IB 
Union Calendar No. 434 
109TH CONGRESS 
2D SESSION 
H. R. 5316 
[Report No. 109–519, Parts I and II] 
To reestablish the Federal Emergency Management Agency as a cabinet- 
level independent establishment in the executive branch that is respon-
sible for the Nation’s preparedness for, response to, recovery from, and 
mitigation against disasters, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 9, 2006 
Mr. YOUNG of Alaska (for himself, Mr. OBERSTAR, Mr. TOM DAVIS of Vir-
ginia, Mr. OBEY, Mr. SHUSTER, Ms. NORTON, Mr. SHAW, Mr. RAHALL, 
Mr. BAKER, Mr. DEFAZIO, Mr. BACHUS, Mr. COSTELLO, Mr. BUYER, 
Mr. NADLER, Mr. MICA, Ms. CORRINE BROWN of Florida, Mr. FOLEY, 
Mr. FILNER, Mrs. KELLY, Ms. EDDIE BERNICE JOHNSON of Texas, Mr. 
LATOURETTE, 
Mr. 
TAYLOR
of 
Mississippi, 
Mrs. 
MYRICK, 
Ms. 
MILLENDER-MCDONALD, Mr. WAMP, Mr. CUMMINGS, Mrs. EMERSON, 
Mr. BLUMENAUER, Ms. GRANGER, Mr. BOSWELL, Mr. PICKERING, Mr. 
HOLDEN, Mrs. JO ANN DAVIS of Virginia, Mr. BAIRD, Mr. MILLER of 
Florida, Ms. BERKLEY, Mr. BONNER, Mr. MATHESON, Mr. COLE of 
Oklahoma, Mr. HONDA, Mr. BOUSTANY, Mr. LARSEN of Washington, Mr. 
JINDAL, Mr. CAPUANO, Mr. KUHL of New York, Mr. WEINER, Mr. POE, 
Ms. CARSON, Mr. BISHOP of New York, Mr. DAVIS of Tennessee, Mr. 
CHANDLER, Mr. HIGGINS, Mr. CARNAHAN, Ms. SCHWARTZ of Pennsyl-
vania, and Mr. FORD) introduced the following bill; which was referred 
to the Committee on Transportation and Infrastructure, and in addition 
to the Committees on Homeland Security and Government Reform, for 
a period to be subsequently determined by the Speaker, in each case for 
consideration of such provisions as fall within the jurisdiction of the com-
mittee concerned 
JUNE 22, 2006 
Additional sponsors: Mr. BOOZMAN, Mr. SALAZAR, Mr. MARCHANT, Mr. 
BONILLA, Mr. DINGELL, Mr. Ehlers, Mr. MCHENRY, Mr. NEY, Mr. 
JOHNSON of Illinois, Mr. FEENEY, Mr. FORTUN˜O, Mr. MACK, Mr. 
BROWN of South Carolina, Mr. KELLER, Mr. MORAN of Kansas, Mr. 
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MICHAUD, Mr. GERLACH, Mr. MCINTYRE, Mr. BUTTERFIELD, Mr. MAN-
ZULLO, Mr. MURPHY, Mr. ORTIZ, Mr. COBLE, Ms. BORDALLO, Mr. 
FRANK of Massachusetts, Mr. LIPINSKI, Mr. MCGOVERN, Ms. MATSUI, 
Mr. ROTHMAN, Mr. RUPPERSBERGER, Mr. JEFFERSON, Mrs. CAPPS, Mr. 
KILDEE, Mr. SHERMAN, Mr. PETERSON of Minnesota, Mr. SCOTT of Vir-
ginia, Mr. GINGREY, Ms. KAPTUR, Mr. CLYBURN, and Ms. DELAURO 
JUNE 22, 2006 
Reported from the Committee on Government Reform with amendments 
[Omit the part struck through in brackets and insert the part printed in italic] 
DECEMBER 8, 2006 
Additional sponsors: Mr. ENGEL, Mrs. JONES of Ohio, Mr. KIND, Mr. 
