104 STAT. 2736 PUBLIC LAW 101-552—NOV. 15, 1990 

Public Law 101-552 

101st Congress 

An Act 

Nov 15 1990 '^^ authorize and encourage Federal agencies to use mediation, conciliation, arbitration, and other techniques for the prompt and informal resolution of disputes, and 

[H.R. 2497] f^j. ^^.jjgj. purposes. 

Be it enacted by the Senate and House of Representatives of the 

Administrative United States of America in Congress assembled. 

Dispute 

Resolution Act. SECTION 1. SHORT TITLE. 

5 us e 581 note. 

This Act may be cited as the "Administrative Dispute Resolution 

Act". 

5 us e 581 note. SEC. 2. FINDINGS. 

The Congress finds that— 

(1) administrative procedure, as embodied in chapter 5 of title 

5, United States Code, and other statutes, is intended to offer a 

prompt, expert, and inexpensive means of resolving disputes as 

an alternative to litigation in the Federal courts; 

(2) administrative proceedings have become increasingly 

formal, costly, and lengthy resulting in unnecessary expenditures of time and in a decreased likelihood of achieving consensual resolution of disputes; 

(3) alternative means of dispute resolution have been used in 

the private sector for many years and, in appropriate circumstances, have 3delded decisions that are faster, less expensive, and less contentious; 

(4) such alternative means can lead to more creative, efficient, 

and sensible outcomes; 

(5) such alternative means may be used advantageously in a 

wide variety of administrative programs; 

(6) explicit authorization of the use of well-tested dispute 

resolution techniques will eliminate ambiguity of agency 

authority under existing law; 

(7) Federal agencies may not only receive the benefit of 

techniques that were developed in the private sector, but may 

also take the lead in the further development and refinement of 

such techniques; and 

(8) the availability of a wide range of dispute resolution 

procedures, and an increased understanding of the most effective use of such procedures, will enhance the operation of the 

Government and better serve the public. 

5 us e 581 note. SEC. 3. PROMOTION OF ALTERNATIVE MEANS OF DISPUTE RESOLUTION. 

(a) PROMULGATION OF AGENCY POUCY.—Each agency shall adopt a 

policy that addresses the use of alternative means of dispute resolution and case management. In developing such a policy, each agency 

shall— 

(1) consult with the Administrative Conference of the United 

States and the Federal Mediation and Conciliation Service; and 
PUBLIC LAW 101-552—NOV. 15, 1990 104 STAT. 2737 

(2) examine alternative means of resolving disputes in connection with— 

(A) formal and informal adjudications; 

(B) rulemakings; 

(C) enforcement actions; 

(D) issuing and revoking licenses or permits; 

(E) contract administration; 

(F) litigation brought by or against the agency; and 

(G) other agency actions. 

(b) DISPUTE RESOLUTION SPECIAUSTS.—The head of each agency 

shall designate a senior official to be the dispute resolution specialist 

of the agency. Such official shall be responsible for the implementation of— 

(1) the provisions of this Act and the amendments made by 

this Act; and 

(2) the agency policy developed under subsection (a). 

(c) TRAINING.—Each agency shall provide for training on a regular 

basis for the dispute resolution specialist of the agency and other 

employees involved in implementing the policy of the agency developed under subsection (a). Such training should encompass the 

theory and practice of negotiation, mediation, arbitration, or related 

techniques. The dispute resolution specialist shall periodically recommend to the agency head agency employees who would benefit 

from similar training. 

(d) PROCEDURES FOR GRANTS AND CONTRACTS.— 

(1) Each agency shall review each of its standard agreements 

for contracts, grants, and other assistance and shall determine 

whether to amend any such standard agreements to authorize 

and encourage the use of alternative means of dispute 

resolution. 

(2)(A) Within 1 year after the date of the enactment of this 

Act, the Federal Acquisition Regulation shall be amended, as 

necessary, to carry out this Act and the amendments made by 

this Act. 

(B) For purposes of this section, the term "Federal Acquisition 

Regulation" means the single system of Government-wide 

procurement regulation referred to in section 6(a) of the Office 

of Federal Procurement Policy Act (41 U.S.C. 405(a)). 

