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other Act shall be available for the interagency funding 
of national security and emergency preparedness tele-
communications initiatives which benefit multiple Federal 
departments, agencies, or entities, as provided by Execu-
tive Order No. 12472 (April 3, 1984). 
SEC. 616. (a) None of the funds appropriated by 
this or any other Act may be obligated or expended by 
any Federal department, agency, or other instrumentality 
for the salaries or expenses of any employee appointed to 
a position of a confidential or policy-determining char-
acter excepted from the competitive service pursuant to 
section 3302 of title 5, United States Code, without a 
certification to the Office of Personnel Management from 
the head of the Federal department, agency, or other in-
strumentality employing the Schedule C appointee that 
the Schedule C position was not created solely or pri-
marily in order to detail the employee to the White 
House. 
(b) The provisions of this section shall not apply to 
Federal employees or members of the armed services de-
tailed to or from—
(1) the Central Intelligence Agency; 
(2) the National Security Agency; 
(3) the Defense Intelligence Agency;
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(4) the offices within the Department of De-
fense for the collection of specialized national foreign 
intelligence through reconnaissance programs; 
(5) the Bureau of Intelligence and Research of 
the Department of State; 
(6) any agency, office, or unit of the Army, 
Navy, Air Force, and Marine Corps, the Department 
of Homeland Security, the Federal Bureau of Inves-
tigation and the Drug Enforcement Administration 
of the Department of Justice, the Department of 
Transportation, the Department of the Treasury, 
and the Department of Energy performing intel-
ligence functions; and 
(7) the Director of Central Intelligence. 
SEC. 617. No department, agency, or instrumen-
tality of the United States receiving appropriated funds 
under this or any other Act for the current fiscal year 
shall obligate or expend any such funds, unless such de-
partment, agency, or instrumentality has in place, and 
will continue to administer in good faith, a written policy 
designed to ensure that all of its workplaces are free 
from discrimination and sexual harassment and that all 
of its workplaces are not in violation of title VII of the 
Civil Rights Act of 1964, as amended, the Age Discrimi-
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nation in Employment Act of 1967, and the Rehabilita-
tion Act of 1973. 
SEC. 618. No part of any appropriation contained in 
this or any other Act shall be available for the payment 
of the salary of any officer or employee of the Federal 
Government, who—
(1) prohibits or prevents, or attempts or threat-
ens to prohibit or prevent, any other officer or em-
ployee of the Federal Government from having any 
direct oral or written communication or contact with 
any Member, committee, or subcommittee of the 
Congress in connection with any matter pertaining 
to the employment of such other officer or employee 
or pertaining to the department or agency of such 
other officer or employee in any way, irrespective of 
whether such communication or contact is at the ini-
tiative of such other officer or employee or in re-
sponse to the request or inquiry of such Member, 
committee, or subcommittee; or 
(2) removes, suspends from duty without pay, 
demotes, reduces in rank, seniority, status, pay, or 
performance of efficiency rating, denies promotion 
to, relocates, reassigns, transfers, disciplines, or dis-
criminates in regard to any employment right, enti-
tlement, or benefit, or any term or condition of em-
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ployment of, any other officer or employee of the 
Federal Government, or attempts or threatens to 
commit any of the foregoing actions with respect to 
such other officer or employee, by reason of any 
communication or contact of such other officer or 
employee with any Member, committee, or sub-
committee of the Congress as described in paragraph 
(1). 
SEC. 619. (a) None of the funds made available in 
this or any other Act may be obligated or expended for 
any employee training that—
(1) does not meet identified needs for knowl-
edge, skills, and abilities bearing directly upon the 
performance of official duties; 
(2) contains elements likely to induce high lev-
els of emotional response or psychological stress in 
some participants; 
(3) does not require prior employee notification 
of the content and methods to be used in the train-
ing and written end of course evaluation; 
(4) contains any methods or content associated 
with religious or quasi-religious belief systems or 
‘‘new age’’ belief systems as defined in Equal Em-
ployment 
Opportunity 
Commission 
Notice 
N–
915.022, dated September 2, 1988; or
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(5) is offensive to, or designed to change, par-
ticipants’ personal values or lifestyle outside the 
workplace. 
