II 

Calendar No. 320 

111TH CONGRESS 

2D SESSION H. R. 885 

IN THE SENATE OF THE UNITED STATES 

JUNE 10, 2009 

Received 

JULY 22, 2009 

Read twice and referred to the Committee on Homeland Security and 

Governmental Affairs 

MARCH 16, 2010 

Reported by Mr. LIEBERMAN, with amendments 

[Omit the part struck through and insert the part printed in italic] 

AN ACT 

To elevate the Inspector General of certain Federal entities 

to an Inspector General appointed pursuant to section 

3 of the Inspector General Act of 1978. 

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

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

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

5 ‘‘Improved Financial and Commodity Markets Oversight 

6 and Accountability Act’’. 


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

2 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Elevation of certain Inspectors General to appointment pursuant to section 3 of the Inspector General Act of 1978. 

Sec. 3. Continuation of provisions relating to personnel. 

Sec. 4. Subpoena authority of certain Inspectors General. 

Sec. 5. Corrective responses by heads of certain establishments to deficiencies 

identified by Inspectors General. 

Sec. 6. Effective date; transition rule. 

3 SEC. 2. ELEVATION OF CERTAIN INSPECTORS GENERAL TO 

4 APPOINTMENT PURSUANT TO SECTION 3 OF 

5 THE INSPECTOR GENERAL ACT OF 1978. 

6 (a) INCLUSION IN CERTAIN DEFINITIONS.—Section 

7 12 of the Inspector General Act of 1978 (5 U.S.C. App.) 

8 is amended— 

9 (1) in paragraph (1), by striking ‘‘or the Fed10 eral Cochairpersons of the Commissions established 

11 under section 15301 of title 40, United States 

12 Code;’’ and inserting ‘‘the Federal Cochairpersons of 

13 the Commissions established under section 15301 of 

14 title 40, United States Code; the Chairman of the 

15 Board of Governors of the Federal Reserve System; 

16 the Chairman of the Commodity Futures Trading 

17 Commission; the Chairman Board of the National 

18 Credit Union Administration; the Director Board of 

19 Directors of the Pension Benefit Guaranty Corpora20 tion; or the Chairman of the Securities and Ex21 change Commission;’’; and 


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1 (2) in paragraph (2), by striking ‘‘or the Com2 missions established under section 15301 of title 40, 

3 United States Code,’’ and inserting ‘‘the Commis4 sions established under section 15301 of title 40, 

5 United States Code, the Board of Governors of the 

6 Federal Reserve System, the Commodity Futures 

7 Trading Commission, the National Credit Union Ad8 ministration, the Pension Benefit Guaranty Corpora9 tion, or the Securities and Exchange Commission,’’. 

10 (b) EXCLUSION FROM DEFINITION OF DESIGNATED

11 FEDERAL ENTITY.—Section 8G(a)(2) of the Inspector 

12 General Act of 1978 (5 U.S.C. App.) is amended— 

13 (1) by striking ‘‘the Board of Governors of the 

14 Federal Reserve System,’’; 

15 (2) by striking ‘‘the Commodity Futures Trad16 ing Commission,’’; 

17 (3) by striking ‘‘the National Credit Union Ad18 ministration,’’; and 

19 (4) by striking ‘‘the Pension Benefit Guaranty 

20 Corporation, the Securities and Exchange Commis21 sion,’’. 


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1 SEC. 3. CONTINUATION OF PROVISIONS RELATING TO PER2 SONNEL. 

3 (a) IN GENERAL.—The Inspector General Act of 

4 1978 (5 U.S.C. App.) is amended by inserting after sec5 tion 8L the following: 

6 ‘‘SEC. 8M. SPECIAL PROVISIONS CONCERNING CERTAIN ES7 TABLISHMENTS. 

8 ‘‘(a) DEFINITION.—For purposes of this section, the 

9 term ‘covered establishment’ means the Board of Gov10 ernors of the Federal Reserve System, the Commodity Fu11 tures Trading Commission, the National Credit Union Ad12 ministration, the Pension Benefit Guaranty Corporation, 

13 and the Securities and Exchange Commission. 

14 ‘‘(b) PROVISIONS RELATING TO ALL COVERED ES15 TABLISHMENTS.— 

16 ‘‘(1) PROVISIONS RELATING TO INSPECTORS

17 GENERAL.—In the case of the Inspector General of 

18 a covered establishment, subsections (b) and (c) of 

19 section 4 of the Inspector General Reform Act of 

20 2008 (Public Law 110–409) shall apply in the same 

21 manner as if such covered establishment were a des22 ignated Federal entity under section 8G. An Inspec23 tor General who is subject to the preceding sentence 

24 shall not be subject to section 3(e). 