SEC. 4. ADMINISTRATIVE PROCEDURES. 

(a) ADMINISTRATIVE HEARINGS.—Section 556(c) of title 5, United 

States Code, is amended— 

(1) in paragraph (6) by inserting before the semicolon at the 

end thereof the following: "or by the use of alternative means of 

dispute resolution as provided in subchapter IV of this chapter"; 

and 

(2) by redesignating paragraphs (7) through (9) as paragraphs 

(9) through (11), respectively, and inserting after paragraph (6) 

the following new paragraphs: 

"(7) inform the parties as to the availability of one or more 

alternative means of dispute resolution, and encourage use of 

such methods; 

"(8) require the attendance at any conference held pursuant 

to paragraph (6) of at least one representative of each party who 

has authority to negotiate concerning resolution of issues in 

controversy; . 
104 STAT. 2738 PUBLIC LAW 101-552—NOV. 15, 1990 

(b) ALTERNATIVE MEANS OF DISPUTE RESOLUTION.—Chapter 5 of 

title 5, United States Code, is amended by adding at the end the 

following new subchapter: 

"SUBCHAPTER IV—ALTERNATIVE MEANS OF DISPUTE 

RESOLUTION IN THE ADMINISTRATIVE PROCESS 

"§581. Definitions 

"For the purposes of this subchapter, the term— 

"(1) 'agency' has the same meaning as in section 551(1) of this 

title; 

"(2) 'administrative program' includes a Federaf function 

which involves protection of the public interest and the determination of rights, privileges, and obligations of private persons 

through rule making, adjudication, licensing, or investigation, 

as those terms are used in subchapter II of this chapter; 

"(3) 'alternative means of dispute resolution' means any 

procedure that is used, in lieu of an adjudication as defined in 

section 551(7) of this title, to resolve issues in controversy, 

including but not limited to, settlement negotiations, conciliation, facilitation, mediation, factfinding, minitrials, and arbitration, or any combination thereof; 

"(4) 'award' means any decision by an arbitrator resolving the 

issues in controversy; 

"(5) 'dispute resolution communication' means any oral or 

written communication prepared for the purposes of a dispute 

resolution proceeding, including any memoranda, notes or work 

product of the neutral, parties or nonparty participant; except 

that a written agreement to enter into a dispute resolution 

proceeding, or final written agreement or arbitral award 

reached as a result of a dispute resolution proceeding, is not a 

dispute resolution communication; 

"(6) 'dispute resolution proceeding' means any process in 

which an alternative means of dispute resolution is used to 

resolve an issue in controversy in which a neutral is appointed 

and specified parties participate; 

"(7) 'in confidence' means, with respect to information, that 

the information is provided— 

"(A) with the expressed intent of the source that it not be 

disclosed; or 

"(B) under circumstances that would create the reasonable expectation on behalf of the source that the information will not be disclosed; 

"(8) 'issue in controversy' means an issue which is material to 

a decision concerning an administrative program of an agency, 

and with which there is disagreement between the agency and 

persons who would be substantially affected by the decision but 

shall not extend to matters specified under the provisions of 

sections 2302 and 7121(c) of title 5; 

"(9) 'neutral' means an individual who, with respect to an 

issue in controversy, functions specifically to aid the parties in 

resolving the controversy; 

"(10) 'party' means— 

"(A) for a proceeding with named parties, the same as in 

section 551(3) of this title; and 
PUBLIC LAW 101-552—NOV. 15, 1990 104 STAT. 2739 

"(B) for a proceeding without named parties, a person 

who will be significantly affected by the decision in the 

proceeding and who participates in the proceeding; 

"(11) 'person' has the same meaning as in section 551(2) of this 

title; and 

"(12) 'roster' means a list of persons qualified to provide 

services as neutrals. 

"§582. General authority * 

"(a) An agency may use a dispute resolution proceeding for the 

resolution of an issue in controversy that relates to an administrative program, if the parties agree to such proceeding. 

