U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 

1 

79–010 

" ! SENATE 110TH CONGRESS

2d Session 

REPORT

2008

110–523 

Calendar No. 1100 

FEDERAL SUPERVISOR TRAINING ACT OF 

2007 

R E P O R T 

OF THE

COMMITTEE ON HOMELAND SECURITY AND 

GOVERNMENTAL AFFAIRS 

UNITED STATES SENATE 

TO ACCOMPANY

S. 967 

TO AMEND CHAPTER 41 OF TITLE 5, UNITED STATES CODE, TO 

PROVIDE FOR THE ESTABLISHMENT AND AUTHORIZATION OF 

FUNDING FOR CERTAIN TRAINING PROGRAMS FOR SUPERVISORS OF FEDERAL EMPLOYEES 

NOVEMBER 19, 2008.—Ordered to be printed 


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(II) 

COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS 

JOSEPH I. LIEBERMAN, Connecticut, Chairman 

CARL LEVIN, Michigan 

DANIEL K. AKAKA, Hawaii 

THOMAS R. CARPER, Delaware 

MARK L. PRYOR, Arkansas 

MARY L. LANDRIEU, Louisiana 

BARACK OBAMA, Illinois 

CLAIRE MCCASKILL, Missouri 

JON TESTER, Montana 

SUSAN M. COLLINS, Maine 

TED STEVENS, Alaska 

GEORGE V. VOINOVICH, Ohio 

NORM COLEMAN, Minnesota 

TOM COBURN, Oklahoma 

PETE V. DOMENICI, New Mexico 

JOHN WARNER, Virginia 

JOHN E. SUNUNU, New Hampshire 

MICHAEL L. ALEXANDER, Staff Director 

KEVIN J. LANDY, Chief Counsel 

LAWRENCE B. NOVEY, Senior Counsel 

THOMAS J.R. RICHARDS, Professional Staff Member, Subcommittee on Oversight of Government 

Management, the Federal Workforce, and the District of Columbia 

BRANDON L. MILHORN, Minority Staff Director and Chief Counsel 

AMANDA WOOD, Minority Director for Governmental Affairs 

JENNIFER A. HEMINGWAY, Minority Staff Director, Subcommittee on Oversight of Government 

Management, the Federal Workforce, and the District of Columbia 

TRINA DRIESSNACK TYRER, Chief Clerk 


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(III) 

C O N T E N T S 

Page 

I. Purpose and Summary .................................................................................. 1 

II. Background and Need for Legislation .......................................................... 1 

III. Legislative History ......................................................................................... 6 

IV. Section-by-Section Analysis .......................................................................... 7 

V. Estimated Cost of Legislation ....................................................................... 8 

VI. Evaluation of Regulatory Impact .................................................................. 10 

VII. Changes in Existing Law .............................................................................. 10 


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1See James Thompson, Training Supervisors to Be Leaders: A Missing Element in Efforts to 

Improve Federal Performance, Partnership for Public Service (June 2007), at page 3; Gene A. 

Brewer, ‘‘In the Eye of the Storm: Frontline Supervisors and Federal Agency Performance,’’ 

Continued 

Calendar No. 1100 

110TH CONGRESS REPORT " ! SENATE 2d Session 110–523 

FEDERAL SUPERVISOR TRAINING ACT OF 2007 

NOVEMBER 19, 2008.—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. 967] 

The Committee on Homeland Security and Governmental Affairs, 

to which was referred the bill (S. 967) to amend chapter 41 of title 

5, United States Code, to provide for the establishment and authorization of funding for certain training programs for supervisors of 

Federal employees, having considered the same, reports favorably 

thereon with amendments and recommends that the bill, as 

amended, do pass. 

I. PURPOSE AND SUMMARY

S. 967, the Federal Supervisor Training Act, requires agencies to 

increase the amount and quality of leadership training provided to 

supervisors, with the goal of improving the overall effectiveness 

and efficiency in the federal government. The bill requires mandatory training for federal supervisors every three years on effective 

supervision, including how to improve employee performance, manage poor-performing employees, and protect employees’ rights. 

