text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Federal Financial Assistance 
  Management Improvement Act of 1999''.
  
  SEC. 2. FINDINGS.
  
      The Congress finds that--
              (1) there are over 600 different Federal financial 
          assistance programs to implement domestic policy;
              (2) while the assistance described in paragraph (1) has 
          been directed at critical problems, some Federal administrative 
          requirements may be duplicative, burdensome, or conflicting, 
          thus impeding cost-effective delivery of services at the local 
          level;
              (3) the Nation's State, local, and tribal governments and 
          private, nonprofit organizations are dealing with increasingly 
          complex problems which require the delivery and coordination of 
          many kinds of services; and
              (4) streamlining and simplification of Federal financial 
          assistance administrative procedures and reporting requirements 
          will improve the delivery of services to the public.
  
  SEC. 3. PURPOSES.
  
      The purposes of this Act are to--
              (1) improve the effectiveness and performance of Federal 
          financial assistance programs;
              (2) simplify Federal financial assistance application and 
          reporting requirements;
              (3) improve the delivery of services to the public; and
              (4) facilitate greater coordination among those responsible 
          for delivering such services.
  
  SEC. 4. DEFINITIONS.
  
      In this Act:
              (1) Director.--The term ``Director'' means the Director of 
          the Office of Management and Budget.
              (2) Federal agency.--The term ``Federal agency'' means any 
          agency as defined under section 551(1) of title 5, United 
          States Code.
              (3) Federal financial assistance.--The term ``Federal 
          financial assistance'' has the meaning given that term in 
          section 7501(a)(5) of title 31, United States Code, under which 
          Federal financial assistance is provided, directly or 
          indirectly, to a non-Federal entity.
              (4) Local government.--The term ``local government'' means 
          a political subdivision of a State that is a unit of general 
          local government (as defined under section 7501(a)(11) of title 
          31, United States Code);
              (5) Non-federal entity.--The term ``non-Federal entity'' 
          means a State, local government, or nonprofit organization.
              (6) Nonprofit organization.--The term ``nonprofit 
          organization'' means any corporation, trust, association, 
          cooperative, or other organization that--
                      (A) is operated primarily for scientific, 
                  educational, service, charitable, or similar purposes 
                  in the public interest;
                      (B) is not organized primarily for profit; and
                      (C) uses net proceeds to maintain, improve, or 
                  expand the operations of the organization.
              (7) State.--The term ``State'' means any State of the 
          United States, the District of Columbia, the Commonwealth of 
          Puerto Rico, the Virgin Islands, Guam, American Samoa, the 
          Commonwealth of the Northern Mariana Islands, and the Trust 
          Territory of the Pacific Islands, and any instrumentality 
          thereof, any multi-State, regional, or interstate entity which 
          has governmental functions, and any Indian Tribal Government.
              (8) Tribal government.--The term ``tribal government'' 
          means an Indian tribe, as that term is defined in section 
          7501(a)(9) of title 31, United States Code.
              (9) Uniform administrative rule.--The term ``uniform 
          administrative rule'' means a government-wide uniform rule for 
          any generally applicable requirement established to achieve 
          national policy objectives that applies to multiple Federal 
          financial assistance programs across Federal agencies.
  
  SEC. 5. DUTIES OF FEDERAL AGENCIES.
  
