[House Report 107-379]
[From the U.S. Government Publishing Office]
107th Congress Rept. 107-379
HOUSE OF REPRESENTATIVES
2d Session Part 1
======================================================================
DIGITAL TECH CORPS ACT OF 2002
_______
March 18, 2002.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Burton of Indiana, from the Committee on Government Reform,
submitted the following
R E P O R T
together with
ADDITIONAL VIEWS
[To accompany H.R. 3925]
[Including cost estimate of the Congressional Budget Office]
The Committee on Government Reform, to whom was referred the
bill (H.R. 3925) to establish an exchange program between the
Federal Government and the private sector in order to promote
the development of expertise in information technology
management, and for other purposes, having considered the same,
report favorably thereon with an amendment and recommend that
the bill as amended do pass.
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Digital Tech Corps Act of 2002''.
SEC. 2. FINDINGS.
Congress finds that--
(1) unless action is taken soon, there will be a crisis in
the government's ability to deliver essential services to the
American people;
(2) by 2006, over 50 percent of the Federal Government's
information technology workforce will be eligible to retire,
creating a huge demand in the Federal Government for high-skill
workers;
(3) despite a 44 percent decrease in the demand for
information technology workers in the private sector, the
Information Technology Association of America reported in 2001
that employers will need to fill over 900,000 new information
technology jobs and will be unable to find qualified workers
for 425,000 of those jobs;
(4) to highlight the urgency of this situation, in January
2001, the General Accounting Office added the Federal
Government's human capital management to its list of high-risk
problems for which an effective solution must be found;
(5) despite efforts to increase flexibility in Federal
agencies' employment practices, compensation issues continue to
severely restrain recruitment for Federal agencies; and
(6) an effective, efficient, and economical response to this
crisis would be to create a vibrant, ongoing exchange effort
designed to share talent, expertise, and advances in management
between leading-edge businesses and Federal agencies engaged in
best practices.
SEC. 3. INFORMATION TECHNOLOGY EXCHANGE PROGRAM.
(a) In General.--Subpart B of part III of title 5, United States
Code, is amended by adding at the end the following:
``CHAPTER 37--INFORMATION TECHNOLOGY EXCHANGE PROGRAM
``Sec.
``3701. Definitions.
``3702. General provisions.
``3703. Assignment of employees to private sector organizations.
``3704. Assignment of employees from private sector organizations.
``3705. Application to Office of the Chief Technology Officer of the
District of Columbia.
``3706. Reporting requirement.
``3707. Regulations.
``Sec. 3701. Definitions
``For purposes of this chapter--
``(1) the term `agency' means an Executive agency, but does
not include the General Accounting Office; and
``(2) the term `detail' means--
``(A) the assignment or loan of an employee of an
agency to a private sector organization without a
change of position from the agency that employs the
individual, or
``(B) the assignment or loan of an employee of a
private sector organization to an agency without a
change of position from the private sector organization
that employs the individual,
whichever is appropriate in the context in which such term is
used.
``Sec. 3702. General provisions
``(a) Assignment Authority.--On request from or with the agreement of
a private sector organization, and with the consent of the employee
concerned, the head of an agency may arrange for the assignment of an
employee of the agency to a private sector organization or an employee
of a private sector organization to the agency. An eligible employee is
an individual who--
``(1) works in the field of information technology
management;
``(2) is considered an exceptional performer by the
individual's current employer; and
``(3) is expected to assume increased information technology
management responsibilities in the future.
An employee of an agency shall be eligible to participate in this
program only if the employee is employed at the GS-11 level or above
(or equivalent) and is serving under a career or career-conditional
appointment or an appointment of equivalent tenure in the excepted
service.
``(b) Agreements.--Each agency that exercises its authority under
this chapter shall provide for a written agreement between the agency
and the employee concerned regarding the terms and conditions of the
employee's assignment. In the case of an employee of the agency, the
agreement shall--
``(1) require the employee to serve in the civil service,
upon completion of the assignment, for a period equal to the
length of the assignment; and
``(2) provide that, in the event the employee fails to carry
out the agreement (except for good and sufficient reason, as
determined by the head of the agency from which assigned) the
employee shall be liable to the United States for payment of
all expenses of the assignment.
An amount under paragraph (2) shall be treated as a debt due the United
States.
``(c) Termination.--Assignments may be terminated by the agency or
private sector organization concerned for any reason at any time.
``(d) Duration.--Assignments under this chapter shall be for a period
of between 6 months and 1 year, and may be extended in 3-month
increments for a total of not more than 1 additional year, except that
no assignment under this chapter may commence after the end of the 5-
year period beginning on the date of the enactment of this chapter.
``(e) Assistance.--The Chief Information Officers Council, by
agreement with the Office of Personnel Management, may assist in the
administration of this chapter, including by maintaining lists of
potential candidates for assignment under this chapter, establishing
mentoring relationships for the benefit of individuals who are given
assignments under this chapter, and publicizing the program.
``Sec. 3703. Assignment of employees to private sector organizations
``(a) In General.--An employee of an agency assigned to a private
sector organization under this chapter is deemed, during the period of
the assignment, to be on detail to a regular work assignment in his
agency.
``(b) Coordination With Chapter 81.--Notwithstanding any other
provision of law, an employee of an agency assigned to a private sector
organization under this chapter is entitled to retain coverage, rights,
and benefits under subchapter I of chapter 81, and employment during
the assignment is deemed employment by the United States, except that,
if the employee or the employee's dependents receive from the private
sector organization any payment under an insurance policy for which the
premium is wholly paid by the private sector organization, or other
benefit of any kind on account of the same injury or death, then, the
amount of such payment or benefit shall be credited against any
compensation otherwise payable under subchapter I of chapter 81.
``(c) Reimbursements.--The assignment of an employee to a private
sector organization under this chapter may be made with or without
reimbursement by the private sector organization for the travel and
transportation expenses to or from the place of assignment, subject to
the same terms and conditions as apply with respect to an employee of a
Federal agency or a State or local government under section 3375, and
for the pay, or a part thereof, of the employee during assignment. Any
reimbursements shall be credited to the appropriation of the agency
used for paying the travel and transportation expenses or pay.
``(d) Tort Liability; Supervision.--The Federal Tort Claims Act and
any other Federal tort liability statute apply to an employee of an
agency assigned to a private sector organization under this chapter.
The supervision of the duties of an employee of an agency so assigned
to a private sector organization may be governed by an agreement
between the agency and the organization.
``Sec. 3704. Assignment of employees from private sector organizations
``(a) In General.--An employee of a private sector organization
assigned to an agency under this chapter is deemed, during the period
of the assignment, to be on detail to such agency.
