SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Construction Reform 
Act of 2016’’. 
SEC. 2. DEPARTMENT OF VETERANS AFFAIRS CONSTRUC-
TION REFORMS. 
(a) APPLICATION OF INDUSTRY STANDARDS; ASSIST-
ANCE.—Section 8103 of title 38, United States Code, is 
amended by adding at the end the following new sub-
sections: 
‘‘(f) To the maximum extent practicable, the Sec-
retary shall use industry standards, standard designs, and 
best practices in carrying out the construction of medical 
facilities. 
‘‘(g)(1) The Secretary shall provide to a non-Depart-
ment Federal entity with which the Secretary has entered 
into an agreement under subsection (e)— 
‘‘(A) design, planning, and construction assist-
ance before the entity issues a request for proposals 
for the design or construction of the super construc-
tion project covered by the agreement; 
‘‘(B) any documents or information needed for 
the entity to carry out the responsibilities of the en-
tity with respect to the super construction project; 
and
‘‘(C) upon the request of the entity, any other 
assistance that the entity determines necessary to 
carry out such responsibilities. 
‘‘(2) Any assistance provided under paragraph (1) 
shall be provided to the non-Department Federal entity 
on a non-reimbursable basis. 
‘‘(h)(1) With respect to a proposed change to a con-
tract entered into by a non-Department Federal entity 
with which the Secretary has entered into an agreement 
under subsection (e) that is estimated at a value of less 
than $250,000, the non-Department Federal entity shall 
issue a final decision regarding such change not later than 
30 days after the date on which the change is proposed. 
‘‘(2) With respect to a proposed change to such a con-
tract that is estimated at a value of $250,000 or more— 
‘‘(A) the Secretary may provide to the entity 
the recommendations of the Secretary regarding 
such change; 
‘‘(B) during the 30-day period beginning on the 
date on which the entity furnishes to the Secretary 
information regarding such change, the Secretary 
may issue the final decision regarding such change; 
and 
‘‘(C) if the Secretary does not issue a final deci-
sion under subparagraph (B), during the 30-day pe-
riod following the period described in such para-
graph, the entity shall issue a final decision regard-
ing such a change no later than 90 days from when 
the entity furnished information regarding such a 
change to the Secretary. 
‘‘(i) The Secretary shall ensure that each employee 
of the Department with responsibilities relating to the con-
struction or alteration of medical facilities, including such 
construction or alteration carried out pursuant to con-
tracts or agreements, undergoes a program of ongoing 
professional training and development. Such program 
shall be designed to ensure that employees maintain ade-
quate expertise relating to industry standards and best 
practices for the acquisition of design and construction 
services. The Secretary may provide the program under 
this subsection through a contract or agreement with a 
non-Federal entity or with a non-Department Federal en-
tity.’’. 
(b) LIMITATION ON PLANNING AND DESIGN FOR 
SUPER CONSTRUCTION PROJECTS.— 
(1) IN GENERAL.—Section 8104(a) of title 38, 
United States Code, is amended— 
(A) by redesignating paragraph (3) as 
paragraph (4);
(B) by inserting after paragraph (2) the 
following new paragraph (3): 
‘‘(3) The Secretary may not obligate or expend funds 
for advance planning or design for any super construction 
project, until the date that is 60 days after the date on 
which the Secretary submits to the Committee on Vet-
erans’ Affairs and the Committee on Appropriations of the 
Senate and the Committee on Veterans’ Affairs and the 
Committee on Appropriations of the House of Representa-
tives notice of such obligation or expenditure.’’; and 
(C) in paragraph (4), as redesignated by 
paragraph (1) of this subsection, by adding at 
the end the following new subparagraph: 
‘‘(C) The term ‘super construction project’ 
means a project for the construction, alteration, or 
acquisition of a medical facility involving a total ex-
penditure of more than $100,000,000, but such term 
does not include an acquisition by exchange.’’. 
(2) APPLICABILITY.—The amendments made 
by paragraph (1) shall take effect on the date of the 
enactment of this Act and shall apply with respect 
to a construction project that is initiated on or after 
that date. 
(c) 
CONGRESSIONAL
APPROVAL
OF
CERTAIN 
PROJECTS.—
(1) 
PROJECTS
THAT
EXCEED
SPECIFIED 
AMOUNT.—Subsection (c) of section 8104 of title 38, 
United States Code, is amended to read as follows: 
‘‘(c)(1) The Secretary may not obligate funds for a 
major medical facility project or a super construction 
project approved by a law described in subsection (a)(2) 
in an amount that would cause the total amount obligated 
for that project to exceed the amount specified in the law 
for that project (or would add to total obligations exceed-
ing such specified amount) by more than 10 percent unless 
the Committee on Veterans’ Affairs and the Committee 
on Appropriations of the Senate and the Committee on 
Veterans’ Affairs and the Committee on Appropriations 
of the House of Representatives each approve in writing 
the obligation of those funds. 
‘‘(2) The Secretary shall— 
‘‘(A) enter into a contract with an appropriate 
non-department Federal entity with the ability to 
conduct forensic audits on medical facility projects 
for the conduct of an external forensic audit of the 
expenditures relating to any major medical facility 
or super construction project for which the total ex-
penditures exceed the amount specified in the law 
for the project by more than 25 percent; and
‘‘(B) enter into a contract with an appropriate 
non-department Federal entity with the ability to 
conduct forensic audits on medical facility projects 
for the conduct of an external audit of the medical 
center construction project in Aurora, Colorado.’’. 
(2) USE OF EXTRA AMOUNTS.—Subsection (d) 
of such section is amended— 
(A) in paragraph (2)(B), in the matter 
preceding clause (i), by striking ‘‘Whenever’’ 
and inserting ‘‘Before’’; and 
(B) by adding at the end the following new 
paragraph: 
‘‘(3) The Secretary may not obligate any funds de-
scribed in paragraph (1) or amounts described in para-
graph (2) before the date that is 30 days after the notifi-
cation submitted under paragraph (1) or paragraph 
(2)(B), as the case may be, unless the Committee on Vet-
erans’ Affairs and the Committee on Appropriations of the 
Senate and the Committee on Veterans’ Affairs and the 
Committee on Appropriations of the House of Representa-
tives each approve in writing the obligation of those funds 
or amounts.’’. 
(3) NOTIFICATION REQUIREMENTS.— 
(A) COMMITTEES REQUIRED.—Subsection 
(d)(1) of such section is amended by striking