115TH CONGRESS 

1ST SESSION S. 1094 

AN ACT 

To amend title 38, United States Code, to improve the 

accountability of employees of the Department of Veterans Affairs, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 
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1 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

2 (a) SHORT TITLE.—This Act may be cited as the 

3 ‘‘Department of Veterans Affairs Accountability and 

4 Whistleblower Protection Act of 2017’’. 

5 (b) TABLE OF CONTENTS.—The table of contents for 

6 this Act is as follows: 

Sec. 1. Short title; table of contents. 

TITLE I—OFFICE OF ACCOUNTABILITY AND WHISTLEBLOWER 

PROTECTION 

Sec. 101. Establishment of Office of Accountability and Whistleblower Protection. 

Sec. 102. Protection of whistleblowers in Department of Veterans Affairs. 

Sec. 103. Report on methods used to investigate employees of Department of 

Veterans Affairs. 

TITLE II—ACCOUNTABILITY OF SENIOR EXECUTIVES, 

SUPERVISORS, AND OTHER EMPLOYEES 

Sec. 201. Improved authorities of Secretary of Veterans Affairs to improve accountability of senior executives. 

Sec. 202. Improved authorities of Secretary of Veterans Affairs to improve accountability of employees. 

Sec. 203. Reduction of benefits for Department of Veterans Affairs employees 

convicted of certain crimes. 

Sec. 204. Authority to recoup bonuses or awards paid to employees of Department of Veterans Affairs. 

Sec. 205. Authority to recoup relocation expenses paid to or on behalf of employees of Department of Veterans Affairs. 

Sec. 206. Time period for response to notice of adverse actions against supervisory employees who commit prohibited personnel actions. 

Sec. 207. Direct hiring authority for medical center directors and VISN directors. 

Sec. 208. Time periods for review of adverse actions with respect to certain employees. 

Sec. 209. Improvement of training for supervisors. 

Sec. 210. Assessment and report on effect on senior executives at Department 

of Veterans Affairs. 

Sec. 211. Measurement of Department of Veterans Affairs disciplinary process 

outcomes and effectiveness. 
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1 TITLE I—OFFICE OF ACCOUNT2 ABILITY AND WHISTLE3 BLOWER PROTECTION 

4 SEC. 101. ESTABLISHMENT OF OFFICE OF ACCOUNT5 ABILITY AND WHISTLEBLOWER PROTECTION. 

6 (a) IN GENERAL.—Chapter 3 of title 38, United 

7 States Code, is amended by adding at the end the fol8 lowing new section: 

9 ‘‘§ 323. Office of Accountability and Whistleblower 

10 Protection 

11 ‘‘(a) ESTABLISHMENT.—There is established in the 

12 Department an office to be known as the ‘Office of Ac13 countability and Whistleblower Protection’ (in this section 

14 referred to as the ‘Office’). 

15 ‘‘(b) HEAD OF OFFICE.—(1) The head of the Office 

16 shall be responsible for the functions of the Office and 

17 shall be appointed by the President pursuant to section 

18 308(a) of this title. 

19 ‘‘(2) The head of the Office shall be known as the 

20 ‘Assistant Secretary for Accountability and Whistleblower 

21 Protection’. 

22 ‘‘(3) The Assistant Secretary shall report directly to 

23 the Secretary on all matters relating to the Office. 

24 ‘‘(4) Notwithstanding section 308(b) of this title, the 

25 Secretary may only assign to the Assistant Secretary re-
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1 sponsibilities relating to the functions of the Office set 

2 forth in subsection (c). 

3 ‘‘(c) FUNCTIONS.—(1) The functions of the Office 

4 are as follows: 

5 ‘‘(A) Advising the Secretary on all matters of 

6 the Department relating to accountability, including 

7 accountability of employees of the Department, re8 taliation against whistleblowers, and such matters as 

9 the Secretary considers similar and affect public 

10 trust in the Department. 

11 ‘‘(B) Issuing reports and providing rec12 ommendations related to the duties described in sub13 paragraph (A). 

14 ‘‘(C) Receiving whistleblower disclosures. 

15 ‘‘(D) Referring whistleblower disclosures re16 ceived under subparagraph (C) for investigation to 

17 the Office of the Medical Inspector, the Office of In18 spector General, or other investigative entity, as ap19 propriate, if the Assistant Secretary has reason to 

20 believe the whistleblower disclosure is evidence of a 

21 violation of a provision of law, mismanagement, 

22 gross waste of funds, abuse of authority, or a sub23 stantial and specific danger to public health or safe24 ty. 
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1 ‘‘(E) Receiving and referring disclosures from 

2 the Special Counsel for investigation to the Medical 

3 Inspector of the Department, the Inspector General 

4 of the Department, or such other person with inves5 tigatory authority, as the Assistant Secretary con6 siders appropriate. 

7 ‘‘(F) Recording, tracking, reviewing, and con8 firming implementation of recommendations from 

9 audits and investigations carried out by the Inspec10 tor General of the Department, the Medical Inspec11 tor of the Department, the Special Counsel, and the 

12 Comptroller General of the United States, including 

13 the imposition of disciplinary actions and other cor14 rective actions contained in such recommendations. 

15 ‘‘(G) Analyzing data from the Office and the 

16 Office of Inspector General telephone hotlines, other 

17 whistleblower disclosures, disaggregated by facility 

18 and area of health care if appropriate, and relevant 

19 audits and investigations to identify trends and issue 

20 reports to the Secretary based on analysis conducted 

21 under this subparagraph. 

22 ‘‘(H) Receiving, reviewing, and investigating al23 legations of misconduct, retaliation, or poor perform24 ance involving— 
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1 ‘‘(i) an individual in a senior executive po2 sition (as defined in section 713(d) of this title) 

3 in the Department; 

4 ‘‘(ii) an individual employed in a confiden5 tial, policy-making, policy-determining, or pol6 icy-advocating position in the Department; or 

7 ‘‘(iii) a supervisory employee, if the allega8 tion involves retaliation against an employee for 

9 making a whistleblower disclosure. 

10 ‘‘(I) Making such recommendations to the Sec11 retary for disciplinary action as the Assistant Sec12 retary considers appropriate after substantiating any 

13 allegation of misconduct or poor performance pursu14 ant to an investigation carried out as described in 

15 subparagraph (F) or (H). 

16 ‘‘(2) In carrying out the functions of the Office, the 

17 Assistant Secretary shall ensure that the Office maintains 

18 a toll-free telephone number and Internet website to re19 ceive anonymous whistleblower disclosures. 

20 ‘‘(3) In any case in which the Assistant Secretary re21 ceives a whistleblower disclosure from an employee of the 

22 Department under paragraph (1)(C), the Assistant Sec23 retary may not disclose the identity of the employee with24 out the consent of the employee, except in accordance with 
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1 the provisions of section 552a of title 5, or as required 

2 by any other applicable provision of Federal law. 

3 ‘‘(d) STAFF AND RESOURCES.—The Secretary shall 

4 ensure that the Assistant Secretary has such staff, re5 sources, and access to information as may be necessary 

6 to carry out the functions of the Office. 

7 ‘‘(e) RELATION TO OFFICE OF GENERAL COUN8 SEL.—The Office shall not be established as an element 

9 of the Office of the General Counsel and the Assistant 

10 Secretary may not report to the General Counsel. 

11 ‘‘(f) REPORTS.—(1)(A) Not later than June 30 of 

12 each calendar year, beginning with June 30, 2017, the As13 sistant Secretary shall submit to the Committee on Vet14 erans’ Affairs of the Senate and the Committee on Vet15 erans’ Affairs of the House of Representatives a report 

16 on the activities of the Office during the calendar year 

17 in which the report is submitted. 

18 ‘‘(B) Each report submitted under subparagraph (A) 

19 shall include, for the period covered by the report, the fol20 lowing: 

21 ‘‘(i) A full and substantive analysis of the ac22 tivities of the Office, including such statistical infor23 mation as the Assistant Secretary considers appro24 priate. 
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1 ‘‘(ii) Identification of any issues reported to the 

2 Secretary under subsection (c)(1)(G), including such 

3 data as the Assistant Secretary considers relevant to 

4 such issues and any trends the Assistant Secretary 

5 may have identified with respect to such issues. 