"(b) An agency shall consider not using a dispute resolution 

proceeding if— 

"(1) a definitive or authoritative resolution of the matter is 

required for precedential value, and such a proceeding is not 

likely to be accepted generally as an authoritative precedent; 

"(2) the matter involves or may bear upon significant questions of Government policy that require additional procedures 

before a final resolution may be made, and such a proceeding 

would not likely serve to develop a recommended policy for the 

agency; 

"(3) maintaining established policies is of special importance, 

so that variations among individual decisions are not increased 

and such a proceeding would not likely reach consistent results 

among individual decisions; 

"(4) the matter significantly affects persons or organizations 

who are not parties to the proceeding; 

"(5) a full public record of the proceeding is important, and a 

dispute resolution proceeding cannot provide such a record; and 

"(6) the agency must maintain continuing jurisdiction over 

the matter with authority to alter the disposition of the matter 

in the light of changed circumstances, and a dispute resolution 

proceeding would interfere with the agency's fulfilling that 

requirement. 

"(c) Alternative means of dispute resolution authorized under this 

subchapter are voluntary procedures which supplement rather than 

limit other available agency dispute resolution techniques. 

"§ 583. Neutrals 

"(a) A neutral may be a permanent or temporary officer or 

employee of the Federal Government or any other individual who is 

acceptable to the parties to a dispute resolution proceeding. A 

neutral shall have no official, financial, or personal conflict of 

interest with respect to the issues in controversy, unless such interest is fully disclosed in writing to all parties and all parties agree 

that the neutral may serve. 

"(b) A neutral who serves as a conciliator, facilitator, or mediator 

serves at the will of the parties. 

"(c) In consultation with the Federal Mediation and Conciliation 

Service, other appropriate Federal agencies, and professional 

organizations experienced in matters concerning dispute resolution, 

the Administrative Conference of the United States shall— 

"(1) establish standards for neutrals (including experience, 

training, affiliations, diligence, actual or potential conflicts of 

interest, and other qualifications) to which agencies may refer; 
contracts. 

104 STAT. 2740 PUBLIC LAW 101-552—NOV. 15, 1990 

"(2) maintain a roster of individuals who meet such standards 

and are otherwise qualified to act as neutrals, which shall be 

made available upon request; 

^J^^ernment "(3) enter into contracts for the services of neutrals that may 

be used by agencies on an elective basis in dispute resolution 

proceedings; and 

"(4) develop procedures that permit agencies to obtain the 

services of neutrals on an expedited basis. 

"(d) An agency may use the services of one or more employees of 

other agencies to serve as neutrals in dispute resolution proceedings. 

The agencies may enter into an interagency agreement that provides for the reimbursement by the user agency or the parties of the 

full or partial cost of the services of such an employee. 

"(e) Any agency may enter into a contract with any person on a 

roster established under subsection (c)(2) or a roster maintained by 

other public or private organizations, or individual for services as a 

neutral, or for training in connection with alternative means of 

dispute resolution. The parties in a dispute resolution proceeding 

shall agree on compensation for the neutral that is fair and reasonable to the Government. 

"§584. Confidentiality 

"(a) Except as provided in subsections (d) and (e), a neutral in a 

dispute resolution proceeding shall not voluntarily disclose or 

through discovery or compulsory process be required to disclose any 

information concerning any dispute resolution communication or 

any communication provided in confidence to the neutral, unless— 

"(1) all parties to the dispute resolution proceeding and the 

neutral consent in writing, and, if the dispute resolution 

communication was provided by a nonparty participant, that 

participant also consents in writing; 

"(2) the dispute resolution communication has already been 

made public; 

"(3) the dispute resolution communication is required by statute to be made public, but a neutral should make such communication public only if no other person is reasonably available to 

disclose the communication; or 

"(4) a court determines that such testimony or disclosure is 

necessary to— 

"(A) prevent a manifest injustice; 

"(B) help establish a violation of law; or 

"(C) prevent harm to the public health or safety, 

of sufficient magnitude in the particular case to outweigh the 

integrity of dispute resolution proceedings in general by 

reducing the confidence of parties in future cases that their 

communications will remain confidential. 

