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[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. 2170 Enrolled Bill (ENR)]

        S.2170

                      One Hundred Twelfth Congress

                                 of the

                        United States of America

                          AT THE SECOND SESSION

          Begun and held at the City of Washington on Tuesday,
            the third day of January, two thousand and twelve

                                 An Act

 
   To amend the provisions of title 5, United States Code, which are 
 commonly referred to as the ``Hatch Act'', to scale back the provision 
   forbidding certain State and local employees from seeking elective 
office, clarify the application of certain provisions to the District of 
  Columbia, and modify the penalties which may be imposed for certain 
      violations under subchapter III of chapter 73 of that title.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
    This Act may be cited as the ``Hatch Act Modernization Act of 
2012''.
SEC. 2. PERMITTING STATE AND LOCAL EMPLOYEES TO BE CANDIDATES FOR 
ELECTIVE OFFICE.
    Section 1502(a)(3) of title 5, United States Code, is amended to 
read as follows:
        ``(3) if the salary of the employee is paid completely, 
    directly or indirectly, by loans or grants made by the United 
    States or a Federal agency, be a candidate for elective office.''.
SEC. 3. APPLICABILITY OF PROVISIONS RELATING TO STATE AND LOCAL 
EMPLOYEES.
    (a) State or Local Agency.--Section 1501(2) of title 5, United 
States Code, is amended by inserting ``, or the executive branch of the 
District of Columbia, or an agency or department thereof'' before the 
semicolon.
    (b) State or Local Officer or Employee.--Section 1501(4) of title 
5, United States Code, is amended by striking subparagraph (B) and 
inserting the following:
            ``(B) an individual employed by an educational or research 
        institution, establishment, agency, or system which is 
        supported in whole or in part by--
                ``(i) a State or political subdivision thereof;
                ``(ii) the District of Columbia; or
                ``(iii) a recognized religious, philanthropic, or 
            cultural organization.''.
    (c) Exception of Certain Officers.--Section 1502(c)(3) of title 5, 
United States Code, is amended--
        (1) by striking ```or municipality'' and inserting ``, 
    municipality, or the District of Columbia'''; and
        (2) by striking ```or municipal'' and inserting ``, municipal, 
    or the District of Columbia'''.
    (d) Merit Systems Protection Board Orders.--Section 1506(a)(2) of 
title 5, United States Code, is amended by inserting ``(or in the case 
of the District of Columbia, in the District of Columbia)'' after ``the 
same State''.
    (e) Provisions Relating to Federal Employees Made Inapplicable.--
Section 7322(1) of title 5, United States Code, is amended--
        (1) in subparagraph (A), by adding ``or'' at the end;
        (2) in subparagraph (B), by striking ``or'' at the end;
        (3) by striking subparagraph (C); and
        (4) by striking ``services;'' and inserting ``services or an 
    individual employed or holding office in the government of the 
    District of Columbia;''.
    (f) Employees Residing in Certain Municipalities.--Section 7325(1) 
of title 5, United States Code, is amended to read as follows:
        ``(1) the municipality or political subdivision is--
            ``(A) the District of Columbia;
            ``(B) in Maryland or Virginia and in the immediate vicinity 
        of the District of Columbia; or
            ``(C) a municipality in which the majority of voters are 
        employed by the Government of the United States; and''.
SEC. 4. HATCH ACT PENALTIES FOR FEDERAL EMPLOYEES.
    Chapter 73 of title 5, United States Code, is amended by striking 
section 7326 and inserting the following:
``Sec. 7326. Penalties
    ``An employee or individual who violates section 7323 or 7324 shall 
be subject to removal, reduction in grade, debarment from Federal 
employment for a period not to exceed 5 years, suspension, reprimand, 
or an assessment of a civil penalty not to exceed $1,000.''.
SEC. 5. EFFECTIVE DATE.
    (a) In General.--This Act and the amendments made by this Act shall 
take effect 30 days after the date of enactment of this Act.
    (b) Applicability Rule.--
        (1) In general.--Except as provided in paragraph (2), the 
    amendment made by section 4 shall apply with respect to any 
    violation occurring before, on, or after the effective date of this 
    Act.
        (2) Exception.--The amendment made by section 4 shall not apply 
    with respect to an alleged violation if, before the effective date 
    of this Act--
            (A) the Special Counsel has presented a complaint for 
        disciplinary action, under section 1215 of title 5, United 
        States Code, with respect to the alleged violation; or
            (B) the employee alleged to have committed the violation 
        has entered into a signed settlement agreement with the Special 
        Counsel with respect to the alleged violation.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.
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