(A) in the first sentence of subsection (c),
by inserting ‘‘and as designated by the Mayor
to provide services to injured employees’’ after
‘‘State law’’; and
(B) by adding at the end the following new
subsection:
‘‘(r)(1) The term ‘managed care organization’ means
an organization of physicians and allied health profes-
sionals organized to and capable of providing systematic
and comprehensive medical care and treatment of injured
employees which is designated by the Mayor to provide
such care and treatment under this title.
‘‘(2) The term ‘allied health professional’ means a
medical care provider (including a nurse, physical thera-
pist, laboratory technician, X-ray technician, social work-
er, or other provider who provides such care within the
scope of practice under applicable law) who is employed
by or affiliated with a managed care organization.’’.
(5) EFFECTIVE DATE.—The amendments made
by this subsection shall apply with respect to serv-
ices, supplies, or appliances furnished under title
XXIII of the District of Columbia Merit Personnel
Act of 1978 on or after the date of the enactment
of this Act.
(e) APPLICATION OF BINDING ARBITRATION PROCE-
DURES UNDER NEW PERSONNEL RULES.—
(1) IN GENERAL.—Section 11105(b)(3) of the
Balanced Budget Act of 1997 is amended in the
matter preceding subparagraph (A) by striking
‘‘pursuant’’ and inserting ‘‘in accordance with bind-
ing arbitration procedures in effect under a collective
bargaining agreement, or pursuant’’.
(2) EFFECTIVE DATE.—The amendment made
by paragraph (1) shall take effect as if included in
the enactment of the Balanced Budget Act of 1997.
CEILING ON OPERATING EXPENSES AND DEFICIT
SEC. 139. (a) CEILING ON TOTAL OPERATING EX-
PENSES.—
(1) IN GENERAL.—Notwithstanding any other
provision of law, the total amount appropriated in
this Act for operating expenses for the District of
Columbia for fiscal year 1998 under the caption
‘‘DIVISION OF EXPENSES’’ may not exceed the lesser
of—
(A) the sum of the total revenues of the
District of Columbia for such fiscal year less
$192,741,000; or
(B) $4,493,375,000 (excluding intra-Dis-
trict 
funds 
of 
$118,269,000) 
of 
which
$2,655,232,000 
is 
from 
local 
funds;
$1,072,572,000 is from Federal grants; and
$765,571,000 in private and other funds.
(2) ENFORCEMENT.—The Chief Financial Offi-
cer of the District of Columbia and the District of
Columbia Financial Responsibility and Management
Assistance Authority (hereafter in this section re-
ferred to as the ‘‘Authority’’) shall take such steps
as are necessary to assure that the District of Co-
lumbia meets the requirements of this section, in-
cluding the apportioning or reprogramming by the
Chief Financial Officer of the appropriations and
funds made available to the District during fiscal
year 1998, except that the Chief Financial Officer
may not reprogram for operating expenses any funds
derived from bonds, notes, or other obligations is-
sued for capital projects.
(b) ACCEPTANCE AND USE OF GRANTS NOT IN-
CLUDED IN CEILING.—
(1) IN GENERAL.—Notwithstanding subsection
(a), the Mayor of the District of Columbia may ac-
cept, obligate, and expend Federal, private, and
other grants received by the District government
that are not reflected in the amounts appropriated
in this Act.
(2) REQUIREMENT OF CHIEF FINANCIAL OFFI-
CER REPORT AND AUTHORITY APPROVAL.—No such
Federal, private, or other grant may be accepted, ob-
ligated, or expended pursuant to paragraph (1)
until—
(A) the Chief Financial Officer of the Dis-
trict submits to the Authority a report setting
forth detailed information regarding such grant;
and
(B) the Authority has reviewed and ap-
proved the acceptance, obligation, and expendi-
ture of such grant in accordance with review
and approval procedures consistent with the
provisions of the District of Columbia Financial
Responsibility and Management Assistance Act
of 1995.
(3) PROHIBITION ON SPENDING IN ANTICIPA-
TION OF APPROVAL OR RECEIPT.—No amount may
be obligated or expended from the general fund or
other funds of the District government in anticipa-
tion of the approval or receipt of a grant under
paragraph (2)(B) or in anticipation of the approval
or receipt of a Federal, private, or other grant not
subject to such paragraph.
(4) MONTHLY REPORTS.—The Chief Financial
Officer of the District of Columbia shall prepare a
monthly report setting forth detailed information re-
garding all Federal, private, and other grants sub-
ject to this subsection. Each such report shall be
submitted to the Council of the District of Columbia,
and to the Committees on Appropriations of the
House of Representatives and the Senate, not later
than 15 days after the end of the month covered by
the report.
(c) PROHIBITING
USE
OF
NON-APPROPRIATED
FUNDS BY CERTAIN ENTITIES.—
(1) IN GENERAL.—Notwithstanding any other
provision of law, the District of Columbia Financial
Responsibility and Management Assistance Author-
ity and the District of Columbia Water and Sewer
Authority may not obligate or expend any funds dur-
ing fiscal year 1998 or any succeeding fiscal year
without approval by Act of Congress.
(2) REPORT ON EXPENDITURES BY FINANCIAL
RESPONSIBILITY AND MANAGEMENT ASSISTANCE AU-
THORITY.—Not later than November 15, 1997, the
District of Columbia Financial Responsibility and
Management Assistance Authority shall submit a re-
port to the Committees on Appropriations of the
House of Representatives and the Senate, the Com-
mittee on Government Reform and Oversight of the
House, and the Committee on Governmental Affairs
of the Senate providing an itemized accounting of all
non-appropriated funds obligated or expended by the
Authority at any time prior to October 1, 1997. The
report shall include information on the date,
amount, purpose, and vendor name, and a descrip-
tion of the services or goods provided with respect
to the expenditures of such funds.
(3) EFFECT OF EXPENDITURE OF NON-APPRO-
PRIATED FUNDS.—Any obligation of funds by any
officer or employee of the District of Columbia gov-
ernment (including any member, officer or employee
of the District of Columbia Financial Responsibility
and Management Assistance Authority) in violation
of the fourth sentence of section 446 of the District
of Columbia Home Rule Act shall have no legal ef-
fect, and the officer or employee involved shall be re-
moved from office and personally liable for any
amounts owed as a result of such obligation.
POWERS AND DUTIES OF CHIEF FINANCIAL OFFICER
SEC. 140. (a) CLARIFICATION OF AUTHORITY OVER
FINANCIAL PERSONNEL.—
(1) IN GENERAL.—Section 424(a) of the Dis-
trict of Columbia Home Rule Act (D.C. Code, sec.
47–317.1) is amended—
(A) in paragraph (2), by striking ‘‘, who
shall be appointed’’ and all that follows through
‘‘direction and control’’; and
(B) by striking paragraph (4) and insert-
ing the following:
‘‘(4) AUTHORITY
OVER
FINANCIAL
PERSON-
NEL.—
‘‘(A) IN GENERAL.—Notwithstanding any
other provision of law or regulation (including
any law or regulation providing for collective
bargaining or the enforcement of any collective
bargaining agreement), the heads and all per-
sonnel of the offices described in subparagraph
(B), together with all other District of Colum-
bia accounting, budget, and financial manage-
ment personnel (including personnel of inde-
pendent agencies but not including personnel of
the legislative or judicial branches of the Dis-
trict government) shall be appointed by, shall
serve at the pleasure of, and shall act under the
direction and control of the Chief Financial Of-
ficer, and shall be considered at-will employees
not covered by the District of Columbia Govern-
ment Comprehensive Merit Personnel Act of
1978.
‘‘(B) OFFICES
DESCRIBED.—The offices
referred to in this subparagraph are as follows:
‘‘(i) The Office of the Treasurer (or
any successor office).
‘‘(ii) The Controller of the District of
Columbia (or any successor office).
‘‘(iii) The Office of the Budget (or
any successor office).
‘‘(iv) The Office of Financial Informa-
tion Services (or any successor office).
‘‘(v) The Department of Finance and
Revenue (or any successor office).
