An act to amend title 38, United States Code, to improve the accountability of employees of the Department of Veterans Affairs, and for other purposes
PL 115-41 (S.1094), enacted 06/23/2017

131 STAT. 862 
PUBLIC LAW 115–41—JUNE 23, 2017 
Public Law 115–41 
115th Congress 
An Act 
To amend title 38, United States Code, to improve the accountability of employees 
of the Department of Veterans Affairs, 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 and Whistleblower Protection 
Act of 2017’’. 
(b) TABLE OF CONTENTS.—The table of contents for this Act 
is as follows: 
Sec. 1. Short title; table of contents. 
TITLE I—OFFICE OF ACCOUNTABILITY AND WHISTLEBLOWER 
PROTECTION 
Sec. 101. Establishment of Office of Accountability and Whistleblower Protection. 
Sec. 102. Protection of whistleblowers in Department of Veterans Affairs. 
Sec. 103. Report on methods used to investigate employees of Department of Vet-
erans Affairs. 
TITLE II—ACCOUNTABILITY OF SENIOR EXECUTIVES, SUPERVISORS, AND 
OTHER EMPLOYEES 
Sec. 201. Improved authorities of Secretary of Veterans Affairs to improve account-
ability of senior executives. 
Sec. 202. Improved authorities of Secretary of Veterans Affairs to improve account-
ability of employees. 
Sec. 203. Reduction of benefits for Department of Veterans Affairs employees con-
victed of certain crimes. 
Sec. 204. Authority to recoup bonuses or awards paid to employees of Department 
of Veterans Affairs. 
Sec. 205. Authority to recoup relocation expenses paid to or on behalf of employees 
of Department of Veterans Affairs. 
Sec. 206. Time period for response to notice of adverse actions against supervisory 
employees who commit prohibited personnel actions. 
Sec. 207. Direct hiring authority for medical center directors and VISN directors. 
Sec. 208. Time periods for review of adverse actions with respect to certain employ-
ees. 
Sec. 209. Improvement of training for supervisors. 
Sec. 210. Assessment and report on effect on senior executives at Department of 
Veterans Affairs. 
Sec. 211. Measurement of Department of Veterans Affairs disciplinary process out-
comes and effectiveness. 
Department of 
Veterans Affairs 
Accountability 
and 
Whistleblower 
Protection Act 
of 2017. 
38 USC 101 note. 
June 23, 2017 
[S. 1094] 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00020
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 863 
PUBLIC LAW 115–41—JUNE 23, 2017 
TITLE I—OFFICE OF ACCOUNTABILITY 
AND WHISTLEBLOWER PROTECTION 
SEC. 101. ESTABLISHMENT OF OFFICE OF ACCOUNTABILITY AND 
WHISTLEBLOWER PROTECTION. 
(a) IN GENERAL.—Chapter 3 of title 38, United States Code, 
is amended by adding at the end the following new section: 
‘‘§ 323. Office of Accountability and Whistleblower Protection 
‘‘(a) ESTABLISHMENT.—There is established in the Department 
an office to be known as the ‘Office of Accountability and Whistle-
blower Protection’ (in this section referred to as the ‘Office’). 
‘‘(b) HEAD OF OFFICE.—(1) The head of the Office shall be 
responsible for the functions of the Office and shall be appointed 
by the President pursuant to section 308(a) of this title. 
‘‘(2) The head of the Office shall be known as the ‘Assistant 
Secretary for Accountability and Whistleblower Protection’. 
‘‘(3) The Assistant Secretary shall report directly to the Sec-
retary on all matters relating to the Office. 
‘‘(4) Notwithstanding section 308(b) of this title, the Secretary 
may only assign to the Assistant Secretary responsibilities relating 
to the functions of the Office set forth in subsection (c). 
‘‘(c) FUNCTIONS.—(1) The functions of the Office are as follows: 
‘‘(A) Advising the Secretary on all matters of the Depart-
ment relating to accountability, including accountability of 
employees of the Department, retaliation against whistle-
blowers, and such matters as the Secretary considers similar 
and affect public trust in the Department. 
‘‘(B) Issuing reports and providing recommendations related 
to the duties described in subparagraph (A). 
‘‘(C) Receiving whistleblower disclosures. 
‘‘(D) Referring whistleblower disclosures received under 
subparagraph (C) for investigation to the Office of the Medical 
Inspector, the Office of Inspector General, or other investigative 
entity, as appropriate, if the Assistant Secretary has reason 
to believe the whistleblower disclosure is evidence of a violation 
of a provision of law, mismanagement, gross waste of funds, 
abuse of authority, or a substantial and specific danger to 
public health or safety. 
‘‘(E) Receiving and referring disclosures from the Special 
Counsel for investigation to the Medical Inspector of the Depart-
ment, the Inspector General of the Department, or such other 
person with investigatory authority, as the Assistant Secretary 
considers appropriate. 
‘‘(F) 
Recording, 
tracking, 
reviewing, 
and 
confirming 
implementation of recommendations from audits and investiga-
tions carried out by the Inspector General of the Department, 
the Medical Inspector of the Department, the Special Counsel, 
and the Comptroller General of the United States, including 
the imposition of disciplinary actions and other corrective 
actions contained in such recommendations. 
‘‘(G) Analyzing data from the Office and the Office of 
Inspector General telephone hotlines, other whistleblower 
disclosures, disaggregated by facility and area of health care 
if appropriate, and relevant audits and investigations to identify 
President. 
38 USC 323. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00021
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 864 
PUBLIC LAW 115–41—JUNE 23, 2017 
trends and issue reports to the Secretary based on analysis 
conducted under this subparagraph. 
‘‘(H) Receiving, reviewing, and investigating allegations of 
misconduct, retaliation, or poor performance involving— 
‘‘(i) an individual in a senior executive position (as 
defined in section 713(d) of this title) in the Department; 
‘‘(ii) an individual employed in a confidential, policy- 
making, policy-determining, or policy-advocating position 
in the Department; or 
‘‘(iii) a supervisory employee, if the allegation involves 
retaliation against an employee for making a whistleblower 
disclosure. 