6 ‘‘(iii) Identification of such concerns as the As7 sistant Secretary may have regarding the size, staff8 ing, and resources of the Office and such rec9 ommendations as the Assistant Secretary may have 

10 for legislative or administrative action to address 

11 such concerns. 

12 ‘‘(iv) Such recommendations as the Assistant 

13 Secretary may have for legislative or administrative 

14 action to improve— 

15 ‘‘(I) the process by which concerns are re16 ported to the Office; and 

17 ‘‘(II) the protection of whistleblowers with18 in the Department. 

19 ‘‘(v) Such other matters as the Assistant Sec20 retary considers appropriate regarding the functions 

21 of the Office or other matters relating to the Office. 

22 ‘‘(2) If the Secretary receives a recommendation for 

23 disciplinary action under subsection (c)(1)(I) and does not 

24 take or initiate the recommended disciplinary action before 

25 the date that is 60 days after the date on which the Sec-
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1 retary received the recommendation, the Secretary shall 

2 submit to the Committee on Veterans’ Affairs of the Sen3 ate and the Committee on Veterans’ Affairs of the House 

4 of Representatives a detailed justification for not taking 

5 or initiating such disciplinary action. 

6 ‘‘(g) DEFINITIONS.—In this section: 

7 ‘‘(1) The term ‘supervisory employee’ means an 

8 employee of the Department who is a supervisor as 

9 defined in section 7103(a) of title 5. 

10 ‘‘(2) The term ‘whistleblower’ means one who 

11 makes a whistleblower disclosure. 

12 ‘‘(3) The term ‘whistleblower disclosure’ means 

13 any disclosure of information by an employee of the 

14 Department or individual applying to become an em15 ployee of the Department which the employee or in16 dividual reasonably believes evidences— 

17 ‘‘(A) a violation of a law, rule, or regula18 tion; or 

19 ‘‘(B) gross mismanagement, a gross waste 

20 of funds, an abuse of authority, or a substantial 

21 and specific danger to public health or safety.’’. 

22 (b) CONFORMING AMENDMENT.—Section 308(b) of 

23 such title is amended by adding at the end the following 

24 new paragraph: 
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1 ‘‘(12) The functions set forth in section 323(c) 

2 of this title.’’. 

3 (c) CLERICAL AMENDMENT.—The table of sections 

4 at the beginning of chapter 3 of such title is amended by 

5 adding at the end the following new item: 

‘‘323. Office of Accountability and Whistleblower Protection.’’. 

6 SEC. 102. PROTECTION OF WHISTLEBLOWERS IN DEPART7 MENT OF VETERANS AFFAIRS. 

8 (a) IN GENERAL.—Subchapter II of chapter 7 of title 

9 38, United States Code, is amended by— 

10 (1) striking sections 731, 732, 734, 735, and 

11 736; 

12 (2) by redesignating section 733 as section 731; 

13 and 

14 (3) by adding at the end the following new sec15 tions: 

16 ‘‘§ 732. Protection of whistleblowers as criteria in 

17 evaluation of supervisors 

18 ‘‘(a) DEVELOPMENT AND USE OF CRITERIA RE19 QUIRED.—The Secretary, in consultation with the Assist20 ant Secretary of Accountability and Whistleblower Protec21 tion, shall develop criteria that— 

22 ‘‘(1) the Secretary shall use as a critical ele23 ment in any evaluation of the performance of a su24 pervisory employee; and 

25 ‘‘(2) promotes the protection of whistleblowers. 
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1 ‘‘(b) PRINCIPLES FOR PROTECTION OF WHISTLE2 BLOWERS.—The criteria required by subsection (a) shall 

3 include principles for the protection of whistleblowers, 

4 such as the degree to which supervisory employees respond 

5 constructively when employees of the Department report 

6 concerns, take responsible action to resolve such concerns, 

7 and foster an environment in which employees of the De8 partment feel comfortable reporting concerns to super9 visory employees or to the appropriate authorities. 

10 ‘‘(c) SUPERVISORY EMPLOYEE AND WHISTLE11 BLOWER DEFINED.—In this section, the terms ‘super12 visory employee’ and ‘whistleblower’ have the meanings 

13 given such terms in section 323 of this title. 

14 ‘‘§ 733. Training regarding whistleblower disclosures 

15 ‘‘(a) TRAINING.—Not less frequently than once every 

16 two years, the Secretary, in coordination with the Whistle17 blower Protection Ombudsman designated under section 

18 3(d)(1)(C) of the Inspector General Act of 1978 (5 U.S.C. 

19 App.), shall provide to each employee of the Department 

20 training regarding whistleblower disclosures, including— 

21 ‘‘(1) an explanation of each method established 

22 by law in which an employee may file a whistle23 blower disclosure; 
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1 ‘‘(2) the right of the employee to petition Con2 gress regarding a whistleblower disclosure in accord3 ance with section 7211 of title 5; 

4 ‘‘(3) an explanation that the employee may not 

5 be prosecuted or reprised against for disclosing in6 formation to Congress, the Inspector General, or an7 other investigatory agency in instances where such 

8 disclosure is permitted by law, including under sec9 tions 5701, 5705, and 7732 of this title, under sec10 tion 552a of title 5 (commonly referred to as the 

11 Privacy Act), under chapter 93 of title 18, and pur12 suant to regulations promulgated under section 

13 264(c) of the Health Insurance Portability and Ac14 countability Act of 1996 (Public Law 104–191); 

15 ‘‘(4) an explanation of the language that is re16 quired to be included in all nondisclosure policies, 

17 forms, and agreements pursuant to section 

18 115(a)(1) of the Whistleblower Protection Enhance19 ment Act of 2012 (5 U.S.C. 2302 note); and 

20 ‘‘(5) the right of contractors to be protected 

21 from reprisal for the disclosure of certain informa22 tion under section 4705 or 4712 of title 41. 

23 ‘‘(b) MANNER TRAINING IS PROVIDED.—The Sec24 retary shall ensure, to the maximum extent practicable, 
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1 that training provided under subsection (a) is provided in 

2 person. 

3 ‘‘(c) CERTIFICATION.—Not less frequently than once 

4 every two years, the Secretary shall provide training on 

5 merit system protection in a manner that the Special 

6 Counsel certifies as being satisfactory. 

7 ‘‘(d) PUBLICATION.—The Secretary shall publish on 

8 the Internet website of the Department, and display 

9 prominently at each facility of the Department, the rights 

10 of an employee to make a whistleblower disclosure, includ11 ing the information described in paragraphs (1) through 

12 (5) of subsection (a). 

13 ‘‘(e) WHISTLEBLOWER DISCLOSURE DEFINED.—In 

14 this section, the term ‘whistleblower disclosure’ has the 

15 meaning given such term in section 323 of this title.’’. 

16 (b) CLERICAL AMENDMENTS.—The table of sections 

17 at the beginning of such chapter is amended— 

18 (1) by striking the items relating to sections 

19 731 through 736; and 

20 (2) by adding at the end the following new 

21 items: 

‘‘731. Adverse actions against supervisory employees who commit prohibited personnel actions relating to whistleblower complaints. 

‘‘732. Protection of whistleblowers as criteria in evaluation of supervisors. 

