‘‘(3) The Secretary shall ensure that the central whis-
tleblower office maintains a toll-free hotline to anony-
mously receive whistleblower complaints. 
‘‘(4) In this subsection, the term ‘central whistle-
blower office’ means the Office of Accountability Review 
or a successor office that is established or designated by 
the Secretary to investigate whistleblower complaints filed 
under this section or any other method established by law. 
‘‘§ 733. Adverse actions against supervisory employ-
ees who commit prohibited personnel ac-
tions 
relating 
to 
whistleblower 
com-
plaints 
‘‘(a) IN GENERAL.—(1) In accordance with para-
graph (2), the Secretary shall carry out the following ad-
verse actions against supervisory employees whom the Sec-
retary, an administrative judge, the Merit Systems Protec-
tion Board, the Office of Special Counsel, an adjudicating 
body provided under a union contract, a Federal judge, 
or the Inspector General of the Department determines 
committed a prohibited personnel action described in sub-
section (c): 
‘‘(A) With respect to the first offense, an ad-
verse action that is not less than a 14-day suspen-
sion and not more than removal. 
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‘‘(B) With respect to the second offense, re-
moval. 
‘‘(2)(A) Except as provided by subparagraph (B), 
and notwithstanding subsections (b) and (c) of section 
7513 and section 7543 of title 5, the provisions of sub-
sections (d) and (e) of section 713 of this title shall apply 
with respect to an adverse action carried out under para-
graph (1). 
‘‘(B) An employee who is notified of being the subject 
of a proposed adverse action under paragraph (1) may not 
be given more than five days following such notification 
to provide evidence to dispute such proposed adverse ac-
tion. If the employee does not provide any such evidence, 
or if the Secretary determines that such evidence is not 
sufficient to reverse the determination to propose the ad-
verse action, the Secretary shall carry out the adverse ac-
tion following such five-day period. 
‘‘(b) LIMITATION ON OTHER ADVERSE ACTIONS.— 
With respect to a prohibited personnel action described in 
subsection (c), if the Secretary carries out an adverse ac-
tion against a supervisory employee, the Secretary may 
carry out an additional adverse action under this section 
based on the same prohibited personnel action if the total 
severity of the adverse actions do not exceed the level spec-
ified in subsection (a). 
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‘‘(c) 
PROHIBITED
PERSONNEL
ACTION
DE-
SCRIBED.—A prohibited personnel action described in this 
subsection is any of the following actions: 
‘‘(1) Taking or failing to take a personnel ac-
tion in violation of section 2302 of title 5 against an 
employee relating to the employee— 
‘‘(A) filing a whistleblower complaint in ac-
cordance with section 732 of this title; 
‘‘(B) filing a whistleblower complaint with 
the Inspector General of the Department, the 
Special Counsel, or Congress; 
‘‘(C) providing information or participating 
as a witness in an investigation of a whistle-
blower complaint in accordance with section 
732 or with the Inspector General of the De-
partment, the Special Counsel, or Congress; 
‘‘(D) participating in an audit or investiga-
tion by the Comptroller General of the United 
States; 
‘‘(E) refusing to perform an action that is 
unlawful or prohibited by the Department; or 
‘‘(F) engaging in communications that are 
related to the duties of the position or are oth-
erwise protected. 
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‘‘(2) Preventing or restricting an employee from 
making an action described in any of subparagraphs 
(A) through (F) of paragraph (1). 
‘‘(3) Conducting a peer review or opening a re-
taliatory investigation relating to an activity of an 
employee that is protected by section 2302 of title 
5. 
‘‘(4) Requesting a contractor to carry out an 
action that is prohibited by section 4705(b) or sec-
tion 4712(a)(1) of title 41, as the case may be. 
‘‘§ 734. Evaluation criteria of supervisors and treat-
ment of bonuses 
‘‘(a) EVALUATION CRITERIA.—(1) In evaluating the 
performance of supervisors of the Department, the Sec-
retary shall include the criteria described in paragraph 
(2). 
‘‘(2) The criteria described in this subsection are the 
following: 
‘‘(A) Whether the supervisor treats whistle-
blower complaints in accordance with section 732. 
‘‘(B) Whether the appropriate deciding official, 
performance review board, or performance review 
committee determines that the supervisor was found 
to have committed a prohibited personnel action de-
scribed in section 733(b) by an administrative judge, 
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the Merit Systems Protection Board, the Office of 
Special Counsel, an adjudicating body provided 
under a union contract, a Federal judge, or, in the 
case of a settlement of a whistleblower complaint 
(regardless of whether any fault was assigned under 
such settlement), the Secretary. 
