```

[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3400 Introduced in House (IH)]

103d CONGRESS
  1st Session
                                H. R. 3400

   To provide a more effective, efficient, and responsive government.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                            October 28, 1993

Mr. Gephardt introduced the following bill; which was referred jointly 
to the following committees for a period ending not later than November 
   15, 1993: Agriculture, Armed Services, Banking, Finance and Urban 
  Affairs, Education and Labor, Energy and Commerce, Foreign Affairs, 
 Government Operations, House Administration, the Judiciary, Merchant 
Marine and Fisheries, Natural Resources, Permanent Select Committee on 
     Intelligence, Post Office and Civil Service, Public Works and 
Transportation, Science, Space, and Technology, Veterans' Affairs, and 
                             Ways and Means

_______________________________________________________________________

                                 A BILL

 
   To provide a more effective, efficient, and responsive government.

    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 ``Government Reform and Savings Act of 
1993''.

SEC. 2. TABLE OF CONTENTS.

    The table of contents is as follows:

                   TITLE I--DEPARTMENT OF AGRICULTURE

          Subtitle A--Department of Agriculture Reorganization

       Subtitle B--Eliminate Federal Support for Wool and Mohair

            Subtitle C--Eliminate Federal Support for Honey

                    TITLE II--DEPARTMENT OF COMMERCE

                      Polar Satellite Convergence

                    TITLE III--DEPARTMENT OF DEFENSE

Subtitle A--Create Incentives for the Department of Defense to Generate 
                                Revenues

 Subtitle B--Closure of the Uniform Services University of the Health 
                                Sciences

 Subtitle C--Streamline and Reorganize the United States Army Corps of 
                               Engineers

                     TITLE IV--DEPARTMENT OF ENERGY

     Subtitle A--Alaska Power Administration Sale Authorization Act

        Subtitle B--Federal-Private Cogeneration of Electricity

         Subtitle C--Power Marketing Administration Debt Buyout

            TITLE V--DEPARTMENT OF HEALTH AND HUMAN SERVICES

 Subtitle A--Increased Flexibility in Contracting for Medicare Claims 
                               Processing

     Subtitle B--Workers' Compensation Data Exchange Pilot Projects

         Subtitle C--Federal Clearinghouse on Death Information

               Subtitle D--Continuing Disability Reviews

         TITLE VI--DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

              Subtitle A--Multifamily Property Disposition

       Subtitle B--Merger of the Certificate and Voucher Programs

                       Subtitle C--Streamline HUD

              Subtitle D--Refinance Section 235 Mortgages

  Subtitle E--Section 8 Rents for New Construction and Rehabilitation 
                                Projects

                 TITLE VII--DEPARTMENT OF THE INTERIOR

             Subtitle A--Improve the Federal Helium Program

   Subtitle B--Improve Minerals Management Service Royalty Collection

          Subtitle C--Phase Out the Mineral Institute Program

                   TITLE VIII--DEPARTMENT OF JUSTICE

               Bureau of Prisons Health Services User Fee

                     TITLE IX--DEPARTMENT OF LABOR

     Subtitle A--Deterrence of Fraud and Abuse in the FECA Program

Subtitle B--Enhancement of Reemployment Programs for Federal Employees 
                  Disabled in the Performance of Duty

 Subtitle C--Wage Determinations--McNamara-O'Hara Service Contract Act 
                          and Davis-Bacon Act

 Subtitle D--Elimination of Filing Requirement for Plan Descriptions, 
 Summary Plan Descriptions, and Descriptions of Material Modifications 
                               to a Plan

     TITLE X--DEPARTMENT OF STATE/UNITED STATES INFORMATION AGENCY

Reduction of Mission Operating Costs
                 TITLE XI--DEPARTMENT OF TRANSPORTATION

 Subtitle A--Authority to Charge Tuition for Attendance at the United 
                     States Merchant Marine Academy

        Subtitle B--Reform of the Essential Air Service Program

  Subtitle C--Repeal of Authorization for the Airway Science Program, 
 Collegiate Training Initiative, and Air Carrier Maintenance Technical 
                    Training Facility Grant Program

               TITLE XII--DEPARTMENT OF VETERANS AFFAIRS

 Subtitle A--Remove Certain Limitations and Restrictions Contained in 
                              Veterans Law

 Subtitle B--Closure of Supply Depots and Transfer of Revolving Supply 
                               Fund Money

  Subtitle C--Provision of Information from the Medicare and Medicaid 
        Coverage Data Bank to the Department of Veterans Affairs

         Subtitle D--Veterans' Appeals Improvement Act of 1993

                 TITLE XIII--HUMAN RESOURCE MANAGEMENT

        Subtitle A--Federal Workforce Restructuring Act of 1993

               Subtitle B--SES Annual Leave Accumulation

                TITLE XIV--REINVENTING SUPPORT SERVICES

 Government Information Dissemination and Printing Improvement Act of 
                                  1993

               TITLE XV--STREAMLINING MANAGEMENT CONTROL

       Authority to Increase Efficiency in Reporting to Congress

               TITLE XVI--IMPROVING FINANCIAL MANAGEMENT

                    Subtitle A--Electronic Payments

            Subtitle B--Franchise Funds and Innovation Funds

        Subtitle C--Simplifying the Management Reporting Process

                  Subtitle D--Annual Financial Reports

           Subtitle E--Strengthening Debt Collection Programs

      Subtitle F--Improving Department of Justice Debt Collection

      Subtitle G--Adjusting Civil Monetary penalties for Inflation

                     TITLE XVII--YEAR-END SPENDING

                   TITLE I--DEPARTMENT OF AGRICULTURE

          Subtitle A--Department of Agriculture Reorganization

SEC. 1001. DEPARTMENT OF AGRICULTURE REORGANIZATION.

    Pursuant to authorities proposed in the Department of Agriculture 
Reorganization Act of 1993 (H.R. 3171) and current legal authorities, 
the Secretary of Agriculture shall take action to restructure and 
reinvent the Department of Agriculture by reducing the number of 
agencies in the Department, reducing headquarters and administrative 
staffing and overhead, closing or consolidating unnecessary field 
locations, and taking such other actions as may be necessary to reduce 
the staffing of the department by not less than 7,500 staff years and 
save a total of not less than $1.64 billion in fiscal years 1995 
through 1999.

       Subtitle B--Eliminate Federal Support for Wool and Mohair

SEC. 1101. AMENDMENTS TO SECTION 703 OF NATIONAL WOOL ACT OF 1954.

    Section 703 of the National Wool Act of 1954 (7 U.S.C. 1782) is 
amended--
            (1) by striking subsection (a) and inserting the following 
        new subsection:
    ``(a) Subject to subsection (b)(3), the Secretary of Agriculture 
shall, through the Commodity Credit Corporation, make loans and 
payments to producers of wool and mohair through December 31, 1995.'';
            (2) in subsection (b)--
                    (A) in paragraph (2), by striking ``1997'' and 
                inserting ``1995''; and
                    (B) by striking paragraph (3) and inserting the 
                following new paragraph:
    ``(3) No loans, purchases, or payments shall be made for the 1996 
and subsequent marketing years, except that loans and payments for the 
1995 marketing year shall be paid in 1996.''; and
            (3) by adding at the end the following new paragraph:
    ``(4)(A) Through December 31, 1995, the Secretary shall offer to 
wool and mohair producers recourse loans under terms and conditions 
that are prescribed by the Secretary, except that the loans shall be 
administered at no net cost to the Federal Government.
    ``(B) A producer who fails to repay a loan made under subparagraph 
(A) by the end of the following marketing year shall be ineligible for 
a loan under this Act for that marketing year and subsequent marketing 
years.''.

SEC. 1102. AMENDMENT TO SECTION 704 OF NATIONAL WOOL ACT OF 1954.

    Section 704(a) of the National Wool Act of 1954 (7 U.S.C. 1783(a)) 
is amended by inserting after the first sentence the following new 
sentence: ``In the case of each of the 1994 and 1995 marketing years, 
the payments shall be 75 and 50 percent, respectively, of the amount 
otherwise determined under the preceding sentence.''.

SEC. 1103. REPEAL OF NATIONAL WOOL ACT OF 1954.

    (a) In General.--Effective December 31, 1995, the National Wool Act 
of 1954 (7 U.S.C. 1781 et seq.) is repealed.
    (b) Application.--The repeal made by subsection (a) shall apply to 
both the wool and mohair programs.
    (c) Prohibition.--Effective beginning December 31, 1995, the 
Secretary of Agriculture may not provide loans or payments for wool or 
mohair by using the funds of the Commodity Credit Corporation or under 
the authority of any law.

SEC. 1104. REPEAL OF SECTION 702 OF NATIONAL WOOL ACT OF 1954, ETC.

    (a) Section 702 of the National Wool Act of 1954 (7 U.S.C. 1781) is 
repealed.
    (b) Section 703 of such Act (7 U.S.C. 1782) is amended--
            (1) by striking the section heading and inserting the 
        following new section heading: ``support price for wool and 
        mohair'';
            (2) in subsection (b)(1)(i), by striking ``such price 
        support'' and inserting ``the support price''; and
            (3) in subsection (d), by striking ``price support'' and 
        inserting ``support under this section''.
    (c) Section 704 of such Act (7 U.S.C. 1783) is amended--
            (1) by striking the section heading and inserting the 
        following new section heading:

``SEC. 704. PAYMENTS.'';

        and
            (2) in subsection (a), by striking ``If payments are 
        utilized as a means of price support, the'' and inserting 
        ``The''.
    (d) The first sentence of section 706 of such Act (7 U.S.C. 1785) 
is amended by striking ``price support operations'' and inserting 
``operations under this Act''.

SEC. 1105. SAVINGS PROVISION.

    A provision of this subtitle may not affect the liability of any 
person under any provision of law as in effect before the effective 
date of the provision.

            Subtitle C--Eliminate Federal Support for Honey

SEC. 1201. AMENDMENTS TO SECTION 207 OF AGRICULTURAL ACT OF 1949.

    Section 207 of the Agricultural Act of 1949 (7 U.S.C. 1446h) is 
amended--
            (1) by striking ``1998'' each place it appears, in 
        subsections (a), (c), and (j), and inserting ``1995'';
            (2) by striking ``loan'' each place it appears except for 
        subsection (d), and inserting ``nonrecourse loan''; and
            (3) in subsection (a), by striking paragraphs (3), (4), and 
        (5) and inserting the following new paragraph:
            ``(4)(i) No loans, purchases, or payments shall be made for 
        the 1996 and subsequent crop years.
            ``(ii) Through December 31, 1995, the Secretary shall offer 
        to honey producers recourse loans under terms and conditions 
        that are prescribed by the Secretary, except that the loans 
        shall be administered at no net cost to the Federal Government.
            ``(iii) A producer who fails to repay a loan made under 
        clause (ii) by the end of the following marketing year shall be 
        ineligible for a loan under this Act for that marketing year 
        and subsequent marketing years.''.

SEC. 1202. FURTHER AMENDMENTS TO SECTION 207 OF AGRICULTURAL ACT OF 
              1949.

    Section 207 of the Agricultural Act of 1949 (7 U.S.C. 1446h) is 
amended--
            (1) After subsection (b)(2), by inserting the following:
            ``(3) In the case of the 1994 and 1995 marketing years, the 
        quantity of honey for which a producer may receive a 
        nonrecourse loan shall be reduced by 25 and 50 percent, 
        respectively, of the lesser of--
                    ``(i) the amount requested for a nonrecourse loan, 
                or
                    ``(ii) the most recent five year average of 
                previous loan placements.
            ``(4) The honey not eligible for the nonrecourse loan shall 
        be eligible for a recourse loan but shall not be eligible for a 
        loan deficiency payment.'';
            (2) In paragraphs (3) and (4), by striking ``(3)'' and 
        ``(4)'' and inserting ``(4)'' and ``(5)''; and
            (3) After subsection (c)(2), by inserting the following new 
        paragraph:
            ``(3) In the case of the 1994 and 1995 marketing years, the 
        quantity of honey for which a producer can receive loan 
        deficiency payments shall be 75 and 50 percent, respectively, 
        of the lesser of--
                    ``(i) the amount requested for honey eligible for 
                nonrecourse loans, or
                    ``(ii) the average amount received in loan 
                deficiency payments for the previous five years.''.

SEC. 1203. AMENDMENTS TO SECTION 405A OF AGRICULTURAL ACT OF 1949.

    Section 405A of the Agricultural Act of 1949 (7 U.S.C. 1425a) is 
amended--
            (1) in subsection (a), by striking ``$125,000'' and 
        inserting ``$75,000''; and
            (2) in subsection (a), by striking all that follows 
        ``Provided, however,'' and inserting ``In the case of the 1994 
        and 1995 marketing years, the amount that a producer can 
        forfeit shall be limited by the amount that can be put under 
        loan as determined under section 207(b) and (c) of this Act.''.

SEC. 1204. REPEAL OF SECTION 207 OF AGRICULTURAL ACT OF 1949.

    (a) In General.--Effective December 31, 1995, Section 207 of the 
Agricultural Act of 1949 (7 U.S.C. 1446h) is repealed.
    (b) Prohibition.--Effective beginning December 31, 1995, the 
Secretary of Agriculture may not provide loans or payments for honey by 
using the funds of the Commodity Credit Corporation or under the 
authority of any law, except that the Commodity Credit Corporation may 
settle any outstanding loans made on or before December 31, 1995.

SEC. 1205. SAVINGS PROVISION.

    A provision of this subtitle may not affect the liability of any 
person under any provision of law as in effect before the effect date 
of the provision.

                    TITLE II--DEPARTMENT OF COMMERCE

SEC. 2001. POLAR SATELLITE CONVERGENCE.

    The Departments of Commerce and Defense and the National 
Aeronautics and Space Administration shall propose a single operational 
polar environmental and weather satellite system, which meets national 
needs. A detailed implementation plan shall be submitted to Congress by 
the Director of the Office of Science and Technology Policy, in 
consultation with the Departments of Commerce and Defense and the 
National Aeronautics and Space Administration, by April 30, 1994. The 
plan shall be designed to result in savings of up to $300 million in 
budget authority and up to $251 million in outlays between fiscal years 
1994 and 1999.

                    TITLE III--DEPARTMENT OF DEFENSE

Subtitle A--Create Incentives for the Department of Defense to Generate 
                                Revenues

SEC. 3001. INCENTIVES FOR DEPARTMENT OF DEFENSE TO GENERATE REVENUES.

    Section 2577 of title 10, United States Code, is amended by 
striking subsections (b) and (c), and inserting the following new 
subsection:
    ``(b) Proceeds from the sale of recyclable materials at an 
installation shall be credited to funds available for operations and 
maintenance at that installation, and, at the discretion of the 
installation commander, to the nonappropriated morale and welfare 
account of the installation to be used for any morale and welfare 
activity.''.

 Subtitle B--Closure of the Uniform Services University of the Health 
                                Sciences

SEC. 3101. CLOSURE OF UNIFORM SERVICES UNIVERSITY OF THE HEALTH 
              SCIENCES.

    (a) Repeal of Authority.--Chapter 104 of title 10, United States 
Code, is hereby repealed.
    (b) Phase-Out Process.--(1) Notwithstanding any other provision of 
law, the Secretary of Defense shall phase out the Uniformed Services 
University of the Health Sciences, beginning in fiscal year 1995, and 
ending with the closure of such University not later than September 30, 
1998. No provision of section 2687 of title 10, United States Code, or 
of any other law establishing preconditions to the closure of any 
activity of the Department of Defense shall operate to establish any 
precondition to the phase-out and closure of the Uniformed Services 
University of the Health Sciences pursuant to this subtitle.
    (2) Under the phase-out process required by paragraph (1), the 
Secretary of Defense is authorized to exercise all of the authorities 
pertaining to the operation of the Uniformed Services University of the 
Health Sciences that were granted to the Secretary of Defense, the 
Board of Regents, or the Dean of the Uniformed Services University of 
the Health Sciences by chapter 104 of title 10, United States Code, 
prior to enactment of the repeal of that chapter by subsection (a). 
Such authorities may be exercised by the Secretary of Defense so as to 
achieve an orderly phase-out of operations of the Uniformed Services 
University of the Health Sciences.
    (3) No new class of students may be admitted to begin studies in 
the Uniformed Services University of the Health Sciences after 
September 30, 1994. No students may be awarded degrees by such 
University after September 30, 1998, except that the Secretary of 
Defense may grant exceptions on a case-by-case basis for any students 
who by that date have completed substantially all degree requirements.
    (c) Authorities Unaffected.--(1) Commissioned service obligations 
incurred by students of the Uniformed Services University of the Health 
Sciences shall be unaffected by enactment of the repeal of chapter 104 
of title 10, United States Code, by subsection (a).
    (2) Nothing in this subtitle shall be construed as limiting the 
exercise by the Secretary of Defense of other authorities under law 
pertaining to health sciences education, training and professional 
development, graduate medical education, medical and scientific 
research, and similar activities. To the extent any such activities had 
been assigned by the Secretary of Defense to the Uniformed Services 
University of the Health Sciences, the Secretary of Defense's authority 
to assign such activities to any other component or entity of the 
Department of Defense shall be unaffected by the phase-out and closure 
of the Uniformed Services University of the Health Sciences pursuant to 
this subtitle.
    (d) Conforming Amendments.--(1) Section 178 of title 10, United 
States Code, pertaining to the Henry M. Jackson Foundation for the 
Advancement of Military Medicine, is amended--
            (A) in subsection (b), by striking ``Uniformed Services 
        University of the Health Sciences'' and inserting ``Department 
        of Defense'';
            (B) in subsection (c)(1)(B), by striking ``the Dean of the 
        Uniformed Services University of the Health Sciences'' and 
        inserting ``a person designated by the Secretary of Defense''; 
        and
            (C) in subsection (g)(1), by striking ``Uniformed Services 
        University of the Health Sciences'' and inserting ``Secretary 
        of Defense''.
    (2) Section 466 of the Public Health Service Act (42 U.S.C. section 
286a), pertaining to the Board of Regents of the National Library of 
Medicine, is amended in subsection (a)(1)(B) by striking ``the Dean of 
the Uniformed Services University of the Health Sciences''.
    (3) The table of chapters and the table of sections at the 
beginning of title 10, United States Code, is amended by striking 
references to chapter 104 and sections 2112 through 2115.
    (e) Effective Date.--This section shall be effective upon the date 
of enactment.

 Subtitle C--Streamline and Reorganize the U.S. Army Corps of Engineers

SEC. 3201. STREAMLINING AND REORGANIZATION OF CORPS OF ENGINEERS.

    Notwithstanding any other provision of law, the Secretary of the 
Army shall reorganize the United States Army Corps of Engineers by 
reorganizing the headquarters offices, reducing the number of division 
offices, and restructuring the district functions so as to increase the 
efficiency of the United States Army Corps of Engineers and reduce 
staff and costs, with the goal of achieving approximately $50 million 
in net annual savings by fiscal year 1998.

                     TITLE IV--DEPARTMENT OF ENERGY

     Subtitle A--Alaska Power Administration Sale Authorization Act

SEC. 4001. SHORT TITLE.

    This subtitle may be cited as the ``Alaska Power Administration 
Sale Authorization Act''.

SEC. 4002. SALE OF SNETTISHAM AND EKLUTNA HYDROELECTRIC PROJECTS.

    (a) The Secretary of Energy may sell the Snettisham Hydroelectric 
Project (referred to in this subtitle as ``Snettisham'') to the State 
of Alaska Power Authority (now known as the Alaska Industrial 
Development and Export Authority, and referred to in this subtitle as 
the ``Authority''), or its successor, in accordance with the February 
10, 1989, Snettisham Purchase Agreement between the Alaska Power 
Administration of the United States Department of Energy and the 
Authority.
    (b) The Secretary of Energy may sell the Eklutna Hydroelectric 
Project (referred to in this subtitle as ``Eklutna'') to the 
Municipality of Anchorage doing business as Municipal Light and Power, 
the Chugach Electric Association, Inc., and the Matanuska Electric 
Association, Inc. (referred to in this subtitle as ``Eklutna 
Purchasers'') in accordance with the August 2, 1989, Eklutna Purchase 
Agreement between the United States Department of Energy and the 
Eklutna Purchasers.
    (c) The heads of other affected Federal departments and agencies, 
including the Secretary of the Interior, shall assist the Secretary of 
Energy in implementing the sales authorized by this Act.
    (d) The Secretary of Energy shall deposit sale proceeds in the 
Treasury of the United States to the credit of miscellaneous receipts.
    (e) There are authorized to be appropriated such sums as are 
necessary to prepare or acquire Eklutna and Snettisham assets for sale 
and conveyance, such preparations to provide sufficient title to ensure 
the beneficial use, enjoyment, and occupancy to the purchasers of the 
assets to be sold.
    (f) No later than one year after both of the sales authorized in 
section 4002 have occurred, as measured by the Transaction Dates 
stipulated in the Purchase Agreements, the Secretary of Energy shall--
            (1) complete the business of, and close out, the Alaska 
        Power Administration; and
            (2) prepare and submit to Congress a report documenting the 
        sales.

SEC. 4003. ASSESSMENT OF ALTERNATIVE OPTIONS.

    Before taking any action authorized in section 4002, the Secretary 
shall assess the feasibility of alternative options for maximizing the 
return to the Treasury from the sale of the Alaska Power Marketing 
Administration.

        Subtitle B--Federal-Private Cogeneration of Electricity

SEC. 4101. FEDERAL-PRIVATE COGENERATION OF ELECTRICITY.

    Section 804(2)(B) of the National Energy Conservation Policy Act 
(42 U.S.C. 8287c(2)(B)) is amended by striking ``, excluding any 
cogeneration process for other than a federally owned building or 
buildings or other federally owned facilities.''.

         Subtitle C--Power Marketing Administration Debt Buyout

          PART 1--BONNEVILLE POWER ADMINISTRATION DEBT BUYOUT

SEC. 4201. SHORT TITLE.

    This part may be cited as the ``Bonneville Power Administration 
Repayment Bonds Act''.

SEC. 4202. SALE OF BONDS.

    Notwithstanding any other law and without fiscal year limitation--
            (1) in addition to the authority in section 13 of the 
        Federal Columbia River Transmission System Act (16 U.S.C. 