‘‘(I) Making such recommendations to the Secretary for 
disciplinary action as the Assistant Secretary considers appro-
priate after substantiating any allegation of misconduct or poor 
performance pursuant to an investigation carried out as 
described in subparagraph (F) or (H). 
‘‘(2) In carrying out the functions of the Office, the Assistant 
Secretary shall ensure that the Office maintains a toll-free tele-
phone number and Internet website to receive anonymous whistle-
blower disclosures. 
‘‘(3) In any case in which the Assistant Secretary receives 
a whistleblower disclosure from an employee of the Department 
under paragraph (1)(C), the Assistant Secretary may not disclose 
the identity of the employee without the consent of the employee, 
except in accordance with the provisions of section 552a of title 
5, or as required by any other applicable provision of Federal 
law. 
‘‘(d) STAFF AND RESOURCES.—The Secretary shall ensure that 
the Assistant Secretary has such staff, resources, and access to 
information as may be necessary to carry out the functions of 
the Office. 
‘‘(e) RELATION TO OFFICE OF GENERAL COUNSEL.—The Office 
shall not be established as an element of the Office of the General 
Counsel and the Assistant Secretary may not report to the General 
Counsel. 
‘‘(f) REPORTS.—(1)(A) Not later than June 30 of each calendar 
year, beginning with June 30, 2017, the Assistant 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 on the activities of the Office during the calendar year 
in which the report is submitted. 
‘‘(B) Each report submitted under subparagraph (A) shall 
include, for the period covered by the report, the following: 
‘‘(i) A full and substantive analysis of the activities of 
the Office, including such statistical information as the Assist-
ant Secretary considers appropriate. 
‘‘(ii) Identification of any issues reported to the Secretary 
under subsection (c)(1)(G), including such data as the Assistant 
Secretary considers relevant to such issues and any trends 
the Assistant Secretary may have identified with respect to 
such issues. 
‘‘(iii) Identification of such concerns as the Assistant Sec-
retary may have regarding the size, staffing, and resources 
of the Office and such recommendations as the Assistant Sec-
retary may have for legislative or administrative action to 
address such concerns. 
Analysis. 
Recommenda- 
tions. 
Effective date. 
Time period. 
Communication 
and tele- 
communications. 
Website. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00022
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 865 
PUBLIC LAW 115–41—JUNE 23, 2017 
‘‘(iv) Such recommendations as the Assistant Secretary may 
have for legislative or administrative action to improve— 
‘‘(I) the process by which concerns are reported to 
the Office; and 
‘‘(II) the protection of whistleblowers within the 
Department. 
‘‘(v) Such other matters as the Assistant Secretary con-
siders appropriate regarding the functions of the Office or other 
matters relating to the Office. 
‘‘(2) If the Secretary receives a recommendation for disciplinary 
action under subsection (c)(1)(I) and does not take or initiate the 
recommended disciplinary action before the date that is 60 days 
after the date on which the Secretary received the recommendation, 
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 detailed justification for not taking or initiating 
such disciplinary action. 
‘‘(g) DEFINITIONS.—In this section: 
‘‘(1) The term ‘supervisory employee’ means an employee 
of the Department who is a supervisor as defined in section 
7103(a) of title 5. 
‘‘(2) The term ‘whistleblower’ means one who makes a 
whistleblower disclosure. 
‘‘(3) The term ‘whistleblower disclosure’ means any disclo-
sure of information by an employee of the Department or indi-
vidual applying to become an employee of the Department 
which the employee or individual reasonably believes evi-
dences— 
‘‘(A) a violation of a law, rule, or regulation; or 
‘‘(B) gross mismanagement, a gross waste of funds, 
an abuse of authority, or a substantial and specific danger 
to public health or safety.’’. 
(b) CONFORMING AMENDMENT.—Section 308(b) of such title is 
amended by adding at the end the following new paragraph: 
‘‘(12) The functions set forth in section 323(c) of this title.’’. 
(c) CLERICAL AMENDMENT.—The table of sections at the begin-
ning of chapter 3 of such title is amended by adding at the end 
the following new item: 
‘‘323. Office of Accountability and Whistleblower Protection.’’. 
SEC. 102. PROTECTION OF WHISTLEBLOWERS IN DEPARTMENT OF 
VETERANS AFFAIRS. 
(a) IN GENERAL.—Subchapter II of chapter 7 of title 38, United 
States Code, is amended by— 
(1) striking sections 731, 732, 734, 735, and 736; 
(2) by redesignating section 733 as section 731; and 
(3) by adding at the end the following new sections: 
‘‘§ 732. Protection of whistleblowers as criteria in evaluation 
of supervisors 
‘‘(a) DEVELOPMENT AND USE OF CRITERIA REQUIRED.—The Sec-
retary, in consultation with the Assistant Secretary of Account-
ability and Whistleblower Protection, shall develop criteria that— 
‘‘(1) the Secretary shall use as a critical element in any 
evaluation of the performance of a supervisory employee; and 
‘‘(2) promotes the protection of whistleblowers. 
Consultation. 
38 USC 732. 
38 USC 
prec. 301. 
Deadline. 
Notification. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00023
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 866 
PUBLIC LAW 115–41—JUNE 23, 2017 
‘‘(b) PRINCIPLES FOR PROTECTION OF WHISTLEBLOWERS.—The 
criteria required by subsection (a) shall include principles for the 
protection of whistleblowers, such as the degree to which super-
visory employees respond constructively when employees of the 
Department report concerns, take responsible action to resolve such 
concerns, and foster an environment in which employees of the 
Department feel comfortable reporting concerns to supervisory 
employees or to the appropriate authorities. 
‘‘(c) SUPERVISORY EMPLOYEE AND WHISTLEBLOWER DEFINED.— 
In this section, the terms ‘supervisory employee’ and ‘whistleblower’ 
have the meanings given such terms in section 323 of this title. 