``(b) Terms and Conditions.--An employee of a private sector
organization assigned to an agency under this chapter--
``(1) may, notwithstanding section 209 of title 18, continue
to receive pay and benefits from the private sector
organization from which he is assigned;
``(2) is deemed, notwithstanding subsection (a), to be an
employee of the agency for the purposes of--
``(A) chapter 73;
``(B) sections 201, 203, 205, 207, 208, 209, 603,
606, 607, 643, 654, 1905, and 1913 of title 18;
``(C) sections 1343, 1344, and 1349(b) of title 31;
``(D) the Federal Tort Claims Act and any other
Federal tort liability statute;
``(E) the Ethics in Government Act of 1978;
``(F) section 1043 of the Internal Revenue Code of
1986; and
``(G) section 27 of the Office of Federal Procurement
Policy Act; and
``(3) is subject to such regulations as the President may
prescribe.
The supervision of an employee of a private sector organization
assigned to an agency under this chapter may be governed by agreement
between the agency and the private sector organization concerned. Such
an assignment may be made with or without reimbursement by the agency
for the pay, or a part thereof, of the employee during the period of
assignment, or for any contribution of the private sector organization
to employee benefit systems.
``(c) Coordination With Chapter 81.--An employee of a private sector
organization assigned to an agency under this chapter who suffers
disability or dies as a result of personal injury sustained while
performing duties during the assignment shall be treated, for the
purpose of subchapter I of chapter 81, as an employee as defined by
section 8101 who had sustained the injury in the performance of duty,
except that, if the employee or the employee's dependents receive from
the private sector organization any payment under an insurance policy
for which the premium is wholly paid by the private sector
organization, or other benefit of any kind on account of the same
injury or death, then, the amount of such payment or benefit shall be
credited against any compensation otherwise payable under subchapter I
of chapter 81.
``Sec. 3705. Application to Office of the Chief Technology Officer of
the District of Columbia
``(a) In General.--The Chief Technology Officer of the District of
Columbia may arrange for the assignment of an employee of the Office of
the Chief Technology Officer to a private sector organization, or an
employee of a private sector organization to such Office, in the same
manner as the head of an agency under this chapter.
``(b) Terms and Conditions.--An assignment made pursuant to
subsection (a) shall be subject to the same terms and conditions as an
assignment made by the head of an agency under this chapter, except
that in applying such terms and conditions to an assignment made
pursuant to subsection (a), any reference in this chapter to a
provision of law or regulation of the United States shall be deemed to
be a reference to the applicable provision of law or regulation of the
District of Columbia, including the applicable provisions of the
District of Columbia Government Comprehensive Merit Personnel Act of
1978 (sec. 1-601.01 et seq., D.C. Official Code) and section 601 of the
District of Columbia Campaign Finance Reform and Conflict of Interest
Act (sec. 1-1106.01, D.C. Official Code).
``(c) Definition.--For purposes of this section, the term `Office of
the Chief Technology Officer' means the office established in the
executive branch of the government of the District of Columbia under
the Office of the Chief Technology Officer Establishment Act of 1998
(sec. 1-1401 et seq., D.C. Official Code).
``Sec. 3706. Reporting requirement
``(a) In General.--The Office of Personnel Management shall, not
later than April 30 and October 31 of each year, prepare and submit to
the Committee on Government Reform of the House of Representatives and
the Committee on Governmental Affairs of the Senate a semiannual report
summarizing the operation of this chapter during the immediately
preceding 6-month period ending on March 31 and September 30,
respectively.
``(b) Content.--Each report shall include, with respect to the 6-
month period to which such report relates--
``(1) the total number of individuals assigned to, and the
total number of individuals assigned from, each agency during
such period;
``(2) a brief description of each assignment included under
paragraph (1), including--
``(A) the name of the assigned individual, as well as
the private sector organization and the agency
(including the specific bureau or other agency
component) to or from which such individual was
assigned;
``(B) the respective positions to and from which the
individual was assigned, including the duties and
responsibilities and the pay grade or level associated
with each; and
``(C) the duration and objectives of the individual's
assignment; and
``(3) such other information as the Office considers
appropriate.
``(c) Publication.--A copy of each report submitted under subsection
(a)--
``(1) shall be published in the Federal Register; and
``(2) shall be made publicly available on the Internet.
``(d) Agency Cooperation.--On request of the Office, agencies shall
furnish such information and reports as the Office may require in order
to carry out this section.
``Sec. 3707. Regulations
``The Director of the Office of Personnel Management shall prescribe
regulations for the administration of this chapter.''.
(b) Report.--Not later than 4 years after the date of the enactment
of this Act, the General Accounting Office shall prepare and submit to
the Committee on Government Reform of the House of Representatives and
the Committee on Governmental Affairs of the Senate a report on the
operation of chapter 37 of title 5, United States Code (as added by
this section). Such report shall include--
(1) an evaluation of the effectiveness of the program
established by such chapter; and
(2) a recommendation as to whether such program should be
continued (with or without modification) or allowed to lapse.
(c) Clerical Amendment.--The analysis for part III of title 5, United
States Code, is amended by inserting after the item relating to chapter
35 the following:
``37. Information Technology Exchange Program............... 3701''.
SEC. 4. ETHICS PROVISIONS.
(a) One-year Restriction On Certain Communications.--Section
207(c)(2)(A) of title 18, United States Code, is amended--
(1) by striking ``or'' at the end of clause (iii);
(2) by striking the period at the end of clause (iv) and
inserting ``; or''; and
(3) by adding at the end the following:
``(v) an employee of a private sector organization
assigned to an agency under chapter 37 of title 5.''.
(b) Disclosure of Confidential Information.--Section 1905 of title
18, United States Code, is amended by inserting ``or being an employee
of a private sector organization who is, or was within the past three
years, assigned to an agency under chapter 37 of title 5,'' after ``(15
U.S.C. 1311-1314),''.
(c) Contract Advice.--Section 207 of title 18, United States Code, is
amended by adding at the end the following:
``(l) Contract Advice by Former Details.--Whoever, being an employee
of a private sector organization assigned to an agency under chapter 37
of title 5, within one year after the end of that assignment, knowingly
represents or aids, counsels, or assists in representing any other
person (except the United States) in connection with any contract with
that agency shall be punished as provided in section 216 of this
title.''.
(d) Restriction on Disclosure of Procurement Information.--Section 27
of the Office of Federal Procurement Policy Act (41 U.S.C. 423) is
amended in subsection (a)(1) by adding at the end the following new
sentence: ``In the case of an employee of a private sector organization
assigned to an agency under chapter 37 of title 5, United States Code,
in addition to the restriction in the preceding sentence, such employee
shall not, other than as provided by law, knowingly disclose contractor
bid or proposal information or source selection information during the
three-year period after the end of the assignment of such employee.''.
SEC. 5. REPORT ON EXISTING EXCHANGE PROGRAMS.
