II 

116TH CONGRESS 

1ST SESSION S. 154 

To amend title 38, United States Code, to improve oversight of contracts 

for services and financial processes of the Department of Veterans Affairs, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JANUARY 16, 2019 

Mr. TESTER (for himself, Mr. BLUMENTHAL, Ms. BALDWIN, Mrs. MURRAY, 

Mr. KAINE, Mr. BENNET, and Ms. SINEMA) introduced the following bill; 

which was read twice and referred to the Committee on Veterans’ Affairs 

A BILL 

To amend title 38, United States Code, to improve oversight 

of contracts for services and financial processes of the 

Department of Veterans Affairs, and for other purposes. 

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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Department of Vet5 erans Affairs Contract, Leadership, and Ensuring Ac6 countability and Reform Act of 2019’’ or the ‘‘VA CLEAR 

7 Act of 2019’’. 


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1 SEC. 2. IMPROVING OVERSIGHT OF CONTRACTS FOR SERV2 ICES OF THE DEPARTMENT OF VETERANS AF3 FAIRS. 

4 (a) IN GENERAL.—Section 513 of title 38, United 

5 States Code, is amended— 

6 (1) in the first sentence, by striking ‘‘The Sec7 retary may, for’’ and inserting the following: 

8 ‘‘(a) IN GENERAL.—The Secretary may, for’’; and 

9 (2) by adding at the end the following new sub10 section: 

11 ‘‘(b) CONTRACT REQUIREMENTS.—The Secretary 

12 shall ensure that each contract for a service into which 

13 the Secretary enters under subsection (a) includes the fol14 lowing: 

15 ‘‘(1) Measurable metrics to ascertain the per16 formance of the provider of the service, relating to 

17 cost, schedule, and fulfillment of contract require18 ments. 

19 ‘‘(2) A plan of action and milestones for the 

20 provision of the service, with estimates of the dates 

21 on which significant portions of the contract will be 

22 completed and a description of the resources the 

23 service provider will assign to provide the service. 

24 ‘‘(3) Safeguards to ensure that the service pro25 vided meets a minimum threshold of quality deter26 mined by the Secretary, including authority for the 


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1 Secretary to levy a financial penalty upon the service 

2 provider if the service provided fails to meet such 

3 threshold. 

4 ‘‘(4) Measurable metrics relating to the use of 

5 award or incentive fees. 

6 ‘‘(5) A requirement that the service provider 

7 documents through information technology systems 

8 of the Department the work of the service provider 

9 so that the Secretary can review and validate the 

10 quality of the service provided using the metrics set 

11 forth in the contract under paragraph (1). 

12 ‘‘(c) REPORTING REQUIREMENTS.—(1) For each 

13 contract for a service into which the Secretary enters 

14 under subsection (a)— 

15 ‘‘(A) not later than 45 days after the last day 

16 of each quarter for the duration of the contract, the 

17 Secretary shall submit to the Committee on Vet18 erans’ Affairs of the Senate and the Committee on 

19 Veterans’ Affairs of the House of Representatives— 

20 ‘‘(i) a report on the service provided under 

21 the contract and an assessment as to how such 

22 service compares with respect to the metrics set 

23 forth in the contract under subsection (b)(1); 

24 and 


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1 ‘‘(ii) a report that details the significant 

2 modifications made to the contract, if any, and 

3 a justification for such modifications; and 

4 ‘‘(B) publish on the internet website of the De5 partment information about the contract and the 

6 significant modifications made to the contract, if 

7 any. 

8 ‘‘(2) Whenever the Secretary provides notice to a 

9 service provider that the service provider is failing to meet 

10 obligations pursuant to a contract entered under sub11 section (a), the Secretary shall submit to the Committee 

12 on Veterans’ Affairs of the Senate and the Committee on 

13 Veterans’ Affairs of the House of Representatives a report 

14 on such failure that includes the following: 

15 ‘‘(A) An explanation of the reasons for pro16 viding such notice. 

17 ‘‘(B) A description of the effect of such failure, 

18 including with respect to cost, schedule, and require19 ments. 

