Bonuses for Cost-Cutters Act of 2017

Bill: 115-hr-378
Sponsor: full_name: Rep. Fleischmann, Charles J. "Chuck" [R-TN-3]
Introduced: 2017-01-09
Policy area: Government Operations and Politics
Subjects: Appropriations

Congressional oversight

Executive agency funding and structure

Fraud offenses and financial crimes

Government employee pay, benefits, personnel management
Latest action: action_date: 2017-10-16
text: Received in the Senate and Read twice and referred to the Committee on Homeland Security and Governmental Affairs.

Summaries:
action_date: 2017-01-09
action_desc: Introduced in House
text: <p><b>Bonuses for Cost-Cutters Act of 2017</b></p> <p>The bill authorizes the head of a federal agency to pay a cash award to any agency employee whose identification of unnecessary expenses has resulted in cost savings for the agency. The maximum dollar amount of such award is increased from $10,000 to $20,000. </p>   <p>If the Chief Financial Officer of the agency determines that potential unnecessary expenses identified by the employee meet applicable requirements, the head of the agency shall transfer the amount of the unnecessary expenses or unnecessary budget authority from the applicable appropriations account to the general fund of the Treasury. Any amount so transferred shall be deposited in the Treasury and used for deficit reduction or to reduce the federal debt, if there is no current budget deficit.</p> <p>An agency head may retain not more than 10% of amounts transferred to the general fund of the Treasury.</p> <p>The bill expands the list of federal officers and employees ineligible to receive a cash award. </p>

action_date: 2017-10-10
action_desc: Reported to House with amendment(s)
text: <p><strong>Bonuses for Cost-Cutters Act of 2017</strong> </p> <p>This bill expands the awards program for cost-saving identifications&nbsp;by federal employees of fraud, waste, or mismanagement to include identifications of&nbsp;certain operational expenses that are&nbsp;wasteful. An agency must propose any such identified wasteful expenses for rescission.</p> <p>The bill also doubles the maximum cash award that may be made under the program.</p> <p class="MsoNormal"></p>

action_date: 2017-10-11
action_desc: Passed House amended
text: <strong><br />Bonuses for Cost-Cutters Act of 2017</strong> <p>This bill expands the awards program for cost-saving identifications&nbsp;by federal employees of fraud, waste, or mismanagement to include identifications of&nbsp;certain operational expenses that are&nbsp;wasteful. An agency must propose any such identified wasteful expenses for rescission.</p> <p>The bill also doubles the maximum cash award that may be made under the program.</p> <p class="MsoNormal" />

tv_txt: I 115th CONGRESS 1st Session H. R. 378 IN THE HOUSE OF REPRESENTATIVES January 9, 2017 Mr. Fleischmann (for himself and Mr. Cooper ) introduced the following bill; which was referred to the Committee on Oversight and Government Reform A BILL To amend title 5, United States Code, to enhance the authority under which Federal agencies may pay cash awards to employees for making cost saving disclosures, and for other purposes.