(b) Nothing in this section shall prohibit, restrict, or 
otherwise preclude an agency from conducting training 
bearing directly upon the performance of official duties. 
SEC. 620. No funds appropriated in this or any 
other Act may be used to implement or enforce the agree-
ments in Standard Forms 312 and 4414 of the Govern-
ment or any other nondisclosure policy, form, or agree-
ment if such policy, form, or agreement does not contain 
the following provisions: ‘‘These restrictions are con-
sistent with and do not supersede, conflict with, or other-
wise alter the employee obligations, rights, or liabilities 
created by Executive Order No. 12958; section 7211 of 
title 5, United States Code (governing disclosures to Con-
gress); section 1034 of title 10, United States Code, as 
amended by the Military Whistleblower Protection Act 
(governing disclosure to Congress by members of the 
military); section 2302(b)(8) of title 5, United States 
Code, as amended by the Whistleblower Protection Act 
(governing disclosures of illegality, waste, fraud, abuse or 
public health or safety threats); the Intelligence Identities 
Protection Act of 1982 (50 U.S.C. 421 et seq.) (gov-
erning disclosures that could expose confidential Govern-
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ment agents); and the statutes which protect against dis-
closure that may compromise the national security, in-
cluding sections 641, 793, 794, 798, and 952 of title 18, 
United States Code, and section 4(b) of the Subversive 
Activities Act of 1950 (50 U.S.C. 783(b)). The defini-
tions, requirements, obligations, rights, sanctions, and li-
abilities created by said Executive order and listed stat-
utes are incorporated into this agreement and are con-
trolling.’’: Provided, That notwithstanding the preceding 
paragraph, a nondisclosure policy form or agreement that 
is to be executed by a person connected with the conduct 
of an intelligence or intelligence-related activity, other 
than an employee or officer of the United States Govern-
ment, may contain provisions appropriate to the par-
ticular activity for which such document is to be used. 
Such form or agreement shall, at a minimum, require 
that the person will not disclose any classified informa-
tion received in the course of such activity unless specifi-
cally authorized to do so by the United States Govern-
ment. Such nondisclosure forms shall also make it clear 
that they do not bar disclosures to Congress or to an au-
thorized official of an executive agency or the Depart-
ment of Justice that are essential to reporting a substan-
tial violation of law.
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SEC. 625. (a) In this section the term ‘‘agency’’—
(1) means an Executive agency as defined 
under section 105 of title 5, United States Code; 
(2) includes a military department as defined 
under section 102 of such title, the Postal Service, 
and the Postal Rate Commission; and 
(3) shall not include the General Accounting 
Office. 
(b) Unless authorized in accordance with law or reg-
ulations to use such time for other purposes, an employee 
of an agency shall use official time in an honest effort 
to perform official duties. An employee not under a leave 
system, including a Presidential appointee exempted 
under section 6301(2) of title 5, United States Code, has 
an obligation to expend an honest effort and a reasonable 
proportion of such employee’s time in the performance of 
official duties. 
SEC. 626. Notwithstanding 31 U.S.C. 1346 and sec-
tion 610 of this Act, funds made available for the current 
fiscal year by this or any other Act to any department 
or agency, which is a member of the Joint Financial 
Management Improvement Program (JFMIP), shall be 
available to finance an appropriate share of JFMIP ad-
ministrative costs, as determined by the JFMIP, but not
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to exceed a total of $800,000 including the salary of the 
Executive Director and staff support. 
SEC. 627. Notwithstanding 31 U.S.C. 1346 and sec-
tion 610 of this Act, the head of each Executive depart-
ment and agency is hereby authorized to transfer to or 
reimburse ‘‘General Services Administration, government-
wide policy’’ with the approval of the Director of the Of-
fice of Management and Budget, funds made available 
for the current fiscal year by this or any other Act, in-
cluding rebates from charge card and other contracts: 
Provided, That these funds shall be administered by the 
Administrator of General Services to support Govern-
ment-wide financial, information technology, procure-
ment, and other management innovations, initiatives, and 
activities, as approved by the Director of the Office of 
Management and Budget, in consultation with the appro-
priate interagency groups designated by the Director (in-
cluding the Chief Financial Officers Council and the 
Joint Financial Management Improvement Program for 
financial management initiatives, the Chief Information 
Officers Council for information technology initiatives, 
and the Federal Acquisition Council for procurement ini-
tiatives): Provided further, That the total funds trans-
ferred or reimbursed shall not exceed $17,000,000: Pro-
vided further, That such transfers or reimbursements
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may only be made 15 days following notification of the 
Committees on Appropriations by the Director of the Of-
fice of Management and Budget. 