(a) Exchange Program Defined.--For purposes of this section, the term
``exchange program'' means an executive exchange program, the program
under subchapter VI of chapter 33 of title 5, United States Code, and
any other program which allows for--
(1) the assignment of employees of the Federal Government to
non-Federal employers;
(2) the assignment of employees of non-Federal employers to
the Federal Government; or
(3) both.
(b) Reporting Requirement.--Not later than 1 year after the date of
the enactment of this Act, the Office of Personnel Management shall
prepare and submit to the Committee on Government Reform of the House
of Representatives and the Committee on Governmental Affairs of the
Senate a report identifying all existing exchange programs.
(c) Specific Information.--The report shall, for each such program,
include--
(1) a brief description of the program, including its size,
eligibility requirements, and terms or conditions for
participation;
(2) specific citation to the law or other authority under
which the program is established;
(3) the names of persons to contact for more information, and
how they may be reached; and
(4) any other information which the Office considers
appropriate.
SEC. 6. TECHNICAL AND CONFORMING AMENDMENTS.
(a) Amendments to Title 5, United States Code.--Title 5, United
States Code, is amended--
(1) in section 3111, by adding at the end the following:
``(d) Notwithstanding section 1342 of title 31, the head of an agency
may accept voluntary service for the United States under chapter 37 of
this title and regulations of the Office of Personnel Management.'';
(2) in section 4108, by striking subsection (d); and
(3) in section 7353(b), by adding at the end the following:
``(4) Nothing in this section precludes an employee of a private
sector organization, while assigned to an agency under chapter 37, from
continuing to receive pay and benefits from such organization in
accordance with such chapter.''.
(b) Other Amendments.--Section 125(c)(1) of Public Law 100-238 (5
U.S.C. 8432 note) is amended--
(1) in subparagraph (B), by striking ``or'' at the end;
(2) in subparagraph (C), by striking ``and'' at the end and
inserting ``or''; and
(3) by adding at the end the following:
``(D) an individual assigned from a Federal agency to
a private sector organization under chapter 37 of title
5, United States Code; and''.
Background and Need for the Legislation
In 2001, the General Accounting Office added human capital
management for the federal government to its annual high risk
list. Governmentwide, significant human capital shortages exist
that only get worse as thirty-four percent of the federal
workforce becomes eligible to retire in the next five years.
The numbers are even more bleak in information technology (IT)
fields, where the government's recruiting is in direct
competition with the private sector. It is estimated that fifty
percent of the government's technology workforce will be
eligible to retire by 2006.
Over the past decade, the Congress and Executive branch
have worked together to bring about significant management
reform. We have passed financial management reform, IT
management reform, acquisition reform, and government
performance and results legislation. Unfortunately, the laws
and regulations governing the management of the government's
single most valuable resource, its people, have not been
updated. The private sector long ago made an end-to-end review
of human resources management and learned the lesson our
government has yet to recognize: a company's value is only as
strong as the people that come through the door every day
bringing knowledge, new ideas, and innovation.
A recent KPMG report on human capital management within the
federal sector noted that government is operating with
personnel tools utilized and developed in the 1950's and 60's.
The same study noted that industry undertook major human
management reforms in the 1980's followed by ongoing updates
that occur as often as three times a year.
For the past decade, the government has managed its
workforce through minimum mandatory personnel ceilings and
hiring freezes. Today, we see the results in nearly every
General Accounting Office (GAO) report on a wide range of
government programs. For instance, the Department of Defense
(DoD) lost so many of its civilian personnel, the Pentagon
faces growing challenges in managing weapons acquisitions and
logistics. This is coupled by the fact that fifty percent of
the remaining DoD acquisition workforce is eligible to retire
by the year 2005. A July 2001 Department of Energy (DOE)
Inspector General report found that the recruitment and
retention of highly skilled, technical personnel has fallen so
far behind that the Department was failing to meet mission
goals. Specifically, the workforce at DOE has been downsized by
twenty-four percent over a three year period without any
strategic planning by agency leadership. This led to a two year
shutdown at Livermore's plutonium facility, as there were not
enough federal personnel in place to oversee daily operations.
At NASA, downsizing has left the shuttle launch team short of
qualified personnel to oversee shuttle safety and launch
activities. Unfortunately, there are numerous other examples
within each federal agency.
Today, eGovernment is a top priority for the federal
government. The promise of eGov is revolutionary, but we face
severe implementation challenges. Unfortunately, too many of
our complex IT procurements continue to fail--upwards of forty
percent of them. When the government is spending more than $50
billion each year on IT, taking steps to improve the management
of IT is critically important.
In addition, we have over 1,300 different eGovernment
initiatives underway, but we have no measurements of which
projects are worthwhile or which should be expanded cross-
agency, or cross-government to truly make service more
accessible. The Administration's focus of priorities on 24 eGov
projects and the work to review and assess IT spending by the
Associate Director of Information Technology and the Chief
Technology Officer at the U.S. Office of Management and Budget
(OMB), the Chief Information Officers (CIO) Council, and the
new eGov Council are good steps in the right direction.
However, individuals are needed who can work daily on reviewing
the status of IT modernizations or cross-agency initiatives to
assist in the success of thisnew team. Unfortunately, the
government cannot attract mid-level IT managers who can perform these
functions without help from Congress.
Just as important as attracting new individuals with IT
skills to public service is the need to retain talented IT
managers and improve their skills. This exchange program will
help federal agencies retain quality IT managers by offering
them exposure to new management concepts and leading-edge
organizations. This exchange program should make federal
service more attractive, and at the same time, improve the
skills of federal IT managers. Congress, in considering the
Digital Tech Corps, can help government transform itself by
creating a new vision of public service for this century.
According to the National Academy of Public Administration
(NAPA) study on the federal IT workforce, the primary barriers
to recruiting new IT workers are salary, and length of time
between job announcements and the actual hiring of an
individual. Moreover, of the five categories identified by IT
professionals when considering job opportunities, the federal
government receives a low score in all but one category. The
creation of a Digital Tech Corps will help eliminate those
hurdles.
The Digital Tech Corps enables an exchange program that can
begin as soon as an agency negotiates an exchange agreement
with a private sector entity. Private sector IT volunteers for
the Tech Corps will come into government at the GS-11 through
15 levels for a period of six months to two years, but they
will continue to receive pay and benefits from their private
sector employer. Federal agency IT volunteers will have the
opportunity to go to work for leading-edge private sector
companies for a similar period and will retain their government
pay and benefits. This type of public-private exchange program
will allow for greater knowledge transfer and cross-pollination
of ideas, cultures, and processes between the public and
private sectors. As Chairman Burton stated at the Committee's
business meeting, ``[The Tech Corps] * * * helps us solve some
of the IT problems that we have.'' The Act is expected to
foster greater innovation and partnership for government and
industry.
