[Senate Report 111-351]
[From the U.S. Government Publishing Office]


111th Congress                                                   Report
                                 SENATE
 2d Session                                                     111-351
_______________________________________________________________________

                                     

                                                       Calendar No. 647

 
     CENSUS OVERSIGHT EFFICIENCY AND MANAGEMENT REFORM ACT OF 2010

                               __________

                              R E P O R T

                                 of the

                   COMMITTEE ON HOMELAND SECURITY AND

                          GOVERNMENTAL AFFAIRS

                          UNITED STATES SENATE

                              to accompany

                                S. 3167

  TO AMEND TITLE 13 OF THE UNITED STATES CODE TO PROVIDE FOR A 5-YEAR 
 TERM OF OFFICE FOR THE DIRECTOR OF THE CENSUS AND TO PROVIDE FOR THE 
AUTHORITY AND DUTIES OF THE DIRECTOR AND DEPUTY DIRECTOR OF THE CENSUS, 
                         AND FOR OTHER PURPOSES




               November 18, 2010.--Ordered to be printed

        COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS

               JOSEPH I. LIEBERMAN, Connecticut, Chairman
CARL LEVIN, Michigan                 SUSAN M. COLLINS, Maine
DANIEL K. AKAKA, Hawaii              TOM COBURN, Oklahoma
THOMAS R. CARPER, Delaware           SCOTT P. BROWN, Massachusetts
MARK L. PRYOR, Arkansas              JOHN McCAIN, Arizona
MARY L. LANDRIEU, Louisiana          GEORGE V. VOINOVICH, Ohio
CLAIRE McCASKILL, Missouri           JOHN ENSIGN, Nevada
JON TESTER, Montana                  LINDSEY GRAHAM, South Carolina
ROLAND W. BURRIS, Illinois
CHRISTOPHER A. COONS, Delaware

                  Michael L. Alexander, Staff Director
                     Kevin J. Landy, Chief Counsel
               Kristine V. Lam, Professional Staff Member
     Velvet D. Johnson, Counsel, Subcommittee on Federal Financial 
Management, Government Information, Federal Services, and International 
                                Security
     Brandon L. Milhorn, Minority Staff Director and Chief Counsel
                   Jennifer L. Tarr, Minority Counsel
  Alan S. Elias, Minority Professional Staff Member, Subcommittee on 
Federal Financial Management, Government Information, Federal Services, 
                       and International Security
                  Trina Driessnack Tyrer, Chief Clerk


                            C O N T E N T S

                              ----------                              
                                                                   Page
  I. Purpose and Summary..............................................1
 II. Background and Need for Legislation..............................2
III. Legislative History..............................................6
 IV. Section-by-Section Analysis......................................6
  V. Evaluation of Regulatory Impact..................................9
 VI. Congressional Budget Office Cost Estimate........................9
VII. Changes in Existing Law Made by the Bill, as Reported............9


                                                       Calendar No. 647
111th Congress                                                   Report
                                 SENATE
 2d Session                                                     111-351

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




     CENSUS OVERSIGHT EFFICIENCY AND MANAGEMENT REFORM ACT OF 2010

                                _______
                                

               November 18, 2010.--Ordered to be printed

                                _______
                                

Mr. Lieberman, from the Committee on Homeland Security and Governmental 
                    Affairs, submitted the following

                              R E P O R T

                         [To accompany S. 3167]

    The Committee on Homeland Security and Governmental 
Affairs, to which was referred the bill (S. 3167) to amend 
title 13 of the United States Code to provide for a 5-year term 
of office for the Director of the Census and to provide for the 
authority and duties of the Director and Deputy Director of the 
Census, and for other purposes, having considered the same, 
reports favorably thereon with an amendment and recommends that 
the bill, as amended, do pass.

                         I. Purpose and Summary

    Recent decennial censuses have been plagued by poor 
planning, poor management and poor implementation, problems due 
at least in part to the failure of the Commerce Department--the 
agency which houses the Census Bureau--to pay adequate 
attention to this critical and constitutionally mandated 
function. S. 3167 seeks to address these problems by bringing 
much needed stability of leadership and organizational reform 
to the Census Bureau. Specifically, S. 3167 would create a term 
appointment for the Director of the Census Bureau, authorize a 
structural reorganization that would grant the Director direct 
access to the Secretary of Commerce, and require the Census 
Bureau to share its budget request with Congress to ensure 
adequate financial support for the planning and preparation of 
the census.

