnel Management.'';
          (2) in section 4108, by striking subsection (d); and
          (3) in section 7353(b), by adding at the end the following:
  ``(4) Nothing in this section precludes an employee of a private 
sector organization, while assigned to an agency under chapter 37, from 
continuing to receive pay and benefits from such organization in 
accordance with such chapter.''.
  (b) Other Amendments.--Section 125(c)(1) of Public Law 100-238 (5 
U.S.C. 8432 note) is amended--
          (1) in subparagraph (B), by striking ``or'' at the end;
          (2) in subparagraph (C), by striking ``and'' at the end and 
        inserting ``or''; and
          (3) by adding at the end the following:
                  ``(D) an individual assigned from a Federal agency to 
                a private sector organization under chapter 37 of title 
                5, United States Code; and''.

                Background and Need for the Legislation

    In 2001, the General Accounting Office added human capital 
management for the federal government to its annual high risk 
list. Governmentwide, significant human capital shortages exist 
that only get worse as thirty-four percent of the federal 
workforce becomes eligible to retire in the next five years. 
The numbers are even more bleak in information technology (IT) 
fields, where the government's recruiting is in direct 
competition with the private sector. It is estimated that fifty 
percent of the government's technology workforce will be 
eligible to retire by 2006.
    Over the past decade, the Congress and Executive branch 
have worked together to bring about significant management 
reform. We have passed financial management reform, IT 
management reform, acquisition reform, and government 
performance and results legislation. Unfortunately, the laws 
and regulations governing the management of the government's 
single most valuable resource, its people, have not been 
updated. The private sector long ago made an end-to-end review 
of human resources management and learned the lesson our 
government has yet to recognize: a company's value is only as 
strong as the people that come through the door every day 
bringing knowledge, new ideas, and innovation.
    A recent KPMG report on human capital management within the 
federal sector noted that government is operating with 
personnel tools utilized and developed in the 1950's and 60's. 
The same study noted that industry undertook major human 
management reforms in the 1980's followed by ongoing updates 
that occur as often as three times a year.
    For the past decade, the government has managed its 
workforce through minimum mandatory personnel ceilings and 
hiring freezes. Today, we see the results in nearly every 
General Accounting Office (GAO) report on a wide range of 
government programs. For instance, the Department of Defense 
(DoD) lost so many of its civilian personnel, the Pentagon 
faces growing challenges in managing weapons acquisitions and 
logistics. This is coupled by the fact that fifty percent of 
the remaining DoD acquisition workforce is eligible to retire 
by the year 2005. A July 2001 Department of Energy (DOE) 
Inspector General report found that the recruitment and 
retention of highly skilled, technical personnel has fallen so 
far behind that the Department was failing to meet mission 
goals. Specifically, the workforce at DOE has been downsized by 
twenty-four percent over a three year period without any 
strategic planning by agency leadership. This led to a two year 
shutdown at Livermore's plutonium facility, as there were not 
enough federal personnel in place to oversee daily operations. 
At NASA, downsizing has left the shuttle launch team short of 
qualified personnel to oversee shuttle safety and launch 
activities. Unfortunately, there are numerous other examples 
within each federal agency.
    Today, eGovernment is a top priority for the federal 
government. The promise of eGov is revolutionary, but we face 
severe implementation challenges. Unfortunately, too many of 
our complex IT procurements continue to fail--upwards of forty 
percent of them. When the government is spending more than $50 
billion each year on IT, taking steps to improve the management 
of IT is critically important.
    In addition, we have over 1,300 different eGovernment 
initiatives underway, but we have no measurements of which 
projects are worthwhile or which should be expanded cross-
agency, or cross-government to truly make service more 
accessible. The Administration's focus of priorities on 24 eGov 
projects and the work to review and assess IT spending by the 
Associate Director of Information Technology and the Chief 
Technology Officer at the U.S. Office of Management and Budget 
(OMB), the Chief Information Officers (CIO) Council, and the 
new eGov Council are good steps in the right direction. 
However, individuals are needed who can work daily on reviewing 
the status of IT modernizations or cross-agency initiatives to 
assist in the success of thisnew team. Unfortunately, the 
government cannot attract mid-level IT managers who can perform these 
functions without help from Congress.
    Just as important as attracting new individuals with IT 
skills to public service is the need to retain talented IT 
managers and improve their skills. This exchange program will 
help federal agencies retain quality IT managers by offering 
them exposure to new management concepts and leading-edge 
organizations. This exchange program should make federal 
service more attractive, and at the same time, improve the 
skills of federal IT managers. Congress, in considering the 
Digital Tech Corps, can help government transform itself by 
creating a new vision of public service for this century.
    According to the National Academy of Public Administration 
(NAPA) study on the federal IT workforce, the primary barriers 
to recruiting new IT workers are salary, and length of time 
between job announcements and the actual hiring of an 
individual. Moreover, of the five categories identified by IT 
professionals when considering job opportunities, the federal 
government receives a low score in all but one category. The 
creation of a Digital Tech Corps will help eliminate those 
hurdles.
    The Digital Tech Corps enables an exchange program that can 
begin as soon as an agency negotiates an exchange agreement 
with a private sector entity. Private sector IT volunteers for 
the Tech Corps will come into government at the GS-11 through 
15 levels for a period of six months to two years, but they 
will continue to receive pay and benefits from their private 
sector employer. Federal agency IT volunteers will have the 
opportunity to go to work for leading-edge private sector 
companies for a similar period and will retain their government 
pay and benefits. This type of public-private exchange program 
will allow for greater knowledge transfer and cross-pollination 
of ideas, cultures, and processes between the public and 
private sectors. As Chairman Burton stated at the Committee's 
business meeting, ``[The Tech Corps] * * * helps us solve some 
of the IT problems that we have.'' The Act is expected to 
foster greater innovation and partnership for government and 
industry.