Legislative History/Committee Consideration
On July 31, 2001, the Subcommittee on Technology and
Procurement Policy of the Committee on Government Reform held a
hearing titled ``Public Service for the 21st Century:
Innovative Solutions to the Federal Government's Technology
Workforce Crisis.'' Prior to the hearing, the Digital Tech
Corps Act of 2001, H.R. 2678, was introduced.
Testimony at this hearing from the government included The
Honorable David Walker, Comptroller General, U.S. General
Accounting Office, The Honorable Kay Coles James, Director,
Office of Personnel Management, and the Honorable Stephen
Perry, Administrator, U.S. General Services Administration.
Testifying from academia and the private sector were Dr. Steven
Kelman, Harvard University, John F. Kennedy School of
Government, Albert J. Weatherhead III and Richard W.
Weatherhead Professor of Public Policy, Mr. Martin Faga,
Representative of the National Academy of Public Administration
and Chief Executive Officer of the Mitre Corporation, Dr. Ernst
Volgenau, Representative of the Information Technology
Association of America (ITAA) and President and Chief Executive
Officer of SRA International, and Mr. Steve Rohleder, Managing
Partner, Accenture.
Generally, the comments of the government and private
sector witnesses were highly supportive of the Tech Corps. Mr.
James, Director of OPM, said that the Administration has had an
interest in developing an exchange program for some time, and
that it would create opportunities to improve services and
business practices in thegovernment. Mr. Perry, the
Administrator of GSA, also affirmed the Administration's support for a
technology management exchange program and said that, ``I don't have a
fear about Federal employees going out. In fact, * * * it will be a
useful thing. The experience that they would gain and bring back [to
government] would be very beneficial, no question about it.'' The
Honorable David Walker, Comptroller General, stated that ``both sides
benefit from the exchange of knowledge and experience.''
Subcommittee Chairman Tom Davis noted at the hearing that
not only was the Digital Tech Corps an effective way to fill
critical skills gaps, but also an excellent retention tool for
Federal employees. He stated ``We lose a lot of people because
they are managed badly and go out [of government service]. I
think Tech Corps can help with that. * * * It provides
challenging work, giving people an opportunity to step outside
of government for a year or two and see what it is like there,
learning new, innovative techniques as part of a career path in
government.''
Throughout 2001, press, government, and private industry
commented favorably on the legislation, in a number of articles
(See, e.g., Stephen Barr, The Washington Post, ``Plan for
Industry, Government to Exchange High-Tech Workers Picks Up
Support'', August 1, 2001, Page B02).
In February, 2002, Senator George Voinovich filed the
Digital Tech Corps Act of 2002, S. 1913, an identical measure
to H.R. 2678.
On March 7, 2002, the Subcommittee on Technology and
Procurement Policy held a hearing titled ``A Legislative
Hearing on H.R. 3832, The Services Acquisition Reform Act of
2002 (SARA).'' The SARA bill's section 103 contains an exchange
program for acquisition workforce that is modeled after the
Digital Tech Corps for the IT workforce. Ms. Deidre Lee,
Director of Procurement, United States Department of Defense,
commented favorably when she stated, ``We support a government-
industry exchange program. We believe that by tapping into the
knowledge base of the private sector, we not only maximize the
business relationships with our industry partners, but we can
also improve the Department's acquisition process and
procedures.''
On March 14, 2002, the Committee held a business meeting
and favorably reported the Digital Tech Corps Act of 2002, H.R.
3925. Subcommittee Chairman Tom Davis and Committee Chairman
Dan Burton authored the legislation.
Prior to the business meeting, the Ranking Member of the
Committee, Representative Henry Waxman, suggested several
changes to add additional study and reporting measures into the
bill as well as to raise the ethics bar for Tech Corps
participants to a level above that required of Federal
employees. These changes were reflected in the Manager's
Amendment in the Nature of a Substitute adopted at the business
meeting.
An amendment also was offered at the business meeting by
Ranking Member Waxman to create a program of continuing
education for IT. This was rejected by the Committee on voice
vote for lack of clearly defined goals or processes, a risk of
unnecessarily duplicating existing governmentwide IT continuing
training programs such as the CIO University, and the lack of a
legislative record in support of the amendment.
Changes adopted in the Manager's Amendment and subsequently
approved by the Committee clarify that private sector employees
in the exchange program under Sec. 3704 (i.e. those who work
for private sector companies and volunteer to be assigned to a
Federal agency via the Tech Corps), shall continue to receive
pay and benefits from their private sector companies while on
assignment, notwithstanding any other law.
Explanation of the Bill
overview
The Digital Tech Corps Act of 2002 provides for the
exchange of talented mid-level staff between leading-edge
private sector organizations and government agencies engaged in
best practices. The time period for this exchange is limited to
six to 12 months with an optional one-year extension (maximum
of two years). Federal employees participating in the program
are required to fulfill service commitments to their agencies
after participation in the program, and all participants must
adhere to strict federal employee ethics rules. Employees
retain pay and benefits from their respective employers while
on assignment in the Digital Tech Corps.
Section One. The Short Title of this Act is the ``Digital
Tech Corps Act of 2002''.
Section Two. In this section, the Committee finds that
unless action is taken soon, there will be a crisis in the
government's ability to deliver essential services to the
American People. Indeed, by 2006, over 50% of the Federal
Government's information technology workforce will be eligible
to retire, creating a huge demand in the Federal Government for
high-skill workers. This demand comes at the same time that the
Information Technology Association of America reported in its
2001 study that employers will need to fill over 900,000 new
information technology jobs and will be unable to find
qualified workers for nearly half of them.
Despite efforts to increase flexibility in Federal
agencies' employment practices, compensation issues continue to
severely restrain recruitment for Federal agencies. An
effective, efficient, and economical response to this crisis
would be to create a vibrant, on-going exchange of personnel
between the public and private sectors designed to share
talent, expertise, and advances in management between leading
edge businesses and Federal Agencies engaged in best practices.
Section Three. This section creates the Digital Tech Corps
as an information technology exchange program in a new Chapter
37 of Subpart B of part III of title 5, United States Code.
The Committee intends that this legislation is applicable
only to executive branch agencies. In the legislation, a
``detail'' has the meaning of either an assignment of an
employee of a private sector company to a Federal agency, or it
means an assignment of an employee of a Federal agency to a
private sector company.
In Sec. 3702, the Act sets forth the eligibility provisions
for participation in the Digital Tech Corps. An IT exchange
program under this Chapter is initiated via an agreement
between the agency, the private sector organization, and the
employee involved. Eligible employees are those that are (1) in
IT management; (2) considered exceptional performers; and (3)
expected to assume increased IT management responsibilities in
the future. For employees detailed from the Federal Government,
they must be in the GS 11-15 range and serving under career or
career-conditional appointment (or the equivalent in the
excepted service). Schedule C employees are prohibited from
participation. A written agreement between the parties is
required, and it must include, at a minimum, provisions that
require that Federal employees must return to service of the
Government for a period of not less than the length of the
exchange (on penalty of paying the Government back the costs of
their exchange).
