I 

114TH CONGRESS 

2D SESSION H. R. 5099 

To establish a pilot program on partnership agreements to construct new 

facilities for the Department of Veterans Affairs. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 28, 2016 

Mr. ASHFORD (for himself, Mr. SMITH of Nebraska, Mr. YOUNG of Iowa, Mr. 

WALZ, and Mr. FORTENBERRY) introduced the following bill; which was 

referred to the Committee on Veterans’ Affairs 

A BILL 

To establish a pilot program on partnership agreements to 

construct new facilities for the Department of Veterans 

Affairs. 

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

3 SECTION 1. PILOT PROGRAM FOR PARTNERSHIP AGREE4 MENTS TO CONSTRUCT NEW FACILITIES FOR 

5 THE DEPARTMENT OF VETERANS AFFAIRS. 

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

7 may carry out a program under which the Secretary may 

8 enter into up to 5 partnership arrangements with a State 

9 or local authority, a 501(c)(3) corporation, a limited liabilVerDate Sep 11 2014 04:31 May 04, 2016 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H5099.IH H5099

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1 ity corporation, private entity, donor or donor group, or 

2 other non-Federal entity, to conduct one or more ‘‘super 

3 construction projects’’ (as defined in section 8103 of title 

4 38, United States Code), ‘‘major construction projects’’ 

5 (as defined in section 8104 of title 38, United States 

6 Code), or major construction projects to construct a new 

7 cemetery, or to develop additional gravesites or columba8 rium niches at an existing cemetery. 

9 (b) APPLICATION OF CERTAIN LAWS.—This author10 ity may be carried out notwithstanding any other law (in11 cluding section 8103(e) of the title 38, United States 

12 Code), except for those Federal laws relating to environ13 mental and historic preservation, and the Davis-Bacon Act 

14 (sections 3141 through 3148 of title 40, United States 

15 Code). 

16 (c) SELECTION OF PROJECTS.—The projects that the 

17 Secretary may select for this program may be ones for 

18 which— 

19 (1)(A) Congress has appropriated partial fund20 ing for the designated project; or 

21 (B) Veterans Affairs has identified a need for 

22 the project through its long-range capital planning 

23 process, by listing the project on the Major Con24 struction Strategic Capital Investment Planning 


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1 (SCIP) priority list, submitted to Congress in its an2 nual budget submission; and 

3 (2) a non-Federal entity has or is willing to 

4 enter into a formal agreement with the Secretary, to 

5 independently finance and/or donate funds towards 

6 the underlying project, in an amount acceptable and 

7 at no additional cost to the government. 

8 (d) AGREEMENTS.—Each partnership agreement for 

9 regarding the designated project shall provide: 

10 (1) The non-Federal entity shall conduct any 

11 necessary environmental and historic preservation 

12 due diligence, comply with local zoning requirements 

13 (except for studies and consultations required of the 

14 Department under Federal law), and obtain any per15 mits required before beginning construction. 

16 (2) The non-Federal entity shall use Veterans 

17 Affairs construction standards when designing and 

18 building the project, except to the extent the Sec19 retary deems otherwise. 

20 (3) The non-Federal entity shall form a Board 

21 of Directors comprised of between 5 and 10 mem22 bers, and a designated Chair to oversee the Board. 

23 At least 1 member of the Board shall be a Veteran 

24 who is not an employee of the Department of Vet25 erans Affairs. The proposed or existing Board memVerDate Sep 11 2014 04:31 May 04, 2016 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H5099.IH H5099

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1 bers shall be required to promptly disclose any ac2 tual or potential conflicts to the Secretary, and must 

3 agree as a condition of their appointment, to remove 

4 themselves from Board membership if the Chairman 

5 and Secretary agree that doing so is appropriate due 

6 to an underlying apparent or existing conflict. At 

7 least 1 member of the Board shall be an employee 

8 of the Department of Veterans Affairs, and function 

9 as a non-voting member of the Board. 

10 (4) Within 180 days of inception or other time11 frame as the Secretary shall approve, the Board 

12 shall establish a written Charter of the Board of Di13 rectors, to describe the roles, responsibilities, poli14 cies, and procedures of operation, to help ensure 

15 successful project management, design, and con16 struction, and completion of the designated project. 