                II. Background and Need for Legislation

    For the past 220 years, the Constitution has required the 
government to count our nation's population every ten years.\1\ 
The responsibility for that endeavor--known as the decennial 
census--has long fallen to the Census Bureau (the Bureau), an 
agency housed in the Department of Commerce. Although the 
Constitution requires only a head count made for the purposes 
of apportioning seats in the House of Representatives, Congress 
over the years has added to both the decennial census and 
numerous other Bureau surveys a far broader range of statistic 
collecting responsibilities. The Bureau now gathers vital 
economic and demographic data that policy makers at all levels 
of government and private businesses rely on for a myriad of 
purposes, including distributing federal funding for a variety 
of civic programs and public works efforts; drawing federal, 
state, and local legislative districts; and enterprise planning 
and investment.
---------------------------------------------------------------------------
    \1\U.S. Constitution, Article I, Sec. 2.
---------------------------------------------------------------------------
    Collecting all of this information and ensuring its 
reliability is a critical, challenging and highly complicated 
task. It requires great focus and active and sustained 
management, especially when it comes to the decennial census, 
which has rightly earned the moniker of our nation's largest 
peacetime mobilization.
    Despite its critical importance, poor planning and 
management have marked the decennial census, unnecessarily 
raising both the survey's costs and the risk that it will not 
accurately do what it is required to do. The Government 
Accountability Office (GAO), for one, has long labeled the 
decennial census ``at risk,'' and concerns over the head 
count's accuracy have caused great controversy under Democratic 
and Republican administrations alike. Most recently, the 2010 
Census encountered serious operational and management 
challenges that not only threatened to jeopardize its success, 
but also increased the total cost of the census to an estimated 
$12.9 billion, making it the most expensive census in the 
nation's history.\2\
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    \2\The initial cost estimate of the 2010 Census was $14.5 billion; 
however, the Census came in twenty-two percent under budget, resulting 
in a net savings of $1.6 billion. U.S. Department of Commerce. ``U.S. 
Commerce Secretary Gary Locke Announces $1.6 Billion in 2010 Census 
Savings.'' August 10, 2010. http://www.commerce.gov/news/press-
releases/2010/08/10/us-commerce-secretary-secretary-gary-locke-
announces-16-billion-2010.
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    Planning for the decennial census takes years, and each 
planning cycle brings about its own set of challenges. The 1990 
Census was the first census since 1940 that was less accurate 
than the one before it.\3\ Ten years later, the 2000 Census 
continued to yield a widespread undercount that 
disproportionately affected minorities and the poor.\4\
---------------------------------------------------------------------------
    \3\GAO, 2010 Census: Data Collection Is Under Way, but Reliability 
of Key Information Technology Systems Remains a Risk, GAO-10-567T 
(Washington, D.C.: Mar. 2010).
    \4\GAO, 2010 Census: The Bureau's Plans for Reducing the Undercount 
Show Promise, but Key Uncertainties Remain, GAO-08-1167T (Washington, 
D.C.: Sept. 2009).
---------------------------------------------------------------------------
    While previous decennial censuses relied on a paper-based 
operation, the Bureau planned to make greater use of automation 
in conducting the 2010 Census. GAO and the Department of 
Commerce's Office of Inspector General raised concerns early on 
about the Census Bureau's efforts to automate census operations 
and manage the contractors hired to perform the work, but the 
Census Bureau failed to take any meaningful action to address 
these concerns. In a 2004 audit, GAO found that management had 
failed to create a comprehensive project plan with information 
on operational milestones, measurable performance goals, and 
costs.\5\
---------------------------------------------------------------------------
    \5\GAO, 2010 Census: Cost and Design Issues Need to Be Addressed 
Soon, GAO-04-37 (Washington, D.C.: Jan. 2004).
---------------------------------------------------------------------------
    Similarly, the Inspector General (IG) noted that the Census 
Bureau was not prepared to manage the major information 
technology contracts needed to automate the 2010 Census. The IG 
found weaknesses in the Bureau's ability to define complete and 
verifiable system requirements, prepare the solicitation, 
select a competent contractor, and oversee contractor 
performance to ensure systems were fully developed, tested, and 
finalized before operations began.\6\
---------------------------------------------------------------------------
    \6\Department of Commerce, Office of Inspector General, U.S. Census 
Bureau Improving our Measure of America: What the 2004 Census Test Can 
Teach Us in Planning for the 2010 Decennial Census (Sept. 2004) (OIC-
16949).
---------------------------------------------------------------------------
    In March 2006, the Bureau awarded a $596 million contract 
to the Harris Corporation for the development of a Field Data 
Collection Automation (FDCA) system.\7\ The contract required 
Harris to provide automated resources for supporting field data 
collection, including the provision of handheld computers for 
two major decennial operations: (1) identifying and correcting 
addresses for all known living quarters\8\ (2) and collecting 
information from households that failed to return census 
questionnaires.\9\ The Bureau believed the handheld computers 