‘‘(b) BONUSES.—(1) The Secretary may not pay to 
a supervisor described in subsection (a)(2)(B) an award 
or bonus under this title or title 5, including under chapter 
45 or 53 of such title, during the one-year period begin-
ning on the date on which the determination was made 
under such subsection. 
‘‘(2) Notwithstanding any other provision of law, the 
Secretary shall issue an order directing a supervisor de-
scribed in subsection (a)(2)(B) to repay the amount of any 
award or bonus paid under this title or title 5, including 
under chapter 45 or 53 of such title, if— 
‘‘(A) such award or bonus was paid for per-
formance during a period in which the supervisor 
committed a prohibited personnel action as deter-
mined pursuant to such subsection (a)(2)(B); 
‘‘(B) the Secretary determines such repayment 
appropriate pursuant to regulations prescribed by 
the Secretary to carry out this section; and 
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‘‘(C) the supervisor is afforded notice and an 
opportunity for a hearing before making such repay-
ment. 
‘‘§ 735. Training regarding whistleblower complaints 
‘‘(a) TRAINING.—The Secretary, in coordination with 
the Whistleblower Protection Ombudsman designated 
under section 3(d)(1)(C) of the Inspector General Act of 
1978 (5 U.S.C. App.), shall annually provide to each em-
ployee of the Department training regarding whistleblower 
complaints, including— 
‘‘(1) an explanation of each method established 
by law in which an employee may file a whistle-
blower complaint; 
‘‘(2) an explanation of prohibited personnel ac-
tions described by section 733(c) of this title; 
‘‘(3) with respect to supervisors, how to treat 
whistleblower complaints in accordance with section 
732 of this title; 
‘‘(4) the right of the employee to petition Con-
gress regarding a whistleblower complaint in accord-
ance with section 7211 of title 5; 
‘‘(5) an explanation that the employee may not 
be prosecuted or reprised against for disclosing in-
formation to Congress in instances where such dis-
closure is permitted by law, including under sections 
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5701, 5705, and 7732 of this title, under section 
552a of title 5 (commonly referred to as the Privacy 
Act), under chapter 93 of title 18, and pursuant to 
regulations promulgated under section 264(c) of the 
Health Insurance Portability and Accountability Act 
of 1996 (Public Law 104–191); 
‘‘(6) an explanation of the language that is re-
quired to be included in all nondisclosure policies, 
forms, 
and 
agreements 
pursuant 
to 
section 
115(a)(1) of the Whistleblower Protection Enhance-
ment Act of 2012 (5 U.S.C. 2302 note); and 
‘‘(7) the right of contractors to be protected 
from reprisal for the disclosure of certain informa-
tion under section 4705 or 4712 of title 41. 
‘‘(b) CERTIFICATION.—The Secretary shall annually 
provide training on merit system protection in a manner 
that the Special Counsel certifies as being satisfactory. 
‘‘(c) PUBLICATION.—(1) The Secretary shall publish 
on the Internet website of the Department, and display 
prominently at each facility of the Department, the rights 
of an employee to file a whistleblower complaint, including 
the information described in paragraphs (1) through (7) 
of subsection (a). 
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‘‘(2) The Secretary shall publish on the Internet 
website of the Department, the whistleblower complaint 
form described in section 732(g)(2). 
‘‘§ 736. Reports to Congress 
‘‘(a) ANNUAL REPORTS.—The Secretary shall annu-
ally submit to the Committees on Veterans’ Affairs of the 
House of Representatives and the Senate, the Committee 
on Oversight and Government Reform of the House of 
Representatives, and the Committee on Homeland Secu-
rity and Governmental Affairs of the Senate a report that 
includes— 
‘‘(1) with respect to whistleblower complaints 
filed under section 732 during the year covered by 
the report— 
‘‘(A) the number of such complaints filed; 
‘‘(B) the disposition of such complaints; 
and 
‘‘(C) the ways in which the Secretary ad-
dressed such complaints in which a positive de-
termination was made by a supervisor under 
subsection (b)(1) of such section; 
‘‘(2) the number of whistleblower complaints 
filed during the year covered by the report that are 
not included under paragraph (1), including— 
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‘‘(A) the method in which such complaints 
were filed; 
‘‘(B) the disposition of such complaints; 
and 
‘‘(C) the ways in which the Secretary ad-
dressed such complaints; and 
‘‘(3) with respect to disclosures made by a con-
tractor under section 4705 or 4712 of title 41— 
‘‘(A) the number of complaints relating to 
such disclosures that were investigated by the 
Inspector General of the Department of Vet-
erans Affairs during the year covered by the re-
port; 
‘‘(B) the disposition of such complaints; 
and 
‘‘(C) the ways in which the Secretary ad-
dressed such complaints. 