"GJ) A party to a dispute resolution proceeding shall not voluntarily disclose or through discovery or compulsory process be 

required to disclose any information concerning any dispute resolution communication, unless— 

"(1) the communication was prepared by the party seeking 

disclosure; 

"(2) all parties to the dispute resolution proceeding consent in 

writing; 

"(3) the dispute resolution communication has already been 

made public; 
PUBLIC LAW 101-552—NOV. 15, 1990 104 STAT. 2741 

"(4) the dispute resolution communication is required by statute to be made public; 

"(5) a court determines that such testimony or disclosure is 

necessary to— 

"(A) prevent a manifest injustice; 

"(B) help establish a violation of law; or 

"(C) prevent harm to the public health and safety, 

of sufficient magnitude in the particular case to outweigh the 

integrity of dispute resolution proceedings in general by reducing the confidence of parties in future cases that their communications will remain confidential; 

"(6) the dispute resolution communication is relevant to 

determining the existence or meaning of an agreement or 

award that resulted from the dispute resolution proceeding or to 

the enforcement of such an agreement or award; or 

(7) the dispute resolution communication was provided to or 

was available to all parties to the dispute resolution proceedinjg. 

"(c) Any dispute resolution communication that is disclosed in 

violation of subsection (a) or (b), shall not be admissible in any 

proceeding relating to the issues in controversy with respect to 

which the communication was made. 

"(d) The parties may agree to alternative confidential procedures 

for disclosures by a neutral. Upon such agreement the parties shall 

inform the neutral before the commencement of the dispute resolution proceeding of any modifications to the provisions of subsection 

(a) that will govern the confidentiality of the dispute resolution 

proceeding. If the parties do not so inform the neutral, subsection (a) 

shall apply. 

"(e) If a demand for disclosure, by way of discovery request or 

other legal process, is made upon a neutral regarding a dispute 

resolution communication, the neutrgd shall make reasonable efforts 

to notify the parties and any affected nonparty participants of the 

demand. Any party or affected nonparty participant who receives 

such notice and within 15 calendar days does not offer to defend a 

refusal of the neutral to disclose the requested information shall 

have waived any objection to such disclosure. 

"(f) Nothing in this section shall prevent the discovery or 

admissibility of any evidence that is otherwise discoverable, merely 

because the evidence was presented in the course of a dispute 

resolution proceeding. 

"(g) Subsections (a) and (b) shall have no effect on the information 

and data that are necessary to document an agreement reached or 

order issued pursuant to a dispute resolution proceeding. 

"(h) Subsections (a) and (b) shall not prevent the gathering of 

information for research or educational purposes, in cooperation 

with other agencies, governmental entities, or dispute resolution 

programs, so long as the parties and the specific issues in controversy are not identifiable. 

"(i) Subsections (a) and (b) shall not prevent use of a dispute 

resolution communication to resolve a dispute between the neutral 

in a dispute resolution proceeding and a party to or participant in 

such proceeding, so long as such dispute resolution communication 

is disclosed only to the extent necessary to resolve such dispute. 

"(j) This section shall not be considered a statute specifically 

exempting disclosure under section 552(bX3) of this title. 
104 STAT. 2742 PUBLIC LAW 101-552—NOV. 15, 1990 

"§ 585. Authorization of arbitration 

"(aXD Arbitration may be used as an alternative means of dispute 

resolution whenever all parties consent. Consent may be obtained 

either before or after an issue in controversy has arisen. A party 

may agree to— 

"(A) submit only certain issues in controversy to arbitration; 

or 

"(B) arbitration on the condition that the award must be 

within a range of possible outcomes. 

"(2) Any arbitration agreement that sets forth the subject matter 

submitted to the arbitrator shall be in writing. 

"(3) An agency may not require any person to consent to arbitration as a condition of entering into a contract or obtaining a benefit. 

"(b) An officer or employee of an Eigency may offer to use arbitration for the resolution of issues in controversy, if such officer or 

employee— 

"(1) has authority to enter into a settlement concerning the 

matter; or 

"(2) is otherwise specifically authorized by the agency to 

consent to the use of arbitration. 