KUCINICH, Ms. MCCOLLUM of Minnesota, Mr. NEAL of Massachusetts, 
Mr. REYES, Mr. RUSH, Mr. SABO, Ms. BALDWIN, Mr. BERMAN, Mr. 
BISHOP of Georgia, Ms. KILPATRICK of Michigan, Mr. TOWNS, Mr. 
OLVER, Mr. ROSS, Mr. BOUCHER, Mr. HOLT, Ms. WOOLSEY, and Mr. 
JACKSON of Illinois 
DECEMBER 8, 2006 
Reported from the Committee on Transportation and Infrastructure with an 
amendment 
[Strike out all after the enacting clause and insert the part printed in boldface roman] 
DECEMBER 8, 2006 
Referral to the Committee on Homeland Security extended for a period ending 
not later than December 8, 2006 
DECEMBER 8, 2006 
Referred to the Committee on Science for a period ending not later than De-
cember 8, 2006, for consideration of such provisions of the bill and 
amendments as fall within the jurisdiction of that committee pursuant to 
clause 1(o), rule X 
DECEMBER 8, 2006 
Committees on Homeland Security and Science discharged; committed to the 
Committee of the Whole House on the State of the Union and ordered 
to be printed 
A BILL 
To reestablish the Federal Emergency Management Agency 
as a cabinet-level independent establishment in the execu-
tive branch that is responsible for the Nation’s prepared-
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ness for, response to, recovery from, and mitigation 
against disasters, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Restoring Emergency Services to Protect Our Nation 
From Disasters Act of 2006’’ or the ‘‘RESPOND Act of 
2006’’. 
(b) TABLE OF CONTENTS.— 
Sec. 1. Short title; table of contents. 
Sec. 2. Findings. 
Sec. 3. Definitions. 
TITLE I—ESTABLISHMENT OF AN INDEPENDENT FEDERAL 
EMERGENCY MANAGEMENT AGENCY 
Subtitle A—Federal Emergency Management Agency 
Sec. 101. Establishment of Agency. 
Sec. 102. Responsibilities. 
Sec. 103. Director; Deputy Director. 
Sec. 104. Office of the Inspector General. 
Sec. 105. Transfer of functions. 
Sec. 106. Personnel and other transfers. 
Sec. 107. Savings provisions. 
Sec. 108. Conforming and technical amendments. 
Subtitle B—Federal Emergency Management Agency Personnel 
Sec. 121. Workforce development. 
Subtitle C—Federal Emergency Management Agency Procurement 
Sec. 131. Limitations on tiering of subcontractors. 
Sec. 132. Limitation on length of certain noncompetitive contracts. 
Sec. 133. Prohibition of consideration of political affiliation in award of con-
tracts. 
TITLE II—STRENGTHENING THE FEDERAL EMERGENCY 
MANAGEMENT AGENCY 
Sec. 201. Catastrophic planning program. 
Sec. 202. Emergency response teams. 
Sec. 203. Emergency operations centers. 
Sec. 204. Logistics. 
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Sec. 205. Communications. 
Sec. 206. Emergency equipment assistance. 
Sec. 207. Oversight and accountability of Federal disaster expenditures. 
TITLE III—COMPREHENSIVE EMERGENCY PREPAREDNESS 
SYSTEM 
Sec. 301. National emergency preparedness. 
SEC. 2. FINDINGS. 
Congress finds the following: 
(1) Hurricane Katrina struck the Gulf Coast on 
the morning of August 29, 2005, with a ferocity 
that left more than 1,300 individuals dead and al-
tered the physical and social landscape of the region 
for years to come. 
(2) Failures at all levels of government signifi-
cantly undermined and detracted from the heroic ef-
forts of emergency responders, private individuals 
and organizations, faith-based groups, and others 
who struggled to assist the people of the Gulf Coast. 