Assignments in the Digital Tech Corps can be terminated by
the agency or the private sector organization involved, at any
time, for any reason. The duration of exchange shall be for 6-
12 months with an extension of up to one additional year in
3month increments (i.e., 2 years maximum). A sunset provision applies
to this Act five years after it is enacted.
The Committee believes the Digital Tech Corps' ability to
meet the IT needs of agencies can be facilitated through the
participation of the Chief Information Officers Council in the
administration of the Digital Tech Corps, subject to the
oversight and regulatory authority granted to the Office of
Personnel Management in Sec. 3707. The CIO Council is comprised
of the CIO's of all of the Federal Agencies and was established
by executive order.
Assignments of Federal employees to private sector
organizations are governed by Sec. 3703. The Committee intends
that these assignments of the Digital Tech Corps will be
details of regular work assignment for participating Federal
employees. Thus, a Federal employee who agrees to participate
in the Digital Tech Corps remains a Federal employee while
detailed to a private sector organization and retains
uninterrupted pay, credits for step increases, retention,
worker's compensation, sick and leave accrual, insurance, and
retirement benefits. While on assignment, Federal employees
also continue to be covered by the Federal Tort Claims Act and
any other applicable tort liability statutes. Nothing about
participation in the Digital Tech Corps should be detrimental
to the Federal employee's career, livelihood, or benefits;
rather, participation should be a part of advancing one's
career in government.
Federal employees in the Digital Tech Corps are eligible
for travel and transportation cost reimbursements. These
provisions allow agencies to fund the travel and transportation
costs of Federal employees participating in the Digital Tech
Corps.
The assignment in the Digital Tech Corps of private sector
employees to federal Government agencies is enacted by
Sec. 3704. Private sector employees volunteering for the
Digital Tech Corps are on detail from the private sector to
Federal agencies. The Committee intends that, notwithstanding
any other provision of law, private sector organizations with
employees participating in the Digital Tech Corps will continue
to provide pay and benefits to these employees while they are
on detail to the government in the Digital Tech Corps.
Private sector employees must adhere to strict Federal
employee ethics, revolving door, and accountability provisions
during and after their assignments in the Digital Tech Corps.
Specifically, a private sector employee under Sec. 3704 is
deemed a Federal Government employee for purposes of:
1. The Hatch Act (Chapter 73). This puts a Tech Corps
private sector volunteer that is detailed to a Federal agency
under the provisions of the Hatch Act.
2. 18 U.S.C. Sec. Sec. 201, 203, 205, 207, 208, 209, 603,
606, 607, 643, 654, 1905, and 1913. These criminal law
provisions apply to Digital Tech Corps participants and
includes: (1) acting as a lobbyist (for 1 year after the
exchange); (2) accepting bribes for official work; (3) aiding
in the obtaining of contracts (1 year after); (4) suing the
government (other than in the proper discharge of official
duties); (5) revolving door activities; (6) financial conflicts
of interest; (7) making political contributions; (8)
intimidation to secure political contributions; (9) receipt of
political contributions; (10) embezzlement; (11) disclosure of
confidential information/trade secrets (for 3 years after
detail); and (12) lobbying with appropriated moneys.
3. 31 U.S.C. Sec. Sec. 1343, 1344, and 1349(b): These
provisions set forth that Tech Corps detailees are forbidden to
have government-funded transportation furnished for their use.
4. Ethics in Government Act of 1978.
5. Section 1043 of the Internal Revenue Code of 1986: This
provision affects sale of property to resolve financial
conflicts of interest and specifies how the IRS treats these
sales.
6. 41 U.S.C. 423 (Section 27 of the Office of Federal
Procurement Policy Act). This provision prohibits Tech Corps
detailees from disclosing procurement information, during and
for 3 years after the detail.
In Sec. 3705, the Committee expresses its intent that the
Digital Tech Corps program should apply to IT workers and
agencies in the District of Columbia Government.
In Sec. 3706, the Act sets forth extensive reporting
requirements by both the General Accounting Office and the
Office of Personnel Management, including a study of all other
existing exchange programs in the federal government (e.g. the
IPA program).
Finally, in Sec. 3707, the Act provides that OPM has
regulatory jurisdiction over the Digital Tech Corps. In
addition, the President may prescribe other regulations to
govern the Digital Tech Corps program. The Act also makes
technical and conforming amendments.
The Committee expects that administrative, law enforcement,
and judicial entities will be mindful that, notwithstanding any
other law, the Act expressly allows for employees of private
sector organizations to be assigned under the Digital Tech
Corps to Federal agencies to work on appropriate governmental
projects while retaining all pay and benefits from the private
sector employer. Concurrently, the Act allows Federal agency
employees to be assigned to private sector organizations and
retain all pay and benefits from the federal government.
Compliance with Rule XI
Pursuant to rule XI, 2(l)(3)(A), of the Rules of the House
of Representatives, under the authority of rule X, clause
2(b)(1) and clause 3(f), the results and findings from those
oversight activities are incorporated in the recommendations
found in the bill and in the report.
Budget Analysis and Projections
This Act provides for no new authorizations or budget
authority or tax expenditures. Consequently, the provisions of
section 308(a)(1) are not applicable.
Cost Estimate of the Congressional Budget Office
The cost estimate required by the Congressional Budget
Office was timely submitted.
U.S. Congress,
Congressional Budget Office,
Washington, DC, March 18, 2002.
Hon. Dan Burton,
Chairman, Committee on Government Reform,
House of Representatives, Washington, DC.
Dear Mr. Chairman: As you requested, the Congressional
Budget Office has prepared the enclosed cost estimate for H.R.
3925, the Digital Tech Corps Act of 2002.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Matthew
Pickford.
Sincerely,
Barry B. Anderson
(For Dan L. Crippen, Director).
Enclosure.
H.R. 3925--Digital Tech Corps Act of 2002
H.R. 3925 would establish an exchange program between the
federal government and the private sector to promote
information technology management. The bill would allow the
exchange of employees for up to two years between the public
and private sectors to share information management talent and
expertise. Private-sector employers could be reimbursed for all
or part of the cost of their employees' assignment with the
federal government. Alternatively, H.R. 3925 would allow for
federal agencies to accept voluntary employment services.
CBO estimates that implementing H.R. 3925 would not result
in significant federal costs. A recent report by the General
Accounting Office indicates that the demand for qualified
information technology workers will exceed the supply, hence it
is unlikely that private-sector employers will be willing to
part with many such employees for extended periods. Any
exchange of employees that involved reimbursement to the
private sector would be subject to the availability of
appropriated funds for salary, training, and educational
expenses.
