Savings, Accountability, Value, and Efficiency III Act of 2014
A BILL
To save the Federal Government money by reducing duplication and increasing efficiency, and for other purposes.
2. Software license management
Software license policies required— Not later than 6 months after the date of the enactment of this Act, the Director of the Office of Management and Budget shall issue software licensing policies for agencies to follow that include the following:
An identification of clear roles, responsibilities, and central oversight authority within each agency for managing enterprise software license agreements.
A requirement that each agency establish an accurate inventory of enterprise software license agreements by identifying and collecting information about software license agreements using automated discovery and inventory tools.
A requirement that each agency regularly track and maintain software licenses to assist the agency in implementing decisions throughout the software license management life cycle.
A requirement that each agency analyze software usage and other data to make cost-effective decisions.
A requirement that each agency provide training relevant to software license management.
A requirement that each agency establish goals and objectives to better manage enterprise software license agreements.
A requirement that each agency consider the software license management life-cycle phases (including requisition, reception, deployment and maintenance, retirement, and disposal phases) to implement effective decisionmaking and incorporate existing standards, processes, and metrics.
Agency defined— In this section, the term agency has the meaning given that term in section 551 of title 5, United States Code.
3. United States Postal Service fleet efficiency
Purposes— The purposes of this section are to provide for the upgrade of the vehicle fleet of the United States Postal Service, to improve mail delivery services to benefit customers and the environment, to increase savings by reducing maintenance or other costs, and to set benchmarks to maximize fuel economy and reduce emissions for the Postal fleet with the goal of making the Postal Service a national leader in efficiency and technology innovation.
Authority To enter into energy savings performance contracts— Section 804(4) of the National Energy Conservation Policy Act (42 U.S.C. 8287c(4)) is amended—
in subparagraph (A), by striking “or” after the semicolon;
in subparagraph (B), by striking the period at the end and inserting “; or”; and
by adding at the end the following new subparagraph:
“(C) in the case of a contract in which the United States Postal Service is a party—
“(i) the purchase or lease of low emission and fuel efficient vehicles;
“(ii) a measure to upgrade a vehicle owned, operated, leased, or otherwise controlled by or assigned to the United States Postal Service to increase average fuel economy and reduce the emissions of carbon dioxide of such vehicle; or
“(iii) the construction of infrastructure, including electric vehicle charging stations, to support vehicles described in clauses (i) and (ii).”
Upgrade of Postal fleet—
Postal fleet requirements—
Motor vehicle standards— The Postmaster General shall develop guidelines for contracted vehicles and vehicles purchased or leased for use by the Postal Service, that, at a minimum, provide—
for light-duty vehicles—
that emissions of carbon dioxide comply with applicable standards developed by the Environmental Protection Agency under title II of the Clean Air Act (42 U.S.C. 7521 et seq.) and may not exceed, on average, 250 grams per mile; and
to meet applicable average fuel economy standards developed by the National Highway Traffic Safety Administration under chapter 329 of title 49, United States Code, of 34.1 miles per gallon; and
for medium-duty and heavy-duty vehicles, that comply with applicable standards—
for emissions of carbon dioxide developed by the Environmental Protection Agency under title II of the Clean Air Act (42 U.S.C. 7521 et seq.); and
for average fuel economy developed by the National Highway Traffic Safety Administration under chapter 329 of title 49, United States Code.
Applicability— The standards described in subparagraph (A) shall apply to contracted vehicles and vehicles purchased or leased for use by the Postal Service after the date that is 1 year after the date of the enactment of this Act.
Reduction in consumption of petroleum products— The Postmaster General shall reduce the total consumption of petroleum products by vehicles in the Postal fleet by a minimum of 2 percent annually through the end of fiscal year 2025, relative to the baseline established for fiscal year 2005.
Replacing vehicles within the Postal fleet— The Postmaster General shall conduct a cost-benefit analysis of vehicles in the Postal fleet to determine if the cost to maintain any such vehicle outweighs the benefit or savings of replacing the vehicle.
Route requirements— To inform and prioritize purchases, the Postmaster General shall review and identify Postal delivery routes to determine if motor vehicles used on such routes can be replaced with technologies that increase average fuel economy or reduce emissions of carbon dioxide.
Reporting requirements— The Postmaster General shall submit a report to Congress—
not later than 1 year after the date of the enactment of this Act, that contains a plan to achieve the requirements of paragraph (1) and recommendations for vehicle body design specifications for vehicles purchased for the Postal fleet that would increase average fuel economy and reduce emissions of carbon dioxide of any such vehicle; and
annually, that describes—
the progress in meeting the annual target described in paragraph (1)(C); and
any changes to Postal delivery routes or vehicle purchase strategies made pursuant to paragraph (3).
Restrictions— To meet the requirements of this section, the Postmaster General may not—
reduce the frequency of delivery of mail to fewer than 6 days each week;
close post offices or postal distribution facilities;
take any action that would restrict or diminish a collective bargaining agreement or eliminate or reduce any employee benefits; or
enter into a contract with a private company to perform duties that, as of the date of the enactment of this Act, are performed by bargaining unit employees.
Definitions— In this section:
Contracted vehicle— The term contracted vehicle—
means any motor vehicle used in carrying out a contract for surface mail delivery pursuant to section 5005(a)(3) of title 39, United States Code; and
does not include any motor vehicle used in carrying out a contract for surface mail delivery pursuant to sections 406 and 407 of such title.
Motor vehicle— The term motor vehicle means any self-propelled vehicle designed for transporting persons or property on a street or highway.
Postal delivery route— The term Postal delivery route means the transportation route for surface mail delivery.
Postal fleet— The term Postal fleet means any vehicle that is owned, operated, leased, or otherwise controlled by or assigned to the Postal Service.
Postal Service— The term Postal Service means the United States Postal Service.
4. Government Computer Energy Optimization
Agency requirement To shut down computers— Except as provided in subsection (b), not later than 6 months after the date of the enactment of this Act, the head of each agency shall make all reasonable efforts to ensure that desktop computers are shut down for at least 4 hours out of every 24-hour time period.
Exception— The requirement in subsection (a) shall not apply to—
desktop computers that are used by a person for 16 or more hours per day; and
computers that perform automated functions essential to the agency for 16 or more hours per day.
Agency defined— In this section, the term agency has the meaning given that term in section 551 of title 5, United States Code.
5. Removal of benefits for Federal employee convicted of certain offenses
In general— Notwithstanding any other provision of law, an individual may not be paid an annuity under chapter 83 or 84 (as the case may be) of title 5, United States Code, if the individual is convicted of an offense described under section 8332(o)(2)(B) of such title, committed after the date of enactment of this Act, for which every act or omission of the individual that is needed to satisfy the elements of the offense directly relates to the performance of the individual's official duties.
Credit of service— Any such individual shall be entitled to be paid any amounts contributed by the individual towards the annuity during the period of service covered by subsection (a), pursuant to, or in a similar manner as, the terms of section 8316 of such title.
Thrift Savings Plan—
Employing agency contributions— Any contributions made under section 8432 of such title by an employing agency for the benefit of an individual convicted of an offense described in subsection (a) shall be forfeited. Such contributions shall be returned to the general fund of the Treasury.
Employee contributions— Any contributions made by the individual pursuant to section 8432 of such title shall be payable to the individual, upon application of such individual.
Computation— The computation of amounts required by paragraphs (1) and (2) shall be made on the date of the conviction of the individual and shall consist of the value of the contributions, including interest accrued, on such date.
Regulations— The Director of the Office of Personnel Management shall prescribe any regulations necessary to carry out this section.
6. Codification of Office of Management and Budget criteria
The Secretary of Defense shall implement the following criteria in requests for overseas contingency operations:
For theater of operations for non-classified war overseas contingency operations funding, the geographic areas in which combat or direct combat support operations occur are: Iraq, Afghanistan, Pakistan, Kazakhstan, Tajikistan, Kyrgyzstan, the Horn of Africa, Persian Gulf and Gulf nations, the Arabian Sea, the Indian Ocean, the Philippines, and other countries on a case-by-case basis.
Permitted Inclusions in the Overseas Contingency Operation Budget:
Major Equipment:
Replacement of losses that have occurred but only for items not already programmed for replacement in the Future Years Defense Plan (FYDP), but not including accelerations, which must be made in the base budget.
Replacement or repair to original capability (to upgraded capability if that is currently available) of equipment returning from theater. The replacement may be a similar end item if the original item is no longer in production. Incremental cost of non-war related upgrades, if made, should be included in the base.
Purchase of specialized, theater-specific equipment.
Funding for major equipment must be obligated within 12 months.
Ground Equipment Replacement:
For combat losses and returning equipment that is not economical to repair, the replacement of equipment may be given to coalition partners, if consistent with approved policy.
In-theater stocks above customary equipping levels on a case-by-case basis.
Equipment Modifications:
Operationally required modifications to equipment used in theater or in direct support of combat operations and that is not already programmed in FYDP.
Funding for equipment modifications must be able to be obligated in 12 months.
Munitions:
Replenishment of munitions expended in combat operations in theater.
Training ammunition for theater-unique training events.
While forecasted expenditures are not permitted, a case-by-case assessment for munitions where existing stocks are insufficient to sustain theater combat operations.
Aircraft Replacement:
Combat losses by accident that occur in the theater of operations.
Combat losses by enemy action that occur in the theater of operations.
Military Construction:
Facilities and infrastructure in the theater of operations in direct support of combat operations. The level of construction should be the minimum to meet operational requirements.
At non-enduring locations, facilities and infrastructure for temporary use.
At enduring locations, facilities and infrastructure for temporary use.
At enduring locations, construction requirements must be tied to surge operations or major changes in operational requirements and will be considered on a case-by-case basis.
Research and development projects for combat operations in these specific theaters that can be delivered in 12 months.
Operations:
Direct war costs:
Transport of personnel, equipment, and supplies to, from and within the theater of operations.
Deployment-specific training and preparation for units and personnel (military and civilian) to assume their directed missions as defined in the orders for deployment into the theater of operations.
Within the theater, the incremental costs above the funding programmed in the base budget to:
Support commanders in the conduct of their directed missions (to include Emergency Response Programs).
Build and maintain temporary facilities.
Provide food, fuel, supplies, contracted services and other support.
Cover the operational costs of coalition partners supporting U.S. military missions, as mutually agreed.
Indirect war costs incurred outside the theater of operations will be evaluated on a case-by-case basis.
Health:
Short-term care directly related to combat.
Infrastructure that is only to be used during the current conflict.
Personnel:
Incremental special pays and allowances for servicemembers and civilians deployed to a combat zone.
Incremental pay, special pays and allowances for Reserve Component personnel mobilized to support war missions.
Special Operations Command:
Operations that meet the criteria in this guidance.
Equipment that meets the criteria in this guidance.
Prepositioned supplies and equipment for resetting in-theater stocks of supplies and equipment to pre-war levels.
Security force funding to train, equip, and sustain Iraqi and Afghan military and police forces.
Fuel:
War fuel costs and funding to ensure that logistical support to combat operations is not degraded due to cash losses in the Department of Defense’s baseline fuel program.
Enough of any base fuel shortfall attributable to fuel price increases to maintain sufficient on-hand cash for the Defense Working Capital Funds to cover seven days disbursements.
Excluded items from Overseas Contingency Funding that must be funded from the base budget:
Training vehicles, aircraft, ammunition, and simulators, but not training base stocks of specialized, theater-specific equipment that is required to support combat operations in the theater of operations, and support to deployment-specific training described above.
Acceleration of equipment service life extension programs already in the Future Years Defense Plan.
Base Realignment and Closure projects.
Family support initiatives:
Construction of childcare facilities.
Funding for private-public partnerships to expand military families’ access to childcare.
Support for servicemembers’ spouses' professional development.
Programs to maintain industrial base capacity including “war-stoppers”.
Personnel:
Recruiting and retention bonuses to maintain end-strength.
Basic Pay and the Basic allowances for Housing and Subsistence for permanently authorized end strength.
Individual augmentees on a case-by-case basis.
Support for the personnel, operations, or the construction or maintenance of facilities at United States Offices of Security Cooperation in theater.
Costs for reconfiguring prepositioned supplies and equipment or for maintaining them.
Items proposed for increases in reprogrammings or as payback for prior reprogrammings must meet the criteria above.
7. Increase energy efficiency of Federal buildings
Findings— Congress finds the following:
Private sector funding and expertise can help address the energy efficiency challenges facing the United States.
The Federal Government spends more than $6 billion annually in energy costs.
Reducing Federal energy costs can help save money, create jobs, and reduce waste.
Energy savings performance contracts and utility energy savings contracts are tools for utilizing private sector investment to upgrade Federal facilities without any up-front cost to the taxpayer.
Performance contracting is a way to retrofit Federal buildings using private sector investment in the absence of appropriated dollars. Retrofits seek to reduce energy use, improve infrastructure, protect national security, and cut facility operations and maintenance costs.
Use of energy and water efficiency measures in Federal buildings—
Implementation of identified energy and water efficiency measures— Section 543(f)(4) of the National Energy Conservation Policy Act (42 U.S.C. 8253(f)(4)) is amended to read as follows:
“(4) Implementation of identified energy and water efficiency measures
“(A) In general—Not later than 2 years after the completion of each evaluation under paragraph (3), each energy manager shall consider—
“(i) implementing any energy- or water-saving or conservation measure that the Federal agency identified in the evaluation conducted under paragraph (3) that is life cycle cost-effective; and
“(ii) bundling individual measures of varying paybacks together into combined projects.
“(B) Measures not implemented—The energy manager, as part of the certification system under paragraph (7) and using guidelines developed by the Secretary, shall provide reasons for not implementing any life cycle cost-effective measures under subparagraph (A).”