              Legislative History/Committee Consideration

    On July 31, 2001, the Subcommittee on Technology and 
Procurement Policy of the Committee on Government Reform held a 
hearing titled ``Public Service for the 21st Century: 
Innovative Solutions to the Federal Government's Technology 
Workforce Crisis.'' Prior to the hearing, the Digital Tech 
Corps Act of 2001, H.R. 2678, was introduced.
    Testimony at this hearing from the government included The 
Honorable David Walker, Comptroller General, U.S. General 
Accounting Office, The Honorable Kay Coles James, Director, 
Office of Personnel Management, and the Honorable Stephen 
Perry, Administrator, U.S. General Services Administration. 
Testifying from academia and the private sector were Dr. Steven 
Kelman, Harvard University, John F. Kennedy School of 
Government, Albert J. Weatherhead III and Richard W. 
Weatherhead Professor of Public Policy, Mr. Martin Faga, 
Representative of the National Academy of Public Administration 
and Chief Executive Officer of the Mitre Corporation, Dr. Ernst 
Volgenau, Representative of the Information Technology 
Association of America (ITAA) and President and Chief Executive 
Officer of SRA International, and Mr. Steve Rohleder, Managing 
Partner, Accenture.
    Generally, the comments of the government and private 
sector witnesses were highly supportive of the Tech Corps. Mr. 
James, Director of OPM, said that the Administration has had an 
interest in developing an exchange program for some time, and 
that it would create opportunities to improve services and 
business practices in thegovernment. Mr. Perry, the 
Administrator of GSA, also affirmed the Administration's support for a 
technology management exchange program and said that, ``I don't have a 
fear about Federal employees going out. In fact, * * * it will be a 
useful thing. The experience that they would gain and bring back [to 
government] would be very beneficial, no question about it.'' The 
Honorable David Walker, Comptroller General, stated that ``both sides 
benefit from the exchange of knowledge and experience.''
    Subcommittee Chairman Tom Davis noted at the hearing that 
not only was the Digital Tech Corps an effective way to fill 
critical skills gaps, but also an excellent retention tool for 
Federal employees. He stated ``We lose a lot of people because 
they are managed badly and go out [of government service]. I 
think Tech Corps can help with that. * * * It provides 
challenging work, giving people an opportunity to step outside 
of government for a year or two and see what it is like there, 
learning new, innovative techniques as part of a career path in 
government.''
    Throughout 2001, press, government, and private industry 
commented favorably on the legislation, in a number of articles 
(See, e.g., Stephen Barr, The Washington Post, ``Plan for 
Industry, Government to Exchange High-Tech Workers Picks Up 
Support'', August 1, 2001, Page B02).
    In February, 2002, Senator George Voinovich filed the 
Digital Tech Corps Act of 2002, S. 1913, an identical measure 
to H.R. 2678.
    On March 7, 2002, the Subcommittee on Technology and 
Procurement Policy held a hearing titled ``A Legislative 
Hearing on H.R. 3832, The Services Acquisition Reform Act of 
2002 (SARA).'' The SARA bill's section 103 contains an exchange 
program for acquisition workforce that is modeled after the 
Digital Tech Corps for the IT workforce. Ms. Deidre Lee, 
Director of Procurement, United States Department of Defense, 
commented favorably when she stated, ``We support a government-
industry exchange program. We believe that by tapping into the 
knowledge base of the private sector, we not only maximize the 
business relationships with our industry partners, but we can 
also improve the Department's acquisition process and 
procedures.''
    On March 14, 2002, the Committee held a business meeting 
and favorably reported the Digital Tech Corps Act of 2002, H.R. 
3925. Subcommittee Chairman Tom Davis and Committee Chairman 
Dan Burton authored the legislation.
    Prior to the business meeting, the Ranking Member of the 
Committee, Representative Henry Waxman, suggested several 
changes to add additional study and reporting measures into the 
bill as well as to raise the ethics bar for Tech Corps 
participants to a level above that required of Federal 
employees. These changes were reflected in the Manager's 
Amendment in the Nature of a Substitute adopted at the business 
meeting.
    An amendment also was offered at the business meeting by 
Ranking Member Waxman to create a program of continuing 
education for IT. This was rejected by the Committee on voice 
vote for lack of clearly defined goals or processes, a risk of 
unnecessarily duplicating existing governmentwide IT continuing 
training programs such as the CIO University, and the lack of a 
legislative record in support of the amendment.
    Changes adopted in the Manager's Amendment and subsequently 
approved by the Committee clarify that private sector employees 
in the exchange program under Sec. 3704 (i.e. those who work 
for private sector companies and volunteer to be assigned to a 
Federal agency via the Tech Corps), shall continue to receive 
pay and benefits from their private sector companies while on 
assignment, notwithstanding any other law.