‘‘733. Training regarding whistleblower disclosures.’’. 
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1 (c) CONFORMING AMENDMENTS.—Section 731 of 

2 such title, as redesignated by subsection (a)(2), is amend3 ed— 

4 (1) in subsection (c)— 

5 (A) in paragraph (1)— 

6 (i) by striking subparagraphs (A) and 

7 (B) and inserting the following: 

8 ‘‘(A) making a whistleblower disclosure to 

9 the Assistant Secretary for Accountability and 

10 Whistleblower Protection, the Inspector General 

11 of the Department, the Special Counsel, or 

12 Congress;’’; and 

13 (ii) by redesignating subparagraphs 

14 (C) through (F) as subparagraphs (B) 

15 through (E), respectively; and 

16 (iii) in subparagraph (B), as redesig17 nated by clause (ii), by striking ‘‘complaint 

18 in accordance with section 732 or with’’ 

19 and inserting ‘‘disclosure made to the As20 sistant Secretary for Accountability and 

21 Whistleblower Protection,’’; and 

22 (B) in paragraph (2), by striking ‘‘through 

23 (F)’’ and inserting ‘‘through (E)’’; and 

24 (2) by adding at the end the following new sub25 section: 
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1 ‘‘(d) WHISTLEBLOWER DISCLOSURE DEFINED.—In 

2 this section, the term ‘whistleblower disclosure’ has the 

3 meaning given such term in section 323(g) of this title.’’. 

4 SEC. 103. REPORT ON METHODS USED TO INVESTIGATE EM5 PLOYEES OF DEPARTMENT OF VETERANS AF6 FAIRS. 

7 (a) REPORT REQUIRED.—Not later than 540 days 

8 after the date of the enactment of this Act, the Assistant 

9 Secretary for Accountability and Whistleblower Protection 

10 shall submit to the Secretary of Veterans Affairs, the 

11 Committee on Veterans’ Affairs of the Senate, and the 

12 Committee on Veterans’ Affairs of the House of Rep13 resentatives a report on methods used to investigate em14 ployees of the Department of Veterans Affairs and wheth15 er such methods are used to retaliate against whistle16 blowers. 

17 (b) CONTENTS.—The report required by subsection 

18 (a) shall include the following: 

19 (1) An assessment of the use of administrative 

20 investigation boards, peer review, searches of med21 ical records, and other methods for investigating em22 ployees of the Department. 

23 (2) A determination of whether and to what de24 gree the methods described in paragraph (1) are 

25 being used to retaliate against whistleblowers. 
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1 (3) Recommendations for legislative or adminis2 trative action to implement safeguards to prevent 

3 the retaliation described in paragraph (2). 

4 (c) WHISTLEBLOWER DEFINED.—In this section, the 

5 term ‘‘whistleblower’’ has the meaning given such term in 

6 section 323 of title 38, United States Code, as added by 

7 section 101. 

8 TITLE II—ACCOUNTABILITY OF 

9 SENIOR EXECUTIVES, SUPER10 VISORS, AND OTHER EMPLOY11 EES 

12 SEC. 201. IMPROVED AUTHORITIES OF SECRETARY OF VET13 ERANS AFFAIRS TO IMPROVE ACCOUNT14 ABILITY OF SENIOR EXECUTIVES. 

15 (a) IN GENERAL.—Section 713 of title 38, United 

16 States Code, is amended to read as follows: 

17 ‘‘§ 713. Senior executives: removal, demotion, or sus18 pension based on performance or mis19 conduct 

20 ‘‘(a) AUTHORITY.—(1) The Secretary may, as pro21 vided in this section, reprimand or suspend, involuntarily 

22 reassign, demote, or remove a covered individual from a 

23 senior executive position at the Department if the Sec24 retary determines that the misconduct or performance of 

25 the covered individual warrants such action. 
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1 ‘‘(2) If the Secretary so removes such an individual, 

2 the Secretary may remove the individual from the civil 

3 service (as defined in section 2101 of title 5). 

4 ‘‘(b) RIGHTS AND PROCEDURES.—(1) A covered indi5 vidual who is the subject of an action under subsection 

6 (a) is entitled to— 

7 ‘‘(A) advance notice of the action and a file 

8 containing all evidence in support of the proposed 

9 action; 

10 ‘‘(B) be represented by an attorney or other 

11 representative of the covered individual’s choice; and 

12 ‘‘(C) grieve the action in accordance with an in13 ternal grievance process that the Secretary, in con14 sultation with the Assistant Secretary for Account15 ability and Whistleblower Protection, shall establish 

16 for purposes of this subsection. 

17 ‘‘(2)(A) The aggregate period for notice, response, 

18 and decision on an action under subsection (a) may not 

19 exceed 15 business days. 

20 ‘‘(B) The period for the response of a covered indi21 vidual to a notice under paragraph (1)(A) of an action 

22 under subsection (a) shall be 7 business days. 

23 ‘‘(C) A decision under this paragraph on an action 

24 under subsection (a) shall be issued not later than 15 busi25 ness days after notice of the action is provided to the cov-
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1 ered individual under paragraph (1)(A). The decision shall 

2 be in writing, and shall include the specific reasons there3 for. 

4 ‘‘(3) The Secretary shall ensure that the grievance 

5 process established under paragraph (1)(C) takes fewer 

6 than 21 days. 

7 ‘‘(4) A decision under paragraph (2) that is not 

8 grieved, and a grievance decision under paragraph (3), 

9 shall be final and conclusive. 

10 ‘‘(5) A covered individual adversely affected by a deci11 sion under paragraph (2) that is not grieved, or by a griev12 ance decision under paragraph (3), may obtain judicial re13 view of such decision. 

14 ‘‘(6) In any case in which judicial review is sought 

15 under paragraph (5), the court shall review the record and 

16 may set aside any Department action found to be— 

17 ‘‘(A) arbitrary, capricious, an abuse of discre18 tion, or otherwise not in accordance with a provision 

19 of law; 

20 ‘‘(B) obtained without procedures required by a 

21 provision of law having been followed; or 

22 ‘‘(C) unsupported by substantial evidence. 

23 ‘‘(c) RELATION TO OTHER PROVISIONS OF LAW.— 

24 Section 3592(b)(1) of title 5 and the procedures under 
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1 section 7543(b) of such title do not apply to an action 

2 under subsection (a). 

3 ‘‘(d) DEFINITIONS.—In this section: 

4 ‘‘(1) The term ‘covered individual’ means— 

5 ‘‘(A) a career appointee (as that term is 

6 defined in section 3132(a)(4) of title 5); or 

7 ‘‘(B) any individual who occupies an ad8 ministrative or executive position and who was 

9 appointed under section 7306(a), section 

10 7401(1), or section 7401(4) of this title. 

11 ‘‘(2) The term ‘misconduct’ includes neglect of 

12 duty, malfeasance, or failure to accept a directed re13 assignment or to accompany a position in a transfer 

14 of function. 

15 ‘‘(3) The term ‘senior executive position’ 

16 means— 

17 ‘‘(A) with respect to a career appointee (as 

18 that term is defined in section 3132(a) of title 

19 5), a Senior Executive Service position (as such 

20 term is defined in such section); and 

21 ‘‘(B) with respect to a covered individual 

22 appointed under section 7306(a) or section 

23 7401(1) of this title, an administrative or exec24 utive position.’’. 
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1 (b) CONFORMING AMENDMENT.—Section 7461(c)(1) 

2 of such title is amended by inserting ‘‘employees in senior 

3 executive positions (as defined in section 713(d) of this 

4 title) and’’ before ‘‘interns’’. 

5 (c) CLERICAL AMENDMENT.—The table of sections 

6 at the beginning of chapter 7 of such title is amended by 

7 striking the item relating to section 713 and inserting the 

8 following new item: 

‘‘713. Senior executives: removal, demotion, or suspension based on performance 

or misconduct.’’. 

9 SEC. 202. IMPROVED AUTHORITIES OF SECRETARY OF VET10 ERANS AFFAIRS TO IMPROVE ACCOUNT11 ABILITY OF EMPLOYEES. 

12 (a) IN GENERAL.—Subchapter I of chapter 7 of title 

13 38, United States Code, is amended by inserting after sec14 tion 713 the following new section: 

15 ‘‘§ 714. Employees: removal, demotion, or suspension 

16 based on performance or misconduct 

17 ‘‘(a) IN GENERAL.—(1) The Secretary may remove, 

18 demote, or suspend a covered individual who is an em19 ployee of the Department if the Secretary determines the 

20 performance or misconduct of the covered individual war21 rants such removal, demotion, or suspension. 