"§ 586. Enforcement of arbitration agreements 

"An agreement to arbitrate a matter to which this subchapter 

applies is enforceable pursuant to section 4 of title 9, and no action 

brought to enforce such an agreement shall be dismissed nor shall 

relief therein be denied on the grounds that it is against the United 

States or that the United States is an indispensable party. 

"§587. Arbitrators 

"(a) The parties to an arbitration proceeding shall be entitled to 

participate in the selection of the arbitrator. 

"(b) The arbitrator shall be a neutral who meets the criteria of 

section 583 of this title. 

"§ 588. Authority of the arbitrator 

"An arbitrator to whom a dispute is referred under this subchapter may— 

"(1) regulate the course of and conduct arbitral hearings; 

"(2) administer oaths and affirmations; 

"(3) compel the attendance of witnesses and production of 

evidence at the hearing under the provisions of section 7 of title 

9 only to the extent the agency involved is otherwise authorized 

by law to do so; and 

"(4) make awards. 

"§ 589. Arbitration proceedings 

"(a) The arbitrator shall set a time and place for the hearing on 

the dispute and shall notify the parties not less than 5 days before 

the hearing. 

Records. "(b) Any party wishing a record of the hearing shall— 

"(1) be responsible for the preparation of such record; 

"(2) notify the other parties and the arbitrator of the preparation of such record; 

"(3) furnish copies to all identified parties and the arbitrator; 

and 
PUBLIC LAW 101-552—NOV. 15, 1990 104 STAT. 2743 

"(4) pay all costs for such record, unless the parties agree 

otherwise or the arbitrator determines that the costs should be 

apportioned. 

"(c)(1) The parties to the arbitration are entitled to be heard, to 

present evidence material to the controversy, and to cross-examine 

witnesses appearing at the hearing. 

"(2) The arbitrator may, with the consent of the parties, conduct 

all or part of the hearing by telephone, television, computer, or 

other electronic means, if each party has an opportunity to 

participate. 

"(3) The hearing shall be conducted expeditiously and in an 

informal manner. 

"(4) The arbitrator may receive any oral or documentary evidence, 

except that irrelevant, immaterial, unduly repetitious, or privileged 

evidence may be excluded by the arbitrator. 

"(5) The arbitrator shall interpret and apply relevant statutory 

and regulatory requirements, legal precedents, and policy directives. 

"(d) No interested person shall make or knowingly cause to be 

made to the arbitrator an unauthorized ex parte communication 

relevant to the merits of the proceeding, unless the parties agree 

otherwise. If a communication is made in violation of this subsection, the arbitrator shall ensure that a memorandum of the communication is prepared and made a part of the record, and that an 

opportunity for rebuttal is allowed. Upon receipt of a communication made in violation of this subsection, the arbitrator may, to the 

extent consistent with the interests of justice and the policies underlying this subchapter, require the offending party to show cause why 

the claim of such party should not be resolved against such party as 

a result of the improper conduct. 

"(e) The arbitrator shall make the award within 30 days after the 

close of the hearing, or the date of the filing of any briefs authorized 

by the arbitrator, whichever date is later, unless— 

"(1) the parties agree to some other time limit; or 

"(2) the agency provides by rule for some other time limit. 

"§ 590. Arbitration awards 

"(a)(1) Unless the agency provides otherwise by rule, the award in 

an arbitration proceeding under this subchapter shall include a 

brief, informal discussion of the factual and legal basis for the 

award, but formal findings of fact or conclusions of law shall not be 

required. 

"(2) The prevailing parties shall file the award with all relevant 

agencies, along with proof of service on all parties. 

"(b) The award in an arbitration proceeding shall become final 30 

days after it is served on all parties. Any agency that is a party to 

the proceeding may extend this 30-day period for an additional 30-

day period by serving a notice of such extension on all other parties 

before the end of the first 30-day period. 