                        Explanation of the Bill


                                overview

    The Digital Tech Corps Act of 2002 provides for the 
exchange of talented mid-level staff between leading-edge 
private sector organizations and government agencies engaged in 
best practices. The time period for this exchange is limited to 
six to 12 months with an optional one-year extension (maximum 
of two years). Federal employees participating in the program 
are required to fulfill service commitments to their agencies 
after participation in the program, and all participants must 
adhere to strict federal employee ethics rules. Employees 
retain pay and benefits from their respective employers while 
on assignment in the Digital Tech Corps.
    Section One. The Short Title of this Act is the ``Digital 
Tech Corps Act of 2002''.
    Section Two. In this section, the Committee finds that 
unless action is taken soon, there will be a crisis in the 
government's ability to deliver essential services to the 
American People. Indeed, by 2006, over 50% of the Federal 
Government's information technology workforce will be eligible 
to retire, creating a huge demand in the Federal Government for 
high-skill workers. This demand comes at the same time that the 
Information Technology Association of America reported in its 
2001 study that employers will need to fill over 900,000 new 
information technology jobs and will be unable to find 
qualified workers for nearly half of them.
    Despite efforts to increase flexibility in Federal 
agencies' employment practices, compensation issues continue to 
severely restrain recruitment for Federal agencies. An 
effective, efficient, and economical response to this crisis 
would be to create a vibrant, on-going exchange of personnel 
between the public and private sectors designed to share 
talent, expertise, and advances in management between leading 
edge businesses and Federal Agencies engaged in best practices.
    Section Three. This section creates the Digital Tech Corps 
as an information technology exchange program in a new Chapter 
37 of Subpart B of part III of title 5, United States Code.
    The Committee intends that this legislation is applicable 
only to executive branch agencies. In the legislation, a 
``detail'' has the meaning of either an assignment of an 
employee of a private sector company to a Federal agency, or it 
means an assignment of an employee of a Federal agency to a 
private sector company.
    In Sec. 3702, the Act sets forth the eligibility provisions 
for participation in the Digital Tech Corps. An IT exchange 
program under this Chapter is initiated via an agreement 
between the agency, the private sector organization, and the 
employee involved. Eligible employees are those that are (1) in 
IT management; (2) considered exceptional performers; and (3) 
expected to assume increased IT management responsibilities in 
the future. For employees detailed from the Federal Government, 
they must be in the GS 11-15 range and serving under career or 
career-conditional appointment (or the equivalent in the 
excepted service). Schedule C employees are prohibited from 
participation. A written agreement between the parties is 
required, and it must include, at a minimum, provisions that 
require that Federal employees must return to service of the 
Government for a period of not less than the length of the 
exchange (on penalty of paying the Government back the costs of 
their exchange).
    Assignments in the Digital Tech Corps can be terminated by 
the agency or the private sector organization involved, at any 
time, for any reason. The duration of exchange shall be for 6-
12 months with an extension of up to one additional year in 
3month increments (i.e., 2 years maximum). A sunset provision applies 
to this Act five years after it is enacted.
    The Committee believes the Digital Tech Corps' ability to 
meet the IT needs of agencies can be facilitated through the 
participation of the Chief Information Officers Council in the 
administration of the Digital Tech Corps, subject to the 
oversight and regulatory authority granted to the Office of 
Personnel Management in Sec. 3707. The CIO Council is comprised 
of the CIO's of all of the Federal Agencies and was established 
by executive order.
    Assignments of Federal employees to private sector 
organizations are governed by Sec. 3703. The Committee intends 
that these assignments of the Digital Tech Corps will be 
details of regular work assignment for participating Federal 
employees. Thus, a Federal employee who agrees to participate 
in the Digital Tech Corps remains a Federal employee while 
detailed to a private sector organization and retains 
uninterrupted pay, credits for step increases, retention, 
worker's compensation, sick and leave accrual, insurance, and 
retirement benefits. While on assignment, Federal employees 
also continue to be covered by the Federal Tort Claims Act and 
any other applicable tort liability statutes. Nothing about 
participation in the Digital Tech Corps should be detrimental 
to the Federal employee's career, livelihood, or benefits; 
rather, participation should be a part of advancing one's 
career in government.
    Federal employees in the Digital Tech Corps are eligible 
for travel and transportation cost reimbursements. These 
provisions allow agencies to fund the travel and transportation 
costs of Federal employees participating in the Digital Tech 
Corps.
    The assignment in the Digital Tech Corps of private sector 
employees to federal Government agencies is enacted by 
Sec. 3704. Private sector employees volunteering for the 
Digital Tech Corps are on detail from the private sector to 
Federal agencies. The Committee intends that, notwithstanding 
any other provision of law, private sector organizations with 
employees participating in the Digital Tech Corps will continue 
to provide pay and benefits to these employees while they are 
on detail to the government in the Digital Tech Corps.
    Private sector employees must adhere to strict Federal 
employee ethics, revolving door, and accountability provisions 
during and after their assignments in the Digital Tech Corps. 
Specifically, a private sector employee under Sec. 3704 is 
deemed a Federal Government employee for purposes of:
    1. The Hatch Act (Chapter 73). This puts a Tech Corps 
private sector volunteer that is detailed to a Federal agency 
under the provisions of the Hatch Act.
    2. 18 U.S.C. Sec. Sec. 201, 203, 205, 207, 208, 209, 603, 
606, 607, 643, 654, 1905, and 1913. These criminal law 
provisions apply to Digital Tech Corps participants and 
includes: (1) acting as a lobbyist (for 1 year after the 
exchange); (2) accepting bribes for official work; (3) aiding 
in the obtaining of contracts (1 year after); (4) suing the 
government (other than in the proper discharge of official 
duties); (5) revolving door activities; (6) financial conflicts 
of interest; (7) making political contributions; (8) 
intimidation to secure political contributions; (9) receipt of 
political contributions; (10) embezzlement; (11) disclosure of 
confidential information/trade secrets (for 3 years after 
detail); and (12) lobbying with appropriated moneys.
    3. 31 U.S.C. Sec. Sec. 1343, 1344, and 1349(b): These 
provisions set forth that Tech Corps detailees are forbidden to 
have government-funded transportation furnished for their use.
    4. Ethics in Government Act of 1978.
    5. Section 1043 of the Internal Revenue Code of 1986: This 
provision affects sale of property to resolve financial 
conflicts of interest and specifies how the IRS treats these 
sales.
    6. 41 U.S.C. 423 (Section 27 of the Office of Federal 
Procurement Policy Act). This provision prohibits Tech Corps 
detailees from disclosing procurement information, during and 
for 3 years after the detail.
    In Sec. 3705, the Committee expresses its intent that the 
Digital Tech Corps program should apply to IT workers and 
agencies in the District of Columbia Government.
    In Sec. 3706, the Act sets forth extensive reporting 
requirements by both the General Accounting Office and the 
Office of Personnel Management, including a study of all other 
existing exchange programs in the federal government (e.g. the 
IPA program).
    Finally, in Sec. 3707, the Act provides that OPM has 
regulatory jurisdiction over the Digital Tech Corps. In 
addition, the President may prescribe other regulations to 
govern the Digital Tech Corps program. The Act also makes 
technical and conforming amendments.
    The Committee expects that administrative, law enforcement, 
and judicial entities will be mindful that, notwithstanding any 
other law, the Act expressly allows for employees of private 
sector organizations to be assigned under the Digital Tech 
Corps to Federal agencies to work on appropriate governmental 
projects while retaining all pay and benefits from the private 
sector employer. Concurrently, the Act allows Federal agency 
employees to be assigned to private sector organizations and 
retain all pay and benefits from the federal government.