‘‘(b) NOTICE OF OFFICE OF SPECIAL COUNSEL DE-
TERMINATIONS.—Not later than 30 days after the date 
on which the Secretary receives from the Special Counsel 
information relating to a whistleblower complaint pursu-
ant to section 1213 of title 5, the Secretary shall notify 
the Committees on Veterans’ Affairs of the House of Rep-
resentatives and the Senate, the Committee on Oversight 
and Government Reform of the House of Representatives, 
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and the Committee on Homeland Security and Govern-
mental Affairs of the Senate of such information, includ-
ing the determination made by the Special Counsel.’’. 
(b) CONFORMING AND CLERICAL AMENDMENTS.— 
(1) CONFORMING AMENDMENT.—Such chapter 
is further amended by inserting before section 701 
the following: 
‘‘SUBCHAPTER I—GENERAL EMPLOYEE 
MATTERS’’. 
(2) CLERICAL AMENDMENTS.—The table of sec-
tions at the beginning of such chapter is amended— 
(A) by inserting before the item relating to 
section 701 the following new item: 
‘‘SUBCHAPTER I—GENERAL EMPLOYEE MATTERS’’; 
and 
(B) by adding at the end the following new 
items: 
‘‘SUBCHAPTER II—WHISTLEBLOWER COMPLAINTS 
‘‘731. Whistleblower complaint defined. 
‘‘732. Treatment of whistleblower complaints. 
‘‘733. Adverse actions against supervisory employees who commit prohibited 
personnel actions relating to whistleblower complaints. 
‘‘734. Evaluation criteria of supervisors and treatment of bonuses. 
‘‘735. Training regarding whistleblower complaints. 
‘‘736. Reports to Congress.’’. 
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SEC. 6. REFORM OF PERFORMANCE APPRAISAL SYSTEM 
FOR SENIOR EXECUTIVE SERVICE EMPLOY-
EES OF THE DEPARTMENT OF VETERANS AF-
FAIRS. 
(a) PERFORMANCE APPRAISAL SYSTEM.— 
(1) IN GENERAL.—Chapter 7 of title 38, United 
States Code, is further amended by inserting after 
section 717, as added by section 3, the following new 
section: 
‘‘§ 719. Senior executives: performance appraisal 
‘‘(a) PERFORMANCE APPRAISAL SYSTEM.—(1) The 
performance appraisal system for individuals employed in 
senior executive positions in the Department required by 
section 4312 of title 5 shall provide, in addition to the 
requirements of such section, for five annual summary rat-
ings of levels of performance as follows: 
‘‘(A) One outstanding level. 
‘‘(B) One exceeds fully successful level. 
‘‘(C) One fully successful level. 
‘‘(D) One minimally satisfactory level. 
‘‘(E) One unsatisfactory level. 
‘‘(2) The following limitations apply to the rating of 
the performance of such individuals: 
‘‘(A) For any year, not more than 10 percent 
of such individuals who receive a performance rating 
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during that year may receive the outstanding level 
under paragraph (1)(A). 
‘‘(B) For any year, not more than 20 percent 
of such individuals who receive a performance rating 
during that year may receive the exceeds fully suc-
cessful level under paragraph (1)(B). 
‘‘(3) In evaluating the performance of an individual 
under the performance appraisal system, the Secretary 
shall take into consideration— 
‘‘(A) any complaint or report (including any 
pending or published report) submitted by the In-
spector General of the Department, the Comptroller 
General of the United States, the Equal Employ-
ment Opportunity Commission, or any other appro-
priate person or entity, related to any facility or pro-
gram managed by the individual, as determined by 
the Secretary; 
‘‘(B) efforts made by the individual to maintain 
high levels of satisfaction and commitment among 
the employees supervised by the individual; and 
‘‘(C) the criteria described in section 734(a)(2) 
of this title. 
‘‘(b) CHANGE OF POSITION.—(1) At least once every 
five years, the Secretary shall reassign each individual em-
ployed in a senior executive position to a position at a dif-
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ferent location that does not include the supervision of the 
same personnel or programs. The Secretary shall make 
such reassignments on a rolling basis based on the date 
on which an individual was originally assigned to a posi-
tion. 