        838k), the Administrator may issue and sell bonds, notes, and 
        other evidences of indebtedness (referred to in this part as 
        ``Bonds'') in the manner and amounts the Administrator, 
        considers appropriate in the name of and for and on behalf of 
        the Bonneville Power Administration, to--
                    (A) satisfy the unpaid repayment obligation 
                associated with the appropriated capital investment 
                made in the Federal Columbia River Power System before 
                the issuance of the Bonds authorized under this part 
                takes place, but not including Federal irrigation 
                investments assigned to be repaid from power revenues; 
                and
                    (B) refund Bonds;
            (2) the Administrator shall transfer, and the Secretary of 
        the Treasury shall accept for the account of the General Fund, 
        the net proceeds of the Bonds referred to in paragraph (1)(A), 
        and when the Secretary of the Treasury receives the net 
        proceeds, the repayment obligation associated with the part of 
        the appropriated capital investment in the Federal Columbia 
        River Power System covered by the Bonds is considered to be 
        satisfied forever;
            (3) the Secretary of the Treasury, in consultation with the 
        Administrator, shall establish the amount of proceeds needed to 
        satisfy the unpaid repayment obligation associated with the 
        part of the capital investment referred to in paragraph (1)(A) 
        as the amount necessary to increase the sum of the net proceeds 
        and the discounted present value of the remaining Federal debt 
        service of the Federal Columbia River Power System by $100 
        million relative to the discounted present value of the total 
        Federal debt service of the Federal Columbia River Power System 
        as provided by the Administrator based upon the repayment 
        schedule that would have been paid under repayment policy and 
        practices in effect on September 1, 1993;
            (4) to determine the discounted present values in paragraph 
        (3), the Secretary of the Treasury shall use discount rates 
        based on the secondary market's average yield for the most 
        recently issued 30-year Treasury bonds when the Bonds 
        authorized in paragraph (1) are issued;
            (5) these Bonds shall be in the forms and denominations, 
        bear the maturities (without respect to the remaining average 
        service life of the capital investment associated with the 
        repayment obligation satisfied by the Bonds issued under this 
        part), be issued and sold at the times, prices, discounts, and 
        yields, and be subject to other terms and conditions (including 
        variable rates) as the Administrator considers appropriate;
            (6) under section 2(f) of the Bonneville Project Act of 
        1937 (16 U.S.C. 832a(f)) and this part, the Administrator may 
        enter into any contract that the Administrator considers 
        necessary for the purposes of carrying out this part including, 
        but not limited to, contracts for--
                    (A) the payment of the principal, interest, and 
                premium, if any, on Bonds issued under this part;
                    (B) the purchase or redemption of those Bonds;
                    (C) the payment of costs and expenses incidental to 
                this payment, purchase, and redemption; or
                    (D) the creation of reserve and other funds to be 
                held by a trustee, which funds the Administrator may 
                pledge exclusively to pay those costs for which the 
                funds were created and establish a lien on the funds in 
                favor of the beneficiaries of the funds under any 
                indenture, resolution, or other agreement entered into 
                in connection with the issuance of Bonds under this 
                part;
            (7) Bonds issued under this part--
                    (A) shall be issuable and payable through the 
                Federal wire system;
                    (B) are negotiable instruments that may be accepted 
                as security for all fiduciary, trust, and public funds, 
                the investment or deposit of which is under the 
                authority or control of any officer or agency of the 
                United States;
                    (C) may be held without limitation by national 
                banks;
                    (D) qualify as legal investments for banks, savings 
                and loan institutions, and credit unions; and
                    (E) are eligible collateral for Federal advances 
                and discounts, for deposits of the United States, and 
                for the Treasury tax and loan accounts;
            (8) Bonds issued under this part are not intended to be and 
        are not secured by the full faith and credit of the United 
        States;
            (9) Bonds issued under this part are exempt both as to 
        principal and interest from all taxation by any State or local 
        taxing authority, except estate, inheritance, and gift taxes;
            (10) Bonds issued under this part shall contain a recital 
        that they are issued under this part and this recital is 
        conclusive evidence of the regularity of the issuance and sale 
        of the Bonds and their validity;
            (11) the Bonds issued under this part, all receipts of the 
        Secretary of the Treasury under this part, any portion of the 
        fund established under the Federal Columbia River Transmission 
        System Act (16 U.S.C. 838 et seq.) related to these Bonds, all 
        receipts and disbursements of that fund related to these Bonds, 
        and all expenditures by the Administrator related to these 
        Bonds--
                    (A) are exempt from any general budget limitation 
                imposed by statute on expenditures and net lending 
                (budget outlays) of the United States Government, 
                sequestration order, or discretionary spending limit;
                    (B) are exempt from any order issued pursuant to 
                sections 251, 252, or 253 of the Balanced Budget and 
                Emergency Deficit Control Act of 1985 (2 U.S.C. 900 et 
                seq.); and
                    (C) are not subject to apportionment under 
                subchapter II of chapter 15 of title 31, United States 
                Code;
            (12) in all future contracts for the sale of electric 
        power, transmission, or other services, the Administrator shall 
        include provisions specifying that after the repayment 
        obligation is fully and forever satisfied, the Administrator's 
        rates for electric power, transmission, or other services shall 
        not include any form of economic rent to be returned to the 
        United States Government, including, without limitation, a 
        falling water charge or any other fee for use of Federal 
        facilities for power generation or transmission, that relates 
        to a project, facility, or separable unit of a project or 
        facility associated with the satisfied repayment obligation, 
        other than a charge necessary to repay the new indebtedness 
        incurred under this part. Amounts provided under section 1304 
        of title 31, United States Code, shall be the sole source for 
        payment of a judgment against the Administrator or the United 
        States on a claim for a violation of the contract provision 
        required by this paragraph;
            (13) the Administrator shall offer to amend the 
        Administrator's existing contracts for the sale of electric 
        power, transmission, or other services to include the 
        provisions described in paragraph (12); and
            (14) the Administrator shall consult with the Secretary of 
        the Treasury regarding the timing and structure of the bonds 
        issued under this part.

SEC. 4203. PAYMENT OF BOND COSTS.

    Section 11(b)(6) of the Federal Columbia River Transmission System 
Act (16 U.S.C. 838i(b)(6)), is amended by striking ``or'' before 
``(iv)'' and by inserting before the semicolon ``, or (v) to pay the 
cost of financing and debt service, including premiums, if any, on Bond 
issued by the Bonneville Power Administration''.

SEC. 4204. COMBINED REPAYMENT STUDY.

    Section 7(a) of the Pacific Northwest Electric Power Planning and 
Conservation Act (16 U.S.C. 893e(a)), is amended by adding after 
paragraph (2) the following:
            ``(3) In establishing power and transmission rates, the 
        Administrator may base them on a single, combined generation 
        and transmission repayment study which demonstrates that all 
        indebtedness is repaid by its due date. The use of such a study 
        is sufficient for the commission to approve the rates as 
        meeting repayment requirements.''.

SEC. 4205. DEFINITIONS.

    For the purposes of this part--
            (1) ``Administrator'' means the Administrator of the 
        Bonneville Power Administration; and
            (2) ``appropriated capital investment made in the Federal 
        Columbia River Power System'' means an investment made by the 
        United States that--
                    (A) is made using Federal appropriations;
                    (B) is for a project or separable feature of a 
                project that is placed in service;
                    (C) is allocated to power and required by law to be 
                repaid from the power revenues by the Administrator;
                    (D) is not allocated or suballocated to irrigation; 
                and
                    (E) excludes an investment made using funds 
                borrowed under section 13 of the Federal Columbia River 
                Transmission System Act.

       PART 2--OTHER POWER MARKETING ADMINISTRATIONS DEBT BUYOUT

SEC. 4206. SHORT TITLE.

    This part may be cited as the ``Power Marketing Administrations 
Financing Act''.

SEC. 4207. DEFINITIONS.

    For the purposes of this part--
            (1) ``Administrator'' means the Administrator of the 
        Southeastern Power Administration, the Administrator of the 
        Southwestern Power Administration, and the Administrator of the 
        Western Area Power Administration;
            (2) ``Fund'' means the Power Marketing Administration 
        Sinking Fund established under section 4209; and
            (3) ``Power marketing administration'' means the 
        Southeastern Power Administration, the Southwestern Power 
        Administration, and the Western Area Power Administration.

SEC. 4208. REPAYMENT OF EXISTING INDEBTEDNESS.

    (a) Notwithstanding any other law, within 12 months after the 
enactment of this Act, each Administrator shall develop, in 
consultation with the Secretary of the Treasury, and shall implement a 
plan for paying the United States Treasury the discounted present value 
of principal and interest payments on power investments scheduled to be 
paid to the United States Treasury as provided by the Administrator 
under existing law and repayment practices by that power marketing 
administration, as well as a one-time additional payment of $12,500,000 
by the Southeastern Power Administration, $12,500,000 by the 
Southwestern Power Administration, and $50,000,000 by the Western Area 
Power Administration. Each Administrator shall issue revenue bonds as 
provided in section 4210 to pay the obligation to the United States 
Treasury addressed in this section, except that the issuance of these 
bonds shall occur only if each Administrator determines by means of 
financial studies that the refinancing will not cause an increase in 
power rates over existing repayment practices. When the Treasury 
receives full payment from an Administrator, it shall consider the 
repayment obligation of the Administration associated with the payment 
fully and forever discharged.
    (b) In all future contracts for the sale of electric power, 
transmission, or other services, each Administrator shall include 
provisions agreeing that when the repayment obligation is fully and 
forever discharged under subsection (a), the Administrator's rates for 
electric power, transmission, or other services shall not, other than 
is necessary to repay the new indebtedness incurred under this Act, 
include any charge in place of the satisfied obligation or include any 
other similar form of economic rent by or returned to the United States 
(including, without limitation, a falling water charge or any other 
type of user fee for use of Federal facilities for the purpose of power 
generation and transmission) on account of any project, facility, or 
separable unit of a project or facility associated with the repayment 
obligation satisfied.
    (c) Each Administrator shall offer to amend existing contracts for 
the sale of electric power, transmission, or other services to include 
the provision described in subsection (b).

SEC. 4209. POWER MARKETING ADMINISTRATION SINKING FUND.

    (a) There is established in the Treasury of the United States a 
Power Marketing Administration Sinking Fund. The Secretary of the 
Treasury, acting as trustee for the power marketing administrations, 
shall establish and maintain a separate account in the Fund for each 
power marketing administration, and monies of one power marketing 
administration shall not be commingled with monies of another power 
marketing administration. Within the separate account for each power 
marketing administration, separate projects or systems shall be 
accounted for separately. An Administrator may deposit into the Fund 
the monies derived from revenues that the Administrator considers 
appropriate to ensure that the bonds issued under section 4210 are 
refunded in a timely manner.
    (b) Balances in the Fund shall earn interest at a rate determined 
by the Secretary of the Treasury.
    (c) An Administrator may make expenditures from the Administrator's 
account in the Fund without further appropriation and without fiscal 
year limitation to pay indebtedness incurred from bonds issued under 
section 4210.
    (d) Each power marketing administration shall maintain its books of 
account in substantial conformance with the Uniform System of Accounts 
of the Federal Energy Regulatory Commission.
    (e) The financial transactions of an Administrator shall be audited 
by independent financial auditors, and reports of the results of each 
audit shall be made to the Congress within 6\1/2\ months following the 
end of the fiscal year covered by the audit.

SEC. 4210. REVENUE BONDS.

    (a) Each Administrator, in consultation with the Secretary of the 
Treasury, may issue and sell from time to time in the name of, and for 
and on behalf of, the respective power marketing administration bonds, 
notes, and other evidences of indebtedness (in this section 
collectively referred to as ``bonds'') to refinance existing 
indebtedness as provided in section 4208 and to issue and sell bonds to 
refund those bonds. The bonds shall be in the forms and denominations, 
bear maturities (without respect to the remaining average service life 
of facilities), and be subject to terms and conditions as prescribed by 
the Administrator taking into account terms and conditions prevailing 
in the market for similar bonds and financing practices of the utility 
industry. Provisions for early retirement of bonds may be prescribed by 
each Administrator. The bonds shall bear interest at a rate determined 
by the Administrator.
    (b) Each Administrator may enter into any contract that the 
Administrator considers necessary for the purposes of carrying out this 
part including, but not limited to, contracts for--
            (1) the payment of the principal, interest, and premium, if 
        any, on bonds issued under this part;
            (2) their purchase or redemption;
            (3) the payment of costs and expenses incidental to their 
        payment, purchase, and redemption; or
            (4) the creation of reserve and other funds to be held by 
        the Secretary of the Treasury as trustee, which funds the 
        Administrator may pledge exclusively to pay those costs for 
        which the funds were created and may establish a lien on the 
        funds in favor of the beneficiaries of the funds under any 
        indenture, resolution, or other agreement entered into in 
        connection with the issuance of bonds under this part.
    (c) Bonds issued under this part--
            (1) shall be issuable and negotiable through the Federal 
        wire system;
            (2) are negotiable instruments that may be accepted as 
        security for all fiduciary, trust, and public funds, the 
        investment or deposit of which is under the authority or 
        control of any officer or agency of the United States;
            (3) may be held, without limitation, by national banks;
            (4) qualify as legal instruments for banks, savings and 
        loan institutions, and credit unions; and
            (5) are eligible collateral for Federal advances and 
        discounts, for deposits of the United States, and for Treasury 
        tax and loan accounts.
    (d) Bonds issued under this part are exempt both as to principal 
and interest from all taxation by any State or local taxing authority, 
except estate, inheritance, and gift taxes.
    (e) Bonds issued under this part shall contain a recital that they 
are issued under this part and such a recital is conclusive evidence of 
the regularity of the issuance and sale of the bonds and their 
validity.
    (f) These bonds are not intended to be and are not secured by the 
full faith and credit of the United States.
    (g) The bonds issued under this part, all receipts of the Secretary 
of the Treasury under this part, any portion of the Fund established 
under section 4210 related to these bonds, all receipts and 
disbursements of the Fund related to these bonds, and all expenditures 
by an Administrator related to these bonds--
            (1) are exempt from any general budget limitation imposed 
        by statute on expenditures and net lending (budget outlays) of 
        the United States Government, sequestration order, or 
        discretionary spending limit;
            (2) are exempt from any order issued pursuant to sections 
        251, 252, or 253 of the Balanced Budget and Emergency Deficit 
        Control Act of 1985 (2 U.S.C. 900 et seq.); and
            (3) are not subject to apportionment under subchapter II of 
        chapter 15 of title 31, United States Code.
    (h) With respect to the Western Area Power Administration, except 
as otherwise provided, this Act is considered to be a supplement to the 
Federal reclamation laws.

            TITLE V--DEPARTMENT OF HEALTH AND HUMAN SERVICES

 Subtitle A--Increased Flexibility in Contracting for Medicare Claims 
                               Processing

SEC. 5001. INCREASED FLEXIBILITY IN CONTRACTING FOR MEDICARE CLAIMS 
              PROCESSING.

    (a) Carriers to Include Entities That are not Insurance 
Companies.--
            (1) The matter in section 1842(a) of the Social Security 
        Act preceding paragraph (1) is amended by striking ``with 
        carriers'' and inserting ``with agencies and organizations 
        (referred to as carriers'').
            (2) Section 1842(f) of the Act is repealed.
    (b) Elimination of Intermediary Nomination by Providers of 
Services; Secretarial Flexibility in Assigning Functions to 
Intermediaries and Carriers.--
            (1) Section 1816 of that Act is amended by striking 
        everything after the heading but before subsection (b) and 
        inserting the following:
    ``Sec. 1816. (a)(1) The Secretary may enter into agreements with 
agencies or organizations to perform some or all of the following 
functions (or parts of those functions):
            ``(A) determine (subject to the provisions of section 1878 
        and to such review by the Secretary as may be provided for by 
        the agreements) the amount of the payments required pursuant to 
        this part to be made to providers of services,
            ``(B) make payments described in subparagraph (A),
            ``(C) provide consultative services to institutions or 
        agencies to enable them to establish and maintain fiscal 
        records necessary for purposes of this part and otherwise to 
        qualify as hospitals, extended care facilities, and home health 
        agencies,
            ``(D) serve as a center for, and communicate to providers, 
        any information or instructions furnished to the agency or 
        organization by the Secretary, and serve as a channel of 
        communication from providers to the Secretary,
            ``(E) make such audits of the records of providers as may 
        be necessary to ensure that proper payments are made under this 
        part, and
            ``(F) perform such other functions as are necessary to 
        carry out the purposes of this part.
    ``(2) As used in this title and part B of title XI, the term 
`fiscal intermediary' means an agency or organization with a contract 
under this section.''.
            (2) Subsections (d) and (e) of section 1816 of that Act are 
        repealed.
            (3) Section 1816(f)(1) of that Act is amended by striking 
        the second sentence.
            (4) The matter in section 1842(a) of that Act preceding 
        paragraph (1) is amended by inserting ``, or parts of those 
        functions'' after ``following functions''.
            (5) Section 1842(b)(3)(G) of that Act is amended by 
        inserting ``(unless provided by another carrier)'' after ``will 
        provide''.
            (6) The matter in section 1842(b)(3)(H) of that Act 
        preceding clause (i) is amended by striking ``implement--'' and 
        inserting ``implement (as appropriate)--''.
            (7) Section 1842(b)(3)(L) of that Act is amended by 
        inserting ``(as appropriate)'' after ``will''.
            (8) The first sentence of section 1842(h)(2) of that Act is 
        amended by inserting ``(unless maintained by another carrier)'' 
        after ``shall maintain''.
    (c) Elimination of Special Provisions for Termination of 
Contracts.--
            (1) Section 1816(f)(1) of that Act is amended by striking 
        ``, renew, or terminate'' and ``or reassign''.
            (2) Section 1816(g) of that Act is repealed.
            (3) Section 1842(b) of that Act is amended by striking 
        paragraph (5).
    (d) Repeal of Prohibition Against Data Matching.--Sections 
1816(c)(1) and 1842(b)(2)(A) of that Act are each amended by striking 
the last sentence.
    (e) Repeal of Cost Reimbursement Requirements.--
            (1) The first sentence of section 1816(c)(1) of that Act is 
        amended--
                    (A) by striking the comma after ``appropriate'' and 
                inserting ``and''; and
                    (B) by striking everything after ``subsection (a)'' 
                up to the period.
            (2) Section 1816(c)(1) of that Act is further amended by 
        striking the remaining sentences.
            (3) The first sentence of section 1842(c)(1)(A) of that Act 
        is amended--
                    (A) by striking ``shall provide'' the first place 
                it occurs and inserting ``may provide''; and
                    (B) by striking everything after ``this part'' up 
                to the period.
            (4) Section 1842(c)(1)(A) of that Act is further amended by 
        striking the remaining sentences.
            (5) Section 2326(a) of the Deficit Reduction Act of 1984 is 
        repealed.
    (f) Elimination of Separate Carrier for Railroad Retirees.--Section 
1842(g) of the Social Security Act is repealed.
    (g) Effective Date.--The amendments made by the preceding 
subsections apply to contracts (including renewals) entered into after 
the third calendar month that begins after the date of enactment of 
this Act.

     Subtitle B--Workers' Compensation Data Exchange Pilot Projects

SEC. 5101. WORKERS' COMPENSATION DATA EXCHANGE PILOT PROJECTS.

    (a) In General.--The Secretary is authorized to conduct pilot 
projects with not more than three States for the purpose of studying 
various means of obtaining on a timely and accurate basis such 
information relating to benefits paid on account of total or partial 
disability under the States' workers' compensation plan as the 
Secretary may require for the purpose of carrying out section 224 of 
the Social Security Act.
    (b) Reimbursement of State Costs.--A State that participates in a 
project conducted pursuant to subsection (a) may be paid by the 
Secretary, from amounts available pursuant to subsection (e), the 
reasonable costs of such participation.
    (c) Evaluation.--The Secretary shall evaluate each project 
conducted pursuant to subsection (a) and shall apply the findings, as 
appropriate, to agreements negotiated pursuant to subsection (h)(2) of 
such section 224.
    (d) Deadline for Commencement of Projects.--No pilot project 
authorized by subsection (a) may be commenced after the expiration of 
the 5-year period beginning on the date of enactment of this section.
    (e) Funding.--Expenditures for pilot projects conducted pursuant to 
subsection (a) may be made from the Federal Disability Insurance Trust 
Fund and the Old-Age and Survivors Insurance Trust Fund, as determined 
appropriate by the Secretary.
    (f) Effective Date.--This section shall be effective upon 
enactment.

         Subtitle C--Federal Clearinghouse on Death Information

SEC. 5201. FEDERAL CLEARINGHOUSE ON DEATH INFORMATION.

    (a) Clearinghouse Designation.--The heading for section 205(r) of 
the Social Security Act is amended to read as follows: ``Clearinghouse 
on Death Information''.
    (b) Acquisition of Disclosable Death Information From States.--
            (1) Section 205(r)(1)(A) of the Social Security Act is 
        amended by striking ``to furnish the Secretary periodically 
        with'' and inserting ``to furnish periodically to the 
        Secretary, for use in carrying out subparagraph (B) and 
        paragraphs (3) and (4),''.
            (2)(A) Notwithstanding clause (ii) of section 6103(d)(4)(B) 
        of the Internal Revenue Code of 1986 (as added by section 
        13444(a) of the Omnibus Budget Reconciliation Act of 1993 
        (Public Law 103-66)), in order for a contract requiring a State 
        to furnish the Secretary of Health and Human Services 
        information concerning individuals with respect to whom death 
        certificates (or equivalent documents maintained by the State 
        or any subdivision thereof) have been officially filed with it 
        to meet the requirements of such section 6103(d)(4)(B), such 
        contract shall authorize the Secretary to use such information 
        and to redisclose such information to any Federal agency or any 
        agency of a State or political subdivision in accordance with 
        section 205(r) of the Social Security Act.
            (B) The provisions of subparagraph (A) of this paragraph 
        and, notwithstanding subparagraph (C) of section 6103(d)(4) of 
        the Internal Revenue Code of 1986 (as added by section 13444(a) 
        of the Omnibus Budget Reconciliation Act of 1993 (Public Law 
        103-66)), the provisions of subparagraphs (A) and (B) of such 
        section 6103(d)(4) shall apply to all States, regardless of 
        whether they were, on July 1, 1993, pursuant to a contract, 
        furnishing the Secretary of Health and Human Services 
        information concerning individuals with respect to whom death 
        certificates (or equivalent documents maintained by the State 
        or any subdivision thereof) have been officially filed with it.