"(c) The head of any agency that is a party to an arbitration 

proceeding conducted under this subchapter is authorized to terminate the arbitration proceeding or vacate any award issued pursuant to the proceeding before the award becomes final by serving on 

all other parties a written notice to that effect, in which case the 

award shall be null and void. Notice shall be provided to all parties 

to the arbitration proceeding of any request by a party, nonparty 

participant or other person that the agency head terminate the 

arbitration proceeding or vacate the award. An employee or agent 
104 STAT. 2744 PUBLIC LAW 101-552—NOV. 15, 1990 

engaged in the performance of investigative or prosecuting functions for an agency may not, in that or a factually relat ^ case, 

advise in a decision under this subsection to terminate an arbitration proceeding or to vacate an arbitral award, except as witness or 

counsel in public proceedings. 

"(d) A final award is binding on the parties to the arbitration 

proceeding, and may be enforced pursuant to sections 9 through 13 

of title 9. No action brought to enforce such an award sh^ l be 

dismissed nor shall relief therein be denied on the grounds thait it is 

against the United States or that the United States is an indispensable party. 

"(e) An award entered under this subchapter in an arbitration 

proceeding may not serve as an estoppel in any other proceeding for 

any issue that was resolved in the proceeding. Such an award also 

may not be used as precedent or otherwise be considered in any 

factually unrelated proceeding, whether conducted under this subchapter, by an agency, or in a court, or in any other arbitration 

proceeding. 

"(f) An arbitral award that is vacated under subsection (c) shall 

not be admissible in any proceeding relating to the issues in controversy with respect to which the award was made. 

"(g) If an agency head vacates an award under subsection (c), a 

party to the arbitration (other than the United States) may within 

30 days of such action petition the agency head for an award of 

attorney fees and expenses (as defined in section 504(bXlXA) of this 

title) incurred in connection with the arbitration proceeding. The 

\ agency head shall award the petitioning party those fees and expenses that would not have been incurred in the absence of such 

arbitration proceeding, unless the agency head or his or her designee finds that special circumstances make such an award unjust. 

The procedures for reviewing applications for awards shall, where 

appropriate, be consistent with those set forth in subsection (aX2) 

and (3) of section 504 of this title. Such fees and expenses shall be 

paid from the funds of the agency that vacated the award. 

"§ 591. Judicial Review 

"(a) Notwithstanding any other provision of law, any person 

adversely affected or aggrieved by an award made in an arbitration 

proceeding conducted under this subchapter may bring an action for 

review of such award only pursuant to the provisions of sections 9 

through 13 of title 9. 

"(bXD A decision by an agency to use or not to use a dispute 

resolution proceeding under this subchapter shall be committed to 

the discretion of the agency and shall not be subject to judicial 

review, except that arbitration shall be subject to judicial review 

under section 10(b) of title 9. 

! "(2) A decision by the head of an agency under section 590 to 

terminate an arbitration proceeding or vacate an arbitral award 

shall be committed to the discretion of the agency and shall not be 

subject to judicial review. 

"§ 592. Compilation of information 

"The Chairman of the Administrative Conference of the United 

States shall compile and maintain data on the use of alternative 

means of dispute resolution in conducting agency proceedings. Agencies shall, upon the request of the Chairman of the Administrative 
PUBLIC LAW 101-552—NOV. 15, 1990 104 STAT. 2745 

Conference of the United States, supply such information as is 

required to enable the Chairman to comply with this section. 

"§593. Support services 

"For the purposes of this subchapter, an eigency may use (with or 

without reimbursement) the services and facilities of other Federal 

agencies, public and private organizations and agencies, and individuals, with the consent of such agencies, organizations, and individuals. An agency may accept voluntary and uncompensated services 

for purposes of this subchapter without regard to the provisions of 

section 1342 of title 31.". 

(c) TECHNICAL AMENDMENT.—The table of sections at the beginning of chapter 5 of title 5, United States Code, is amended by 

adding at the end thereof the following: 

"SUBCHAPTER rv—ALTEKNATIVK MEANS OF DISPUTE RESOLUTION IN THE ADMINISTRATIVE 

PROCESS 

"581. Definitions. 

"582. General authority. 

"583. Neutrals. 

"584. Confidentiality. 

"585. Authorization of arbitration. 

"586. Enforcement of arbitration agreements. 