‘‘(vi) During a control year, the Dis-
trict of Columbia Lottery and Charitable
Games Control Board (or any successor of-
fice).
‘‘(C) REMOVAL
OF
PERSONNEL
BY
AU-
THORITY.—In addition to the power of the
Chief Financial Officer to remove any of the
personnel covered under this paragraph, the
Authority may remove any such personnel for
cause, after written consultation with the Mayor
and the Chief Financial Officer.’’.
(2) CONFORMING AMENDMENTS.—(A) Section
152(a) of the District of Columbia Appropriations
Act, 1996 (Public Law 104–134; 110 Stat. 1321-
102) is hereby repealed.
(B) Section 142(a) of the District of Columbia
Appropriations Act, 1997 (Public Law 104–194;
110 Stat. 2375) is hereby repealed.
(3) EFFECTIVE DATE.—The amendments made
by this subsection shall take effect as if included in
the enactment of the District of Columbia Appro-
priations Act, 1996, except that the amendment
made by paragraph (2)(B) shall take effect as if in-
cluded in the enactment of the District of Columbia
Appropriations Act, 1997.
(b) PERSONNEL AUTHORITY UNDER MANAGEMENT
REFORM PLANS.—
(1) IN GENERAL.—Section 11105(b) of the Bal-
anced Budget Act of 1997 is amended—
(A) in paragraph (1), by striking ‘‘para-
graph (3)’’ and inserting ‘‘paragraphs (3) and
(4)’’; and
(B) by adding at the end the following new
paragraph:
‘‘(4) EXCEPTION FOR PERSONNEL UNDER DI-
RECTION AND CONTROL OF CHIEF FINANCIAL OFFI-
CER.—This subsection shall not apply with respect
to any personnel who are appointed by, serve at the
pleasure of, and act under the direction and control
of the Chief Financial Officer of the District of Co-
lumbia pursuant to section 424(a)(4) of the District
of Columbia Home Rule Act.’’.
(2) EFFECTIVE DATE.—The amendments made
by paragraph (1) shall take effect as if included in
the enactment of section 11105(b) of the Balanced
Budget Act of 1997.
(c) MONTHLY REPORTS
ON REVENUES
AND EX-
PENDITURES; INCLUSION OF INFORMATION ON ALL ENTI-
TIES OF DISTRICT GOVERNMENT.—Section 424(d) of the
District of Columbia Home Rule Act (D.C. Code, sec. 47–
317.4) is amended by adding at the end the following new
paragraphs:
‘‘(8) Preparing monthly reports containing the
following information (and submitting such reports
to Congress, the Council, the Mayor, and the Au-
thority not later than the 21st day of the month fol-
lowing the month covered by the report):
‘‘(A) The cash flow of the District govern-
ment, including a statement of funds received
and disbursed for all standard categories of rev-
enues and expenses.
‘‘(B) The revenues and expenditures of the
District government, including a comparison of
the amounts projected for such revenues and
expenditures in the annual budget for the fiscal
year involved with actual revenues and expendi-
tures during the month.
‘‘(C) The obligations of funds made by or
on behalf of the District government, together
with a statement of accounts payable and the
disbursements paid towards such accounts dur-
ing the month and during the fiscal year in-
volved.
‘‘(9) Ensuring that any regular report on the
status of the funds of the District government pre-
pared by the Chief Financial Officer includes infor-
mation on the funds of all entities within the Dis-
trict government (including funds in any accounts of
the Authority and interest earned on such ac-
counts).’’.
(d) CLARIFICATION
OF GROUNDS
FOR REMOVAL
FROM OFFICE.—Section 424(b)(2) of the District of Co-
lumbia Home Rule Act (D.C. Code, sec. 47–317.2(2)) is
amended by adding at the end the following new subpara-
graph:
‘‘(C) CONSULTATION
WITH
CONGRESS.—
The Authority or the Mayor (whichever is appli-
cable) may not remove the Chief Financial Offi-
cer under this paragraph unless the Authority
or the Mayor (as the case may be) has con-
sulted with Congress prior to the removal. Such
consultation shall include at a minimum the
submission of a written statement to the Com-
mittees on Appropriations of the Senate and
the House of Representatives, the Committee
on Government Reform and Oversight of the
House of Representatives, and the Committee
on Governmental Affairs of the Senate, explain-
ing the factual circumstances involved.’’.
POLICE AND FIRE FIGHTER DISABILITY RETIREMENTS
SEC. 141. (a) DETERMINATIONS OF DISABILITY STA-
TUS.—Notwithstanding any other provisions of the Dis-
trict of Columbia Retirement Reform Act or any other law,
rule, or regulation, for purposes of any retirement pro-
gram of the District of Columbia for teachers, members
of the Metropolitan Police Department, or members of the
Fire Department, no individual may have disability status
unless the determination of the individual’s disability sta-
tus is made by a single entity designated by the District
to make such determinations (or, if the determination is
made by any other person, if such entity approves the de-
termination).
(b) ANALYSIS BY ENROLLED ACTUARY OF IMPACT
OF DISABILITY RETIREMENTS.—Not later than January
1, 1998, and every 6 months thereafter, the Mayor of the
District of Columbia shall engage an enrolled actuary (to
be paid by the District of Columbia Retirement Board)
to provide an analysis of the actuarial impact of disability
retirements occurring during the previous 6-month period
on the police and fire fighter retirement programs of the
District of Columbia.
SEC. 142. (a) COMPLIANCE WITH BUY AMERICAN
ACT.—None of the funds made available in this Act may
be expended by an entity unless the entity agrees that in
expending the funds the entity will comply with the Buy
American Act (41 U.S.C. 10a–10c).
(b) SENSE OF CONGRESS; REQUIREMENT REGARD-
ING NOTICE.—
(1) PURCHASE OF AMERICAN-MADE EQUIPMENT
AND PRODUCTS.—In the case of any equipment or
product that may be authorized to be purchased
with financial assistance provided using funds made
available in this Act, it is the sense of the Congress
that entities receiving the assistance should, in ex-
pending the assistance, purchase only American-
made equipment and products to the greatest extent
practicable.
(2) NOTICE TO RECIPIENTS OF ASSISTANCE.—
In providing financial assistance using funds made
available in this Act, the head of each agency of the
Federal or District of Columbia government shall
provide to each recipient of the assistance a notice
describing the statement made in paragraph (1) by
the Congress.
(c) PROHIBITION
OF CONTRACTS WITH PERSONS
FALSELY LABELING PRODUCTS AS MADE IN AMERICA.—
If it has been finally determined by a court or Federal
agency that any person intentionally affixed a label bear-
ing a ‘‘Made in America’’ inscription, or any inscription
with the same meaning, to any product sold in or shipped
to the United States that is not made in the United
States, the person shall be ineligible to receive any con-
tract or subcontract made with funds made available in
this Act, pursuant to the debarment, suspension, and ineli-
gibility procedures described in sections 9.400 through
9.409 of title 48, Code of Federal Regulations.
BUDGETS OF DEPARTMENTS OR AGENCIES SUBJECT TO
COURT-APPOINTED ADMINISTRATOR
SEC. 143. If a department or agency of the govern-
ment of the District of Columbia is under the administra-
tion of a court-appointed receiver or other court-appointed
official during fiscal year 1998 or any succeeding fiscal
year, the receiver or official shall prepare and submit to
the Mayor, for inclusion in the annual budget of the Dis-
trict of Columbia for the year, annual estimates of the
expenditures and appropriations necessary for the mainte-
nance and operation of the department or agency. All such
estimates shall be forwarded by the Mayor to the Council,
for its action pursuant to sections 446 and 603(c) of the
District of Columbia Home Rule Act, without revision but
subject to the Mayor’s recommendations. Notwithstanding
any provision of the District of Columbia Home Rule Act,
the Council may comment or make recommendations con-
cerning such annual estimates but shall have no authority
under such Act to revise such estimates.