1. Short title This Act may be cited as the Bonuses for Cost-Cutters Act of 2017 . 2. Cost savings enhancements (a) Definitions Section 4511 of title 5, United States Code, is amended— (1) in the section heading, by striking Definition and inserting Definitions ; and (2) in subsection (a)— (A) by striking the period at the end and inserting ; and ; (B) by striking this subchapter, the term and inserting the following: “this subchapter— (1) the term ; and (C) by adding at the end the following: (2) the term unnecessary expenses means amounts made available for salaries and expenses accounts, operations and maintenance accounts, or other equivalent accounts— (A) that are identified by an employee of the agency under section 4512(a) as unnecessary; (B) that the Chief Financial Officer of the agency determines are not required for the purpose for which the amounts were made available; and (C) the rescission of which would not be detrimental to the full execution of the purposes for which the amounts were made available. . (b) Authority Section 4512 of title 5, United States Code, is amended— (1) in subsection (a)— (A) by inserting The head of an agency may pay a cash award to any employee of such agency whose identification of unnecessary expenses to the Chief Financial Officer of the agency has resulted in cost savings for the agency. after the first sentence; (B) in paragraph (1) by striking $10,000 and inserting $20,000 ; (C) in paragraph (2)— (i) by inserting Chief Financial Officer, after Inspector General, ; (ii) by striking employee designated under subsection (b) and inserting designated employee ; and (iii) by inserting or identification after disclosure ; and (D) in the matter following paragraph (2)— (i) by inserting , Chief Financial Officer, after Inspector General ; and (ii) by inserting or identification after disclosure ; (2) in subsection (b) by striking awards permitted under this section and inserting awards for the disclosure of fraud, waste, or mismanagement under this section ; and (3) by adding at the end the following: (c) (1) If the Chief Financial Officer of the agency determines that potential unnecessary expenses identified by an employee meet the requirements of subparagraphs (C) and (D) of section 4511(a)(2), except as provided in subsection (d), the head of the agency shall transfer the amount of the unnecessary expenses or unnecessary budget authority from the applicable appropriations account to the general fund of the Treasury. (2) Any amounts transferred under paragraph (1) shall be deposited in the Treasury and used for deficit reduction, except that in the case of a fiscal year for which there is no Federal budget deficit, such amounts shall be used to reduce the Federal debt (in such manner as the Secretary of the Treasury considers appropriate). (3) In the case of an agency for which there is no Chief Financial Officer, the head of the agency shall designate an agency employee who shall have the authority to make the determinations for identification of unnecessary expenses under this section. (d) (1) The head of an agency may retain not more than 10 percent of amounts to be transferred to the general fund of the Treasury under subsection (c)(1). (2) Amounts retained by the head of an agency under paragraph (1) may be— (A) used for the purpose of paying a cash award under subsection (a) to one or more employees who identified the unnecessary expenses; and (B) to the extent amounts remain after paying cash awards under subsection (a), transferred or reprogrammed for use by the agency, in accordance with any limitation on such a transfer or reprogramming under any other provision of law. (e) (1) Not later than October 1 of each fiscal year, the head of each agency shall submit to the Secretary of the Treasury a report identifying the total savings achieved during the previous fiscal year through disclosures of possible fraud, waste, or mismanagement and identifications of unnecessary expenses by an employee. (2) Not later than September 30 of each fiscal year, the head of each agency shall submit to the Secretary of the Treasury a report that, for the previous fiscal year— (A) describes each disclosure of possible fraud, waste, or mismanagement or identification of potentially unnecessary expenses by an employee of the agency determined by the agency to have merit; and (B) provides the number and amount of cash awards by the agency under subsection (a). (3) The head of each agency shall include the information described in paragraphs (1) and (2) in each budget request of the agency submitted to the Office of Management and Budget as part of the preparation of the budget of the President submitted to Congress under section 1105(a) of title 31. (4) The Secretary of the Treasury shall submit to the Committee on Appropriations of the Senate, the Committee on Appropriations of the House of Representatives, and the Government Accountability Office an annual report on Federal cost saving and awards based on the reports submitted under paragraphs (1) and (2). (f) The Director of the Office of Personnel Management shall— (1) ensure that the cash award program of each agency complies with this section; and (2) submit to Congress an annual certification indicating whether the cash award program of each agency complies with this section. (g) Not later than 3 years after the date of enactment of the Bonuses for Cost-Cutters Act of 2017 , and every 3 years thereafter, the Comptroller General of the United States shall submit to Congress a report on the operation of the cost savings and awards program under this section, including any recommendations for legislative changes. . (c) Technical and conforming amendment The table of sections for subchapter II of chapter 45 of title 5, United States Code, is amended by striking the item relating to section 4511 and inserting the following: 4511. Definitions and general provisions. . 3. Officers eligible for cash awards (a) In general Section 4509 of title 5, United States Code, is amended to read as follows: 4509. Prohibition of cash award to certain officers and employees An individual may not receive a cash award under this subchapter if the individual— (1) is an officer serving in a position at level I of the Executive Schedule; (2) is the head of an agency; (3) is an officer or employee of the Office of the Inspector General of an agency; or (4) is a commissioner, board member, or other voting member of an independent establishment. . (b) Technical and conforming amendment The table of sections for chapter 45 of title 5, United States Code, is amended by striking the item relating to section 4509 and inserting the following: 4509. Prohibition of cash award to certain officers and employees. .

