§ 502 TITLE 31—MONEY AND FINANCE Page 36

focussed on improving agencies’ use of quality management principles. Other functions have been assigned to

individual agencies. Nonetheless, remaining administrative management matters deserve attention across

agency lines.

By the authority vested in me as President by the

Constitution and the laws of the United States of

America and in order to improve agency administrative

and management practices throughout the executive

branch, I hereby direct the following:

SECTION 1. Interagency Council on Administrative Management.

(a) Purpose and Membership. An Interagency Council

on Administrative Management (‘‘Council’’) is established as an interagency coordination mechanism. The

Council shall be composed of the Deputy Director for

Management of the Office of Management and Budget,

who shall serve as Chair, and one senior administrative

management official from each of the following agencies:

1. Department of State;

2. Department of the Treasury;

3. Department of Defense;

4. Department of Justice;

5. Department of the Interior;

6. Department of Agriculture;

7. Department of Commerce;

8. Department of Labor;

9. Department of Health and Human Services;

10. Department of Housing and Urban Development;

11. Department of Transportation;

12. Department of Energy;

13. Department of Education;

14. Department of Veterans Affairs;

15. Environmental Protection Agency;

16. Federal Emergency Management Agency;

17. Central Intelligence Agency;

18. Small Business Administration;

19. Department of the Army;

20. Department of the Navy;

21. Department of the Air Force;

22. National Aeronautics and Space Administration;

23. Agency for International Development;

24. General Services Administration;

25. National Science Foundation; and

26. Office of Personnel Management.

Department and agency heads shall advise the Chair

of their selections for membership on the Council.

Council membership shall also include representatives

of the Chief Financial Officers Council, the Chief Information Officers Council, the Federal Procurement

Council, the Interagency Advisory Group of Federal

Personnel Directors, and the Small Agency Council, as

well as at-large members appointed by the Chair, as he

deems appropriate. The Chair shall invite representatives of the Social Security Administration to participate in the Council’s work, as appropriate. The Council

shall select a Vice Chair from among the Council’s

membership.

(b) The Council shall plan, promote, and recommend

improvements in Government administration and operations and provide advice to the Chair on matters pertaining to the administrative management of the Federal Government. The Council shall:

(1) explore opportunities for more effective use of

Government resources;

(2) support activities and initiatives of the President’s Management Council, the Chief Financial Officers Council, the Chief Information Officers Council,

the Federal Procurement Council, and the Interagency Advisory Group of Federal Personnel Directors designed to develop, review, revise, and implement Governmentwide administrative management

policies; and

(3) identify successful administrative management

practices, including quality management practices,

and assist in their Governmentwide dissemination

and implementation.

SEC. 2. Responsibilities of the Chair. The Chair or, if the

Chair chooses, the Vice Chair shall:

(1) convene meetings of the Council;

(2) preside at formal council meetings;

(3) establish committees or working groups of the

Council, as necessary for efficient conduct of Council

functions; and

(4) appoint, to the extent permitted by law and consistent with personnel practices, other full-time officers or employees of the Federal Government to the

Council as at-large members for specific terms, not

exceeding 2 years, to provide expertise to the Council.

SEC. 3. Responsibilities of Agency Heads. To the extent

permitted by law, heads of departments or agencies

represented on the Council shall provide their representatives with administrative support needed to

support Council activities.

SEC. 4. Judicial Review. This order is for the internal

management of the executive branch and does not create any right or benefit, substantive or procedural, enforceable by a party against the United States, its

agencies or instrumentalities, its officers or employees,

or any other person.

SEC. 5. Revocation. Executive Order 12816 (creating the

President’s Council on Management Improvement), Executive Order 12552 (establishing the executive branch

productivity improvement program) and Executive

Order 12637 (revising the executive branch productivity

improvement program) are revoked.

WILLIAM J. CLINTON.

§ 502. Officers

(a) The head of the Office of Management and

Budget is the Director of the Office of Management and Budget. The Director is appointed by

the President, by and with the advice and consent of the Senate. Under the direction of the

President, the Director shall administer the Office.