"587. Arbitrators. 

"588. Authority of the arbitrator. 

"589. Arbitration proceedings. 

"590. Arbitration awards. 

"591. Judicial review. 

"592. Compilation of information. 

"593. Support services.". 

SEC. 5. JUDICIAL REVIEW OF ARBITRATION AWARDS. 

Section 10 of title 9, United States Code, is amended— 

(1) by redesignating subsections (a) through (e) as paragraphs 

(1) through (5), respectively; 

(2) by striking out "In either" and inserting in lieu thereof 

"(a) In any"; and 

(3) by adding at the end thereof the following: 

"Qo) The United States district court for the district wherein an 

award was made that was issued pursuant to section 590 of title 5 

may make an order vacating the award upon the application of a 

person, other than a party to the arbitration, who is adversely 

affected or aggrieved by the award, if the use of arbitration or the 

award is clearly inconsistent with the factors set forth in section 582 

of title 5.". 

SEC. 6. GOVERNMENT CONTRACT CLAIMS. 41 USC 605. 

(a) ALTERNATIVE MEANS OF DISPUTE RESOLUTION.—Section 6 of the 

Contract Disputes Act of 1978 (41 U.S.C. 606) is amended by adding 

at the end the following new subsections: 

"(d) Notwithstanding any other provision of this Act, a contractor 

and a contracting officer may use any alternative means of dispute 

resolution under subchapter IV of chapter 5 of title 5, United States 

Code, or other mutually agreeable procedures, for resolving claims. 

In a case in which such alternative means of dispute resolution or 

other mutually agreeable procedures are used, the contractor shall 

certify that the claim is made in good faith, that the supporting data 

are accurate and complete to the best of his or her knowledge and 

belief, and that the amount requested accurately reflects the con-
104 STAT. 2746 PUBLIC LAW 101-552—NOV. 15, 1990 

tract adjustment for which the contractor believes the Government 

is liable. All provisions of subchapter IV of chapter 5 of title 5, 

United States Code, shall apply to such alternative means of dispute 

resolution. 

"(e) The authority of agencies to engage in alternative means of 

dispute resolution proceedings under subsection (d) shall cease to be 

effective on October 1, 1995, except that such authority shall continue in effect with respect to then pending dispute resolution 

proceedings which, in the judgment of the agencies that are parties 

to such proceedings, require such continuation, until such proceedings terminate.". 

(b) JUDICIAL REVIEW OF ARBITRAL AWARDS.—Section 8(g) of the 

Contract Disputes Act of 1978 (41 U.S.C. 607(g)) is amended by 

adding at the end the following new paragraph: 

"(3) An award by an arbitrator under this Act shall be reviewed 

pursuant to sections 9 through 13 of title 9, United States Code, 

except that the court may set aside or limit any award that is found 

to violate limitations imposed by Federal statute.". 

SEC. 7. FEDERAL MEDIATION AND CONCILIATION SERVICE. 

Section 203 of the Labor Management Relations Act, 1947 (29 

U.S.C. 173) is amended by adding at the end the following new 

subsection: 

"(f) The Service may make its services available to Federal agencies to aid in the resolution of disputes under the provisions of 

subchapter IV of chapter 5 of title 5, United States Code. Functions 

performed by the Service may include assisting parties to disputes 

related to administrative programs, training persons in skills and 

procedures employed in alternative means of dispute resolution, and 

furnishing officers and employees of the Service to act as neutrals. 

Only officers and employees who are qualified in accordance with 

section 583 of title 5, United States Code, may be assigned to act as 

neutrals. The Service shall consult with the Administrative Conference of the United States and other agencies in maintaining 

rosters of neutrals and arbitrators, and to adopt such procedures 

and rules as are necessary to carry out the services authorized in 

this subsection.". 

SEC. 8. GOVERNMENT TORT AND OTHER CLAIMS. 