                        Compliance with Rule XI

    Pursuant to rule XI, 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 from those 
oversight activities are incorporated in the recommendations 
found in the bill and in the report.

                    Budget Analysis and Projections

    This Act provides for no new authorizations or budget 
authority or tax expenditures. Consequently, the provisions of 
section 308(a)(1) are not applicable.

            Cost Estimate of the Congressional Budget Office

    The cost estimate required by the Congressional Budget 
Office was timely submitted.

                                     U.S. Congress,
                               Congressional Budget Office,
                                    Washington, DC, March 18, 2002.
Hon. Dan Burton,
Chairman, Committee on Government Reform,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: As you requested, the Congressional 
Budget Office has prepared the enclosed cost estimate for H.R. 
3925, the Digital Tech Corps Act of 2002.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Matthew 
Pickford.
            Sincerely,
                                          Barry B. Anderson
                                    (For Dan L. Crippen, Director).
    Enclosure.

H.R. 3925--Digital Tech Corps Act of 2002

    H.R. 3925 would establish an exchange program between the 
federal government and the private sector to promote 
information technology management. The bill would allow the 
exchange of employees for up to two years between the public 
and private sectors to share information management talent and 
expertise. Private-sector employers could be reimbursed for all 
or part of the cost of their employees' assignment with the 
federal government. Alternatively, H.R. 3925 would allow for 
federal agencies to accept voluntary employment services.
    CBO estimates that implementing H.R. 3925 would not result 
in significant federal costs. A recent report by the General 
Accounting Office indicates that the demand for qualified 
information technology workers will exceed the supply, hence it 
is unlikely that private-sector employers will be willing to 
part with many such employees for extended periods. Any 
exchange of employees that involved reimbursement to the 
private sector would be subject to the availability of 
appropriated funds for salary, training, and educational 
expenses.
    H.R. 3925 would not affect direct spending or receipts, so 
pay-as-you-go procedures would not apply. The bill contains no 
intergovernmental or private-sector mandates as defined in the 
Unfunded Mandates Reform Act and would impose no costs on 
state, local, or tribal governments. The District of Columbia 
could benefit from provisions of the bill that would authorize 
employees in the Office of the Chief Technology Officer to be 
assigned to a private-sector organization or an employee of 
such organizations to be assigned to the Office.
    The CBO staff contacts for this estimate are Matthew 
Pickford (for federal costs), and Susan Sieg Tompkins (for the 
state and local impact). The estimate was approved by Peter H. 
Fontaine, Deputy Assistant Director for Budget Analysis 
Division.

                        Committee Recommendation

    On March 14, 2002, the Committee by voice vote favorably 
reported H.R. 3925, as amended, with the recommendation that 
that bill be agreed to and passed.