would reduce the amount of paper used, process data in real 
time, and improve the quality of the data while reducing the 
cost of the decennial census.
---------------------------------------------------------------------------
    \7\Harris Corporation. ``Harris Corporation Selected for $600 
Million U.S. Census Bureau Field Data Collection Automation Program.'' 
(March 30, 2006) http://www.harris.com/
view_pressrelease.asp?act=lookup≺_id=1818.
    \8\This operation is known as address canvassing.
    \9\This operation is often referred to as non-response follow up or 
(NRFU).
---------------------------------------------------------------------------
    Problems with the FDCA contract arose shortly after it was 
executed. In October 2007, GAO reported that the Census Bureau 
had made several changes to the requirements of the contract 
that contributed to both cost increases and schedule delays of 
the FDCA program.\10\ Due to ongoing weaknesses in the Bureau's 
management of information technology (including the Bureau's 
failure to fully specify how it would measure the performance 
of the handheld devices), uncertainty of cost estimates, and 
the Bureau's decision to drop testing of several operations 
critical in conducting the 2010 Census, GAO designated the 2010 
Census a high-risk area in March 2008.\11\
---------------------------------------------------------------------------
    \10\GAO, Information Technology: Census Bureau Needs to Improve Its 
Risk Management of Decennial Systems, GAO-08-79 (Washington, D.C.: Oct. 
2007).
    \11\GAO, Information Technology: Significant Problems of Critical 
Automation Program Contribute to Risks Facing 2010 Census, GAO-08-550T 
(Washington, D.C.: Mar. 5, 2008).
---------------------------------------------------------------------------
    In April 2008, the Department of Commerce and the Bureau 
announced that the FDCA contract was likely to incur 
significant cost overruns and schedule delays and the handheld 
computers were unlikely to be fully operational in time for use 
during the non-response follow up operation of the 2010 Census. 
Thus, the Bureau decided to redesign the FDCA program to use 
the handheld computers for address canvassing, but to revert to 
``pen and paper'' methods for its non-respondent follow-up 
operation. These last minute design changes increased the total 
estimated cost of the 2010 Census from $11.5 billion to 
approximately $12.9 billion.\12\
---------------------------------------------------------------------------
    \12\GAO, 2010 Census: Data Collection Is Under Way, but Reliability 
of Key Information Technology Systems Remains a Risk, GAO-10-567T 
(Washington, D.C.: Mar. 2010).
---------------------------------------------------------------------------
    These technological challenges were further exacerbated by 
the organizational difficulties confronting the Census Bureau. 
In addition to the demanding planning and implementation tasks 
that the Census Bureau routinely faces as it moves closer to 
enumeration, the Bureau's 2010 operations were further hampered 
by the disruptions associated with frequent changes in 
leadership over the decade.
    Censuses by their nature cannot be fully designed and fully 
executed in a short period of time, but the 2010 Census 
experienced several changes in leadership and vast spans of 
time with acting or interim Directors which further put the 
operation at risk. In the 27 months leading up to Census Day 
(April 1, 2010), the Bureau had three different Senate-
confirmed heads. The Bureau's latest Director, Dr. Robert 
Groves, was confirmed by the Senate on July 13, 2009, just 
seven months before the start of the 2010 Census. Moreover, the 
2010 Census became the fifth of the last seventh censuses to be 
led by a director appointed just months before the event.
    S. 3167 seeks to minimize the operational problems that the 
lack of steady leadership and management helped cause in prior 
decennials. The bill would make the Director of the Census 
Bureau a Presidential Term appointment of five years. Under 
current law, the Director has no fixed term, but serves at the 
pleasure of the President. This has been extremely problematic 
given that the Census Bureau operates on a 10-year cycle, split 
into two five-year phases--planning and operational--creating 
the need to ensure continuity across administrations.
    Consequently, as the Bureau faces its largest project, the 
prior census is often conducted by a prior administration. The 
only institutional memory related to how to run a census rests 
in career employees at the Census Bureau. This cycle also means 
that every 20 years--as has occurred recently--the Director of 
the Census Bureau is a Presidential appointee of a President 
inaugurated in January of the year ending in `9.' That Director 
is not in office in time to have any role in the planning of 
the census he or she is charged to direct.
    A fixed term would also signal that the Census Directorship 
is a scientific rather than political position, as is the case 
for the head of other statistical agencies such as the Bureau 
of Labor Statistics and the National Center for Education 
Statistics.\13\ These too are presidential appointments, but 
have fixed terms. In fact, among all high level presidential 
appointees with scientific responsibilities, the Census Bureau 
Director is unique in not having a fixed term.\14\
---------------------------------------------------------------------------
    \13\The Bureau of Labor Statistics and the National Center for 
Education Statistics have heads who are appointed and confirmed to 
fixed terms of 4 and 6 years, respectively (29 U.S.C. Sec. 3 and 20 
U.S.C. Sec. 9517(b)).
    \14\13 U.S.C. Sec. 21.
---------------------------------------------------------------------------
    To further ensure the independence of the Census Bureau, 
the bill authorizes the Director to report directly to the 