‘‘§ 733. Training regarding whistleblower disclosures 
‘‘(a) TRAINING.—Not less frequently than once every two years, 
the Secretary, in coordination with the Whistleblower Protection 
Ombudsman designated under section 3(d)(1)(C) of the Inspector 
General Act of 1978 (5 U.S.C. App.), shall provide to each employee 
of the Department training regarding whistleblower disclosures, 
including— 
‘‘(1) an explanation of each method established by law 
in which an employee may file a whistleblower disclosure; 
‘‘(2) the right of the employee to petition Congress regarding 
a whistleblower disclosure in accordance with section 7211 
of title 5; 
‘‘(3) an explanation that the employee may not be pros-
ecuted or reprised against for disclosing information to Con-
gress, the Inspector General, or another investigatory agency 
in instances where such disclosure is permitted by law, 
including under sections 5701, 5705, and 7732 of this title, 
under section 552a of title 5 (commonly referred to as the 
Privacy Act), under chapter 93 of title 18, and pursuant to 
regulations promulgated under section 264(c) of the Health 
Insurance Portability and Accountability Act of 1996 (Public 
Law 104–191); 
‘‘(4) an explanation of the language that is required to 
be included in all nondisclosure policies, forms, and agreements 
pursuant to section 115(a)(1) of the Whistleblower Protection 
Enhancement Act of 2012 (5 U.S.C. 2302 note); and 
‘‘(5) the right of contractors to be protected from reprisal 
for the disclosure of certain information under section 4705 
or 4712 of title 41. 
‘‘(b) MANNER TRAINING IS PROVIDED.—The Secretary shall 
ensure, to the maximum extent practicable, that training provided 
under subsection (a) is provided in person. 
‘‘(c) CERTIFICATION.—Not less frequently than once every two 
years, the Secretary shall provide training on merit system protec-
tion in a manner that the Special Counsel certifies as being satisfac-
tory. 
‘‘(d) PUBLICATION.—The Secretary shall publish on the Internet 
website of the Department, and display prominently at each facility 
of the Department, the rights of an employee to make a whistle-
blower disclosure, including the information described in para-
graphs (1) through (5) of subsection (a). 
‘‘(e) WHISTLEBLOWER DISCLOSURE DEFINED.—In this section, 
the term ‘whistleblower disclosure’ has the meaning given such 
term in section 323 of this title.’’. 
Web posting. 
Time period. 
Time period. 
Coordination. 
38 USC 733. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00024
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 867 
PUBLIC LAW 115–41—JUNE 23, 2017 
(b) CLERICAL AMENDMENTS.—The table of sections at the begin-
ning of such chapter is amended— 
(1) by striking the items relating to sections 731 through 
736; and 
(2) by adding at the end the following new items: 
‘‘731. Adverse actions against supervisory employees who commit prohibited per-
sonnel actions relating to whistleblower complaints. 
‘‘732. Protection of whistleblowers as criteria in evaluation of supervisors. 
‘‘733. Training regarding whistleblower disclosures.’’. 
(c) CONFORMING AMENDMENTS.—Section 731 of such title, as 
redesignated by subsection (a)(2), is amended— 
(1) in subsection (c)— 
(A) in paragraph (1)— 
(i) by striking subparagraphs (A) and (B) and 
inserting the following: 
‘‘(A) making a whistleblower disclosure to the Assistant 
Secretary for Accountability and Whistleblower Protection, 
the Inspector General of the Department, the Special 
Counsel, or Congress;’’; and 
(ii) by redesignating subparagraphs (C) through 
(F) as subparagraphs (B) through (E), respectively; 
and 
(iii) in subparagraph (B), as redesignated by clause 
(ii), by striking ‘‘complaint in accordance with section 
732 or with’’ and inserting ‘‘disclosure made to the 
Assistant Secretary for Accountability and Whistle-
blower Protection,’’; and 
(B) in paragraph (2), by striking ‘‘through (F)’’ and 
inserting ‘‘through (E)’’; and 
(2) by adding at the end the following new subsection: 
‘‘(d) WHISTLEBLOWER DISCLOSURE DEFINED.—In this section, 
the term ‘whistleblower disclosure’ has the meaning given such 
term in section 323(g) of this title.’’. 
SEC. 103. REPORT ON METHODS USED TO INVESTIGATE EMPLOYEES 
OF DEPARTMENT OF VETERANS AFFAIRS. 
(a) REPORT REQUIRED.—Not later than 540 days after the date 
of the enactment of this Act, the Assistant Secretary for Account-
ability and Whistleblower Protection shall submit to the Secretary 
of Veterans Affairs, the Committee on Veterans’ Affairs of the 
Senate, and the Committee on Veterans’ Affairs of the House of 
Representatives a report on methods used to investigate employees 
of the Department of Veterans Affairs and whether such methods 
are used to retaliate against whistleblowers. 
(b) CONTENTS.—The report required by subsection (a) shall 
include the following: 
(1) An assessment of the use of administrative investigation 
boards, peer review, searches of medical records, and other 
methods for investigating employees of the Department. 
(2) A determination of whether and to what degree the 
methods described in paragraph (1) are being used to retaliate 
against whistleblowers. 
(3) Recommendations for legislative or administrative 
action to implement safeguards to prevent the retaliation 
described in paragraph (2). 
Recommenda- 
tions. 
Determination. 
Assessment. 
38 USC 
prec. 701. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00025
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 868 
PUBLIC LAW 115–41—JUNE 23, 2017 
(c) WHISTLEBLOWER
DEFINED.—In this section, the term 
‘‘whistleblower’’ has the meaning given such term in section 323 
of title 38, United States Code, as added by section 101. 
TITLE II—ACCOUNTABILITY OF SENIOR 
EXECUTIVES, 
SUPERVISORS, 
AND 
OTHER EMPLOYEES 
SEC. 201. IMPROVED AUTHORITIES OF SECRETARY OF VETERANS 
AFFAIRS TO IMPROVE ACCOUNTABILITY OF SENIOR 
EXECUTIVES. 