                     Inflationary Impact Statement

    In accordance with rule XI, clause 2(l)(4) of the Rules of 
the House of Representatives, this legislation is assessed to 
have no inflationary impact on prices and costs in the 
operation of the national economy.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) 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 5, UNITED STATES CODE

           *       *       *       *       *       *       *



                         PART III--EMPLOYEES

           *       *       *       *       *       *       *


                  Subpart B--Employment and Retention

      Authority for Employment......................................3101
     * * * * * * *
      Information Technology Exchange Program.......................3701
     * * * * * * *

                  Subpart B--Employment and Retention

                 CHAPTER 31--AUTHORITY FOR EMPLOYMENT

           *       *       *       *       *       *       *


                 SUBCHAPTER I--EMPLOYMENT AUTHORITIES

           *       *       *       *       *       *       *


Sec. 3111. Acceptance of volunteer service

  (a) * * *

           *       *       *       *       *       *       *

  (d) Notwithstanding section 1342 of title 31, the head of an 
agency may accept voluntary service for the United States under 
chapter 37 of this title and regulations of the Office of 
Personnel Management.

           *       *       *       *       *       *       *


          CHAPTER 37--INFORMATION TECHNOLOGY EXCHANGE PROGRAM

Sec.
3701. Definitions.
3702. General provisions.
3703. Assignment of employees to private sector organizations.
3704. Assignment of employees from private sector organizations.
3705. Application to Office of the Chief Technology Officer of the 
          District of Columbia.
3706. Reporting requirement.
3707. Regulations.

Sec. 3701. Definitions

  For purposes of this chapter--
          (1) the term ``agency'' means an Executive agency, 
        but does not include the General Accounting Office; and
          (2) the term ``detail'' means--
                  (A) the assignment or loan of an employee of 
                an agency to a private sector organization 
                without a change of position from the agency 
                that employs the individual, or
                  (B) the assignment or loan of an employee of 
                a private sector organization to an agency 
                without a change of position from the private 
                sector organization that employs the 
                individual,
        whichever is appropriate in the context in which such 
        term is used.

Sec. 3702. General provisions

  (a) Assignment Authority.--On request from or with the 
agreement of a private sector organization, and with the 
consent of the employee concerned, the head of an agency may 
arrange for the assignment of an employee of the agency to a 
private sector organization or an employee of a private sector 
organization to the agency. An eligible employee is an 
individual who--
          (1) works in the field of information technology 
        management;
          (2) is considered an exceptional performer by the 
        individual's current employer; and
          (3) is expected to assume increased information 
        technology management responsibilities in the future.
An employee of an agency shall be eligible to participate in 
this program only if the employee is employed at the GS-11 
level or above (or equivalent) and is serving under a career or 
career-conditional appointment or an appointment of equivalent 
tenure in the excepted service.
  (b) Agreements.--Each agency that exercises its authority 
under this chapter shall provide for a written agreement 
between the agency and the employee concerned regarding the 
terms and conditions of the employee's assignment. In the case 
of an employee of the agency, the agreement shall--
          (1) require the employee to serve in the civil 
        service, upon completion of the assignment, for a 
        period equal to the length of the assignment; and
          (2) provide that, in the event the employee fails to 
        carry out the agreement (except for good and sufficient 
        reason, as determined by the head of the agency from 
        which assigned) the employee shall be liable to the 
        United States for payment of all expenses of the 
        assignment.
An amount under paragraph (2) shall be treated as a debt due 
the United States.
  (c) Termination.--Assignments may be terminated by the agency 
or private sector organization concerned for any reason at any 
time.
  (d) Duration.--Assignments under this chapter shall be for a 
period of between 6 months and 1 year, and may be extended in 
3-month increments for a total of not more than 1 additional 
year, except that no assignment under this chapter may commence 
after the end of the 5-year period beginning on the date of the 
enactment of this chapter.
  (e) Assistance.--The Chief Information Officers Council, by 
agreement with the Office of Personnel Management, may assist 
in the administration of this chapter, including by maintaining 
lists of potential candidates for assignment under this 
chapter, establishing mentoring relationships for the benefit 
of individuals who are given assignments under this chapter, 
and publicizing the program.

Sec. 3703. Assignment of employees to private sector organizations

  (a) In General.--An employee of an agency assigned to a 
private sector organization under this chapter is deemed, 
during the period of the assignment, to be on detail to a 
regular work assignment in his agency.
  (b) Coordination With Chapter 81.--Notwithstanding any other 
provision of law, an employee of an agency assigned to a 
private sector organization under this chapter is entitled to 
retain coverage, rights, and benefits under subchapter I of 
chapter 81, and employment during the assignment is deemed 
employment by the United States, except that, if the employee 
or the employee's dependents receive from the private sector 
organization any payment under an insurance policy for which 
the premium is wholly paid by the private sector organization, 
or other benefit of any kind on account of the same injury or 
death, then, the amount of such payment or benefit shall be 
credited against any compensation otherwise payable under 
subchapter I of chapter 81.
  (c) Reimbursements.--The assignment of an employee to a 
private sector organization under this chapter may be made with 
or without reimbursement by the private sector organization for 
the travel and transportation expenses to or from the place of 
assignment, subject to the same terms and conditions as apply 
with respect to an employee of a Federal agency or a State or 
local government under section 3375, and for the pay, or a part 
thereof, of the employee during assignment. Any reimbursements 
shall be credited to the appropriation of the agency used for 
paying the travel and transportation expenses or pay.
  (d) Tort Liability; Supervision.--The Federal Tort Claims Act 
and any other Federal tort liability statute apply to an 
employee of an agency assigned to a private sector organization 
under this chapter. The supervision of the duties of an 
employee of an agency so assigned to a private sector 
organization may be governed by an agreement between the agency 
and the organization.