SEC. 628. None of the funds made available in this 
or any other Act may be used by the Office of Personnel 
Management or any other department or agency of the 
Federal Government to prohibit any agency from using 
appropriated funds as they see fit to independently con-
tract with private companies to provide online employ-
ment applications and processing services. 
SEC. 629. Notwithstanding any other provision of 
law, a woman may breastfeed her child at any location 
in a Federal building or on Federal property, if the 
woman and her child are otherwise authorized to be 
present at the location. 
SEC. 630. Notwithstanding section 1346 of title 31, 
United States Code, or section 610 of this Act, funds 
made available for the current fiscal year by this or any 
other Act shall be available for the interagency funding 
of specific projects, workshops, studies, and similar ef-
forts to carry out the purposes of the National Science 
and Technology Council (authorized by Executive Order 
No. 12881), which benefit multiple Federal departments, 
agencies, or entities: Provided, That the Office of Man-
agement and Budget shall provide a report describing the
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budget of and resources connected with the National 
Science and Technology Council to the Committees on 
Appropriations, the House Committee on Science; and 
the Senate Committee on Commerce, Science, and Trans-
portation 90 days after enactment of this Act. 
SEC. 631. Any request for proposals, solicitation, 
grant application, form, notification, press release, or 
other publications involving the distribution of Federal 
funds shall indicate the agency providing the funds, the 
Catalog of Federal Domestic Assistance Number, as ap-
plicable, and the amount provided: Provided, That this 
provision shall apply to direct payments, formula funds, 
and grants received by a State receiving Federal funds. 
SEC. 632. Subsection (f) of section 403 of Public 
Law 103–356 (31 U.S.C. 501 note), as amended, is fur-
ther amended by striking ‘‘October 1, 2004’’ and insert-
ing ‘‘October 1, 2005’’. 
SEC. 633. (a) PROHIBITION OF FEDERAL AGENCY 
MONITORING OF INDIVIDUALS’ INTERNET USE.—None 
of the funds made available in this or any other Act may 
be used by any Federal agency—
(1) to collect, review, or create any aggregation 
of data, derived from any means, that includes any 
personally identifiable information relating to an in-
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dividual’s access to or use of any Federal Govern-
ment Internet site of the agency; or 
(2) to enter into any agreement with a third 
party (including another government agency) to col-
lect, review, or obtain any aggregation of data, de-
rived from any means, that includes any personally 
identifiable information relating to an individual’s 
access to or use of any nongovernmental Internet 
site. 
(b) EXCEPTIONS.—The limitations established in 
subsection (a) shall not apply to—
(1) any record of aggregate data that does not 
identify particular persons; 
(2) any voluntary submission of personally iden-
tifiable information; 
(3) any action taken for law enforcement, regu-
latory, or supervisory purposes, in accordance with 
applicable law; or 
(4) any action described in subsection (a)(1) 
that is a system security action taken by the oper-
ator of an Internet site and is necessarily incident 
to the rendition of the Internet site services or to the 
protection of the rights or property of the provider 
of the Internet site. 
(c) DEFINITIONS.—For the purposes of this section:
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(1) The term ‘‘regulatory’’ means agency ac-
tions to implement, interpret or enforce authorities 
provided in law. 
(2) The term ‘‘supervisory’’ means examina-
tions of the agency’s supervised institutions, includ-
ing assessing safety and soundness, overall financial 
condition, management practices and policies and 
compliance with applicable standards as provided in 
law. 
SEC. 634. (a) None of the funds appropriated by 
this Act may be used to enter into or renew a contract 
which includes a provision providing prescription drug 
coverage, except where the contract also includes a provi-
sion for contraceptive coverage. 