Secretary of Commerce without being required to report through 
any other official at the Department. Under current law, the 
Census Bureau is housed within the Department of Commerce and 
is required to report to the head of the Economic and 
Statistics Administration (ESA), a subagency comprised of both 
Census and the Bureau of Economic Analysis (BEA).
    The Commerce Department is responsible for many activities 
and several very large agencies. For the Commerce Department, 
the importance of the Census Bureau waxes and wanes, peaking as 
the Decennial approaches but then drifting down the 
Department's priority list.\15\ The Census Bureau, however, 
conducts extensive preparatory activities for the Decennial 
Census during the entire decade preceding it. Having direct 
access to the Secretary provides the Census Bureau with greater 
attention from departmental policy makers, as well as the 
opportunity to present the case for new statistical initiatives 
and budgetary resources to the secretary directly.
---------------------------------------------------------------------------
    \15\Senate Committee on Homeland Security and Governmental Affairs, 
Testimony of Dr. Barbara E. Bryant, Lessons Learned: How the 
Administration Can Achieve an Accurate and Cost-Effective Census (March 
5, 2009).
---------------------------------------------------------------------------
    The other major provision of the bill requires the Bureau 
to share with Congress the budget request it submits to 
Commerce prior to the request's submission to the Office of 
Management and Budget (OMB). The Census budget is cyclical and 
must increase dramatically in the years preceding the census to 
pay for necessary preparations. These preparations include 
opening early local offices, hiring temporary headquarters and 
regional staff, printing hundreds of millions of forms, 
verifying local addresses across the country, and conducting 
promotional activities.
    This provision enables the Bureau to better inform Congress 
of its budgetary needs early on while allowing Congress to gain 
a better assessment of the Bureau's needs as the final 
preparations for decennial operations begin. Further, it also 
provides Congress with prompt notification of operational 
problems, similar to those experienced with the handheld 
computers, which could result in significant emergency 
expenditures.\16\
---------------------------------------------------------------------------
    \16\Congress provided the Bureau with nearly $7.1 billion in 
emergency spending for 2010 decennial census operations in the 
Legislative Branch Appropriations Act, 2010 (P.L. 111-68).
---------------------------------------------------------------------------
    The bill also grants the Census Director the authority to 
submit legislative recommendations, testimony, or comments to 
Congress without being subjected to prior review by 
Administration officials. As the nation's largest general-
purpose statistical agency, a widely acknowledged position of 
independence is necessary for the Bureau to have credibility 
and to carry out its function to provide an unhindered flow of 
useful, high-quality information to its data users. Without the 
credibility that comes from a strong degree of independence, 
users may lose trust in the accuracy and objectivity of the 
agency's data, and data providers may become less willing to 
cooperate with agency requests. In essence, the Bureau must be 
insulated from those parts of the Department carrying out 
policy-making activities. It must be impartial and avoid even 
the appearance that its collection, analysis, and reporting 
processes might be manipulated for political purposes.
    Lastly, the bill requires the Census Bureau to re-examine 
the use of the internet as a public response option for the 
2020 Count. As part of its 2010 design, the Bureau originally 
included internet functionality as part of its Decennial 
Response Integration System (DRIS) contract, a system that was 
to collect data from all sources--census forms, telephone 
interviews, the internet and, at one time, handheld computers--
and provide the information to other bureau systems for 
analysis and processing. In May 2006, however, the bureau 
announced that the internet response option was no longer a 
requirement of DRIS contract, which was facing delays. The 
Bureau said it removed the internet requirement from the 
contract partly because of the potential risks associated with 
computer security attacks.
    The Committee believes that the Bureau should develop plans 
for internet use early enough in the decade so that security 
risks can be effectively mitigated. Studies conducted by the 
National Academy of Sciences all conclude that the use of the 
internet for data collection in the decennial census presents 
important opportunities for cost reductions and improvements in 
data quality. These include cost savings through the reduction 
in the number of forms that have to be scanned or keyed for 
data entry, as well as savings in field work as a result of 
more prompt receipt of individual data.\17\
---------------------------------------------------------------------------
    \17\National Research Council. Experimentation and Evaluation Plans 
for the 2010 Census: Interim Report. Panel on the Design of the 2010 
Census Program of Evaluations and Experiments, Lawrence D. Brown, 
Michael L. Cohen, and Daniel L. Cork, editors. Committee on National 
Statistics, Division of Behavioral and Social Sciences and Education. 
Washington, DC: The National Academies Press (2008).
---------------------------------------------------------------------------
    These reforms would, in sum, help ensure that the Census 
Bureau avoids the operational challenges experienced during 
past decennials while enjoying the independence of governance 
that will best enable it to perform its essential function of 
producing an accurate and cost-effective headcount.