(3) Hurricane Katrina revealed that the Nation, 
in general, and the Department of Homeland Secu-
rity, in particular, are unprepared for a major nat-
ural disaster, accident, or terrorist attack. 
(4) Multiple investigations, including those by 
the select committee to investigate the preparation 
for and response to Hurricane Katrina of the House 
of Representatives, the Committee on Homeland Se-
curity and Governmental Affairs of the Senate, the 
General Accountability Office, the Inspector General 
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of the Department of Homeland Security, and the 
Homeland Security Council established by the Presi-
dent, identified the magnitude of the storm, failures 
of leadership, and a flawed disaster management 
system at all levels of government as reasons for the 
inadequate government response. 
(5) The creation of the Department of Home-
land Security placed an additional layer of manage-
ment and response authority between the President 
and the Federal Emergency Management Agency (in 
this section referred to as ‘‘FEMA’’), marginalizing 
the authority of the Director of FEMA. 
(6) During the response to Hurricane Katrina, 
the Department of Homeland Security executed im-
portant elements of the National Response Plan late, 
ineffectively, or not at all. 
(7) The competing priorities of the terrorism 
prevention mission of the Department of Homeland 
Security and the disaster management mission of 
FEMA significantly contributed to the rapid decline 
of FEMA’s capability to coordinate the Federal re-
sponse to Hurricane Katrina. 
(8)
The
transfer
of
FEMA’s
preparedness 
grants and functions to other entities of the Depart-
ment of Homeland Security, FEMA’s tremendous 
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loss of experienced professional personnel, and the 
reduction of FEMA’s funding for equipment, train-
ing, and exercises made FEMA’s inadequate per-
formance in the face of a disaster the size of Hurri-
cane Katrina all but inevitable. 
(9) While some Federal departments and agen-
cies, such as the Coast Guard, performed admirably, 
others were inadequately prepared for Hurricane 
Katrina and executed their responsibilities under the 
National Response Plan poorly. 
(10) The preparedness level and capabilities of 
State and local governments to respond to Hurri-
cane Katrina varied tremendously. Some responded 
effectively while others struggled to evacuate their 
populations or conduct effective response operations. 
(11) The Federal Government has spent more 
than $15,000,000,000 on first responder grants 
since 2001, but the Nation’s core emergency man-
agement capabilities have improved little and even 
declined in some important respects. Federal home-
land security grant programs inadvertently divided 
what was once a single, all-hazards preparedness 
system into 2 artificially separate preparedness cat-
egories of terrorism and other disasters. 
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(12) Comprehensive reform of the Nation’s 
emergency management system is necessary to ad-
dress the dangers presented by major disasters and 
emergencies of all kinds. 
(13) The Nation’s emergency management sys-
tem is based on the following general principles: 
(A) Incidents are best managed at the low-
est level of government. 
(B) Federal assistance is provided in sup-
port of State governments. 
(C) Military assistance is provided in sup-
port of civil authorities. 
(14) Large disasters require presidential in-
volvement to lead the Federal response and mobilize 
the assets of the entire Federal Government, par-
ticularly Department of Defense assistance, and the 
President needs solid professional advice in pre-
paring for and responding to a disaster to make the 
right decisions. 
(15) Preparing for and responding to disasters, 
regardless of the cause, must be the top priority of 
the organization responsible for disaster manage-
ment. 
(16) The coordination of preparedness and 
planning to reduce the consequences of all hazards, 
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including terrorism, is and has always been part of 
FEMA’s primary mission. 
(17) FEMA should be reestablished as an inde-
pendent cabinet-level agency to coordinate the Fed-
eral response on behalf of the President and to lead 
the Nation’s efforts to improve the Nation’s all-haz-
ards emergency management system. 
(18) Establishing FEMA as an independent 
agency will enable the Department of Homeland Se-
curity to refocus efforts on preventing terrorism and 
free FEMA from internal competition with the ter-
rorism prevention entities of the Department for re-
sources and personnel. 