22 ‘‘(2) If the Secretary so removes, demotes, or sus23 pends such a covered individual, the Secretary may— 
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1 ‘‘(A) remove the covered individual from the 

2 civil service (as defined in section 2101 of title 5); 

3 ‘‘(B) demote the covered individual by means of 

4 a reduction in grade for which the covered individual 

5 is qualified, that the Secretary determines is appro6 priate, and that reduces the annual rate of pay of 

7 the covered individual; or 

8 ‘‘(C) suspend the covered individual. 

9 ‘‘(b) PAY OF CERTAIN DEMOTED INDIVIDUALS.—(1) 

10 Notwithstanding any other provision of law, any covered 

11 individual subject to a demotion under subsection (a)(2) 

12 shall, beginning on the date of such demotion, receive the 

13 annual rate of pay applicable to such grade. 

14 ‘‘(2)(A) A covered individual so demoted may not be 

15 placed on administrative leave during the period during 

16 which an appeal (if any) under this section is ongoing, 

17 and may only receive pay if the covered individual reports 

18 for duty or is approved to use accrued unused annual, 

19 sick, family medical, military, or court leave. 

20 ‘‘(B) If a covered individual so demoted does not re21 port for duty or receive approval to use accrued unused 

22 leave, such covered individual shall not receive pay or 

23 other benefits pursuant to subsection (d)(5). 

24 ‘‘(c) PROCEDURE.—(1)(A) The aggregate period for 

25 notice, response, and final decision in a removal, demotion, 
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1 or suspension under this section may not exceed 15 busi2 ness days. 

3 ‘‘(B) The period for the response of a covered indi4 vidual to a notice of a proposed removal, demotion, or sus5 pension under this section shall be 7 business days. 

6 ‘‘(C) Paragraph (3) of subsection (b) of section 7513 

7 of title 5 shall apply with respect to a removal, demotion, 

8 or suspension under this section. 

9 ‘‘(D) The procedures in this subsection shall super10 sede any collective bargaining agreement to the extent that 

11 such agreement is inconsistent with such procedures. 

12 ‘‘(2) The Secretary shall issue a final decision with 

13 respect to a removal, demotion, or suspension under this 

14 section not later than 15 business days after the Secretary 

15 provides notice, including a file containing all the evidence 

16 in support of the proposed action, to the covered individual 

17 of the removal, demotion, or suspension. The decision shall 

18 be in writing and shall include the specific reasons there19 for. 

20 ‘‘(3) The procedures under chapter 43 of title 5 shall 

21 not apply to a removal, demotion, or suspension under this 

22 section. 

23 ‘‘(4)(A) Subject to subparagraph (B) and subsection 

24 (d), any removal or demotion under this section, and any 

25 suspension of more than 14 days under this section, may 
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1 be appealed to the Merit Systems Protection Board, which 

2 shall refer such appeal to an administrative judge pursu3 ant to section 7701(b)(1) of title 5. 

4 ‘‘(B) An appeal under subparagraph (A) of a re5 moval, demotion, or suspension may only be made if such 

6 appeal is made not later than 10 business days after the 

7 date of such removal, demotion, or suspension. 

8 ‘‘(d) EXPEDITED REVIEW.—(1) Upon receipt of an 

9 appeal under subsection (c)(4)(A), the administrative 

10 judge shall expedite any such appeal under section 

11 7701(b)(1) of title 5 and, in any such case, shall issue 

12 a final and complete decision not later than 180 days after 

13 the date of the appeal. 

14 ‘‘(2)(A) Notwithstanding section 7701(c)(1)(B) of 

15 title 5, the administrative judge shall uphold the decision 

16 of the Secretary to remove, demote, or suspend an em17 ployee under subsection (a) if the decision is supported 

18 by substantial evidence. 

19 ‘‘(B) Notwithstanding title 5 or any other provision 

20 of law, if the decision of the Secretary is supported by 

21 substantial evidence, the administrative judge shall not 

22 mitigate the penalty prescribed by the Secretary. 

23 ‘‘(3)(A) The decision of the administrative judge 

24 under paragraph (1) may be appealed to the Merit Sys25 tems Protection Board. 
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1 ‘‘(B) Notwithstanding section 7701(c)(1)(B) of title 

2 5, the Merit Systems Protection Board shall uphold the 

3 decision of the Secretary to remove, demote, or suspend 

4 an employee under subsection (a) if the decision is sup5 ported by substantial evidence. 

6 ‘‘(C) Notwithstanding title 5 or any other provision 

7 of law, if the decision of the Secretary is supported by 

8 substantial evidence, the Merit Systems Protection Board 

9 shall not mitigate the penalty prescribed by the Secretary. 

10 ‘‘(4) In any case in which the administrative judge 

11 cannot issue a decision in accordance with the 180-day 

12 requirement under paragraph (1), the Merit Systems Pro13 tection Board shall, not later than 14 business days after 

14 the expiration of the 180-day period, submit to the Com15 mittee on Veterans’ Affairs of the Senate and the Com16 mittee on Veterans’ Affairs of the House of Representa17 tives a report that explains the reasons why a decision was 

18 not issued in accordance with such requirement. 

19 ‘‘(5)(A) A decision of the Merit Systems Protection 

20 Board under paragraph (3) may be appealed to the United 

21 States Court of Appeals for the Federal Circuit pursuant 

22 to section 7703 of title 5 or to any court of appeals of 

23 competent jurisdiction pursuant to subsection (b)(1)(B) of 

24 such section. 
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1 ‘‘(B) Any decision by such Court shall be in compli2 ance with section 7462(f)(2) of this title. 

3 ‘‘(6) The Merit Systems Protection Board may not 

4 stay any removal or demotion under this section, except 

5 as provided in section 1214(b) of title 5. 

6 ‘‘(7) During the period beginning on the date on 

7 which a covered individual appeals a removal from the civil 

8 service under subsection (c) and ending on the date that 

9 the United States Court of Appeals for the Federal Circuit 

10 issues a final decision on such appeal, such covered indi11 vidual may not receive any pay, awards, bonuses, incen12 tives, allowances, differentials, student loan repayments, 

13 special payments, or benefits related to the employment 

14 of the individual by the Department. 

15 ‘‘(8) To the maximum extent practicable, the Sec16 retary shall provide to the Merit Systems Protection 

17 Board such information and assistance as may be nec18 essary to ensure an appeal under this subsection is expe19 dited. 

20 ‘‘(9) If an employee prevails on appeal under this sec21 tion, the employee shall be entitled to backpay (as pro22 vided in section 5596 of title 5). 

23 ‘‘(10) If an employee who is subject to a collective 

24 bargaining agreement chooses to grieve an action taken 

25 under this section through a grievance procedure provided 
26 

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1 under the collective bargaining agreement, the timelines 

2 and procedures set forth in subsection (c) and this sub3 section shall apply. 

4 ‘‘(e) WHISTLEBLOWER PROTECTION.—(1) In the 

5 case of a covered individual seeking corrective action (or 

6 on behalf of whom corrective action is sought) from the 

7 Office of Special Counsel based on an alleged prohibited 

8 personnel practice described in section 2302(b) of title 5, 

9 the Secretary may not remove, demote, or suspend such 

10 covered individual under subsection (a) without the ap11 proval of the Special Counsel under section 1214(f) of title 

12 5. 

13 ‘‘(2) In the case of a covered individual who has made 

14 a whistleblower disclosure to the Assistant Secretary for 

15 Accountability and Whistleblower Protection, the Sec16 retary may not remove, demote, or suspend such covered 

17 individual under subsection (a) until— 

18 ‘‘(A) in the case in which the Assistant Sec19 retary determines to refer the whistleblower disclo20 sure under section 323(c)(1)(D) of this title to an 

21 office or other investigative entity, a final decision 

22 with respect to the whistleblower disclosure has been 

23 made by such office or other investigative entity; or 

24 ‘‘(B) in the case in which the Assistant Sec25 retary determines not to the refer the whistleblower 
27 

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1 disclosure under such section, the Assistant Sec2 retary makes such determination. 