(b) The Office has a Deputy Director of the Office of Management and Budget, appointed by

the President, by and with the advice and consent of the Senate. The Deputy Director—

(1) shall carry out the duties and powers prescribed by the Director; and

(2) acts as the Director when the Director is

absent or unable to serve or when the office of

Director is vacant.

(c) The Office has a Deputy Director for Management appointed by the President, by and

with the advice and consent of the Senate. The

Deputy Director for Management shall be the

chief official responsible for financial management in the United States Government.

(d) The Office has 3 Assistant Directors who

shall carry out the duties and powers prescribed

by the Director.

(e) The Office may have not more than 6 additional officers, each of whom is appointed in the

competitive service by the Director, with the

approval of the President. Each additional officer shall carry out the duties and powers prescribed by the Director. The Director shall

specify the title of each additional officer.

(f) When the Director and Deputy Director are

absent or unable to serve or when the offices of

Director and Deputy Director are vacant, the

President may designate an officer of the Office

to act as Director.

(Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 886; Pub.

L. 101–576, title II, §201, Nov. 15, 1990, 104 Stat.

2839.)
Page 37 TITLE 31—MONEY AND FINANCE § 503

HISTORICAL AND REVISION NOTES

Revised

Section Source (U.S. Code) Source (Statutes at Large)

502(a) ...... 31:16(2d sentence related to Director).June 10, 1921, ch. 18, §207(2d,

3d sentences), 42 Stat. 22;

Reorg. Plan No. 1 of 1939,

eff. July 1, 1939, §1, 53 Stat.

1423; July 31, 1953, ch. 302,

§101(1st proviso in par.

under heading ‘‘Bureau of

the Budget’’), 67 Stat. 299;

Reorg. Plan No. 2 of 1970,

eff. July 1, 1970, §102(a), (b),

(d), (e), (f)(less words between parentheses), 84 Stat.

2085; Mar. 2, 1974, Pub. L.

93–250, §1, 88 Stat. 11.

502(b) ...... 31:16(2d sentence related to Deputy

Director, 3d sentence).

502(c) ...... 31:16a. Reorg. Plan No. 1 of 1939, eff.

July 1, 1939, §1, 53 Stat. 1423;

July 31, 1953, ch. 302,

§101(last proviso in par.

under heading ‘‘Bureau of

the Budget’’), 67 Stat. 299;

Sept. 6, 1966, Pub. L. 89–554,

§8(a), 80 Stat. 657; Reorg.

Plan No. 2 of 1970, eff. July

1, 1970, §102(b), (e), 84 Stat.

2085.

31:16c. Reorg. Plan No. 1 of 1939, eff.

July 1, 1939, §1, 53 Stat. 1423;

Aug. 1, 1956, ch. 838, 70 Stat.

887; Reorg. Plan No. 2 of

1970, eff. July 1, 1970,

§102(b), (e), 84 Stat. 2085.

502(d), (e) 31:16(note). Reorg. Plan No. 1 of 1939, eff.

July 1, 1939, §1, 53 Stat. 1423;

Reorg. Plan No. 2 of 1970,

eff. July 1, 1970,

§102(c)(words before last

comma), (e), (f)(words between parentheses), 84 Stat.

2085.

In subsections (a) and (b), the words related to salaries in section 207 of the Budget and Accounting Act,

1921 (ch. 18, 42 Stat. 22), are omitted as covered by

5:5313(11) and 5314(34).

In subsection (a), the text of section 102(d)(1st sentence) of Reorganization Plan No. 2 of 1970 (eff. July 1,

1970, 84 Stat. 2085) is omitted as covered by 3:301 and for

consistency in the revised title and with other titles of

the United States Code. The word ‘‘administer’’ is substituted for ‘‘supervise and direct the administration

of’’ in section 102(d) of the Reorganization Plan to

eliminate unnecessary words.