II. BACKGROUND AND NEED FOR LEGISLATION

The quality of employee supervision has a profound effect on the 

success of federal agencies. Numerous studies show that there is a 

strong relationship between effective supervision and high performance of individual work groups and that supervisory management 

is an important determinant of performance for federal agencies 

overall.1 Conversely, the price to federal agencies of poor superVerDate Aug 31 2005 04:19 Nov 21, 2008 Jkt 079010 PO 00000 Frm 00005 Fmt 6659 Sfmt 6602 E:\HR\OC\SR523.XXX SR523

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Journal of Public Administration Research and Theory, Vol. 15, No. 4 (2005), pages 505–527; 

Report to the Partnership for Public Service, Can We Really Manage? Understanding Supervision and its Importance in Government, by Erin M. O’Driscoll and Andrew J. Whitehouse 

(April 5, 2005). 2See Report by the Human Resources Management Panel of the National Academy of Public 

Administration (NAPA), First Line Supervisors in Federal Service: Selection, Development and 

Management, (February 2003) (hereinafter referred to as the ‘‘NAPA report’’). 3 Id. Studies have found that poor supervisors or managers are the most common reason employees leave a position. See U.S. Merit Systems Protection Board (MSPB), Office of Policy Evaluation, Making the Public Service Work: Recommendations for Change (September 3, 2002), at 

page 12 (hereinafter referred to as ‘‘MSPB recommendations’’). 4See NAPA report, note 2 above, at page 4. 

5 U.S. Office of Personnel Management (OPM), Congressional Budget Justification, Performance Budget, Fiscal Year 2009 (submitted February 4, 2008). 6See, generally, the references cited in note 1 above. 

7See MSPB recommendations, note 3 above, at page 12. 

8 Id. 

9 Id. 

vision can be enormous.2 Weak supervisors not only cause job performance to suffer, but also harm morale and drive good employees 

away, adding to recruitment and training costs.3 And supervisory 

behavior affects the number of complaints and grievances, which 

can impose large costs and burdens on agencies to resolve.4

The importance of maintaining a cadre of skilled and effective 

supervisors in the federal government will only increase. The U.S. 

Office of Personnel Management (OPM) estimates that, over the 

course of the next ten years, 60 percent of the 1.9 million member 

federal workforce will be eligible for retirement, and it is expected 

that 40 percent of those employees will retire.5 This potentially 

high attrition rate is forcing agencies to prepare for a mass exodus 

of talent, skills, and institutional knowledge. To cultivate new leaders, federal agencies not only must develop strategic succession 

plans and implement vigorous recruitment efforts to attract the 

best and the brightest—but must also foster the supervisory talent 

of the federal workforce. 

Successful supervisors require strong interpersonal as well as 

technical skills.6 For example, good supervisors mediate between 

higher level managers and lower level staff, clearly articulating organizational goals and setting fair performance standards. They 

communicate well with their staff, giving advice, identifying developmental needs, and serving as mentors. Supervisors should also 

promote teamwork and address any work-related conflicts in the 

work group. Supervisors set the tone for a professional work environment, and a positive work environment can lead to a more efficient and effective workforce. 

Despite the vital importance of having supervisors with effective 

leadership skills, federal agencies have been found to be weak in 

this area.7 Studies show that this deficiency arises in part because 

supervisors are frequently selected for their technical expertise, 

rather than based on an assessment of their ability to manage people.8 And this weakness is compounded by the failure of many 

agencies to have comprehensive managerial development and succession plans, including training.9

The Committee therefore believes that, as a key part of the federal government’s efforts to enlarge and maintain its cadre of successful supervisors, agencies should strengthen their training programs in supervisory skills. Several studies have found that current leadership development of first-line supervisors is insufficient 

and have concluded that agencies should ensure that all superVerDate Aug 31 2005 04:19 Nov 21, 2008 Jkt 079010 PO 00000 Frm 00006 Fmt 6659 Sfmt 6602 E:\HR\OC\SR523.XXX SR523

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10MSPB recommendations, note 3 above, at pages vi, 13; Thompson, report published by the 

Partnership for Public Service, note 1 above, at page 13; NAPA report, note 2 above, at page 

35. 11 NAPA report, note 2 above, at page 3. 12See OPM, 2006 Federal Human Capital Survey (May 31, 2006); MSPB, Accomplishing Our 

