Title: Department of Veterans Affairs Accountability First Act of 2017
Policy area: Armed Forces and National Security

Summary:
Department of Veterans Affairs Accountability First Act of 2017
This bill authorizes the Department of Veterans Affairs (VA) to remove, demote by a reduction in grade and pay, or suspend a VA employee, including a member in a senior executive position, for reasons of performance or misconduct.
The bill prescribes VA removal and employee appeals procedures.
Whistle-blower protections are revised, including by prohibiting the VA from taking any such action against a person who has a pending whistle-blower complaint.
This bill provides for the reduction of federal annuities of VA employees and retirees convicted of a felony that influenced their performance while employed in such position.
The VA may recoup certain bonuses, awards, and reallocation expenses.
The VA may directly appoint qualifying individuals to the positions of Medical Center Director and Director of Veterans Integrated Service Network.
The bill revises time periods for adverse action reviews with respect to physicians, dentists, podiatrists, chiropractors, optometrists, registered nurses, physician assistants, and expanded-function dental auxiliaries.


[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 493 Introduced in Senate (IS)]

<DOC>






115th CONGRESS
  1st Session
                                 S. 493

 To amend title 38, United States Code, to provide for the removal or 
 demotion of employees of the Department of Veterans Affairs based on 
           performance or misconduct, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 2, 2017

   Mr. Rubio introduced the following bill; which was read twice and 
             referred to the Committee on Veterans' Affairs

_______________________________________________________________________

                                 A BILL


 
 To amend title 38, United States Code, to provide for the removal or 
 demotion of employees of the Department of Veterans Affairs based on 
           performance or misconduct, and for other purposes.

    Be it enacted by the Senate and House of Representatives 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 ``Department of 
Veterans Affairs Accountability First Act of 2017''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. References to title 38, United States Code.
Sec. 3. Removal, demotion, and suspension of employees based on 
                            performance or misconduct.
Sec. 4. Reduction of benefits for Department of Veterans Affairs 
                            employees convicted of certain crimes.
Sec. 5. Authority to recoup bonuses or awards paid to employees of 
                            Department of Veterans Affairs.
Sec. 6. Authority to recoup relocation expenses paid to or on behalf of 
                            employees of Department of Veterans 
                            Affairs.
Sec. 7. Time period for response to notice of adverse actions against 
                            supervisory employees who commit prohibited 
                            personnel actions.
Sec. 8. Direct hiring authority for medical center directors and VISN 
                            directors.
Sec. 9. Time periods for review of adverse actions with respect to 
                            certain employees.

SEC. 2. REFERENCES TO TITLE 38, UNITED STATES CODE.

    Except as otherwise expressly provided, whenever in this Act an 
amendment or repeal is expressed in terms of an amendment to, or repeal 
of, a section or other provision, the reference shall be considered to 
be made to a section or other provision of title 38, United States 
Code.

SEC. 3. REMOVAL, DEMOTION, AND SUSPENSION OF EMPLOYEES BASED ON 
              PERFORMANCE OR MISCONDUCT.