COMMENCING OF ADVERSE ACTIONS FOR POLICE
SEC. 144. Section 1601(b–1) of the District of Co-
lumbia Government Comprehensive Merit Personnel Act
of 1978, effective March 3, 1979 (D.C. Law 2–139; D.C.
Code, sec. 1–617.1(b–1)), is amended as follows:
(a) Paragraph (1) is amended by striking the phrase
‘‘Except as provided in paragraph (2)’’ and inserting the
phrase ‘‘Except as provided in paragraphs (2) and (3)’’
in its place.
(b) A new paragraph (3) is added to read as follows:
‘‘(3) Except as provided in paragraph (2) of this sub-
section, for members of the Metropolitan Police Depart-
ment, no corrective or adverse action shall be commenced
pursuant to this section more than 120 days, not including
Saturdays, Sundays, or legal holidays, after the date that
the agency knew or should have known of the act or occur-
rence allegedly constituting cause, as that term is defined
in subsection (d) of this section.’’.
NOTICE TO POLICE OFFICERS FOR OUT-OF-SERVICE
ASSIGNMENTS
SEC. 145. (a) Notwithstanding any other provision
of law or collective bargaining agreement, the Metropoli-
tan Police Department shall change the advance notice
that is required to be given to officers for out-of-schedule
assignments from 28 days to 14 days.
(b) No officer shall be entitled to overtime for out-
of-regular schedule assignments if the Metropolitan Police
Department provides the officer with notice of the change
in assignment at least 14 days in advance.
SEC. 146. Except as provided in this Act under the
heading ‘‘DISTRICT OF COLUMBIA TAXPAYERS RELIEF
FUND’’, any unused surplus as of the end of the fiscal
year shall be used to reduce the District’s outstanding ac-
cumulated deficit.
RETIREMENT PROGRAMS
SEC. 147. (a) CAP ON STIPENDS OF RETIREMENT
BOARD MEMBERS.—Section 121(c)(1) of the District of
Columbia Retirement Reform Act (D.C. Code, sec. 1–
711(c)(1)) is amended by striking the period at the end
and inserting the following: ‘‘, and the total amount to
which a member may be entitled under this subsection
during a year (beginning with 1998) may not exceed
$5,000.’’.
(b) RESUMPTION OF CERTAIN TERMINATED ANNU-
ITIES PAID TO CHILD SURVIVORS OF DISTRICT OF CO-
LUMBIA POLICE AND FIREFIGHTERS.—
(1) IN GENERAL.—Subsection (k)(5) of the Po-
licemen and Firemen’s Retirement and Disability
Act (D.C. Code, sec. 4–622(e)) is amended by add-
ing at the end the following new subparagraph:
‘‘(D) If the annuity of a child under subparagraph
(A) or subparagraph (B) terminates because of marriage
and such marriage ends, the annuity shall resume on the
first day of the month in which it ends, but only if the
individual is not otherwise ineligible for the annuity.’’.
(2) EFFECTIVE DATE.—The amendment made
by paragraph (1) shall apply with respect to any ter-
mination of marriage taking effect on or after No-
vember 1, 1993, except that benefits shall be payable
only with respect to amounts accruing for periods
beginning on the first day of the month beginning
after the later of such termination of marriage or
such date of enactment.
PREMIUM PAY FOR CERTAIN POLICE OFFICERS
SEC. 148. Effective for the first full pay period fol-
lowing the date of the enactment of this Act, the salary
of any sworn officer of the Metropolitan Police Depart-
ment shall be increased by 5 percent if—
(1) the officer performs primarily nonadminis-
trative public safety services; and
(2) the officer is certified by the Chief of the
Department as having met the minimum ‘‘Basic
Certificate’’ standards transmitted by the District of
Columbia Financial Responsibility and Management
Assistance Authority to Congress by letter dated
May 19, 1997, or (if applicable) the minimum stand-
ards under any physical fitness and performance
standards developed by the Department in consulta-
tion with the Authority.
PROHIBITING INCREASE IN WELFARE PAYMENTS
SEC. 149. (a) IN GENERAL.—The Council of the Dis-
trict of Columbia shall have no authority to enact any act,
resolution, or rule during a fiscal year which increases the
amount of payment which may be for any individual under
the Temporary Assistance for Needy Families Program to
an amount greater than the amount provided under such
program under the District of Columbia Public Assistance
Act of 1982, as in effect on the day after the effective
date of the Public Assistance Temporary Amendment Act
of 1997.
(b) EFFECTIVE DATE.—Subsection shall apply with
respect to fiscal year 1998 and each succeeding fiscal year.
SEC. 150. Effective as if included in the enactment
of the Omnibus Consolidated Rescissions and Appropria-
tions Act of 1996, section 517 of such Act (110 Stat.
1321–248) is amended by striking ‘‘October 1, 1991’’ and
inserting ‘‘the date of the enactment of this Act’’.
LIENS OF WATER AND SEWER AUTHORITY
SEC. 151. (a) REQUIRING IMPOSITION OF LIEN FOR
UNPAID BILLS.—The District of Columbia Water and
Sewer Authority shall take action to impose a lien against
each commercial property with respect to which any pay-
ment owed to the Authority is past due in an aggregate
amount equal to or greater than $3,000, but only if the
payment is past due for 120 or more consecutive days.
(b) DISPOSITION
OF LIENS THROUGH PRIVATE
SOURCES.—Beginning January 31, 1998, the District of
Columbia Water and Sewer Authority shall dispose of all
pending liens described in subsection (a) by assigning the
right to collect under such liens to a private entity in ex-
change for a cash payment, or by issuing securities se-
cured by such liens.
DEEMED APPROVAL OF CONTRACTS BY AUTHORITY
SEC. 152. Section 203(b) of the District of Columbia
Financial Responsibility and Management Assistance Act
of 1995 (D.C. Code, sec. 47–392.3(b)), as amended by
section 5203(d) of the Omnibus Consolidated Appropria-
tions Act, 1997 (Public Law 104–208; 110 Stat. 3009-
1456), is amended—
(1) by redesignating paragraph (5) as para-
graph (6); and
(2) by inserting after paragraph (4) the follow-
ing new paragraph:
‘‘(5) DEEMED APPROVAL.—
‘‘(A) IN GENERAL.—If the Authority does
not notify the Mayor (or the appropriate officer
or agent of the District government) that it has
determined that a contract or lease submitted
under this subsection is consistent with the fi-
nancial plan and budget or is not consistent
with the financial plan and budget during the
30-day period (or, if the Authority meets the
requirements of subparagraph (B), such alter-
native period as the Authority may elect, not to
exceed 60 days) which begins on the first day
after the Authority receives the contract or
lease, the Authority shall be deemed to have de-
termined that the contract or lease is consistent
with the financial plan and budget.
‘‘(B) ELECTION
OF
LONGER
PERIOD
BY
AUTHORITY.—The Authority meets the require-
ments of this subparagraph if, prior to the expi-
ration of the 30-day period described in sub-
paragraph (A), the Authority provides a notice
to the Mayor (or the appropriate officer or
agent of the District government) and Congress
which describes the period elected by the Au-
thority, together with an explanation of the
Authority’s decision to elect an alternative pe-
riod.’’.
FINANCIAL MANAGEMENT SYSTEM
SEC. 153. (a) IN GENERAL.—The Chief Financial
Officer of the District of Columbia shall enter into a con-
tract with a private entity under which the entity shall
carry out the following activities (by contract or otherwise)
on behalf of the District of Columbia:
(1) In accordance with the requirements of sub-
section (b), the establishment and operation of an
update of the present financial management system
for the government of the District of Columbia by
not later than June 30, 1998, to provide for the
complete, accurate, and timely input and processing
of financial data and the generation of reliable out-
put reports for financial management purposes.
(2) To execute a process in accordance with
‘‘best practice’’ procedures of the information tech-
nology industry to determine the need, if any, of fur-
ther improving the updated financial management
system in subsection (a).
(b) SPECIFICATIONS FOR SHORT-TERM FINANCIAL
MANAGEMENT SYSTEM IMPROVEMENTS.—For purposes
of subsection (a)(1), the requirements of this subsection
are as follows:
(1) A qualified vendor, in accordance with Of-
fice of Management and Budget standards, shall up-
date the District of Columbia government’s financial
management system in use as of October 1, 1996.