‘‘(2) The Secretary may waive the requirement under 
paragraph (1) for any such individual, if the Secretary 
submits to the Committees on Veterans’ Affairs of the 
Senate and the House of Representatives notice of the 
waiver and an explanation of the reasons for the waiver. 
‘‘(c) REPORT.—Not later than March 1 of each year, 
the Secretary shall submit to the Committees on Veterans’ 
Affairs and Homeland Security and Governmental Affairs 
of the Senate and the Committees on Veterans’ Affairs 
and Oversight and Government Reform of the House of 
Representatives a report on the performance appraisal 
system of the Department under subsection (a). Each such 
report shall include, for the year preceding the year during 
which the report is submitted, each of the following: 
‘‘(1) All documentation concerning each of the 
following for each individual employed in a senior 
executive position in the Department: 
‘‘(A) The initial performance appraisal. 
‘‘(B) The higher level review, if requested. 
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‘‘(C) The recommendations of the perform-
ance review board. 
‘‘(D) The final summary review. 
‘‘(E) The number of initial performance 
ratings raised as a result of the recommenda-
tions of the performance review board. 
‘‘(F) The number of initial performance 
ratings lowered as a result of the recommenda-
tions of the performance review board. 
‘‘(G) Any adverse action taken against any 
such individual who receives a performance rat-
ing of less than fully successful. 
‘‘(2) The review of the Inspector General of the 
Department of the information described in subpara-
graphs (A) through (D) of paragraph (1). 
‘‘(3) A summary of the documentation provided 
under paragraph (1). 
‘‘(d) DEFINITION
OF SENIOR EXECUTIVE POSI-
TION.—In this section, the term ‘senior executive position’ 
has the meaning given that term in section 713(g)(3) of 
this title.’’. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of such chapter, as amended 
by section 3, is further amended by inserting after 
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the item relating to section 717 the following new 
item: 
‘‘719. Senior executives: performance appraisal.’’. 
(3) 
CONFORMING
AMENDMENT.—Section 
4312(b) of title 5, United States Code, is amend-
ed— 
(A) in paragraph (2), by striking ‘‘and’’ at 
the end; 
(B) in paragraph (3), by striking the pe-
riod at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following: 
‘‘(4) that, in the case of the Department of Vet-
erans Affairs, the performance appraisal system 
meets the requirements of section 719 of title 38.’’. 
(b) REVIEW OF SES MANAGEMENT TRAINING.— 
(1) REVIEW.—Not later than 180 days after 
the date of the enactment of this Act, the Secretary 
of Veterans Affairs shall enter into a contract with 
a nongovernmental entity to review the management 
training program for individuals employed in senior 
executive positions (as such term is defined in sec-
tion 713(g)(3) of title 38, United States Code) of 
the Department of Veterans Affairs that is being 
provided as of the date of the enactment of this Act. 
Such review shall include a comparison of the train-
ing provided by the Department of Veterans Affairs 
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to the management training provided for senior ex-
ecutives of other Federal departments and agencies 
and to the management training provided to senior 
executives in the private sector. The contract shall 
provide that the nongovernmental entity must com-
plete and submit to the Secretary a report con-
taining the findings and conclusions of the review by 
not later than 180 days after the date on which the 
Secretary and the nongovernmental entity enter into 
the contract. 
(2) REPORT TO CONGRESS.—Not later than 60 
days after the date on which the Secretary receives 
the report under paragraph (1), the Secretary shall 
submit to the Committees on Veterans’ Affairs of 
the Senate and the House of Representatives the re-
port together with a plan for carrying out the rec-
ommendations contained in the report. 
SEC. 7. LIMITATION ON AWARDS AND BONUSES PAID TO 
EMPLOYEES OF DEPARTMENT OF VETERANS 
AFFAIRS. 
Section 705 of the Veterans Access, Choice, and Ac-
countability Act of 2014 (Public Law 113–146; 38 U.S.C. 
703 note) is amended to read as follows: 
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‘‘SEC. 705. LIMITATION ON AWARDS AND BONUSES PAID TO 
EMPLOYEES OF DEPARTMENT OF VETERANS 
AFFAIRS. 
‘‘The Secretary of Veterans Affairs shall ensure that 
the aggregate amount of awards and bonuses paid by the 
Secretary in a fiscal year under chapter 45 or 53 of title 
5, United States Code, or any other awards or bonuses 
authorized under such title or title 38, United States 
Code, does not exceed the following amounts: 
‘‘(1) With respect to each of fiscal years 2016 
through 2018, $300,000,000. 
‘‘(2) With respect to each of fiscal years 2019 
through 2024, $360,000,000.’’. 
Æ 
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