                        III. Legislative History

    S. 3167 was introduced by Senator Carper and Senator Coburn 
on March 25, 2010, read twice, and then referred to the 
Committee on Homeland Security and Governmental Affairs. The 
Committee considered S. 3167 on April 28, 2010. The Committee 
ordered the bill reported favorably by voice vote, as amended 
by one amendment offered by Senator Coburn. The amendment 
states that the Census director must have demonstrated the 
ability to manage large organizations, and it lengthens the 
time period for submission of reasons for removal of a Census 
director by the president from thirty to sixty days prior to 
removal. Members present for votes on the bill and on the 
Coburn amendment were Senators Lieberman, Akaka, Carper, Pryor, 
Burris, Kaufman, Collins, Coburn, McCain, and Graham.

                    IV. Section-by-Section Analysis


Section 1. Short title

    This section states that this measure may be cited as the 
``Census Oversight Efficiency and Management Reform Act of 
2010.''

Section 2. Authorities and duties of the Director and Deputy Director 
        of the Census

    Section 2 of the bill amends 13 U.S.C. Sec. 21. The section 
references below are to that U.S. Code provision.
    Section 21(a) strikes the current language in 13 U.S.C. 
Sec. 21 and inserts instead definitions for ``Director,'' 
``Deputy Director,'' and ``function.'' Director is defined as 
Director of the Census; Deputy Director as Deputy Director of 
the Census; and function is specified to include any duty, 
obligation, power, authority, responsibility, right, privilege, 
activity, or program.
    Section 21(b)(2) maintains the requirement that the 
Director be appointed by the President, subject to Senate 
confirmation, while adding a requirement that nominees possess 
demonstrated ability in management and experience in data 
collection, analysis, and use. The section authorizes the 
Director to report directly to the Secretary of Commerce and 
precludes any other officer or federal agency from requiring 
the Director to submit legislative recommendations, testimony, 
or comments for review before their submission to Congress if 
the material includes a statement indicating that it expresses 
the Bureau's views and not necessarily the President's.
    Section 21(b)(3) creates a five-year term of office for the 
Director, beginning on January 5, 2012 and states that the 
Director may not serve more than two full terms. This section 
further provides that the tenure of anyone appointed to fill a 
vacancy in the middle of a term lasts only until the end of 
that term (subject to reappointment). The Director may continue 
to serve after his or her term has ended, until either he or 
she is reappointed or a successor is appointed, but in no event 
for more than one additional year. The President may remove the 
Director from office, but must communicate reasons for the 
removal to both House of Congress sixty days prior to doing so.
    Section 21(b)(4) states that the Director shall be 
responsible for the exercise of all powers and the discharge of 
all duties of the Bureau. This section further provides that 
the Director has authority and control over all personnel and 
activities of the Bureau. This authority includes the power to 
appoint the Deputy Director (who, under Section 21(b)(10), must 
be a career employee). Currently, the Commerce Secretary, not 
the Director, appoints the Deputy Director.
    Section 21(b)(5) specifies that the Director may establish, 
alter, consolidate, or discontinue organizational units or 
components within the Bureau as deemed necessary or 
appropriate, except those units or components established by 
law.
    Section 21(b)(6) gives the Director the authority to 
establish advisory committees to provide advice about any of 
his or her functions. Advisory committee members would serve 
without pay, but, in accordance with 5 U.S.C. 5703, could have 
their transportation expenses covered and receive a per diem in 
lieu of subsistence.
    Section 21(b)(7) authorizes the Director, in consultation 
with the Commerce Secretary, to prescribe such rules and 
regulations as the Director deems necessary or appropriate to 
carry out the functions of his or her directorship. This 
section is intended to allow the Director to issue rules and 
regulations in order to mitigate or resolve issues that may 
arise during the course of data collection. This authority is 
not intended to authorize the Director to waive any current law 
such as Title 13 or the Administrative Procedure Act (P.L. 79-
404).
    Section 21(b)(8) provides that the Director may assign 
duties, and delegate, or authorize successive redelegations of 
authority to act and render decisions to officers and employees 
of the Bureau. This section further states that within the 
limitations of such assignments, delegations, or re-
delegations, all official acts and decisions of such officers 
and employees shall have the same force and effect as though 
performed or rendered by the Director.
    Section 21(b)(9) requires the Census Director to provide 
budget information to the appropriate Congressional Committees 
at the time the Director submits a budget request to the 
Commerce Secretary to be included in the President's budget 
request, but prior to the Commerce Department's budget request 
submission to OMB.
    Section 21(b)(10) provides that there be a Deputy Director 
of the Census, who shall serve at the pleasure of the Director 
and perform such functions as the Director shall designate. The 
position of Deputy Director shall be a career reserved 
position. This section further outlines the transition rules 
for the appointment of the initial Census Director. The initial 
Director shall be appointed in accordance with the provisions 
in Section 21(b) of Title 13. However, if as of January 1, 
2012, the initial Director has not taken office, the officer 
serving on December 31, 2011 shall remain in this position 
until the initial Director has taken office and report directly 
to the Secretary of Commerce.