Mission: Results of the Merit Principles Survey 2005 (February 2007). 13Testimony of Mr. Darryl Perkinson, National President, Federal Managers Association, at 

a hearing entitled ‘‘Enhancing Employee Performance: A Hearing on Pending Legislation’’ before 

this Committee’s Subcommittee on Oversight of Government Management, the Federal Workforce, and the District of Columbia, 10th Congress, 2d Session, June 29, 2006, S. Hrg. 109–709 

(hereinafter referred to as ‘‘Enhancing Employee Performance hearing’’). 14 Id. 15 ‘‘Training 2007 Industry Report,’’ Training (November/December 2007). That report explained: ‘‘Management and supervisory training receives a great deal of funding due, in part, 

to the aging of the workforce. With large numbers of retirements looming, companies are focused 

on succession planning,’’ at page 11. 16 Jim Mahlmann, ‘‘Ensuring Strong Leadership through Mentorship and Coaching,’’ The Federal Manager, Vol. XXVII, Iss. II (Spring 2007). 

visors receive the training they need in managerial and leadership 

skills.10 For example, according to the Human Resources Panel of 

the National Academy of Public Administration, 

Federal agencies need to do a better job of developing 

and training supervisors. While some have successful 

training programs, it is uncommon for first-line supervisory training to be part of an agency’s comprehensive 

leader development program.11

Moreover, federal employees generally believe that they need 

more training to do their jobs well, and, with respect to managers 

specifically, one in three believe that more training would help 

them perform their job duties better.12 In testimony before the this 

Committee’s Subcommittee on Oversight of Government Management, the Federal Workforce, and the District of Columbia, managers have stated that there is not enough of a commitment by 

their agencies to provide management training.13 Managers also 

testified that when budgets are tight, training is one of the first 

discretionary spending items to be cut.14

The private sector is making important investments in manager 

training. In 2007, businesses spent approximately $12 billion on 

management and supervisory training—the largest category of 

training provided in the private sector—due, in part, to the aging 

of the workforce and the need for succession planning.15 These factors are at play in the federal government as well, and, like the private sector, the federal government should make a substantial investment in training of supervisors. 

Managers need proper training on how to motivate, evaluate, and 

manage employees. Such training should include not only classroom work, but also experienced managers and supervisors can 

share their knowledge with those younger less experienced managers and supervisors through mentorship and coaching programs, 

and improve overall motivation and understanding of the organization’s mission.16

Moreover, especially in the government, managers need training 

in more than general supervisory skills; they also need to be 

trained specifically on employee rights and protections, prohibited 

personnel practices, and ways to address hostile work environments. Colleen Kelley, National President of the National Treasury 

Employees Union, emphasized this point in her testimony before 

the Subcommittee, and concluded— 


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17Testimony of Ms. Colleen Kelley, National President, National Treasury Employees Union, 

at Enhancing Employee Performance hearing, note 13 above. 18 5 C.F.R. § 410. 19OPM, note 11 above. 

A key way to lessen discrimination in the federal workplace and ensure workplace fairness is for proper supervisor training so that they fully understand the duties and 

obligations they have.17

The Committee believes that S. 967 will help to address these deficiencies in supervisory training within the federal government, by 

requiring enhancement in both the quality and quantity of such 

training. Federal agencies are currently required to have a management training program, which supervisors are supposed to complete within the first three years of becoming a supervisor.18 The 

Committee believes that three years is too long for a new supervisor to be responsible for managing employees without being specifically trained on how to manage. Furthermore, the Committee is 

concerned that there does not appear to be any systematic process 

by which current supervisors will pass along their knowledge of 

management practices and supervisory skills to younger employees 

interested in becoming managers. To address these two issues, S. 

967 requires training within the first year of an employee becoming 

a manager and establishes a mentoring program under which experienced managers will be paired with younger managers for professional development. 

The subject matter of the training under this legislation covers 

the interpersonal and managerial skills used in carrying out the 

functions of a supervisor, including establishing employee goals 

and appraising performance, mentoring and motivating employees, 

and managing employees with unacceptable performance. Moreover, S. 967 specifically mandates training relating to prohibitions 

against unlawful discrimination, whistleblower protections, and the 

procedures and processes to enforce employee rights in the federal 

government. 

