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[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4194 Received in Senate (RDS)]

  2d Session
                                H. R. 4194

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           September 27, 1996

                                Received

_______________________________________________________________________

                                 AN ACT

 
 To reauthorize alternative means of dispute resolution in the Federal 
            administrative process, and for other purposes.

    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 ``Administrative Dispute Resolution 
Act of 1996''.

SEC. 2. AMENDMENT TO DEFINITIONS.

    Section 571 of title 5, United States Code, is amended--
            (1) in paragraph (3)--
                    (A) by striking ``, in lieu of an adjudication as 
                defined in section 551(7) of this title,'';
                    (B) by striking ``settlement negotiations,''; and
                    (C) by striking ``and arbitration'' and inserting 
                ``arbitration, and use of ombuds''; and
            (2) in paragraph (8)--
                    (A) in subparagraph (B) by striking ``decision,'' 
                and inserting ``decision;''; and
                    (B) by striking the matter following subparagraph 
                (B).

SEC. 3. AMENDMENTS TO CONFIDENTIALITY PROVISIONS.

    (a) Limitation of Confidentiality Application to Communication.--
Subsections (a) and (b) of section 574 of title 5, United States Code, 
are each amended in the matter before paragraph (1) by striking ``any 
information concerning''.
    (b) Dispute Resolution Communication.--Section 574(b)(7) of title 
5, United States Code, is amended to read as follows:
            ``(7) except for dispute resolution communications 
        generated by the neutral, the dispute resolution communication 
        was provided to or was available to all parties to the dispute 
        resolution proceeding.''.
    (c) Alternative Confidentiality Procedures.--Section 574(d) of 
title 5, United States Code, is amended--
            (1) by inserting ``(1)'' after ``(d)''; and
            (2) by adding at the end thereof the following new 
        paragraph:
    ``(2) To qualify for the exemption established under subsection 
(j), an alternative confidential procedure under this subsection may 
not provide for less disclosure than the confidential procedures 
otherwise provided under this section.''.
    (d) Exemption From Disclosure by Statute.--Section 574 of title 5, 
United States Code, is amended by amending subsection (j) to read as 
follows:
    ``(j) A dispute resolution communication which is between a neutral 
and a party and which may not be disclosed under this section shall 
also be exempt from disclosure under section 552(b)(3).''.

SEC. 4. AMENDMENT TO REFLECT THE CLOSURE OF THE ADMINISTRATIVE 
              CONFERENCE.

    (a) Promotion of Administrative Dispute Resolutions.--Section 
3(a)(1) of the Administrative Dispute Resolution Act (5 U.S.C. 571 
note; Public Law 101-552; 104 Stat. 2736) is amended to read as 
follows:
            ``(1) consult with the agency designated by, or the 
        interagency committee designated or established by, the 
        President under section 573 of title 5, United States Code, to 
        facilitate and encourage agency use of alternative dispute 
        resolution under subchapter IV of chapter 5 of such title; 
        and''.
    (b) Compilation of Information.--
            (1) In general.--Section 582 of title 5, United States 
        Code, is repealed.
            (2) Technical and conforming amendment.--The table of 
        sections for chapter 5 of title 5, United States Code, is 
        amended by striking the item relating to section 582.
    (c) Federal Mediation and Conciliation Service.--Section 203(f) of 
the Labor Management Relations Act, 1947 (29 U.S.C. 173(f)) is amended 
by striking ``the Administrative Conference of the United States and 
other agencies'' and inserting ``the agency designated by, or the 
interagency committee designated or established by, the President under 
section 573 of title 5, United States Code,''.

SEC. 5. AMENDMENTS TO SUPPORT SERVICES PROVISION.

    Section 583 of title 5, United States Code, is amended by inserting 
``State, local, and tribal governments,'' after ``other Federal 
agencies,''.

SEC. 6. AMENDMENTS TO THE CONTRACT DISPUTES ACT.