(b) Nothing in this section shall apply to a contract 
with—
(1) any of the following religious plans: 
(A) Personal Care’s HMO; and 
(B) OSF Health Plans, Inc.; and 
(2) any existing or future plan, if the carrier 
for the plan objects to such coverage on the basis of 
religious beliefs. 
(c) In implementing this section, any plan that en-
ters into or renews a contract under this section may not 
subject any individual to discrimination on the basis that
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the individual refuses to prescribe or otherwise provide 
for contraceptives because such activities would be con-
trary to the individual’s religious beliefs or moral convic-
tions. 
(d) Nothing in this section shall be construed to re-
quire coverage of abortion or abortion-related services. 
SEC. 635. The Congress of the United States recog-
nizes the United States Anti-Doping Agency (USADA) as 
the official anti-doping agency for Olympic, Pan Amer-
ican, and Paralympic sport in the United States. 
SEC. 636. None of the funds made available under 
this or any other Act for fiscal year 2005 shall be ex-
pended for the purchase of a product or service offered 
by Federal Prison Industries, Inc. unless the agency 
making such purchase determines that such offered prod-
uct or service provides the best value to the buying agen-
cy pursuant to governmentwide procurement regulations, 
issued pursuant to section 25(c)(1) of the Office of Fed-
eral Procurement Act (41 U.S.C. 421(c)(1)) that impose 
procedures, standards, and limitations of section 2410n 
of title 10, United States Code. 
SEC. 637. Each Executive department and agency 
shall evaluate the creditworthiness of an individual before 
issuing the individual a government purchase charge card 
or government travel charge card. The department or
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agency may not issue a government purchase charge card 
or government travel charge card to an individual that ei-
ther lacks a credit history or is found to have an unsatis-
factory credit history as a result of this evaluation: Pro-
vided, That this restriction shall not preclude issuance of 
a restricted-use charge, debit, or stored value card made 
in accordance with agency procedures to (a) an individual 
with an unsatisfactory credit history where such card is 
used to pay travel expenses and the agency determines 
there is no suitable alternative payment mechanism avail-
able before issuing the card, or (b) an individual who 
lacks a credit history. Each Executive department and 
agency shall establish guidelines and procedures for dis-
ciplinary actions to be taken against agency personnel for 
improper, fraudulent, or abusive use of government 
charge cards, which shall include appropriate disciplinary 
actions for use of charge cards for purposes, and at es-
tablishments, that are inconsistent with the official busi-
ness of the Department or agency or with applicable 
standards of conduct. 
SEC. 638. Notwithstanding any other provision of 
law, funds appropriated for official travel by Federal de-
partments and agencies may be used by such depart-
ments and agencies, if consistent with Office of Manage-
ment and Budget Circular A–126 regarding official travel
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for Government personnel, to participate in the fractional 
aircraft ownership pilot program. 
SEC. 639. None of the funds provided in this Act 
shall be used to implement or enforce regulations for lo-
cality pay areas in fiscal year 2005 that are inconsistent 
with the recommendations of the Federal Salary Council 
adopted on October 7, 2003. 
SEC. 640. (a) Not later than 180 days after the en-
actment of this Act, the head of each Federal agency 
shall submit a report to Congress on the amount of the 
acquisitions made by the agency from entities that manu-
facture the articles, materials, or supplies outside of the 
United States in that fiscal year. 
(b) The report required by subsection (a) shall sepa-
rately indicate—
(1) the dollar value of any articles, materials, or 
supplies purchased that were manufactured outside 
of the United States; 
(2) an itemized list of all waivers granted with 
respect to such articles, materials, or supplies under 
the Buy American Act (41 U.S.C. 10a et seq.); and 
(3) a summary of the total procurement funds 
spent on goods manufactured in the United States 
versus funds spent on goods manufactured outside 
of the United States.
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(c) The head of each Federal agency submitting a 
report under subsection (a) shall make the report publicly 
available to the maximum extent practicable. 
