text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Death Gratuity Equity Act of 2016''.
  
  SEC. 2. INCREASING THE DEATH GRATUITY FOR A FEDERAL CIVILIAN EMPLOYEE 
                KILLED IN THE LINE OF DUTY.
  
      (a) Amendment to Title 5.--Subchapter VII of chapter 55 of title 5, 
  United States Code, is amended by adding at the end the following:
  ``Sec. 5571. Certain employee death gratuities payable by reason of 
                death of a Federal civilian employee resulting from an 
                injury sustained in the line of duty
      ``(a) Definitions.--In this section--
              ``(1) the term `child'--
                      ``(A) includes--
                              ``(i) a natural child; and
                              ``(ii) an adopted child; and
                      ``(B) does not include a stepchild who has not been 
                  adopted by the applicable civilian employee; and
              ``(2) the term `civilian employee' means an individual who 
          the Secretary of Labor has determined is an employee, as 
          defined in section 8101(1).
      ``(b) Death Gratuity Authorized.--
              ``(1) In general.--Notwithstanding section 8116, and in 
          addition to any payment made under subchapter I of chapter 81, 
          the head of an agency shall pay from appropriations made 
          available for salaries and expenses of that agency a death 
          gratuity for the death of a civilian employee of that agency 
          occurring on or after the date of enactment of this section if 
          the death of the civilian employee--
                      ``(A) resulted from an injury sustained in the line 
                  of duty; and
                      ``(B) did not result from--
                              ``(i) natural causes; or
                              ``(ii) serious and willful misconduct by 
                          the civilian employee.
              ``(2) Payment.--A death gratuity paid under paragraph (1) 
          shall be--
                      ``(A) in the amount described in subsection (c); 
                  and
                      ``(B) paid to a person described in subsection (d).
      ``(c) Amounts Available.--
              ``(1) In general.--Except as provided in paragraph (2), the 
          amount of a death gratuity paid under this section shall be--
                      ``(A) $100,000 per civilian employee; and
                      ``(B) adjusted annually on March 1 of each year by 
                  the amount determined by the Secretary of Labor to 
                  represent the percentage difference between the 
                  Consumer Price Index (all items; United States city 
                  average) published for December of the preceding year 
                  and that price index published for the December of the 
                  year before the preceding year, adjusted to the nearest 
                  \1/10\ of 1 percent.
              ``(2) Local compensation plan.--The amount of a death 
          gratuity paid in relation to the death of a civilian employee 
          compensated under a local compensation plan established under 
          section 408 of the Foreign Service Act of 1980 (22 U.S.C. 3968) 
          shall be determined by regulations promulgated by the Secretary 
          of State.
      ``(d) Execution of Payment.--
              ``(1) Establishment of claim.--Upon the establishment of a 
          valid claim for a death gratuity under this section, payment 
          shall be made--
                      ``(A) to a person who--
                              ``(i) survives a civilian employee on the 
                          date of the death of the civilian employee; and
                              ``(ii) is alive on the date that title to 
                          the payment arises; and
                      ``(B) in the order of precedence established under 
                  paragraph (2).
              ``(2) Order of payment.--The order of precedence 
          established under this paragraph is as follows:
                      ``(A)(i) To a beneficiary designated by the 
                  civilian employee in a signed and witnessed writing 
                  that--
                              ``(I) is received by the agency employing 
                          the civilian employee before the date of the 
                          death of the civilian employee; and
                              ``(II) specifies that the beneficiary shall 
                          receive an amount payable under this section.
                      ``(ii) A will or other document that is not 
                  executed and filed as described in clause (i) shall not 
                  constitute a writing under clause (i) and such a will 
                  or other document shall have no force or effect.
                      ``(B) If there is no beneficiary designated under 
                  subparagraph (A), to the surviving spouse of the 
                  civilian employee.
                      ``(C) If subparagraphs (A) and (B) do not apply, 
                  to--
                              ``(i) the child or children of the civilian 
                          employee; and
                              ``(ii) any descendants of a deceased child 
                          or children of the civilian employee by 
                          representation.
                      ``(D) If subparagraphs (A), (B), and (C) do not 
                  apply, to the surviving parent or parents of the 
                  civilian employee.
                      ``(E) If subparagraphs (A) through (D) do not 
                  apply, to the duly appointed executor or administrator 
                  of the estate of the civilian employee.
                      ``(F) If subparagraphs (A) through (E) do not 
                  apply, to the person entitled to the payment under the 
                  laws of the domicile of the civilian employee on the 
                  date of the death of the civilian employee.
      ``(e) Payment Not Gross Income.--A payment under this section shall 
  not be considered gross income of a person described in subsection 
  (d)(2) under section 61 of the Internal Revenue Code of 1986.''.
      (b) Amendments to Title 49.--Section 40122(g)(2) of title 49, 
  United States Code, is amended--
              (1) by redesignating subparagraphs (C) through (J) as 
          subparagraphs (D) through (K), respectively; and
              (2) by inserting after subparagraph (B) the following:
                      ``(C) section 5571, relating to a death gratuity 
                  resulting from an injury sustained in the line of 
                  duty;''.
      (c) Technical and Conforming Amendments.--Chapter 55 of title 5, 
  United States Code, is amended--
              (1) in the heading for subchapter VII, by striking 
          ``EMPLOYEES'' and inserting ``PERSONS AND PAYMENTS FOR 
          DISABILITY OR DEATH''; and
              (2) in the table of sections--
                      (A) by striking the item relating to subchapter VII 
                  and inserting the following:
  
      ``subchapter vii--payments to missing persons and payments for 
                           disability or death'';
  
                  and
                      (B) by inserting after the item relating to section 
                  5570 the following:
  
  ``5571. Certain employee death gratuities payable by reason of death of 
                              a Federal civilian employee resulting from 
                              an injury sustained in the line of duty.''.
  
  SEC. 3. REPEAL OF 1996 DEATH GRATUITY PAYMENT AUTHORITY.
  
      Section 651 of the Treasury, Postal Service, and General Government 
  Appropriations Act, 1997 (5 U.S.C. 8133 note; Public Law 104-208) is 
  repealed.
  
  SEC. 4. FUNERAL AND BURIAL EXPENSES.
  
      (a) In General.--Section 8134 of title 5, United States Code, is 
  amended by striking subsection (a) and inserting the following:
      ``(a)(1) For deaths occurring on or after the date of enactment of 
  the Death Gratuity Equity Act of 2016, if death results from an injury 
  sustained in the performance of duty, the United States shall pay, to 
  the personal representative of the deceased or otherwise, funeral and 
  burial expenses not to exceed $8,800, in the discretion of the 
  Secretary of Labor.
      ``(2) The maximum payment permitted under paragraph (1) shall be 
  adjusted annually on March 1 of each year in accordance with the 
  adjustment described in section 8146a.''.
      (b) Applicability.--Section 8134(a) of title 5, United States Code, 
  as in effect on the day before the date of enactment of this Act, shall 
  apply to a death occurring before the date of enactment of this Act 
  without regard to whether payment is made before, on, or after the date 
  of enactment of this Act.
  
  SEC. 5. FEDERAL EMPLOYEES' COMPENSATION ACT DEATH GRATUITY.
  
      (a) In General.--Section 8102a of title 5, United States Code, is 
  amended--
              (1) by striking subsection (a) and inserting the following:
      ``(a) Death Gratuity Authorized.--
              ``(1) In general.--
                      ``(A) Payment.--Except as provided in paragraph 
                  (2), for deaths occurring on or after the date of 
                  enactment of the Death Gratuity Equity Act of 2016, the 
                  United States shall pay a death gratuity of $100,000 to 
                  or for the eligible survivor under subsection (d) 
                  immediately upon receiving official notification of the 
                  death of an employee who dies of injuries incurred in 
                  connection with the service of that employee with an 
                  Armed Force in a contingency operation.
                      ``(B) Adjustment.--The amount under subparagraph 
                  (A) shall be adjusted annually on March 1 of each year 
                  by the amount determined by the Secretary of Labor to 
                  represent the percentage difference between the 
                  Consumer Price Index (all items; United States city 
                  average) published for December of the preceding year 
                  and that price index published for the December of the 
                  year before the preceding year, adjusted to the nearest 
                  \1/10\ of 1 percent.
                      ``(C) No reduction.--The death gratuity payable 
                  under subparagraph (A) shall not be reduced by the 
                  amount of any other death gratuity provided under any 
                  other law of the United States that is based on the 
                  same death.
              ``(2) Compensation for noncitizens and nonresidents.--For 
          claims arising under section 8137, the amount of the death 
          gratuity shall be subject to that section and the regulations 
          promulgated under that section.'';
              (2) by striking subsection (c);
              (3) by redesignating subsections (d) and (e) as subsections 
          (c) and (d), respectively; and
              (4) in subsection (c), as so redesignated, by adding at the 
          end the following:
              ``(7) If there are no eligible survivors, as described in 
          paragraphs (1) through (6), and the employee has not designated 
          another person to receive an amount payable under this section, 
          that amount shall be paid to the personal representative of the 
          estate of the employee.''.
      (b) Applicability.--Section 8102a of title 5, United States Code, 
  as in effect on the day before the date of enactment of this Act, shall 
  apply to a death occurring before the date of enactment of this Act 
  without regard to whether payment is made before, on, or after the date 
  of enactment of this Act.
  
  SEC. 6. AGENCY GRATUITY FOR DEATHS SUSTAINED IN THE PERFORMANCE OF DUTY 
                ABROAD.
  