Another current challenge for supervisors is that sufficient supervisory training is not required and is often not available. After initial training, no further management training is required. While 

some agencies will provide management training, tight budgets 

often restrict the agencies’ ability to provide such training. Furthermore, there has been no clear reporting from agencies on the 

amount of dollars being spent on supervisory training and the 

number of managers and supervisors being provided ongoing management training. The Committee believes that S. 967 responds to 

these existing deficiencies, by requiring supervisors to undergo 

training every three years, and by requiring agencies to submit annual reports to OPM on their progress implementing the supervisor 

training requirements. 

In addition to requiring more frequent training, S. 967 requires 

that the training be interactive and instructor-based. According to 

the OPM’s 2006 Human Capital Survey, nearly 90 percent of managers and supervisors found in-classroom training to be effective.19

This represents the highest-rated method of training according to 

federal workers. However, in-classroom training may not always be 

the most efficient, effective, and cost effective. It is not the Committee’s intention to limit training to a classroom or preclude comVerDate Aug 31 2005 04:19 Nov 21, 2008 Jkt 079010 PO 00000 Frm 00008 Fmt 6659 Sfmt 6602 E:\HR\OC\SR523.XXX SR523

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20 Congressional Budget Office (CBO) Cost Estimate, S. 967, Federal Supervisor Training Act 

of 2007 (September 12, 2007). Acknowledging the uncertainties, ‘‘CBO estimates that implementing S. 967 would cost $55 million in 2008 and $295 million over the 2008–2012 period,’’ 

at page 1. 21 IBM Business Consulting Services, The Capability Within, The Global Human Capital 

Study 2005 (2005), at page 18. 

puter-based training, online training, teleconference training, or 

other efficient and effective methods of training. Internet and computer-based training can be effective methods of training and agencies should explore these options in providing supervisor training. 

However, the Committee does believes that there should be a designated instructor for any training, so that the trainee can ask 

questions and be provided some interaction to better retain the material. The Committee encourages OPM and agencies to use all 

available training techniques, while ensuring that each course has 

a designated instructor for the trainee to address any questions or 

further discussions on the concepts raised in the training. 

To help ensure the quality and consistency of federal supervisory 

training, the bill requires OPM to provide government-wide regulations establishing supervisory training standards and measurements for training effectiveness. As the federal agency responsible 

for human resources policy, OPM has the expertise and jurisdiction 

to aid other agencies in the development and implementation of supervisory training programs. While it is fully expected that each 

agency will provide supervisory training that includes content that 

is particular to that agency’s culture and mission, the Committee 

believes OPM should be a vital resource in that process by issuing 

regulations regarding overall supervisory training standards. 

The increased training under this bill will raise agencies’ training budgets, but the Committee believes that the benefits of increased supervisory training will be well worth the cost. The current spending on supervisor training programs is unknown in the 

federal government, so the increase required by this legislation 

cannot be estimated with certainty. Acknowledging such uncertainties, the Congressional Budget Office (CBO) has estimated that the 

cost of S. 967 will be approximately $295 million over 5 years.20

These increased costs of training should be offset by substantial 

savings, because enhanced management will lead to improvements 

in efficiency and performance of the agencies. This has been the experience in the private sector, where supervisory training has been 

found to contribute to the bottom line: 

Our Study demonstrates an important correlation between management development and profitability; namely, 

organizations with a higher percentage of middle managers and the appropriate percentage of staff participating 

in management development report higher profits per FTE 

[full time equivalent employee].21

There is every reason to expect that, as in the private sector, improved supervisory training in the federal government will yield 

substantial net benefits. As a recent report published by the Partnership for Public Service explained, the case for enhanced leadership development training for supervisors can be made at several 

levels, including ‘‘the business level.’’ The methodology for assessing the dollar impact of leadership training is not very far along, 

but the report states that ‘‘quantitative and qualitative work that 


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22Thompson, report published by the Partnership for Public Service, note 1 above, at page 

19. 23Letter from Senior Executives Association President Carol A. Bonosaro and General Counsel William L. Bransford to Senator Daniel K. Akaka regarding S. 967 and the Fiscal Benefits 

of Training Supervisors, June 12, 2007. 24 Jeff Neal, Director of Human Resources for the Defense Logistics Agency, as quoted in 

Thompson, report published by the Partnership for Public Service, note 1 above, at page 19. 25 Enhancing Employee Performance hearing, note 13 above. 

