I 

113TH CONGRESS 

1ST SESSION H. R. 2129 

To amend the Defense Base Act to require the provision of insurance under 

that Act under a Government self-insurance program, and to require 

an implementation strategy for such self-insurance program. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 23, 2013 

Mr. CUMMINGS (for himself, Mr. TIERNEY, and Ms. SHEA-PORTER) introduced the following bill; which was referred to the Committee on Education and the Workforce, and in addition to the Committee on Armed 

Services, for a period to be subsequently determined by the Speaker, in 

each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To amend the Defense Base Act to require the provision 

of insurance under that Act under a Government selfinsurance program, and to require an implementation 

strategy for such self-insurance program. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Defense Base Act In5 surance Improvement Act of 2013’’. 


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1 SEC. 2. REQUIREMENT FOR USE OF GOVERNMENT SELF-IN2 SURANCE PROGRAM FOR INSURANCE UNDER 

3 DEFENSE BASE ACT. 

4 Section 1 of the Defense Base Act (42 U.S.C. 1651) 

5 is amended by adding at the end the following new sub6 section: 

7 ‘‘(g) TRANSITION TO GOVERNMENT SELF-INSUR8 ANCE PROGRAM.— 

9 ‘‘(1) IN GENERAL.—On the effective date of 

10 this subsection, the requirements in paragraphs (1) 

11 through (6) of subsection (a) imposed on contractors 

12 to secure the payment of compensation and other 

13 benefits under the provisions of this Act and to 

14 maintain in full force and effect such security for 

15 the payment of such compensation and benefits 

16 shall, for injuries sustained after such effective date, 

17 be satisfied through the Government Defense Base 

18 Act self-insurance program. 

19 ‘‘(2) GOVERNMENT DEFENSE BASE ACT SELF20 INSURANCE PROGRAM DEFINED.—In this subsection, 

21 the term ‘Government Defense Base Act self-insur22 ance program’ means a self-insurance program de23 veloped in the implementation strategy required by 

24 section 3 of the Defense Base Act Insurance Im25 provement Act of 2013 and under which— 


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1 ‘‘(A) compensation and benefits for inju2 ries sustained are satisfied directly by the Gov3 ernment, without action of the contractor (or 

4 subcontractor or subordinate contractor with 

5 respect to such contractor); and 

6 ‘‘(B) compensation and benefits are funded 

7 by the agencies whose contracts are affected. 

8 ‘‘(3) EFFECTIVE DATE.—The effective date of 

9 this subsection is the date occurring one year after 

10 the date of the enactment of the Defense Base Act 

11 Insurance Improvement Act of 2013.’’. 

12 SEC. 3. IMPLEMENTATION STRATEGY FOR GOVERNMENT 

13 DEFENSE BASE ACT SELF-INSURANCE PRO14 GRAM. 

15 (a) REQUIREMENT.—The Secretary of Defense and 

16 the Secretary of Labor shall jointly develop and execute 

17 an implementation strategy for a self-insurance program 

18 for insurance required by the Defense Base Act (42 

19 U.S.C. 1651 et seq.). 

20 (b) MATTERS COVERED.—The implementation strat21 egy required under subsection (a) shall address and pro22 vide a plan for the following: 

23 (1) Appropriate administration of the self-insur24 ance program, including appropriate program fi25 nancing. 


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1 (2) Appropriate procedures for claims proc2 essing, claims adjudication, and benefits delivery, 

3 taking into consideration the unique circumstances 

4 of insuring overseas contractors. 

5 (3) A timeline and strategy to transfer existing 

6 claims covered under the Defense Base Act (42 

7 U.S.C. 1651 et seq.) and the War Hazards Com8 pensation Act (42 U.S.C. 1701 et seq.) by private 

9 carriers to a Government self-insurance program. 

10 (4) Recommendations for any additional statu11 tory revisions necessary to carry out the strategy. 

12 (c) REPORT AND DEADLINE.—Not later than 180 

13 days after the date of the enactment of this Act, the Sec14 retary of Defense and the Secretary of Labor shall jointly 

15 prepare and submit to the appropriate congressional com16 mittees a report on the implementation strategy. 

17 SEC. 4. REPORT. 

18 (a) REPORT REQUIREMENT.—Not later than 2 years 

19 after the date of the enactment of this Act, the Secretary 

20 of Defense and the Secretary of Labor shall jointly pre21 pare a report on the implementation of this Act and the 

22 amendment made by this Act. 

23 (b) MATTERS COVERED.—The report shall cover, at 

24 a minimum, the following with respect to the Government 


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1 Defense Base Act self-insurance program (as defined in 

2 the amendment made by section 2): 

3 (1) The cost savings from the use of the self4 insurance program. 

5 (2) The quality of administration of the self-in6 surance program. 

7 (3) Whether the delivery of benefits to injured 

8 employees and their survivors (in the case of death) 

9 has improved under the self-insurance program. 

10 (4) Recommendations for improvement of the 

11 self-insurance program. 

12 (5) Such other matters as the Secretaries con13 sider appropriate. 

14 SEC. 5. DEFINITION OF CONGRESSIONAL COMMITTEES. 

15 In this Act, the term ‘‘appropriate congressional com16 mittees’’ means the following: 

17 (1) The Committees on Armed Services of the 

18 Senate and the House of Representatives. 

19 (2) The Committee on Homeland Security and 

20 Governmental Affairs of the Senate and the Com21 mittee on Oversight and Government Reform of the 

22 House of Representatives. 

Æ 


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