tv_txt: IB 115th CONGRESS 1st Session H. R. 378 IN THE HOUSE OF REPRESENTATIVES AN ACT To amend title 5, United States Code, to enhance the authority under which Federal agencies may pay cash awards to employees for making cost saving disclosures, and for other purposes.

1. Short title This Act may be cited as the Bonuses for Cost-Cutters Act of 2017 . 2. Cost savings enhancements (a) Definitions Section 4511 of title 5, United States Code, is amended— (1) in the section heading, by striking Definition and inserting Definitions ; and (2) in subsection (a)— (A) by striking the period at the end and inserting ; and ; (B) by striking this subchapter, the term and inserting the following: “this subchapter— (1) the term ; and (C) by adding at the end the following: (2) the term wasteful expenses means amounts made available for salaries and expenses accounts, operations and maintenance accounts, or other equivalent accounts— (A) that are identified by an employee of the agency under section 4512(a) as wasteful; and (B) that the Chief Financial Officer of the agency determines are not required for the purpose for which the amounts were made available. . (b) Authority Section 4512 of title 5, United States Code, is amended— (1) in subsection (a)— (A) by inserting The head of an agency may pay a cash award to any employee of such agency whose identification of wasteful expenses to the Chief Financial Officer of the agency has resulted in cost savings for the agency. after the first sentence; (B) in paragraph (1) by striking $10,000 and inserting $20,000 ; (C) in paragraph (2)— (i) by inserting Chief Financial Officer, after Inspector General, ; (ii) by striking employee designated under subsection (b) and inserting designated employee ; and (iii) by inserting or identification after disclosure ; and (D) in the matter following paragraph (2)— (i) by inserting , Chief Financial Officer, after Inspector General ; and (ii) by inserting or identification after disclosure ; (2) in subsection (b) by striking awards permitted under this section and inserting awards for the disclosure of fraud, waste, or mismanagement under this section ; and (3) by adding at the end the following: (c) (1) If the Chief Financial Officer of the agency determines that potential wasteful expenses identified by an employee meet the requirements of section 4511(a)(2)(B), the head of the agency shall notify the President for purposes of proposing the expenses for rescission under title X of the Congressional Budget and Impoundment Control Act of 1974 ( 2 U.S.C. 681 et seq.). (2) In the case of an agency for which there is no Chief Financial Officer, the head of the agency shall designate an agency employee who shall have the authority to make the determinations for identification of wasteful expenses under this section. (d) The head of each agency shall make available, along with, and in the same manner and form as, the provision of information required under section 1116 of title 31, information on disclosures of wasteful expenses under this section, including— (1) a description of each disclosure of possible wasteful expenses identified by an employee and determined by the agency to have merit; and (2) the number and amount of cash awards provided by the agency under subsection (a). (e) An individual may not receive a cash award under this subchapter if the individual is— (1) an officer or employee of the Office of the Inspector General of an agency; or (2) ineligible for a cash award under section 4509. (f) The Director of the Office of Personnel Management shall— (1) ensure that the cash award program of each agency complies with this section; and (2) submit to Congress an annual certification indicating whether the cash award program of each agency complies with this section. (g) Not later than 3 years after the date of enactment of the Bonuses for Cost-Cutters Act of 2017 , and every 3 years thereafter for 6 years, the Comptroller General of the United States shall submit to Congress a report on the operation of the cost savings and awards program under this section, including any recommendations for legislative changes. . (c) Technical and conforming amendment The table of sections for subchapter II of chapter 45 of title 5, United States Code, is amended by striking the item relating to section 4511 and inserting the following: 4511. Definitions and general provisions. .