(19) The 4 elements of comprehensive emer-
gency management (preparedness, response, recov-
ery, and mitigation) must be closely integrated and 
managed within FEMA. 
(20) FEMA’s assets and capabilities to coordi-
nate the Federal response to a catastrophic disaster 
must
be
restored
and
enhanced.
In
particular, 
FEMA’s professional workforce and its incident 
command, communications, and logistics capabilities 
must be improved. 
(21) The tension between the Nation’s all haz-
ards emergency management system and terrorism 
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preparedness must be resolved. An all-hazards ap-
proach fully addresses terrorism, but preparing for 
terrorism alone does not address all aspects of the 
other hazards. 
(22) Governments at all levels have historically 
analyzed past disaster responses by participating in 
lessons-learned exercises, yet too often have failed to 
act upon recommendations necessary to produce a 
more effective and efficient response to future disas-
ters. 
(23) Congress should ensure the establishment 
of an all-hazards, comprehensive national emergency 
preparedness goal and system that will— 
(A) ensure a consistent approach to do-
mestic incident management; 
(B) establish target capabilities that each 
level of government should possess or to which 
it should have access; 
(C) direct resources to filling capability 
gaps and regularly assess the Nation’s pre-
paredness level; and 
(D) ensure that lessons learned and best 
practices are fully incorporated into the further 
development
of
the
emergency
preparedness 
system. 
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SEC. 3. DEFINITIONS. 
(a) IN GENERAL.—In this Act, the following defini-
tions apply: 
(1) AGENCY.—The term ‘‘Agency’’ means the 
Federal Emergency Management Agency established 
under section 101. 
(2) DIRECTOR.—The term ‘‘Director’’ means 
the Director of the Federal Emergency Management 
Agency appointed under section 103. 
(3) EMERGENCY.—The term ‘‘emergency’’ has 
the meaning given that term in section 102 of the 
Robert T. Stafford Disaster Relief and Emergency 
Assistance Act (42 U.S.C. 5122). 
(4) EMERGENCY
PREPAREDNESS.—The term 
‘‘emergency preparedness’’ has the meaning given 
that term in section 602(a) of the Robert T. Staf-
ford Disaster Relief and Emergency Assistance Act 
(42 U.S.C. 5195a(a)). 
(5) HAZARD.—The term ‘‘hazard’’ has the 
meaning given that term in section 602(a) of the 
Robert T. Stafford Disaster Relief and Emergency 
Assistance Act (42 U.S.C. 5195a(a)). 
(6) LOCAL
GOVERNMENT.—The term ‘‘local 
government’’ has the meaning given that term in 
section 102 of the Robert T. Stafford Disaster Relief 
and Emergency Assistance Act (42 U.S.C. 5122). 
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(7) MAJOR DISASTER.—The term ‘‘major dis-
aster’’ has the meaning given that term in section 
102 of the Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5122). 
(8) MISSION ASSIGNMENT.—The term ‘‘mission 
assignment’’ means a work order issued to a Federal 
agency by the Federal Emergency Management 
Agency, directing completion by that agency of a 
specified task and setting forth funding, other mana-
gerial controls, and guidance. 
(9) STATE.—The term ‘‘State’’ has the mean-
ing given that term in section 102 of the Robert T. 
Stafford Disaster Relief and Emergency Assistance 
Act (42 U.S.C. 5122). 
TITLE I—ESTABLISHMENT OF AN 
INDEPENDENT
FEDERAL 
EMERGENCY
MANAGEMENT 
AGENCY 
Subtitle A—Federal Emergency 
Management Agency 
SEC. 101. ESTABLISHMENT OF AGENCY. 
(a) INDEPENDENT ESTABLISHMENT.—The Federal 
Emergency Management Agency is established as a cabi-
net-level
independent
establishment
in
the
executive 
branch. 
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(b) MISSION.—The primary mission of the Agency is 
to reduce the loss of life and property from all hazards, 
including major disasters, acts of terrorism, and other 
emergencies, by leading and supporting the Nation in a 
risk-based, comprehensive, emergency management sys-
tem of preparedness, response, recovery, and mitigation. 