(2) An information technology vendor shall op-
erate the financial data center environment of the
District government to ensure that its equipment
and operations are compatible with the updated fi-
nancial management system.
(3) A financial consulting vendor shall carry out
an assessment of the District government employees
who work with the financial management system,
provide training in the operation of the updated sys-
tem for those who are capable of effectively using
the system, and provide recommendations to the
Chief Financial Officer regarding those who are not
capable of effectively using the system, including
recommendations for reassignment or for separation
from District government employment.
(c) CERTIFICATION OF POLICIES AND PROCEDURES
FOR ACQUISITION OF LONG-TERM FINANCIAL MANAGE-
MENT SYSTEM IMPROVEMENTS.—
(1) IN GENERAL.—The Chief Financial Officer
of the District of Columbia shall enter into a con-
tract with a private entity under which the entity
shall conduct an independent assessment to certify
whether the District government (including the Dis-
trict of Columbia Financial Responsibility and Man-
agement Assistance Authority) has established and
implemented policies and procedures that will result
in a disciplined approach to the acquisition of a fi-
nancial management system for the District govern-
ment, including policies and procedures with respect
to such items as—
(A) software acquisition planning,
(B) solicitation,
(C) requirements, development, and man-
agement,
(D) project office management,
(E) contract tracking and oversight,
(F) evaluation of products and services
provided by the contractor, and
(G) the method that will be used to carry
out a successful transition to the delivered sys-
tem by its users.
(2) MODEL FOR ASSESSMENT.—The independ-
ent assessment shall be performed based on the
Software Acquisition Capability Maturity Model de-
veloped by the Software Engineering Institute or a
comparable methodology.
(3) REVIEW OF ASSESSMENT.—A copy of the
independent assessment shall be provided to the
Comptroller General, the Director of the Office of
Management and Budget, and the Inspector General
of the District of Columbia, who shall review and
prepare a report on the assessment.
(d) RESTRICTIONS ON SPENDING FOR OTHER FI-
NANCIAL MANAGEMENT SYSTEM PROCUREMENT AND DE-
VELOPMENT.—
(1) IN
GENERAL.—None of the funds made
available under this or any other Act may be used
to improve or replace the financial management sys-
tem of the government of the District of Columbia
(including the procuring of hardware and installa-
tion of new software, conversion, testing, and train-
ing) until the expiration of the 30-day period which
begins on the date the Comptroller General, Director
of the Office of Management and Budget, and In-
spector General of the District of Columbia submit
a report under subsection (c)(3) to the Committees
on Appropriations of the House of Representatives
and the Senate, the Committee on Governmental Re-
form and Oversight of the House of Representatives,
and the Committee on Governmental Affairs of the
Senate, which certifies that the District government
has established and implemented the policies and
procedures described in subsection (c)(1).
(2) EXCEPTIONS.—Paragraph (1) shall not
apply to funds used to carry out subsection (a) or
to carry out the contract described in subsection (c).
POWERS AND DUTIES OF INSPECTOR GENERAL
SEC. 154. (a) CLARIFICATION OF AUTHORITY TO
CONDUCT AUDITS.—
(1) EXCLUSIVE AUTHORITY TO CONTRACT FOR
INDEPENDENT ANNUAL AUDIT.—None of the funds
made available under this Act or any other Act may
be used to carry out any contract to conduct the an-
nual audit of the complete financial statement and
report of the activities of the District government for
fiscal year 1997 or any succeeding fiscal year unless
the contract is entered into by the Inspector General
of the District of Columbia.
(2) SCOPE
OF
AUDITS.—Section 208(a) the
District of Columbia Procurement Practices Act of
1985 (sec. 1–1182.8(a), D.C. Code) is amended by
adding at the end the following new paragraph:
‘‘(5) The Inspector General may include in any audits
conducted pursuant to this subsection (by contract or oth-
erwise) of the activities of the District government such
audits of the activities of the Authority as the Inspector
General considers appropriate.’’.
(b) CLARIFICATION
OF GROUNDS
FOR REMOVAL
FROM OFFICE.—Section 208(a)(1) of such Act (sec. 1–
1182.8(a)(1), D.C. Code), as amended by subsection (b),
is further amended by adding at the end the following new
subparagraph:
‘‘(G) The Authority or the Mayor (whichever is appli-
cable) may not remove the Inspector General under this
paragraph unless the Authority or the Mayor (as the case
may be) has consulted with Congress prior to the removal.
Such consultation shall include at a minimum the submis-
sion of a written statement to the Committees on Appro-
priations of the Senate and the House of Representatives,
the Committee on Government Reform and Oversight of
the House of Representatives, and the Committee on Gov-
ernmental Affairs of the Senate, explaining the factual cir-
cumstances involved.’’.
(c) REQUIRING PLACEMENT
OF INSPECTOR GEN-
ERAL HOTLINE ON PERMIT AND LICENSE APPLICATION
FORMS.—
(1) IN GENERAL.—Each District of Columbia
permit or license application form printed after the
expiration of the 30-day period which begins on the
date of the enactment of this Act shall include the
telephone number established by the Inspector Gen-
eral of the District of Columbia for reporting in-
stances of waste, fraud, and abuse, together with a
brief description of the uses and purposes of such
number.
(2) QUARTERLY
REPORTS
ON
USE
OF
NUM-
BER.—Not later than 10 days after the end of such
calendar quarter of each fiscal year (beginning with
fiscal year 1998), the Inspector General of the Dis-
trict of Columbia shall submit a report to Congress
on the number and nature of the calls received
through the telephone number described in para-
graph (1) during the quarter and on the waste,
fraud, and abuse detected as a result of such calls.
REQUIRING USE OF DIRECT DEPOSIT OR MAIL FOR ALL
PAYMENTS
SEC. 155. (a) IN GENERAL.—Notwithstanding any
other provision of law (including any law or regulation
providing for collective bargaining or the enforcement of
any collective bargaining agreement) or collective bargain-
ing agreement, any payment made by the District of Co-
lumbia after the expiration of the 45-day period which be-
gins on the date of the enactment of this Act to any person
shall be made by—
(1) direct deposit through electronic funds
transfer to a checking, savings, or other account des-
ignated by the person; or
(2) a check delivered through the United States
Postal Service to the person’s place of residence or
business.
(b) REGULATIONS.—The Chief Financial Officer of
the District of Columbia is authorized to issue rules to
carry out this section.
REVISION OF CERTAIN AUDITING REQUIREMENTS
SEC. 156. (a) INFORMATION INCLUDED IN INDE-
PENDENT ANNUAL AUDIT.—Effective with respect to fis-
cal year 1997 and each succeeding fiscal year, the inde-
pendent annual audit of the government of the District
of Columbia conducted for a fiscal year pursuant to sec-
tion 4(a) of Public Law 94–399 (D.C. Code, sec. 47–
119(a)) shall include the following information in the
Comprehensive Annual Financial Report:
(1) An audited budgetary statement comparing
actual revenues and expenditures during the fiscal
year with the amounts appropriated in the annual
appropriations act for the entire District government
and for each fund of the District government (and
each appropriation account with each such fund as
a supplemental schedule) for the fiscal year, together
with the revenue projections on which the appropria-
tions are based, to determine the surplus or deficit
thereof.
(2) An unaudited statement of monthly cash
flows (on a fund-by-fund basis) showing projected
and 
actual 
receipts 
and 
disbursements 
(with
variances) by category.
(3) A discussion and analysis of the financial
condition and results of operations of the District
government prepared by the independent auditor.
(b) AUDIT
OF FINANCIAL RESPONSIBILITY
AND
MANAGEMENT ASSISTANCE AUTHORITY.—
(1) IN GENERAL.—Section 106 of the District
of Columbia Financial Responsibility and Manage-
ment Assistance Act of 1995 (D.C. Code, sec. 47–
304.1), as amended by section 11711(a) of the Bal-
anced Budget Act of 1997, is amended by adding at
the end the following new subsection:
‘‘(e) ANNUAL FINANCIAL AUDIT.—
‘‘(1) IN GENERAL.—For each fiscal year (begin-
ning with fiscal year 1997), the Authority shall
enter into a contract, using annual appropriations to
the Authority, with an auditor who is a certified
public accountant licensed in the District of Colum-
bia to conduct an audit of the Authority’s financial
statements for the fiscal year, in accordance with
generally accepted government auditing standards,
and the financial statements shall be prepared in ac-
cordance with generally accepted accounting prin-
ciples.
‘‘(2) CONTENTS.—The auditor shall include in
the audit conducted under this subsection the follow-
ing information:
‘‘(A) An audited budgetary statement com-
paring gross actual revenues and expenditures
of the Authority during the fiscal year with
amounts appropriated, together with the reve-
nue projections on which the appropriations are
based, to determine the surplus or deficit there-
of.
‘‘(B) An unaudited statement of monthly
cash flows, showing projected and actual re-
ceipts and disbursements by category (with
variances).
‘‘(C) A discussion and analysis of the fi-
nancial condition and results of operations of
the Authority prepared by the independent
auditor.
‘‘(3) SUBMISSION.—The Authority shall submit
the audit reports and financial statements conducted
under this subsection to Congress, the President, the
Comptroller General, the Council, and the Mayor.’’.
(2) RESPONSIBILITIES
OF
AUTHORITY.—The
District of Columbia Financial Responsibility and
Management Assistance Authority shall—
(A) with respect to the annual budget of
the Authority for fiscal year 1999 and each suc-
ceeding fiscal year, provide the Mayor of the
District of Columbia (prior to the transmission
of the budget by the Mayor to the President
and Congress under section 446 of the District
of Columbia Home Rule Act) with an item-by-
item accounting of the planned uses of appro-
priated and non-appropriated funds (including
all projected revenues) of the Authority under
the budget for such fiscal year; and
(B) with respect to the annual budget of
the Authority for fiscal year 1997 and each suc-
ceeding fiscal year, provide the person conduct-
ing the independent annual audit of the govern-
ment of the District of Columbia pursuant to
section 4(a) of Public Law 94-399 (D.C. Code,
sec. 47–119(a)) (prior to the completion of the
audit) with the actual uses of all appropriated
and non-appropriated funds of the Authority
under the budget for such fiscal year.
(3) INCLUSION
IN
INDEPENDENT
ANNUAL
AUDIT.—For purposes of the independent annual
audit of the government of the District of Columbia
conducted pursuant to section 4(a) of Public Law
94-399 (D.C. Code, sec. 47–119(a)) for fiscal year
1997 and each succeeding fiscal year, the District of
Columbia Financial Responsibility and Management
Assistance Authority shall be considered to be an en-
tity within the government of the District of Colum-
bia accountable for appropriated funds in the Dis-
trict of Columbia annual budget, and included as
such in the District of Columbia government’s Com-
prehensive Annual Financial Report.
TREATMENT OF UNCLAIMED PROPERTY
SEC. 157. (a) DEFINITIONS OF CERTAIN TERMS.—
Section 102 of the Uniform Disposition of Unclaimed
Property Act of 1980 (D.C. Code, sec. 42–202) is amend-
ed—
(1) by amending paragraph (4) to read as fol-
lows:
‘‘(4) ‘Business association’ means a corpora-
tion, joint stock company, investment company,
partnership, unincorporated association, joint ven-
ture, limited liability, business trust, trust company,
financial organization, insurance company, mutual
fund, utility, or other business entity consisting of
one or more persons, whether or not for profit.’’;
and
(2) by adding at the end the following new
paragraphs:
‘‘(18) ‘Record’ means information that is in-
scribed on a tangible medium or that is stored in an
electronic or other medium and is retrievable in per-
ceivable form.
‘‘(19) ‘Property’ means a fixed and certain in-
terest in or right in property that is held, issued, or
owed in the course of a holder’s business, or by a
government or governmental entity, and all income
or increments therefrom, including an interest re-
ferred to as or evidenced by any of the following:
‘‘(A) Money, check, draft, deposit, interest,
dividend, and income.
‘‘(B) Credit balance, customer overpay-
ment, gift certificate, security deposit, refund,
credit memorandum, unpaid wage, unused air-
line ticket, unused ticket, mineral proceed, and
unidentified remittance and electronic fund
transfer.
‘‘(C) Stock or other evidence of ownership
of an interest in a business association.
‘‘(D) Bond, debenture, note, or other evi-
dence of indebtedness.
‘‘(E) Money deposited to redeem stocks,
bonds, coupons, or other securities or to make
distributions.
‘‘(F) An amount due and payable under
the terms of an insurance policy, including poli-
cies providing life insurance, property and cas-
ualty insurance, workers compensation insur-
ance, or health and disability benefits insur-
ance.
‘‘(G) An amount distributable from a trust
or custodial fund established under a plan to
provide health, welfare, pension, vacation, sever-
ance, retirement, death, stock purchase, profit
sharing, employee savings, supplemental unem-
ployment insurance, or similar benefits.’’.
(b) SHORTENING PERIOD
FOR PRESUMPTION
OF
ABANDONMENT.—
(1) IN GENERAL.—Section 103(a) of such Act
(D.C. Code, sec. 42–203(a)) is amended by striking
‘‘5 years’’ and inserting ‘‘3 years’’.
(2) BANK DEPOSITS AND FUNDS IN FINANCIAL
ORGANIZATIONS.—Section 106 of such Act (D.C.
Code, sec. 42–206) is amended by striking ‘‘5 years’’
each place it appears in subsections (a) and (d) and
inserting ‘‘3 years’’.
(3) FUNDS HELD BY LIFE INSURANCE COMPA-
NIES.—Section 107 of such Act (D.C. Code, sec. 42–
207) is amended by striking ‘‘5 years’’ each place it
appears in subsections (a) and (c)(2)(C) and insert-
ing ‘‘3 years’’.
(4) DEPOSITS AND REFUNDS HELD BY UTILI-
TIES.—Section 108 of such Act (D.C. Code, sec. 42–
208) is amended by striking ‘‘5 years’’ each place it
appears and inserting ‘‘1 year’’.
(5) STOCK AND OTHER INTANGIBLE INTERESTS
IN BUSINESS ASSOCIATIONS.—Section 109 of such
Act (D.C. Code, sec. 42–209) is amended—
(A) by striking ‘‘5 years’’ each place it ap-
pears in subsections (a) and (b)(1) and insert-
ing ‘‘3 years’’; and
(B) in subsection (b)(2), by striking ‘‘5-
year’’ and inserting ‘‘3-year’’.
(6) PROPERTY HELD BY FIDUCIARIES.—Section
111(a) of such Act (D.C. Code, sec. 42–211(a)) is
amended by striking ‘‘5 years’’ and inserting ‘‘3
years’’.
(7) PROPERTY HELD BY PUBLIC OFFICERS AND
AGENCIES.—Section 112 of such Act (D.C. Code,
sec. 42–212) is amended by striking ‘‘2 years’’ and
inserting ‘‘1 year’’.
(8) EMPLOYEE
BENEFIT
TRUST
DISTRIBU-
TIONS.—Section 113 of such Act (D.C. Code, sec.
42–213) is amended by striking ‘‘5 years’’ and in-
serting ‘‘3 years’’.
(9) CONTENTS OF SAFE DEPOSIT BOX.—Sec-
tion 115 of such Act (D.C. Code, sec. 42–215) is
amended by striking ‘‘5 years’’ and inserting ‘‘3
years’’.
(c) CRITERIA
FOR PRESUMPTION
OF ABANDON-
MENT.—
(1) IN
GENERAL.—Section 103 of such Act
(D.C. Code, sec. 42–203) is amended by adding at
the end the following new subsection:
‘‘(d) A record of the issuance of a check, draft, or
similar instrument by a holder is prima facie evidence of
property held or owed to a person other than the holder.