has been done and the opinions of those most closely associated 

with these programs point to a highly favorable return on investment.’’ 22

Morever, agencies may expect especially tangible savings to result from training for managers and supervisors that equips them 

to deal better with problem employees without inviting legal complaints. This aspect of supervisor training was emphasized in a letter from the Senior Executives Association to the Subcommittee 

Chairman: 

The proliferation of EEO complaints and the complexity 

of the rules surrounding whistleblower reprisal cases often 

make managers reluctant to deal effectively and quickly 

with poor performers and employee misconduct. Giving 

managers the training they need to deal with problem employees in a manner that is both swift and appropriate will 

save the government funds by avoiding EEO and other 

complaints from employees, as well as ensuring managers 

remove poor performers rather than avoiding dealing with 

the problem and thereby keeping them on the payroll. We 

believe that the cost of this training will be more than offset by savings from the resulting decrease in complaints, 

appeals and grievances, as well as increases in the effectiveness of government agencies.23

Finally, it is worth considering the persuasive statement of the 

human resources director of a large defense agency, who emphasized the ethical, as well as the practical, reasons why improved 

supervisory training is warranted: 

It’s the right thing to do to give people leaders who can 

help them perform. The right thing to do and the good 

business decision happen to be the same thing. We see an 

enormous pay-off out of this.24

III. LEGISLATIVE HISTORY

S. 967 was introduced by Senator Daniel K. Akaka on March 22, 

2007, and subsequently was referred to the Committee on Homeland Security and Governmental Affairs. The bill was referred to 

the Subcommittee on Oversight of Government Management, the 

Federal Workforce, and the District of Columbia (OGM) on March 

30, 2007. 

The bill is similar to S. 3584, the Federal Supervisor Training 

Act of 2006, introduced by Senator Akaka in the 109th Congress 

on June 27, 2006, and referred to the Committee on Homeland Security and Governmental Affairs OGM Subcommittee. A hearing 

was held to discuss this bill, other pending legislation, and performance management issues in the federal workforce on June 29, 

2006, entitled ‘‘Enhancing Employee Performance: A Hearing on 

Pending Legislation.’’ 25 Presenting testimony before the SubVerDate Aug 31 2005 04:19 Nov 21, 2008 Jkt 079010 PO 00000 Frm 00010 Fmt 6659 Sfmt 6602 E:\HR\OC\SR523.XXX SR523

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committee were the Honorable Dan G. Blair, Deputy Director, Office of Personnel Management; Mr. Darryl Perkinson, National 

President, Federal Managers Association on behalf of the Government Managers Coalition; Ms. Colleen Kelley, National President, 

National Treasury Employees Union; Ms. Jacqueline Simon, Public 

Policy Director, American Federation of Government Employees; 

and Ms. Patricia McGinnis, President and Chief Executive Officer, 

Council for Excellence in Government. The testimony presented 

highlighted the need for more management and supervisory training. 

On June 12, 2007, OGM polled the bill out of Subcommittee favorably and on June 13, 2007, the Committee on Homeland Security and Governmental Affairs ordered the bill to be reported favorably to the Senate en bloc with an amendment by a voice vote. The 

amendment, offered by Senator Akaka during the Committee 

markup, provided technical corrections as requested by the Office 

of Personnel Management and additional language to assess the effectiveness of the bill’s provisions. Members present were Senators 

Akaka, Coleman, Collins, Landrieu, Levin, Lieberman, McCaskill, 

Obama, Tester, Voinovich, and Warner. 

IV. SECTION-BY-SECTION ANALYSIS

Section 1. Short title 

This section provides that the legislation in S. 967 may be cited 

as the ‘‘Federal Supervisor Training Act of 2007.’’ 

Section 2. Mandatory training programs for supervisors 

5 U.S.C. § 4121 now requires agencies, in consultation with OPM, 

to establish training programs for managers and potential managers, and subsection (a) of section 2 makes several amendments 

to this section. 

Subsection (a)(1) defines the term ‘‘supervisor’’ for purposes of 5 

U.S.C. § 4121 to include individuals defined as supervisors and 

managers under 5 U.S.C. chapter 71, and other federal employees 

as defined by the Director of OPM by regulation. 

Subsection (a)(2) provides that agencies, in establishing training 

programs under § 4121, must do so under operating competencies 

promulgated by OPM. This provision therefore also indicates that 

OPM should produce operating competencies to guide agencies 

through the process of developing and implementing training programs. 