    (a) In General.--Subchapter I of chapter 7 is amended by adding at 
the end the following new section:
``Sec. 719. Employees: removal, demotion, or suspension based on 
              performance or misconduct
    ``(a) In General.--(1) The Secretary may remove, demote, or suspend 
a covered individual who is an employee of the Department if the 
Secretary determines the performance or misconduct of the covered 
individual warrants such removal, demotion, or suspension.
    ``(2) If the Secretary so removes, demotes, or suspends such a 
covered individual, the Secretary may--
            ``(A) remove the covered individual from the civil service 
        (as defined in section 2101 of title 5);
            ``(B) demote the covered individual by means of a reduction 
        in grade for which the covered individual is qualified, that 
        the Secretary determines is appropriate, and that reduces the 
        annual rate of pay of the covered individual; or
            ``(C) suspend the covered individual.
    ``(b) Pay of Certain Demoted Individuals.--(1) Notwithstanding any 
other provision of law, any covered individual subject to a demotion 
under subsection (a)(2) shall, beginning on the date of such demotion, 
receive the annual rate of pay applicable to such grade.
    ``(2)(A) A covered individual so demoted may not be placed on 
administrative leave during the period during which an appeal (if any) 
under this section is ongoing, and may only receive pay if the covered 
individual reports for duty or is approved to use accrued unused 
annual, sick, family medical, military, or court leave.
    ``(B) If a covered individual so demoted does not report for duty 
or receive approval to use accrued unused leave, such covered 
individual shall not receive pay or other benefits pursuant to 
subsection (e)(5).
    ``(c) Notice to Congress.--(1)(A) Not later than 30 days after 
removing, demoting, or suspending a covered individual employed in a 
senior executive position under subsection (a) or after removing, 
demoting, or suspending an individual under chapter 74 of this title, 
the Secretary shall submit to the Committee on Veterans' Affairs of the 
Senate, to the Committee on Veterans' Affairs of the House of 
Representatives, and to each Member of Congress representing a district 
in the State or territory where the facility where the individual was 
employed immediately before being removed, demoted, or suspended is 
located notice in writing of such removal, demotion, or suspension.
    ``(B) Such notice shall include the job title of the individual, 
the location where the individual was employed immediately before being 
removed, demoted, or suspended, the proposed action, and the reason for 
such removal, demotion, or suspension.
    ``(2)(A) Not later than 30 days after the last day of a fiscal 
year, the Secretary shall submit to the Committee on Veterans' Affairs 
of the Senate and the Committee on Veterans' Affairs of the House of 
Representatives a report listing all removals, demotions, and 
suspensions under this section or under chapter 74 of this title during 
such fiscal year.
    ``(B) Each such report shall include the job title of each 
individual removed, demoted, or suspended, the location where the 
individual was employed immediately before being so removed, demoted or 
suspended, the proposed action, and the reason for such removal, 
demotion, or suspension.
    ``(3) In this subsection, the term `senior executive position' 
means, with respect to a career appointee (as that term is defined in 
section 3132(a) of title 5), a Senior Executive Service position (as 
such term is defined in section 3132(a) of title 5).
    ``(d) Procedure.--(1)(A) Subsection (b) of section 7513 of title 5 
shall apply with respect to a removal, demotion, or suspension under 
this section, except that the period for notice and response, which 
includes the advance notice period required by paragraph (1) of such 
subsection and the response period required by paragraph (2) of such 
subsection, shall not exceed a total of 10 business days.
    ``(B) Subsection (c) of such section and section 7121 of such title 
shall not apply with respect to such a removal, demotion, or 
suspension.
    ``(2) The Secretary shall issue a final decision with respect to a 
removal, demotion, or suspension under this section--
            ``(A) in the case of a proposed removal, demotion, or 
        suspension to which a covered individual responds under 
        paragraph (1), not later than five business days after 
        receiving the response of the covered individual; or
            ``(B) in the case of a proposed removal, demotion, or 
        suspension to which a covered individual does not respond, not 
        later than 15 business days after the Secretary provides notice 
        to the covered individual under paragraph (1).
    ``(3) The procedures under chapter 43 of title 5 shall not apply to 
a removal, demotion, or suspension under this section.
    ``(4)(A) Subject to subparagraph (B) and subsection (e), any 
removal, demotion, or suspension under subsection (a) may be appealed 
to the Merit Systems Protection Board, which shall refer such appeal to 
an administrative judge pursuant to section 7701(b)(1) of title 5.
    ``(B) An appeal under subparagraph (A) of a removal, demotion, or 
suspension may only be made if such appeal is made not later than seven 
days after the date of such removal, demotion, or suspension.
    ``(e) Expedited Review.--(1) Upon receipt of an appeal under 
subsection (d)(4)(A), the administrative judge shall expedite any such 
appeal under section 7701(b)(1) of title 5 and, in any such case, shall 
issue a final and complete decision not later than 45 business days 
after the date of the appeal.
    ``(2)(A) Notwithstanding section 7701(c)(1)(B) of title 5, the 
administrative judge shall uphold the decision of the Secretary to 
remove, demote, or suspend an employee under subsection (a) if the 
decision is supported by substantial evidence.
    ``(B) If the decision of the Secretary is supported by substantial 
evidence, the administrative judge shall not mitigate the penalty 
prescribed by the Secretary.
    ``(3)(A) The decision of the administrative judge under paragraph 
(1) may be appealed to the Merit Systems Protection Board.
    ``(B) An appeal under subparagraph (A) of a decision of an 
administrative judge may only be made if such appeal is made not later 
than seven business days after the date of the decision of the 
administrative judge.
    ``(4) In any case in which the administrative judge cannot issue a 
decision in accordance with the 45-day requirement under paragraph (1), 
the Merit Systems Protection Board shall, not later than 14 business 
days after the expiration of the 45-day period, submit to the Committee 
on Veterans' Affairs of the Senate and the Committee on Veterans' 
Affairs of the House of Representatives a report that explains the 
reasons why a decision was not issued in accordance with such 
requirement.
    ``(5)(A) A decision of the Merit Systems Protection Board under 
paragraph (3) may be appealed to the United States Court of Appeals for 
the Federal Circuit pursuant to section 7703 of title 5.
    ``(B) An appeal under subparagraph (A) of a decision of the Merit 
Systems Protection Board may only be made if such appeal is made not 
later than seven business days after the date of the decision of the 
Board.
    ``(C) Any decision by such Court shall be in compliance with 
section 7462(f)(2) of this title.
    ``(6) The Merit Systems Protection Board may not stay any removal 
or demotion under this section.
    ``(7) During the period beginning on the date on which a covered 
individual appeals a removal from the civil service under subsection 
(d) and ending on the date that the United States Court of Appeals for 
the Federal Circuit issues a final decision on such appeal, such 
covered individual may not receive any pay, awards, bonuses, 
incentives, allowances, differentials, student loan repayments, special 
payments, or benefits related to the employment of the individual by 
the Department.
    ``(8) To the maximum extent practicable, the Secretary shall 
provide to the Merit Systems Protection Board such information and 
assistance as may be necessary to ensure an appeal under this 
subsection is expedited.
    ``(9) If an employee prevails on appeal under this section, the 
employee shall be entitled to backpay (as provided in section 5596 of 
title 5).
    ``(10) This subsection shall supercede any collective bargaining 
agreement to the extent that such an agreement conflicts with this 
subsection.
    ``(f) Whistleblower Protection.--(1) In the case of a covered 
individual seeking corrective action (or on behalf of whom corrective 
action is sought) from the Office of Special Counsel based on an 
alleged prohibited personnel practice described in section 2302(b) of 
title 5, the Secretary may not remove, demote, or suspend such covered 
individual under subsection (a) without the approval of the Special 
Counsel under section 1214(f) of title 5.
    ``(2) In the case of a covered individual who has filed a 
whistleblower complaint, as such term is defined in section 731 of this 
title, the Secretary may not remove, demote, or suspend such covered 
individual under subsection (a) until a final decision with respect to 
the whistleblower complaint has been made.
    ``(g) Termination of Investigations by Office of Special Counsel.--
(1) Notwithstanding any other provision of law, the Special Counsel 
(established by section 1211 of title 5) may terminate an investigation 
of a prohibited personnel practice alleged by an employee or former 
employee of the Department after the Special Counsel provides to the 
employee or former employee a written statement of the reasons for the 
termination of the investigation.
    ``(2) Such statement may not be admissible as evidence in any 
judicial or administrative proceeding without the consent of such 
employee or former employee.
    ``(h) Vacancies.--In the case of a covered individual who is 
removed or demoted under subsection (a), to the maximum extent 
feasible, the Secretary shall fill the vacancy arising as a result of 
such removal or demotion.
    ``(i) Definitions.--In this section:
            ``(1) The term `covered individual' means an individual 
        occupying a position at the Department, but does not include--
                    ``(A) an individual appointed pursuant to section 
                7306, 7401(1), or 7405 of this title;
                    ``(B) an individual who has not completed a 
                probationary or trial period; or
                    ``(C) a political appointee.
            ``(2) The term `suspend' means the placing of an employee, 
        for disciplinary reasons, in a temporary status without duties 
        and pay for a period in excess of 14 days.
            ``(3) The term `grade' has the meaning given such term in 
        section 7511(a) of title 5.
            ``(4) The term `misconduct' includes neglect of duty, 
        malfeasance, or failure to accept a directed reassignment or to 
        accompany a position in a transfer of function.
            ``(5) The term `political appointee' means an individual 
        who is--
                    ``(A) employed in a position described under 
                sections 5312 through 5316 of title 5 (relating to the 
                Executive Schedule);
                    ``(B) a limited term appointee, limited emergency 
                appointee, or noncareer appointee in the Senior 
                Executive Service, as defined under paragraphs (5), 
                (6), and (7), respectively, of section 3132(a) of title 
                5; or
                    ``(C) employed in a position of a confidential or 
                policy-determining character under schedule C of 
                subpart C of part 213 of title 5 of the Code of Federal 
                Regulations.''.
    (b) Repeal of Superceded Provision of Law.--
            (1) In general.--Section 713 is hereby repealed.
            (2) Clerical amendment.--The table of sections at the 
        beginning of chapter 7 is amended by striking the item relating 
        to section 713.
    (c) Clerical and Conforming Amendments.--
            (1) Clerical.--The table of sections at the beginning of 
        chapter 7 is amended by inserting after the item relating to 
        section 717 the following new item:

``719. Employees: removal, demotion, or suspension based on performance 
                            or misconduct.''.
            (2) Conforming.--Section 4303(f) of title 5, United States 
        Code, is amended--
                    (A) in paragraph (2), by striking ``or'' at the 
                end;
                    (B) in paragraph (3), by striking the period at the 
                end and inserting ``, or''; and
                    (C) by adding at the end the following:
            ``(4) any removal or demotion under section 719 of title 
        38.''.
    (d) Temporary Exemption From Certain Limitation on Initiation From 
Removal From Senior Executive Service.--During the 120-day period 
beginning on the date of the enactment of this Act, an action to remove 
an individual from the Senior Executive Service at the Department of 
Veterans Affairs pursuant to section 719 of title 38, United States 
Code, as added by subsection (a), may be initiated, notwithstanding 
section 3592(b) of title 5, United States Code, or any other provision 
of law.

SEC. 4. REDUCTION OF BENEFITS FOR DEPARTMENT OF VETERANS AFFAIRS 
              EMPLOYEES CONVICTED OF CERTAIN CRIMES.

    (a) Reduction of Benefits.--
            (1) In general.--Subchapter I of chapter 7, as amended by 
        section 3, is further amended by adding at the end the 
        following new section:
``Sec. 721. Reduction of benefits of employees convicted of certain 
              crimes
    ``(a) Reduction of Annuity for Removed Employee.--(1) The Secretary 
shall order that the covered service of an employee of the Department 
removed from a position for performance or misconduct under section 719 
or 7461 of this title or any other provision of law shall not be taken 
into account for purposes of calculating an annuity with respect to 
such individual under chapter 83 or chapter 84 of title 5, if--
            ``(A) the Secretary determines that the individual is 
        convicted of a felony that influenced the individual's 
        performance while employed in the position;
            ``(B) before such order is made, the individual is 
        afforded--
                    ``(i) notice of the proposed order; and
                    ``(ii) an opportunity to respond to the proposed 
                order by not later than ten business days following 
                receipt of such notice; and
            ``(C) the Secretary issues the order--
                    ``(i) in the case of a proposed order to which an 
                individual responds under subparagraph (B)(ii), not 
                later than five business days after receiving the 
                response of the individual; or
                    ``(ii) in the case of a proposed order to which an 
                individual does not respond, not later than 15 business 
                days after the Secretary provides notice to the 
                individual under subparagraph (B)(i).
    ``(2) Upon the issuance of an order by the Secretary under 
paragraph (1), the individual shall have an opportunity to appeal the 
order to the Director of the Office of Personnel Management before the 
date that is seven business days after the date of such issuance.
    ``(3) The Director of the Office of Personnel Management shall make 
a final decision with respect to an appeal under paragraph (2) not 
later than 30 business days after receiving the appeal.
    ``(b) Reduction of Annuity for Retired Employee.--(1) The Secretary 
may order that the covered service of an individual who is removed for 
performance or misconduct under section 719 or 7461 of this title or 
any other provision of law but who leaves employment at the Department 
prior to the issuance of a final decision with respect to such action 
shall not be taken into account for purposes of calculating an annuity 
with respect to such individual under chapter 83 or chapter 84 of title 
5, if--
            ``(A) the Secretary determines that the individual is 
        convicted of a felony that influenced the individual's 
        performance while employed in the position;
            ``(B) before such order is made, the individual is 