(a) IN GENERAL.—Section 713 of title 38, United States Code, 
is amended to read as follows: 
‘‘§ 713. Senior executives: removal, demotion, or suspension 
based on performance or misconduct 
‘‘(a) AUTHORITY.—(1) The Secretary may, as provided in this 
section, reprimand or suspend, involuntarily reassign, demote, or 
remove a covered individual from a senior executive position at 
the Department if the Secretary determines that the misconduct 
or performance of the covered individual warrants such action. 
‘‘(2) If the Secretary so removes such an individual, the Sec-
retary may remove the individual from the civil service (as defined 
in section 2101 of title 5). 
‘‘(b) RIGHTS AND PROCEDURES.—(1) A covered individual who 
is the subject of an action under subsection (a) is entitled to— 
‘‘(A) advance notice of the action and a file containing 
all evidence in support of the proposed action; 
‘‘(B) be represented by an attorney or other representative 
of the covered individual’s choice; and 
‘‘(C) grieve the action in accordance with an internal griev-
ance process that the Secretary, in consultation with the Assist-
ant Secretary for Accountability and Whistleblower Protection, 
shall establish for purposes of this subsection. 
‘‘(2)(A) The aggregate period for notice, response, and decision 
on an action under subsection (a) may not exceed 15 business 
days. 
‘‘(B) The period for the response of a covered individual to 
a notice under paragraph (1)(A) of an action under subsection 
(a) shall be 7 business days. 
‘‘(C) A decision under this paragraph on an action under sub-
section (a) shall be issued not later than 15 business days after 
notice of the action is provided to the covered individual under 
paragraph (1)(A). The decision shall be in writing, and shall include 
the specific reasons therefor. 
‘‘(3) The Secretary shall ensure that the grievance process estab-
lished under paragraph (1)(C) takes fewer than 21 days. 
‘‘(4) A decision under paragraph (2) that is not grieved, and 
a grievance decision under paragraph (3), shall be final and conclu-
sive. 
‘‘(5) A covered individual adversely affected by a decision under 
paragraph (2) that is not grieved, or by a grievance decision under 
paragraph (3), may obtain judicial review of such decision. 
Time period. 
Deadline. 
Notification. 
Time periods. 
Consultation. 
Notification. 
Determination. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00026
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 869 
PUBLIC LAW 115–41—JUNE 23, 2017 
‘‘(6) In any case in which judicial review is sought under para-
graph (5), the court shall review the record and may set aside 
any Department action found to be— 
‘‘(A) arbitrary, capricious, an abuse of discretion, or other-
wise not in accordance with a provision of law; 
‘‘(B) obtained without procedures required by a provision 
of law having been followed; or 
‘‘(C) unsupported by substantial evidence. 
‘‘(c) RELATION
TO
OTHER
PROVISIONS
OF
LAW.—Section 
3592(b)(1) of title 5 and the procedures under section 7543(b) of 
such title do not apply to an action under subsection (a). 
‘‘(d) DEFINITIONS.—In this section: 
‘‘(1) The term ‘covered individual’ means— 
‘‘(A) a career appointee (as that term is defined in 
section 3132(a)(4) of title 5); or 
‘‘(B) any individual who occupies an administrative 
or executive position and who was appointed under section 
7306(a), section 7401(1), or section 7401(4) of this title. 
‘‘(2) The term ‘misconduct’ includes neglect of duty, malfea-
sance, or failure to accept a directed reassignment or to accom-
pany a position in a transfer of function. 
‘‘(3) The term ‘senior executive position’ means— 
‘‘(A) 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 such section); 
and 
‘‘(B) with respect to a covered individual appointed 
under section 7306(a) or section 7401(1) of this title, an 
administrative or executive position.’’. 
(b) CONFORMING AMENDMENT.—Section 7461(c)(1) of such title 
is amended by inserting ‘‘employees in senior executive positions 
(as defined in section 713(d) of this title) and’’ before ‘‘interns’’. 
(c) CLERICAL AMENDMENT.—The table of sections at the begin-
ning of chapter 7 of such title is amended by striking the item 
relating to section 713 and inserting the following new item: 
‘‘713. Senior executives: removal, demotion, or suspension based on performance or 
misconduct.’’. 
SEC. 202. IMPROVED AUTHORITIES OF SECRETARY OF VETERANS 
AFFAIRS TO IMPROVE ACCOUNTABILITY OF EMPLOYEES. 
(a) IN GENERAL.—Subchapter I of chapter 7 of title 38, United 
States Code, is amended by inserting after section 713 the following 
new section: 
‘‘§ 714. 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 
Determinations. 
38 USC 714. 
38 USC 
prec. 701. 
Courts. 
Review. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00027
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 870 
PUBLIC LAW 115–41—JUNE 23, 2017 
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) Notwith-
standing 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 sub-
section (d)(5). 
‘‘(c) PROCEDURE.—(1)(A) The aggregate period for notice, 
response, and final decision in a removal, demotion, or suspension 
under this section may not exceed 15 business days. 
‘‘(B) The period for the response of a covered individual to 
a notice of a proposed removal, demotion, or suspension under 
this section shall be 7 business days. 
‘‘(C) Paragraph (3) of subsection (b) of section 7513 of title 
5 shall apply with respect to a removal, demotion, or suspension 
under this section. 
‘‘(D) The procedures in this subsection shall supersede any 
collective bargaining agreement to the extent that such agreement 
is inconsistent with such procedures. 
‘‘(2) The Secretary shall issue a final decision with respect 
to a removal, demotion, or suspension under this section not later 
than 15 business days after the Secretary provides notice, including 
a file containing all the evidence in support of the proposed action, 
to the covered individual of the removal, demotion, or suspension. 
The decision shall be in writing and shall include the specific 
reasons therefor. 
‘‘(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 (d), any 
removal or demotion under this section, and any suspension of 
more than 14 days under this section, 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 10 business days after the date of such removal, demotion, 
or suspension. 