Sec. 3704. Assignment of employees from private sector organizations

  (a) In General.--An employee of a private sector organization 
assigned to an agency under this chapter is deemed, during the 
period of the assignment, to be on detail to such agency.
  (b) Terms and Conditions.--An employee of a private sector 
organization assigned to an agency under this chapter--
          (1) may, notwithstanding section 209 of title 18, 
        continue to receive pay and benefits from the private 
        sector organization from which he is assigned;
          (2) is deemed, notwithstanding subsection (a), to be 
        an employee of the agency for the purposes of--
                  (A) chapter 73;
                  (B) sections 201, 203, 205, 207, 208, 209, 
                603, 606, 607, 643, 654, 1905, and 1913 of 
                title 18;
                  (C) sections 1343, 1344, and 1349(b) of title 
                31;
                  (D) the Federal Tort Claims Act and any other 
                Federal tort liability statute;
                  (E) the Ethics in Government Act of 1978;
                  (F) section 1043 of the Internal Revenue Code 
                of 1986; and
                  (G) section 27 of the Office of Federal 
                Procurement Policy Act; and
          (3) is subject to such regulations as the President 
        may prescribe.
The supervision of an employee of a private sector organization 
assigned to an agency under this chapter may be governed by 
agreement between the agency and the private sector 
organization concerned. Such an assignment may be made with or 
without reimbursement by the agency for the pay, or a part 
thereof, of the employee during the period of assignment, or 
for any contribution of the private sector organization to 
employee benefit systems.
  (c) Coordination With Chapter 81.--An employee of a private 
sector organization assigned to an agency under this chapter 
who suffers disability or dies as a result of personal injury 
sustained while performing duties during the assignment shall 
be treated, for the purpose of subchapter I of chapter 81, as 
an employee as defined by section 8101 who had sustained the 
injury in the performance of duty, except that, if the employee 
or the employee's dependents receive from the private sector 
organization any payment under an insurance policy for which 
the premium is wholly paid by the private sector organization, 
or other benefit of any kind on account of the same injury or 
death, then, the amount of such payment or benefit shall be 
credited against any compensation otherwise payable under 
subchapter I of chapter 81.

Sec. 3705. Application to Office of the Chief Technology Officer of the 
                    District of Columbia

  (a) In General.--The Chief Technology Officer of the District 
of Columbia may arrange for the assignment of an employee of 
the Office of the Chief Technology Officer to a private sector 
organization, or an employee of a private sector organization 
to such Office, in the same manner as the head of an agency 
under this chapter.
  (b) Terms and Conditions.--An assignment made pursuant to 
subsection (a) shall be subject to the same terms and 
conditions as an assignment made by the head of an agency under 
this chapter, except that in applying such terms and conditions 
to an assignment made pursuant to subsection (a), any reference 
in this chapter to a provision of law or regulation of the 
United States shall be deemed to be a reference to the 
applicable provision of law or regulation of the District of 
Columbia, including the applicable provisions of the District 
of Columbia Government Comprehensive Merit Personnel Act of 
1978 (sec. 1-601.01 et seq., D.C. Official Code) and section 
601 of the District of Columbia Campaign Finance Reform and 
Conflict of Interest Act (sec. 1-1106.01, D.C. Official Code).
  (c) Definition.--For purposes of this section, the term 
``Office of the Chief Technology Officer'' means the office 
established in the executive branch of the government of the 
District of Columbia under the Office of the Chief Technology 
Officer Establishment Act of 1998 (sec. 1-1401 et seq., D.C. 
Official Code).

Sec. 3706. Reporting requirement

  (a) In General.--The Office of Personnel Management shall, 
not later than April 30 and October 31 of each year, prepare 
and submit to the Committee on Government Reform of the House 
of Representatives and the Committee on Governmental Affairs of 
the Senate a semiannual report summarizing the operation of 
this chapter during the immediately preceding 6-month period 
ending on March 31 and September 30, respectively.
  (b) Content.--Each report shall include, with respect to the 
6-month period to which such report relates--
          (1) the total number of individuals assigned to, and 
        the total number of individuals assigned from, each 
        agency during such period;
          (2) a brief description of each assignment included 
        under paragraph (1), including--
                  (A) the name of the assigned individual, as 
                well as the private sector organization and the 
                agency (including the specific bureau or other 
                agency component) to or from which such 
                individual was assigned;
                  (B) the respective positions to and from 
                which the individual was assigned, including 
                the duties and responsibilities and the pay 
                grade or level associated with each; and
                  (C) the duration and objectives of the 
                individual's assignment; and
          (3) such other information as the Office considers 
        appropriate.
  (c) Publication.--A copy of each report submitted under 
subsection (a)--
          (1) shall be published in the Federal Register; and
          (2) shall be made publicly available on the Internet.
  (d) Agency Cooperation.--On request of the Office, agencies 
shall furnish such information and reports as the Office may 
require in order to carry out this section.