H.R. 3925 would not affect direct spending or receipts, so
pay-as-you-go procedures would not apply. The bill contains no
intergovernmental or private-sector mandates as defined in the
Unfunded Mandates Reform Act and would impose no costs on
state, local, or tribal governments. The District of Columbia
could benefit from provisions of the bill that would authorize
employees in the Office of the Chief Technology Officer to be
assigned to a private-sector organization or an employee of
such organizations to be assigned to the Office.
The CBO staff contacts for this estimate are Matthew
Pickford (for federal costs), and Susan Sieg Tompkins (for the
state and local impact). The estimate was approved by Peter H.
Fontaine, Deputy Assistant Director for Budget Analysis
Division.
Committee Recommendation
On March 14, 2002, the Committee by voice vote favorably
reported H.R. 3925, as amended, with the recommendation that
that bill be agreed to and passed.
Inflationary Impact Statement
In accordance with rule XI, clause 2(l)(4) of the Rules of
the House of Representatives, this legislation is assessed to
have no inflationary impact on prices and costs in the
operation of the national economy.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italic, existing law in which no change is
proposed is shown in roman):
TITLE 5, UNITED STATES CODE
* * * * * * *
PART III--EMPLOYEES
* * * * * * *
Subpart B--Employment and Retention
Authority for Employment......................................3101
* * * * * * *
Information Technology Exchange Program.......................3701
* * * * * * *
Subpart B--Employment and Retention
CHAPTER 31--AUTHORITY FOR EMPLOYMENT
* * * * * * *
SUBCHAPTER I--EMPLOYMENT AUTHORITIES
* * * * * * *
Sec. 3111. Acceptance of volunteer service
(a) * * *
* * * * * * *
(d) Notwithstanding section 1342 of title 31, the head of an
agency may accept voluntary service for the United States under
chapter 37 of this title and regulations of the Office of
Personnel Management.
* * * * * * *
CHAPTER 37--INFORMATION TECHNOLOGY EXCHANGE PROGRAM
Sec.
3701. Definitions.
3702. General provisions.
3703. Assignment of employees to private sector organizations.
3704. Assignment of employees from private sector organizations.
3705. Application to Office of the Chief Technology Officer of the
District of Columbia.
3706. Reporting requirement.
3707. Regulations.
Sec. 3701. Definitions
For purposes of this chapter--
(1) the term ``agency'' means an Executive agency,
but does not include the General Accounting Office; and
(2) the term ``detail'' means--
(A) the assignment or loan of an employee of
an agency to a private sector organization
without a change of position from the agency
that employs the individual, or
(B) the assignment or loan of an employee of
a private sector organization to an agency
without a change of position from the private
sector organization that employs the
individual,
whichever is appropriate in the context in which such
term is used.
Sec. 3702. General provisions
(a) Assignment Authority.--On request from or with the
agreement of a private sector organization, and with the
consent of the employee concerned, the head of an agency may
arrange for the assignment of an employee of the agency to a
private sector organization or an employee of a private sector
organization to the agency. An eligible employee is an
individual who--
(1) works in the field of information technology
management;
(2) is considered an exceptional performer by the
individual's current employer; and
(3) is expected to assume increased information
technology management responsibilities in the future.
An employee of an agency shall be eligible to participate in
this program only if the employee is employed at the GS-11
level or above (or equivalent) and is serving under a career or
career-conditional appointment or an appointment of equivalent
tenure in the excepted service.
(b) Agreements.--Each agency that exercises its authority
under this chapter shall provide for a written agreement
between the agency and the employee concerned regarding the
terms and conditions of the employee's assignment. In the case
of an employee of the agency, the agreement shall--
(1) require the employee to serve in the civil
service, upon completion of the assignment, for a
period equal to the length of the assignment; and
(2) provide that, in the event the employee fails to
carry out the agreement (except for good and sufficient
reason, as determined by the head of the agency from
which assigned) the employee shall be liable to the
United States for payment of all expenses of the
assignment.
An amount under paragraph (2) shall be treated as a debt due
the United States.
(c) Termination.--Assignments may be terminated by the agency
or private sector organization concerned for any reason at any
time.
(d) Duration.--Assignments under this chapter shall be for a
period of between 6 months and 1 year, and may be extended in
3-month increments for a total of not more than 1 additional
year, except that no assignment under this chapter may commence
after the end of the 5-year period beginning on the date of the
enactment of this chapter.
(e) Assistance.--The Chief Information Officers Council, by
agreement with the Office of Personnel Management, may assist
in the administration of this chapter, including by maintaining
lists of potential candidates for assignment under this
chapter, establishing mentoring relationships for the benefit
of individuals who are given assignments under this chapter,
and publicizing the program.
Sec. 3703. Assignment of employees to private sector organizations
(a) In General.--An employee of an agency assigned to a
private sector organization under this chapter is deemed,
during the period of the assignment, to be on detail to a
regular work assignment in his agency.
(b) Coordination With Chapter 81.--Notwithstanding any other
provision of law, an employee of an agency assigned to a
private sector organization under this chapter is entitled to
retain coverage, rights, and benefits under subchapter I of
chapter 81, and employment during the assignment is deemed
employment by the United States, except that, if the employee
or the employee's dependents receive from the private sector
organization any payment under an insurance policy for which
the premium is wholly paid by the private sector organization,
or other benefit of any kind on account of the same injury or
death, then, the amount of such payment or benefit shall be
credited against any compensation otherwise payable under
subchapter I of chapter 81.
(c) Reimbursements.--The assignment of an employee to a
private sector organization under this chapter may be made with
or without reimbursement by the private sector organization for
the travel and transportation expenses to or from the place of
assignment, subject to the same terms and conditions as apply
with respect to an employee of a Federal agency or a State or
local government under section 3375, and for the pay, or a part
thereof, of the employee during assignment. Any reimbursements
shall be credited to the appropriation of the agency used for
paying the travel and transportation expenses or pay.
(d) Tort Liability; Supervision.--The Federal Tort Claims Act
and any other Federal tort liability statute apply to an
employee of an agency assigned to a private sector organization
under this chapter. The supervision of the duties of an
employee of an agency so assigned to a private sector
organization may be governed by an agreement between the agency
and the organization.
Sec. 3704. Assignment of employees from private sector organizations
(a) In General.--An employee of a private sector organization
assigned to an agency under this chapter is deemed, during the
period of the assignment, to be on detail to such agency.