25 ‘‘(2) PROVISIONS RELATING TO OTHER PER26 SONNEL.—Notwithstanding paragraphs (7) and (8) 


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1 of section 6(a), the Inspector General of a covered 

2 establishment may select, appoint, and employ such 

3 officers and employees as may be necessary for car4 rying out the functions, powers, and duties of the 

5 Office of Inspector General of such establishment 

6 and to obtain the temporary or intermittent services 

7 of experts or consultants or an organization of ex8 perts or consultants, subject to the applicable laws 

9 and regulations that govern such selections, appoint10 ments, and employment, and the obtaining of such 

11 services, within such establishment. 

12 ‘‘(c) PROVISION RELATING TO THE BOARD OF GOV13 ERNORS OF THE FEDERAL RESERVE SYSTEM.—The pro14 visions of subsection (a) of section 8D (other than the pro15 visions of subparagraphs (A), (B), (C), and (E) of para16 graph (1) of such subsection (a)) shall apply to the Inspec17 tor General of the Board of Governors of the Federal Re18 serve System and the Chairman of the Board of Governors 

19 of the Federal Reserve System in the same manner as 

20 such provisions apply to the Inspector General of the De21 partment of the Treasury and the Secretary of the Treas22 ury, respectively.’’. 

23 (b) CONFORMING AMENDMENT.—Paragraph (3) of 

24 section 8G(g) of the Inspector General Act of 1978 (5 

25 U.S.C. App.) is repealed. 


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1 SEC. 4. SUBPOENA AUTHORITY OF CERTAIN INSPECTORS 

2 GENERAL. 

3 The Inspector General of the Board of Governors of 

4 the Federal Reserve System, the Commodity Futures 

5 Trading Commission, the National Credit Union Adminis6 tration, the Pension Benefit Guaranty Corporation, or the 

7 Securities and Exchange Commission, in carrying out the 

8 provisions of the Inspector General Act of 1978 (5 U.S.C. 

9 App.), is authorized to require by subpoena, from any offi10 cer or employee of a contractor or grantee of the establish11 ment, any officer or employee of a subcontractor or sub12 grantee of such a contractor or grantee, or any person 

13 or entity regulated by the establishment, any records and 

14 testimony necessary in the performance of functions as15 signed to the Inspector General under such Act. Any such 

16 subpoena, in the case of contumacy or refusal to obey, 

17 shall be enforceable by order of any appropriate United 

18 States district court. 

19 SEC. 5. CORRECTIVE RESPONSES BY HEADS OF CERTAIN 

20 ESTABLISHMENTS TO DEFICIENCIES IDENTI21 FIED BY INSPECTORS GENERAL. 

22 The Chairman of the Board of Governors of the Fed23 eral Reserve System, the Chairman of the Commodity Fu24 tures Trading Commission, the Chairman of the National 

25 Credit Union Administration, the Director of the Pension 


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1 Benefit Guaranty Corporation, and the Chairman of the 

2 Securities and Exchange Commission shall each— 

3 (1) take action to address deficiencies identified 

4 by a report or investigation of the Inspector General 

5 of the establishment concerned; or 

6 (2) certify to both Houses of Congress that no 

7 action is necessary or appropriate in connection with 

8 a deficiency described in paragraph (1). 

9 SEC. 6. EFFECTIVE DATE; TRANSITION RULE. 

10 (a) EFFECTIVE DATE.—This Act and the amend11 ments made by this Act shall take effect 30 days after 

12 the date of the enactment of this Act. 

13 (b) TRANSITION RULE.—An individual serving as In14 spector General of the Board of Governors of the Federal 

15 Reserve System, the Commodity Futures Trading Com16 mission, the National Credit Union Administration, the 

17 Pension Benefit Guaranty Corporation, or the Securities 

18 and Exchange Commission on the effective date of this 

19 Act pursuant to an appointment made under section 8G 

20 of the Inspector General Act of 1978 (5 U.S.C. App.)— 

21 (1) may continue so serving until the President 

22 makes an appointment under section 3(a) of such 

23 Act with respect to the Board of Governors of the 

24 Federal Reserve System, the Commodity Futures 

25 Trading Commission, the National Credit Union AdVerDate Nov 24 2008 00:25 Mar 17, 2010 Jkt 089200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H885.RS H885

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1 ministration, the Pension Benefit Guaranty Corpora2 tion, or the Securities and Exchange Commission, as 

3 the case may be, consistent with the amendments 

4 made by section 2; and 

5 (2) shall, while serving under paragraph (1), re6 main subject to the provisions of section 8G of such 

7 Act which, immediately before the effective date of 

8 this Act, applied with respect to the Inspector Gen9 eral of the Board of Governors of the Federal Re10 serve System, the Commodity Futures Trading Com11 mission, the National Credit Union Administration, 

12 the Pension Benefit Guaranty Corporation, or the 

13 Securities and Exchange Commission, as the case 

14 may be, and suffer no reduction in pay. 


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Calendar No. 320 

111TH CONGRESS 

2D SESSION H. R. 885 

AN ACT 

To elevate the Inspector General of certain Federal 

1978. ant to section 3 of the Inspector General Act of entities to an Inspector General appointed pursuMARCH 16, 2010 

Reported with amendments 


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