            (C) Subparagraphs (A) and (B) of this paragraph shall take 
        effect at the same time as the amendment made by section 
        13444(a) of the Omnibus Budget Reconciliation Act of 1993 takes 
        effect.
            (D) For the purpose of applying the special rule contained 
        in section 13444(b)(2) of the Omnibus Budget Reconciliation Act 
        of 1993, the reference in such section to section 6103(d)(4)(B) 
        of the Internal Revenue Code of 1986 shall be deemed to include 
        a reference to subparagraph (A) of this paragraph.
    (c) Payment to States for Death Information.--Section 205(r)(2) of 
the Social Security Act is amended--
            (1) by striking ``the reasonable costs'' and inserting ``a 
        reasonable amount''; and
            (2) by striking ``transcribing and transmitting'' and 
        inserting ``furnishing''.
    (d) Fee for Clearinghouse Information.--
            (1) Section 205(r)(3) of the Social Security Act is amended 
        by striking out ``if'' and all that follows, and inserting ``, 
        provided that such agency agrees to pay the fees set by the 
        Secretary pursuant to paragraph (8).''.
            (2) Section 205(r)(4) of the Social Security Act is 
        amended--
                    (A) by inserting ``and political subdivisions'' 
                after ``States'' the first place such term appears;
                    (B) by striking ``the States'' and inserting ``any 
                State, political subdivision, or combination thereof''; 
                and
                    (C) by striking ``if'' and all that follows and 
                inserting ``provided such States and political 
                sudivisions agree to pay the fees set by the Secretary 
                pursuant to paragraph (8).''.
            (3) Section 205(r) of the Social Security Act is amended by 
        adding at the end a new paragraph as follows: ``(8) The 
        Secretary shall establish fees for the disclosure of 
        information pursuant to this subsection. Such fees shall be in 
        amounts sufficient to cover all costs (including indirect 
        costs) associated with the Secretary's responsibilities under 
        this subsection. Fees collected pursuant to this paragraph 
        shall remain available, without fiscal year limitation, to the 
        Secretary to cover the administrative costs of carrying out 
        this subsection.''.
    (e) Technical Assistance.--Section 205(r) of the Social Security 
Act is amended by adding at the end (after the paragraph added by 
subsection (d)(3)) the following new paragraph:
    ``(9) The Secretary may provide to any Federal or State agency that 
provides Federally funded benefits, upon the request of such agency, 
technical assistance on the effective collection, dissemination, and 
use of death information available under this subsection for the 
purpose of ensuring that such benefits are not erroneously paid to 
deceased individuals.''.
    (f) Technical Amendment.--Section 205(r) of the Social Security Act 
is amended by adding at the end (after the paragraph added by 
subsection (e)) the following new paragraph:
    ``(10) For purposes of this subsection, the term `Federally funded 
benefit' means any payment funded in whole or in part by the Federal 
Government.''.
    (g) Effective Date.--Except as otherwise provided, the amendments 
made by this section shall take effect upon their enactment.

               Subtitle D--Continuing Disability Reviews

SEC. 5301. CONTINUING DISABILITY REVIEWS.

    Section 201(g)(1)(A) of the Social Security Act is amended by 
adding at the end of the paragraph the following sentence: ``From funds 
provided pursuant to this subparagraph for the following fiscal years, 
not less than the following amounts shall be available only for 
conducting continuing disability reviews and related workloads: for 
fiscal year 1994, $46 million; for fiscal year 1995, $47,200,000; for 
fiscal year 1996, $48,500,000; for fiscal year 1997, $49,800,000; for 
fiscal year 1998, $51,100,000; and for fiscal year 1999, 
$52,500,000.''.

         TITLE VI--DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

              Subtitle A--Multifamily Property Disposition

SEC. 6001. MULTIFAMILY PROPERTY DISPOSITION.

    (a) Findings.--The Congress finds that--
            (1) the portfolio of multifamily housing project mortgages 
        insured by the FHA is severely troubled and at risk of default, 
        requiring the Secretary to increase loss reserves from 
        $5,500,000,000 in 1991 to $11,900,000,000 in 1992 to cover 
        estimated future losses;
            (2) the inventory of multifamily housing projects owned by 
        the Secretary has more than tripled since 1989, and, by the end 
        of 1993, may exceed 75,000 units;
            (3) the cost to the Federal Government of owning and 
        maintaining multifamily housing projects escalated to 
        approximately $250,000,000 in fiscal year 1992;
            (4) the inventory of multifamily housing projects subject 
        to mortgages held by the Secretary has increased dramatically, 
        to more than 2,400 mortgages, and approximately half of these 
        mortgages, with over 230,000 units, are delinquent;
            (5) the inventory of insured and formerly insured 
        multifamily housing projects is rapidly deteriorating, 
        endangering tenants and neighborhoods;
            (6) over 5 million families today have a critical need for 
        housing that is affordable and habitable; and
            (7) the current statutory framework governing the 
        disposition of multifamily housing projects effectively impedes 
        the Government's ability to dispose of properties, protect 
        tenants, and ensure that projects are maintained over time.
    (b) Management and Disposition of Multifamily Housing Projects.--
Section 203 of the Housing and Community Development Amendments of 1978 
(12 U.S.C. 1701z-11) is amended to read as follows:

``SEC. 203. MANAGEMENT AND DISPOSITION OF MULTIFAMILY HOUSING PROJECTS.

    ``(a) Goals.--The Secretary of Housing and Urban Development 
(hereafter in this section referred to as the `Secretary') shall manage 
or dispose of multifamily housing projects that are owned by the 
Secretary or that are subject to a mortgage held by the Secretary in a 
manner that--
            ``(1) is consistent with the National Housing Act and this 
        section;
            ``(2) will protect the financial interests of the Federal 
        Government; and
            ``(3) will, in the least costly fashion among reasonable 
        available alternatives, further the goals of--
                    ``(A) preserving housing so that it can remain 
                available to and affordable by low-income persons;
                    ``(B) preserving and revitalizing residential 
                neighborhoods;
                    ``(C) maintaining existing housing stock in a 
                decent, safe, and sanitary condition;
                    ``(D) minimizing the involuntary displacement of 
                tenants;
                    ``(E) maintaining housing for the purpose of 
                providing rental housing, cooperative housing, and 
                homeownership opportunities for low-income persons; and
                    ``(F) minimizing the need to demolish multifamily 
                housing projects.
The Secretary, in determining the manner in which a project is to be 
managed or disposed of, may balance competing goals relating to 
individual projects in a manner that will further the purposes of this 
section.
    ``(b) Definitions.--For purposes of this section, the following 
definitions shall apply:
            ``(1) Multifamily housing project.--The term `multifamily 
        housing project' means any multifamily rental housing project 
        which is, or prior to acquisition by the Secretary was, 
        assisted or insured under the National Housing Act, or was 
        subject to a loan under section 202 of the Housing Act of 1959.
            ``(2) Subsidized project.--The term `subsidized project' 
        means a multifamily housing project receiving any of the 
        following types of assistance immediately prior to the 
        assignment of the mortgage on such project to, or the 
        acquisition of such mortgage by, the Secretary:
                    ``(A) Below market interest rate mortgage insurance 
                under the proviso of section 221(d)(5) of the National 
                Housing Act.
                    ``(B) Interest reduction payments made in 
                connection with mortgages insured under section 236 of 
                the National Housing Act.
                    ``(C) Direct loans made under section 202 of the 
                Housing Act of 1959.
                    ``(D) Assistance in the form of--
                            ``(i) rent supplement payments under 
                        section 101 of the Housing and Urban 
                        Development Act of 1965;
                            ``(ii) housing assistance payments made 
                        under section 23 of the United States Housing 
                        Act of 1937 (as in effect before January 1, 
                        1975); or
                            ``(iii) housing assistance payments made 
                        under section 8 of the United States Housing 
                        Act of 1937 (excluding payments made for 
                        tenant-based assistance under section 8),
                if (except for purposes of section 183(c) of the 
                Housing and Community Development Act of 1987) such 
                assistance payments are made to more than 50 percent of 
                the units in the project.
            ``(3) Formerly subsidized project.--The term `formerly 
        subsidized project' means a multifamily housing project owned 
        by the Secretary that was a subsidized project immediately 
        prior to its acquisition by the Secretary.
            ``(4) Unsubsidized project.--The term `unsubsidized 
        project' means a multifamily housing project owned by the 
        Secretary that is not a subsidized project or a formerly 
        subsidized project.
    ``(c) Management or Disposition of Property.--
            ``(1) Disposition to purchasers.--The Secretary is 
        authorized, in carrying out this section, to dispose of a 
        multifamily housing project owned by the Secretary on a 
        negotiated, competitive bid, or other basis, on such terms as 
        the Secretary deems appropriate considering the low-income 
        character of the project and the requirements of subsection 
        (a), to a purchaser determined by the Secretary to be capable 
        of--
                    ``(A) satisfying the conditions of the disposition;
                    ``(B) implementing a sound financial and physical 
                management program that is designed to enable the 
                project to meet anticipated operating and repair 
                expenses to ensure that the project will remain in 
                decent, safe, and sanitary condition;
                    ``(C) responding to the needs of the tenants and 
                working cooperatively with tenant organizations;
                    ``(D) providing adequate organizational staff and 
                financial resources to the project; and
                    ``(E) meeting such other requirements as the 
                Secretary may determine.
            ``(2) Contracting for management services.--The Secretary 
        is authorized, in carrying out this section--
                    ``(A) to contract for management services for a 
                multifamily housing project that is owned by the 
                Secretary (or for which the Secretary is mortgagee in 
                possession), on a negotiated, competitive bid, or other 
                basis at a price determined by the Secretary to be 
                reasonable, with a manager the Secretary has determined 
                is capable of--
                            ``(i) implementing a sound financial and 
                        physical management program that is designed to 
                        enable the project to meet anticipated 
                        operating and maintenance expenses to ensure 
                        that the project will remain in decent, safe, 
                        and sanitary condition;
                            ``(ii) responding to the needs of the 
                        tenants and working cooperatively with tenant 
                        organizations;
                            ``(iii) providing adequate organizational, 
                        staff, and other resources to implement a 
                        management program determined by the Secretary; 
                        and
                            ``(iv) meeting such other requirements as 
                        the Secretary may determine; and
                    ``(B) to require the owner of a multifamily housing 
                project that is subject to a mortgage held by the 
                Secretary to contract for management services for the 
                project in the manner described in subparagraph (A).
    ``(d) Maintenance of Housing Projects.--
            ``(1) Housing projects owned by the secretary.--In the case 
        of multifamily housing projects that are owned by the Secretary 
        (or for which the Secretary is mortgagee in possession), the 
        Secretary shall--
                    ``(A) to the greatest extent possible, maintain all 
                such occupied projects in a decent, safe, and sanitary 
                condition;
                    ``(B) to the greatest extent possible, maintain 
                full occupancy in all such projects; and
                    ``(C) maintain all such projects for purposes of 
                providing rental or cooperative housing.
            ``(2) Housing projects subject to a mortgage held by the 
        secretary.--In the case of any multifamily housing project that 
        is subject to a mortgage held by the Secretary, the Secretary 
        shall require the owner of the project to carry out the 
        requirements of paragraph (1).
    ``(e) Required Assistance.--In carrying out the goal specified in 
subsection (a)(3)(A), the Secretary shall take not less than one of the 
following actions:
            ``(1) Contract with owner.--Enter into contracts under 
        section 8 of the United States Housing Act of 1937, to the 
        extent budget authority is available, with owners of 
        multifamily housing projects that are acquired by a purchaser 
        other than the Secretary at foreclosure or after sale by the 
        Secretary.
                    ``(A) Subsidized or formerly subsidized projects 
                receiving certain assistance.--In the case of a 
                subsidized or formerly subsidized project referred to 
                in subparagraphs (A) through (C) of subsection (b)(2)--
                            ``(i) the contract shall be sufficient to 
                        assist at least all units covered by an 
                        assistance contract under any of the 
                        authorities referred to in subsection (b)(2)(D) 
                        before acquisition, unless the Secretary acts 
                        pursuant to the provisions of subparagraph (C);
                            ``(ii) in the case of units requiring 
                        project-based rental assistance pursuant to 
                        this paragraph that are occupied by families 
                        who are not eligible for assistance under 
                        section 8, a contract under this subparagraph 
                        shall also provide that when a vacancy occurs, 
                        the owner shall lease the available unit to a 
                        family eligible for assistance under section 8; 
                        and
                            ``(iii) the Secretary shall take actions to 
                        ensure the availability and affordability, as 
                        defined in paragraph (3)(B), for the remaining 
                        useful life of the project, as defined by the 
                        Secretary, of any unit located in any project 
                        referred to in subparagraphs (A) through (C) of 
                        subsection (b)(2) that does not otherwise 
                        receive project-based assistance under this 
                        subparagraph. To carry out this clause, the 
                        Secretary may require purchasers to establish 
                        use or rent restrictions maintaining 
                        affordability, as defined in paragraph (3)(B).
                    ``(B) Subsidized or formerly subsidized projects 
                receiving other assistance.--In the case of a 
                subsidized or formerly subsidized project referred to 
                in subsection (b)(2)(D)--
                            ``(i) the contract shall be sufficient to 
                        assist at least all units in the project that 
                        are covered, or were covered immediately before 
                        foreclosure on or acquisition of the project by 
                        the Secretary, by an assistance contract under 
                        any of the authorities referred to in such 
                        subsection, unless the Secretary acts pursuant 
                        to provisions of subparagraph (C); and
                            ``(ii) in the case of units requiring 
                        project-based rental assistance pursuant to 
                        this paragraph that are occupied by families 
                        who are not eligible for assistance under 
                        section 8, a contract under this paragraph 
                        shall also provide that when a vacancy occurs, 
                        the owner shall lease the available unit to a 
                        family eligible for assistance under section 8.
                    ``(C) Exceptions to subparagraphs (a) and (b).--In 
                lieu of providing project-based assistance under 
                subparagraph (A) or (B), the Secretary may require 
                certain units in unsubsidized projects to contain use 
                restrictions providing that such units will be 
                available to and affordable by very low-income families 
                for the remaining useful life of the project, as 
                defined by the Secretary, if--
                            ``(i) the Secretary matches any reduction 
                        in units otherwise required to be assisted with 
                        project-based assistance under subparagraph (A) 
                        or (B) with at least an equivalent increase in 
                        units made affordable to very low-income 
                        persons within unsubsidized projects;
                            ``(ii) low-income tenants residing in units 
                        otherwise requiring project-based assistance 
                        under subparagrph (A) or (B) upon disposition 
                        receive section 8 tenant-based assistance; and
                            ``(iii) the units described in clause (i) 
                        are located within the same market area.
                    ``(D) Contract requirements for unsubsidized 
                projects.--Notwithstanding actions taken pursuant to 
                subparagraph (C), in unsubsidized projects, the 
                contract shall at least be sufficient to provide--
                            ``(i) project-based rental assistance for 
                        all units that are covered or were covered 
                        immediately before foreclosure or acquisition 
                        by an assistance contract under--
                                    ``(I) section 8(b)(2) of the United 
                                States Housing Act of 1937 (as such 
                                section existed before October 1, 1983) 
                                (new construction and substantial 
                                rehabilitation); section 8(b) of such 
                                Act (property disposition); section 
                                8(d)(2) of such Act (project-based 
                                certificates); section 8(e)(2) of such 
                                Act (moderate rehabilitation); section 
                                23 of such Act (as in effect before 
                                January 1, 1975); or section 101 of the 
                                Housing and Urban Development Act of 
                                1965 (rent supplements); or
                                    ``(II) section 8 of the United 
                                States Housing Act of 1937, following 
                                conversion from section 101 of the 
                                Housing and Urban Development Act of 
                                1965; and
                            ``(ii) tenant-based assistance under 
                        section 8 of the United States Housing Act of 
                        1937 for tenants currently residing in units 
                        that were covered by an assistance contract 
                        under the Loan Management Set-Aside program 
                        under section 8(b) of the United States Housing 
                        Act of 1937 immediately before foreclosure or 
                        acquisition of the project by the Secretary.
            ``(2) Annual contribution contracts.--In the case of 
        multifamily housing projects that are acquired by a purchaser 
        other than the Secretary at foreclosure or after sale by the 
        Secretary, enter into annual contribution contracts with public 
        housing agencies to provide tenant-based assistance under 
        section 8 of the United States Housing Act of 1937 to all low-
        income families who are eligible for such assistance on the 
        date that the project is acquired by the purchaser. The 
        Secretary shall take action under this paragraph only after 
        making a determination that there is available in the area an 
        adequate supply of habitable affordable housing for low-income 
        families. Actions taken pursuant to this paragraph may be taken 
        in connection with not more than 10 percent of the aggregate 
        number of units in subsidized or formerly subsidized projects 
        disposed of by the Secretary annually.
            ``(3) Other assistance.--
                    ``(A) In general.--In accordance with the authority 
                provided under the National Housing Act, reduce the 
                selling price, apply use or rent restrictions on 
                certain units, or provide other financial assistance to 
                the owners of multifamily housing projects that are 
                acquired by a purchaser other than the Secretary at 
                foreclosure, or after sale by the Secretary, on terms 
                which will ensure that--
                            ``(i) at least those units otherwise 
                        required to receive project-based section 8 
                        assistance pursuant to subparagraphs (A), (B), 
                        or (D) of paragraph (1) are available to and 
                        affordable by low-income persons; and
                            ``(ii) for the remaining useful life of the 
                        project, as defined by the Secretary, there 
                        shall be in force such use or rent restrictions 
                        as the Secretary may prescribe.
                    ``(B) Definition.--A unit shall be considered 
                affordable under this paragraph if--
                            ``(i) for very low-income tenants, the rent 
                        for such unit does not exceed 30 percent of 50 
                        percent of the area median income, as 
                        determined by the Secretary, with adjustments 
                        for family size; and
                            ``(ii) for low-income tenants other than 
                        very low-income tenants, the rent for such unit 
                        does not exceed 30 percent of 80 percent of the 
                        area median income, as determined by the 
                        Secretary, with adjustments for family size.
                    ``(C) Very low-income tenants.--The Secretary shall 
                provide assistance under section 8 of the United States 
                Housing Act of 1937 to any very low-income tenant 
                currently residing in a unit otherwise required to 
                receive project-based assistance under section 8, 
                pursuant to subparagraph (A), (B), or (D) of paragraph 
                (1), if the rents charged such tenants as a result of 
                actions taken pursuant to this paragraph exceed the 
                amount payable as rent under section 3(a) of the United 
                States Housing Act of 1937.
            ``(4) Transfer for use under other programs of the 
        secretary.--
                    ``(A) In general.--Enter into an agreement 
                providing for the transfer of a multifamily housing 
                project--
                            ``(i) to a public housing agency for use of 
                        the project as public housing; or
                            ``(ii) to an owner or another appropriate 
                        entity for use of the project under section 202 
                        of the Housing Act of 1959 or under section 811 
                        of the Cranston-Gonzalez National Affordable 
                        Housing Act.
                    ``(B) Requirements for agreement.--The agreement 
                described in subparagraph (A) shall--
                            ``(i) contain such terms, conditions, and 
                        limitations as the Secretary determines 
                        appropriate, including requirements to assure 
                        use of the project under the public housing, 
                        section 202, and section 811 programs; and
                            ``(ii) ensure that no current tenant will 
                        be displaced as a result of actions taken under 
                        this paragraph.
    ``(f) Other Assistance.--In addition to the actions authorized by 
subsection (e), the Secretary may take any of the following actions:
            ``(1) Short-term loans.--Provide short-term loans to 
        facilitate the sale of multifamily housing projects to 
        nonprofit organizations or to public agencies if--
                    ``(A) authority for such loans is provided in 
                advance in an appropriations Act;
                    ``(B) such loans are for a term of not more than 5 
                years;
                    ``(C) the Secretary is presented with satisfactory 
                documentation, evidencing a commitment of permanent 
                financing to replace such short-term loan, from a 
                lender who meets standards set forth by the Secretary; 
                and
                    ``(D) the terms of such loans are consistent with 
                prevailing practices in the marketplace or the 
                provision of such loans results in no cost to the 
                Government, as defined in section 502 of the 
                Congressional Budget Act.
            ``(2) Tenant-based assistance.--In connection with projects 
        referred to in subsection (e), make available tenant-based 
        assistance under section 8 of the United States Housing Act of 
        1937 to very low-income families (as defined in section 3(b)(2) 
        of the United States Housing Act of 1937) that do not otherwise 
        qualify for project-based assistance.
            ``(3) Alternative uses.--
                    ``(A) In general.--Notwithstanding any other 
                provision of law, and subject to notice to and comment 
                from existing tenants, allow not more than--
                            ``(i) 5 percent of the total number of 
                        units in multifamily housing projects that are 
                        disposed of by the Secretary during any 1-year 
                        period to be made available for uses other than 
                        rental or cooperative uses, including low-
                        income homeownership opportunities, or in any 
                        particular project, community space, office 
                        space for tenant or housing-related service 
                        providers or security programs, or small 
                        business uses, if such uses benefit the tenants 
                        of the project; and
                            ``(ii) 5 percent of the total number of 
                        units in multifamily housing projects that are 
                        disposed of by the Secretary during any 1-year 
                        period to be used in any manner, if the 
                        Secretary and the unit of general local 
                        government or area-wide governing body 
                        determine that such use will further fair 
                        housing, community development, or neighborhood 
                        revitalization goals.
                    ``(B) Displacement protection.--The Secretary shall 
                make available tenant-based rental assistance under 
                section 8 of the United States Housing Act of 1937 to 
                any tenant displaced as a result of actions taken by 
                the Secretary pursuant to subparagraph (A), and the 
                Secretary shall take such actions as the Secretary 
                determines necessary to ensure the successful use of 
                any tenant-based assistance.
    ``(g) Authorization of Use or Rent Restrictions in Unsubsidized 
Projects.--In carrying out the goals specified in subsection (a), the 
Secretary may require certain units in unsubsidized projects to contain 
use or rent restrictions providing that such units will be available to 
and affordable by very low-income persons for the remaining useful life 
of the property, as defined by the Secretary.
    ``(h) Contract Requirements.--
            ``(1) Contract term.--
                    ``(A) In general.--Contracts for project-based 
                rental assistance under section 8 of the United States 
                Housing Act of 1937 provided pursuant to this section 
                shall be for a term of not more than 15 years; and
                    ``(B) Contract term of less than 15 years.--
                Notwithstanding subparagraph (A), to the extent that 
                units receive project-based assistance for a contract 
                term of less than 15 years, the Secretary shall require 
                that rents charged to tenants for such units not exceed 
                the amount payable for rent under section 3(a) of the 
                United States Housing Act of 1937 for a period of at 
                least 15 years.