Section 3. Internet response option

    This section provides that, within 180 days after enactment 
of this Act, the Director is to give Congress a plan on how the 
Bureau will test, develop, and implement an option for internet 
responses to the 2020 census and the American Community Survey. 
The plan is to include a description of how and when the 
feasibility of internet responses will be tested, which 
stakeholders will be consulted, what data will be collected, 
when they will be collected, and how they will be protected.

Section 4. Annual reports

    This section amends Subchapter 1 of chapter 1 of Title 13 
of the U.S. Code by adding ``annual reports'' as a new section. 
It further provides that, no later than the date the 
President's budget request is submitted for a fiscal year under 
31 U.S.C. 1105, the Director is to give the appropriate 
congressional committees a comprehensive status report on the 
next decennial census, beginning with the 2020 census. Each 
report is to include the following information: (1) a 
description of the Bureau's performance goals and performance 
measures for each significant decennial operation; (2) an 
assessment of the risks associated with each operation, 
including the interrelationships among the operations and 
mitigation plans; (3) detailed estimates of milestones for each 
operation, including estimated testing dates, and justification 
for any changes to the estimates; (4) updated life-cycle cost 
estimates for the decennial census, including sensitivity 
analysis and an explanation of significant changes in the 
assumptions underlying the estimates; (5) a detailed 
description of all contracts over $50 million entered into for 
each significant decennial operation. In addition, this 
subsection specifies that the term `significant decennial 
operation' includes any program or information technology 
related to: (1) developing an accurate address list; (2) data 
collection, processing, and dissemination; (3) recruiting and 
hiring temporary employees; (4) marketing, communications, and 
partnerships; and (5) coverage measurement.

                  V. Regulatory Impact and Evaluation

    Pursuant to the requirement of paragraph 11(b)(1) of rule 
XXVI of the Standing Rules of the Senate, the Committee has 
considered the regulatory impact of this bill. CBO states that 
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.

             VI. Congressional Budget Office Cost Estimate

                                                     June 17, 2010.
Hon. Joseph I. Lieberman,
Chairman, Committee on Homeland Security and Governmental Affairs, U.S. 
        Senate, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for S. 3167, the Census 
Oversight Efficiency and Management Reform Act of 2010.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Susan Willie.
            Sincerely,
                                              Douglas W. Elmendorf.
    Enclosure.

S. 3167--Census Oversight Efficiency and Management Reform Act of 2010

    S. 3167 would amend current law to provide for a five-year 
term of office for the Director of the Census and to specify 
the authority and duties of both the Director and Deputy 
Director. The bill also would require the Bureau of the Census 
to plan for an Internet response option for the 2020 Census and 
for the American Community Survey. Finally, S. 3167 would 
require the bureau to prepare an annual report for the Congress 
on the status of the next decennial census.
    Based on information from the Bureau of the Census, CBO 
estimates that implementing the provisions of S. 3167 would not 
significantly increase spending subject to appropriation 
because efforts to plan for an Internet response option are 
already underway. Enacting S. 3167 would not affect direct 
spending or revenues; therefore, pay-as-you-go procedures would 
not apply.
    S. 3167 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would not affect the budgets of state, local, or tribal 
governments.
    The CBO staff contact for this estimate is Susan Willie. 
The estimate was approved by Theresa Gullo, Deputy Assistant 
Director for Budget Analysis.

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

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, changes in existing law made by 
S. 3167 as reported are shown as follows (existing law proposed 
to be omitted is enclosed in brackets, new matter is printed in 
italic, and existing law in which no change is proposed is 
shown in roman):
Title: To amend Title 13 of the United States Code to provide 
for a 5-year term of office for the Director of the Census and 
to provide for the authority and duties of the Director and 
Deputy Director of the Census, and for other purposes.

                            TITLE 13--CENSUS

                       CHAPTER 1--ADMINISTRATION


                 Subchapter II--Officers and Employees


SEC. 21. DIRECTOR OF THE CENSUS; DEPUTY DIRECTOR OF THE CENSUS; 
                    AUTHORITY; AND DUTIES.