Subsection (a)(3) replaces the current supervisor-training requirements with the new minimum requirements specified in the 

bill. Under these requirements, agencies must establish— 

• Interactive instructor-based training to supervisors in: (i) Developing performance expectations with the employee and conducting performance appraisals, (ii) mentoring employees and improving their performance, (iii) addressing poor performance, (iv) 

addressing hostile work environments, and (v) carrying out other 

supervisory duties. 

• Training for managers on the rights and protections afforded 

federal employees against prohibited personnel practices under 5 

U.S.C. § 2302, and particularly under the non-discrimination and 


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whistleblower-protection provisions in subsections (b)(1) and (8) of 

that section. 

• Mentoring programs under which experienced supervisors 

would transfer knowledge and advice to new supervisors and point 

out strengths and areas for development. 

Individuals must complete initial training not later than one 

year after they are appointed to be supervisors, and must be retrained on the same topics at least once every three years after initial training. This retraining can be done all at once or supervisors 

can receive credit towards the every-three-year retraining requirement for similar training previously completed. 

OPM must prescribe regulations to carry out this section, including measures for agencies to assess effectiveness of agency supervisory training. 

Subsection (b) specifies that the regulations for carrying out the 

supervisor training requirements must be promulgated by OPM not 

later than 180 days after enactment of this legislation. 

Subsection (c)(1) provides that the effective date of the new training requirements will be 180 days after enactment of the bill and 

will apply to any new or current supervisor. 

Subsection (c)(2) allows for current supervisors to meet the new 

supervisory training requirements of the bill within three years of 

the enactment date and then every three years thereafter. 

Section 3. Management competencies 

Subsection (a) adds a new section 4305 to 5 U.S.C., to provide an 

assessment of how effective the new management training is. 

Under this new code section— 

• OPM will issue guidance to agencies on competencies that supervisors are expected to meet in order to effectively manage employee performance. 

• Each agency will—(1) develop competencies to assess each supervisor’s performance, and in doing so must consider OPM’s guidance; (2) assess the capacity of agency supervisors to meet the 

OPM guidance on competencies; (3) develop and implement a supervisor training program to address issues identified in the assessment; and (4) measure the effectiveness of the training program. 

• Each agency will also submit an annual report to OPM on the 

agency’s progress in implementing this program for training and 

assessment. 

Subsection (b) makes technical and conforming changes to 5 

U.S.C. chapter 43. 

V. ESTIMATED COST OF LEGISLATION

SEPTEMBER 12, 2007. 

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. 967, the Federal Supervisor 

Training Act of 2007. 


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If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Matthew Pickford. 

Sincerely, 

PETER R. ORSZAG. 

Enclosure. 

S. 967—Federal Supervisor Training Act of 2007 

Summary: S. 967 would amend current law to require training 

for existing and newly hired federal employees that supervise other 

employees. The legislation also would direct the Office of Personnel 

Management (OPM) to issue guidance to agencies on standards 

that supervisors are expected to meet and would require agencies 

to review their training programs and report on their effectiveness 

to OPM. 

CBO estimates that implementing S. 967 would cost $55 million in 2008 and $295 million over the 2008–2012 period, assuming appropriation of the necessary funds. Enacting the bill would not affect direct spending or revenues. 

S. 967 contains no intergovernmental or private-sector mandates 

as defined in the Unfunded Mandates Reform Act (UMRA) and 

would not affect the budgets of state, local, or tribal governments. 

Estimated cost to the Federal Government: The estimated budgetary impact of S. 967 is shown in the following table. The costs 

of this legislation fall within all budget functions that include salaries and expenses. 

By fiscal year, in millions of dollars— 

2008 2009 2010 2011 2012 

CHANGES IN SPENDING SUBJECT TO APPROPRIATION 

Training Program for Supervisors: 

Estimated Authorization Level ....................................................................... 55 55 55 55 55 

Estimated Outlays .......................................................................................... 50 55 55 55 55 

Review of Training Process: 

Estimated Authorization Level ....................................................................... 5 5 5 5 5 

Estimated Outlays .......................................................................................... 5 5 5 5 5 

Total Changes: 

Estimated Authorization Level ....................................................................... 60 60 60 60 60 

Estimated Outlays .......................................................................................... 55 60 60 60 60 

Basis of estimate: For this estimate, CBO assumes that the legislation will be enacted near the start of fiscal year 2008, that the 

necessary amounts will be appropriated for each fiscal year, and 

that outlays will follow historical trends for similar activities. 