(b) Terms and Conditions.--An employee of a private sector
organization assigned to an agency under this chapter--
(1) may, notwithstanding section 209 of title 18,
continue to receive pay and benefits from the private
sector organization from which he is assigned;
(2) is deemed, notwithstanding subsection (a), to be
an employee of the agency for the purposes of--
(A) chapter 73;
(B) sections 201, 203, 205, 207, 208, 209,
603, 606, 607, 643, 654, 1905, and 1913 of
title 18;
(C) sections 1343, 1344, and 1349(b) of title
31;
(D) the Federal Tort Claims Act and any other
Federal tort liability statute;
(E) the Ethics in Government Act of 1978;
(F) section 1043 of the Internal Revenue Code
of 1986; and
(G) section 27 of the Office of Federal
Procurement Policy Act; and
(3) is subject to such regulations as the President
may prescribe.
The supervision of an employee of a private sector organization
assigned to an agency under this chapter may be governed by
agreement between the agency and the private sector
organization concerned. Such an assignment may be made with or
without reimbursement by the agency for the pay, or a part
thereof, of the employee during the period of assignment, or
for any contribution of the private sector organization to
employee benefit systems.
(c) Coordination With Chapter 81.--An employee of a private
sector organization assigned to an agency under this chapter
who suffers disability or dies as a result of personal injury
sustained while performing duties during the assignment shall
be treated, for the purpose of subchapter I of chapter 81, as
an employee as defined by section 8101 who had sustained the
injury in the performance of duty, except that, if the employee
or the employee's dependents receive from the private sector
organization any payment under an insurance policy for which
the premium is wholly paid by the private sector organization,
or other benefit of any kind on account of the same injury or
death, then, the amount of such payment or benefit shall be
credited against any compensation otherwise payable under
subchapter I of chapter 81.
Sec. 3705. Application to Office of the Chief Technology Officer of the
District of Columbia
(a) In General.--The Chief Technology Officer of the District
of Columbia may arrange for the assignment of an employee of
the Office of the Chief Technology Officer to a private sector
organization, or an employee of a private sector organization
to such Office, in the same manner as the head of an agency
under this chapter.
(b) Terms and Conditions.--An assignment made pursuant to
subsection (a) shall be subject to the same terms and
conditions as an assignment made by the head of an agency under
this chapter, except that in applying such terms and conditions
to an assignment made pursuant to subsection (a), any reference
in this chapter to a provision of law or regulation of the
United States shall be deemed to be a reference to the
applicable provision of law or regulation of the District of
Columbia, including the applicable provisions of the District
of Columbia Government Comprehensive Merit Personnel Act of
1978 (sec. 1-601.01 et seq., D.C. Official Code) and section
601 of the District of Columbia Campaign Finance Reform and
Conflict of Interest Act (sec. 1-1106.01, D.C. Official Code).
(c) Definition.--For purposes of this section, the term
``Office of the Chief Technology Officer'' means the office
established in the executive branch of the government of the
District of Columbia under the Office of the Chief Technology
Officer Establishment Act of 1998 (sec. 1-1401 et seq., D.C.
Official Code).
Sec. 3706. Reporting requirement
(a) In General.--The Office of Personnel Management shall,
not later than April 30 and October 31 of each year, prepare
and submit to the Committee on Government Reform of the House
of Representatives and the Committee on Governmental Affairs of
the Senate a semiannual report summarizing the operation of
this chapter during the immediately preceding 6-month period
ending on March 31 and September 30, respectively.
(b) Content.--Each report shall include, with respect to the
6-month period to which such report relates--
(1) the total number of individuals assigned to, and
the total number of individuals assigned from, each
agency during such period;
(2) a brief description of each assignment included
under paragraph (1), including--
(A) the name of the assigned individual, as
well as the private sector organization and the
agency (including the specific bureau or other
agency component) to or from which such
individual was assigned;
(B) the respective positions to and from
which the individual was assigned, including
the duties and responsibilities and the pay
grade or level associated with each; and
(C) the duration and objectives of the
individual's assignment; and
(3) such other information as the Office considers
appropriate.
(c) Publication.--A copy of each report submitted under
subsection (a)--
(1) shall be published in the Federal Register; and
(2) shall be made publicly available on the Internet.
(d) Agency Cooperation.--On request of the Office, agencies
shall furnish such information and reports as the Office may
require in order to carry out this section.
Sec. 3707. Regulations
The Director of the Office of Personnel Management shall
prescribe regulations for the administration of this chapter.
Subpart C--Employee Performance
CHAPTER 41--TRAINING
* * * * * * *
Sec. 4108. Employee agreements; service after training
(a) * * *
* * * * * * *
[(d) For purposes of this section, ``training'' includes a
private sector assignment of an employee participating in the
Executive Exchange Program of the President's Commission on
Executive Exchange.]
* * * * * * *
Subpart F--Labor-Management and Employee Relations
* * * * * * *
CHAPTER 73--SUITABILITY, SECURITY, AND CONDUCT
* * * * * * *
SUBCHAPTER V--MISCONDUCT
* * * * * * *
Sec. 7353. Gifts to Federal employees
(a) * * *
(b)(1) * * *
* * * * * * *
(4) Nothing in this section precludes an employee of a
private sector organization, while assigned to an agency under
chapter 37, from continuing to receive pay and benefits from
such organization in accordance with such chapter.
* * * * * * *
----------
TITLE 18, UNITED STATES CODE
* * * * * * *
PART I--CRIMES
* * * * * * *
CHAPTER 11--BRIBERY, GRAFT, AND CONFLICTS OF INTEREST
* * * * * * *
Sec. 207. Restrictions on former officers, employees, and elected
officials of the executive and legislative branches
(a) * * *
* * * * * * *
(c) One-Year Restrictions on Certain Senior Personnel of the
Executive Branch and Independent Agencies.--
(1) * * *
(2) Persons to whom restrictions apply.--(A)
Paragraph (1) shall apply to a person (other than a
person subject to the restrictions of subsection (d))--
(i) * * *
(iii) appointed by the President to a
position under section 105(a)(2)(B) of title 3
or by the Vice President to a position under
section 106(a)(1)(B) of title 3, [or]
(iv) employed in a position which is held by
an active duty commissioned officer of the
uniformed services who is serving in a grade or
rank for which the pay grade (as specified in
section 201 of title 37) is pay grade O-7 or
above[.]; or
(v) an employee of a private sector
organization assigned to an agency under
chapter 37 of title 5.
* * * * * * *
(l) Contract Advice by Former Details.--Whoever, being an
employee of a private sector organization assigned to an agency
under chapter 37 of title 5, within one year after the end of
that assignment, knowingly represents or aids, counsels, or
assists in representing any other person (except the United
States) in connection with any contract with that agency shall
be punished as provided in section 216 of this title.
