SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Federal Employee Accountability Act 
of 2016'' or ``FEAA''.

SEC. 2. REDUCTION IN GRADE OR PAY OR REMOVAL FOR MISCONDUCT OR 
              PERFORMANCE OF EMPLOYEES IN THE CIVIL SERVICE.

    (a) In General.--Chapter 75 of title 5, United States Code, is 
amended by adding at the end the following:

``SUBCHAPTER VI--REDUCTION IN GRADE OR PAY OR REMOVAL FOR MISCONDUCT OR 
                              PERFORMANCE

``Sec. 7551. Definitions
    ``For purposes of this subchapter--
            ``(1) `employee' means an individual occupying a position 
        within the civil service, but does not include any individual--
                    ``(A) employed in a position described under 
                sections 5312 through 5316 (relating to the Executive 
                Schedule);
                    ``(B) employed as a limited term appointee, limited 
                emergency appointee, or noncareer appointee in the 
                Senior Executive Service, as defined under paragraphs 
                (5), (6), and (7), respectively, of section 3132(a); or
                    ``(C) employed in a position of a confidential or 
                policy-determining character under schedule C of 
                subpart C of part 213 of title 5 of the Code of Federal 
                Regulations;
            ``(2) `grade' means a level of classification under a 
        position classification system;
            ``(3) `misconduct' includes neglect of duty, malfeasance, 
        or failure to accept a directed reassignment or to accompany a 
        position in a transfer of function; and
            ``(4) `pay' means the rate of basic pay fixed by law or 
        administrative action for the position held by an employee.
``Sec. 7552. Actions covered
    ``This subchapter applies to a reduction in grade or pay or 
removal, but does not apply to--
            ``(1) a reduction in grade or pay or removal under section 
        7512;
            ``(2) a reduction in grade or pay or removal under section 
        7521;
            ``(3) a removal under section 7532;
            ``(4) a removal under section 3592, 3595, or 7543; or
            ``(5) a removal from the Senior Executive Service under 
        section 713 of title 38.
``Sec. 7553. Cause and procedure
    ``(a) Notwithstanding any other provision of law, under regulations 
prescribed by the Office of Personnel Management, the head of an agency 
may--
            ``(1) remove an employee of the agency from the civil 
        service;
            ``(2) reduce the grade of an employee of the agency; or
            ``(3) reduce the pay of an employee of the agency.
    ``(b) An employee subject to a reduction in grade under subsection 
(a)(2) shall, beginning on the date that the reduction takes effect, 
receive the annual rate of pay applicable to such grade.
    ``(c)(1) Subject to paragraph (2) and subsection (d), any reduction 
in grade or pay or removal under this subchapter may be appealed to the 
Merit Systems Protection Board under section 7701.
    ``(2) An appeal under paragraph (1) may only be made if such appeal 
is made not later than seven days after the date of such reduction in 
grade or pay or removal.
    ``(d)(1) Upon receipt of an appeal under subsection (c), the Merit 
Systems Protection Board shall refer the appeal to an administrative 
judge pursuant to section 7701(b)(1). The administrative judge shall 
expedite any such appeal under such section and, in any such case, 
shall issue a decision not later than 45 days after the date that the 
Board receives the appeal.
    ``(2) To the maximum extent practicable, the agency shall provide 
to the Merit Systems Protection Board, and to any administrative judge 
to whom an appeal under this section is referred, such information and 
assistance as may be necessary to ensure an appeal under this 
subsection is expedited.
    ``(3) Notwithstanding any other provision of law, including section 
7703, the decision of an administrative judge under paragraph (1) shall 
be final and shall not be subject to any further appeal.
    ``(4) In any case in which the administrative judge cannot issue a 
decision in accordance with the 45-day requirement under paragraph (3), 
the reduction in grade or pay or removal is final. In such a case, the 
Merit Systems Protection Board shall, within 14 days after the date 
that such reduction in grade or pay or removal is final, submit to 
Congress a report that explains the reasons why a decision was not 
issued in accordance with such requirement.
    ``(5) The Merit Systems Protection Board or administrative judge 
may not stay any reduction in grade or pay or removal action under this 
section.
    ``(6) During the period beginning on the date on which an employee 
appeals a removal from the civil service under this subsection and 
ending on the date that the administrative judge issues a final 
decision on such appeal, such employee may not receive any pay, awards, 
bonuses, incentives, allowances, differentials, student loan 
repayments, special payments, or benefits.
    ``(e) In the case of an employee seeking corrective action (or on 
behalf of whom corrective action is sought) from the Office of Special 
Counsel based on an alleged prohibited personnel practice described in 
section 2302(b), the head of the agency may not reduce the grade or pay 
or remove such employee under this subchapter without the approval of 
the Special Counsel under section 1214(f).''.
    (b) Application.--The authority provided by subsection (a) shall 
apply to any employee hired before, on, or after the date of enactment 
of this Act.
    (c) Clerical Amendment.--The table of sections at the beginning of 
chapter 75 of title 5, United States Code, is amended by adding after 
the item relating to section 7543 the following:

``subchapter vi--reduction in grade or pay or removal for misconduct or 
                              performance

``7551. Definitions.
``7552. Actions covered.
``7552. Cause and procedure.''.
    (d) Conforming Amendments.--Title 5, United States Code, is 
amended--
            (1) in section 4303(f)--
                    (A) by striking ``or'' at the end of paragraph (2);
                    (B) by striking the period at the end of paragraph 
                (3) and inserting ``, or''; and
                    (C) by adding at the end the following:
            ``(4) the reduction in grade or removal of an employee 
        under subchapter VI of chapter 75.'';
            (2) in section 7512--
                    (A) by striking ``or'' at the end of subparagraph 
                (D);
                    (B) by striking the period at the end of 
                subparagraph (E) and inserting ``, or''; and
                    (C) by adding at the end the following:
            ``(F) a reduction in grade or pay or removal under 
        subchapter VI of this chapter.'';
            (3) in section 7521(b), in the matter following paragraph 
        (5)--
                    (A) by striking ``or'' at the end of subparagraph 
                (B);
                    (B) by striking the period at the end of 
                subparagraph (C) and inserting ``, or''; and
                    (C) by adding at the end the following:
            ``(D) a reduction in grade or pay or removal under 
        subchapter VI of this chapter.''; and
            (4) in section 7542, by striking ``or to a removal under 
        section 3592 or 3595 of this title'' and inserting ``to a 
        removal under section 3592 or 3595 of this title, to an action 
        under section 713 of title 38, or to a reduction in grade or 
        pay or removal under subchapter VI of this chapter''.
Federal Employee Accountability Act of 2016 or FEAA This bill allows federal agencies, under Office of Personnel Management regulations, to remove certain employees from civil service or to reduce their grade or pay. An employee may appeal within 7 days to the Merit Systems Protection Board (MSPB), which must refer the case to an administrative judge to expedite a final decision within 45 days after the MSPB receives the appeal.  If the administrative judge cannot reach a decision within 45 days, the removal or reduction becomes final. But the MSPB must explain to Congress why a decision was not issued. 
FEAA