20 ‘‘(C) A description of the actions taken by the 

21 Secretary to mitigate such failure. 

22 ‘‘(D) A description of the actions taken by the 

23 contractor to address such failure.’’. 


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1 (b) EFFECTIVE DATE.—Subsections (b) and (c) of 

2 section 513 of such title, as added by subsection (a), shall 

3 take effect on the date of the enactment of this Act. 

4 (c) APPLICABILITY.— 

5 (1) IN GENERAL.—Subsections (b) and (c) of 

6 such section, as so added, shall apply with respect 

7 to contracts entered into by the Secretary of Vet8 erans Affairs on or after the date that is one year 

9 before the date of the enactment of this Act. 

10 (2) CERTAIN REPORTING REQUIREMENTS.— 

11 Subsection (c)(1)(A) of such section, as so added, 

12 shall apply with respect to quarters that begin after 

13 the date of the enactment of this Act. 

14 SEC. 3. HEIGHTENED OVERSIGHT FOR CONTRACTS FOR 

15 SERVICES OF THE DEPARTMENT OF VET16 ERANS AFFAIRS OF MORE THAN $2,000,000,000. 

17 (a) IN GENERAL.—Section 513 of title 38, United 

18 States Code, as amended by section 2, is further amended 

19 by adding at the end the following new subsections: 

20 ‘‘(d) JUSTIFICATION AND PLAN FOR CERTAIN CON21 TRACTS.—In each case of a contract for a service into 

22 which the Secretary enters under subsection (a) that 

23 would result in the Department incurring an obligation of 

24 more than $2,000,000,000, not later than 20 days after 

25 the date of the contract award, the Secretary shall submit 


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1 to the Committee on Veterans’ Affairs of the Senate and 

2 the Committee on Veterans’ Affairs of the House of Rep3 resentatives— 

4 ‘‘(1) a justification of the need for the contract, 

5 including an explanation of why the Department is 

6 unable to perform the service; and 

7 ‘‘(2) a plan for how the Department will fund 

8 the contract in future years. 

9 ‘‘(e) REVIEW OF CERTAIN CONTRACTS.—In each 

10 case of a contract for a service into which the Secretary 

11 enters under subsection (a) that would result in the De12 partment incurring an obligation of more than 

13 $2,000,000,000, after the first year of service of such con14 tract, the Inspector General of the Department and the 

15 Comptroller General of the United States shall each com16 plete a review of the contract— 

17 ‘‘(1) to determine whether the metrics included 

18 in the contract were met; and 

19 ‘‘(2) to review the appropriateness of funds ex20 pended for the contract.’’. 

21 (b) EFFECTIVE DATE.—Subsections (d) and (e) of 

22 section 513 of such title, as added by subsection (a), shall 

23 take effect on the date of the enactment of this Act. 

24 (c) APPLICABILITY.— 


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1 (1) IN GENERAL.—Subsections (d) and (e) of 

2 such section, as so added, shall apply with respect 

3 to contracts entered into by the Secretary of Vet4 erans Affairs on or after the date that is one year 

5 before the date of the enactment of this Act. 

6 (2) JUSTIFICATION AND PLAN FOR CERTAIN

7 CONTRACTS.—With respect to contracts described in 

8 subsection (d) of such section, as so added, that 

9 were entered into by the Secretary on or before the 

10 date of the enactment of this Act, the Secretary 

11 shall submit the justification and plan required by 

12 such subsection not later than 20 days after the date 

13 of the enactment of this Act in lieu of 20 days after 

14 the date of the contract award as otherwise required 

15 by such subsection. 

16 SEC. 4. OVERSIGHT AND ACCOUNTABILITY OF FINANCIAL 

17 PROCESSES OF THE DEPARTMENT OF VET18 ERANS AFFAIRS. 

19 (a) INDEPENDENT REVIEW OF FINANCIAL PROC20 ESSES.— 

21 (1) IN GENERAL.—Not later than 90 days after 

22 the date of the enactment of this Act, the Secretary 

23 of Veterans Affairs shall enter into a contract with 

24 an independent third party— 


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1 (A) to review and audit the financial proc2 esses, including reporting structures, and actu3 arial and estimation models of the Department 

4 of Veterans Affairs; 

5 (B) to develop recommendations for im6 proving such structures; and 

7 (C) to complete such review and develop8 ment not later than 180 days after the date on 

9 which the Secretary and the independent third 

10 party enter into the contract. 