S. 967 would require agencies to set new performance standards 

and train new supervisors within 12 months after such employees 

assume supervisory duties. Under the bill, all current supervisors 

would be trained within three years after enactment of the legislation; and supervisors would receive ‘‘refresher’’ training every three 

years thereafter. This training would include working with supervisors to develop employee goals and objectives, mentoring programs, and informing managers about prohibited personnel practices and employee rights. 

Based on information from OPM, CBO estimates that there are 

about 210,000 supervisors in the federal government. (In 2006, 

about 3,200 new supervisors were hired.) In addition, OPM and 

human resources managers at federal agencies that CBO contacted 


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expect the cost of managers’ training seminars would range from 

hundreds of dollars per session up to a few thousand dollars for 

week-long seminars. 

CBO is unaware of any comprehensive information or report on 

the extent of supervisor training throughout the federal government. There is no existing requirement for federal agencies to provide training for all supervisors. Under current law, agencies are 

required to have a comprehensive training program for managers, 

but there is no mandate for managers to participate in that training. Although the use of training programs is not uniform throughout the federal government, information from some of the largest 

employing agencies, including the Departments of Defense, Energy, 

and Justice, suggests that agencies have supervisor training programs, usually for new supervisors. For this estimate, CBO expects 

that initial supervisor training would cost about $2,000 per employee, and the refresher training for current supervisors would 

cost about $1,000 per employee. 

Using information provided by major agencies and OPM, CBO 

expects that about 25 percent of all new managers are not provided 

with mandatory supervisor training that covers mentoring employees, establishing employees’ goals, and other employee-management techniques. In addition, CBO expects that about 75 percent 

of all current managers typically do not receive subsequent retraining on a regular basis. Using those assumptions, CBO estimates 

that requiring federal agencies to provide mandatory training for 

new supervisors would cost about $2 million annually. In addition, 

providing refresher training for all supervisors every three years 

would cost $53 million in 2008 and about $260 million over the 

2008–2012 period, assuming agencies would implement that requirement over a three-year period. 

S. 967 also would require agencies to annually review and assess 

their supervisor training programs. Using information provided by 

OPM, a review of large employing agencies, and the cost of similar 

reports, CBO estimates that requiring agencies to review their 

training programs annually and report to OPM would cost $5 million in 2008 and $25 million over the 2008–2012 period. 

Intergovernmental and private-sector impact: S. 967 contains no 

intergovernmental or private-sector mandates as defined in UMRA 

and would not affect the budgets of state, local, or tribal governments. 

Estimate prepared by: Federal Costs: Matthew Pickford; Impact 

on State, Local, and Tribal Governments: Elizabeth Cove; Impact 

on the Private Sector: Justin Hall and Patrice Gordon, 

Estimate approved by: Peter H. Fontaine, Assistant Director for 

Budget Analysis. 

VI. EVALUATION OF REGULATORY IMPACT

Pursuant to the requirements of paragraph 11(b) of rule XXVI of 

the Standing Rules of the Senate, the Committee has considered 

the regulatory impact of this bill. 

VII. CHANGES IN EXISTING LAW

In compliance with paragraph 12 of rule XXVI of the Standing 

Rules of the Senate, changes in existing law made by the bill, as 


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reported, are shown as follows (existing law proposed to be omitted 

is enclosed in black brackets, new matter is printed in italic and 

existing law, in which no change is proposed, is shown in roman): 

TITLE 5, UNITED STATES CODE: GOVERNMENT 

ORGANIZATION AND EMPLOYEES 

PART III—EMPLOYEES 

CHAPTER 41—TRAINING 

SEC. 4121. SPECIFIC TRAINING PROGRAMS. 

(a) In this section, the term ‘‘supervisor’’ means— 

(1) a supervisor as defined under section 7103(a)(10); 

(2) a management official as defined under section 

7103(a)(11); and 

(3) any other employee as the Director of the Office of Personnel Management may by regulation prescribe. 