3 ‘‘(f) TERMINATION OF INVESTIGATIONS BY OFFICE

4 OF SPECIAL COUNSEL.—(1) Notwithstanding any other 

5 provision of law, the Special Counsel (established by sec6 tion 1211 of title 5) may terminate an investigation of 

7 a prohibited personnel practice alleged by an employee or 

8 former employee of the Department after the Special 

9 Counsel provides to the employee or former employee a 

10 written statement of the reasons for the termination of 

11 the investigation. 

12 ‘‘(2) Such statement may not be admissible as evi13 dence in any judicial or administrative proceeding without 

14 the consent of such employee or former employee. 

15 ‘‘(g) VACANCIES.—In the case of a covered individual 

16 who is removed or demoted under subsection (a), to the 

17 maximum extent feasible, the Secretary shall fill the va18 cancy arising as a result of such removal or demotion. 

19 ‘‘(h) DEFINITIONS.—In this section: 

20 ‘‘(1) The term ‘covered individual’ means an in21 dividual occupying a position at the Department, but 

22 does not include— 

23 ‘‘(A) an individual occupying a senior exec24 utive position (as defined in section 713(d) of 

25 this title); 
28 

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1 ‘‘(B) an individual appointed pursuant to 

2 sections 7306, 7401(1), 7401(4), or 7405 of 

3 this title; 

4 ‘‘(C) an individual who has not completed 

5 a probationary or trial period; or 

6 ‘‘(D) a political appointee. 

7 ‘‘(2) The term ‘suspend’ means the placing of 

8 an employee, for disciplinary reasons, in a temporary 

9 status without duties and pay for a period in excess 

10 of 14 days. 

11 ‘‘(3) The term ‘grade’ has the meaning given 

12 such term in section 7511(a) of title 5. 

13 ‘‘(4) The term ‘misconduct’ includes neglect of 

14 duty, malfeasance, or failure to accept a directed re15 assignment or to accompany a position in a transfer 

16 of function. 

17 ‘‘(5) The term ‘political appointee’ means an in18 dividual who is— 

19 ‘‘(A) employed in a position described 

20 under sections 5312 through 5316 of title 5 

21 (relating to the Executive Schedule); 

22 ‘‘(B) a limited term appointee, limited 

23 emergency appointee, or noncareer appointee in 

24 the Senior Executive Service, as defined under 
29 

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1 paragraphs (5), (6), and (7), respectively, of 

2 section 3132(a) of title 5; or 

3 ‘‘(C) employed in a position of a confiden4 tial or policy-determining character under 

5 schedule C of subpart C of part 213 of title 5, 

6 Code of Federal Regulations, or successor regu7 lation. 

8 ‘‘(6) The term ‘whistleblower disclosure’ has the 

9 meaning given such term in section 323(g) of this 

10 title.’’. 

11 (b) CLERICAL AND CONFORMING AMENDMENTS.— 

12 (1) CLERICAL.—The table of sections at the be13 ginning of chapter 7 of such title is amended by in14 serting after the item relating to section 713 the fol15 lowing new item: 

‘‘714. Employees: removal, demotion, or suspension based on performance or 

misconduct.’’. 

16 (2) CONFORMING.—Section 4303(f) of title 5, 

17 United States Code, is amended— 

18 (A) in paragraph (2), by striking ‘‘or’’ at 

19 the end; 

20 (B) in paragraph (3), by striking the pe21 riod at the end and inserting ‘‘, or’’; and 

22 (C) by adding at the end the following: 

23 ‘‘(4) any removal or demotion under section 

24 714 of title 38.’’. 
30 

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1 SEC. 203. REDUCTION OF BENEFITS FOR DEPARTMENT OF 

2 VETERANS AFFAIRS EMPLOYEES CONVICTED 

3 OF CERTAIN CRIMES. 

4 (a) REDUCTION OF BENEFITS.— 

5 (1) IN GENERAL.—Subchapter I of chapter 7 of 

6 title 38, United States Code, is amended by adding 

7 at the end the following new section: 

8 ‘‘§ 719. Reduction of benefits of employees convicted 

9 of certain crimes 

10 ‘‘(a) REDUCTION OF ANNUITY FOR REMOVED EM11 PLOYEE.—(1) The Secretary shall order that the covered 

12 service of an employee of the Department removed from 

13 a position for performance or misconduct under section 

14 713, 714, or 7461 of this title or any other provision of 

15 law shall not be taken into account for purposes of calcu16 lating an annuity with respect to such individual under 

17 chapter 83 or chapter 84 of title 5, if— 

18 ‘‘(A) the Secretary determines that the indi19 vidual is convicted of a felony (and the conviction is 

20 final) that influenced the individual’s performance 

21 while employed in the position; and 

22 ‘‘(B) before such order is made, the individual 

23 is afforded— 

24 ‘‘(i) notice of the proposed order; and 
31 

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1 ‘‘(ii) an opportunity to respond to the pro2 posed order by not later than ten business days 

3 following receipt of such notice; and 

4 ‘‘(C) the Secretary issues the order— 

5 ‘‘(i) in the case of a proposed order to 

6 which an individual responds under subpara7 graph (B)(ii), not later than five business days 

8 after receiving the response of the individual; or 

9 ‘‘(ii) in the case of a proposed order to 

10 which an individual does not respond, not later 

11 than 15 business days after the Secretary pro12 vides notice to the individual under subpara13 graph (B)(i). 

14 ‘‘(2) Any individual with respect to whom an annuity 

15 is reduced under this subsection may appeal the reduction 

16 to the Director of the Office of Personnel Management 

17 pursuant to such regulations as the Director may pre18 scribe for purposes of this subsection. 

19 ‘‘(b) REDUCTION OF ANNUITY FOR RETIRED EM20 PLOYEE.—(1) The Secretary may order that the covered 

21 service of an individual who the Secretary proposes to re22 move for performance or misconduct under section 713, 

23 714, or 7461 of this title or any other provision of law 

24 but who leaves employment at the Department prior to 

25 the issuance of a final decision with respect to such action 
32 

†S 1094 ES

1 shall not be taken into account for purposes of calculating 

2 an annuity with respect to such individual under chapter 

3 83 or chapter 84 of title 5, if— 

4 ‘‘(A) the Secretary determines that individual is 

5 convicted of a felony (and the conviction is final) 

6 that influenced the individual’s performance while 

7 employed in the position; and 

8 ‘‘(B) before such order is made, the individual 

9 is afforded— 

10 ‘‘(i) notice of the proposed order; 

11 ‘‘(ii) opportunity to respond to the pro12 posed order by not later than ten business days 

13 following receipt of such notice; and 

14 ‘‘(C) the Secretary issues the order— 

15 ‘‘(i) in the case of a proposed order to 

16 which an individual responds under subpara17 graph (B)(ii), not later than five business days 

18 after receiving the response of the individual; or 

19 ‘‘(ii) in the case of a proposed order to 

20 which an individual does not respond, not later 

21 than 15 business days after the Secretary pro22 vides notice to the individual under subpara23 graph (B)(i). 

24 ‘‘(2) Upon the issuance of an order by the Secretary 

25 under paragraph (1), the individual shall have an oppor-
33 

†S 1094 ES

1 tunity to appeal the order to the Director of the Office 

2 of Personnel Management before the date that is seven 

3 business days after the date of such issuance. 

4 ‘‘(3) The Director of the Office of Personnel Manage5 ment shall make a final decision with respect to an appeal 

6 under paragraph (2) within 30 business days of receiving 

7 the appeal. 

8 ‘‘(c) ADMINISTRATIVE REQUIREMENTS.—Not later 

9 than 37 business days after the Secretary issues a final 

10 order under subsection (a) or (b) with respect to an indi11 vidual, the Director of the Office of Personnel Manage12 ment shall recalculate the annuity of the individual. 

13 ‘‘(d) LUMP-SUM ANNUITY CREDIT.—Any individual 

14 with respect to whom an annuity is reduced under sub15 section (a) or (b) shall be entitled to be paid so much of 

16 such individual’s lump-sum credit as is attributable to the 

17 period of covered service. 