        afforded--
                    ``(i) notice of the proposed order; and
                    ``(ii) opportunity to respond to the proposed order 
                by not later than ten business days following receipt 
                of such notice; and
            ``(C) the Secretary issues the order--
                    ``(i) in the case of a proposed order to which an 
                individual responds under subparagraph (B)(ii), not 
                later than five business days after receiving the 
                response of the individual; or
                    ``(ii) in the case of a proposed order to which an 
                individual does not respond, not later than 15 business 
                days after the Secretary provides notice to the 
                individual under subparagraph (B)(i).
    ``(2) Upon the issuance of an order by the Secretary under 
paragraph (1), the individual shall have an opportunity to appeal the 
order to the Director of the Office of Personnel Management before the 
date that is seven business days after the date of such issuance.
    ``(3) The Director of the Office of Personnel Management shall make 
a final decision with respect to an appeal under paragraph (2) within 
30 business days of receiving the appeal.
    ``(c) Administrative Requirements.--Not later than 37 business days 
after the Secretary issues a final order under subsection (a) or (b) 
with respect to an individual, the Director of the Office of Personnel 
Management shall recalculate the annuity of the individual.
    ``(d) Lump-Sum Annuity Credit.--Any individual with respect to whom 
an annuity is reduced under subsection (a) or (b) shall be entitled to 
be paid so much of such individual's lump-sum credit as is attributable 
to the period of covered service.
    ``(e) Spouse or Children Exception.--(1) The Secretary, in 
consultation with the Director of the Office of Personnel Management, 
shall prescribe regulations that may provide for the payment to the 
spouse or children of any individual referred to in subsection (a) or 
(b) of any amounts which (but for this subsection) would otherwise have 
been nonpayable by reason of such subsections.
    ``(2) Regulations prescribed under paragraph (1) shall be 
consistent with the requirements of sections 8332(o)(5) and 8411(l)(5) 
of title 5, as the case may be.
    ``(f) Definitions.--In this section:
            ``(1) The term `covered service' means, with respect to an 
        individual subject to a removal for performance or misconduct 
        under section 719 or 7461 of this title or any other provision 
        of law, the period of service beginning on the date that the 
        Secretary determines under such applicable provision that the 
        individual engaged in activity that gave rise to such action 
        and ending on the date that the individual is removed from or 
        leaves a position of employment at the Department prior to the 
        issuance of a final decision with respect to such action.
            ``(2) The term `lump-sum credit' has the meaning given such 
        term in section 8331(8) or section 8401(19) of title 5, as the 
        case may be.
            ``(3) The term `service' has the meaning given such term in 
        section 8331(12) or section 8401(26) of title 5, as the case 
        may be.''.
            (2) Clerical amendment.--The table of sections at the 
        beginning of chapter 7 is amended by inserting after the item 
        relating to section 719, as added by section 3, the following 
        new item:

``721. Reduction of benefits of employees convicted of certain 
                            crimes.''.
    (b) Application.--Section 721 of title 38, United States Code, as 
added by subsection (a)(1), shall apply to any action of removal of an 
employee of the Department of Veterans Affairs under section 719 or 
7461 of such title or any other provision of law, commencing on or 
after the date of the enactment of this Act.

SEC. 5. AUTHORITY TO RECOUP BONUSES OR AWARDS PAID TO EMPLOYEES OF 
              DEPARTMENT OF VETERANS AFFAIRS.