            ``(2) Contract rent.--
                    ``(A) In general.--The Secretary shall set contract 
                rents for section 8 project-based rental contracts 
                issued under this section at levels that, in 
                conjunction with other resources available to the 
                purchaser, provide for the necessary costs of 
                rehabilitation of such project and do not exceed the 
                percentage of the existing housing fair market rents 
                for the area (as determined by the Secretary under 
                section 8(c) of the United States Housing Act of 1937) 
                as the Secretary may prescribe.
                    ``(B) Up-front grants and loans.--If such an 
                approach is determined to be more cost-effective, the 
                Secretary may utilize the budget authority provided for 
                project-based section 8 contracts issued under this 
                section to--
                            ``(i) provide project-based section 8 
                        rental assistance; and
                            ``(ii)(I) provide up-front grants for the 
                        necessary cost of rehabilitation; or
                            ``(II) pay for any cost to the Government, 
                        as defined in section 502 of the Congressional 
                        Budget Act, for loans made pursuant to 
                        subsection (f)(1).
    ``(i) Disposition Plan.--
            ``(1) In general.--Prior to the sale of a multifamily 
        housing project that is owned by the Secretary, the Secretary 
        shall develop a disposition plan for the project that specifies 
        the minimum terms and conditions of the Secretary for 
        disposition of the project, the initial sales price that is 
        acceptable to the Secretary, and the assistance that the 
        Secretary plans to make available to a prospective purchaser in 
        accordance with this section. The initial sales price shall 
        reflect the intended use of the property after sale.
            ``(2) Community and tenant input into disposition plans and 
        sales.--
                    ``(A) In general.--In carrying out this section, 
                the Secretary shall develop procedures to obtain 
                appropriate and timely input into disposition plans 
                from officials of the unit of general local government 
                affected, the community in which the project is 
                situated, and the tenants of the project.
            ``(B) Tenant organizations.--The Secretary shall develop 
        procedures to facilitate, where feasible and appropriate, the 
        sale of multifamily housing projects to existing tenant 
        organizations with demonstrated capacity or to public or 
        nonprofit entities which represent or are affiliated with 
        existing tenant organizations.
            ``(C) Technical assistance.--
                            ``(i) Use of funds.--To carry out the 
                        procedures developed under subparagraphs (A) 
                        and (B), the Secretary is authorized to provide 
                        technical assistance, directly or indirectly, 
                        and to use amounts appropriated for technical 
                        assistance under the Emergency Low Income 
                        Housing Preservation Act of 1987, the Low-
                        Income Housing Preservation and Resident 
                        Homeownership Act of 1990, subtitle B of title 
                        IV of the Cranston-Gonzalez National Affordable 
                        Housing Act, or under this section for the 
                        provision of technical assistance under this 
                        section.
                            ``(ii) Source of funds.--Recipients of 
                        technical assistance funding under the 
                        Emergency Low Income Housing Preservation Act 
                        of 1987, the Low-Income Housing Preservation 
                        and Resident Homeownership Act of 1990, 
                        subtitle B of title IV of the Cranston-Gonzalez 
                        National Affordable Housing Act, or under this 
                        section shall be permitted to provide technical 
                        assistance to the extent of such funding under 
                        any of such programs or under this section, 
                        notwithstanding the source of funding.
    ``(j) Right of First Refusal.--
            ``(1) Procedure.--
                    ``(A) Notification by secretary of the acquisition 
                of title.--Not later than 30 days after acquiring title 
                to a project, the Secretary shall notify the unit of 
                general local government and the State agency or 
                agencies designated by the Governor of the acquisition 
                of such title.
                    ``(B) Expression of interest.--Not later than 45 
                days after receiving notification from the Secretary 
                under subparagraph (A), the unit of general local 
                government or designated State agency may submit to the 
                Secretary a preliminary expression of interest in the 
                project. The Secretary may take such actions as may be 
                necessary to require the unit of general local 
                government or designated State agency to substantiate 
                such interest.
                    ``(C) Timely expression of interest.--If the unit 
                of general local government or designated State agency 
                has expressed interest in the project before the 
                expiration of the 45-day period referred to in 
                subparagraph (B), and has substantiated such interest 
                if requested, the Secretary, upon approval of a 
                disposition plan for a project, shall notify the unit 
                of general local government and designated State agency 
                of the terms and conditions of the disposition plan and 
                give the unit of general local government or designated 
                State agency not more than 90 days after the date of 
                such notification to make an offer to purchase the 
                project.
                    ``(D) No timely expression of interest.--If the 
                unit of general local government or designated State 
                agency does not express interest before the expiration 
                of the 45-day period referred to in subparagraph (B), 
                or does not substantiate an expressed interest if 
                requested, the Secretary, upon approval of a 
                disposition plan, may offer the project for sale to any 
                interested person or entity.
            ``(2) Acceptance of offers.--Where the Secretary has given 
        the unit of general local government or designated State agency 
        90 days to make an offer to purchase the project, the Secretary 
        shall accept an offer that complies with the terms and 
        conditions of the disposition plan. The Secretary may accept an 
        offer that does not comply with the terms and conditions of the 
        disposition plan if the Secretary determines that the offer 
        will further the goals specified in subsection (a) by actions 
        that include extension of the duration of low-income 
        affordability restrictions or otherwise restructuring the 
        transaction in a manner that enhances the long-term 
        affordability for low-income persons. The Secretary shall, in 
        particular, have discretion to reduce the initial sales price 
        in exchange for the extension of low-income affordability 
        restrictions beyond the period of assistance contemplated by 
        the attachment of assistance pursuant to subsection (e). If the 
        Secretary and the unit of general local government or 
        designated State agency cannot reach agreement within 90 days, 
        the Secretary may offer the project for sale to the general 
        public.
            ``(3) Purchase by unit of general local government or 
        designated state agency.--Notwithstanding any other provision 
        of law, a unit of general local government (including a public 
        housing agency) or designated State agency may purchase a 
        subsidized or formerly subsidized project in accordance with 
        this subsection.
            ``(4) Applicability.--This subsection shall apply to 
        projects that are acquired on or after the effective date of 
        this subsection. With respect to projects acquired before such 
        effective date, the Secretary may apply--
                    ``(A) the requirements of paragraphs (2) and (3) of 
                section 203(e) as such paragraphs existed immediately 
                before the effective date of this subsection; or
                    ``(B) the requirements of paragraphs (1) and (2) of 
                this subsection, if the Secretary gives the unit of 
                general local government or designated State agency--
                            ``(i) 45 days to express interest in the 
                        project; and
                            ``(ii) if the unit of general local 
                        government or designated State agency expresses 
                        interest in the project before the expiration 
                        of the 45-day period, and substantiates such 
                        interest if requested, 90 days from the date of 
                        notification of the terms and conditions of the 
                        disposition plan to make an offer to purchase 
                        the project.
    ``(k) Displacement of Tenants and Relocation Assistance.--
            ``(1) In general.--Whenever tenants will be displaced as a 
        result of the disposition of, or repairs to, a multifamily 
        housing project that is owned by the Secretary (or for which 
        the Secretary is mortgagee in possession), the Secretary shall 
        identify tenants who will be displaced, and shall notify all 
        such tenants of their pending displacement and of any 
        relocation assistance which may be available. In the case of a 
        multifamily housing project that is not owned by the Secretary 
        (and for which the Secretary is not mortgagee in possession), 
        the Secretary shall require the owner of the project to carry 
        out the requirements of this paragraph.
            ``(2) Rights of displaced tenants.--The Secretary shall 
        assure for any such tenant (who continues to meet applicable 
        qualification standards) the right--
                    ``(A) to return, whenever possible, to a repaired 
                unit;
                    ``(B) to occupy a unit in another multifamily 
                housing project owned by the Secretary;
                    ``(C) to obtain housing assistance under the United 
                States Housing Act of 1937; or
                    ``(D) to receive any other available relocation 
                assistance as the Secretary determines to be 
                appropriate.
    ``(l) Mortgage and Project Sales.--
            ``(1) In general.--The Secretary may not approve the sale 
        of any loan or mortgage held by the Secretary (including any 
        loan or mortgage owned by the Government National Mortgage 
        Association) on any subsidized project or formerly subsidized 
        project, unless such sale is made as part of a transaction that 
        will ensure that such project will continue to operate at least 
        until the maturity date of such loan or mortgage, in a manner 
        that will provide rental housing on terms at least as 
        advantageous to existing and future tenants as the terms 
        required by the program under which the loan or mortgage was 
        made or insured prior to the assignment of the loan or mortgage 
        on such project to the Secretary.
            ``(2) Sale of certain projects.--The Secretary may not 
        approve the sale of any subsidized project--
                    ``(A) that is subject to a mortgage held by the 
                Secretary; or
                    ``(B) if the sale transaction involves the 
                provision of any additional subsidy funds by the 
                Secretary or a recasting of the mortgage, unless such 
                sale is made as part of a transaction that will ensure 
                that such project will continue to operate at least 
                until the maturity date of the loan or mortgage, in a 
                manner that will provide rental housing on terms at 
                least as advantageous to existing and future tenants as 
                the terms required by the program under which the loan 
                or mortgage was made or insured prior to the proposed 
                sale of the project.
            ``(3) Mortgage sales to state and local governments.--
        Notwithstanding any provision of law that may require 
        competitive sales or bidding, the Secretary may carry out 
        negotiated sales of subsidized or formerly subsidized mortgages 
        held by the Secretary, without the competitive selection of 
        purchasers or intermediaries, to units of general local 
        government or State agencies, or groups of investors that 
        include at least one such unit of general local government or 
        State agency, if the negotiations are conducted with such 
        agencies, except that--
                    ``(A) the terms of any such sale shall include the 
                agreement of the purchasing agency or unit of local 
                government or State agency to act as mortgagee or owner 
                of a beneficial interest in such mortgages, in a manner 
                consistent with maintaining the projects that are 
                subject to such mortgages for occupancy by the general 
                tenant group intended to be served by the applicable 
                mortgage insurance program, including, to the extent 
                the Secretary determines appropriate, authorizing such 
                unit of local government or State agency to enforce the 
                provisions of any regulatory agreement or other program 
                requirements applicable to the related projects; and
                    ``(B) the sales prices for such mortgages shall be, 
                in the determination of the Secretary, the best prices 
                that may be obtained for such mortgages from a unit of 
                general local government or State agency, consistent 
                with the expectation and intention that the projects 
                financed will be retained for use under the applicable 
                mortgage insurance program for the life of the initial 
                mortgage insurance contract.
            ``(4) Sale of mortgages covering unsubsidized projects.--
        Notwithstanding any other provision of law, the Secretary may 
        sell mortgages held on unsubsidized projects on such terms and 
        conditions as the Secretary may prescribe.
    ``(m) Report to Congress.--Not later than June 1 of each year, the 
Secretary shall submit to the Committee on Banking, Housing, and Urban 
Affairs of the Senate and the Committee on Banking, Finance and Urban 
Affairs of the House of Representatives, a report describing the status 
of multifamily housing projects owned by or subject to mortgages held 
by the Secretary, which report shall include--
            ``(1) the name, address, and size of each project;
            ``(2) the nature and date of assignment;
            ``(3) the status of the mortgage;
            ``(4) the physical condition of the project;
            ``(5) an occupancy profile of the project, including the 
        income, family size, and race of current residents as well as 
        the rents paid by such residents;
            ``(6) the proportion of units in a project that are vacant;
            ``(7) the date on which the Secretary became mortgagee in 
        possession;
            ``(8) the date and conditions of any foreclosure sale;
            ``(9) the date of acquisition by the Secretary;
            ``(10) the date and conditions of any property disposition 
        sale;
            ``(11) a description of actions undertaken pursuant to this 
        section, including--
                    ``(A) a comparison of results between actions taken 
                after enactment of the Housing and Community 
                Development Act of 1993 and actions taken in years 
                prior to such enactment;
                    ``(B) a description of any impediments to the 
                disposition or management of multifamily housing 
                projects, together with a recommendation of proposed 
                legislative or regulatory changes designed to 
                ameliorate such impediments;
                    ``(C) a description of actions taken to restructure 
                or commence foreclosure on delinquent multifamily 
                mortgages held by the Department; and
                    ``(D) a description of actions taken to monitor and 
                prevent the default of multifamily housing mortgages 
                held by the Federal Housing Administration;
            ``(12) a description of any of the functions performed in 
        connection with this section that are contracted out to public 
        or private entities or to States, including--
                    ``(A) the costs associated with such delegation;
                    ``(B) the implications of contracting out or 
                delegating such functions for current Department field 
                or regional personnel, including anticipated personnel 
                or work load reductions;
                    ``(C) necessary oversight required by Department 
                personnel, including anticipated personnel hours 
                devoted to such oversight;
                    ``(D) a description of any authority granted to 
                such public or private entities or States in 
                conjunction with the functions that have been delegated 
                or contracted out or that are not otherwise available 
                for use by Department personnel; and
                    ``(E) the extent to which such public or private 
                entities or States include tenants of multifamily 
                housing projects in the disposition planning for such 
                projects;
            ``(13) a description of the activities carried out under 
        subsection (j) during the preceding year; and
            ``(14) a description and assessment of the rules, 
        guidelines, and practices governing the Department's management 
        of multifamily housing projects that are owned by the Secretary 
        (or for which the Secretary is mortgagee in possession) as well 
        as the steps that the Secretary has taken or plans to take to 
        improve the management performance of the Department.''.
    (c) Effective Date.--The Secretary shall, by notice published in 
the Federal Register, which shall take effect upon publication, 
establish such requirements as may be necessary to implement the 
amendments made by this section. The notice shall invite public 
comments, and the Secretary shall issue final regulations based on the 
initial notice, taking into account any public comments received.

       Subtitle B--Merger of the Certificate and Voucher Programs

SEC. 6101. MERGER OF CERTIFICATE AND VOUCHER PROGRAMS.

    The United States Housing Act of 1937 is amended as provided in 
subsections (a) through (d) of this section.
    (a) Merger of Certificate and Voucher Programs.--Section 8(o) is 
amended to read as follows:
    ``(o) Certificate Program.--(1) The Secretary may provide 
assistance for tenant-based assistance using a payment standard in 
accordance with this subsection. The payment standard shall be used to 
determine the monthly assistance which may be paid for any family, as 
provided in paragraph (2) of this subsection, and shall not exceed the 
fair market rental established under subsection (c). However, the 
payment standard for a designated part of the market area may exceed 
the fair market rental by not more than 20 percent where the Secretary 
determines that higher market rents in a designated part of the market 
area justify a higher payment standard. The Secretary may require an 
agency to submit proposed payment standards to the Secretary for 
approval.
    ``(2)(A) For a family receiving tenant-based assistance, where the 
rent (including the amount allowed for tenant-paid utilities) does not 
exceed the payment standard, the monthly assistance payment shall be 
the amount by which the rent exceeds the highest of the following 
amounts, rounded to the nearest dollar:
            ``(i) 30 percent of the family's monthly adjusted income;
            ``(ii) 10 percent of the family's monthly income; or
            ``(iii) if the family is receiving payments for welfare 
        assistance from a public agency and a part of such payments, 
        adjusted in accordance with the family's actual housing costs, 
        is specifically designated by such agency to meet the family's 
        housing costs, the portion of such payments which is so 
        designated.
    ``(B) For a family receiving tenant-based assistance, where the 
rent (including the amount allowed for tenant-paid utilities) exceeds 
the payment standard, the monthly assistance payment shall be the 
amount by which the applicable payment standard exceeds the highest of 
the following amounts, rounded to the nearest dollar:
            ``(i) 30 percent of the family's monthly adjusted income;
            ``(ii) 10 percent of the family's monthly income; or
            ``(iii) if the family is receiving payments for welfare 
        assistance from a public agency and a part of such payments, 
        adjusted in accordance with the family's actual housing costs, 
        is specifically designated by such agency to meet the family's 
        housing costs, the portion of such payments which is so 
        designated.
    ``(C) For a family receiving project-based assistance, the rent the 
family is required to pay shall be determined in accordance with 
section 3(a)(1) and the amount of the housing assistance payment shall 
be determined in accordance with subsection (c)(3).
    ``(3) At the time a family initially receives tenant-based 
assistance with respect to any unit, the total amount a family may pay 
towards rent may not exceed 45 percent of the family's monthly adjusted 
income.
    ``(4) At the time a family initially receives assistance under the 
certificate program, a family shall qualify as--
            ``(A) a very low-income family;
            ``(B) a family previously assisted under this Act; or
            ``(C) a low-income family that meets eligibility criteria 
        specified by the Secretary.
    ``(5) Reviews of family income shall be made at least annually.
    ``(6)(A) In selecting families to be assisted, preference shall be 
given to families which, at the time they are seeking assistance, (i) 
occupy substandard housing (including families that are homeless or 
living in a shelter for homeless families), (ii) are involuntarily 
displaced, or (iii) are paying more than 50 percent of family income 
for rent; except that any family otherwise eligible for assistance 
under this section may not be denied preference for tenant-based 
assistance (or delayed or otherwise adversely affected in the provision 
of such assistance) solely because the family resides in public 
housing.
    ``(B) A public housing agency may provide for circumstances in 
which families who do not qualify for any preference established in 
subparagraph (A) are provided assistance under this subsection before 
families who do qualify for such preference. However, not more than 10 
percent in the case of tenant-based assistance and not more than 30 
percent in the case of project-based assistance (or such higher 
percentage, in either case, determined by the Secretary to be 
necessary) of the families who initially receive assistance in any 1-
year period may be families who do not qualify for such preference. The 
public housing agency shall, in implementing the preceding sentence, 
establish a system of preferences in writing and after public hearing 
to respond to local housing needs and priorities which may include--
            ``(i) assisting very low-income families who either reside 
        in transitional housing assisted under title IV of the Stewart 
        B. McKinney Homeless Assistance Act, or participate in a 
        program designed to provide public assistance recipients with 
        greater access to employment and educational opportunities;
            ``(ii) assisting families identified by local public 
        agencies involved in providing for the welfare of children as 
        having a lack of adequate housing that is a primary factor in 
        the imminent placement of a child in foster care, or in 
        preventing the discharge of a child from foster care and 
        reunification with his or her family;
            ``(iii) assisting youth, upon discharge from foster care, 
        in cases in which return to the family or extended family or 
        adoption is not available;
            ``(iv) assisting veterans who will use the assistance for a 
        dwelling unit designed for the handicapped, and upon discharge 
        or eligibility for discharge from a hospital or nursing home, 
        have a physical disability which, because of the configuration 
        of their homes, prevents them from access to or use of their 
        homes; and
            ``(v) achieving other objectives of national housing policy 
        as affirmed by Congress.
    ``(C) Any individual or family evicted from housing assisted under 
the Act by reason of drug-related criminal activity (as defined in 
subsection (f)(5)) shall not be eligible for a preference under any 
provision of this subparagraph for 3 years unless the evicted tenant 
successfully completes a rehabilitation program approved by the 
Secretary (which shall include waiver for any member of a family of an 
individual prohibited from tenancy under this clause who the agency 
determines clearly did not participate in and had no knowledge of such 
criminal activity or when circumstances leading to eviction no longer 
exist).
    ``(7) The Secretary shall require, for any unit, that--
            ``(A) the public housing agency inspect the unit before any 
        assistance payment may be made to determine that the unit meets 
        housing quality standards for decent, safe, and sanitary 
        housing established by the Secretary for the purpose of this 
        section; and
            ``(B) the public housing agency make annual or more 
        frequent inspections during the contract term.
No assistance payment may be made for a dwelling unit which fails to 
meet such quality standards, unless any such failure is promptly 
corrected by the owner and the correction is verified by the public 
housing agency.
    ``(8) If a family vacates a dwelling unit, no assistance payment 
may be made for the unit after the month during which the unit was 
vacated.
    ``(9) A public housing agency may adjust its payment standard under 
this subsection where necessary to assure continued affordability for 
families receiving tenant-based assistance.
    ``(10) The Secretary may set aside up to 5 percent of the budget 
authority available under this subsection as an adjustment pool. The 
Secretary shall use amounts in the adjustment pool for adjustments 
pursuant to paragraph (9) to ensure continued affordability where the 
Secretary determines additional assistance for this purpose is 
necessary, based on documentation submitted by a public housing agency.
    ``(11)(A) The rent for units assisted under this subsection shall 
be reasonable in comparison with rents charged for comparable units in 
the private unassisted market.
    ``(B) A public housing agency shall, at the request of a family 
receiving tenant-based assistance under this subsection, assist such 
family in negotiating a reasonable rent with an owner. A public housing 
agency shall review the rent for a unit under consideration by the 
family (and all rent increases for units under lease by the family) to 
determine whether the rent (or rent increase) requested by an owner is 
reasonable. If a public housing agency determines that the rent (or 
rent increase) for a unit is not reasonable, the agency shall 
disapprove a lease for such unit.
    ``(C) If units assisted under this subsection are exempt from local 
rent control while they are so assisted, the rent for such units shall 
be reasonable in comparison with other units in the market area that 
are exempt from local rent control.
    ``(12)(A) A public housing agency may make assistance payments on 
behalf of a family which utilizes a manufactured home as its principal 
place of residence. Such payments may be made for the rental of the 
real property on which there is located a manufactured home which is 
owned by any such family.
    ``(B)(i) For assistance pursuant to this paragraph, the rent for 
the space on which a manufactured home is located and with respect to 
which assistance payments are to be made includes maintenance and 
management charges and tenant-paid utilities.
    ``(ii) The public housing agency shall establish a payment standard 
for the purpose of determining the monthly assistance which may be paid 
for any family under this paragraph. The payment standard may not 
exceed an amount approved or established by the Secretary.
    ``(iii) The monthly assistance payment for assistance under this 
paragraph shall be determined in accordance with paragraph (2).
    ``(13)(A) Where the Secretary enters into an annual contributions 
contract with a public housing agency pursuant to which the agency will 
enter into a contract for assistance payments with respect to an 
existing structure under this subsection, the contract for assistance 
payments may not be attached to the structure unless the owner agrees 
to rehabilitate or newly construct the structure other than with 
assistance under this Act and otherwise complies with the requirements 
of this section. The public housing agency may approve such attachment 
for up to 15 percent of the funding available for tenant-based 
assistance administered by the agency under this section.
    ``(B) Notwithstanding any other provision of this section, a public 
housing agency and an applicable State agency may, on a priority basis, 
attach to structures not more than an additional 15 percent of the 
assistance only with respect to projects assisted under a State program 
that permits the owner of the projects to prepay a State-assisted or 
State-subsidized mortgage on the structure. However, the attachment of 
assistance under this subparagraph shall be for the purpose of--
            ``(i) providing incentives to owners to preserve such 
        projects for occupancy by low- and moderate-income families 
        (for the period that assistance under this sentence is 
        available), and
            ``(ii) to assist low-income families to afford any 
        increases in rent that may be required to induce the owner to 
        maintain occupancy in the project by low- and moderate-income 
        families.
    ``(C) Any assistance provided to low-income families under 
subparagraph (B) shall not be considered for purposes of the limitation 
under paragraph (6) regarding the percentage of families that may 
receive assistance under this section who do not qualify for 
preferences under that paragraph.
    ``(D) In the case of a contract for assistance payments that is 
attached to a structure under this paragraph, a public housing agency 
shall enter into a contract with an owner, contingent upon the future 
availability of appropriations for the purpose of renewing expiring 
contracts for assistance payments as provided in appropriations Acts, 
to extend the term of the underlying contract for assistance payments 
for such period or periods as the Secretary determines to be 
appropriate to achieve long-term affordability of the housing. The 
contract shall obligate the owner to have such extensions of the 
underlying contract for assistance payments accepted by the owner and 
the owner's successors in interest. To the extent assistance is used as 
provided in the second sentence of subparagraph (B), the contract for 
assistance may, at the option of the public housing agency, have an 
initial term not exceeding 15 years.
    ``(E) The Secretary shall annually survey public housing agencies 
to determine which public housing agencies have, in providing 
assistance in such year, reached the 15 percent limitations contained 
in subparagraphs (A) and (B), and shall report to the Congress on the 
results of the survey.
    ``(F) For project-based assistance under this paragraph, assistance 
contracts shall establish rents, and provide for rent adjustments, in 
accordance with subsection (c).
    ``(14) A family may lease a unit, other than a public housing unit, 
from the public housing agency with assistance under this subsection. 
The Secretary may establish appropriate program requirements for units 
owned by the public housing agency, including requirements for HUD 
approval of initial rents, rent adjustments, and administrative fees, 
taking into account that the agency administering the assistance is 
also the owner of the assisted unit.
    ``(15) Subsection (c) shall not apply to tenant-based assistance 
under this subsection, except that subsections (c)(9) and (c)(10) shall 
apply.''.
    (b) Portability.--Section 8(r) is amended--
            (1) in each of paragraphs (1) and (3), by striking 
        ``subsection (b) or'';
            (2) in paragraph (3), by inserting at the end the following 
        new sentence: ``The Secretary may reserve amounts available for 
        assistance under subsection (o) to compensate public housing 
        agencies which issue certificates to families that move into 
        the jurisdiction of the agency under portability procedures.''; 
        and
            (3) by adding the following new paragraph at the end:
            ``(5) A family may not receive a certificate from an agency 
        and move to another jurisdiction under the tenant-based 
        assistance program, if the family has moved out of its assisted 
        unit in violation of its lease.''.
    (c) Homeownership Option.--Section 8(y) is amended--
            (1) in paragraph (1)(A), by inserting before the semicolon 
        ``or owns or is acquiring shares in a cooperative'';
            (2) in paragraph (1)(B)(i), by inserting before the 
        semicolon ``and demonstrates to the public housing agency that 
        it has sufficient resources for homeownership''; and
            (3) by amending paragraph (2)(A) to read as follows:
                    ``(A) Determination of amount of assistance.--
                            ``(i) Where the monthly homeownership 
                        expenses, as determined in accordance with 
                        requirements established by the Secretary, do 
                        not exceed the payment standard, the monthly 
                        assistance payment shall be the amount by which 
                        the homeownership expenses exceed the highest 
                        of the following amounts, rounded to the 
                        nearest dollar:
                                    ``(I) 30 percent of the family's 
                                monthly adjusted income;
                                    ``(II) 10 percent of the family's 
                                monthly income; or
                                    ``(III) if the family is receiving 
                                payments for welfare assistance from a 
                                public agency and a part of such 
                                payments, adjusted in accordance with 
                                the family's actual housing costs, is 
                                specifically designated by such agency 
                                to meet the family's housing costs, the 
                                portion of such payments which is so 
                                designated.
                            ``(ii) Where the monthly homeownership 
                        expenses, as determined in accordance with 
                        requirements established by the Secretary, 
                        exceed the payment standard, the monthly 
                        assistance payment shall be the amount by which 
                        the applicable payment standard exceeds the 
                        highest of the following amounts, rounded to 
                        the nearest dollar:
                                    ``(I) 30 percent of the family's 
                                monthly adjusted income;
                                    ``(II) 10 percent of the family's 
                                monthly income; or
                                    ``(III) if the family is receiving 
                                payments for welfare assistance from a 
                                public agency and a part of such 
                                payments, adjusted in accordance with 
                                the family's actual housing costs, is 
                                specifically designated by such agency 
                                to meet the family's housing costs, the 
                                portion of such payments which is so 
                                designated.''.
    (d) Technical and Conforming Amendments to the 1937 Act; Deletion 
of Obsolete Provisions.--
            (1) The second and third sentences of section 8(a) are 
        hereby repealed.
            (2) Section 8(b) is amended by--
                    (A) striking ``Rental Certificates and Other 
                Existing Housing Programs.--'' and inserting 
                ``Certificates and Other Existing Housing Programs.--
                (1)''; and
                    (B) striking the second sentence.
            (3) Section 8(c)(3) is amended by striking the subparagraph 
        designation ``(A)'' and striking all of subparagraph (B).
            (4) The first sentence of section 8(c)(4) is amended by 
        striking ``or by a family that qualifies to receive'' and all 
        that follows through ``1990''.
            (5) Sections 8(c) (5) and (7) are hereby repealed.
            (6) Section 8(c)(8) is amended by inserting after 
        ``section'' the following: ``(other than a contract under 
        section 8(o)(13))''.
            (7) Section 8(d)(1)(A) is amended--
                    (A) by inserting after the subparagraph designation 
                ``(A)'' the following: ``except for assistance under 
                subsection (o),'';
                    (B) in clause (i) by striking ``(I)'';
                    (C) in clause (i), by striking ``and (II) 90 
                percent of such families in the case of assistance not 
                attached to a structure''; and
                    (D) in clause (i), by striking ``except'' and all 
                that follows through the semicolon at the end.
            (8) Section 8(d)(2) is amended by striking the third 
        sentence of subparagraph (A) and all that follows through the 
        end of paragraph (2).
            (9) Section 8(f) is amended by--
                    (A) in paragraph (6), striking ``(d)(2)'' and 
                inserting ``(o)(13)''; and
                    (B) in paragraph (7), striking ``(b) or'' and 
                inserting before the period the following: ``and that 
                provides for the eligible family to select suitable 
                housing and to move to other suitable housing''.
            (10) Section 8(j) is hereby repealed.
            (11) Section 8(n) is hereby repealed.
            (12) The first sentence of section 8(q)(1) and sections 
        8(q)(2)(A)(i) and 8(q)(2)(B) are each amended by striking 
        ``subsections (b) and (o)'' and inserting ``this section''.
            (13) Section 18(b)(3) is amended--
                    (A) in subparagraph (A)(v), by striking 
                ``(excluding vouchers under section 8(o))'' each place 
                it appears;
                    (B) in subparagraph (B), by striking ``8(d)(2)(A)'' 
                and inserting ``8(o)(13)'';
                    (C) in subparagraph (B)(ii), by striking 
                ``(excluding vouchers under section 8(o))''; and
                    (D) in subparagraph (C)(i), by striking ``and 
                vouchers''.
            (14) Section 21(b)(3) is amended--
                    (A) in the first sentence, by striking 
                ``certificate under section 8(b)(1) or a housing 
                voucher under section 8(o)'' and inserting ``tenant-
                based assistance under section 8''; and
                    (B) by striking the second sentence.
            (15) Section 23(b)(3)(A) is amended by striking 
        ``Certificate and voucher assistance under section 8 (b) and 
        (o)'' and inserting ``Tenant-based assistance under section 
        8''.
    (e) Other Technical and Conforming Amendments.--
            (1) Section 931 of the Cranston-Gonzalez National 
        Affordable Housing Act is amended by striking ``assistance 
        under the certificate and voucher programs under sections 8 (b) 
        and (o)'' and inserting ``tenant-based assistance under section 
        8''.
            (2) Section 861(b)(1)(D) of the Cranston-Gonzalez National 
        Affordable Housing Act is amended by striking ``certificates or 
        vouchers'' and inserting ``assistance''.
            (3) Section 183(c)(2) of the Housing and Community 
        Development Act of 1987 is amended by striking ``section 8(o)'' 
        and inserting ``section 8''.
            (4) Section 223(a) of the Housing and Community Development 
        Act of 1987 is amended by striking ``sections 8(b) and 8(o)'' 
        and inserting ``section 8''.
            (5) The second sentence of section 533(a) of the Housing 
        Act of 1949 is amended by striking ``assistance payments as 
        provided by section 8(o)'' and inserting ``tenant-based 
        assistance as provided under section 8''.
    (f) Implementation.--The amendments made by this section shall take 
effect upon the date specified in a regulation or notice published by 
the Secretary in the Federal Register. The Secretary may provide for 
the conversion of assistance under the certificate and voucher 
programs, as they existed before the effective date of the amendments 
made by this section, to the certificate program established under this 
section. However, the Secretary may continue to apply the provisions of 
the United States Housing Act of 1937 and other statutes amended by 
this section, as they existed immediately before such effective date, 
to assistance obligated by the Secretary before such effective date for 
the certificate or voucher program, where necessary for simplification 
of program administration, avoidance of hardship, or other good cause.

                       Subtitle C--Streamline HUD

SEC. 6201. HUD STREAMLINING.

    The Secretary of Housing and Urban Development shall carry out the 
recommendation of the Report of the National Performance Review, issued 
on September 7, 1993, that the Department streamline its headquarters, 
regional, and field office structure and consolidate and reduce its 
size, without regard to the requirements of section 7(p) of the 
Department of Housing and Urban Development Act.

              Subtitle D--Refinance Section 235 Mortgages

SEC. 6301. SECTION 235 MORTGAGE REFINANCING.

    Section 235(r) of the National Housing Act is amended--
            (1) in paragraph (2)(C), by inserting after ``refinanced'' 
        the following: ``, plus the costs incurred in connection with 
        the refinancing as described in paragraph (4)(B) to the extent 
        that the amount for those costs is not otherwise included in 
        the interest rate as permitted by subparagraph (E) or paid by 
        the Secretary as authorized by paragraph (4)(B)'';
            (2) in paragraph (4)--
                    (A) by inserting after ``otherwise)'' the 
                following: ``and the mortgagee with respect to the 
                amount described in paragraph (A)''; and
                    (B) in subparagraph (A), by inserting after 
                ``mortgagor'' the following: ``and the mortgagee''; and
            (3) by revising paragraph (5) to read as follows:
            ``(5) The Secretary shall use amounts of budget authority 
        recaptured from assistance payments contracts relating to 
        mortgages that are being refinanced for assistance payments 
        contracts with respect to mortgages insured under this 
        subsection. The Secretary may also make such recaptured amounts 
        available for incentives under paragraph (4)(A) and the costs 
        incurred in connection with the refinancing under paragraph 
        (4)(B). For purposes of subsection (c)(3)(A), the amount of 
        recaptured budget authority that the Secretary commits for 
        assistance payments contracts relating to mortgages insured 
        under this subsection and for amounts paid under paragraph (4) 
        shall not be construed as `unused.'''.

  Subtitle E--Section 8 Rents for New Construction and Rehabilitation 
                                Projects

SEC. 6401. SECTION 8 RENTS FOR NEW CONSTRUCTION AND REHABILITATION 
              PROJECTS.

    Notwithstanding any other provision of law, the maximum monthly 
contract rents for new construction and substantial rehabilitation 
projects under section 8 of the United States Housing Act of 1937 shall 
not be adjusted as provided under section 8(c)(2)(A) for 1 year after 
the date of enactment of this Act.

                 TITLE VII--DEPARTMENT OF THE INTERIOR

             Subtitle A--Improve the Federal Helium Program

SEC. 7001. AMENDMENTS TO HELIUM ACT AMENDMENTS OF 1960.

    (a) Section 4 of the Helium Act Amendments of 1960 (74 Stat. 920, 
50 U.S.C. 167b) is amended to insert after ``lands acquired, leased, or 
reserved;'' the following: ``reduce costs and increase operational 
efficiencies, especially in operations that do not produce revenue; 
establish and adjust fees charged private industry for storage, 
transmission, and withdrawal of privately-owned helium from Government 
storage facilities to compensate fully for all costs incurred;''.
    (b) Section 6 of the Helium Act Amendments of 1960 (74 Stat. 921, 
50 U.S.C. 167d) is amended--
            (1) by amending subsection (b) to read:
    ``(b) The Secretary is authorized to sell helium for Federal, 
medical, scientific, and commercial uses in such quantities and under 
such terms and conditions as the Secretary determines. Sales shall be 
made in quantities and a manner to avoid undue disruption of the usual 
markets of producers, processors, and consumers of helium and to 
protect the United States against avoidable loss.''; and
            (2) by amending subsection (c) to read:
    ``(c) Sales of helium by the Secretary shall be at prices, as 
established by the Secretary, that are adequate to cover all costs 
incurred in carrying out the provisions of this Act. Helium shall be 
sold at prices comparable to helium sold by private industry. An annual 
review of price comparability shall be made and adjustments shall be 
made accordingly.''.

SEC. 7002. LONG-TERM COMPREHENSIVE PLAN.

    The Secretary of the Interior shall prepare and develop a long-
term, comprehensive plan to (1) cancel the outstanding debt owed to the 
Treasury by the Department of the Interior related to the Federal 
helium program; and (2) improve Federal helium program operations over 
a multi-year period. The plan should analyze various options to 
accomplish (1) and (2) above, with emphasis on ways to minimize adverse 
impacts on Federal employment, Federal helium purchasers, and U.S. 
private sector helium markets. The plan, with the Secretary's preferred 
options, shall be presented to the President within 4 months of 
enactment of this Act. The President may adopt the plan, in whole or in 
part, and is authorized to cancel the outstanding debt upon a finding 
that such debt cancellation is in the national interest.

   Subtitle B--Improve Minerals Management Service Royalty Collection

SEC. 7101. IMPROVEMENT OF MINERALS MANAGEMENT SERVICE ROYALTY 
              COLLECTION.

    (a) The Secretary of the Interior shall, by fiscal year 1995, 
direct the Minerals Management Service, Royalty Management Program, to 
develop and implement (1) an automated business information system to 
provide to its auditors a lease history that includes reference, 
royalty, production, financial, compliance history, pricing and 
valuation, and other information; (2) the optimum methods to identify 
and resolve anomalies and to verify that royalties are paid correctly; 
(3) a more efficient and cost-effective royalty collection process by 
instituting new compliance and enforcement measures, including 
assessments and penalties for erroneous reporting and underreporting; 
and (4) such other actions as may be necessary to reduce royalty 
underpayment and increase revenue to the U.S. Treasury by an estimated 
total of $28 million by fiscal year 1999.
    (b) The Federal Oil and Gas Royalty Management Act of 1982 (Public 
Law No. 97-451), 30 U.S.C. 1701 et seq.) is amended by adding a new 
subsection 111(h) as follows:

    ``penalty assessment for substantial underreporting of royalty''

    ``Sec. 111. (h)(1) If there is any underreporting of royalty owed 
on production from any lease issued or administered by the Secretary 
for the production of oil, gas, coal, any other mineral, or geothermal 
steam, from any Federal or Indian lands or the Outer Continental Shelf, 
for any production month, by any person who is responsible for paying 
royalty, the Secretary may assess a penalty of 10 percent of the amount 
of that underreporting.
    ``(2) If there is a substantial underreporting of royalty owed on 
production from any lease issued or administered by the Secretary for 
the production of oil, gas, coal, any other mineral, or geothermal 
steam, from any Federal or Indian lands or the Outer Continental Shelf, 
for any production month, by any person who is responsible for paying 
royalty, the Secretary may assess a penalty of 20 percent of the amount 
of that substantial underreporting.
    ``(3) For purposes of this section, the term `underreporting' means 
the difference between the royalty on the value of the production which 
should have been reported and the royalty on the value of the 
production which was reported, if the value of the production which 
should have been reported is greater than the value of the production 
which was reported. An underreporting constitutes a `substantial 
underreporting' if such difference exceeds 10 percent of the royalty on 
the value of the production which should have been reported.
    ``(4) The Secretary shall not impose the assessment provided in 
paragraphs (1) or (2) if the person corrects the underreporting before 
the date the person receives notice from the Secretary that an 
underreporting may have occurred, or before 90 days after the date of 
enactment of this section, whichever is later.
    ``(5) The Secretary shall waive any portion of an assessment 
provided in paragraphs (1) or (2) attributable to that portion of the 
underreporting for which the person demonstrates that--
            ``(i) the person had written authorization from the 
        Secretary to report royalty on the value of the production on 
        the basis on which it was reported, or
            ``(ii) the person had substantial authority for reporting 
        royalty on the value of the production on the basis on which it 
        was reported, or
            ``(iii) the person previously had notified the Secretary, 
        in such manner as the Secretary may by rule prescribe, of 
        relevant reasons or facts affecting the royalty treatment of 
        specific production which led to the underreporting, or
            ``(iv) the person meets any other exception which the 
        Secretary may, by rule, establish.
    ``(6) All penalties collected under this subsection shall be 
deposited to the same accounts in the Treasury or paid to the same 
recipients in the same manner as the royalty with respect to which such 
penalty is paid.''.

          Subtitle C--Phase Out the Mineral Institute Program

SEC. 7201. PHASE OUT OF MINERAL INSTITUTE PROGRAM.

    The Secretary of the Interior, beginning in fiscal year 1995, shall 
take action to phase out the Mining and Mineral Resources Research 
Institute Act of 1984, Public Law 98-409, as amended (98 Stat. 1536 
through 1541 and 102 Stat. 2339 through 2341, 30 U.S.C. 1221 through 
1230). There are hereby authorized to be appropriated under the Act the 
following amounts: fiscal year 1995--$6.5 million; fiscal year 1996--$5 
million; fiscal year 1997--$3 million; and fiscal year 1998--$1.5 
million. No further appropriations for this Act are authorized after 
September 30, 1998.

                   TITLE VIII--DEPARTMENT OF JUSTICE

SEC. 8001. BUREAU OF PRISONS HEALTH SERVICES USER FEE.

    Chapter 303 of title 18, United States Code, is amended by adding 
at the end the following new section:

``SEC. 4047. USER FEE FOR HEALTH SERVICES.

    ``The Attorney General may assess a nominal fee for health services 
provided to an inmate. The Attorney General may withdraw, without the 
inmate's consent, funds from his or her trust fund account, designated 
as `Funds of Federal Prisoners' in section 1321(a)(21) of title 31, 
necessary to pay fees incurred by the inmate for health services. The 
Attorney General may waive or refund, for good cause and at any time, 
all or part of the expenses incurred by an inmate through the 
assessment of fees for health services. An inmate shall not be denied 
health services treatment because of his or her inability to pay a 
health services fee. The Attorney General is authorized to promulgate 
regulations to implement this section.''.

                     TITLE IX--DEPARTMENT OF LABOR

     Subtitle A--Deterrence of Fraud and Abuse in the FECA Program

SEC. 9001. DETERRENCE OF FRAUD AND ABUSE IN FECA PROGRAM.

    (a) Section 8102 of title 5, United States Code, is amended to 
redesignate subsection (b) as subsection (c), and to add the following 
new subsection (b):
    ``(b) An individual convicted of a violation of 18 U.S.C. 1920, as 
amended, or of any other fraud related to the application for or 
receipt of benefits under subchapter I or III of chapter 81 of title 5, 
shall forfeit, as of the date of the conviction, all entitlement to any 
prospective benefits provided by subchapter I or III for any injury 
occurring on or before the date of the conviction. Such a forfeiture of 
benefits shall be in addition to any action the Secretary may take 
under section 8106 or 8129 of title 5, United States Code.''.
    (b) Section 8116 of title 5, United States Code, is amended by 
adding the following new subsection (e):
    ``(e) Notwithstanding any other provision of this title, no 
benefits under sections 8105 or 8106 of this subchapter shall be paid 
or provided to any individual during any period during which such 
individual is confined in a jail, prison, or other penal institution or 
correctional facility, pursuant to that individual's conviction of an 
offense that constituted a felony under applicable law, except where 
such individual has one or more dependents within the meaning of 
section 8110 of this subchapter, in which case the Secretary may, 
during the period of incarceration, pay to such dependents a percentage 
of the benefits that would have been payable to such individual 
computed according to the percentages set forth in section 8133(a) (1)-
(5) of this subchapter.''.
    (c) Section 8116 of title 5, United States Code, is further amended 
by adding the following new subsection (f):
    ``(f) Notwithstanding the provisions of section 552a of this title, 
or any other provision of Federal or State law, any agency of the 
United States Government or of any State (or political subdivision 
thereof) shall make available to the Secretary, upon written request, 
the names and Social Security account numbers of individuals who are 
confined in a jail, prison or other penal institution or correctional 
facility under the jurisdiction of such agency, pursuant to such 
individuals' conviction of an offense that constituted a felony under 
applicable law, which the Secretary may require to carry out the 
provisions of this subsection.''.
    (d) Section 1920 of title 18, United States Code, is amended to 
read as follows: ``Whoever knowingly and willfully falsifies, conceals, 
or covers up a material fact, or makes a false, fictitious, or 
fraudulent statement or representation, or makes or uses a false 
statement or report knowing the same to contain any false, fictitious 
or fraudulent statement or entry in connection with the application for 
or receipt of compensation or other benefit or payment under subchapter 
I or III of chapter 81 of title 5, United States Code, shall be 
punished by a fine of not more than $250,000, or by imprisonment for 
not more than five years, or both.''.
    (e) Except as otherwise provided in this section, the amendments 
made by this section shall be effective on the date of enactment and 
shall apply to actions taken on or after the date of enactment both 
with respect to claims filed before the day of enactment and with 
respect to claims filed after such date.
    (f) The amendments made by subsections (a), (b), and (c) of this 
section shall be effective on the date of enactment and shall apply to 
any person convicted or imprisoned on or after the date of enactment.
    (g) The amendment made by subsection (d) of this section shall be 
effective on the date of enactment and shall apply to any claim, 
statement, representation, report, or other written document made or 
submitted in connection with a claim filed under subchapter I or III of 
chapter 81 of title 5, United States Code.