11 (2) IMPLEMENTATION PLAN.—Not later than 

12 60 days after the completion of the review and devel13 opment required by paragraph (1), the Secretary 

14 shall submit to the Committee on Veterans’ Affairs 

15 of the Senate and the Committee on Veterans’ Af16 fairs of the House of Representatives a plan to im17 plement the recommendations developed under sub18 paragraph (B) of such paragraph. 

19 (b) PLANS FOR USE OF SUPPLEMENTAL APPROPRIA20 TIONS REQUIRED.—Whenever the Secretary submits to 

21 Congress, to address a budgetary issue affecting the De22 partment of Veterans Affairs, a request for supplemental 

23 appropriations or any other appropriation when the re24 quest is submitted outside the standard budget process, 

25 the Secretary shall, not later than 45 days before the date 


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1 on which such budgetary issue would start affecting a pro2 gram or service, submit to Congress a justification for the 

3 request, including— 

4 (1) a plan that details how the Secretary in5 tends to use the requested appropriation and how 

6 long the requested appropriation is expected to meet 

7 the needs of the Department; and 

8 (2) a certification as to whether the request was 

9 made using an updated and sound actuarial anal10 ysis. 

11 SEC. 5. TESTIMONIAL SUBPOENA AUTHORITY OF THE IN12 SPECTOR GENERAL OF THE DEPARTMENT OF 

13 VETERANS AFFAIRS. 

14 Section 312 of title 38, United States Code, is 

15 amended by adding at the end the following new sub16 section: 

17 ‘‘(c)(1)(A) In addition to the authority otherwise pro18 vided by the Inspector General Act of 1978 (5 U.S.C. 

19 App.) and in accordance with the requirements of this sub20 section, the Inspector General, in carrying out the provi21 sions of this section, may require by subpoena the attend22 ance and testimony of witnesses as necessary in the per23 formance of the functions assigned to the Inspector Gen24 eral by the Inspector General Act of 1978 (5 U.S.C. App.) 

25 and this section, which in the case of contumacy or refusal 


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1 to obey, such subpoena shall be enforceable by order of 

2 any appropriate district court of the United States. 

3 ‘‘(B) An Inspector General may not require by sub4 poena the attendance and testimony of any current Fed5 eral employees, but may use other authorized procedures. 

6 ‘‘(2) The authority to issue a subpoena under para7 graph (1) may not be delegated. 

8 ‘‘(3)(A) If the Inspector General intends to issue a 

9 subpoena, the Inspector General shall notify the Attorney 

10 General of such intent. 

11 ‘‘(B) Not later than 10 days after the date on which 

12 the Attorney General is notified pursuant to paragraph 

13 (1), the Attorney General may object to the issuance of 

14 the subpoena if the subpoena will interfere with an ongo15 ing investigation and, if the Attorney General makes such 

16 an objection, the Inspector General may not issue the sub17 poena. 

18 ‘‘(C) If the Attorney General does not object to the 

19 issuance of the subpoena during the 10-day period de20 scribed in subparagraph (B), the Inspector General may 

21 issue the subpoena.’’. 

22 SEC. 6. CENTRALIZED SYSTEMS FOR CERTAIN RECORDS OF 

23 THE DEPARTMENT OF VETERANS AFFAIRS. 

24 (a) ADMINISTRATIVE INVESTIGATION BOARDS.—The 

25 Secretary of Veterans Affairs shall implement a centralVerDate Sep 11 2014 01:38 Jan 25, 2019 Jkt 089200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S154.IS S154

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1 ized system in which completed reviews of administrative 

2 investigation boards are recorded and maintained. 

3 (b) REFERRALS OF CLINICIANS TO LICENSING

4 BOARDS.—The Under Secretary for Health of the Depart5 ment of Veterans Affairs shall implement a centralized 

6 system for tracking instances in which the Department 

7 has referred a clinician to the licensing board of a State 

8 because of the behavior of the clinician or clinical out9 comes. 

Æ 


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