    (a) Definitions.--As used in this section--
          (1) `Director' means the Director of the Census;
          (2) `Deputy Director' means the Deputy Director of 
        the Census; and
          (3) `function' includes any duty, obligation, power, 
        authority, responsibility, right, privilege, activity, 
        or program.
    (b) Director of the Census.--
          (1) Appointment.--
                  (A) In general.--The Bureau shall be headed 
                by a Director of the Census, appointed by the 
                President, by and with the advice and consent 
                of the Senate. The Director shall perform such 
                duties as may be imposed upon him by law, 
                regulations, or orders of the Secretary.
                  (B) Qualifications.--Such appointment shall 
                be made from individuals who have a 
                demonstrated ability in management and 
                experience in the collection, analysis, and use 
                of statistical data.
          (2) General authority and duties.--
                  (A) In general.--The Director shall report 
                directly to the Secretary without being 
                required to report through any other official 
                of the Department of Commerce.
                  (B) Duties.--The Director shall perform such 
                duties as may be imposed upon the Director by 
                law, regulations, or orders of the Secretary.
                  (C) Independence of director.--No officer or 
                agency of the United States shall have any 
                authority to require the Director to submit 
                legislative recommendations, or testimony, or 
                comments for review prior to the submission of 
                such recommendations, testimony, or comments to 
                Congress if such recommendations, testimony, or 
                comments to Congress include a statement 
                indicating that the views expressed therein are 
                those of the Bureau and do not necessarily 
                represent the views of the President.
          (3) Term of office.--
                  (A) In general.--The term of office of the 
                Director shall be 5 years, and shall begin on 
                January 1, 2012, and every fifth year 
                thereafter. An individual may not serve more 
                than 2 full terms as Director.
                  (B) Vacancies.--Any individual appointed to 
                fill a vacancy in such position, occurring 
                before the expiration of the term for which 
                such individual's predecessor was appointed, 
                shall be appointed for the remainder of that 
                term. The Director may serve after the end of 
                the Director's term until reappointed or until 
                a successor has been appointed, but in no event 
                longer than 1 year after the end of such term.
                  (C) Removal.--An individual serving as 
                Director may be removed from office by the 
                President. The President shall communicate in 
                writing the reasons for any such removal to 
                both Houses of Congress not later than 30 days 
                before the removal.
          (4) Functions.--The Director shall be responsible for 
        the exercise of all powers and the discharge of all 
        duties of the Bureau, and shall have authority and 
        control over all personnel and activities thereof.
          (5) Organization.--The Director may establish, alter, 
        consolidate, or discontinue such organizational units 
        or components within the Bureau as the Director 
        considers necessary or appropriate, except that this 
        paragraph shall not apply with respect to any unit or 
        component provided for by law.
          (6) Advisory committees.--The Director may establish 
        advisory committees to provide advice with respect to 
        any function of the Director. Members of any such 
        committee shall serve without compensation, but shall 
        be entitled to transportation expenses and per diem in 
        lieu of subsistence in accordance with section 5703 of 
        title 5.
          (7) Regulations.--The Director may, in consultation 
        with the Secretary, prescribe such rules and 
        regulations as the Director considers necessary or 
        appropriate to carry out the functions of the Director.
          (8) Delegations, etc.--The Director may assign 
        duties, and delegate, or authorize successive 
        redelegations of, authority to act and to render 
        decisions, to such officers and employees of the Bureau 
        as the Director may find necessary. Within the 
        limitations of such assignments, delegations, or 
        redelegations, all official acts and decisions of such 
        officers and employees shall have the same force and 
        effect as though performed or rendered by the Director. 
        An assignment, delegation, or redelegation under this 
        paragraph may not take effect before the date on which 
        notice of such assignment, delegation, or redelegation 
        (as the case may be) is published in the Federal 
        Register.
          (9) Budget requests.--At the time the Director 
        submits a budget request to the Secretary for inclusion 
        in the President's budget request for a fiscal year 
        submitted under section 1105 of title 31, and prior to 
        the submission of the Department of Commerce budget to 
        the Office of Management and Budget, the Director shall 
        provide that budget information to the Committee on 
        Oversight and Government Reform of the House of 
        Representatives and the Committee on Governmental 
        Affairs of the Senate, as well as the Committees on 
        Appropriations of the House of Representatives and the 
        Senate. All other budget requests from the Bureau to 
        the Secretary shall be made available to the Committees 
        on Appropriations of the House of Representatives and 
        the Senate.
          (10) Other authorities.--
                  (A) Personnel.--Subject to sections 23 and 
                24, but notwithstanding any other provision of 
                law, the Director, in carrying out the 
                functions of the Director or the Bureau, may 
                use the services of officers and other 
                personnel in other Federal agencies, including 
                personnel of the Armed Forces, with the consent 
                of the head of the agency concerned.
                  (B) Voluntary services.--Notwithstanding 
                section 1342 of title 31, or any other 
                provision of law, the Director may accept and 
                use voluntary and uncompensated services.
      (c) Deputy Director.--
          (1) In general.--There shall be in the Bureau a 
        Deputy Director of the Census, who shall be appointed 
        by and serve at the pleasure of the Director. The 
        position of Deputy Director shall be a career reserved 
        position within the meaning of section 3132(a)(8) of 
        title 5.
          (2) Functions.--The Deputy Director shall perform 
        such functions as the Director shall designate.
          (3) Temporary authority to perform functions of 
        director.--The provisions of sections 3345 through 
        3349d of title 5 shall apply with respect to the office 
        of Director. The first assistant to the office of 
        Director is the Deputy Director for purposes of 
        applying such provisions.
      (b) Transition Rules.--
          (1) Appointment of initial director.--The initial 
        Director of the Bureau of the Census shall be appointed 
        in accordance with the provisions of section 21(b) of 
        title 13, United States Code, as amended by subsection 
        (a).
          (2) Interim role of current director of the census 
        after date of enactment.--If, as of January 1, 2012, 
        the initial Director of the Bureau of the Census has 
        not taken office, the officer serving on December 31, 
        2011, as Director of the Census (or Acting Director of 
        the Census, if applicable) in the Department of 
        Commerce--
                  (A) shall serve as the Director of the Bureau 
                of the Census;
                  (B) shall assume the powers and duties of 
                such Director, until the initial Director has 
                taken office; and
                  (C) shall report directly to the Secretary of 
                Commerce.
    (c) Clerical Amendment.--The item relating to section 21 in 
the table of sections for chapter 1 of title 13, United States 
Code, is amended to read as follows:

``21. Director of the Census; Deputy Director of the Census; authority 
          and duties.''

    (d) Technical and Conforming Amendments.--Not later than 
January 1, 2011, the Secretary of Commerce, in consultation 
with the Director of the Census, shall submit to each House of 
the Congress draft legislation containing any technical and 
conforming amendments to title 13, United States Code, and any 
other provisions which may be necessary to carry out the 
purposes of this Act.

SEC. 3. INTERNET RESPONSE OPTION.

    Not later than 180 days after the date of the enactment of 
this Act, the Director of the Census, shall provide a plan to 
Congress on how the Bureau of the Census will test, develop, 
and implement an Internet response option for the 2020 Census 
and the American Community Survey. The plan shall include a 
description of how and when feasibility will be tested, the 
stakeholders to be consulted, when and what data will be 
collected, and how data will be protected.

SEC. 4. ANNUAL REPORTS.

    (a) In General.--Subchapter I of chapter 1 of title 13, 
United States Code, is amended by adding at the end the 
following new section:

``SEC. 17. ANNUAL REPORTS.

    ``(a) Not later than the date of the submission of the 
President's budget request for a fiscal year under section 1105 
of title 31, the Director of the Census shall submit to the 
appropriate congressional committees a comprehensive status 
report on the next decennial census, beginning with the 2020 
decennial census. Each report shall include the following 
information:
          ``(1) A description of the Bureau's performance goals 
        for each significant decennial operation, including the 
        performance measures for each operation.
          ``(2) An assessment of the risks associated with each 
        significant decennial operation, including the 
        interrelationships between the operations and a 
        description of relevant mitigation plans.
          ``(3) Detailed milestone estimates for each 
        significant decennial operation, including estimated 
        testing dates, and justification for any changes to 
        milestone estimates.
          ``(4) Updated cost estimates for the life cycle of 
        the decennial census, including sensitivity analysis 
        and an explanation of significant changes in the 
        assumptions on which such cost estimates are based.
          ``(5) A detailed description of all contracts over 
        $50,000,000 entered into for each significant decennial 
        operation, including--
                  ``(A) any changes made to the contracts from 
                the previous fiscal year;
                  ``(B) justification for the changes; and
                  ``(C) actions planned or taken to control 
                growth in such contract costs.
    ``(b) For purposes of this section, the term `significant 
decennial operation' includes any program or information 
technology related to--
          ``(1) the development of an accurate address list;
          ``(2) data collection, processing, and dissemination;
          ``(3) recruiting and hiring of temporary employees;
          ``(4) marketing, communications, and partnerships; 
        and
          ``(5) coverage measurement.''.
    (b) Clerical Amendment.--The table of sections for chapter 
1 of title 13, United States Code, is amended by inserting 
after the item relating to section 16 the following new item:

  17. Annual reports.

    (c) Effective Date.--The amendments made by this section 
shall apply to budget requests for fiscal years beginning after 
September 30, 2010.

                                  
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