Subtitle B--Enhancement of Reemployment Programs for Federal Employees 
                  Disabled in the Performance of Duty

SEC. 9101. ENHANCEMENT OF REEMPLOYMENT PROGRAMS FOR FEDERAL EMPLOYEES 
              DISABLED IN THE PERFORMANCE OF DUTY.

    (a) Section 8104 of title 5, United States Code, is amended--
            (1) by striking the comma after ``employment'' and by 
        striking ``other than employment undertaken pursuant to such 
        rehabilitation'' from subsection (b); and
            (2) by adding the following new subsection (c):
    ``(c) The Secretary of Labor, as part of the vocational 
rehabilitation effort, may assist permanently disabled individuals in 
seeking and/or obtaining employment. The Secretary may reimburse an 
employer (including a Federal employer), who was not the employer at 
the time of injury and who agrees to employ a disabled beneficiary, for 
portions of the salary paid by such employer to the reemployed, 
disabled beneficiary. Any such sums shall be paid from the Employees' 
Compensation Fund.''.
    (b) The Secretary of Labor is authorized to expand the Federal 
Employees' Compensation Act Periodic Roll Management Project to all 
offices of the Office of Workers' Compensation Program of the 
Department of Labor.
    (c) The provisions of, and amendments made by, subsections (a) and 
(b) of this section shall be effective on the date of enactment.

 Subtitle C--Wage Determinations--McNamara-O'Hara Service Contract Act 
                          and Davis-Bacon Act

SEC. 9201. WAGE DETERMINATIONS.

    (a) The McNamara-O'Hara Service Contract Act, as amended (41 U.S.C. 
351 et seq.) is amended by adding at the end the following new section:
    ``Sec. 11. To more effectively implement wage determination 
procedures, the Secretary of Labor is authorized to develop and 
implement an electronic data interchange system to request and obtain 
wage determinations required under the Act.''.
    (b) The Davis-Bacon Act, as amended (41 U.S.C. 276a et seq.) is 
amended by adding at the end the following new section:
    ``Sec. 8. To more effectively implement wage determination 
procedures, the Secretary of Labor is authorized to develop and 
implement an electronic data interchange system to request and obtain 
wage determinations required under the Act.''.
    (c) The amendments made by subsections (a) and (b) of this section 
shall be effective on the date of enactment.

 Subtitle D--Elimination of Filing Requirement for Plan Descriptions, 
 Summary Plan Descriptions, and Descriptions of Material Modifications 
                               to a Plan

SEC. 9301. ELIMINATION OF FILING REQUIREMENTS.

    (a) Section 101(b) of the Employee Retirement Income Security Act 
of 1974 (ERISA) (29 U.S.C. 1021(b)) is amended by striking paragraphs 
(1), (2) and (3) and by redesignating paragraphs (4) and (5) as 
paragraphs (1) and (2), respectively.
    (b) Section 102 of ERISA (29 U.S.C. 1022) is amended by striking 
paragraph (a)(2) and redesignating paragraph (a)(1) as subsection (a).
    (c) Section 104(a)(1) of ERISA (29 U.S.C. 1024(a)(1)) is amended to 
read as follows:
    ``Sec. 104. (a)(1) The administrator of any employee benefit plan 
subject to this part shall file with the Secretary the annual report 
for a plan year within 210 days after the close of such year (or within 
such time as may be required by regulations promulgated by the 
Secretary in order to reduce duplicative filing). The Secretary shall 
make copies of such annual reports available for inspection in the 
public document room of the Department of Labor. The administrator 
shall also furnish to the Secretary, upon request, any documents 
relating to the employee benefit plan including but not limited to the 
summary plan description, description of material modifications to the 
plan, bargaining agreement, trust agreement, contract, or other 
instrument under which the plan is established or operated.''.
    (d) Section 104(b) of ERISA (29 U.S.C. 1024(b)) is amended by 
adding at the end the following new paragraph:
            ``(5) The Secretary shall, upon written request of any 
        participant or beneficiary of a plan for a copy of any 
        documents described in paragraph (4), make a written request to 
        the plan administrator for copies of such documents. The plan 
        administrator shall comply with such request from the 
        Secretary. Upon obtaining such copies from the plan 
        administrator, the Secretary shall provide them to the 
        requesting participant or beneficiary. In making a request 
        under this paragraph to the plan administrator, the Secretary 
        shall not disclose to the plan administrator the identity of 
        the participant or beneficiary. The administrator may make a 
        reasonable charge to cover the cost of furnishing such complete 
        copies consistent with any regulations issued by the Secretary 
        pursuant to paragraph (4). The Secretary may require the 
        participant or beneficiary to reimburse the Secretary for such 
        charges before the participant receives the requested 
        copies.''.
    (e) Section 106(a) of ERISA (29 U.S.C. 1026(a)) is amended by 
striking ``descriptions,''.
    (f) Section 107 of ERISA (29 U.S.C. 1027) is amended by striking 
``description or''.
    (g) Section 108 of ERISA (29 U.S.C. 1028) is amended by striking 
``(B) after publishing or filing the plan description, annual 
reports,'' and inserting ``(B) after publishing the plan description, 
or after publishing or filing the annual reports,''.
    (h) Section 109(b) of ERISA (29 U.S.C. 1029(b)) is amended to read 
as follows:
    ``(b) The financial statement and opinion required to be prepared 
by an independent qualified public accountant pursuant to section 
103(a)(3)(A) and the actuarial statement required to be prepared by an 
enrolled actuary pursuant to section 103(a)(4)(A) shall not be required 
to be submitted on forms.''.
    (i) Section 502(c) of ERISA is amended by adding at the end the 
following new paragraph:
            ``(4) The Secretary may assess a civil penalty against any 
        plan administrator of up to $100 per day from the date of such 
        plan administrator's failure or refusal to comply with a 
        request for documents which such administrator is required to 
        furnish to the Secretary (unless such failure or refusal 
        results from matters reasonably beyond the control of the 
        administrator) pursuant to section 104(b)(5) by mailing the 
        material requested to the address provided by the Secretary 
        within 30 days after such request.''.
    (j) Effective Date.--The provisions of this section shall take 
effect on the date of enactment of this Act.

     TITLE X--DEPARTMENT OF STATE/UNITED STATES INFORMATION AGENCY

SEC. 10001. REDUCTION OF MISSION OPERATING COSTS.

    The Secretary of State shall take action to reduce costs of 
providing marine guard and other security at diplomatic missions 
overseas by a total of $5,700,000 by the end of fiscal year 1999.

SEC. 10002. IMPROVEMENT OF EFFICIENCY OF USIA PUBLIC DIPLOMACY 
              ACTIVITIES.

    The Director of the United States Information Agency (USIA) shall 
take action to improve the efficiency of USIA's public diplomacy 
activities and save a total of $15,000,000 by the end of fiscal year 
1999.

                 TITLE XI--DEPARTMENT OF TRANSPORTATION

  Subtitle A--Authority to Charge Tuition for Attendance at the U.S. 
                        Merchant Marine Academy

SEC. 11001. TUITION FOR U.S. MERCHANT MARINE ACADEMY.

    Section 1303(d) of the Merchant Marine Act, 1936 (46 App. U.S.C. 
1295b(d)), is amended to read as follows:
    ``(d)(1) Beginning with the class of individuals first entering the 
Academy in the 1995-1996 academic year, the Secretary shall impose a 
system of tuition and fees on individuals attending the Academy that 
shall, in total, equal an amount that is up to one-half the total 
operating costs of the Academy during the preceding fiscal year. The 
tuition and fees paid by the Academy's total cadet enrollment shall be 
retained by the Secretary to assist in meeting the Academy's operating 
expenses.
    ``(2) Beginning with the class of individuals first entering the 
Academy in the 1995-1996 academic year, the Secretary is authorized to 
impose reasonable fees on any cadet at the Academy for all required 
uniforms and textbooks. The Secretary shall provide to any individual 
first entering the Academy before the 1995-1996 academic year all 
required uniforms and textbooks.
    ``(3) The Secretary shall provide to any cadet at the Academy 
allowances for transportation (including reimbursement of traveling 
expenses) while traveling under orders as a cadet of the Academy.''.

        Subtitle B--Reform of the Essential Air Service Program

SEC. 11101. REFORM OF ESSENTIAL AIR SERVICE PROGRAM.

    Section 419 of the Federal Aviation Act of 1958 (49 App. U.S.C. 
1389) is amended by--
            (1) revising paragraph (a)(2) to read as follows:
            ``(2) Restrictions on qualifications as an eligible 
        point.--To qualify as an eligible point in the 48 contiguous 
        states, Hawaii, and Puerto Rico for purposes of fiscal year 
        1995 and thereafter, a point described in paragraph (1) must 
        not require a rate of subsidy per passenger in excess of $200 
        and may not be located fewer than 70 highway miles from the 
        nearest hub airport or small hub airport;'' and
            (2) revising paragraph (l)(2) to read as follows:
            ``(2) Amounts available.--There shall be available to the 
        Secretary from the Airport and Airway Trust Fund to incur 
        obligations under this section--
                    ``(A) $33,423,077 for fiscal year 1994; and
                    ``(B) $25,600,000 per fiscal year for each of 
                fiscal years 1995, 1996, 1997, 1998, and 1999.
        Such amounts shall remain available until expended. Unobligated 
        balances that remain available as of September 30, 1994, are 
        rescinded.''.

 Subtitle C--Repeal of Authorizations for the Airway Science Program, 
Collegiate Training Initiative, and Air Carrier Maintenance Technician 
                    Training Facility Grant Program

SEC. 11201. AIRWAY SCIENCE PROGRAM.

    All authority for--
            (1) the Secretary of Transportation to enter into grant 
        agreements with universities or colleges having an airway 
        science curriculum recognized by the Federal Aviation 
        Administration, to conduct demonstration projects in the 
        development, advancement, or expansion of airway science 
        programs; and
            (2) the Federal Aviation Administration to enter into 
        competitive grant agreements with institutions of higher 
        education having airway science curricula, and all 
        authorizations to appropriate for such purposes, as enacted 
        under the head, ``Federal Aviation Administration, Facilities 
        and Equipment'', in the Department of Transportation and 
        Related Agencies Appropriations Acts for fiscal years ending 
        before October 1, 1993;
is repealed.

SEC. 11202. COLLEGIATE TRAINING INITIATIVE.

    Section 362 of the Department of Transportation and Related 
Agencies Appropriations Act, 1993 (Public Law 102-388), is repealed, 
except that the Administrator of the Federal Aviation Administration 
may continue to convert appointment of persons who have been appointed 
pursuant to such section prior to the effective date of this Act from 
the excepted service to a career conditional or career appointment in 
the competitive civil service, pursuant to subsection (c) of such 
section.

SEC. 11203. AIR CARRIER MAINTENANCE TECHNICIAN TRAINING FACILITY GRANT 
              PROGRAM.

    Section 119 of Public Law 102-581 (49 U.S.C. app. 1354 note) is 
repealed.

               TITLE XII--DEPARTMENT OF VETERANS AFFAIRS

 Subtitle A--Remove Certain Limitations and Restrictions Contained in 
                              Veterans Law

SEC. 12001. REMOVAL OF CERTAIN LIMITATIONS AND RESTRICTIONS.

    (a) Eliminate Hospital and Nursing Home Bed Capacity 
Requirements.--
            (1) Paragraph (1) of subsection (a) of section 8110 of 
        title 38, United States Code, is amended--
                    (A) by striking ``at not more than 125,000 and not 
                less than 100,000''; and
                    (B) by striking the third and fourth sentences.
            (2) Subsection (a) of section 8111 of such title is amended 
        to read as follows:
    ``(a) The Secretary and the Secretary of the Army, the Secretary of 
the Air Force, and the Secretary of the Navy may enter into agreements 
and contracts for the mutual use or exchange of use of hospital and 
domiciliary facilities, and such supplies, equipment, material and 
other resources as may be needed to operate such facilities properly, 
except that the Secretary may not enter into an agreement that would in 
any way subordinate or transfer the operation of the Department to any 
other agency of the Government.''.
    (b) Eliminate the Personnel Level Requirement for the Office of 
Inspector General.--Section 312(b) of title 38, United States Code, is 
repealed.
    (c) Eliminate Requirement To Report to Congress Agency 
Reorganizations.--Sections 510(b) through 510(f) of title 38, United 
States Code, are repealed.
    (d) Eliminate Requirement for Certain Services in the Veterans 
Health Administration.--Section 7305 of title 38, United States Code, 
is amended to read ``The Veterans Health Administration shall include 
such professional and auxiliary services as the Secretary may find 
necessary to carry out the functions of the Administration.''.
    (e) Eliminate Certain Requirements on the Under Secretary for 
Health--
            (1) Section 7306(a) of title 38, United States Code, is 
        amended to read ``(a) The Office of the Chief Medical Director 
        shall consist of such personnel as may be deemed necessary for 
        the purposes of this chapter.''.
            (2) Section 7306(b) of title 38, United States Code, is 
        repealed.
            (3) Section 7306(c) of title 38, United States Code, is 
        amended by changing the second sentence to read ``Such 
        appointments shall be made upon the recommendation of the Chief 
        Medical Director.''.
            (4) Sections 7306(c), (d), and (e) of title 38, United 
        States Code, are redesignated as sections 7306(b), (c), and 
        (d), respectively.

 Subtitle B--Closure of Supply Depots and Transfer of Revolving Supply 
                               Fund Money

SEC. 12101. CLOSURE OF SUPPLY DEPOTS AND TRANSFER OF FUNDS.

    Notwithstanding the provisions of section 510(b) and 8121 of title 
38, United States Code, the Secretary of Veterans Affairs shall phase 
out and close the Department of Veterans Affairs' Supply Depots, 
located at Somerville, New Jersey; Hines, Illinois; and Bell, 
California over two fiscal years, beginning in fiscal year 1994 and 
ending in fiscal year 1995, and shall transfer from the Department of 
Veterans Affairs Revolving Supply Fund to the General Fund of the 
Treasury, $45 million by September 30, 1994, and $44 million by 
September 30, 1995.

  Subtitle C--Provision of Information From the Medicare and Medicaid 
        Coverage Data Bank to the Department of Veterans Affairs

SEC. 12201. PROVISION OF DATA BANK INFORMATION TO DEPARTMENT OF 
              VETERANS AFFAIRS.

    (a) Additional Purpose of Data Bank.--
            (1) The heading to section 1144 of the Social Security Act 
        is amended by striking ``medicare and medicaid'' and inserting 
        ``Health care''.
            (2) Subsection (a) of that section is amended--
                    (A) in the matter preceding paragraph (1), by 
                striking ``Medicare and Medicaid'' and inserting 
                ``Health Care'';
                    (B) by striking ``and'' at the end of paragraph 
                (1);
                    (C) by substituting ``, and'' for the period at the 
                end of paragraph (2); and
                    (D) by adding at the end the following:
            ``(3) assist in the identification of, and the collection 
        from, third parties responsible for payment for health care 
        items and services furnished to veterans under chapter 17 of 
        title 38, United States Code.''.
    (b) Disclosure of Data Bank Information to Secretary of Veterans 
Affairs.--Subsection (b)(2)(B) of that section is amended by inserting 
``to the Secretary of Veterans Affairs and'' after ``Data Bank''.

         Subtitle D--Veterans' Appeals Improvement Act of 1993

SEC. 12301. SHORT TITLE; REFERENCES TO TITLE 38, UNITED STATES CODE.

    (a) Short Title.--This subtitle may be cited as the ``Veterans' 
Appeals Improvement Act of 1993''.
    (b) References.--Except as otherwise expressly provided, whenever 
in this subtitle an amendment is expressed in terms of an amendment to 
a section or other provision, the reference shall be considered to be 
made to a section or other provision of title 38, United States Code.

SEC. 12302. COMPOSITION OF THE BOARD OF VETERANS' APPEALS.

    (a) Board Members and Personnel.--Section 7101(a) is amended to 
read as follows:
    ``(a)(1) There is in the Department a Board of Veterans' Appeals 
(hereafter in this chapter referred to as the `Board'). The Board is 
under the administrative control and supervision of a Chairman directly 
responsible to the Secretary.
    ``(2) The members of the Board shall be the Chairman, a Vice 
Chairman, such number of Deputy Vice Chairmen as the Chairman may 
designate under subsection (b)(4), and such number of other members as 
may be found necessary to conduct hearings and consider and dispose of 
matters properly before the Board in a timely manner. The Board shall 
have such other professional, administrative, clerical, and 
stenographical personnel as are necessary to conduct hearings and 
consider and dispose of matters properly before the Board in a timely 
manner.''.
    (b) Appointment and Removal of Board Members.--Section 7101(b) is 
amended--
            (1) in paragraph (2)(A) by striking ``other members of the 
        Board (including the Vice Chairman)'' and inserting ``Board 
        members other than the Chairman'';
            (2) in paragraph (2)(B) by striking ``paragraph'' and 
        inserting ``subparagraph''; and
            (3) by striking paragraph (4) and inserting the following:
            ``(4) The Secretary shall designate one Board member as 
        Vice Chairman based upon recommendations of the Chairman. The 
        Chairman may designate one or more Board members as Deputy Vice 
        Chairmen. The Vice Chairman and any Deputy Vice Chairman shall 
        perform such functions as the Chairman may specify. The Vice 
        Chairman shall serve as Vice Chairman at the pleasure of the 
        Secretary. Any Deputy Vice Chairman shall serve as Deputy Vice 
        Chairman at the pleasure of the Chairman.''.
    (c) Acting Board Members.--Section 7101(c) is amended by--
            (1) striking paragraph (1) and inserting the following:
            ``(1) The Chairman may from time to time designate one or 
        more employees of the Department to serve as acting Board 
        members.'';
            (2) striking paragraph (2) in its entirety; and
            (3) redesignating paragraph (3) as paragraph (2) and in 
        that paragraph by--
                    (A) striking ``temporary Board members designated 
                under this subsection and the number of''; and
                    (B) striking ``section 7102(a)(2)(A)(ii) of this 
                title'' and inserting in lieu thereof ``paragraph 
                (1)''.
    (d) Chairman's Annual Report.--Section 7101(d)(2) is amended--
            (1) in subparagraph (D) by striking ``year; and'' and 
        inserting ``year;'';
            (2) in subparagraph (E) by striking ``year.'' and inserting 
        ``year; and''; and
            (3) by adding at the end of paragraph (2) the following new 
        subparagraph:
            ``(F) the names of those employees of the Department 
        designated under subsection (c)(1) to serve as acting Board 
        members during that year and the number of cases each such 
        acting Board member participated in during that year.''.
    (e) Conforming Amendments.--
            (1) Section 7101(d)(3)(B) is amended by striking ``section 
        7103(d)'' and inserting ``section 7101(b)''.
            (2) Section 7101(e) is amended by striking ``a temporary 
        or'' and inserting ``an''.

SEC. 12303. ASSIGNMENT OF MATTERS BEFORE THE BOARD.

    Section 7102 is amended to read as follows:
``Sec. 7102. Assignment of matters before the Board
    ``The Chairman may determine any matter before the Board, or rule 
on any motion in connection therewith, or may assign any such matter or 
motion to any other Board member or a panel of members for 
determination. Any such assignment by the Chairman may not be reviewed 
by any other official or by any court, whether by an action in the 
nature of mandamus or otherwise.''.

SEC. 12304. DETERMINATIONS BY THE BOARD.

    (a) In General.--Section 7103(a) is amended to read as follows:
    ``(a) When the Chairman retains a matter or submits it to another 
Board member or a panel of members for determination in accordance with 
section 7102 of this title, or to an expanded panel of Board members in 
accordance with subsection (b) of this section, the Chairman, other 
member, or panel of members may:
            ``(1) Issue an order dismissing any appeal, in whole or in 
        part, which fails to allege specific error of fact or law in 
        the determination being appealed or in which the determination 
        being appealed has become moot. Each order of dismissal shall 
        include a written statement of the Board's findings and 
        conclusions, and the reasons or bases for those findings and 
        conclusions, in support of the dismissal.
            ``(2) Issue an order remanding the case, in whole or in 
        part, to the agency of original jurisdiction for such 
        additional development as the Chairman, other member, or panel 
        of members may consider necessary for proper disposition of the 
        case.
            ``(3) Render a written decision with respect to any issues 
        not dismissed or remanded, which decision shall constitute the 
        Board's final disposition of the issues so decided. Such 
        decisions shall be based on the entire record in the 
        proceeding, upon consideration of all evidence and material of 
        record, and upon applicable provisions of law and regulation. 
        The Board shall be bound in its decisions, including allowances 
        made under the provisions of subsection (d) of this section, by 
        the regulations of the Department, the instructions of the 
        Secretary, and the precedent opinions of the chief legal 
        officer of the Department. Each decision of a Board member or a 
        panel of members shall include--
                    ``(A) a written statement of the Board's findings 
                and conclusions, and the reasons or bases for those 
                findings and conclusions, on all material issues of 
                fact and law presented on the record; and
                    ``(B) an order granting appropriate relief or 
                denying relief.
Decisions by a panel of Board members, except as otherwise provided in 
subsection (b), shall be made by a majority of the members of the 
panel.''.
    (b) Reconsideration.--Section 7103(b) is amended to read as 
follows:
    ``(b) The decision of a Board member or a panel of members is 
final, unless the Chairman orders reconsideration of the case, and a 
claim disallowed by the Board may not thereafter be reopened or allowed 
except as provided in section 5108 of this title and subsection (d) of 
this section. If the Chairman orders reconsideration in a case, the 
case shall be considered upon reconsideration by a panel of members 
other than the Chairman if one member originally decided the case or by 
an expanded panel of members other than the Chairman if a panel 
originally decided the case. When a panel considers a case after a 
motion for reconsideration has been granted, the decision of a majority 
of the panel members shall constitute the final decision of the Board, 
except as provided in subsection (d). If the expanded panel cannot 
reach a majority decision, the Chairman may either assign additional 
members other than the Chairman to the panel or vote with the members 
of the expanded panel so as to create a majority decision. Either the 
expanded panel majority or the majority made with the vote of the 
Chairman shall constitute the final decision of the Board, except as 
provided in subsection (d).''.
    (c) Administrative Allowance; Notice of Determination.--Section 
7103 is further amended by adding at the end of the following:
    ``(d) Whenever a Board member other than the Chairman or Vice 
Chairman is of the opinion that a prior, otherwise final denial of a 
claim should be revised or amended to allow the claim in whole or in 
part, based on a difference of opinion as to how the evidence should be 
evaluated rather than on any error in the prior decision, the Board 
member shall recommend such allowance to the Chairman or Vice Chairman. 