‘‘(d) EXPEDITED REVIEW.—(1) Upon receipt of an appeal under 
subsection (c)(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 180 
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 
Deadline. 
Deadline. 
Time period. 
Deadline. 
Notification. 
Applicability. 
Time periods. 
Effective date. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00028
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 871 
PUBLIC LAW 115–41—JUNE 23, 2017 
to remove, demote, or suspend an employee under subsection (a) 
if the decision is supported by substantial evidence. 
‘‘(B) Notwithstanding title 5 or any other provision of law, 
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 para-
graph (1) may be appealed to the Merit Systems Protection Board. 
‘‘(B) Notwithstanding section 7701(c)(1)(B) of title 5, the Merit 
Systems Protection Board 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. 
‘‘(C) Notwithstanding title 5 or any other provision of law, 
if the decision of the Secretary is supported by substantial evidence, 
the Merit Systems Protection Board shall not mitigate the penalty 
prescribed by the Secretary. 
‘‘(4) In any case in which the administrative judge cannot 
issue a decision in accordance with the 180-day requirement under 
paragraph (1), the Merit Systems Protection Board shall, not later 
than 14 business days after the expiration of the 180-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 or to any court of appeals of competent jurisdiction pursuant 
to subsection (b)(1)(B) of such section. 
‘‘(B) 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, except as provided in 
section 1214(b) of title 5. 
‘‘(7) During the period beginning on the date on which a covered 
individual appeals a removal from the civil service under subsection 
(c) 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, spe-
cial payments, or benefits related to the employment of the indi-
vidual 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) If an employee who is subject to a collective bargaining 
agreement chooses to grieve an action taken under this section 
through a grievance procedure provided under the collective bar-
gaining agreement, the timelines and procedures set forth in sub-
section (c) and this subsection shall apply. 
‘‘(e) 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 
Applicability. 
Time period. 
Compliance. 
Time period. 
Deadline. 
Reports. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00029
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 872 
PUBLIC LAW 115–41—JUNE 23, 2017 
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 made a whistle-
blower disclosure to the Assistant Secretary for Accountability and 
Whistleblower Protection, the Secretary may not remove, demote, 
or suspend such covered individual under subsection (a) until— 
‘‘(A) in the case in which the Assistant Secretary deter-
mines to refer the whistleblower disclosure under section 
323(c)(1)(D) of this title to an office or other investigative entity, 
a final decision with respect to the whistleblower disclosure 
has been made by such office or other investigative entity; 
or 
‘‘(B) in the case in which the Assistant Secretary deter-
mines not to the refer the whistleblower disclosure under such 
section, the Assistant Secretary makes such determination. 
‘‘(f) 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 termi-
nate 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 inves-
tigation. 
‘‘(2) Such statement may not be admissible as evidence in 
any judicial or administrative proceeding without the consent of 
such employee or former employee. 
‘‘(g) 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. 
‘‘(h) DEFINITIONS.—In this section: 
‘‘(1) The term ‘covered individual’ means an individual occu-
pying a position at the Department, but does not include— 
‘‘(A) an individual occupying a senior executive position 
(as defined in section 713(d) of this title); 
‘‘(B) an individual appointed pursuant to sections 7306, 
7401(1), 7401(4), or 7405 of this title; 
‘‘(C) an individual who has not completed a proba-
tionary or trial period; or 
‘‘(D) 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, malfea-
sance, or failure to accept a directed reassignment or to accom-
pany 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 
Time period. 
Determinations. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00030
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 873 
PUBLIC LAW 115–41—JUNE 23, 2017 
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, Code of Federal Regulations, or successor 
regulation. 
‘‘(6) The term ‘whistleblower disclosure’ has the meaning 
given such term in section 323(g) of this title.’’. 
(b) CLERICAL AND CONFORMING AMENDMENTS.— 
(1) CLERICAL.—The table of sections at the beginning of 
chapter 7 of such title is amended by inserting after the item 
relating to section 713 the following new item: 
‘‘714. Employees: removal, demotion, or suspension based on performance or mis-
conduct.’’. 
(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 714 of title 
38.’’. 
SEC. 203. 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 of title 38, 
United States Code, is amended by adding at the end the 
following new section: 
‘‘§ 719. Reduction of benefits of employees convicted of cer-
tain 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 mis-
conduct under section 713, 714, 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 con-
victed of a felony (and the conviction is final) that influenced 
the individual’s performance while employed in the position; 
and 
‘‘(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 indi-
vidual responds under subparagraph (B)(ii), not later than 
five business days after receiving the response of the indi-
vidual; or 
‘‘(ii) in the case of a proposed order to which an indi-
vidual does not respond, not later than 15 business days 
after the Secretary provides notice to the individual under 
subparagraph (B)(i). 
Notification. 
Determination. 
Deadlines. 
38 USC 719. 
38 USC 
prec. 701. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00031
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 874 
PUBLIC LAW 115–41—JUNE 23, 2017 
‘‘(2) Any individual with respect to whom an annuity is reduced 
under this subsection may appeal the reduction to the Director 
of the Office of Personnel Management pursuant to such regulations 
as the Director may prescribe for purposes of this subsection. 
‘‘(b) REDUCTION OF ANNUITY FOR RETIRED EMPLOYEE.—(1) The 
Secretary may order that the covered service of an individual who 
the Secretary proposes to remove for performance or misconduct 
under section 713, 714, 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 individual is convicted 
of a felony (and the conviction is final) that influenced the 
individual’s performance while employed in the position; and 
‘‘(B) before such order is made, the individual is afforded— 
‘‘(i) notice of the proposed order; 
‘‘(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 indi-
vidual responds under subparagraph (B)(ii), not later than 
five business days after receiving the response of the indi-
vidual; or 
‘‘(ii) in the case of a proposed order to which an indi-
vidual 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 busi-
ness 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 indi-
vidual. 
‘‘(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 Manage-
ment, 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 con-
sistent with the requirements of section 8332(o)(5) and 8411(l)(5) 
of title 5, as the case may be. 