* * * * * * *
CHAPTER 93--PUBLIC OFFICERS AND EMPLOYEES
* * * * * * *
Sec. 1905. Disclosure of confidential information generally
Whoever, being an officer or employee of the United States or
of any department or agency thereof, any person acting on
behalf of the Office of Federal Housing Enterprise Oversight,
or agent of the Department of Justice as defined in the
Antitrust Civil Process Act (15 U.S.C. 1311-1314), or being an
employee of a private sector organization who is, or was within
the past three years, assigned to an agency under chapter 37 of
title 5, publishes, divulges, discloses, or makes known in any
manner or to any extent not authorized by law any information
coming to him in the course of his employment or official
duties or by reason of any examination or investigation made
by, or return, report or record made to or filed with, such
department or agency or officer or employee thereof, which
information concerns or relates to the trade secrets,
processes, operations, style of work, or apparatus, or to the
identity, confidential statistical data, amount or source of
any income, profits, losses, or expenditures of any person,
firm, partnership, corporation, or association; or permits any
income return or copy thereof or any book containing any
abstract or particulars thereof to be seen or examined by any
person except as provided by law; shall be fined under this
title, or imprisoned not more than one year, or both; and shall
be removed from office or employment.
* * * * * * *
----------
SECTION 27 OF THE OFFICE OF THE FEDERAL PROCUREMENT POLICY ACT
SEC. 27. RESTRICTIONS ON DISCLOSING AND OBTAINING CONTRACTOR BID OR
PROPOSAL INFORMATION OR SOURCE SELECTION
INFORMATION.
(a) Prohibition on Disclosing Procurement Information.--(1) A
person described in paragraph (2) shall not, other than as
provided by law, knowingly disclose contractor bid or proposal
information or source selection information before the award of
a Federal agency procurement contract to which the information
relates. In the case of an employee of a private sector
organization assigned to an agency under chapter 37 of title 5,
United States Code, in addition to the restriction in the
preceding sentence, such employee shall not, other than as
provided by law, knowingly disclose contractor bid or proposal
information or source selection information during the three-
year period after the end of the assignment of such employee.
* * * * * * *
----------
SECTION 125 OF THE ACT OF JANUARY 8, 1988
(Public Law 100-238)
AN ACT Making technical corrections relating to the Federal Employees'
Retirement System, and for other purposes
SEC. 125. ELIGIBILITY OF CERTAIN INDIVIDUALS TO PARTICIPATE IN THE
THRIFT SAVINGS PLAN.
(a) * * *
* * * * * * *
(c) Applicability.--This section applies with respect to--
(1) any individual participating in the Civil Service
Retirement System or the Federal Employees' Retirement
System as--
(A) * * *
(B) an individual assigned from a Federal
agency to a State or local government under
subchapter VI of chapter 33 of title 5, United
States Code; [or]
(C) an individual appointed or otherwise
assigned to one of the cooperative extension
services, as defined by section 1404(5) of the
National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3103(5));
[and] or
(D) an individual assigned from a Federal
agency to a private sector organization under
chapter 37 of title 5, United States Code; and
* * * * * * *
Additional Views of Representative Henry A. Waxman
The majority has worked with me and other members of the
minority to incorporate changes to H.R. 3925 which we
suggested. This was done in good faith and many of our
suggestions we adopted.
However, I continue to have serious reservations about this
bill. I believe that blurring the line between the public
sector and the private sector creates unnecessary conflicts of
interest. There has been an attempt to deal with these problems
by applying conflict of interest rules to the private sector
employees who enter the federal workforce. But I am not sure
that these rules alone will prevent abuses.
Further, under the bill as reported, a private sector
employee, while working in the federal government, will have
access to trade secrets of competitors and other sensitive
commercial information. The bill expressly allows the private
sector employee to disclose these trade secrets after just
three years. I do not believe that this is wise public policy.
Private sector employees should not have access to trade
secrets or other sensitive nonpublic information that affects
their private sector employer.
I also have concerns about the precedent of sending federal
employees, who are paid by the taxpayer, to work for private
sector employers for up to two years. I think this could be a
new and potentially egregious form of corporate welfare. Under
this bill as written, we could have a new type of federal
subsidy for industry: federal employees, paid with taxpayer
money, could be sent to private corporations for up to two
years to help those corporations with their information
technology work.
The majority maintains that this isn't a serious problem
because the bill calls for an ``exchange'' of private sector
workers for federal workers, so the cost of sending public
workers to the private sector would be offset by the benefit of
having private workers serve in the public sector. The problem
is that there is no requirement for a one-to-one exchange in
the bill. In fact, there are no limits at all on the number of
federal workers who can be sent to the private sector.
The majority also suggest that sending federal workers to
the private sector makes sense because they will receive good
``training.'' But again, there is no such requirement in the
bill. Section 3702 of the bill states:
On request from * * * a private sector organization,
* * * the head of an agency may arrange for the
assignment of an employee of the agency to a private
sector organization.
There is no requirement that the assignment accomplish any
training objective. This is a blank check to send federal
workers, at taxpayer expense, to serve the private sector. The
only precondition is that there be a request from the private
sector.
During the markup of this legislation, I offered an
amendment to address this flaw. The amendment would have
established a comprehensive training program for information
technology workers, run by the Office of Personnel Management.
This training program is a well though-out training program
that is taken directly from H.R. 2458, which was introduced by
the ranking member of the Subcommittee, Mr. Turner. The only
change I have made to Mr. Turner's proposal is to add a
provision that says explicitly that out-placements to the
private sector can be included as part of the training program.
The majority's stated position is that the exchange program
for IT workers is a form of training, particularly when federal
workers are going to the private sector. If that is the case,
then the exchange program should be run by those with expertise
in training, and who can properly place such a program in the
context of the overall training needs of the federal
government's IT workforce. That is exactly what my amendment
would have done.
Without my amendment, there are no limits on the program as
written. Any number of well-paid senior managers--GS 11s to
15s, making up to $107,357 a year--could be sent to private
industry. The federal government could spend well over a
million dollars on just five people for this type of
``training.''
Everyone agrees that there is a need for more training. A
recent report by the National Academy of Public Administration
found that one of the major problems in the federal IT
workforce was a ``lack of investment in continuous learning
within the federal government. This failure is especially
problematic in the dynamic and rapidly changing world of IT.
Such an environment makes it essentially to invest in people.''
My amendment would have directly addressed this lack of
training while placing commonsense limits on the placement of
federal employees in the private sector.
I also remain concerned about the possibility that the cost
of private sector workers coming into the federal sector may
ultimately be borne by the taxpayer. Under the bill, employees
from the private sector would continue to be paid by their
company while on detail to the federal government.
Unfortunately, the costs of private sector employees' salary
and benefits while on detail could be billed back to the
federal government as overhead on certain contracts. This is
clearly contrary to the spirit of the bill and should be
corrected before final passage.
Henry A. Waxman.