In claiming property from a holder who is also the issuer,
the Mayor’s burden of proof as to the existence and
amount of the property and its abandonment is satisfied
by showing issuance of the instrument and passage of the
requisite period of abandonment. Defenses of payment,
satisfaction, discharge, and want of consideration are af-
firmative defenses that may be established by the holder.’’.
(2) SPECIAL
RULES
REGARDING
STOCK
AND
OTHER INTANGIBLE INTERESTS IN BUSINESS ASSO-
CIATIONS.—Section 109 of such Act (D.C. Code, sec.
42–209) is amended by adding at the end the follow-
ing new subsections:
‘‘(d) For purposes of subsection (b), the return of of-
ficial shareholder notifications or communications by the
postal service as undeliverable shall be evidence that the
association does not know the location of the owner.
‘‘(e) In the case of property consisting of stock or
other intangible ownership interest enrolled in a plan that
provides for the automatic reinvestment of dividends, dis-
tribution, or other sums payable as a result of the interest,
the property may not be presumed to be abandoned under
this section unless either of the following applies:
‘‘(1) The records available to the administrator
of the plan show, with respect to any intangible own-
ership interest not enrolled in the reinvestment plan,
that the owner has not within 3 years communicated
in any manner described in subsection (a).
‘‘(2) 3 years have elapsed since the location of
the owner became unknown to the association, as
evidenced by the return of official shareholder notifi-
cations or by the postal service as undeliverable, and
the owner has not within those 3 years commu-
nicated in any manner described in subsection (a).
The 3-year period from the return of official share-
holder notifications or communications shall com-
mence from the earlier of the return of the second
such mailing or the time the holder discontinues
mailings to the shareholder.’’.
(3) SPECIAL RULE REGARDING PROPERTY DIS-
TRIBUTED THROUGH LITIGATION OR SETTLEMENT
OF DISPUTE.—Section 110 of such Act (D.C. Code,
sec. 42–210) is amended—
(A) by striking ‘‘All intangible’’ and insert-
ing ‘‘(a) All intangible’’; and
(B) by adding at the end the following new
subsection:
‘‘(b) All intangible property payable or distributable
to a member or participant in a class action suit, either
one allowed by the court to be maintained as such or one
essentially handled as a class action suit and remaining
for more than one year after the time for the final pay-
ment or distribution is presumed abandoned, unless within
the preceding one year, there has been a communication
between the member or participant and the holder con-
cerning the property. Intangible property payable or dis-
tributable as the result of litigation or settlement of a dis-
pute before a judicial or administrative body and remain-
ing unclaimed for more than one year after the time for
the final distribution is presumed abandoned.’’.
(d) REQUIREMENTS FOR PERSONS HOLDING PROP-
ERTY PRESUMED ABANDONED.—
(1) DEADLINE
FOR
FILING
REPORT
WITH
MAYOR.—Section 117(d) of such Act (D.C. Code,
sec. 42–217(d)) is amended to read as follows:
‘‘(d)(1) The report as of the prior June 30th must
be filed before November 1st of each year, but a report
with respect to a life insurance company must be filed be-
fore May 1st of each year as of the prior December 31.
The Mayor may postpone the reporting date upon written
request by any person required to file a report.
‘‘(2) In calendar year 1998, a report concerning all
property presumed to be abandoned as of October 31,
1997, must be filed no later than January 2, 1998.’’.
(2) NOTIFICATION OF OWNER.—Section 117(e)
of such Act (D.C. Code, sec. 42–217(e)) is amended
to read as follows:
‘‘(e) Not earlier than 120 days prior to filing the re-
port required under this section (and not later than 60
days prior to filing such report), the holder of property
presumed abandoned shall send written notice to the ap-
parent owner of the property stating that the holder is
in possession of property subject to this Act, but only if—
‘‘(1) the holder has in its records an address for
the apparent owner, unless the holder’s records indi-
cate that such address is not accurate; and
‘‘(2) the value of the property is at least $50.’’.
(3) PAYMENT OR DELIVERY OF PROPERTY TO
MAYOR.—Section 119 of such Act (D.C. Code, sec.
42–219) is amended by striking subsections (a), (b),
and (c) and inserting the following:
‘‘(a) Upon the filing of the report required under sec-
tion 117 with respect to property presumed abandoned,
the holder of the property shall pay or deliver (or cause
to be paid or delivered) to the Mayor the property de-
scribed in the report as abandoned, except that—
‘‘(1) in the case of property consisting of an
automatically renewable deposit for which a penalty
or forfeiture in the payment of interest would result
if payment were made to the Mayor at such time,
the holder may delay the payment or delivery of the
property to the Mayor until such time as the penalty
or forfeiture will not occur; and
‘‘(2) in the case of tangible property held in a
safe deposit box or other safekeeping depository, the
holder shall pay or deliver (or cause to be paid or
delivered) the property to the Mayor upon the expi-
ration of the 120-day period which begins on the
date the holder files the report required under sec-
tion 117.
‘‘(b) If the Mayor postpones the reporting date with
respect to the property under section 117(d), the holder,
upon receipt of the extension, may make an interim pay-
ment under this section on the amount the holder esti-
mates will ultimately be due.’’.
(4) CLARIFICATION
OF
USE
OF
ESTIMATED
PAYMENTS AND REPORTS.—Section 130(d) of such
Act (D.C. Code, sec. 42–230(d)) is amended to read
as follows:
‘‘(d) If a holder fails to maintain the records required
by section 132 and the records of the holder available for
the periods for which this Act applies to the property in-
volved are insufficient to permit the preparation of a re-
port and delivery of the property, the holder shall be re-
quired to report and pay such amounts as may reasonably
be estimated from any available records.’’.
(5) RETENTION OF RECORDS.—Section 132(a)
of such Act (D.C. Code, sec. 42–232(a)) is amended
to read as follows:
‘‘(a) Except as provided in subsection (b) and unless
the Mayor provides otherwise by rule, every holder re-
quired to file a report under section 117 shall retain all
books, records, and documents necessary to establish the
accuracy of such report and the compliance of the report
with the requirements of this Act for 10 years after the
property becomes reportable, together with a record of the
name and address of the owner of the property in the case
of any property for which the holder has obtained the last
known address of the owner.’’.
(e) DUTIES AND POWERS OF MAYOR.—
(1) INFORMATION
INCLUDED
IN
PUBLISHED
NOTICE
OF
ABANDONED
PROPERTY.—Section
118(b)(3) of such Act (D.C. Code, sec. 42–
218(b)(3)) is amended to read as follows:
‘‘(3) A statement that property of the owner is
presumed to be abandoned and has been taken into
the protective custody of the Mayor, except in the
case of property described in section 119(a)(1)
which is not paid or delivered to the Mayor pursuant
to such section.’’.
(2) INFORMATION
INCLUDED
IN
MAILED
NO-
TICE.—Section 118(e)(3) of such Act (D.C. Code,
sec. 42–218(e)(3)) is amended to read as follows:
‘‘(3) A statement explaining that property of
the owner is presumed to be abandoned, the prop-
erty has been taken into the protective custody of
the Mayor (other than property described in section
119(a)(1) which is not paid or delivered to the
Mayor pursuant to such section), and information
about the property and its return to the owner is
available to a person having a legal or beneficial in-
terest in the property, upon request to the Mayor.’’.
(3) TRANSITION
RULE
FOR
1997.—Section
118(g) of such Act (D.C. Code, sec. 42–218(g)) is
amended to read as follows:
‘‘(g) With respect to property reported and delivered
on or before January 2, 1998, pursuant to section
117(d)(2), the Mayor shall cause the newspaper notice re-
quired by subsection (a) and the notice mailed under sub-
section (d) to be completed no later than May 1, 1998.’’.
(4) IMPOSITION OF ONE-YEAR WAITING PERIOD
FOR SALE OF PROPERTY.—The first sentence of sec-
tion 122(a) of such Act (D.C. Code, sec. 42–222(a))
is amended by striking ‘‘may be sold’’ and inserting
the following: ‘‘which remains unclaimed one year
after the delivery to the Mayor may be sold’’.
(5) SPECIAL
RULE
FOR
SALE
OF
PROPERTY
CONSISTING OF SECURITIES.—Section 122 of such
Act (D.C. Code, sec. 42–222) is amended by adding
at the end the following new subsection:
‘‘(d)(1) Notwithstanding subsection (a), abandoned
property consisting of securities delivered to the Mayor
under this Act may not be sold under this section until
the expiration of the 3-year period which begins on the
date the property is delivered to the Mayor, except that
the Mayor may sell the property prior to the expiration
of such period if the Mayor finds that sale at such time
is in the best interests of the District of Columbia.
‘‘(2) If the Mayor sells any property described in
paragraph (1) prior to the expiration of the 3-year period
described in such paragraph, any person making a claim
with respect to the property pursuant to this Act prior
to the expiration of such period is entitled to either the
proceeds of the sale of the securities or the market value
of the securities at the time the claim is made, whichever
is greater, less any deduction for fees pursuant section
123(c). If the Mayor does not sell any such property prior
to the expiration of such 3-year period, a person may make
a claim with respect to the property in accordance with
section 124 and other applicable provisions of this Act.’’.
(6) STATUTE OF LIMITATIONS.—Section 129(b)
of such Act (D.C. Code, sec. 42–229(b)) is amended
to read as follows:
‘‘(b) No action or proceeding may be commenced by
the Mayor to enforce any provision of this Act with respect
to the reporting, delivery, or payment of property more
than 10 years after the holder specifically identified the
property in a report filed with the Mayor or gave express
notice to the Mayor of a dispute regarding the property.
The period of limitation shall be tolled in the absence of
such a report or other express notice, or by the filing of
a report that is fraudulent.’’.
(f) INTEREST AND PENALTIES.—
(1) IN
GENERAL.—Section 135 of such Act
(D.C. Code, sec. 42–235) is amended by striking
subsections (b), (c), and (d) and inserting the follow-
ing:
‘‘(b) Except as otherwise provided in subsection (c),
a person who fails to report, pay, or deliver property with-
in the time prescribed under this Act, or fails to perform
other duties imposed by this Act, shall pay (in addition
to the interest required under subsection (a)) a civil pen-
alty of $200 for each day the report, payment, or delivery
is withheld or the duty is not performed, up to a maximum
of $10,000.
‘‘(c) A person who willfully fails to report, pay, or
deliver property within the time prescribed under this Act,
or fails to perform other duties imposed by this Act, shall
pay (in addition to the interest required under subsection
(a)) a civil penalty of $1,000 for each day the report, pay-
ment, or delivery is withheld or the duty is not performed,
up to a maximum of $25,000, plus 25 percent of the value
of any property that should have been paid or delivered.
‘‘(d) The Mayor may waive the imposition of any in-
terest or penalty (or any part thereof) against any person
under subsection (b) or (c) if the person’s failure to pay
or deliver property is satisfactorily explained to the Mayor
and if the failure has resulted from a mistake by the per-
son in understanding or applying the law or the facts in-
volved.’’.
(2) FAILURE OF HOLDER TO EXERCISE DUE
DILIGENCE WITH RESPECT TO ITEMS SUBJECT TO
REPORTING.—Section 135 of such Act (D.C. Code,
sec. 42–235) is amended by adding at the end the
following new subsection:
‘‘(f) A holder who fails to exercise due diligence with
respect to information required to be reported under sec-
tion 117 shall pay (in addition to any other interest or
penalty which may be imposed under this section) a pen-
alty of $10 with respect to each item involved.’’.
(g) MISCELLANEOUS REVISIONS.—
(1) RESTRICTION ON AMOUNT CHARGED FOR
HOLDING CERTAIN BANK DEPOSITS AND FUNDS.—
(A) Section 106(e) of such Act (D.C. Code, sec. 42–
206(e)) is amended by adding at the end the follow-
ing new paragraph:
‘‘(4) The amount of the deduction is limited to an
amount that is not unconscionable.’’.
100
(B) Section 106(f) of such Act (D.C. Code, sec.
42–206(f)) is amended by adding at the end the fol-
lowing new paragraph:
‘‘(3) The amount of the deduction is limited to an
amount that is not unconscionable.’’.
(2) CLARIFICATION OF APPLICATION OF LAW
TO
WAGES
AND
OTHER
COMPENSATION.—Section
116 of such Act (D.C. Code, sec. 42–216) is amend-
ed by striking ‘‘Unpaid wages or outstanding payroll
checks’’ and inserting ‘‘Wages or other compensation
for personal services’’.
(h) EFFECTIVE DATE.—
(1) IN GENERAL.—The amendments made by
this section shall take effect on the date of the en-
actment of this Act.
(2) TRANSITION
RULE.—In the case of any
property which is presumed to be abandoned under
the Uniform Disposition of Unclaimed Property Act
of 1980 (as amended by this Act) during the 6-
month period which begins on the date of the enact-
ment of this Act and which would not be presumed
to be abandoned under such Act during such period
but for the amendments made by this Act, the prop-
erty may not be presumed to be abandoned under
such Act prior to the expiration of such period.
101
RESTRICTIONS ON BORROWING
SEC. 158. (a) PROHIBITING USE OF BORROWING TO
FINANCE OR REFUND ACCUMULATED GENERAL FUND
DEFICIT.—None of the funds made available in this Act
or in any other Act may be used by the District of Colum-
bia (including the District of Columbia Financial Respon-
sibility and Management Assistance Authority) at any
time before, on, or after the date of the enactment of this
Act to obtain borrowing to finance or refund the accumu-
lated general fund deficit of the District of Columbia exist-
ing as of September 30, 1997.
(b) RESTRICTIONS ON USE OF FUNDS FOR DEBT
RESTRUCTURING.—None of the funds made available in
this Act or in any other Act may be used by the District
of Columbia (including the District of Columbia Financial
Responsibility and Management Assistance Authority)
during fiscal year 1998 or any succeeding fiscal year to
obtain borrowing (including borrowing through the issu-
ance of any bonds, notes, or other obligations) to repay
any other borrowing of funds or issuance of bonds, notes,
or other obligations unless—
(1) the aggregate cost to the District of the new
borrowing or issuance does not exceed the aggregate
cost of the original borrowing or issuance; and
102
(2) the date provided for the final repayment of
the new borrowing or issuance is not later than the
date provided for the final repayment of the original
borrowing or issuance.
(c) PROHIBITING USE
OF FUNDS
FOR PRIVATE
BOND SALES.—None of the funds made available in this
Act or in any other Act may be used by the District of
Columbia (including the District of Columbia Financial
Responsibility and Management Assistance Authority)
during fiscal year 1998 or any succeeding fiscal year to
sell any bonds at a private sale.
REOPENING OF PENNSYLVANIA AVENUE
SEC. 159. Notwithstanding any other provision of law
or any other rule or regulation, beginning January 1,
1998, the portion of Pennsylvania Avenue in front of the
White House shall be reopened to regular vehicular traffic.
INDEPENDENCE IN CONTRACTING FOR CHIEF FINANCIAL
OFFICER AND INSPECTOR GENERAL
SEC. 160. (a) IN GENERAL.—Notwithstanding any
other provision of law, neither the Mayor of the District
of Columbia or the District of Columbia Financial Respon-
sibility and Management Assistance Authority may enter
into any contract with respect to any authority or activity
under the jurisdiction of the Chief Financial Officer or
Inspector General of the District of Columbia without the
103
consent and approval of the Chief Financial Officer or In-
spector General (as the case may be).
(b) EFFECT ON OTHER POWERS AND DUTIES OF AU-
THORITY.—Nothing in this section may be construed—
(1) to affect the ability of the District of Co-
lumbia Financial Responsibility and Management
Assistance Authority to remove the Chief Financial
Officer or Inspector General of the District of Co-
lumbia from office during a control year (as defined
in section 305(4) of the District of Columbia Finan-
cial Responsibility and Management Assistance Act
of 1995); or
(2) to exempt any contracts entered into by the
Chief Financial Officer or Inspector General from
review by the Authority under section 203(b) of such
Act.