‘‘(f) DEFINITIONS.—In this section: 
Consultation. 
Regulations. 
Deadline. 
Time period. 
Notification. 
Determination. 
Deadlines. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00032
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 875 
PUBLIC LAW 115–41—JUNE 23, 2017 
‘‘(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 of such title is amended by inserting 
after the item relating to section 717 the following new item: 
‘‘719. Reduction of benefits of employees convicted of certain crimes.’’. 
(b) APPLICATION.—Section 719 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. 204. AUTHORITY TO RECOUP BONUSES OR AWARDS PAID TO 
EMPLOYEES OF DEPARTMENT OF VETERANS AFFAIRS. 
(a) IN GENERAL.—Subchapter I of chapter 7 of title 38, United 
States Code, as amended by section 203, is further amended by 
adding at the end the following new section: 
‘‘§ 721. 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 chapters 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; and 
‘‘(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 indi-
vidual responds under paragraph (2)(B), not later than 
five business days after receiving the response of the indi-
vidual; or 
‘‘(B) in the case of a proposed order to which an indi-
vidual does not respond, not later than 15 business days 
Notification. 
Determination. 
Deadlines. 
38 USC 721. 
38 USC 719 note. 
38 USC 
prec. 701. 
Time period. 
Determination. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00033
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 876 
PUBLIC LAW 115–41—JUNE 23, 2017 
after the Secretary provides notice to the individual under 
paragraph (2)(A). 
‘‘(b) APPEAL OF ORDER OF SECRETARY.—(1) 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 the Director of the Office of Personnel Management 
before the date that is seven business days after the date of such 
issuance. 
‘‘(2) The Director shall make a final decision with respect to 
an appeal under paragraph (1) within 30 business days after 
receiving such appeal.’’. 
(b) CLERICAL AMENDMENT.—The table of sections at the begin-
ning of such chapter, as amended by section 203(a)(2), is further 
amended by inserting after the item relating to section 719 the 
following new item: 
‘‘721. Recoupment of bonuses or awards paid to employees of Department.’’. 
(c) EFFECTIVE DATE.—Section 721 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 Vet-
erans Affairs. 
SEC. 205. AUTHORITY TO RECOUP RELOCATION EXPENSES PAID TO 
OR ON BEHALF OF EMPLOYEES OF DEPARTMENT OF VET-
ERANS AFFAIRS. 
(a) IN GENERAL.—Subchapter I of chapter 7 of title 38, United 
States Code, as amended by section 204, is further amended by 
adding at the end the following new section: 
‘‘§ 723. 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 
paid following an act of fraud 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 indi-
vidual responds under paragraph (2)(B), not later than 
five business days after receiving the response of the indi-
vidual; or 
Notification. 
Determination. 
38 USC 723. 
38 USC 713 note. 
Applicability. 
38 USC 721 note. 
38 USC 
prec. 701. 
Deadline. 
Time period. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00034
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 877 
PUBLIC LAW 115–41—JUNE 23, 2017 
‘‘(B) in the case of a proposed order to which an indi-
vidual does not respond, not later than 15 business days 
after the Secretary provides notice to the individual under 
paragraph (2)(A). 
‘‘(b) APPEAL OF ORDER OF SECRETARY.—(1) 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 the Director of the Office of Personnel Management 
before the date that is seven business days after the date of such 
issuance. 
‘‘(2) The Director shall make a final decision with respect to 
an appeal under paragraph (1) within 30 days after receiving such 
appeal.’’. 
(b) CLERICAL AMENDMENT.—The table of sections at the begin-
ning of such chapter is further amended by inserting after the 
item relating to section 721, as added by section 204(b), the fol-
lowing new item: 
‘‘723. Recoupment of relocation expenses paid on behalf of employees of Depart-
ment.’’. 
(c) EFFECTIVE DATE.—Section 723 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. 206. TIME PERIOD FOR RESPONSE TO NOTICE OF ADVERSE 
ACTIONS 
AGAINST 
SUPERVISORY 
EMPLOYEES 
WHO 
COMMIT PROHIBITED PERSONNEL ACTIONS. 
Section 731(a)(2)(B) of title 38, United States Code, as redesig-
nated by section 102(a)(2), 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. 207. DIRECT HIRING AUTHORITY FOR MEDICAL CENTER DIREC-
TORS AND VISN DIRECTORS. 
(a) IN GENERAL.—Section 7401 of title 38, United States Code, 
is amended by adding at the end the following new paragraph: 
‘‘(4) Directors of medical centers 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 AMENDMENTS.—Section 7404(a)(1) of such title 
is amended— 
(1) by inserting ‘‘(A)’’ before ‘‘The annual’’; and 
(2) in subparagraph (A), as designated by paragraph (1)— 
(A) by inserting ‘‘and 7401(4)’’ after ‘‘7306’’; and 
(B) by adding at the end the following new subpara-
graph: 
‘‘(B) Section 5377 of title 5 shall apply to a position under 
section 7401(4) of this title as if such position were included in 
the definition of ‘position’ in section 5377(a) of title 5.’’. 
Applicability. 
Applicability. 
38 USC 723 note. 
38 USC 
prec. 701. 
Deadline. 
Time period. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00035
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 878 
PUBLIC LAW 115–41—JUNE 23, 2017 
SEC. 208. 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.—Paragraph (2) of sec-
tion 7461(b) of title 38, United States Code, 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 proce-
dures under section 7463 of this title.’’. 
