II 

113TH CONGRESS 

1ST SESSION S. 1192 

To implement common sense controls on the taxpayer-funded salaries of 

government contractors by limiting reimbursement for excessive compensation. 

IN THE SENATE OF THE UNITED STATES 

JUNE 19, 2013 

Mrs. BOXER (for herself, Mr. GRASSLEY, and Mr. MANCHIN) introduced the 

following bill; which was read twice and referred to the Committee on 

Homeland Security and Governmental Affairs 

A BILL 

To implement common sense controls on the taxpayer-funded 

salaries of government contractors by limiting reimbursement for excessive compensation. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Commonsense Con5 tractor Compensation Act of 2013’’. 

6 SEC. 2. LIMITATION ON ALLOWABLE GOVERNMENT CON7 TRACTOR COMPENSATION COSTS. 

8 (a) LIMITATION.— 


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1 (1) CIVILIAN CONTRACTS.—Section 

2 4304(a)(16) of title 41, United States Code, is 

3 amended to read as follows: 

4 ‘‘(16) Costs of compensation of contractor and 

5 subcontractor employees for a fiscal year, regardless 

6 of the contract funding source, to the extent that 

7 such compensation exceeds the annual amount pay8 able under the aggregate limitation on pay as estab9 lished by the Office of Management and Budget 

10 (currently $230,700), except that the head of an ex11 ecutive agency may establish one or more narrowly 

12 targeted exceptions for scientists, engineers, or other 

13 specialists upon a determination that such excep14 tions are needed to ensure that the executive agency 

15 has continued access to needed skills and capabili16 ties.’’. 

17 (2) DEFENSE CONTRACTS.—Section 

18 2324(e)(1)(P) of title 10, United States Code, is 

19 amended to read as follows: 

20 ‘‘(P) Costs of compensation of contractor 

21 and subcontractor employees for a fiscal year, 

22 regardless of the contract funding source, to the 

23 extent that such compensation exceeds the an24 nual amount payable under the aggregate limi25 tation on pay as established by the Office of 


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1 Management and Budget (currently $230,700), 

2 except that the head of an executive agency 

3 may establish one or more narrowly targeted 

4 exceptions for scientists, engineers, or other 

5 specialists upon a determination that such ex6 ceptions are needed to ensure that the executive 

7 agency has continued access to needed skills 

8 and capabilities.’’. 

9 (b) CONFORMING AMENDMENTS.— 

10 (1) REPEAL.—Section 1127 of title 41, United 

11 States Code, is hereby repealed. 

12 (2) CLERICAL AMENDMENT.—The table of sec13 tions at the beginning of chapter 11 of title 41, 

14 United States Code, is amended by striking the item 

15 relating to section 1127. 

16 (c) APPLICABILITY.—This section and the amend17 ments made by this section shall apply only with respect 

18 to costs of compensation incurred under contracts entered 

19 into on or after the date that is 180 days after the date 

20 of the enactment of this Act. 

21 (d) REPORTS.— 

22 (1) IN GENERAL.—Not later than 60 days after 

23 the end of each fiscal year, the Director of the Office 

24 of Management and Budget shall submit a report on 

25 contractor compensation to— 


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1 (A) the Committee on Armed Services of 

2 the Senate; 

3 (B) the Committee on Armed Services of 

4 the House of Representatives; 

5 (C) the Committee on Homeland Security 

6 and Governmental Affairs of the Senate; 

7 (D) the Committee on Homeland Security 

8 of the House of Representatives; 

9 (E) the Committee on Appropriations of 

10 the Senate; and 

11 (F) the Committee on Appropriations of 

12 the House of Representatives. 

13 (2) ELEMENTS.—The report required under 

14 paragraph (1) shall include— 

15 (A) the total number of contractor employ16 ees, by executive agency, in the narrowly tar17 geted exception positions described under sub18 section (a) during the preceding fiscal year; 

19 (B) the taxpayer-funded compensation 

20 amounts received by each contractor employee 

21 in a narrowly targeted exception position during 

22 such fiscal year; and 


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1 (C) the duties and services performed by 

2 contractor employees in the narrowly targeted 

3 exception positions during such fiscal year. 

Æ 


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