The Chairman or Vice Chairman, whether upon the recommendation of any 
other Board member or upon the Chairman's or Vice Chairman's own 
motion, if of the opinion that a prior, otherwise final denial of a 
claim should be revised or amended to allow the claim in whole or in 
part, based on a difference of opinion as to how the evidence should be 
evaluated rather than on any error in the prior decision, shall approve 
the award of any benefit, or any increase therein, on the basis of such 
difference of opinion. The discretionary exercise of the authority 
provided to the Chairman and Vice Chairman under this subsection shall 
not be reviewed by any other official or by any court, whether by an 
action in the nature of mandamus or otherwise.
    ``(e) After reaching a determination under any of the provisions of 
this section, the Board shall promptly mail a copy of its written 
decision to the appellant and the appellant's authorized representative 
(if any) at the last known address of the appellant and at the last 
known address of such representative (if any), respectively.''.

SEC. 12305. JURISDICTION OF THE BOARD.

    Section 7104 is amended by--
            (a) striking the subsection designation ``(a)'';
            (b) striking ``211(a)'' and inserting ``511(a)''; and
            (c) striking all after ``made by the Board.''.

SEC. 12306. APPELLATE PROCEDURE.

    Section 7105(d) is amended by striking paragraph (5).

SEC. 12307. MEDICAL OPINIONS.

    Section 7109 is amended to read as follows:
``Sec. 7109. Medical opinions
    ``(a) A Board member or a panel of members before whom a matter 
which involves a medical question is pending may, in the discretion of 
the member or panel, request an opinion on that medical question from--
            ``(1) an employee of the Board who is licensed to practice 
        medicine in any State;
            ``(2) an employee of the Veterans Health Administration who 
        is licensed to practice medicine in any State and who has been 
        designated by the Under Secretary for Health to provide such an 
        opinion; or
            ``(3) an employee of any Federal department or agency who 
        is licensed to practice medicine in any State and who has been 
        designated, in accordance with arrangements made by the 
        Secretary with the head of any such Federal department or 
        agency, to provide such an opinion.
    ``(b) When, in the judgment of a Board member or a panel of members 
assigned a matter for determination in accordance with section 7102 of 
this title, the medical complexity or controversy involved in that 
matter warrants expert medical opinion in addition to, or in lieu of, 
that available within the Department or within another Federal 
department or agency, the Board may secure an advisory medical opinion 
from one or more independent medical experts who are not employees of 
the Department or of another Federal department or agency. The 
Secretary shall make necessary arrangements with recognized medical 
schools, universities, or clinics to furnish such advisory medical 
opinions at the request of the Chairman. Any such arrangement shall 
provide that the actual selection of the expert or experts to give the 
advisory opinion in an individual case shall be made by an appropriate 
official of such institution. For purposes of this section, an employee 
of a medical school, university, or clinic shall not be considered an 
employee of the Department or another Federal department or agency just 
because the medical school, university, or clinic receives grants from, 
or provides contract services to, the Department or another Federal 
department or agency.
    ``(c) Any opinion provided under this section shall be in writing 
and made a part of the record. The Board shall notify a claimant that 
an advisory medical opinion has been requested under this section with 
respect to the claimant's case and shall mail to the claimant and the 
claimant's authorized representative (if any) at the last known address 
of the claimant and at the last known address of such representative 
(if any) a copy of such opinion when the Board receives it. An 
opportunity for response by or on behalf of the claimant shall be 
provided following the mailing of the copy (or copies) of such advisory 
medical opinion.''.

SEC. 12308. HEARINGS.

    Section 7110 is amended to read as follows:
``Sec. 7110. Hearings
    ``(a) The Board shall decide any appeal only after affording the 
appellant an opportunity for a hearing.
    ``(b) A hearing docket shall be maintained and formal recorded 
hearings shall be held by such member or members of the Board as the 
Chairman may designate. Such member or members designated by the 
Chairman to conduct the hearing will participate in making the final 
determination in the claim.
    ``(c) An appellant may request a hearing before the Board at either 
its principal location or a regional office of the Department. Any 
hearing held at a regional office of the Department shall be scheduled 
for hearing in the order in which the requests for hearing in that area 
are received by the Department at the place specified by the Department 
for the filing of requests for such hearings.
    ``(d) At the request of the Chairman, the Secretary may provide 
suitable facilities and equipment to the Board or other components of 
the Department to enable an appellant located at a facility within the 
area served by a regional office to participate, through voice 
transmission, or picture and voice transmission, by electronic or other 
means, in a hearing with a Board member or members sitting at the 
Board's principal location. When such facilities and equipment are 
available, the Chairman may, at his or her discretion, afford the 
appellant an opportunity to participate in a hearing before the Board 
through the use of such facilities and equipment in lieu of a hearing 
held by personally appearing before a Board member or members as 
provided in subsection (c).''.

SEC. 12309. TABLE OF CONTENTS.

    The table of contents at the beginning of chapter 71 is amended 
by--
            (1) striking ``7102. Assignment of members of Board.'' and 
        inserting ``7102. Assignment of appellate matters.'';
            (2) striking ``7109. Independent medical opinions.'' and 
        inserting ``7109. Medical opinions.''; and
            (3) striking ``7110. Traveling sections.'' and inserting 
        ``7110. Hearings.''.

SEC. 12310. EFFECTIVE DATES OF AWARDS BASED ON DIFFERENCE OF OPINION.

    Section 5110 is amended by adding at the end the following new 
subsection:
    ``(o) The effective date of the award of any benefit, or any 
increase therein, pursuant to section 7103(d) of this title on the 
basis of a difference of opinion shall be--
            ``(1) if the award resulted from review initiated by an 
        application to reopen the claim for the benefit in question 
        under the provision of section 5108 of this title, fixed in 
        accordance with the facts found but shall not be earlier than 
        the date the Department of Veterans Affairs received such 
        application; or
            ``(2) if the award resulted from review of the final 
        determination undertaken by the Department of Veterans Affairs 
        solely on its own initiative, the date the Chairman or Vice 
        Chairman of the Board of Veterans' Appeals approved the 
        award.''.

                 TITLE XIII--HUMAN RESOURCE MANAGEMENT

        Subtitle A--Federal Workforce Restructuring Act of 1993

SEC. 13001. SHORT TITLE.

    This subtitle may be cited as the ``Federal Workforce Restructuring 
Act of 1993''.

SEC. 13002. AMENDMENTS TO CHAPTER 41 OF TITLE 5, UNITED STATES CODE.

    (a) Chapter 41 of title 5, United States Code, is amended--
            (1) in section 4101(4) by striking ``fields'' and all that 
        follows through the semicolon and inserting ``fields which will 
        improve individual and organizational performance and assist in 
        achieving the agency's mission and performance goals;'';
            (2) in section 4103--
                    (A) in subsection (a) by striking ``In'' and all 
                that follows through ``proficiency'' and inserting ``In 
                order to assist in achieving an agency's mission and 
                performance goals by improving employee and 
                organizational performance''; and
                    (B) in subsection (b)--
                            (i) in paragraph (1) by striking 
                        ``determines'' and all that follows through the 
                        period and inserting ``determines that such 
                        training would be in the interests of the 
                        Government.'';
                            (ii) by repealing paragraph (2) and 
                        redesignating paragraph (3) as paragraph (2); 
                        and
                            (iii) in subparagraph (C) of paragraph (2) 
                        (as so redesignated) by striking ``retaining'' 
                        and all that follows through the period and 
                        inserting ``such training.'';
            (3) in section 4105--
                    (A) by striking ``(a) at the beginning; and
                    (B) by repealing subsections (b) and (c);
            (4) by repealing section 4106;
            (5) in section 4107--
                    (A) by amending the catchline to read as follows:
``Sec. 4107. Restriction on degree training'';
                    (B) by repealing subsections (a) and (b) and 
                redesignating subsections (c) and (d) as subsections 
                (a) and (b), respectively;
                    (C) by amending subsection (a) (as so 
                redesignated)--
                            (i) by striking ``subsection (d)'' and 
                        inserting ``subsection (b)''; and
                            (ii) by striking ``by, in, or through a 
                        non-Government facility''; and
                    (D) by amending paragraph (1) of subsection (b) (as 
                so redesignated) by striking ``subsection (c)'' and 
                inserting ``subsection (a)'';
            (6) in section 4108(a) by striking ``by, in, or through a 
        non-Government facility under this chapter'' and inserting 
        ``for more than a minimum period prescribed by the head of the 
        agency'';
            (7) in section 4113(b) by striking everything following the 
        first sentence;
            (8) by repealing section 4114; and
            (9) in section 4118--
                    (A) in subsection (a)(7) by striking ``by, in, and 
                through non-Government facilities'';
                    (B) by repealing subsection (b); and
                    (C) by redesignating subsections (c) and (d) as 
                subsections (b) and (c), respectively.
    (b) The analysis of chapter 41 of title 5, United States Code, is 
amended--
            (1) by striking the items relating to sections 4106 and 
        4114; and
            (2) by amending the item relating to section 4107 to read 
        as follows:
                              ``4107. Restriction on degree 
training.''.
    (c) The amendments made by this section are effective on the date 
of enactment of this Act.

SEC. 13003. VOLUNTARY SEPARATION INCENTIVES.

    (a) For the purpose of this section--
            (1) ``agency'' means an Executive agency, as defined in 
        section 105 of title 5, United States Code, but does not 
        include the Department of Defense, the Central Intelligence 
        Agency, or the General Accounting Office; and
            (2) ``employee'' means an employee, as defined in section 
        2105 of title 5, United States Code, of an agency, serving 
        under an appointment without time limitation, who has been 
        currently employed for a continuous period of at least 12 
        months, including an individual employed by a county committee 
        established under section 590h(b) of title 16, United States 
        Code, but does not include--
                    (A) a reemployed annuitant under subchapter III of 
                chapter 83 or chapter 84 of title 5, United States 
                Code, or another retirement system for employees of the 
                Government; or
                    (B) an employee having a disability on the basis of 
                which such employee is or would be eligible for 
                disability retirement under the applicable retirement 
                system referred to in subparagraph (A).
    (b)(1) In order to assist in the restructuring of the Federal 
workforce while minimizing involuntary separations, the head of an 
agency may pay, or authorize the payment of, a voluntary separation 
incentive to employees in any component of the agency, employees in any 
occupation or geographic location, or any combination thereof, who 
agree, during a continuous 90-day period designated by the agency head 
for the agency or a component thereof, beginning no earlier than the 
date of enactment of this Act and ending no later than September 30, 
1994, to separate from service with the agency, whether by retirement 
or resignation.
    (2) In order to receive a voluntary separation incentive, an 
employee shall separate from service no later than the last day of the 
90-day period designated by the agency head under paragraph (1), unless 
the agency head determines that, in order to ensure the performance of 
the agency's mission, the employee must agree to continue in service 
until a later date, but not later than 2 years after such last day of 
the 90-day period.
    (c) A voluntary separation incentive--
            (1) shall be paid in a lump sum after the employee's 
        separation;
            (2) shall be equal to the lesser of--
                    (A) an amount equal to the amount the employee 
                would be entitled to receive under section 5595(c) of 
                title 5, United States Code, if the employee were 
                entitled to payment under such section; or
                    (B) $25,000;
            (3) shall not be a basis for payment, and shall not be 
        included in the computation, of any other type of Government 
        benefit;
            (4) shall not be taken into account in determining the 
        amount of any severance pay to which an employee may be 
        entitled under section 5595 of title 5, United States Code, 
        based on any other separation; and
            (5) shall be paid from appropriations or funds available 
        for the payment of the basic pay of the employee.
    (d) An employee who has received a voluntary separation incentive 
under this section and accepts employment with the Government of the 
United States within 2 years of the date of the separation on which 
payment of the incentive is based shall be required to repay the entire 
amount of the incentive to the agency that paid the incentive. If the 
employment is with an Executive agency (as defined in section 105 of 
title 5, United States Code), the Director of the Office of Personnel 
Management may, at the request of the head of the agency, waive the 
repayment if the employment is in a position for which there is 
exceptional difficulty in recruiting a qualified employee. If the 
employment is with an entity in the legislative branch, the head of the 
entity or the appointing official may waive the repayment if the 
employment is in a position for which there is exceptional difficulty 
in recruiting a qualified employee. If the employment is with the 
judicial branch, the Director of the Administrative Office of the 
United States Courts may waive the repayment if the employment is in a 
position for which there is exceptional difficulty in recruiting a 
qualified employee.
    (e) The Director of the Office of Personnel Management may 
prescribe any regulations necessary for the administration of this Act.
    (f) The Director of the Administrative Office of the United States 
Courts may, by regulation, establish a program consistent with the 
program established by subsections (a) through (d) of this section for 
employees of the judicial branch.
    (g) It is the sense of Congress that--
            (1) employment in the Executive Branch should be reduced by 
        not less than one full-time equivalent position for each two 
        employees who are paid voluntary separation incentives under 
        this Act; and
            (2) each agency should adjust its employment levels to 
        achieve this result.

SEC. 13004. REPAYMENT OF SEPARATION PAY.

    (a) Section 5597 of title 5, United States Code, is amended by 
adding at the end the following new subsection:
    ``(g) An employee who receives separation pay under this section on 
the basis of a separation occurring on or after the date of enactment 
of the Federal Workforce Restructuring Act of 1993 and accepts 
employment with the Government of the United States within 2 years of 
the date of the separation on which payment of the separation pay is 
based shall be required to repay the entire amount of the separation 
pay to the defense agency that paid the separation pay. If the 
employment is with an Executive agency (as defined in section 105 of 
title 5, United States Code), the Director of the Office of Personnel 
Management may, at the request of the head of the agency, waive the 
repayment if the employment is in a position for which there is 
exceptional difficulty in recruiting a qualified employee. If the 
employment is with an entity in the legislative branch, the head of the 
entity or the appointing official may waive the repayment if the 
employment is in a position for which there is exceptional difficulty 
in recruiting a qualified employee. If the employment is with the 
judicial branch, the Director of the Administrative Office of the 
United States Courts may waive the repayment if the employment is in a 
position for which there is exceptional difficulty in recruiting a 
qualified employee.''.
    (b) Section 2(b) of the Central Intelligence Agency Voluntary 
Separation Pay Act (Public Law 103-36; 107 Stat. 104) is amended by 
adding at the end the following: ``An employee who receives separation 
pay under this section on the basis of a separation occurring on or 
after the date of enactment of the Federal Workforce Restructuring Act 
of 1993 and accepts employment with the Government of the United States 
within 2 years of the date of the separation on which payment of the 
separation pay is based shall be required to repay the entire amount of 
the separation pay to the Central Intelligence Agency. If the 
employment is with an Executive agency (as defined in section 105 of 
title 5, United States Code), the Director of the office of Personnel 
Management may, at the request of the head of the agency, waive the 
repayment if the employment is in a position for which there is 
exceptional difficulty in recruiting a qualified employee. If the 
employment is with an entity in the legislative branch, the head of the 
entity or the appointing official may waive the repayment if the 
employment is in a position for which there is exceptional difficulty 
in recruiting a qualified employee. If the employment is with the 
judicial branch, the Director of the Administrative Office of the 
United States Courts may waive the repayment if the employment is in a 
position for which there is exceptional difficulty in recruiting a 
qualified employee.''.

SEC. 13005. ADDITIONAL AGENCY PAYMENTS TO FUND.

    (a) Section 8334 of title 5, United States Code, is amended by 
adding at the end the following new subsection:
            ``(1) In addition to any other payments required by this 
        subchapter, an agency shall remit to the Office for deposit in 
        the Treasury of the United States to the credit of the Fund an 
        amount equal to 9 percent of the final rate of basic pay of 
        each employee of the agency who retires under section 
        8336(d).''.
    (b) The amendment made by this section shall apply with respect to 
retirements occurring on or after the date of enactment of this Act.

               Subtitle B--SES Annual Leave Accumulation

SEC. 1301. SES ANNUAL LEAVE ACCUMULATION.

    (a) Effective on the last day of the last applicable pay period 
beginning in calendar year 1993, subsection (f) of section 6304 of 
title 5, United States Code, is repealed.
    (b) Notwithstanding the amendment made by subsection (a), in the 
case of an employee who, on the effective date of subsection (a), is 
subject to subsection (f) of section 6304 of title 5, United States 
Code, and who has to such employee's credit annual leave in excess of 
the maximum accumulation otherwise permitted by subsection (a) or (b) 
of section 6304, such excess annual leave shall remain to the credit of 
the employee and be subject to reduction, in the same manner as 
provided in subsection (c) of section 6304.

                TITLE XIV--REINVENTING SUPPORT SERVICES

SEC. 14001. SHORT TITLE.

    This title may be cited as the ``Government Information 
Dissemination and Printing Improvement Act of 1993''.

SEC. 14002. PURPOSE.

    The purpose of this title is to enhance public access to public 
information, through a diversity of sources and in a variety of forms 
and formats, by improving the printing and dissemination practices of 
the Federal Government.

SEC. 14003. DEFINITIONS.

    As used herein--
            (1) ``information dissemination product'' means any book, 
        paper, map, machine-readable material, audiovisual production, 
        or other documentary material, regardless of physical form or 
        characteristic, disseminated by an agency to the public; and
            (2) ``public information'' means any information, 
        regardless of form or format, that an agency discloses, 
        disseminates, or makes available to the public pursuant to law, 
        rule, regulation, policy, or practice, and any part of that 
        information.

SEC. 14004. EXECUTIVE BRANCH PRINTING POLICY.

    (a) The President shall establish policy for the acquisition of 
printing by Executive branch agencies and promulgate government-wide 
regulations as appropriate.
    (b) To the extent practicable and appropriate, the policies 
promulgated for the acquisition of printing by Executive branch 
agencies shall be consistent with the principles contained in the 
Federal Acquisition Regulation, promulgated pursuant to 41 U.S.C. 405a.
    (c) The policies promulgated pursuant to this section shall ensure 
that the Government Printing Office has the opportunity to compete on 
an equal basis for Executive branch agency printing acquisitions.

SEC. 14005. TRANSITION TO EXECUTIVE BRANCH PRINTING.

    (a) The Government Printing Office shall remain the mandatory 
source for Executive branch agencies' printing for 2 years after the 
effective date of this Act.
    (b) Notwithstanding subsection (a), Executive agencies are 
authorized to obtain printing services costing under $2500 from 
commercial sources, other printing sources operated by Executive branch 
agencies, or the Government Printing Office during this period.
    (c) Subsection (a) does to apply to (1) printing for the Central 
Intelligence Agency, the Defense Intelligence Agency, and the National 
Security Agency, or (2) printing from other sources that are 
specifically authorized by law at the time of enactment of this Act.

SEC. 14006. AUTHORITY AND FUNCTIONS OF THE DIRECTOR OF THE OFFICE OF 
              MANAGEMENT AND BUDGET.

    The Director of the Office of Management and Budget (the Director) 
shall develop policies and practices for agency dissemination of public 
information to ensure that agencies--
            (1) make information dissemination products available on 
        timely, equitable and cost effective terms;
            (2) encourage a diversity of public and private information 
        dissemination products;
            (3) avoid establishing, or permitting others to establish, 
        exclusive, restricted, or other distribution arrangements that 
        interfere with the availability of information dissemination 
        products on a timely and equitable basis; and
            (4) set user charges for information dissemination products 
        no higher than sufficient to recover the cost of dissemination, 
        except where required by statute or specifically authorized by 
        the Director.

SEC. 14007. FEDERAL AGENCY RESPONSIBILITIES.

    The head of each Executive branch agency shall--
            (1) ensure that the public has timely and equitable access 
        to the agency's public information;
            (2) disseminate public information in an efficient, cost 
        effective, and economical manner;
            (3) provide notice to the Superintendent of Documents and 
        otherwise comply with the requirements of section 1710, title 
        44, United States Code;
            (4) establish fees and other dissemination arrangements in 
        a manner consistent with the policies and practices developed 
        by the Director under Section 14006 of this Act;
            (5) consider whether information dissemination products 
        available from other Federal or nonfederal sources are 
        equivalent to any agency information dissemination product and 
        reasonably fulfill the dissemination responsibilities of the 
        agency; and
            (6) regularly solicit and consider public input on the 
        agency's information dissemination program.

SEC. 14008. DEPOSITORY LIBRARY PROGRAM.

    (a) Within 1 year of the date of enactment of this Act, the 
Director shall, in consultation with the Secretary of Commerce, the 
Superintendent of Documents, the Librarian of Congress the Archivist of 
the United States, and the public, propose such amendments to Chapter 
19 of title 44, United States Code, as may be necessary and appropriate 
to ensure the distribution of government information dissemination 
products to the depository libraries.
    (b) The policies promulgated pursuant to section 14005 of this Act 
shall reaffirm agency responsibilities to cooperate with the 
Superintendent of Documents with regard to the distribution of 
government publications to the depository libraries.
    (c) Agency information dissemination programs shall include 
provisions to maximize the distribution of information dissemination 
products to the depository libraries.

SEC. 14009. ESTABLISHMENT AND OPERATION OF GOVERNMENT INFORMATION 
              LOCATOR SERVICE.

    Section 3511 of title 44, United States Code, is amended to read as 
follows:
    ``(a) In order to assist agencies and the public in reducing the 
burden of agency information collection requests by minimizing 
duplication, the Director shall maintain a publicly accessible 
comprehensive inventory of all approved Federal agency information 
collection requests.
    ``(b) In order to assist agencies and the public in locating 
information and to promote information sharing and equitable access by 
the public, the Director shall--
            ``(1) cause to be established and maintained a distributed 
        agency-based electronic Government Information Locator Service 
        supported by agency inventory systems which identify 
        significant public information holdings consistent with the 
        requirements of Section 4101 of title 44, United States Code;
            ``(2) require each agency having significant information 
        dissemination products to establish and maintain a 
        comprehensive inventory of such products, and shall prescribe 
        the minimum contents of such inventories, subject to any 
        technical standards developed pursuant to paragraph (3); and
            ``(3) establish an interagency committee, in cooperation 
        with the Secretary of Commerce, the Archivist of the United 
        States, the Administrator of General Services, the Public 
        Printer, and the Librarian of Congress, to develop such 
        technical standards for agency inventory systems as may be 
        necessary and appropriate.''.