18 ‘‘(e) SPOUSE OR CHILDREN EXCEPTION.—(1) The 

19 Secretary, in consultation with the Director of the Office 

20 of Personnel Management, shall prescribe regulations that 

21 may provide for the payment to the spouse or children 

22 of any individual referred to in subsection (a) or (b) of 

23 any amounts which (but for this subsection) would other24 wise have been nonpayable by reason of such subsections. 
34 

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1 ‘‘(2) Regulations prescribed under paragraph (1) 

2 shall be consistent with the requirements of section 

3 8332(o)(5) and 8411(l)(5) of title 5, as the case may be. 

4 ‘‘(f) DEFINITIONS.—In this section: 

5 ‘‘(1) The term ‘covered service’ means, with re6 spect to an individual subject to a removal for per7 formance or misconduct under section 719 or 7461 

8 of this title or any other provision of law, the period 

9 of service beginning on the date that the Secretary 

10 determines under such applicable provision that the 

11 individual engaged in activity that gave rise to such 

12 action and ending on the date that the individual is 

13 removed from or leaves a position of employment at 

14 the Department prior to the issuance of a final deci15 sion with respect to such action. 

16 ‘‘(2) The term ‘lump-sum credit’ has the mean17 ing given such term in section 8331(8) or section 

18 8401(19) of title 5, as the case may be. 

19 ‘‘(3) The term ‘service’ has the meaning given 

20 such term in section 8331(12) or section 8401(26) 

21 of title 5, as the case may be.’’. 

22 (2) CLERICAL AMENDMENT.—The table of sec23 tions at the beginning of chapter 7 of such title is 

24 amended by inserting after the item relating to sec25 tion 717 the following new item: 

‘‘719. Reduction of benefits of employees convicted of certain crimes.’’. 
35 

†S 1094 ES

1 (b) APPLICATION.—Section 719 of title 38, United 

2 States Code, as added by subsection (a)(1), shall apply 

3 to any action of removal of an employee of the Department 

4 of Veterans Affairs under section 719 or 7461 of such title 

5 or any other provision of law, commencing on or after the 

6 date of the enactment of this Act. 

7 SEC. 204. AUTHORITY TO RECOUP BONUSES OR AWARDS 

8 PAID TO EMPLOYEES OF DEPARTMENT OF 

9 VETERANS AFFAIRS. 

10 (a) IN GENERAL.—Subchapter I of chapter 7 of title 

11 38, United States Code, as amended by section 203, is 

12 further amended by adding at the end the following new 

13 section: 

14 ‘‘§ 721. Recoupment of bonuses or awards paid to em15 ployees of Department 

16 ‘‘(a) IN GENERAL.—Notwithstanding any other pro17 vision of law, the Secretary may issue an order directing 

18 an employee of the Department to repay the amount, or 

19 a portion of the amount, of any award or bonus paid to 

20 the employee under title 5, including under chapters 45 

21 or 53 of such title, or this title if— 

22 ‘‘(1) the Secretary determines that the indi23 vidual engaged in misconduct or poor performance 

24 prior to payment of the award or bonus, and that 

25 such award or bonus would not have been paid, in 
36 

†S 1094 ES

1 whole or in part, had the misconduct or poor per2 formance been known prior to payment; and 

3 ‘‘(2) before such repayment, the employee is af4 forded— 

5 ‘‘(A) notice of the proposed order; and 

6 ‘‘(B) an opportunity to respond to the pro7 posed order by not later than 10 business days 

8 after the receipt of such notice; and 

9 ‘‘(3) the Secretary issues the order— 

10 ‘‘(A) in the case of a proposed order to 

11 which an individual responds under paragraph 

12 (2)(B), not later than five business days after 

13 receiving the response of the individual; or 

14 ‘‘(B) in the case of a proposed order to 

15 which an individual does not respond, not later 

16 than 15 business days after the Secretary pro17 vides notice to the individual under paragraph 

18 (2)(A). 

19 ‘‘(b) APPEAL OF ORDER OF SECRETARY.—(1) Upon 

20 the issuance of an order by the Secretary under subsection 

21 (a) with respect to an individual, the individual shall have 

22 an opportunity to appeal the order to the Director of the 

23 Office of Personnel Management before the date that is 

24 seven business days after the date of such issuance. 
37 

†S 1094 ES

1 ‘‘(2) The Director shall make a final decision with 

2 respect to an appeal under paragraph (1) within 30 busi3 ness days after receiving such appeal.’’. 

4 (b) CLERICAL AMENDMENT.—The table of sections 

5 at the beginning of such chapter, as amended by section 

6 203(a)(2), is further amended by inserting after the item 

7 relating to section 719 the following new item: 

‘‘721. Recoupment of bonuses or awards paid to employees of Department.’’. 

8 (c) EFFECTIVE DATE.—Section 721 of title 38, 

9 United States Code, as added by subsection (a), shall 

10 apply with respect to an award or bonus paid by the Sec11 retary of Veterans Affairs to an employee of the Depart12 ment of Veterans Affairs on or after the date of the enact13 ment of this Act. 

14 (d) CONSTRUCTION.—Nothing in this Act or the 

15 amendments made by this Act may be construed to modify 

16 the certification issued by the Office of Personnel Manage17 ment and the Office of Management and Budget regarding 

18 the performance appraisal system of the Senior Executive 

19 Service of the Department of Veterans Affairs. 

20 SEC. 205. AUTHORITY TO RECOUP RELOCATION EXPENSES 

21 PAID TO OR ON BEHALF OF EMPLOYEES OF 

22 DEPARTMENT OF VETERANS AFFAIRS. 

23 (a) IN GENERAL.—Subchapter I of chapter 7 of title 

24 38, United States Code, as amended by section 204, is 
38 

†S 1094 ES

1 further amended by adding at the end the following new 

2 section: 

3 ‘‘§ 723. Recoupment of relocation expenses paid on 

4 behalf of employees of Department 

5 ‘‘(a) IN GENERAL.—Notwithstanding any other pro6 vision of law, the Secretary may issue an order directing 

7 an employee of the Department to repay the amount, or 

8 a portion of the amount, paid to or on behalf of the em9 ployee under title 5 for relocation expenses, including any 

10 expenses under section 5724 or 5724a of such title, or 

11 this title if— 

12 ‘‘(1) the Secretary determines that relocation 

13 expenses were paid following an act of fraud or mal14 feasance that influenced the authorization of the re15 location expenses; 

16 ‘‘(2) before such repayment, the employee is af17 forded— 

18 ‘‘(A) notice of the proposed order; and 

19 ‘‘(B) an opportunity to respond to the pro20 posed order not later than ten business days 

21 following the receipt of such notice; and 

22 ‘‘(3) the Secretary issues the order— 

23 ‘‘(A) in the case of a proposed order to 

24 which an individual responds under paragraph 
39 

†S 1094 ES

1 (2)(B), not later than five business days after 

2 receiving the response of the individual; or 

3 ‘‘(B) in the case of a proposed order to 

4 which an individual does not respond, not later 

5 than 15 business days after the Secretary pro6 vides notice to the individual under paragraph 

7 (2)(A). 

8 ‘‘(b) APPEAL OF ORDER OF SECRETARY.—(1) Upon 

9 the issuance of an order by the Secretary under subsection 

10 (a) with respect to an individual, the individual shall have 

11 an opportunity to appeal the order to the Director of the 

12 Office of Personnel Management before the date that is 

13 seven business days after the date of such issuance. 

14 ‘‘(2) The Director shall make a final decision with 

15 respect to an appeal under paragraph (1) within 30 days 

16 after receiving such appeal.’’. 

17 (b) CLERICAL AMENDMENT.—The table of sections 

18 at the beginning of such chapter is further amended by 

19 inserting after the item relating to section 721, as added 

20 by section 204(b), the following new item: 

‘‘723. Recoupment of relocation expenses paid on behalf of employees of Department.’’. 