(b) Under operating competencies promulgated by, and in consultation with, øIn consultation with¿ the Director of the Office of 

Personnel Management, the head of each agency shall establish— 

(1) a comprehensive management succession program to provide training to employees to develop managers for the agency; 

and 

ø(2) a program to provide training to managers on actions, 

options, and strategies a manager may use in— 

(A) relating to employees with unacceptable performance; 

(B) mentoring employees and improving employee performance and productivity; and 

(C) conducting employee performance appraisals.¿ 

(2)(A) a program to provide interactive instructor-based training to supervisors on actions, options, and strategies a supervisor may use in— 

(i) developing and discussing relevant goals and objectives together with the employee, communicating and discussing progress relative to performance goals and objectives and conducting performance appraisals; 

(ii) mentoring and motivating employees and improving 

employee performance and productivity; 

(iii) effectively managing employees with unacceptable 

performance; 

(iv) addressing reports of a hostile work environment, reprisal, or harassment of, or by, another supervisor or employee; and 

(v) otherwise carrying out the duties or responsibilities of 

a supervisor; 

(B) a program to provide interactive instructor-based training 

to supervisors on the prohibited personnel practices under section 2302 (particularly with respect to such practices described 

under subsection (b)(1) and (8) of that section) and the procedures and processes used to enforce employee rights; and 

(C) a program under which experienced supervisors mentor 

new supervisors by— 


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(i) transferring knowledge and advice in areas such as 

communication, critical thinking, responsibility, flexibility, 

motivating employees, teamwork, and professional development; and 

(ii) pointing out strengths and areas for development. 

(c)(1) Not later than 1 year after the date on which an individual 

is appointed to the position of supervisor, that individual shall be 

required to have completed each program established under subsection (b)(2). 

(2) After completion of a program under subsection (b)(2)(A) and 

(B), each supervisor shall be required to complete a program under 

subsection (b)(2)(A) and (B) at least once every 3 years. 

(3) Each program established under subsection (b)(2) shall include provisions under which credit shall be given for periods of 

similar training previously completed. 

(d) Notwithstanding section 4118(c), the Director of the Office of 

Personnel Management shall prescribe regulations to carry out this 

section, including the monitoring of agency compliance with this 

section. Such regulations shall include measures by which to address the effectiveness of agency supervisor training programs. 

CHAPTER 43—PERFORMANCE APPRAISAL 

Subchapter I—General Provisions 

Sec. 

4301. Definitions. 

* * * * * * * 

4305. øRegulations.¿ Management Competencies. 

4306. Regulations. 

* * * * * * * 

SEC. 4304. RESPONSIBILITIES OF THE OFFICE OF PERSONNEL MANAGEMENT. 

* * * * * * * 

(b)(3) If the Office determines that a system does not meet the 

requirements of this subchapter (including regulations prescribed 

under ø4305¿ 4306, the Office shall direct the agency to implement 

an appropriate system or to correct operations under the system 

and any such agency shall take any action so required. 

SEC. 4305. MANAGEMENT COMPETENCIES. 

(a) In this section, the term ‘‘supervisor’’ means— 

(1) a supervisor as defined under section 7103(a)(10); 

(2) a management official as defined under section 

7103(a)(11); and 

(3) any other employee as the director of the Office of Personnel Management may by regulation prescribe. 

(b) The Director of the Office of Personnel Management shall issue 

guidance to agencies on competencies supervisors are expected to 

demonstrate in order to effectively manage, and be accountable for 

managing, the performance of employees. 

(c) Each agency shall— 

(1) develop competencies to assess the performance of each supervisor and in developing such competencies shall consider the 

guidance developed by the Director of the Office of Personnel 


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Management under subsection (b) and any other qualifications 

or factors determined by the agency; 

(2) assess the overall capacity of the supervisors in the agency 

to meet the guidance developed by the Director of the Office of 

Personnel Management issued under subsection (b); 

(3) develop and implement a supervisor training program to 

strengthen issues identified during such assessment; and 

(4) measure the effectiveness of the supervisor training program established under paragraph (3) in improving supervisor 

competence. 

(d) Every year, or on any basis requested by the Director of the 

Office of Personnel Management, each agency shall submit a report 

to the Office on the progress of the agency in implementing this section, including reasons used to assess program effectiveness. 

øSEC. 4305.¿ SEC. 4306. REGULATIONS. 

The Office of Personnel Management may prescribe regulations 

to carry out the purpose of this subchapter. 

Æ 


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