(b) MAJOR ADVERSE ACTIONS INVOLVING PROFESSIONAL CON-
DUCT OR COMPETENCE.—Section 7462(b) of such title is amended— 
(1) in paragraph (1)— 
(A) in the matter preceding subparagraph (A), by 
inserting ‘‘, within the aggregate time period specified in 
paragraph (5)(A),’’ after ‘‘is entitled’’; 
(B) in subparagraph (A)— 
(i) by striking ‘‘At least 30 days advance written 
notice’’ and inserting ‘‘Advance written notice’’; 
(ii) by striking ‘‘and a statement’’ and inserting 
‘‘a statement’’; and 
(iii) by inserting ‘‘and a file containing all the 
evidence in support of each charge,’’ after ‘‘with respect 
to each charge,’’; and 
(C) in subparagraph (B), by striking ‘‘A reasonable 
time, but not less than seven days’’ and inserting ‘‘The 
opportunity, within the time period provided for in para-
graph (4)(A)’’; 
(2) by striking paragraph (3) and inserting the following 
new paragraph (3): 
‘‘(3) After considering the employee’s answer, if any, and within 
the time period provided for in paragraph (5)(B), the deciding official 
shall render a decision on the charges. The decision shall be in 
writing and shall include the specific reasons therefor.’’; 
(3) in paragraph (4)— 
(A) by striking subparagraph (A) and inserting the 
following new subparagraph (A): 
‘‘(A) The period for the response of an employee under para-
graph (1)(B) to advance written under paragraph (1)(A) shall be 
seven business days.’’; and 
(B) in subparagraph (B), by striking ‘‘30 days’’ and 
inserting ‘‘seven business days’’; and 
(4) by adding at the end the following new paragraphs: 
‘‘(5)(A) The aggregate period for the resolution of charges 
against an employee under this subsection may not exceed 15 
business days. 
‘‘(B) The deciding official shall render a decision under para-
graph (3) on charges under this subsection not later than 15 busi-
ness days after the Under Secretary provides notice on the charges 
for purposes of paragraph (1)(A). 
‘‘(6) The procedures in this subsection shall supersede any 
collective bargaining agreement to the extent that such agreement 
is inconsistent with such procedures.’’. 
(c) OTHER ADVERSE ACTIONS.—Section 7463(c) of such title 
is amended— 
Deadline. 
Notification. 
Appeal. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00036
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 879 
PUBLIC LAW 115–41—JUNE 23, 2017 
(1) in paragraph (1), by striking ‘‘the same notice and 
opportunity to answer with respect to those charges as provided 
in subparagraphs (A) and (B) of section 7462(b)(1) of this title’’ 
and inserting ‘‘notice and an opportunity to answer with respect 
to those charges in accordance with subparagraphs (A) and 
(B) of section 7462(b)(1) of this title, but within the time periods 
specified in paragraph (3)’’; 
(2) in paragraph (2)— 
(A) in the matter preceding subparagraph (A), by 
inserting ‘‘, within the aggregate time period specified in 
paragraph (3)(A),’’ after ‘‘is entitled’’; 
(B) in subparagraph (A), by striking ‘‘an advance writ-
ten notice’’ and inserting ‘‘written notice’’; and 
(C) in subparagraph (B), by striking ‘‘a reasonable 
time’’ and inserting ‘‘time to answer’’; and 
(3) by adding at the end the following new paragraph 
(3): 
‘‘(3)(A) The aggregate period for the resolution of charges 
against an employee under paragraph (1) or (2) may not exceed 
15 business days. 
‘‘(B) The period for the response of an employee under para-
graph (1) or (2)(B) to written notice of charges under paragraph 
(1) or (2)(A), as applicable, shall be seven business days. 
‘‘(C) The deciding official shall render a decision on charges 
under paragraph (1) or (2) not later than 15 business days after 
notice is provided on the charges for purposes of paragraph (1) 
or (2)(A), as applicable.’’. 
SEC. 209. IMPROVEMENT OF TRAINING FOR SUPERVISORS. 
(a) IN GENERAL.—The Secretary of Veterans Affairs shall pro-
vide to each employee of the Department of Veterans Affairs who 
is employed as a supervisor periodic training on the following: 
(1) The rights of whistleblowers and how to address a 
report by an employee of a hostile work environment, reprisal, 
or harassment. 
(2) How to effectively motivate, manage, and reward the 
employees who report to the supervisor. 
(3) How to effectively manage employees who are per-
forming at an unacceptable level and access assistance from 
the human resources office of the Department and the Office 
of the General Counsel of the Department with respect to 
those employees. 
(b) DEFINITIONS.—In this section: 
(1) SUPERVISOR.—The term ‘‘supervisor’’ has the meaning 
given such term in section 7103(a) of title 5, United States 
Code. 
(2) WHISTLEBLOWER.—The term ‘‘whistleblower’’ has the 
meaning given such term in section 323(g) of title 38, United 
States Code, as added by section 101. 
SEC. 210. ASSESSMENT AND REPORT ON EFFECT ON SENIOR EXECU-
TIVES AT DEPARTMENT OF VETERANS AFFAIRS. 
(a) IN GENERAL.—Not later than two years after the date of 
the enactment of this Act, the Secretary of Veterans Affairs shall— 
(1) measure and assess the effect of the enactment of 
this title on the morale, engagement, hiring, promotion, reten-
tion, discipline, and productivity of individuals in senior execu-
tive positions at the Department of Veterans Affairs; and 
38 USC 735 note. 
Deadline. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00037
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 880 
PUBLIC LAW 115–41—JUNE 23, 2017 
(2) submit to the Committee on Veterans’ Affairs of the 
Senate and the Committee on Veterans’ Affairs of the House 
of Representatives a report on the findings of the Secretary 
with respect to the measurement and assessment carried out 
under paragraph (1). 
(b) ELEMENTS.—The assessment required by subsection (a)(1) 
shall include the following: 
(1) With respect to engagement, trends in morale of individ-
uals in senior executive positions and individuals aspiring to 
senior executive positions. 
(2) With respect to promotions— 
(A) whether the Department is experiencing an 
increase or decrease in the number of employees partici-
pating in leadership development and candidate develop-
ment programs with the intention of becoming candidates 
for senior executive positions; and 
(B) trends in applications to senior executive positions 
within the Department. 
(3) With respect to retention— 
(A) trends in retirement rates of individuals in senior 
executive positions at the Department; 
(B) trends in quit rates of individuals in senior execu-
tive positions at the Department; 
(C) rates of transfer of— 
(i) individuals from other Federal agencies into 
senior executive positions at the Department; and 
(ii) individuals from senior executive positions at 
the Department to other Federal agencies; and 
(D) trends in total loss rates by job function. 