In subsections (b) and (c), the words ‘‘designated by

this reorganization plan’’ in section 102(e) of Reorganization Plan No. 2 of 1970 are omitted as executed. The

words ‘‘carry out the duties and powers prescribed by’’

are substituted for ‘‘perform such functions as’’ for

consistency in the revised title and with other titles of

the Code. The words ‘‘may from time to time direct’’

are omitted as unnecessary.

In subsection (c), the words ‘‘the duties and powers

prescribed by’’ in section 102(e)(related to Assistant Directors) of Reorganization Plan No. 2 of 1970 are substituted for ‘‘such functions as’’ for consistency. The

words ‘‘may from time to time direct’’ are omitted as

unnecessary. The words related to compensation in

31:16c are omitted as covered by 5:5315(37).

In subsection (d), the words ‘‘as determined from

time to time by the Director of the Office of Management and Budget (hereinafter referred to as the Director)’’ in section 102(c)(1st sentence) of Reorganization

Plan No. 2 of 1970 are omitted as unnecessary. The

words ‘‘in the competitive’’ are substituted for ‘‘under

the classified civil’’ in section 102(c)(2d sentence) of the

Reorganization Plan to conform to 5:2102. The words

‘‘The Director shall specify the title of each additional

officer’’ are substituted for ‘‘shall have such title as the

Director shall from time to time determine’’ to eliminate unnecessary words. The words ‘‘provided for in

subsection (c) of this section’’ in section 102(e)(related

to officers) of the Reorganization Plan are omitted because of the restatement. The words ‘‘carry out the duties and powers prescribed by’’ are substituted for ‘‘perform such functions as’’ for consistency in the revised

title and with other titles of the Code. The words ‘‘may

from time to time direct’’ are omitted as unnecessary.

In subsection (e), the words ‘‘When the Director and

Deputy Director are absent or unable to serve or when

the offices of Director and Deputy Director are vacant’’

are substituted for ‘‘or during the absence or disability

of the Deputy Director or in the event of a vacancy in

the office of Deputy Director’’ and ‘‘during the absence

or disability of the Director or in the event of a vacancy in the office of Director’’ in section 102(f)(words

between parentheses) of Reorganization Plan No. 2 of

1970 for clarity and consistency with other titles of the

Code. The words ‘‘an officer’’ are substituted for ‘‘such

other officials’’ for clarity and consistency in the chapter. The words ‘‘in such order as’’ are omitted as unnecessary. The words ‘‘from time to time’’ are eliminated

as unnecessary.

AMENDMENTS

1990—Subsecs. (c) to (f). Pub. L. 101–576 added subsec.

(c) and redesignated former subsecs. (c) to (e) as (d) to

(f), respectively.

CROSS REFERENCES

Compensation of Director and Deputy Director of Office of Management and Budget, see sections 5312 and

5313 of Title 5, Government Organization and Employees.

Compensation of Assistant Directors of Office of

Management and Budget, see section 5315 of Title 5.

§ 503. Functions of Deputy Director for Management

(a) Subject to the direction and approval of

the Director, the Deputy Director for Management shall establish governmentwide financial

management policies for executive agencies and

shall perform the following financial management functions:

(1) Perform all functions of the Director, including all functions delegated by the President to the Director, relating to financial

management.

(2) Provide overall direction and leadership

to the executive branch on financial management matters by establishing financial management policies and requirements, and by

monitoring the establishment and operation of

Federal Government financial management

systems.

(3) Review agency budget requests for financial management systems and operations, and

advise the Director on the resources required

to develop and effectively operate and maintain Federal Government financial management systems and to correct major deficiencies in such systems.

(4) Review and, where appropriate, recommend to the Director changes to the budget

and legislative proposals of agencies to ensure

that they are in accordance with financial

management plans of the Office of Management and Budget.

(5) Monitor the financial execution of the

budget in relation to actual expenditures, including timely performance reports.

(6) Oversee, periodically review, and make

recommendations to heads of agencies on the

administrative structure of agencies with respect to their financial management activities.

(7) Develop and maintain qualification

standards for agency Chief Financial Officers