      (a) In General.--Not later than 18 months after the date of the 
  enactment of this Act, each Federal agency shall develop and implement 
  a plan that--
              (1) streamlines and simplifies the application, 
          administrative, and reporting procedures for Federal financial 
          assistance programs administered by the agency;
              (2) demonstrates active participation in the interagency 
          process under section 6(a)(2);
              (3) demonstrates appropriate agency use, or plans for use, 
          of the common application and reporting system developed under 
          section 6(a)(1);
              (4) designates a lead agency official for carrying out the 
          responsibilities of the agency under this Act;
              (5) allows applicants to electronically apply for, and 
          report on the use of, funds from the Federal financial 
          assistance program administered by the agency in a manner not 
          inconsistent with the Government Paperwork Elimination Act 
          (title XVII of Public Law 105-277);
              (6) ensures recipients of Federal financial assistance 
          provide timely, complete, and high quality information in 
          response to Federal reporting requirements; and
              (7) establishes specific annual goals and objectives to 
          further the purposes of this Act and measure annual performance 
          in achieving those goals and objectives, which may be done as 
          part of the agency's annual planning responsibilities under the 
          provisions enacted in the Government Performance and Results 
          Act of 1993 (Public Law 103-62).
      (b) Extension.--If one or more agencies are unable to comply with 
  the requirements of subsection (a), the Director shall report to the 
  Committee on Governmental Affairs of the Senate and the Committee on 
  Government Reform of the House of Representatives the reasons for 
  noncompliance. After consultation with such committees, the Director 
  may extend the period for plan development and implementation for each 
  noncompliant agency for up to 12 months.
      (c) Comment and Consultation on Agency Plans.--
              (1) Comment.--Each agency shall publish the plan developed 
          under subsection (a) in the Federal Register and shall receive 
          public comment of the plan through the Federal Register and 
          other means (including electronic means). To the maximum extent 
          practicable, each Federal agency shall hold public forums on 
          the plan.
              (2) Consultation.--The lead official designated under 
          subsection (a)(4) shall consult with representatives of non-
          Federal entities during development and implementation of the 
          plan. Consultation with representatives of State, local, and 
          tribal governments shall be in accordance with section 204 of 
          the Unfunded Mandates Reform Act of 1995 (Public Law 104-4; 2 
          U.S.C. 1534).
      (d) Submission of Plan.--Each Federal agency shall submit the plan 
  developed under subsection (a) to the Director and Congress and report 
  annually thereafter on the implementation of the plan and performance 
  of the agency in meeting the goals and objectives specified under 
  subsection (a)(7). Such report may be included as part of any of the 
  general management reports required under law.
      (e) Department of Housing and Urban Development.--(1) Not later 
  than 18 months after the date of the enactment of this Act, the 
  Department of Housing and Urban Development shall develop and implement 
  a plan that establishes policies and procedures regarding an applicant 
  who has submitted an application for Federal financial assistance to 
  the agency that includes a technical deficiency under which--
              (A) the applicant shall be notified promptly of the 
          deficiency and permitted to submit the appropriate information 
          to correct the deficiency within 7 days of receipt of notice by 
          the applicant of the deficiency, notwithstanding that the 
          deadline for submission of an application has expired;
              (B) the application shall continue to be considered by the 
          agency during the period before the applicant is notified and 
          the 7-day period during which the applicant is permitted to 
          correct the deficiency; and
              (C) if the applicant corrects the deficiency within the 7-
          day period, the agency shall continue to consider the 
          application.
      (2) A deficiency (including, but not limited to, a misfiling, 
  error, or omission) may be considered technical for purposes of this 
  subsection notwithstanding a material impact on the eligibility of an 
  applicant or proposed activity for requested funding. A technical 
  deficiency for purposes of this subsection does not include the failure 
  to submit a substantially complete application by a deadline published 
  in the Federal Register.
  
  SEC. 6. DUTIES OF THE DIRECTOR.
  
      (a) In General.--The Director, in consultation with agency heads, 
  and representatives of non-Federal entities, shall direct, coordinate 
  and assist Federal agencies in establishing:
              (1)(A) a common application or set of common applications, 
          wherein a non-Federal entity can apply for Federal financial 
          assistance from multiple Federal financial assistance programs 
          that serve similar purposes and are administered by different 
          Federal agencies;
              (B) a common system, including electronic processes, 
          wherein a non-Federal entity can apply for, manage, and report 
          on the use of funding from multiple Federal financial 
          assistance programs that serve similar purposes and are 
          administered by different Federal agencies; and
              (C) uniform administrative rules for Federal financial 
          assistance programs across different Federal agencies.
              (2) An interagency process for addressing--
                      (A) ways to streamline and simplify Federal 
                  financial assistance administrative procedures and 
                  reporting requirements for non-Federal entities;
                      (B) improved interagency and intergovernmental 
                  coordination of information collection and sharing of 
                  data pertaining to Federal financial assistance 
                  programs, including appropriate information sharing 
                  consistent with the provisions in the Privacy Act of 
                  1974 (Public Law 93-579); and
                      (C) improvements in the timeliness, completeness, 
                  and quality of information received by Federal agencies 
                  from recipients of Federal financial assistance.
      (b) Lead Agency and Working Groups.--The Director may designate a 
  lead agency to assist the Director in carrying out the responsibilities 
  under this section. The Director may use interagency working groups to 
  assist in carrying out such responsibilities.
      (c) Review of Plans and Reports.--Agencies shall submit to the 
  Director, upon his request and for his review, information and other 
  reporting regarding their implementation of this Act.
      (d) Exemptions.--The Director may exempt any Federal agency or 
  Federal financial assistance program from the requirements of this Act 
  if the Director determines that the Federal agency does not have a 
  significant number of Federal financial assistance programs. The 
  Director shall maintain a list of exempted agencies which will be 
  available to the public through the Internet site of the Office of 
  Management and Budget.
      (e) Report on Recommended Changes in Law.--Not later than 18 months 
  after the date of the enactment of this Act, the Director shall submit 
  to Congress a report containing recommendations for changes in law to 
  improve the effectiveness and performance of Federal financial 
  assistance programs.
  
  SEC. 7. EVALUATION.
  