      Section 413 of the Foreign Service Act of 1980 (22 U.S.C. 3973) is 
  amended--
              (1) in subsection (a)--
                      (A) in the first sentence, by striking 
                  ``dependents'' and inserting ``beneficiary''; and
                      (B) in the second sentence, by inserting ``, except 
                  as provided in subsection (e)'' after ``payable from 
                  any source'';
              (2) by amending subsection (b) to read as follows:
      ``(b) Executive Agencies.--The head of an executive agency shall, 
  pursuant to guidance issued under subsection (c), make a death gratuity 
  payment authorized by this section to the surviving beneficiary of--
              ``(1) any employee of that agency who dies as a result of 
          injuries sustained in the performance of duty abroad while 
          subject to the authority of the chief of mission pursuant to 
          section 207; or
              ``(2) an individual in a special category serving in an 
          uncompensated capacity for that agency abroad in support of a 
          diplomatic mission, as identified in guidance issued under 
          subsection (c), who dies as a result of injuries sustained in 
          the performance of duty abroad.'';
              (3) by amending subsection (d) to read as follows:
      ``(d) Eligibility Under Chapter 81 of Title 5, United States 
  Code.--A death gratuity payment may be made under this section only if 
  the death is determined by the Secretary of Labor to have resulted from 
  an injury (excluding a disease proximately caused by the employment) 
  sustained in the performance of duty under section 8102 of title 5, 
  United States Code.'';
              (4) by redesignating subsection (e) as subsection (g);
              (5) by inserting after subsection (d) the following:
      ``(e) Offset.--For deaths occurring on or after the date of 
  enactment of this subsection, the death gratuity payable under this 
  section shall be reduced by the amount of any death gratuity provided 
  under section 5571 of title 5, United States Code, based on the same 
  death.
      ``(f) Tax Treatment.--A payment under this section shall not be 
  considered gross income of a surviving beneficiary under section 61 of 
  the Internal Revenue Code of 1986.''; and
              (6) in subsection (g), as so redesignated, by amending 
          paragraph (2) to read as follows:
              ``(2) the term `surviving beneficiary' means the person 
          identified under the order of precedence established under 
          section 5571(d)(2) of title 5, United States Code.''.
  
  SEC. 7. EMERGENCY SUPPLEMENTAL AUTHORIZATION IN THE EVENT OF THE 
                INABILITY OF AN AGENCY TO MEET THE REQUIREMENTS OF THIS 
                ACT.
  
      (a) In General.--If the head of an agency (as defined in section 
  5561 of title 5, United States Code) determines, with the concurrence 
  of the Director of the Office of Management and Budget, that a natural 
  disaster, act of terrorism, or other incident results in the inability 
  of the agency to meet the requirements of this Act and the amendments 
  made by this Act, additional amounts are authorized to be appropriated 
  to make additional payments--
              (1) under--
                      (A) section 5571(b) of title 5, United States Code, 
                  as added by section 2(a);
                      (B) section 8102a of title 5, United States Code, 
                  as amended by section 5; and
                      (C) section 413 of the Foreign Service Act of 1980 
                  (22 U.S.C. 3973), as amended by section 6; and
              (2) that would exceed the amount available to the agency 
          without the additional appropriations.
      (b) Additional Payments.--A payment authorized under subsection (a) 
  may be made only if additional appropriations are provided for a 
  purpose described in that subsection.
      (c) Congressional Vote.--It is the sense of Congress that Congress 
  should vote on a request for additional appropriations under this 
  section not later than 30 days after the date of submission of such a 
  request to Congress.
target: Death Gratuity Equity Act of 2016 This bill requires federal agencies to pay a death gratuity of $100,000 per employee for the death of civilian employees resulting from injuries sustained in the line of duty that did not result from natural causes or the employee's serious and willful misconduct. The bill also allows an additional payment of up to $8,800 for funeral and burial expenses. (Currently, funeral and burial payments may not exceed $800 per employee and the combination of payments for death gratuity, funeral, burial, and other compensation and reimbursements may not exceed $10,000 per employee.) The amounts must be adjusted annually for inflation. For tax purposes, a death gratuity payment shall not be considered gross income to the person receiving payment. The death gratuity remains at $100,000 for an employee who dies of injuries incurred in connection with service with an Armed Force in a contingency operation, except that employees who are noncitizens and nonresidents of the United States or Canada, and their dependents, are subject to the Department of Labor's authority to modify payments that are substantially disproportionate to compensation for disability or death payable in similar cases under local laws or customs at the place outside the continental United States or Canada where the employee is working at the time of injury. The bill also allows such death gratuities in connection with such Armed Force service to be paid in addition to any other amounts paid under U.S. law based on the same death.  The Foreign Service Act of 1980 is amended to make death gratuities payable to the surviving beneficiaries (currently, dependents) of U.S. Foreign Service employees, or individuals in a special category serving in an uncompensated capacity for that agency in support of a diplomatic mission, who die as a result of injuries sustained in the performance of duty abroad. But the Foreign Service death gratuity is reduced by the amount of any federal civilian employee death gratuity paid under this bill for the same death. Additional amounts are authorized to be appropriated for death gratuity payments under this bill if an agency and the Office of Management and Budget determine that a natural disaster, act of terrorism, or other incident results in the inability of the agency to meet these death gratuity payment requirements. An authorized payment that exceeds the amount available to the agency without additional appropriations may be made only if Congress makes the additional appropriations for that purpose.
feat_title: Death Gratuity Equity Act of 2016