Sec. 3707. Regulations

  The Director of the Office of Personnel Management shall 
prescribe regulations for the administration of this chapter.

                    Subpart C--Employee Performance

                         CHAPTER 41--TRAINING

           *       *       *       *       *       *       *


Sec. 4108. Employee agreements; service after training

  (a) * * *

           *       *       *       *       *       *       *

  [(d) For purposes of this section, ``training'' includes a 
private sector assignment of an employee participating in the 
Executive Exchange Program of the President's Commission on 
Executive Exchange.]

           *       *       *       *       *       *       *


          Subpart F--Labor-Management and Employee Relations

           *       *       *       *       *       *       *


            CHAPTER 73--SUITABILITY, SECURITY, AND CONDUCT

           *       *       *       *       *       *       *



                        SUBCHAPTER V--MISCONDUCT

           *       *       *       *       *       *       *



Sec. 7353. Gifts to Federal employees

  (a) * * *
  (b)(1) * * *

           *       *       *       *       *       *       *

  (4) Nothing in this section precludes an employee of a 
private sector organization, while assigned to an agency under 
chapter 37, from continuing to receive pay and benefits from 
such organization in accordance with such chapter.

           *       *       *       *       *       *       *

                              ----------                              


                    TITLE 18, UNITED STATES CODE

           *       *       *       *       *       *       *



                             PART I--CRIMES

           *       *       *       *       *       *       *


         CHAPTER 11--BRIBERY, GRAFT, AND CONFLICTS OF INTEREST

           *       *       *       *       *       *       *



Sec. 207. Restrictions on former officers, employees, and elected 
                    officials of the executive and legislative branches

  (a) * * *

           *       *       *       *       *       *       *

  (c) One-Year Restrictions on Certain Senior Personnel of the 
Executive Branch and Independent Agencies.--
          (1) * * *
          (2) Persons to whom restrictions apply.--(A) 
        Paragraph (1) shall apply to a person (other than a 
        person subject to the restrictions of subsection (d))--
                  (i) * * *
                  (iii) appointed by the President to a 
                position under section 105(a)(2)(B) of title 3 
                or by the Vice President to a position under 
                section 106(a)(1)(B) of title 3, [or]
                  (iv) employed in a position which is held by 
                an active duty commissioned officer of the 
                uniformed services who is serving in a grade or 
                rank for which the pay grade (as specified in 
                section 201 of title 37) is pay grade O-7 or 
                above[.]; or
                  (v) an employee of a private sector 
                organization assigned to an agency under 
                chapter 37 of title 5.

           *       *       *       *       *       *       *

  (l) Contract Advice by Former Details.--Whoever, being an 
employee of a private sector organization assigned to an agency 
under chapter 37 of title 5, within one year after the end of 
that assignment, knowingly represents or aids, counsels, or 
assists in representing any other person (except the United 
States) in connection with any contract with that agency shall 
be punished as provided in section 216 of this title.

           *       *       *       *       *       *       *


               CHAPTER 93--PUBLIC OFFICERS AND EMPLOYEES

           *       *       *       *       *       *       *


Sec. 1905. Disclosure of confidential information generally

  Whoever, being an officer or employee of the United States or 
of any department or agency thereof, any person acting on 
behalf of the Office of Federal Housing Enterprise Oversight, 
or agent of the Department of Justice as defined in the 
Antitrust Civil Process Act (15 U.S.C. 1311-1314), or being an 
employee of a private sector organization who is, or was within 
the past three years, assigned to an agency under chapter 37 of 
title 5, publishes, divulges, discloses, or makes known in any 
manner or to any extent not authorized by law any information 
coming to him in the course of his employment or official 
duties or by reason of any examination or investigation made 
by, or return, report or record made to or filed with, such 
department or agency or officer or employee thereof, which 
information concerns or relates to the trade secrets, 
processes, operations, style of work, or apparatus, or to the 
identity, confidential statistical data, amount or source of 
any income, profits, losses, or expenditures of any person, 
firm, partnership, corporation, or association; or permits any 
income return or copy thereof or any book containing any 
abstract or particulars thereof to be seen or examined by any 
person except as provided by law; shall be fined under this 
title, or imprisoned not more than one year, or both; and shall 
be removed from office or employment.

           *       *       *       *       *       *       *

                              ----------                              


     SECTION 27 OF THE OFFICE OF THE FEDERAL PROCUREMENT POLICY ACT

SEC. 27. RESTRICTIONS ON DISCLOSING AND OBTAINING CONTRACTOR BID OR 
                    PROPOSAL INFORMATION OR SOURCE SELECTION 
                    INFORMATION.

  (a) Prohibition on Disclosing Procurement Information.--(1) A 
person described in paragraph (2) shall not, other than as 
provided by law, knowingly disclose contractor bid or proposal 
information or source selection information before the award of 
a Federal agency procurement contract to which the information 
relates. In the case of an employee of a private sector 
organization assigned to an agency under chapter 37 of title 5, 
United States Code, in addition to the restriction in the 
preceding sentence, such employee shall not, other than as 
provided by law, knowingly disclose contractor bid or proposal 
information or source selection information during the three-
year period after the end of the assignment of such employee.