      (a) In General.--The Director (or the lead agency designated under 
  section 6(b)) shall contract with the National Academy of Public 
  Administration to evaluate the effectiveness of this Act. Not later 
  than 4 years after the date of the enactment of this Act, the 
  evaluation shall be submitted to the lead agency, the Director, and 
  Congress. The evaluation shall be performed with input from State, 
  local, and tribal governments, and nonprofit organizations.
      (b) Contents.--The evaluation under subsection (a) shall--
              (1) assess the effectiveness of this Act in meeting the 
          purposes of this Act and make specific recommendations to 
          further the implementation of this Act;
              (2) evaluate actual performance of each agency in achieving 
          the goals and objectives stated in agency plans;
              (3) assess the level of coordination among the Director, 
          Federal agencies, State, local, and tribal governments, and 
          nonprofit organizations in implementing this Act.
  
  SEC. 8. COLLECTION OF INFORMATION.
  
      Nothing in this Act shall be construed to prevent the Director or 
  any Federal agency from gathering, or to exempt any recipient of 
  Federal financial assistance from providing, information that is 
  required for review of the financial integrity or quality of services 
  of an activity assisted by a Federal financial assistance program.
  
  SEC. 9. JUDICIAL REVIEW.
  
      There shall be no judicial review of compliance or noncompliance 
  with any of the provisions of this Act. No provision of this Act shall 
  be construed to create any right or benefit, substantive or procedural, 
  enforceable by any administrative or judicial action.
  
  SEC. 10. STATUTORY REQUIREMENTS.
  
      Nothing in this Act shall be construed as a means to deviate from 
  the statutory requirements relating to applicable Federal financial 
  assistance programs.
  
  SEC. 11. EFFECTIVE DATE AND SUNSET.
  
      This Act shall take effect on the date of the enactment of this Act 
  and shall cease to be effective five years after such date of 
  enactment.
  
  SEC. 12. SENSE OF THE CONGRESS REGARDING FEDERAL FINANCIAL ASSISTANCE.
  
      It is the sense of the Congress that Federal agencies, in providing 
  Federal financial assistance for the purpose of economic development, 
  should focus primarily on communities with high poverty and 
  unemployment rates.
  
              Passed the House of Representatives February 24, 1999.
  
              Attest:
  
                                                   JEFF TRANDAHL,
  
                                                                   Clerk.
target: Federal Financial Assistance Management Improvement Act of 1999 - Directs each Federal agency to develop and implement a plan that, among other things, streamlines and simplifies the application, administrative, and reporting procedures for Federal financial assistance programs administered by the agency.  Requires each agency to publish the plan in the Federal Register, receive public comment, and hold public forums on the plan.  Requires the designated lead agency official to consult with the representatives of non-Federal entities during plan development and implementation. Requires each Federal agency to submit the plan developed to the Director of the Office of Management and Budget (OMB) and the Congress and report annually thereafter on plan implementation and agency performance in meeting goals and objectives. Directs the Department of Housing and Urban Development to develop and implement a plan that establishes policies and procedures regarding an applicant who has submitted an application for Federal financial assistance to the agency that includes a technical deficiency under which the applicant: (1) shall be notified of the deficiency and be permitted to submit information to correct the deficiency within seven days; and (2) shall continue to be considered by the agency during such period and after such period if the deficiency is corrected. Requires the Director to direct, coordinate and assist Federal agencies in establishing: (1) a common application or set of common applications wherein a non-Federal entity can apply for Federal financial assistance from multiple Federal programs; (2) a common system wherein a non-Federal entity can apply for, manage, and report on the use of funding from multiple Federal programs; (3) uniform administrative rules for Federal financial assistance programs across different agencies; and (4) an interagency process for addressing ways to streamline and simplify Federal financial assistance administrative procedures and reporting requirements for non-Federal entities, ways to improve interagency and intergovernmental coordination of information collection and data sharing pertaining to Federal financial assistance programs, and ways to improve the timeliness, completeness, and quality of information received from financial assistance recipients. Permits the Director to: (1) designate a lead agency to assist him or her and use interagency working groups to assist in carrying out such responsibilities; and (2) exempt any Federal agency or Federal financial assistance program from the requirements of this Act if the Director determines that the agency does not have a significant number of Federal financial assistance programs.  Requires the Director to maintain a list of exempted agencies available to the public through OMB's Internet site. Requires the Director to submit to the Congress a report containing recommendations for changes in law to improve the effectiveness and performance of Federal financial assistance programs. Requires the Director or lead agency to contract with the National Academy of Public Administration to evaluate the effectiveness of this Act.  Requires the evaluation to be submitted to the lead agency, the Director, and the Congress. Requires the evaluation to be performed with input from State, local, and tribal governments and nonprofit organizations.  Terminates this Act five years after enactment. Expresses the sense of the Congress that Federal agencies, in providing Federal financial assistance for economic development, should focus on communities with high poverty and unemployment rates.
feat_title: Federal Financial Assistance Management Improvement Act of 1999