(a) FEDERAL TORT CLAIMS.—Section 2672 of title 28, United States 

Code, is amended by adding at the end of the first paragraph the 

following: "Notwithstanding the proviso contained in the preceding 

sentence, any award, compromise, or settlement may be effected 

without the prior written approval of the Attorney General or his or 

her designee, to the extent that the Attorney General delegates to 

the head of the agency the authority to make such award, 

compromise, or settlement. Such delegations may not exceed the 

authority delegated by the Attorney General to the United States 

attorneys to settle claims for money damages against the United 

States. Each Federal agency may use arbitration, or other alternative means of dispute resolution under the provisions of subchapter IV of chapter 5 of title 5, to settle any tort claim against the 

United States, to the extent of the agency's authority to award, 

compromise, or settle such claim without the prior written approval 

of the Attorney General or his or her designee.". 

Qa) CLAIMS OF THE GOVERNMENT.—Section 3711(aX2) of title 31, 

United States Code, is amended by striking out "$20,000 (excluding 
PUBLIC LAW 101-552—NOV. 15, 1990 104 STAT. 2747 

interest)" and inserting in lieu thereof "$100,000 (excluding interest) 

or such higher amount as the Attorney General may from time to 

time prescribe". 

SEC. 9. USE OF NONATTORNEYS. 5 USC 581 note. 

(a) REPRESENTATION OF PARTIES.—Each agency, in developing a 

policy on the use of alternative means of dispute resolution under 

this Act, shall develop a policy with regard to the representation by 

persons other than attorneys of parties in alternative dispute resolution proceedings and shall identify any of its administrative programs with numerous claims or disputes before the sigency and 

determine— 

(1) the extent to which individuals are represented or assisted 

by attorneys or by persons who are not attorneys; and 

(2) whether the subject areas of the applicable proceedings or 

the procedures are so complex or specialized that only attorneys 

may adequately provide such representation or assistance. 

(b) REPRESENTATION AND ASSISTANCE BY NONATTORNEYS.—A 

person who is not an attorney may provide representation or assistance to any individual in a claim or dispute with an agency, if— 

(1) such claim or dispute concerns an administrative program 

identified under subsection (a); 

(2) such agency determines that the proceeding or procedure 

does not necessitate representation or assistance by an attorney 

under subsection (aX2); and 

(3) such person meets any requirement of the agency to 

provide representation or assistance in such a claim or dispute. 

(c) DISQUALIFICATION OF REPRESENTATION OR ASSISTANCE.—Any 

agency that adopts regulations under subchapter IV of chapter 5 of 

title 5, United States Code, to permit representation or assistance by 

persons who are not attorneys shall review the rules of practice 

before such agency to— 

(1) ensure that any rules pertaining to disqualification of 

attorneys from practicing before the agency shall also apply, as 

appropriate, to other persons who provide representation or 

assistance; and 

(2) establish effective agency procedures for enforcing such 

rules of practice and for receiving complaints from affected 

persons. 

SEC. 10. DEFINITIONS. 5 USC 581 note. 

As used in this Act, the terms "agency", "administrative program", and "alternative means of dispute resolution" have the 

meanings given such terms in section 581 of title 5, United States 

Code, as added by section 40o) of this Act. 

SEC. 11. SUNSET PROVISION. 5 USC 581 note. 

The authority of agencies to use dispute resolution proceedings 

under this Act and the amendments made by this Act shall terminate on October 1,1995, except that such authority shall continue in 

effect with respect to then pending proceedings which, in the judgment of the agencies that are parties to the dispute resolution 
104 STAT. 2748 PUBLIC LAW 101-552—NOV. 15, 1990 

proceedings, require such continuation, until such proceedings 

terminate. 

Approved November 15, 1990. 

LEGISLATIVE HISTORY—H.R. 2497 (S. 971): 

HOUSE REPORTS: No. 101-513 (Comm. on the Judiciary). 

SENATE REPORTS: No. 101-543 accompanying S. 971 (Ctomm. on Governmental 

Affairs). 

CONGRESSIONAL RECORD. Vol. 136 (1990): 

June 5, considered and passed House. 

Oct. 24, considered and passed Senate, amended, in lieu of S. 971. 

Oct. 25, Senate vitiated passage of H.R. 2497; reconsidered and passed, 

amended. 

Oct. 26, House concurred in Senate amendment.