SEC. 641. Notwithstanding any other provision of 
law, none of the funds appropriated or made available 
under this Act or any other appropriations Act may be 
used to implement or enforce restrictions or limitations 
on the Coast Guard Congressional Fellowship Program, 
or to implement the proposed regulations of the Office of 
Personnel Management to add sections 300.311 through 
300.316 to part 300 of title 5 of the Code of Federal 
Regulations, published in the Federal Register, volume 
68, number 174, on September 9, 2003 (relating to the 
detail of executive branch employees to the legislative 
branch).
SEC. 642. Subsection (e) of section 3716 of title 31, 
United States Code, is amended to read as follows: 
‘‘(e)(1) Notwithstanding any other provision of law 
(including 42 U.S.C. 407 and 1383(d)(1), 30 U.S.C. 
923(b), and 45 U.S.C. 231(m), regulation, or administra-
tive limitation, no limitation shall terminate the period 
within which an offset may be initiated or taken pursuant 
to this section.
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‘‘(2) This section does not apply when a statute ex-
plicitly prohibits using administrative offset or setoff to 
collect the claim or type of claim involved.’’. 
SEC. 643. Section 453(j) of the Social Security Act 
(42 U.S.C. 653(j)), is amended by adding at the end the 
following new paragraph: 
‘‘(7) INFORMATION COMPARISONS AND DISCLO-
SURE TO ASSIST IN FEDERAL DEBT COLLECTION.—
‘‘(A) FURNISHING
OF
INFORMATION
BY 
THE SECRETARY OF THE TREASURY.—The Sec-
retary of the Treasury shall furnish to the Sec-
retary, on such periodic basis as determined by 
the Secretary of the Treasury in consultation 
with the Secretary, information in the custody 
of the Secretary of the Treasury for comparison 
with information in the National Directory of 
New Hires, in order to obtain information in 
such Directory with respect to persons—
‘‘(i) who owe delinquent nontax debt 
to the United States; and 
‘‘(ii) whose debt has been referred to 
the Secretary of the Treasury in accord-
ance with 31 U.S.C. 3711(g). 
‘‘(B) REQUIREMENT
TO
SEEK
MINIMUM 
INFORMATION.—The Secretary of the Treasury
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shall seek information pursuant to this section 
only to the extent necessary to improve collec-
tion of the debt described in subparagraph (A). 
‘‘(C) DUTIES OF THE SECRETARY.—
‘‘(i) INFORMATION DISCLOSURE.—The 
Secretary, in cooperation with the Sec-
retary of the Treasury, shall compare in-
formation in the National Directory of 
New Hires with information provided by 
the Secretary of the Treasury with respect 
to persons described in subparagraph (A) 
and shall disclose information in such Di-
rectory regarding such persons to the Sec-
retary of the Treasury in accordance with 
this paragraph, for the purposes specified 
in this paragraph. Such comparison of in-
formation shall not be considered a match-
ing program as defined in 5 U.S.C. 552a. 
‘‘(ii) CONDITION
ON
DISCLOSURE.—
The Secretary shall make disclosures in ac-
cordance with clause (i) only to the extent 
that the Secretary determines that such 
disclosures do not interfere with the effec-
tive operation of the program under this 
part. Support collection under section
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466(b) of this title shall be given priority 
over collection of any delinquent federal 
nontax debt against the same income. 
‘‘(D) USE OF INFORMATION BY THE SEC-
RETARY OF THE TREASURY.—The Secretary of 
the Treasury may use information provided 
under this paragraph only for purposes of col-
lecting the debt described in subparagraph (A). 
‘‘(E) DISCLOSURE
OF
INFORMATION
BY 
THE SECRETARY OF THE TREASURY.—
‘‘(i) PURPOSE OF DISCLOSURE.—The 
Secretary of the Treasury may make a dis-
closure under this subparagraph only for 
purposes of collecting the debt described in 
subparagraph (A). 
‘‘(ii) 
DISCLOSURES
PERMITTED.—
Subject to clauses (iii) and (iv), the Sec-
retary of the Treasury may disclose infor-
mation resulting from a data match pursu-
ant to this paragraph only to the Attorney 
General in connection with collecting the 
debt described in subparagraph (A). 