           *       *       *       *       *       *       *

                              ----------                              


               SECTION 125 OF THE ACT OF JANUARY 8, 1988

                          (Public Law 100-238)

AN ACT Making technical corrections relating to the Federal Employees' 
               Retirement System, and for other purposes

SEC. 125. ELIGIBILITY OF CERTAIN INDIVIDUALS TO PARTICIPATE IN THE 
                    THRIFT SAVINGS PLAN.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Applicability.--This section applies with respect to--
          (1) any individual participating in the Civil Service 
        Retirement System or the Federal Employees' Retirement 
        System as--
                  (A) * * *
                  (B) an individual assigned from a Federal 
                agency to a State or local government under 
                subchapter VI of chapter 33 of title 5, United 
                States Code; [or]
                  (C) an individual appointed or otherwise 
                assigned to one of the cooperative extension 
                services, as defined by section 1404(5) of the 
                National Agricultural Research, Extension, and 
                Teaching Policy Act of 1977 (7 U.S.C. 3103(5)); 
                [and] or
                  (D) an individual assigned from a Federal 
                agency to a private sector organization under 
                chapter 37 of title 5, United States Code; and

           *       *       *       *       *       *       *


           Additional Views of Representative Henry A. Waxman

    The majority has worked with me and other members of the 
minority to incorporate changes to H.R. 3925 which we 
suggested. This was done in good faith and many of our 
suggestions we adopted.
    However, I continue to have serious reservations about this 
bill. I believe that blurring the line between the public 
sector and the private sector creates unnecessary conflicts of 
interest. There has been an attempt to deal with these problems 
by applying conflict of interest rules to the private sector 
employees who enter the federal workforce. But I am not sure 
that these rules alone will prevent abuses.
    Further, under the bill as reported, a private sector 
employee, while working in the federal government, will have 
access to trade secrets of competitors and other sensitive 
commercial information. The bill expressly allows the private 
sector employee to disclose these trade secrets after just 
three years. I do not believe that this is wise public policy. 
Private sector employees should not have access to trade 
secrets or other sensitive nonpublic information that affects 
their private sector employer.
    I also have concerns about the precedent of sending federal 
employees, who are paid by the taxpayer, to work for private 
sector employers for up to two years. I think this could be a 
new and potentially egregious form of corporate welfare. Under 
this bill as written, we could have a new type of federal 
subsidy for industry: federal employees, paid with taxpayer 
money, could be sent to private corporations for up to two 
years to help those corporations with their information 
technology work.
    The majority maintains that this isn't a serious problem 
because the bill calls for an ``exchange'' of private sector 
workers for federal workers, so the cost of sending public 
workers to the private sector would be offset by the benefit of 
having private workers serve in the public sector. The problem 
is that there is no requirement for a one-to-one exchange in 
the bill. In fact, there are no limits at all on the number of 
federal workers who can be sent to the private sector.
    The majority also suggest that sending federal workers to 
the private sector makes sense because they will receive good 
``training.'' But again, there is no such requirement in the 
bill. Section 3702 of the bill states:

          On request from * * * a private sector organization, 
        * * * the head of an agency may arrange for the 
        assignment of an employee of the agency to a private 
        sector organization.

    There is no requirement that the assignment accomplish any 
training objective. This is a blank check to send federal 
workers, at taxpayer expense, to serve the private sector. The 
only precondition is that there be a request from the private 
sector.
    During the markup of this legislation, I offered an 
amendment to address this flaw. The amendment would have 
established a comprehensive training program for information 
technology workers, run by the Office of Personnel Management. 
This training program is a well though-out training program 
that is taken directly from H.R. 2458, which was introduced by 
the ranking member of the Subcommittee, Mr. Turner. The only 
change I have made to Mr. Turner's proposal is to add a 
provision that says explicitly that out-placements to the 
private sector can be included as part of the training program.
    The majority's stated position is that the exchange program 
for IT workers is a form of training, particularly when federal 
workers are going to the private sector. If that is the case, 
then the exchange program should be run by those with expertise 
in training, and who can properly place such a program in the 
context of the overall training needs of the federal 
government's IT workforce. That is exactly what my amendment 
would have done.
    Without my amendment, there are no limits on the program as 
written. Any number of well-paid senior managers--GS 11s to 
15s, making up to $107,357 a year--could be sent to private 
industry. The federal government could spend well over a 
million dollars on just five people for this type of 
``training.''
    Everyone agrees that there is a need for more training. A 
recent report by the National Academy of Public Administration 
found that one of the major problems in the federal IT 
workforce was a ``lack of investment in continuous learning 
within the federal government. This failure is especially 
problematic in the dynamic and rapidly changing world of IT. 
Such an environment makes it essentially to invest in people.'' 
My amendment would have directly addressed this lack of 
training while placing commonsense limits on the placement of 
federal employees in the private sector.
    I also remain concerned about the possibility that the cost 
of private sector workers coming into the federal sector may 
ultimately be borne by the taxpayer. Under the bill, employees 
from the private sector would continue to be paid by their 
company while on detail to the federal government. 
Unfortunately, the costs of private sector employees' salary 
and benefits while on detail could be billed back to the 
federal government as overhead on certain contracts. This is 
clearly contrary to the spirit of the bill and should be 
corrected before final passage.

                                                   Henry A. Waxman.

                                  
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