21 (c) EFFECTIVE DATE.—Section 723 of title 38, 

22 United States Code, as added by subsection (a), shall 

23 apply with respect to an amount paid by the Secretary 

24 of Veterans Affairs to or on behalf of an employee of the 
40 

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1 Department of Veterans Affairs for relocation expenses on 

2 or after the date of the enactment of this Act. 

3 SEC. 206. TIME PERIOD FOR RESPONSE TO NOTICE OF AD4 VERSE ACTIONS AGAINST SUPERVISORY EM5 PLOYEES WHO COMMIT PROHIBITED PER6 SONNEL ACTIONS. 

7 Section 731(a)(2)(B) of title 38, United States Code, 

8 as redesignated by section 102(a)(2), is amended— 

9 (1) in clause (i), by striking ‘‘14 days’’ and in10 serting ‘‘10 days’’; and 

11 (2) in clause (ii), by striking ‘‘14-day period’’ 

12 and inserting ‘‘10-day period’’. 

13 SEC. 207. DIRECT HIRING AUTHORITY FOR MEDICAL CEN14 TER DIRECTORS AND VISN DIRECTORS. 

15 (a) IN GENERAL.—Section 7401 of title 38, United 

16 States Code, is amended by adding at the end the fol17 lowing new paragraph: 

18 ‘‘(4) Directors of medical centers and directors 

19 of Veterans Integrated Service Networks with dem20 onstrated ability in the medical profession, in health 

21 care administration, or in health care fiscal manage22 ment.’’. 

23 (b) CONFORMING AMENDMENTS.—Section 

24 7404(a)(1) of such title is amended— 
41 

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1 (1) by inserting ‘‘(A)’’ before ‘‘The annual’’; 

2 and 

3 (2) in subparagraph (A), as designated by para4 graph (1)— 

5 (A) by inserting ‘‘and 7401(4)’’ after 

6 ‘‘7306’’; and 

7 (B) by adding at the end the following new 

8 subparagraph: 

9 ‘‘(B) Section 5377 of title 5 shall apply to a position 

10 under section 7401(4) of this title as if such position were 

11 included in the definition of ‘position’ in section 5377(a) 

12 of title 5.’’. 

13 SEC. 208. TIME PERIODS FOR REVIEW OF ADVERSE AC14 TIONS WITH RESPECT TO CERTAIN EMPLOY15 EES. 

16 (a) PHYSICIANS, DENTISTS, PODIATRISTS, CHIRO17 PRACTORS, OPTOMETRISTS, REGISTERED NURSES, PHY18 SICIAN ASSISTANTS, AND EXPANDED-FUNCTION DENTAL

19 AUXILIARIES.—Paragraph (2) of section 7461(b) of title 

20 38, United States Code, is amended to read as follows: 

21 ‘‘(2) In any case other than a case described in para22 graph (1) that involves or includes a question of profes23 sional conduct or competence in which a major adverse 

24 action was not taken, such an appeal shall be made 
42 

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1 through Department grievance procedures under section 

2 7463 of this title.’’. 

3 (b) MAJOR ADVERSE ACTIONS INVOLVING PROFES4 SIONAL CONDUCT OR COMPETENCE.—Section 7462(b) of 

5 such title is amended— 

6 (1) in paragraph (1)— 

7 (A) in the matter preceding subparagraph 

8 (A), by inserting ‘‘, within the aggregate time 

9 period specified in paragraph (5)(A),’’ after ‘‘is 

10 entitled’’; 

11 (B) in subparagraph (A)— 

12 (i) by striking ‘‘At least 30 days ad13 vance written notice’’ and inserting ‘‘Ad14 vance written notice’’; 

15 (ii) by striking ‘‘and a statement’’ and 

16 inserting ‘‘a statement’’; and 

17 (iii) by inserting ‘‘and a file con18 taining all the evidence in support of each 

19 charge,’’ after ‘‘with respect to each 

20 charge,’’; and 

21 (C) in subparagraph (B), by striking ‘‘A 

22 reasonable time, but not less than seven days’’ 

23 and inserting ‘‘The opportunity, within the time 

24 period provided for in paragraph (4)(A)’’; 
43 

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1 (2) by striking paragraph (3) and inserting the 

2 following new paragraph (3): 

3 ‘‘(3) After considering the employee’s answer, if any, 

4 and within the time period provided for in paragraph 

5 (5)(B), the deciding official shall render a decision on the 

6 charges. The decision shall be in writing and shall include 

7 the specific reasons therefor.’’; 

8 (3) in paragraph (4)— 

9 (A) by striking subparagraph (A) and in10 serting the following new subparagraph (A): 

11 ‘‘(A) The period for the response of an employee 

12 under paragraph (1)(B) to advance written under para13 graph (1)(A) shall be seven business days.’’; and 

14 (B) in subparagraph (B), by striking ‘‘30 

15 days’’ and inserting ‘‘seven business days’’; and 

16 (4) by adding at the end the following new 

17 paragraphs: 

18 ‘‘(5)(A) The aggregate period for the resolution of 

19 charges against an employee under this subsection may 

20 not exceed 15 business days. 

21 ‘‘(B) The deciding official shall render a decision 

22 under paragraph (3) on charges under this subsection not 

23 later than 15 business days after the Under Secretary pro24 vides notice on the charges for purposes of paragraph 

25 (1)(A). 
44 

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1 ‘‘(6) The procedures in this subsection shall super2 sede any collective bargaining agreement to the extent that 

3 such agreement is inconsistent with such procedures.’’. 

4 (c) OTHER ADVERSE ACTIONS.—Section 7463(c) of 

5 such title is amended— 

6 (1) in paragraph (1), by striking ‘‘the same no7 tice and opportunity to answer with respect to those 

8 charges as provided in subparagraphs (A) and (B) 

9 of section 7462(b)(1) of this title’’ and inserting 

10 ‘‘notice and an opportunity to answer with respect to 

11 those charges in accordance with subparagraphs (A) 

12 and (B) of section 7462(b)(1) of this title, but with13 in the time periods specified in paragraph (3)’’; 

14 (2) in paragraph (2)— 

15 (A) in the matter preceding subparagraph 

16 (A), by inserting ‘‘, within the aggregate time 

17 period specified in paragraph (3)(A),’’ after ‘‘is 

18 entitled’’; 

19 (B) in subparagraph (A), by striking ‘‘an 

20 advance written notice’’ and inserting ‘‘written 

21 notice’’; and 

22 (C) in subparagraph (B), by striking ‘‘a 

23 reasonable time’’ and inserting ‘‘time to an24 swer’’; and 
45 

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1 (3) by adding at the end the following new 

2 paragraph (3): 

3 ‘‘(3)(A) The aggregate period for the resolution of 

4 charges against an employee under paragraph (1) or (2) 

5 may not exceed 15 business days. 

6 ‘‘(B) The period for the response of an employee 

7 under paragraph (1) or (2)(B) to written notice of charges 

8 under paragraph (1) or (2)(A), as applicable, shall be 

9 seven business days. 

10 ‘‘(C) The deciding official shall render a decision on 

11 charges under paragraph (1) or (2) not later than 15 busi12 ness days after notice is provided on the charges for pur13 poses of paragraph (1) or (2)(A), as applicable.’’. 

14 SEC. 209. IMPROVEMENT OF TRAINING FOR SUPERVISORS. 

15 (a) IN GENERAL.—The Secretary of Veterans Affairs 

16 shall provide to each employee of the Department of Vet17 erans Affairs who is employed as a supervisor periodic 

18 training on the following: 

19 (1) The rights of whistleblowers and how to ad20 dress a report by an employee of a hostile work envi21 ronment, reprisal, or harassment. 

22 (2) How to effectively motivate, manage, and 

23 reward the employees who report to the supervisor. 

24 (3) How to effectively manage employees who 

25 are performing at an unacceptable level and access 
46 

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1 assistance from the human resources office of the 

2 Department and the Office of the General Counsel 

3 of the Department with respect to those employees. 