SEC. 14010. TECHNICAL AND CONFORMING AMENDMENTS.

    (a) Section 103 of title 44, United States Code, is amended by 
striking ``Government,'' and inserting ``Congressional and Judicial 
branch publications''.
    (b) Section 312 of title 44, United States Code, is amended by 
striking ``Government'' and inserting ``Congress or the Judiciary 
(other than the Supreme Court)'' in the first sentence of the section.
    (c) Section 313 of title 44, United States Code, is amended by 
inserting ``for the use of Congress or the Judiciary (other than the 
Supreme Court)'' after ``otherwise'' in the first paragraph thereof.
    (d) Section 501 of title 44, United States Code, is amended to read 
as follows: ``Government printing, binding, and blank-book work for 
Congress and the Judiciary (other than the Supreme Court) shall be done 
at the Government Printing Office, except classes of work the Public 
Printer considers appropriate to be done elsewhere.''.
    (e) Sections 503, 504, 508, 509, 510, 512, 513, and 514 of title 
44, United States Code, are repealed.
    (f) Chapter 11 of title 44, United States Code, is repealed in its 
entirety.
    (g) Section 1502 of title 44, United States Code, is amended by 
striking ``and, together with the Public Printer,'' after ``custody'' 
in the first section.
    (h) Section 1503 of title 44, United States Code, is amended by 
striking the sixth sentence, which reads, ``The Office shall transmit 
immediately to the Government Printing Office for printing, as provided 
by this chapter, one duplicate original or certified copy of each 
document required or authorized to be published by section 1505 of this 
title.''.
    (i) Section 1504 of title 44, United States Code, is repealed.
    (j) Section 1506 of title 44, United States Code, is amended by 
striking ``Public Printer or Acting Printer''.
    (k) Section 1701 of title 44, United States Code, is repealed.
    (l) Section 207 of Public Law 102-392, Legislative Branch 
Appropriations Act, 1993, is repealed.

               TITLE XV--STREAMLINING MANAGEMENT CONTROL

SEC. 15001. AUTHORITY TO INCREASE EFFICIENCY IN REPORTING TO CONGRESS.

    (a) Purpose.--The purpose of this title is to improve the 
efficiency of Executive branch performance in implementing statutory 
requirements for reports to Congress and its committees. Examples of 
improvements in efficiency intended by this subtitle are the 
elimination or consolidation of duplicative or obsolete reporting 
requirements and adjustments to deadlines that will provide for more 
efficient workload distribution or improve the quality of reports.
    (b) Authority of the Director.--The Director of the Office of 
Management and Budget may publish annually in the President's Budget 
his recommendations for consolidation, elimination, or adjustments in 
frequency and due dates of statutorily required periodic reports to the 
Congress or its committees. For each recommendation, the Director shall 
provide an individualized statement of the reasons that support the 
recommendation. In addition, for each report for which a recommendation 
is made, the Director shall state with specificity the exact 
consolidation, elimination, or adjustment in frequency or due date that 
is recommended. If the Director's recommendations are approved by law, 
they shall take effect.
    (c) The Director's recommendations shall be consistent with the 
purpose stated in subsection (a).
    (d) Prior to the publication of the recommendations authorized in 
subsection (b), the Director or his designee shall consult with the 
appropriate congressional committees concerning the recommendations.

                    TITLE XVI--FINANCIAL MANAGEMENT

SEC. 16001. SHORT TITLE.

    This title may be cited as the ``Federal Financial Management Act 
of 1993''.

                    Subtitle A--Electronic Payments

SEC. 16101. ELECTRONIC PAYMENTS.

    (a) Section 3332 of title 31, United States Code, is amended to 
read as follows:

``3332. Required direct deposit.
    ``(a)(1) Notwithstanding any other provision of law, all Federal 
wage, salary, and retirement payments shall be paid to recipients of 
such payments by electronic funds transfer, unless another method has 
been determined by the Secretary of the Treasury to be appropriate.
    ``(2) Each recipient of Federal wage, salary, or retirement 
payments shall designate one or more financial institutions or other 
authorized payment agents and provide the payment certifying or 
authorizing agency information necessary for the recipient to receive 
electronic funds transfer payments through each institution so 
designated.
    ``(b)(1) The head of each agency shall waive the requirements of 
subsection (a) of this section for a recipient of Federal wage, salary, 
or retirement payments authorized or certified by the agency upon 
written request by such recipient.
    ``(2) Federal wage, salary, or retirement payments shall be paid to 
any recipient granted a waiver under paragraph (1) of this subsection 
by any method determined appropriate by the Secretary of the Treasury.
    ``(c)(1) The Secretary of the Treasury may waive the requirements 
of subsection (a) of this section for any group of recipients upon 
request by the head of an agency under standards prescribed by the 
Secretary of the Treasury.
    ``(2) Federal wage, salary, or retirement payments shall be paid to 
any member of a group granted a waiver under paragraph (1) of this 
subsection by any method determined appropriate by the Secretary of the 
Treasury.
    ``(d) This section shall apply only to recipients of Federal wage 
or salary payments who begin to receive such payments on or after 
January 1, 1995, and recipients of Federal retirement payments who 
begin to receive such payments on or after January 1, 1995.
    ``(e) The crediting of the amount of a payment to the appropriate 
account on the books of a financial institution or other authorized 
payment agent designated by a payment recipient under this section 
shall constitute a full acquittance to the United States for the amount 
of the payment.''.
    (b) The table of sections for chapter 33 of title 31, United States 
Code, is amended by amending the item for section 3332 to read:
``3332. Required direct deposit.''.

            Subtitle B--Franchise Funds and Innovation Funds

SEC. 16201. FRANCHISE FUNDS AND INNOVATION FUNDS.

    (a) Title 31, United States Code, is amended by adding, after 
section 1537, a section 1538, as follows:
``Sec. 1538. Franchise funds
    ``(a) There is hereby authorized to be established a franchise fund 
in any executive agency which does not have such a fund which shall be 
available, without further appropriation action by the Congress, for 
expenses and equipment necessary for the maintenance and operations of 
such administrative services as the head of the agency, with the 
approval of the Office of Management and Budget, determines may be 
performed more advantageously on a centralized basis.
    ``(b)(1) The fund shall consist of the fair and reasonable value of 
inventories, equipment, and other assets and inventories on order 
pertaining to the services to be provided by the fund as are 
transferred by the head of the agency to the fund less related 
liabilities and unpaid obligations together with any appropriations 
made for the purpose of providing capital.
    ``(2) For the first fiscal year a fund is in operation and each 
fiscal year thereafter, an amount not to exceed 4 percent of the total 
income of the fund may be retained in the fund, to remain available 
until expended, to be used only for the acquisition of capital 
equipment and for the improvement and implementation of agency 
financial management and related support systems.
    ``(3) For the first three fiscal years a fund is in operation, up 
to 50 percent of the unobligated balances of funds provided in annual 
appropriations available at the end of the fiscal year to the agency 
for salaries and expenses may be transferred into the fund no later 
than the end of the succeeding fiscal year.
    ``(c) The fund shall be reimbursed or credited with payments, 
including advance payments, from applicable appropriations and funds of 
the agency, other Federal agencies, and other sources authorized by law 
for supplies, materials, and services at rates which will recover the 
expenses of operations including accrued leave, depreciation of fund 
plant and equipment, and an amount necessary to maintain a reasonable 
operating reserve, as determined by the head of the agency.
    ``(d)(1) In the third fiscal year after the fund is established, 
and each year thereafter, any Federal entity seeking to obtain any 
service financed through the fund that is not inherently governmental 
in nature must not be precluded from obtaining such service from one or 
more other sources, either governmental or non-governmental, in 
addition to the source finance through the funds.
    ``(2) If, after the end of the third fiscal year after a fund is 
established, any Federal entity seeking to obtain any service financed 
through the fund that is not inherently governmental in nature is 
precluded from obtaining such service from one or more other sources, 
either governmental or non-governmental, in addition to the source 
financed through the fund, the fund shall be cancelled.''.
    (b) The table of sections for subchapter III of chapter 15 of title 
31, United States Code, is amended by adding, after the item for 
section 1537, the following new item: ``Section 1538. Franchise 
Funds.''.
    (c) Title 31, United States Code, is amended by adding, after 
section 1538, a section 1539, as follows:
``Sec. 1539. Innovation funds
    ``(a) There is hereby authorized to be established an innovation 
fund in any executive agency which does not have such a fund, which 
shall be available without further appropriation action by the 
Congress.
    ``(b) The purpose of the fund is to provide a self-sustaining 
source of financing for agencies to invest in projects designed to 
produce measurable improvements in agency efficiency and significant 
taxpayer savings. Amounts available in the fund may be borrowed by the 
agency for such projects, subject to subsection (e).
    ``(c) Each agency that establishes an innovation fund will develop 
an investment project selection process, including specific investment 
criteria such as return on investment, payback period, extent of 
matching or in-kind support (including such support from other Federal 
agencies), technical merit, and budget justification.
    ``(d) For the first three fiscal years a fund is in operation, up 
to 50 percent of the unobligated balances of funds provided in annual 
appropriations available at the end of the fiscal year to the agency 
(other than appropriations for salaries and expenses) may be 
transferred to and merged with the innovation fund to be available to 
make loans to agency components for projects designed to enhance 
productivity and generate cost savings, provided that such transfers 
occur no later than the end of the succeeding fiscal year.
    ``(e)(1) Any amounts borrowed from the fund by an agency component 
to finance a project selected under the process described in subsection 
(c) shall be repaid to the fund at the times specified in the repayment 
schedule agreed upon at the time the loan is made.
    ``(2) Interest on loans made by the fund shall be paid to the fund 
at the rate on marketable Treasury securities of similar maturity at 
the time the loan is made.
    ``(3) Repayments shall be made from the accounts anticipated to 
receive the greatest long-term benefit from the project at the time the 
loan is made.
    ``(4) Repayments to the fund shall take priority over any other 
obligation of payments of an account designated to make repayments 
under paragraph (3) of this subsection.''.
    (d) The table of sections for subchapter III of chapter 15 of title 
31, United States Code, is amended by adding, after the item for 
section 1538, the following new item:
``Section 1539. Innovation Funds.''.

        Subtitle C--Simplifying the Management Reporting Process

SEC. 16301. SIMPLIFICATION OF MANAGEMENT REPORTING PROCESS.

    (a) To improve the efficiency of Executive branch performance in 
implementing statutory requirements for general management and 
financial management reports to the Congress and its committees, the 
Director of the Office of Management and Budget may publish annually in 
the President's Budget his recommendations for consolidation, 
elimination, or adjustments in frequency and due dates of statutorily 
required periodic reports of agencies to the Office of Management and 
Budget or the President and of agencies or the Office of Management and 
Budget to the Congress under any laws for which the Office of 
Management and Budget has general management or financial management 
responsibility. For each recommendation, the Director shall provide an 
individualized statement of the reasons that support the 
recommendation. In addition, for each report for which a recommendation 
is made, the Director shall state with specificity the exact 
consolidation, elimination, or adjustment in frequency or due date that 
is recommended. If the Director's recommendations are approved by law, 
they shall take effect.
    (b) The Director's recommendations shall be consistent with the 
purpose stated in subsection (a).
    (c) Prior to the publication of the recommendations authorized in 
subsection (a), the Director or his designee shall consult with the 
appropriate congressional committees, including the House Committee on 
Government Operations and the Senate Committee on Governmental Affairs, 
concerning the recommendations.

                  Subtitle D--Annual Financial Reports

SEC. 16401. ANNUAL FINANCIAL REPORTS.

    (a) Section 3515 of title 31, United States Code, is amended to 
read as follows:
``Sec. 3515. Financial statements of agencies
    ``(a) Not later than March 1 of 1997 and each year thereafter, the 
head of each executive agency identified in section 901(b) of this 
title shall prepare and submit to the Director of the Office of 
Management and Budget an audited financial statement for the preceding 
fiscal year, covering all accounts and associated activities of each 
office, bureau, and activity of the agency.
    ``(b) Each audited financial statement of an executive agency under 
this section shall reflect--
            ``(1) the overall financial position of the offices, 
        bureaus, and activities covered by the statement, including 
        assets and liabilities thereof; and
            ``(2) results of operations of those offices, bureaus, and 
        activities.
    ``(c) The Director of the Office of Management and Budget shall 
prescribe the form and content of the financial statements of executive 
agencies under this section, consistent with applicable accounting 
principles, standards, and requirements.
    ``(d) The Director of the Office of Management and Budget may waive 
the application of all or part of subsection (a).
    ``(e) Not later than March 1 of 1996, the head of each Executive 
agency identified in section 901(b) of this title and designated by the 
Director of the Office of Management and Budget shall prepare and 
submit to the Director of the Office of Management and Budget an 
audited financial statement for the preceding fiscal year, covering all 
accounts and associated activities of each office, bureau, and activity 
of the agency.
    ``(f) Not later than March 31 of 1994, 1995, and, for Executive 
agencies not designated by the Director of the Office of Management and 
Budget under subsection (e), 1996, the head of each Executive agency 
identified in section 901(b) of this title shall prepare and submit to 
the Director of the Office of Management and Budget a financial 
statement for the preceding fiscal year, covering--
            ``(1) each revolving fund and trust fund of the agency; and
            ``(2) to the extent practicable, the accounts of each 
        office, bureau, and activity of the agency which performed 
        substantial commercial functions during the preceding fiscal 
        year.
    ``(g) for purposes of subsection (f), the term `commercial 
functions' includes buying and leasing of real estate, providing 
insurance, making loans and loan guarantees, and other credit programs 
and any activity involving the provision of a service or thing for 
which a fee, royalty, rent, or other charge is imposed by an agency for 
services and things of value it provides.''.
    (b) Subsection 3521(f) of title 31, United States Code, is amended 
to read as follows:
    ``(f)(1) For each audited financial statement required under 
subsections (a) and (e) of section 3515 of this title, the person who 
audits the statement for purpose of subsection (e) of this section 
shall submit a report on the audit to the head of the agency. A report 
under this subsection shall be prepared in accordance with generally 
accepted government auditing standards.
    ``(2) Not later than June 30 following the fiscal year for which a 
financial statement is submitted under subsection (f) of section 3515 
of this title, the person who audits the statement for purpose of 
subsection (e) of this section shall submit a report on the audit to 
the head of the agency. A report under this subsection shall be 
prepared in accordance with generally accepted government auditing 
standards.''.

           Subtitle E--Strengthening Debt Collection Programs

SEC. 16501. AUTHORIZATION OF APPROPRIATIONS FOR ENHANCING DEBT 
              COLLECTION.

    (a) Title 31, United States Code, is amended by adding, after 
section 3720A, a section 3720B, as follows:
``Sec. 3720B. Authorization of appropriations for enhancing debt 
              collection
    ``(a) To the extent and in the amounts provided in advance in 
appropriations acts--
            ``(1) an amount not to exceed 1 percent of the delinquent 
        debts collected for a program in one fiscal year is authorized 
        to be credited in the following fiscal year to a special fund 
        for such program;
            ``(2) an amount not to exceed 10 percent of any sustained 
        annual increase in delinquent debt collections, as defined by 
        the Director of the Office of Management and Budget, is 
        authorized to be credited to a special fund for such program; 
        and
            ``(3) from amounts credited under paragraphs (1) and (2), 
        such sums as may be necessary are authorized to be appropriated 
        for the improvement of that program's debt collection 
        activities, including, but not limited to, account and loan 
        servicing, delinquent debt collection and asset disposition.
    ``(b) Debt is defined as delinquent under standards prescribed or 
to be prescribed by the Secretary of the Treasury.
    ``(c) For direct loan and loan guarantee programs subject to Title 
V of the Congressional Budget Act of 1974, amounts credited in 
accordance with section (a) shall be considered administrative costs 
and shall not be included in the estimated payments to the Government 
for the purpose of calculating the cost of such programs.''.
    (b) The table of sections for subchapter II of chapter 37 of title 
31, United States Code, is amended by adding, after the item for 
section 3720A, the following new item:
``Section 3720B. Authorization of appropriations for enhancing debt 
                            collection.''.

SEC. 16502. CONTRACTS FOR COLLECTION SERVICES.

    (a) Subsection 3701(d) of Title 31, United States Code, is 
amended--
            (1) by striking ``and 3716-3719'' and inserting in lieu 
        thereof ``, 3716, and 3717''; and
            (2) by striking ``, the Social Security Act (42 U.S.C. 301 
        et seq.),''.
    (b) Section 3701 of title 31, United States Code, is amended by 
adding at the end the following:
    ``(e) Section 3718 of this title does not apply to a claim or debt 
under, or to an amount payable under, the Social Security Act (42 
U.S.C. 301 et seq.) owed by a person receiving benefits under that Act 
or to a claim or debt under, or to an amount payable under, title 26 of 
the United States Code.''.

SEC. 16503. NOTIFICATION TO AGENCIES OF DEBTORS' MAILING ADDRESSES.

    Section 3720A of title 31, United States Code is amended by 
striking ``the individual's home address.'' at the end of subsection 
(c) and inserting the following: ``the person's mailing address. 
Provision of this information is authorized by section 6103(m)(2) of 
the Internal Revenue Code (26 U.S.C. 6103(m)(2)).''.

      Subtitle F--Improving Department of Justice Debt Collection

SEC. 16601. DEBT COLLECTION FUND.

    (a) Section 3011 of title 28, United States Code, is amended to 
read as follows:
``Sec. 3011. Establishment of debt collection fund; assessment of 
              surcharge on debt
    ``(a) Authorization of Appropriations.--
            ``(1) Establishment of debt collection Fund.--
                    (A) There is hereby established in the Treasury a 
                Debt Collection Fund (hereafter referred to as ``the 
                Fund''), which shall be available to the Attorney 
                General to the extent and in such amounts as are 
                provided in advance in appropriations Acts solely for 
                the purposes specified in paragraph (2).
                    ``(B) If at the end of any fiscal year, 
                unappropriated balances in the Fund exceed $15,000,000, 
                the excess balances shall be transferred to the general 
                fund of the Treasury.
            ``(2) The Attorney General may use amounts appropriated to 
        the Fund to reimburse any appropriation or fund of the 
        Department of Justice or any other executive agency for 
        expenses incurred in conducting or providing support to debt 
        collection litigation, enforcing judgments, and related 
        activities pertaining to the collection of any debt or monies 
        owed to the United States Government.
            ``(3) Reimbursement received pursuant to paragraph (2) 
        shall be used solely for the purposes specified in that 
        paragraph under authorities available to the receiving 
        appropriation or fund.
    ``(b) Surcharge.--
            ``(1) Assessment of surcharge on debt.--
                    ``(A) In any action in which the United States 
                prevails on its claim for a debt, and subject to 
                paragraph (b)(1)(B) and (b)(2), the court shall award 
                the United States, and the Department of Justice shall 
                collect and deposit, a surcharge of 10 percent of the 
                total amount of any judgment or settlement which is 
                approved by the court.
                    ``(B) Paragraph (b)(1)(A) shall not apply if--
                            ``(i) the United States receives an 
                        attorney's fee in connection with the 
                        enforcement of the claim;
                            ``(ii) the law upon which the action or 
                        claim is based provides any other amount to 
                        cover such costs; or
                            ``(iii) the judgment or settlement is for a 
                        claim under title 26, United States Code.
                    ``(C) Notwithstanding 31 U.S.C. 3302 or any other 
                statute affecting the crediting of collections, and 
                pursuant to section (b)(2), for fiscal year 1994 and 
                thereafter, surcharges collected pursuant to this 
                section shall be deposited in, and collect to, the 
                Fund.
            ``(2) Authority to Award and Credit of Surcharges.--The 
        authority of the court to award surcharges and of the 
        Department of Justice to collect and deposit such surcharges 
        pursuant to paragraph (b)(1) shall be available only to the 
        extent provided in advance in appropriations Acts.''.
    (b) The table of sections for chapter 176 of Title 28, United 
States Code, is amended by amending the item for Section 3011 to read: 
``3011. Establishment of debt collection fund; assessment of surcharge 
on debt.''.

SEC. 16602. CONTRACTS FOR COLLECTION SERVICES.

    Subparagraph 3718(B)(1)(A) of title 31, United States Code, is 
amended by striking the following: ``If the Attorney General makes a 
contract for legal services to be furnished in any judicial district of 
the United States under the first sentence of this paragraph, the 
Attorney General shall use his best efforts to obtain, from among 
attorneys regularly engaged in the private practice of law in such 
district, at least four such contracts with private individuals or 
firms in such district.''.

      Subtitle G--Adjusting Civil Monetary Penalties for Inflation

SEC. 16701. ADJUSTING CIVIL MONETARY PENALTIES FOR INFLATION.

    The Federal Civil Penalties Inflation Adjustment Act of 1990 is 
amended by--
            (1) amending section 4 to read as follows: ``The head of 
        each agency shall--
            ``(1) by regulation, no later than September 30, 1994, and 
        at least once every 4 years thereafter, adjust each civil 
        monetary penalty provided by law within the jurisdiction of the 
        Federal agency, except for any penalty under title 26, United 
        States Code, by the inflation adjustment described under 
        section 5 and publish each such adjustment in the Federal 
        Register; and
            ``(2) provide a report to the Secretary of the Treasury by 
        November 15 of each year on all penalties adjusted during the 
        preceding fiscal year.'';
            (2) amending subsection 5(a) by striking ``The adjustment 
        described under paragraphs (4) and (5)(A) of section 4'' and 
        inserting ``The inflation adjustment''; and
            (3) adding, after section 6, a section 7, as follows: 
        ``Section 7. Any increase to a civil monetary penalty resulting 
        from this Act shall apply only to violations which occur after 
        the date any such increase takes effect.''.

                     TITLE XVII--YEAR-END SPENDING

SEC. 17001. YEAR-END SPENDING.

    Section 1301 of title 31, United States Code, is amended by adding 
the following new subsection at the end:
    ``(e) Not to exceed 50 percent of unobligated balances remaining 
available at the end of one fiscal year from appropriations made 
available for salaries and expenses made for that year shall remain 
available through September 30 of the following fiscal year for each 
account for the same purposes. Not to exceed 2 percent of the funds so 
carried over may be used to pay cash awards to employees, as authorized 
by law, and not to exceed 3 percent of the funds may be used for 
employee training programs.''.

                                 <all>

HR 3400 IH----2
HR 3400 IH----3
HR 3400 IH----4
HR 3400 IH----5
HR 3400 IH----6
HR 3400 IH----7
HR 3400 IH----8
HR 3400 IH----9
HR 3400 IH----10
```