(4) With respect to disciplinary processes— 
(A) regarding individuals in senior executive positions 
at the Department who are the subject of disciplinary 
action— 
(i) the length of the disciplinary process in days 
for such individuals both before the date of the enact-
ment of this Act and under the provisions of this 
Act described in subsection (a)(1); and 
(ii) the extent to which appeals by such individuals 
are upheld under such provisions as compared to before 
the date of the enactment of this Act; 
(B) the components or offices of the Department which 
experience the greatest number of proposed adverse actions 
against individuals in senior executive positions and compo-
nents and offices which experience the least relative to 
the size of the components or offices’ total number of senior 
executive positions; 
(C) the tenure of individuals in senior executive posi-
tions who are the subject of disciplinary action; 
(D) whether the individuals in senior executive posi-
tions who are the subject of disciplinary action have pre-
viously been disciplined; and 
(E) the number of instances of disciplinary action taken 
by the Secretary against individuals in senior executive 
positions at the Department as compared to government-
wide discipline against individuals in Senior Executive 
Service positions (as defined in section 3132(a) of title 
5, United States Code) as a percentage of the total number 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00038
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 881 
PUBLIC LAW 115–41—JUNE 23, 2017 
of individuals in senior executive positions at the Depart-
ment and Senior Executive Service positions (as so defined). 
(5) With respect to hiring— 
(A) the degree to which the skills of newly hired 
individuals in senior executive positions at the Department 
are appropriate with respect to the needs of the Depart-
ment; 
(B) the types of senior executive positions at the 
Department most commonly filled under the authorities 
in the provisions described in subsection (a)(1); 
(C) the number of senior executive positions at the 
Department filled by hires outside of the Department com-
pared to hires from within the Department; 
(D) the length of time to fill a senior executive position 
at the Department and for a new hire to begin working 
in a new senior executive position; 
(E) the mission-critical deficiencies filled by newly 
hired individuals in senior executive positions and the 
connection between mission-critical deficiencies filled under 
the provisions described in subsection (a) and annual 
performance of the Department; 
(F) the satisfaction of applicants for senior executive 
positions at the Department with the hiring process, 
including the clarity of job announcements, reasons for 
withdrawal of applications, communication regarding 
status of applications, and timeliness of hiring decision; 
and 
(G) the satisfaction of newly hired individuals in senior 
executive positions at the Department with the hiring 
process and the process of joining and becoming oriented 
with the Department. 
(c) SENIOR EXECUTIVE POSITION DEFINED.—In this section, the 
term ‘‘senior executive position’’ has the meaning given such term 
in section 713 of title 38, United States Code. 
SEC. 211. MEASUREMENT OF DEPARTMENT OF VETERANS AFFAIRS 
DISCIPLINARY PROCESS OUTCOMES AND EFFECTIVENESS. 
(a) MEASURING AND COLLECTING.— 
(1) IN GENERAL.—The Secretary of Veterans Affairs shall 
measure and collect information on the outcomes of disciplinary 
actions carried out by the Department of Veterans Affairs 
during the three-year period ending on the date of the enact-
ment of this Act and the effectiveness of such actions. 
(2) ELEMENTS.—In measuring and collecting pursuant to 
paragraph (1), the Secretary shall measure and collect informa-
tion regarding the following: 
(A) The average time from the initiation of an adverse 
action against an employee at the Department to the final 
resolution of that action. 
(B) The number of distinct steps and levels of review 
within the Department involved in the disciplinary process 
and the average length of time required to complete these 
steps. 
(C) The rate of use of alternate disciplinary procedures 
compared to traditional disciplinary procedures and the 
frequency with which employees who are subject to alter-
native disciplinary procedures commit additional offenses. 
Time period. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00039
Fmt 6580
Sfmt 6581
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES
131 STAT. 882 
PUBLIC LAW 115–41—JUNE 23, 2017 
LEGISLATIVE HISTORY—S. 1094: 
CONGRESSIONAL RECORD, Vol. 163 (2017): 
June 6, considered and passed Senate. 
June 13, considered and passed House. 
DAILY COMPILATION OF PRESIDENTIAL DOCUMENTS (2017): 
June 23, Presidential remarks. 
(D) The number of appeals from adverse actions filed 
against employees of the Department, the number of 
appeals upheld, and the reasons for which the appeals 
were upheld. 
(E) The use of paid administrative leave during the 
disciplinary process and the length of such leave. 
(b) REPORT.— 
(1) IN GENERAL.—Not later than December 31, 2017, the 
Secretary shall submit to the appropriate committees of Con-
gress a report on the disciplinary procedures and actions of 
the Department. 
(2) CONTENTS.—The report submitted under paragraph (1) 
shall include the following: 
(A) The information collected under subsection (a). 
(B) The findings of the Secretary with respect to the 
measurement and collection carried out under subsection 
(a). 
(C) An analysis of the disciplinary procedures and 
actions of the Department. 
(D) Suggestions for improving the disciplinary proce-
dures and actions of the Department. 
(E) Such other matters as the Secretary considers 
appropriate. 
(3) APPROPRIATE COMMITTEES OF CONGRESS.—In this sub-
section, the term ‘‘appropriate committees of Congress’’ means— 
(A) the Committee on Appropriations and the Com-
mittee on Veterans’ Affairs of the Senate; and 
(B) the Committee on Appropriations and the Com-
mittee on Veterans’ Affairs of the House of Representatives. 
Approved June 23, 2017. 
Definition. 
Analysis. 
VerDate Sep 11 2014 
13:12 Jul 14, 2023
Jkt 069194
PO 00000
Frm 00040
Fmt 6580
Sfmt 6580
G:\STATUTES\2017\PT1\RENAMED 32-90\69194PT1.003
69194PT1
jmbennett on LAPBW6H6L3PROD with STATUTES