MISCELLANEOUS PROVISIONS
SEC. 161. (a) DEPOSIT OF ANNUAL FEDERAL CON-
TRIBUTION WITH AUTHORITY.—
(1) IN GENERAL.—The District of Columbia Fi-
nancial Responsibility and Management Assistance
Act of 1995, as amended by section 11601(b)(2) of
the Balanced Budget Act of 1997, is amended by in-
serting after section 204 the following new section:
104
‘‘SEC. 205. DEPOSIT OF ANNUAL FEDERAL CONTRIBUTION
WITH AUTHORITY.
‘‘(a) IN GENERAL.—
‘‘(1) DEPOSIT INTO ESCROW ACCOUNT.—In the
case of a fiscal year which is a control year, the Sec-
retary of the Treasury shall deposit any Federal
contribution to the District of Columbia for the year
authorized under section 11601(c)(2) of the Bal-
anced Budget Act of 1997 into an escrow account
held by the Authority, which shall allocate the funds
to the Mayor at such intervals and in accordance
with such terms and conditions as it considers ap-
propriate to implement the financial plan for the
year. In establishing such terms and conditions, the
Authority shall give priority to using the Federal
contribution for cash flow management and the pay-
ment of outstanding bills owed by the District gov-
ernment.
‘‘(2) EXCEPTION FOR AMOUNTS WITHHELD FOR
ADVANCES.—Paragraph (1) shall not apply with re-
spect to any portion of the Federal contribution
which is withheld by the Secretary of the Treasury
in accordance with section 605(b)(2) of title VI of
the District of Columbia Revenue Act of 1939 to re-
imburse the Secretary for advances made under title
VI of such Act.
105
‘‘(b) EXPENDITURE OF FUNDS FROM ACCOUNT IN
ACCORDANCE WITH AUTHORITY INSTRUCTIONS.—Any
funds allocated by the Authority to the Mayor from the
escrow account described in paragraph (1) may be ex-
pended by the Mayor only in accordance with the terms
and conditions established by the Authority at the time
the funds are allocated.’’.
(2) CLERICAL AMENDMENT.—The table of con-
tents for such Act is amended by inserting after the
item relating to section 204 the following new item:
‘‘Sec. 205. Deposit of annual Federal contribution with Authority.’’.
(3) EFFECTIVE DATE.—The amendments made
by this subsection shall take effect as if included in
the enactment of the Balanced Budget Act of 1997.
(b) DISHONORED CHECK COLLECTION.—The Act en-
titled ‘‘An Act to authorize the Commissioners of the Dis-
trict of Columbia to prescribe penalties for the handling
and collection of dishonored checks’’, approved September
28, 1965 (D.C. Code, sec. 1–357) is amended—
(1) in subsection (a) by inserting after the third
sentence the following: ‘‘The Mayor may enter into
a contract to collect the amount of the original obli-
gation.’’; and
(2) by adding at the end the following new sub-
sections:
106
‘‘(c) In a case in which the amount of a dishonored
or unpaid check is collected as a result of a contract, the
Mayor shall collect any costs or expenses incurred to col-
lect such amount from such person who gives or causes
to be given, in payment of any obligation or liability due
the government of the District of Columbia, a check which
is subsequently dishonored or not duly paid. In a case in
which the amount of a dishonored or unpaid check is col-
lected as a result of an action at law or in equity, such
costs and expenses shall include litigation expenses and
attorney’s fees.
‘‘(d) An action at law or in equity for the recovery
of any amount owed to the District as a result of sub-
section (c), including any litigation expenses or attorney’s
fees may be initiated—
‘‘(1) by the Corporation Counsel of the District
of Columbia; or
‘‘(2) in a case in which the Corporation Counsel
does not exercise his or her authority, by the person
who provides collection services as a result of a con-
tract with the Mayor.
‘‘(e) Nothing in this section may be construed to
eliminate the Mayor’s exclusive authority with respect to
any obligations and liabilities of the District of Colum-
bia.’’.
107
(c) REQUIRING DISTRICT GOVERNMENT OFFICIALS
TO PROVIDE INFORMATION UPON REQUEST TO CONGRES-
SIONAL COMMITTEES.—Notwithstanding any provision of
law or any other rule or regulation, during fiscal year
1998 and each succeeding fiscal year, at the request of
the Committee on Appropriations of the House of Rep-
resentatives, the Committee on Appropriations of the Sen-
ate, the Committee on Government Reform and Oversight
of the House of Representatives, or the Committee on
Governmental Affairs of the Senate, any officer or em-
ployee of the District of Columbia government (including
any officer or employee of the District of Columbia Finan-
cial Responsibility and Management Assistance Authority)
shall provide the Committee with such information and
materials as the Committee may require, within such
deadline as the Committee may require.
(d) PROHIBITING CERTAIN HELICOPTER FLIGHTS
OVER DISTRICT.—None of the funds made available in
this Act or in any other Act may be used by the District
of Columbia to grant a permit or license to any person
for purposes of any business in which the person provides
tours of any portion of the District of Columbia by heli-
copter.
(e) CONFORMING REFERENCES TO INTERNAL REVE-
NUE CODE OF 1986.—Section 4(28A) of the District of
108
Columbia Income and Franchise Act of 1947 (D.C. Code,
sec. 47–1801.4(28A)) is amended to read as follows:
‘‘(28A) The term ‘Internal Revenue Code of
1986’ means the Internal Revenue Code of 1986
(100 Stat. 2085; 26 U.S.C. 1 et seq.), as amended
through August 20, 1996. The provisions of the In-
ternal Revenue Code of 1986 shall be effective on
the same dates that they are effective for Federal
tax purposes.’’.
(f) STANDARD FOR REVIEW OF RECOMMENDATIONS
OF BUSINESS REGULATORY REFORM COMMISSION IN RE-
VIEW
OF
REGULATIONS
BY
AUTHORITY.—Section
11701(a)(1) of the Balanced Budget Act of 1997 is
amended by striking the second sentence and inserting the
following: ‘‘In carrying out such review, the Authority
shall include an explicit reference to each recommendation
made by the Business Regulatory Reform Commission
pursuant to the Business Regulatory Reform Commission
Act of 1994 (D.C. Code, sec. 2–4101 et seq.), together
with specific findings and conclusions with respect to each
such recommendation.’’.
(g) TECHNICAL CORRECTIONS RELATING TO BAL-
ANCED BUDGET ACT OF 1997.—(1) Effective as if in-
cluded in the enactment of the Balanced Budget Act of
1997, section 453(c) of the District of Columbia Home
109
Rule Act (D.C. Code, sec. 47–304.1(c)), as amended by
section 11243(d) of the Balanced Budget Act of 1997, is
amended to read as follows:
‘‘(c) Subsection (a) shall not apply to amounts appro-
priated or otherwise made available to the Council, the
District of Columbia Financial Responsibility and Man-
agement Assistance Authority established under section
101(a) of the District of Columbia Financial Responsibil-
ity and Management Assistance Act of 1995, or the Dis-
trict of Columbia Water and Sewer Authority established
pursuant to the Water and Sewer Authority Establish-
ment and Department of Public Works Reorganization
Act of 1996.’’.
(2) Section 11201(g)(2)(A)(ii) of the Balanced Budg-
et Act of 1997 is amended—
(A) in the heading, by striking ‘‘DEPARTMENT
OF PARKS AND RECREATION’’ and inserting ‘‘PARKS
AUTHORITY’’; and
(B) by striking ‘‘Department of Parks and
Recreation’’ and inserting ‘‘Parks Authority’’.
(h) REPEAL OF PRIOR NOTICE REQUIREMENT FOR
FEDERAL ACTIVITIES AFFECTING REAL PROPERTY IN
DISTRICT OF COLUMBIA.—Effective October 1, 1997, the
Balanced Budget Act of 1997 (Public Law 105–33) is
amended by striking section 11715.