Passed the House of Representatives October 11, 2017. Karen L. Haas, Clerk.

tv_txt: IIB 115th CONGRESS 1st Session H. R. 378 IN THE SENATE OF THE UNITED STATES October 16, 2017 Received; read twice and referred to the Committee on Homeland Security and Governmental Affairs AN ACT To amend title 5, United States Code, to enhance the authority under which Federal agencies may pay cash awards to employees for making cost saving disclosures, and for other purposes.

1. Short title This Act may be cited as the Bonuses for Cost-Cutters Act of 2017 . 2. Cost savings enhancements (a) Definitions Section 4511 of title 5, United States Code, is amended— (1) in the section heading, by striking Definition and inserting Definitions ; and (2) in subsection (a)— (A) by striking the period at the end and inserting ; and ; (B) by striking this subchapter, the term and inserting the following: “this subchapter— (1) the term ; and (C) by adding at the end the following: (2) the term wasteful expenses means amounts made available for salaries and expenses accounts, operations and maintenance accounts, or other equivalent accounts— (A) that are identified by an employee of the agency under section 4512(a) as wasteful; and (B) that the Chief Financial Officer of the agency determines are not required for the purpose for which the amounts were made available. . (b) Authority Section 4512 of title 5, United States Code, is amended— (1) in subsection (a)— (A) by inserting The head of an agency may pay a cash award to any employee of such agency whose identification of wasteful expenses to the Chief Financial Officer of the agency has resulted in cost savings for the agency. after the first sentence; (B) in paragraph (1) by striking $10,000 and inserting $20,000 ; (C) in paragraph (2)— (i) by inserting Chief Financial Officer, after Inspector General, ; (ii) by striking employee designated under subsection (b) and inserting designated employee ; and (iii) by inserting or identification after disclosure ; and (D) in the matter following paragraph (2)— (i) by inserting , Chief Financial Officer, after Inspector General ; and (ii) by inserting or identification after disclosure ; (2) in subsection (b) by striking awards permitted under this section and inserting awards for the disclosure of fraud, waste, or mismanagement under this section ; and (3) by adding at the end the following: (c) (1) If the Chief Financial Officer of the agency determines that potential wasteful expenses identified by an employee meet the requirements of section 4511(a)(2)(B), the head of the agency shall notify the President for purposes of proposing the expenses for rescission under title X of the Congressional Budget and Impoundment Control Act of 1974 ( 2 U.S.C. 681 et seq.). (2) In the case of an agency for which there is no Chief Financial Officer, the head of the agency shall designate an agency employee who shall have the authority to make the determinations for identification of wasteful expenses under this section. (d) The head of each agency shall make available, along with, and in the same manner and form as, the provision of information required under section 1116 of title 31, information on disclosures of wasteful expenses under this section, including— (1) a description of each disclosure of possible wasteful expenses identified by an employee and determined by the agency to have merit; and (2) the number and amount of cash awards provided by the agency under subsection (a). (e) An individual may not receive a cash award under this subchapter if the individual is— (1) an officer or employee of the Office of the Inspector General of an agency; or (2) ineligible for a cash award under section 4509. (f) The Director of the Office of Personnel Management shall— (1) ensure that the cash award program of each agency complies with this section; and (2) submit to Congress an annual certification indicating whether the cash award program of each agency complies with this section. (g) Not later than 3 years after the date of enactment of the Bonuses for Cost-Cutters Act of 2017 , and every 3 years thereafter for 6 years, the Comptroller General of the United States shall submit to Congress a report on the operation of the cost savings and awards program under this section, including any recommendations for legislative changes. . (c) Technical and conforming amendment The table of sections for subchapter II of chapter 45 of title 5, United States Code, is amended by striking the item relating to section 4511 and inserting the following: 4511. Definitions and general provisions. .