17 The Board shall be responsible for overseeing the ac18 tivities needed to finance, design, and construct the 

19 designated project for the Department. The Board 

20 shall provide written updates to the Secretary re21 garding the status of the designated project, on oc22 casions and a frequency that he shall approve. 

23 (5) The Board shall defer to the Secretary on 

24 all matters that are inherent to the Department’s 

25 mission and operations, including conditional or final 


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1 acceptance of the designated project. The Board 

2 shall not dissolve until after the Department has 

3 provided its final acceptance of the completed des4 ignated project, plus any additional time or later 

5 event that the Board of Directors and Secretary 

6 shall jointly approve. 

7 (e) PROJECT FUNDS.—Except as to the designated 

8 project identified in subsection (j) and except to the extent 

9 that Congress later provides a future appropriation of ad10 ditional funds to support the project, the Secretary may 

11 provide funds to help finance, design, and construct the 

12 designated project, in an amount not to exceed the total 

13 dollars that Congress has appropriated at the time of the 

14 partnership agreement between the Department and non15 Federal entity. The Secretary shall be permitted to provide 

16 such funds under terms, conditions, and schedule that the 

17 Secretary deems appropriate. The non-Federal entity shall 

18 be required to contribute the balance of the funds needed 

19 to complete the designated project. 

20 (f) APPLICATION.—To be eligible to participate in the 

21 program to be established under subsection (a), the non22 Federal entities shall submit to the Secretary an applica23 tion to address facility needs, including healthcare, as 

24 identified in the Veterans Affairs Construction and Long25 range Capital Plan, at such time, in such manner, and 


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1 containing such information as the Secretary may require, 

2 including the following: 

3 (1) The name, resume, and experience of the 

4 project manager for each designated project that the 

5 non-Federal entity is proposing to pursue with the 

6 Secretary under this program. 

7 (2) A description of the non-Federal entity’s 

8 proposed monetary and non-monetary contributions 

9 for the designated project, and how future funding 

10 will be secured. 

11 (3) A description of the process the non-Federal 

12 entity would utilize to select a third party contractor 

13 or developer as applicable, to perform the work nec14 essary to complete the designated project. 

15 (4) A description of the Board of Directors and 

16 project management plan that the non-Federal enti17 ty will use, to ensure concise and consistent commu18 nication of all parties involved in the project. 

19 (5) A description of the procedures that the 

20 non-Federal entity will utilize to review, monitor, 

21 and process change orders when received, including 

22 how the Department’s input and feedback will be in23 corporated, particularly for issues that would affect 

24 the time or cost of the designated project(s). 


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1 (6) A detailed estimate of costs to complete the 

2 designated project. 

3 (7) A description of the estimated timelines, 

4 and milestones associated with the activities needed 

5 to finance, design, and construct the designated 

6 project. 

7 (8) Agree to obtain an independent annual fi8 nancial audit of all activities and costs relating to 

9 the underlying designated project, in accordance 

10 with generally accepted accounting principles. 

11 (9) Such other information as the Secretary 

12 may require. 

13 (g) COMPTROLLER GENERAL REPORT.—The Comp14 troller General of the United States shall submit to Con15 gress a biennial report on the partnership agreements en16 tered into under the program. 

17 (h) REPORT.—The Secretary shall provide a report 

18 to the Veterans Affairs Committees as part of the Depart19 ment’s annual budget submission, upon acceptance of a 

20 donation under this authority. The report shall provide a 

21 detailed status of the Project, including the percentage 

22 complete. 

23 (i) RULE OF CONSTRUCTION.—Nothing in this sec24 tion shall be construed as a limitation on the authority 


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1 of the Secretary to enter into other agreements that are 

2 authorized by law and not inconsistent with this section. 

3 (j) SELECTED DEPARTMENT OF VETERANS AFFAIRS

4 CONSTRUCTION PROJECT(S).—One of the 5 partnership 

5 agreement projects that the Secretary is permitted to pur6 sue with a non-Federal entity under subsection (a) a 

7 project to design, finance, and construct a new ambulatory 

8 care center in Omaha, Nebraska. Any such project shall 

9 include necessary space and parking as determine by the 

10 Secretary. The Secretary shall be permitted to contribute 

11 funds towards the project in an amount not to exceed 

12 $56,000,000, and in no event shall the Secretary’s con13 tribution or liability exceed such amount, unless and the 

14 extent that Congress later provides a future appropriation 

15 of additional funds to support the project. 

Æ 


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