Annual contracting goal— Section 543(f)(10)(C) of the National Energy Conservation Policy Act (42 U.S.C. 8253(f)(10)(C)) is amended—
by striking “Each Federal agency” and inserting the following:
“(i) In general—Each Federal agency”
by adding at the end the following new clauses:
“(ii) Tracking—Each Federal agency shall use the benchmarking systems selected or developed for the agency under paragraph (8) to track energy savings realized by the agency through the implementation of energy- or water-saving or conservation measures pursuant to paragraph (4), and shall submit information regarding such savings to the Secretary to be published on a public website of the Department of Energy.
“(iii) Consideration—Each Federal agency shall consider using energy savings performance contracts or utility energy service contracts to implement energy- or water-saving or conservation measures pursuant to paragraph (4).
“(iv) Contracting goal—It shall be the goal of the Federal Government, in the implementation of energy- or water-saving or conservation measures pursuant to paragraph (4), to enter into energy savings performance contracts or utility energy service contracts equal to $1,000,000,000 in each year during the 5-year period beginning on January 1, 2014.
“(v) Report to Congress—Not later than September 30 of each year during the 5-year period referred to in clause (iv), each Federal agency shall submit to the Secretary information regarding progress made by the agency towards achieving the goal described in such clause. Not later than 60 days after each such September 30, the Secretary, acting through the Federal Energy Management Program, shall submit to the Committee on Energy and Commerce of the House of Representatives and the Committee on Energy and Natural Resources of the Senate a report describing the progress made by the Federal Government towards achieving such goal.”
8. Reduce redundant health payments for seniors
Study— The Secretary of Health and Human Services, in cooperation with the Secretary of Veterans Affairs and the Secretary of Defense, shall conduct a study examining the extent to which payments may be made under both the Medicare Advantage program and under the veterans health care system or the TRICARE program for health care furnished to individuals who are eligible under such Medicare Advantage program and the veterans health care system or the TRICARE program.
Report— The Secretary shall submit a report to Congress on the study conducted under subsection (a). The report shall contain recommendations that—
preserve access to benefits under the Medicare program for individuals eligible for such benefits;
focus on satisfaction and health outcomes of such individuals with respect to such benefits;
provide for the efficient use of Federal funds;
account for the adequacy of the veterans health care system and the TRICARE program; and
minimize disruption to the availability of Medicare Advantage plans and networks of providers participating in such plans.
Definitions— In this section:
The term Medicare Advantage program means the program under part C of title XVIII of the Social Security Act.
The term TRICARE program has the meaning given that term in section 1072(7) of title 10, United States Code.
The term veterans health care system means the health care system established under section 1705 of title 38, United States Code.
9. Efficient Medicare billing
Option To receive Medicare Summary Notice electronically—
In general— Section 1806 of the Social Security Act (42 U.S.C. 1395b–7) is amended by adding at the end the following new subsection:
“(c) Format of statements from Secretary
“(1) Electronic option beginning in 2015—Subject to paragraph (2), for statements described in subsection (a) that are furnished for a period in 2015 or a subsequent year, in the case that an individual described in subsection (a) elects, in accordance with such form, manner, and time specified by the Secretary, to receive such statement in an electronic format, such statement shall be furnished to such individual for each period subsequent to such election in such a format and shall not be mailed to the individual.
“(2) One-time revocation option—An individual who makes an election described in paragraph (1) may revoke such election once.
“(3) Notification—The Secretary shall ensure that, in the most cost effective manner and beginning January 1, 2017, a clear notification of the option to elect to receive statements described in subsection (a) in an electronic format is made available, such as through the notices distributed under section 1804, to individuals described in subsection (a). For notices distributed under section 1804 on or after January 1, 2017, the Secretary shall ensure that such notice includes a clear notification of the option to elect to receive statements described in subsection (a) in an electronic format.”
Encouraged expansion of electronic statements— To the extent to which the Secretary of Health and Human Services determines appropriate, the Secretary shall—
apply an option similar to the option described in subsection (c)(1) of section 1806 of the Social Security Act (42 U.S.C. 1395b–7) (relating to the provision of the Medicare Summary Notice in an electronic format), as added by subsection (a), to other statements and notifications under title XVIII of such Act (42 U.S.C. 1395 et seq.); and
provide such Medicare Summary Notice and any such other statements and notifications on a more frequent basis than is otherwise required under such title.
Renewal of MAC contracts— Section 1874A(b)(1)(B) of the Social Security Act (42 U.S.C. 1395kk–1(b)(1)(B)) is amended by striking “5 years” and inserting “10 years”.