4 (b) DEFINITIONS.—In this section: 

5 (1) SUPERVISOR.—The term ‘‘supervisor’’ has 

6 the meaning given such term in section 7103(a) of 

7 title 5, United States Code. 

8 (2) WHISTLEBLOWER.—The term ‘‘whistle9 blower’’ has the meaning given such term in section 

10 323(g) of title 38, United States Code, as added by 

11 section 101. 

12 SEC. 210. ASSESSMENT AND REPORT ON EFFECT ON SEN13 IOR EXECUTIVES AT DEPARTMENT OF VET14 ERANS AFFAIRS. 

15 (a) IN GENERAL.—Not later than two years after the 

16 date of the enactment of this Act, the Secretary of Vet17 erans Affairs shall— 

18 (1) measure and assess the effect of the enact19 ment of this title on the morale, engagement, hiring, 

20 promotion, retention, discipline, and productivity of 

21 individuals in senior executive positions at the De22 partment of Veterans Affairs; and 

23 (2) submit to the Committee on Veterans’ Af24 fairs of the Senate and the Committee on Veterans’ 

25 Affairs of the House of Representatives a report on 
47 

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1 the findings of the Secretary with respect to the 

2 measurement and assessment carried out under 

3 paragraph (1). 

4 (b) ELEMENTS.—The assessment required by sub5 section (a)(1) shall include the following: 

6 (1) With respect to engagement, trends in mo7 rale of individuals in senior executive positions and 

8 individuals aspiring to senior executive positions. 

9 (2) With respect to promotions— 

10 (A) whether the Department is experi11 encing an increase or decrease in the number of 

12 employees participating in leadership develop13 ment and candidate development programs with 

14 the intention of becoming candidates for senior 

15 executive positions; and 

16 (B) trends in applications to senior execu17 tive positions within the Department. 

18 (3) With respect to retention— 

19 (A) trends in retirement rates of individ20 uals in senior executive positions at the Depart21 ment; 

22 (B) trends in quit rates of individuals in 

23 senior executive positions at the Department; 

24 (C) rates of transfer of— 
48 

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1 (i) individuals from other Federal 

2 agencies into senior executive positions at 

3 the Department; and 

4 (ii) individuals from senior executive 

5 positions at the Department to other Fed6 eral agencies; and 

7 (D) trends in total loss rates by job func8 tion. 

9 (4) With respect to disciplinary processes— 

10 (A) regarding individuals in senior execu11 tive positions at the Department who are the 

12 subject of disciplinary action— 

13 (i) the length of the disciplinary proc14 ess in days for such individuals both before 

15 the date of the enactment of this Act and 

16 under the provisions of this Act described 

17 in subsection (a)(1); and 

18 (ii) the extent to which appeals by 

19 such individuals are upheld under such 

20 provisions as compared to before the date 

21 of the enactment of this Act; 

22 (B) the components or offices of the De23 partment which experience the greatest number 

24 of proposed adverse actions against individuals 

25 in senior executive positions and components 
49 

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1 and offices which experience the least relative to 

2 the size of the components or offices’ total 

3 number of senior executive positions; 

4 (C) the tenure of individuals in senior ex5 ecutive positions who are the subject of discipli6 nary action; 

7 (D) whether the individuals in senior exec8 utive positions who are the subject of discipli9 nary action have previously been disciplined; 

10 and 

11 (E) the number of instances of disciplinary 

12 action taken by the Secretary against individ13 uals in senior executive positions at the Depart14 ment as compared to governmentwide discipline 

15 against individuals in Senior Executive Service 

16 positions (as defined in section 3132(a) of title 

17 5, United States Code) as a percentage of the 

18 total number of individuals in senior executive 

19 positions at the Department and Senior Execu20 tive Service positions (as so defined). 

21 (5) With respect to hiring— 

22 (A) the degree to which the skills of newly 

23 hired individuals in senior executive positions at 

24 the Department are appropriate with respect to 

25 the needs of the Department; 
50 

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1 (B) the types of senior executive positions 

2 at the Department most commonly filled under 

3 the authorities in the provisions described in 

4 subsection (a)(1); 

5 (C) the number of senior executive posi6 tions at the Department filled by hires outside 

7 of the Department compared to hires from 

8 within the Department; 

9 (D) the length of time to fill a senior exec10 utive position at the Department and for a new 

11 hire to begin working in a new senior executive 

12 position; 

13 (E) the mission-critical deficiencies filled 

14 by newly hired individuals in senior executive 

15 positions and the connection between mission16 critical deficiencies filled under the provisions 

17 described in subsection (a) and annual perform18 ance of the Department; 

19 (F) the satisfaction of applicants for senior 

20 executive positions at the Department with the 

21 hiring process, including the clarity of job an22 nouncements, reasons for withdrawal of applica23 tions, communication regarding status of appli24 cations, and timeliness of hiring decision; and 
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1 (G) the satisfaction of newly hired individ2 uals in senior executive positions at the Depart3 ment with the hiring process and the process of 

4 joining and becoming oriented with the Depart5 ment. 

6 (c) SENIOR EXECUTIVE POSITION DEFINED.—In 

7 this section, the term ‘‘senior executive position’’ has the 

8 meaning given such term in section 713 of title 38, United 

9 States Code. 

10 SEC. 211. MEASUREMENT OF DEPARTMENT OF VETERANS 

11 AFFAIRS DISCIPLINARY PROCESS OUTCOMES 

12 AND EFFECTIVENESS. 

13 (a) MEASURING AND COLLECTING.— 

14 (1) IN GENERAL.—The Secretary of Veterans 

15 Affairs shall measure and collect information on the 

16 outcomes of disciplinary actions carried out by the 

17 Department of Veterans Affairs during the three18 year period ending on the date of the enactment of 

19 this Act and the effectiveness of such actions. 

20 (2) ELEMENTS.—In measuring and collecting 

21 pursuant to paragraph (1), the Secretary shall meas22 ure and collect information regarding the following: 

23 (A) The average time from the initiation of 

24 an adverse action against an employee at the 
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1 Department to the final resolution of that ac2 tion. 

3 (B) The number of distinct steps and lev4 els of review within the Department involved in 

5 the disciplinary process and the average length 

6 of time required to complete these steps. 

7 (C) The rate of use of alternate discipli8 nary procedures compared to traditional dis9 ciplinary procedures and the frequency with 

10 which employees who are subject to alternative 

11 disciplinary procedures commit additional of12 fenses. 

13 (D) The number of appeals from adverse 

14 actions filed against employees of the Depart15 ment, the number of appeals upheld, and the 

16 reasons for which the appeals were upheld. 

17 (E) The use of paid administrative leave 

18 during the disciplinary process and the length 

19 of such leave. 

20 (b) REPORT.— 

21 (1) IN GENERAL.—Not later than December 31, 

22 2017, the Secretary shall submit to the appropriate 

23 committees of Congress a report on the disciplinary 

24 procedures and actions of the Department. 
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1 (2) CONTENTS.—The report submitted under 

2 paragraph (1) shall include the following: 

3 (A) The information collected under sub4 section (a). 

5 (B) The findings of the Secretary with re6 spect to the measurement and collection carried 

7 out under subsection (a). 

8 (C) An analysis of the disciplinary proce9 dures and actions of the Department. 

10 (D) Suggestions for improving the discipli11 nary procedures and actions of the Department. 

12 (E) Such other matters as the Secretary 

13 considers appropriate. 

14 (3) APPROPRIATE COMMITTEES OF CON15 GRESS.—In this subsection, the term ‘‘appropriate 

16 committees of Congress’’ means— 

17 (A) the Committee on Appropriations and 

18 the Committee on Veterans’ Affairs of the Sen19 ate; and 
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1 (B) the Committee on Appropriations and 

2 the Committee on Veterans’ Affairs of the 

3 House of Representatives. 

Passed the Senate June 6, 2017. 

Attest: 

Secretary. 

115TH CONGRESS 

1ST SESSION S. 1094 

AN ACT 

To amend title 38, United States Code, to improve 

ment of Veterans Affairs, and for other purposes. the accountability of employees of the Depart-