    (a) In General.--Subchapter I of chapter 7, as amended by section 
4, is further amended by adding at the end the following new section:
``Sec. 723. Recoupment of bonuses or awards paid to employees of 
              Department
    ``(a) In General.--Notwithstanding any other provision of law, the 
Secretary may issue an order directing an employee of the Department to 
repay the amount, or a portion of the amount, of any award or bonus 
paid to the employee under title 5, including under chapter 45 or 53 of 
such title, or this title if--
            ``(1) the Secretary determines that the individual engaged 
        in misconduct or poor performance prior to payment of the award 
        or bonus, and that such award or bonus would not have been 
        paid, in whole or in part, had the misconduct or poor 
        performance been known prior to payment;
            ``(2) before such repayment, the employee is afforded--
                    ``(A) notice of the proposed order; and
                    ``(B) an opportunity to respond to the proposed 
                order by not later than 10 business days after the 
                receipt of such notice; and
            ``(3) the Secretary issues the order--
                    ``(A) in the case of a proposed order to which an 
                individual responds under paragraph (2)(B), not later 
                than five business days after receiving the response of 
                the individual; or
                    ``(B) in the case of a proposed order to which an 
                individual does not respond, not later than 15 business 
                days after the Secretary provides notice to the 
                individual under paragraph (2)(A).
    ``(b) Appeals.--Upon the issuance of an order by the Secretary 
under subsection (a) with respect to an individual, the individual 
shall have an opportunity to appeal the order to another department or 
agency of the Federal Government before the date that is seven business 
days after the date of such issuance.
    ``(c) Final Decisions.--The head of the applicable department or 
agency of the Federal Government shall make a final decision with 
respect to an appeal under subsection (b) within 30 business days after 
receiving such appeal.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter, as amended by section 4(a)(2), is further amended by 
inserting after the item relating to section 721 the following new 
item:

``723. Recoupment of bonuses or awards paid to employees of 
                            Department.''.
    (c) Effective Date.--Section 723 of title 38, United States Code, 
as added by subsection (a), shall apply with respect to an award or 
bonus paid by the Secretary of Veterans Affairs to an employee of the 
Department of Veterans Affairs on or after the date of the enactment of 
this Act.
    (d) Construction.--Nothing in this Act or the amendments made by 
this Act may be construed to modify the certification issued by the 
Office of Personnel Management and the Office of Management and Budget 
regarding the performance appraisal system of the Senior Executive 
Service of the Department of Veterans Affairs.

SEC. 6. AUTHORITY TO RECOUP RELOCATION EXPENSES PAID TO OR ON BEHALF OF 
              EMPLOYEES OF DEPARTMENT OF VETERANS AFFAIRS.

    (a) In General.--Subchapter I of chapter 7, as amended by section 
5, is further amended by adding at the end the following new section:
``Sec. 725. Recoupment of relocation expenses paid on behalf of 
              employees of Department
    ``(a) In General.--Notwithstanding any other provision of law, the 
Secretary may issue an order directing an employee of the Department to 
repay the amount, or a portion of the amount, paid to or on behalf of 
the employee under title 5 for relocation expenses, including any 
expenses under section 5724 or 5724a of such title, or this title if--
            ``(1) the Secretary determines that relocation expenses 
        were not lawfully authorized or that the employee committed an 
        act of fraud, waste, or malfeasance that influenced the 
        authorization of the relocation expenses;
            ``(2) before such repayment, the employee is afforded--
                    ``(A) notice of the proposed order; and
                    ``(B) an opportunity to respond to the proposed 
                order not later than ten business days following the 
                receipt of such notice; and
            ``(3) the Secretary issues the order--
                    ``(A) in the case of a proposed order to which an 
                individual responds under paragraph (2)(B), not later 
                than five business days after receiving the response of 
                the individual; or
                    ``(B) in the case of a proposed order to which an 
                individual does not respond, not later than 15 business 
                days after the Secretary provides notice to the 
                individual under paragraph (2)(A).
    ``(b) Appeals.--Upon the issuance of an order by the Secretary 
under subsection (a) with respect to an individual, the individual 
shall have an opportunity to appeal the order to another department or 
agency of the Federal Government before the date that is seven business 
days after the date of such issuance.
    ``(c) Final Decisions.--The head of the applicable department or 
agency of the Federal Government shall make a final decision with 
respect to an appeal under subsection (b) within 30 days after 
receiving such appeal.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is further amended by inserting after the item relating to 
section 723, as added by section 5(b), the following new item:

``725. Recoupment of relocation expenses paid to or on behalf of 
                            employees of Department.''.
    (c) Effective Date.--Section 725 of title 38, United States Code, 
as added by subsection (a), shall apply with respect to an amount paid 
by the Secretary of Veterans Affairs to or on behalf of an employee of 
the Department of Veterans Affairs for relocation expenses on or after 
the date of the enactment of this Act.