    Section 6 of the Contract Disputes Act of 1978 (41 U.S.C. 605) is 
amended--
            (1) in subsection (d) by striking the second sentence and 
        inserting: ``The contractor shall certify the claim when 
        required to do so as provided under subsection (c)(1) or as 
        otherwise required by law.''; and
            (2) in subsection (e) by striking the first sentence.

SEC. 7. AMENDMENTS ON ACQUIRING NEUTRALS.

    (a) Expedited Hiring of Neutrals.--
            (1) Competitive requirements in defense agency contracts.--
        Section 2304(c)(3)(C) of title 10, United States Code, is 
        amended by striking ``agency, or'' and inserting ``agency, or 
        to procure the services of an expert or neutral for use''.
            (2) Competitive requirements in federal contracts.--Section 
        303(c)(3)(C) of the Federal Property and Administrative 
        Services Act of 1949 (41 U.S.C. 253(c)(3)(C)), is amended by 
        striking ``agency, or'' and inserting ``agency, or to procure 
        the services of an expert or neutral for use''.
    (b) References to the Administrative Conference of the United 
States.--Section 573 of title 5, United States Code, is amended--
            (1) by striking subsection (c) and inserting the following:
    ``(c) The President shall designate an agency or designate or 
establish an interagency committee to facilitate and encourage agency 
use of dispute resolution under this subchapter. Such agency or 
interagency committee, in consultation with other appropriate Federal 
agencies and professional organizations experienced in matters 
concerning dispute resolution, shall--
            ``(1) encourage and facilitate agency use of alternative 
        means of dispute resolution; and
            ``(2) develop procedures that permit agencies to obtain the 
        services of neutrals on an expedited basis.''; and
            (2) in subsection (e) by striking ``on a roster established 
        under subsection (c)(2) or a roster maintained by other public 
        or private organizations, or individual''.

SEC. 8. ARBITRATION AWARDS AND JUDICIAL REVIEW.

    (a) Arbitration Awards.--Section 580 of title 5, United States 
Code, is amended--
            (1) by striking subsections (c), (f), and (g); and
            (2) by redesignating subsections (d) and (e) as subsections 
        (c) and (d), respectively.
    (b) Judicial Awards.--Section 581(d) of title 5, United States 
Code, is amended--
            (1) by striking ``(1)'' after ``(b)''; and
            (2) by striking paragraph (2).
    (c) Authorization of Arbitration.--Section 575 of title 5, United 
States Code, is amended--
            (1) in subsection (a)(2), by striking ``Any'' and inserting 
        ``The'';
            (2) in subsection (a)(2), by adding at the end the 
        following: ``Each such arbitration agreement shall specify a 
        maximum award that may be issued by the arbitrator and may 
        specify other conditions limiting the range of possible 
        outcomes.'';
            (3) in subsection (b)--
                    (A) by striking ``may offer to use arbitration for 
                the resolution of issues in controversy, if'' and 
                inserting ``shall not offer to use arbitration for the 
                resolution of issues in controversy unless''; and
                    (B) by striking in paragraph (1) ``has authority'' 
                and inserting ``would otherwise have authority''; and
            (4) by adding at the end the following:
    ``(c) Prior to using binding arbitration under this subchapter, the 
head of an agency, in consultation with the Attorney General and after 
taking into account the factors in section 572(b), shall issue guidance 
on the appropriate use of binding arbitration and when an officer or 
employee of the agency has authority to settle an issue in controversy 
through binding arbitration.''.

SEC. 9. PERMANENT AUTHORIZATION OF THE ALTERNATIVE DISPUTE RESOLUTION 
              PROVISIONS OF TITLE 5, UNITED STATES CODE.

    The Administrative Dispute Resolution Act (Public Law 101-552; 104 
Stat. 2747; 5 U.S.C. 571 note) is amended by striking section 11.

SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

    (a) In General.--Subchapter IV of title 5, United States Code, is 
amended by adding at the end thereof the following new section:
``Sec. 584. Authorization of appropriations
    ``There are authorized to be appropriated such sums as may be 
necessary to carry out the purposes of this subchapter.''.
    (b) Technical and Conforming Amendment.--The table of sections for 
chapter 5 of title 5, United States Code, is amended by inserting after 
the item relating to section 583 the following:

``584. Authorization of appropriations.''.

SEC. 11. REAUTHORIZATION OF NEGOTIATED RULEMAKING ACT OF 1990.

    (a) Permanent Reauthorization.--Section 5 of the Negotiated 
Rulemaking Act of 1990 (Public Law 101-648; 5 U.S.C. 561 note) is 
repealed.
    (b) Closure of Administrative Conference.--
            (1) In general.--Section 569 of title 5, United States 
        Code, is amended--
                    (A) by amending the section heading to read as 
                follows:
``Sec. 569. Encouraging negotiated rulemaking''; and
                    (B) by striking subsections (a) through (g) and 
                inserting the following:
    ``(a) The President shall designate an agency or designate or 
establish an interagency committee to facilitate and encourage agency 
use of negotiated rulemaking. An agency that is considering, planning, 
or conducting a negotiated rulemaking may consult with such agency or 
committee for information and assistance.
    ``(b) To carry out the purposes of this subchapter, an agency 
planning or conducting a negotiated rulemaking may accept, hold, 
administer, and utilize gifts, devises, and bequests of property, both 
real and personal if that agency's acceptance and use of such gifts, 
devises, or bequests do not create a conflict of interest. Gifts and 
bequests of money and proceeds from sales of other property received as 
gifts, devises, or bequests shall be deposited in the Treasury and 
shall be disbursed upon the order of the head of such agency. Property 
accepted pursuant to this section, and the proceeds thereof, shall be 
used as nearly as possible in accordance with the terms of the gifts, 
devises, or bequests.''.
            (2) Technical and conforming amendment.--The table of 
        sections for chapter 5 of title 5, United States Code, is 
        amended by striking the item relating to section 569 and 
        inserting the following:

``569. Encouraging negotiated rulemaking.''.
    (c) Expedited Hiring of Convenors and Facilitators.--
            (1) Defense agency contracts.--Section 2304(c)(3)(C) of 
        title 10, United States Code, is amended by inserting ``or 
        negotiated rulemaking'' after ``alternative dispute 
        resolution''.
            (2) Federal contracts.--Section 303(c)(3)(C) of the Federal 
        Property and Administrative Services Act of 1949 (41 U.S.C. 
        253(c)(3)(C)), is amended by inserting ``or negotiated 
        rulemaking'' after ``alternative dispute resolution''.
    (d) Authorization of Appropriations.--
            (1) In general.--Subchapter III of title 5, United States 
        Code, is amended by adding at the end thereof the following new 
        section:
``Sec. 570a. Authorization of appropriations
    ``There are authorized to be appropriated such sums as may be 
necessary to carry out the purposes of this subchapter.''.
            (2) Technical and conforming amendment.--The table of 
        sections for chapter 5 of title 5, United States Code, is 
        amended by inserting after the item relating to section 570 the 
        following:

``570a. Authorization of appropriations.''.
    (e) Negotiated Rulemaking Committees.--The Director of the Office 
of Management and Budget shall--
            (1) within 180 days of the date of the enactment of this 
        Act, take appropriate action to expedite the establishment of 
        negotiated rulemaking committees and committees established to 
        resolve disputes under the Administrative Dispute Resolution 
        Act, including, with respect to negotiated rulemaking 
        committees, eliminating any redundant administrative 
        requirements related to filing a committee charter under 
        section 9 of the Federal Advisory Committee Act (5 U.S.C. App.) 
        and providing public notice of such committee under section 564 
        of title 5, United States Code; and
            (2) within one year of the date of the enactment of this 
        Act, submit recommendations to Congress for any necessary 
        legislative changes.

            Passed the House of Representatives September 27, 1996.

            Attest:

                                                ROBIN H. CARLE,

                                                                 Clerk.
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