‘‘(iii) CONDITIONS ON DISCLOSURE.—
Disclosures under this subparagraph shall 
be—
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‘‘(I) made in accordance with 
data security and control policies es-
tablished by the Secretary of the 
Treasury and approved by the Sec-
retary; 
‘‘(II) subject to audit in a man-
ner satisfactory to the Secretary; and 
‘‘(III) subject to the sanctions 
under subsection (l)(2). 
‘‘(iv) ADDITIONAL DISCLOSURES.—
‘‘(I) DETERMINATION BY SECRE-
TARIES.—The Secretary of the Treas-
ury and the Secretary shall determine 
whether to permit disclosure of infor-
mation under this paragraph to per-
sons or entities described in subclause 
(II), based on an evaluation made by 
the Secretary of the Treasury (in con-
sultation with and approved by the 
Secretary), of the costs and benefits 
of such disclosures and the adequacy 
of measures used to safeguard the se-
curity and confidentiality of informa-
tion so disclosed.
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‘‘(II) PERMITTED
PERSONS
OR 
ENTITIES.—If the Secretary of the 
Treasury and the Secretary determine 
pursuant to subclause (I) that disclo-
sures to additional persons or entities 
shall be permitted, information under 
this paragraph may be disclosed by 
the Secretary of the Treasury, in con-
nection with collecting the debt de-
scribed in subparagraph (A), to a con-
tractor or agent of either Secretary 
and to the Federal agency that re-
ferred such debt to the Secretary of 
the Treasury for collection, subject to 
the conditions in clause (iii) and such 
additional conditions as agreed to by 
the Secretaries. 
‘‘(v) RESTRICTIONS
ON
REDISCLO-
SURE.—A person or entity to which infor-
mation is disclosed under this subpara-
graph may use or disclose such informa-
tion only as needed for collecting the debt 
described in subparagraph (A), subject to 
the conditions in clause (iii) and such addi-
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tional conditions as agreed to by the Secre-
taries. 
‘‘(F) REIMBURSEMENT OF HHS COSTS.—
The Secretary of the Treasury shall reimburse 
the Secretary, in accordance with subsection 
(k)(3), for the costs incurred by the Secretary 
in furnishing the information requested under 
this paragraph. Any such costs paid by the Sec-
retary of the Treasury shall be considered costs 
of implementing 31 U.S.C. 3711(g) in accord-
ance with 31 U.S.C. 3711(g)(6) and may be 
paid from the account established pursuant to 
31 U.S.C. 3711(g)(7).’’. 
SEC. 644. (a) IN GENERAL.—Section 6402 of the In-
ternal Revenue Code of 1986, is amended by redesignating 
subsections (f) through (k) as subsections (g) through (l), 
respectively, and by inserting after subsection (e) the fol-
lowing new subsection: 
‘‘(f) COLLECTION
OF PAST-DUE, LEGALLY EN-
FORCEABLE
STATE
UNEMPLOYMENT
COMPENSATION 
DEBTS.—
‘‘(1) IN GENERAL.—Upon receiving notice from 
any State that a person owes a past-due, legally en-
forceable State unemployment compensation debt to
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such State, the Secretary shall, under such condi-
tions as may be prescribed by the Secretary—
‘‘(A) reduce the amount of any overpay-
ment payable to such person by the amount of 
such unemployment compensation debt; 
‘‘(B) pay the amount by which such over-
payment is reduced under subparagraph (A) to 
such State and notify such State of such per-
son’s name, taxpayer identification number, ad-
dress, and the amount collected; and 
‘‘(C) notify the person making such over-
payment that the overpayment has been re-
duced by an amount necessary to satisfy a past-
due, legally enforceable State unemployment 
compensation debt. If an offset is made pursu-
ant to a joint return, the notice under subpara-
graph (B) shall include the names, taxpayer 
identification numbers, and addresses of each 
person filing such return. 