SEC. 102. RESPONSIBILITIES. 
(a) IN GENERAL.—The responsibilities of the Agency 
include the following: 
(1) All functions and authorities prescribed by 
the Robert T. Stafford Disaster Relief and Emer-
gency Assistance Act (42 U.S.C. 5121 et seq.). 
(2) Carrying out its mission to reduce the loss 
of life and property from all hazards, including 
major disasters, acts of terrorism, and other emer-
gencies, by leading and supporting the Nation in a 
risk-based, comprehensive emergency management 
system of— 
(A) preparedness, by leading and coordi-
nating the effort to build Federal, State, and 
local emergency management capabilities and 
readiness
to
effectively
respond
to,
recover 
from, and mitigate against all hazards; 
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(B) response, by leading and coordinating 
emergency
operations
to
save
lives,
protect 
property, and meet basic human needs; 
(C) recovery, by rebuilding communities so 
individuals, businesses, and governments can 
function on their own, return to normal life, 
and protect against future hazards; 
(D) mitigation, by taking sustained actions 
to reduce or eliminate long-term risk to people 
and property from hazards and their effects; 
and 
(E) increased efficiencies, by coordinating 
efforts relating to preparedness, response, re-
covery, and mitigation. 
(3) Leading, in consultation with the Office of 
Personnel and Management, the Federal Govern-
ment’s continuity of operations programs by— 
(A) formulating guidance and establishing 
common standards for the Federal Government 
to use in developing viable, executable con-
tinuity of operations plans; 
(B) facilitating interagency coordination, 
as appropriate; and 
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(C) overseeing and assessing the status of 
continuity of operations capabilities within the 
Federal Government. 
(b) NATIONAL RESPONSE PLAN.— 
(1)
ROLE
OF
FEMA.—Notwithstanding
any 
other provision of law, the Agency shall be the lead 
agency for the National Response Plan. 
(2) REVISION OF RESPONSE PLAN.—Not later 
than 30 days after the date of enactment of this 
Act, the Director shall revise the National Response 
Plan to reflect the establishment of and incorporate 
the Agency as an independent establishment under 
this Act. 
SEC. 103. DIRECTOR; DEPUTY DIRECTOR. 
(a) DIRECTOR.— 
(1) IN GENERAL.—The Agency shall be headed 
by a Director, who shall be appointed by the Presi-
dent, by and with the advice and consent of the Sen-
ate, and who shall report directly to the President. 
The Director shall be compensated at the rate pro-
vided for at level I of the Executive Schedule under 
section 5312 of title 5, United States Code. 
(2) QUALIFICATIONS.—The Director shall be 
appointed from among individuals who have exten-
sive experience in emergency preparedness, response, 
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recovery, and mitigation for all hazards, including 
major disasters, acts of terrorism, and other emer-
gencies. 
ø(3) TERM OF OFFICE.—The term of office of 
an individual appointed as the Director shall be 5 
years. Such individual may be appointed in accord-
ance with paragraph (1) for an additional term of 5 
years.¿ 
ø(4)¿ (3) CONFORMING AMENDMENT.—Section 
5312 of title 5, United States Code, is amended by 
adding at the end the following: 
‘‘Director of the Federal Emergency Manage-
ment Agency.’’. 
(b) DEPUTY DIRECTOR.— 
(1) IN GENERAL.—The Agency shall have one 
Deputy Director appointed in the competitive service 
by the Director. 
(2)
QUALIFICATIONS.—The
Deputy
Director 
shall be appointed from among individuals who have 
extensive experience in emergency preparedness, re-
sponse, recovery, and mitigation for all hazards, in-
cluding major disasters, acts of terrorism, and other 
emergencies. 
(3) DUTIES.—The Deputy Director shall— 
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(A) carry out duties and powers prescribed 
by the Director; and 
(B) act for the Director when the Director 
is absent or unable to serve or when the posi-
tion of the Director is vacant. 
SEC. 104. OFFICE OF THE INSPECTOR GENERAL. 
The Agency shall have an office of the Inspector Gen-
eral, headed by an Inspector General, in accordance with 
the Inspector General Act of 1978 (Public Law 95–452; 
5 U.S.C. App.). 
SEC. 105. TRANSFER OF FUNCTIONS. 
(a) IN GENERAL.—There shall be transferred to the 
Director— 
(1) the functions of the Department of Home-
land Security relating to the Federal Emergency 
Management Agency, including the functions of the 
Department under sections 430(c)(3), 430(c)(8), 
502 (other than paragraph (2)), and 503(1) of the 
Homeland Security Act of 2002 (6 U.S.C. 238(c)(3), 
238(c)(8), 312, 313(1)); 
(2) other functions of the Directorate for Pre-
paredness of the Department (other than those func-
tions relating to law enforcement efforts to prevent 
and deter acts of terrorism, protect critical infra-
structure, and conduct intelligence activities); and 
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(3) the functions relating to the Agency under 
any other law, including— 
(A) the National Flood Insurance Act of 
1968 (42 U.S.C. 4001 et seq.); 
(B) the Robert T. Stafford Disaster Relief 
and Emergency Assistance Act (42 U.S.C. 5121 
et seq.); 
(C) the Earthquake Hazards Reduction 
Act of 1977 (42 U.S.C. 7701 et seq.); 
(D) the National Dam Safety Program Act 
(33 U.S.C. 467 et seq.); 
(E) the Federal Fire Prevention and Con-
trol Act of 1974 (15 U.S.C. 2201 et seq.); and 
(F) Reorganization Plan No. 3 of 1978 (5 
U.S.C. App.). 
(b) TRANSITION PERIOD.—The transfers under this 
section shall be carried not later than February 1, 2007. 
During the transition period, the Secretary of Homeland 
Security shall provide to the Director such assistance, in-
cluding the use of personnel and assets, as the Director 
may request in preparing for the transfer. 
(c) TRANSITION.—The Director may use— 
(1) the services of such officers, employees, and 
other personnel of the Agency with respect to func-
tions transferred by this section; and 
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(2) funds appropriated to such functions for 
such period of time as may reasonably be needed to 
facilitate the orderly implementation of this section. 
(d) LIAISON OFFICE
TO ENSURE COORDINATION 
WITH THE DEPARTMENT OF HOMELAND SECURITY.— 
The Director shall establish a liaison office within the 
Agency to ensure adequate coordination with the Depart-
ment of Homeland Security during an actual or potential 
terrorist incident. 
SEC. 106. PERSONNEL AND OTHER TRANSFERS. 
(a) PERSONNEL PROVISIONS.— 
(1)
øAPPOINTMENTS.—¿APPLICABILITY
OF 
CIVIL
SERVICE
LAWS.—The Director may appoint 
and fix the compensation of such officers and em-
ployees, including investigators, attorneys, and ad-
ministrative law judges, as may be necessary to 
carry out the respective functions transferred under 
section 105. øExcept as otherwise provided by law, 
such officers and employees shall be appointed in ac-
cordance with the civil service laws and their com-
pensation fixed in accordance with title 5, United 
States Code.¿ Such officers and employees shall be 
subject to the appointment, compensation, and other 
provisions of title 5, United States Code, to the same 
extent and in the same manner as any other officer 
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or employee, as defined by chapter 21 of such title, ex-
cept that nothing in this Act shall be construed to 
permit or require that any officers or employees of the 
Agency be subject to chapter 97 of such title. 