SEC. 7. TIME PERIOD FOR RESPONSE TO NOTICE OF ADVERSE ACTIONS AGAINST 
              SUPERVISORY EMPLOYEES WHO COMMIT PROHIBITED PERSONNEL 
              ACTIONS.

    Section 733(a)(2)(B) is amended--
            (1) in clause (i), by striking ``14 days'' and inserting 
        ``10 days''; and
            (2) in clause (ii), by striking ``14-day period'' and 
        inserting ``10-day period''.

SEC. 8. DIRECT HIRING AUTHORITY FOR MEDICAL CENTER DIRECTORS AND VISN 
              DIRECTORS.

    (a) In General.--Section 7401 is amended by adding at the end the 
following new paragraph:
            ``(4) Medical center directors and directors of Veterans 
        Integrated Service Networks with demonstrated ability in the 
        medical profession, in health care administration, or in health 
        care fiscal management.''.
    (b) Conforming Amendment.--Section 7404(a)(1) is amended by 
inserting ``and 7401(4)'' after ``7306''.

SEC. 9. TIME PERIODS FOR REVIEW OF ADVERSE ACTIONS WITH RESPECT TO 
              CERTAIN EMPLOYEES.

    (a) Physicians, Dentists, Podiatrists, Chiropractors, Optometrists, 
Registered Nurses, Physician Assistants, and Expanded-Function Dental 
Auxiliaries.--Section 7461(b)(2) is amended to read as follows:
    ``(2) In any case other than a case described in paragraph (1) that 
involves or includes a question of professional conduct or competence 
in which a major adverse action was not taken, such an appeal shall be 
made through Department grievance procedures under section 7463 of this 
title.''.
    (b) Major Adverse Actions Involving Professional Conduct or 
Competence.--Section 7462 is amended--
            (1) in subsection (b)--
                    (A) in paragraph (1)--
                            (i) in subparagraph (A), by striking ``At 
                        least 30'' and inserting ``Ten business''; and
                            (ii) in subparagraph (B)--
                                    (I) by striking ``A reasonable 
                                time, but not less than seven days'' 
                                and inserting ``The opportunity, within 
                                the ten-day notice period''; and
                                    (II) by striking ``orally and'';
                    (B) in paragraph (3)--
                            (i) by striking ``(A) If a proposed adverse 
                        action covered by this section is not 
                        withdrawn'' and inserting ``After considering 
                        the employee's answer, if any'';
                            (ii) by striking ``21 days'' and inserting 
                        ``5 business days'';
                            (iii) by striking ``answer. The decision 
                        shall include a statement of'' and inserting 
                        ``answer stating''; and
                            (iv) by striking subparagraph (B); and
                    (C) in paragraph (4)--
                            (i) by striking ``(A) The Secretary'' and 
                        all that follows through ``(B) The Secretary'' 
                        and inserting ``The Secretary''; and
                            (ii) by striking ``30 days'' and inserting 
                        ``seven business days'';
            (2) in subsection (c)--
                    (A) in paragraph (3), by inserting ``the hearing 
                must be concluded not later than 30 business days after 
                the date on which the appeal is filed, and'' after ``If 
                such a hearing is held,''; and
                    (B) in paragraph (4)--
                            (i) by striking ``45 days'' and inserting 
                        ``15 business days''; and
                            (ii) by striking ``120 days'' and inserting 
                        ``45 business days''; and
            (3) in subsection (d)(1), by striking ``90 days'' and 
        inserting ``15 business days''.
    (c) Other Adverse Actions.--Section 7463 is amended--
            (1) by striking subsection (b) and redesignating 
        subsections (c) through (e) as subsections (b) through (d), 
        respectively; and
            (2) in subsection (b)(2), as so redesignated--
                    (A) in subparagraph (A), by striking ``an advance'' 
                and inserting ``ten business days''; and
                    (B) in subparagraph (B)--
                            (i) by striking ``a reasonable time'' and 
                        inserting ``the opportunity, within the ten 
                        business day notice period,''; and
                            (ii) by striking ``orally and''.
                                 <all>