‘‘(2) PRIORITIES FOR OFFSET.—Any overpay-
ment by a person shall be reduced pursuant to this 
subsection—
‘‘(A) after such overpayment is reduced 
pursuant to—
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‘‘(i) subsection (a) with respect to any 
liability for any internal revenue tax on the 
part of the person who made the overpay-
ment; 
‘‘(ii) subsection (c) with respect to 
past-due support; 
‘‘(iii) subsection (d) with respect to 
any past-due, legally enforceable debt owed 
to a Federal agency; and 
‘‘(B) before such overpayment is credited 
to the future liability for any Federal internal 
revenue tax of such person pursuant to sub-
section (b). If the Secretary receives notice from 
a State or States of more than one debt subject 
to paragraph (1) and/or subsection (e) that is 
owed by a person to such State or States, any 
overpayment by such person shall be applied 
against such debts in the order in which such 
debts accrued. 
‘‘(3) NOTICE; CONSIDERATION OF EVIDENCE.—
No State may take action under this subsection until 
such State—
‘‘(A) notifies the person owing the past-due 
legally enforceable State unemployment com-
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pensation debt that the State proposes to take 
action pursuant to this section; 
‘‘(B) gives such person at least 60 days to 
present evidence that all or part of such liability 
is not past-due or not legally enforceable; 
‘‘(C) considers any evidence presented by 
such person and determines that an amount of 
such debt is past-due and legally enforceable; 
and 
‘‘(D) satisfies such other conditions as the 
Secretary may prescribe to ensure that the de-
termination made under subparagraph (C) is 
valid and that the State has made reasonable 
efforts to obtain payment of such unemploy-
ment compensation debt. 
‘‘(4) PAST-DUE, LEGALLY ENFORCEABLE STATE 
UNEMPLOYMENT
COMPENSATION
DEBT.—For pur-
poses of this subsection, the term ‘past-due, legally 
enforceable State unemployment compensation debt’ 
means overpayments of unemployment compensation 
assessed under the law of a State certified by the 
Secretary of Labor pursuant to section 3304 of the 
Internal Revenue Code, which have become final 
under State law and remain uncollected.
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‘‘(5) REGULATIONS.—The Secretary shall issue 
regulations prescribing the time and manner in 
which States must submit notices of past-due, legally 
enforceable State unemployment compensation debt 
and the necessary information that must be con-
tained in or accompany such notices. The regula-
tions shall specify the minimum amount of debt to 
which the reduction procedure established by para-
graph (1) may be applied. The regulations may re-
quire States to pay a fee to the Secretary, which 
may be deducted from amounts collected, to reim-
burse the Secretary for the cost of applying such 
procedure. Any fee paid to the Secretary pursuant to 
the preceding sentence shall be used to reimburse 
appropriations which bore all or part of the cost of 
applying such procedure. The regulations may in-
clude a requirement that States submit notices of 
past-due, legally enforceable State unemployment 
compensation debt to the Secretary via the Secretary 
of Labor in accordance with procedures established 
by the Secretary of Labor. Such procedures may re-
quire States to pay a fee to the Secretary of Labor 
to reimburse the Secretary of Labor for the costs of 
applying this subsection. Any such fee shall be es-
tablished in consultation with the Secretary of the
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Treasury. Any fee paid to the Secretary of Labor 
may be deducted from amounts collected and shall 
be used to reimburse the appropriation account 
which bore all or part of the cost of applying this 
subsection. 
‘‘(6) ERRONEOUS
PAYMENT
TO
STATE.—Any 
State receiving notice from the Secretary that an er-
roneous payment has been made to such State under 
paragraph (1) shall pay promptly to the Secretary, 
in accordance with such regulations as the Secretary 
may prescribe, an amount equal to the amount of 
such erroneous payment (without regard to whether 
any other amounts payable to such State under such 
paragraph have been paid to such State).’’. 
(b) Disclosure of certain information to States re-
questing refund offsets for past-due legally enforceable 
State unemployment compensation debt. 
(1) Paragraph (10) of section 6103(l) is amend-
ed by striking ‘‘(c), (d), or (e)’’ each place it appears 
and inserting ‘‘(c), (d), (e) or (f)’’. 
(2) Paragraph (10)(A) of section 6103(l) is 
amended by inserting ‘‘and to officers and employees 
of the Department of Labor in connection with a re-
duction under subsection (f) of section 6402’’ after 
the words ‘‘section 6402’’.
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(3) The heading of paragraph (10) is amended 
by striking ‘‘subsection (c), (d), or (e) of section 
6402’’ and inserting ‘‘subsection (c), (d), (e) or (f) 
of section 6402’’. 
(c) CONFORMING AMENDMENTS.—
(1) Subsection (a) of section 6402 is amended 
by striking ‘‘(c), (d), and (e),’’ and inserting ‘‘(c), 
(d), (e) and (f),’’. 
(2) Paragraph (2) of section 6402(d) is amend-
ed by striking ‘‘and before such overpayment is re-
duced pursuant to subsection (e)’’ and inserting 
‘‘and before such overpayment is reduced pursuant 
to subsections (e) and (f)’’. 
(3) Subsection (g) of section 6402, as redesig-
nated by subsection (a), is amended by striking ‘‘(c), 
(d) or (e)’’ and inserting ‘‘(c), (d), (e) or (f)’’. 
(4) Subsection (i) of section 6402, as redesig-
nated by subsection (a), is amended by striking 
‘‘subsection (c) or (e)’’ and inserting ‘‘subsection (c), 
(e) or (f)’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall be effective as to refunds payable under 
section 6402 of the Internal Revenue Code on or after the 
date of enactment.
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SEC. 645. (a) The adjustment in rates of basic pay 
for employees under the statutory pay systems that takes 
effect in fiscal year 2005 under sections 5303 and 5304 
of title 5, United States Code, shall be an increase of 3.5 
percent, and this adjustment shall apply to civilian em-
ployees in the Department of Defense and the Department 
of Homeland Security and such adjustments shall be effec-
tive as of the first day of the first applicable pay period 
beginning on or after January 1, 2005. 
(b) Notwithstanding section 613 of this Act, the ad-
justment in rates of basic pay for the statutory pay sys-
tems that take place in fiscal year 2005 under sections 
5344 and 5348 of title 5, United States Code, shall be 
no less than the percentage in paragraph (a) as employees 
in the same location whose rates of basic pay are adjusted 
pursuant to the statutory pay systems under section 5303 
and 5304 of title 5, United States Code. Prevailing rate 
employees at locations where there are no employees whose 
pay is increased pursuant to section 5303 and 5304 of 
title 5 and prevailing rate employees described in section 
5343(a)(5) of title 5 shall be considered to be located in 
the pay locality designated as ‘‘Rest of US’’ pursuant to 
section 5304 of title 5 for purposes of this paragraph. 
(c) Funds used to carry out this section shall be paid 
from appropriations, which are made to each applicable
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department or agency for salaries and expenses for fiscal 
year 2005. 
SEC. 646. (a) LIMITATION ON CONVERSION TO CON-
TRACTOR PERFORMANCE.—None of the funds appro-
priated by this Act or any other Act shall be available to 
convert to contractor performance an activity or function 
of an executive agency, that on or after the date of enact-
ment of this Act, is performed by more than 10 Federal 
employees unless—
(1) the conversion is based on the result of a 
public-private competition plan that includes a most 
efficient and cost effective organization plan devel-
oped by such activity or function, in accordance with 
Office of Management and Budget Circular A–76, as 
implemented on May 29, 2003; and 
(2) the Competitive Sourcing Official deter-
mines whether over all performance periods stated in 
the solicitation of offers for performance of the ac-
tivity or function, the cost of performance of the ac-
tivity or function by a contractor would be less costly 
to the executive agency by an amount that equals or 
exceeds the lesser of—
(A) 10 percent of the most efficient organi-
zation’s personnel-related costs for performance
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of that activity or function by Federal employ-
ees; or 
(B) $10,000,000. 
This Act may be cited as the ‘‘Transportation, Treas-
ury, and Independent Agencies Appropriations Act, 
2005’’.
Union Calendar No. 411 
108TH CONGRESS 
2D SESSION 
H.R. 5025 
[Report No. 108–671] 
A BILL 
Making appropriations for the Departments of 
Transportation and Treasury, and independent 
agencies for the fiscal year ending September 30, 
2005, and for other purposes. 
SEPTEMBER 8, 2004 
Committed to the Committee of the Whole House on the 
State of the Union and ordered to be printed.