(2) EXPERTS AND CONSULTANTS.—The Direc-
tor may obtain the services of experts and consult-
ants in accordance with section 3109 of title 5, 
United States Code, and compensate such experts 
and consultants for each day (including traveltime) 
during which they are engaged in the actual per-
formance of such services at rates not in excess of 
the rate of pay for level IV of the Executive Sched-
ule under section 5315 of such title. The Director 
may pay experts and consultants who are serving 
away from their homes or regular place of business, 
travel expenses and per diem in lieu of subsistence 
at rates authorized by sections 5702 and 5703 of 
such title for persons in Government service em-
ployed intermittently. 
(b) DELEGATION AND ASSIGNMENT.—Except where 
otherwise expressly prohibited by law or otherwise pro-
vided by this title, the Director may delegate any of the 
functions transferred to the Director by section 105 and 
any function transferred or granted to the Director after 
the date of the transfers by section 105 to such officers 
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and employees of the Agency as the Director may des-
ignate and may authorize successive redelegations of such 
functions as may be necessary or appropriate. No delega-
tion of functions by the Director under this subsection or 
under any other provision of this title shall relieve the Di-
rector of responsibility for the administration of such func-
tions. 
(c) REORGANIZATION.—The Director may allocate or 
reallocate any function transferred under section 105 
among the officers of the Agency, and may establish, con-
solidate, alter, or discontinue such organizational entities 
in the Agency as may be necessary or appropriate if the 
Director, on or before the 30th day preceding the date 
of the allocation or reallocation, provides to the Committee 
on Transportation and Infrastructure of the House of 
Representatives and the Committee on Homeland Security 
and Governmental Affairs of the Senate written notice of 
the allocation or reallocation. 
(d) RULES.—The Director may prescribe, in accord-
ance with the provisions of chapters 5 and 6 of title 5, 
United States Code, such rules and regulations as the Di-
rector determines necessary or appropriate to administer 
and manage the functions of the Agency. 
(e) TRANSFER AND ALLOCATIONS OF APPROPRIA-
TIONS AND PERSONNEL.—Except as otherwise provided 
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in this title, the personnel employed in connection with, 
and the assets, liabilities, contracts, property, records, and 
unexpended balances of appropriations, authorizations, al-
locations, and other funds employed, used, held, arising 
from, available to, or to be made available in connection 
with the functions transferred by section 105, subject to 
section 1531 of title 31, United States Code, shall be 
transferred to the Agency. Unexpended funds transferred 
pursuant to this subsection shall be used only for the pur-
poses for which the funds were originally authorized and 
appropriated. 
(f) INCIDENTAL TRANSFERS.—The Director of the 
Office of Management and Budget, in consultation with 
the Director, may make such determinations as may be 
necessary with regard to the functions transferred by sec-
tion 105, and may make such additional incidental disposi-
tions of personnel, assets, liabilities, grants, contracts, 
property, records, and unexpended balances of appropria-
tions, authorizations, allocations, and other funds held, 
used, arising from, available to, or to be made available 
in connection with such functions, as may be necessary 
to carry out the provisions of this title. The Director of 
the Office of Management and Budget shall provide for 
the termination of the affairs of all entities terminated by 
this title and for such further measures and dispositions 
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as may be necessary to effectuate the purposes of this 
title. 
(g) EFFECT ON PERSONNEL.— 
(1) IN
GENERAL.—Except as otherwise pro-
vided by this title, the transfer pursuant to this title 
of full-time personnel (except special Government 
employees) and part-time personnel holding perma-
nent positions shall not cause any such employee to 
be separated or reduced in grade or compensation 
for one year after the date of transfer of such em-
ployee under this title. 
(2) EXECUTIVE SCHEDULE POSITIONS.—Except 
as otherwise provided in this title, any person who, 
on the day preceding the date of the transfers of 
functions under section 105, held a position com-
pensated in accordance with the Executive Schedule 
prescribed in chapter 53 of title 5, United States 
Code, and who, without a break in service, is ap-
pointed in the Agency to a position having duties 
comparable to the duties performed immediately pre-
ceding such appointment shall continue to be com-
pensated in such new position at not less than the 
rate provided for such previous position, for the du-
ration of the service of such person in such new po-
sition. 
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