Passed the House of Representatives October 11, 2017. Karen L. Haas, Clerk

tv_txt: IB Union Calendar No. 246 115th CONGRESS 1st Session H. R. 378 [Report No. 115–341] IN THE HOUSE OF REPRESENTATIVES January 9, 2017 Mr. Fleischmann (for himself and Mr. Cooper ) introduced the following bill; which was referred to the Committee on Oversight and Government Reform October 10, 2017 Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed Strike out all after the enacting clause and insert the part printed in italic For text of introduced bill, see copy of bill as introduced on January 9, 2017 A BILL To amend title 5, United States Code, to enhance the authority under which Federal agencies may pay cash awards to employees for making cost saving disclosures, and for other purposes.

1. Short title This Act may be cited as the Bonuses for Cost-Cutters Act of 2017 . 2. Cost savings enhancements (a) Definitions Section 4511 of title 5, United States Code, is amended— (1) in the section heading, by striking Definition and inserting Definitions ; and (2) in subsection (a)— (A) by striking the period at the end and inserting ; and ; (B) by striking this subchapter, the term and inserting the following: “this subchapter— (1) the term ; and (C) by adding at the end the following: (2) the term wasteful expenses means amounts made available for salaries and expenses accounts, operations and maintenance accounts, or other equivalent accounts— (A) that are identified by an employee of the agency under section 4512(a) as wasteful; and (B) that the Chief Financial Officer of the agency determines are not required for the purpose for which the amounts were made available. . (b) Authority Section 4512 of title 5, United States Code, is amended— (1) in subsection (a)— (A) by inserting The head of an agency may pay a cash award to any employee of such agency whose identification of wasteful expenses to the Chief Financial Officer of the agency has resulted in cost savings for the agency. after the first sentence; (B) in paragraph (1) by striking $10,000 and inserting $20,000 ; (C) in paragraph (2)— (i) by inserting Chief Financial Officer, after Inspector General, ; (ii) by striking employee designated under subsection (b) and inserting designated employee ; and (iii) by inserting or identification after disclosure ; and (D) in the matter following paragraph (2)— (i) by inserting , Chief Financial Officer, after Inspector General ; and (ii) by inserting or identification after disclosure ; (2) in subsection (b) by striking awards permitted under this section and inserting awards for the disclosure of fraud, waste, or mismanagement under this section ; and (3) by adding at the end the following: (c) (1) If the Chief Financial Officer of the agency determines that potential wasteful expenses identified by an employee meet the requirements of section 4511(a)(2)(B), the head of the agency shall notify the President for purposes of proposing the expenses for rescission under title X of the Congressional Budget and Impoundment Control Act of 1974 ( 2 U.S.C. 681 et seq.). (2) In the case of an agency for which there is no Chief Financial Officer, the head of the agency shall designate an agency employee who shall have the authority to make the determinations for identification of wasteful expenses under this section. (d) The head of each agency shall make available, along with, and in the same manner and form as, the provision of information required under section 1116 of title 31, information on disclosures of wasteful expenses under this section, including— (1) a description of each disclosure of possible wasteful expenses identified by an employee and determined by the agency to have merit; and (2) the number and amount of cash awards provided by the agency under subsection (a). (e) An individual may not receive a cash award under this subchapter if the individual is— (1) an officer or employee of the Office of the Inspector General of an agency; or (2) ineligible for a cash award under section 4509. (f) The Director of the Office of Personnel Management shall— (1) ensure that the cash award program of each agency complies with this section; and (2) submit to Congress an annual certification indicating whether the cash award program of each agency complies with this section. (g) Not later than 3 years after the date of enactment of the Bonuses for Cost-Cutters Act of 2017 , and every 3 years thereafter for 6 years, the Comptroller General of the United States shall submit to Congress a report on the operation of the cost savings and awards program under this section, including any recommendations for legislative changes. . (c) Technical and conforming amendment The table of sections for subchapter II of chapter 45 of title 5, United States Code, is amended by striking the item relating to section 4511 and inserting the following: 4511. Definitions and general provisions. .

October 10, 2017 Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed