[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2732 Introduced in Senate (IS)]
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119th CONGRESS
1st Session
S. 2732
To strengthen employee cost savings suggestions programs within the
Federal Government.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
September 8, 2025
Mr. Paul introduced the following bill; which was read twice and
referred to the Committee on Homeland Security and Governmental Affairs
_______________________________________________________________________
A BILL
To strengthen employee cost savings suggestions programs within the
Federal Government.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Bonuses for Cost-Cutters Act of
2025''.
SEC. 2. COST SAVINGS ENHANCEMENTS.
(a) In General.--
(1) Definitions.--Section 4511 of title 5, United States
Code, is amended--
(A) in the section heading, by striking
``Definition'' and inserting ``Definitions''; and
(B) in subsection (a)--
(i) by striking ``this subchapter, the
term'' and inserting the following: ``this
subchapter--
``(1) the term'';
(ii) by striking the period at the end and
inserting ``; and''; and
(iii) by adding at the end the following:
``(2) the term `surplus salaries and expenses funds' means
amounts made available for the salaries and expenses account,
or equivalent account, of an agency--
``(A) that are identified by an employee of the
agency under section 4512(a) as unnecessary;
``(B) that the Inspector General of the agency or
other agency employee designated under section 4512(b)
determines are not required for the purpose for which
the amounts were made available;
``(C) that the Chief Financial Officer of the
agency determines are not required for the purpose for
which the amounts were made available; and
``(D) the rescission of which would not be
detrimental to the full execution of the purposes for
which the amounts were made available.''.
(2) Authority.--Section 4512 of title 5, United States
Code, is amended--
(A) in subsection (a)--
(i) in the matter preceding paragraph (1),
by inserting ``or identification of surplus
salaries and expenses funds'' after
``mismanagement'';
(ii) in paragraph (2), by inserting ``or
identification'' after ``disclosure''; and
(iii) in the matter following paragraph
(2), by inserting ``or identification'' after
``disclosure''; and
(B) by adding at the end the following:
``(c)(1) The Inspector General of an agency or other agency
employee designated under subsection (b) shall refer to the Chief
Financial Officer of the agency any potential surplus salaries and
expenses funds identified by an employee that the Inspector General or
other agency employee determines meet the requirements under
subparagraphs (B) and (D) of section 4511(a)(2), along with any
recommendations of the Inspector General or other agency employee.
``(2)(A) If the Chief Financial Officer of the agency determines
that potential surplus salaries and expenses funds referred under
paragraph (1) meet the requirements under section 4511(a)(2), except as
provided in subsection (d), the head of the agency shall transfer the
amount of the surplus salaries and expenses funds from the applicable
appropriations account to the general fund of the Treasury.
``(B) Any amounts transferred under subparagraph (A) shall be
deposited in the Treasury and used for deficit reduction, except that
in the case of a fiscal year for which there is no Federal budget
deficit, such amounts shall be used to reduce the Federal debt (in such
manner as the Secretary of the Treasury considers appropriate).
``(3) The Inspector General or other agency employee designated
under subsection (b) for each agency and the Chief Financial Officer
for each agency shall issue standards and definitions for purposes of
making determinations relating to potential surplus salaries and
expenses funds identified by an employee under this subsection.
``(d)(1) The head of an agency may retain not more than 10 percent
of amounts to be transferred to the general fund of the Treasury under
subsection (c)(2).
``(2) Amounts retained by the head of an agency under paragraph (1)
may be--
``(A) used for the purpose of paying a cash award under
subsection (a) to 1 or more employees who identified the
surplus salaries and expenses funds; and
``(B) to the extent amounts remain after paying cash awards
under subsection (a), transferred or reprogrammed for use by
the agency, in accordance with any limitation on such a
transfer or reprogramming under any other provision of law.
``(e)(1) Not later than October 1 of each fiscal year, the head of
each agency shall submit to the Secretary of the Treasury a report
identifying the total savings achieved during the previous fiscal year
through disclosures of possible fraud, waste, or mismanagement and
identifications of surplus salaries and expenses funds by an employee.
``(2) Not later than September 30 of each fiscal year, the head of
each agency shall submit to the Secretary of the Treasury a report
that, for the previous fiscal year--
``(A) describes each disclosure of possible fraud, waste,
or mismanagement or identification of potentially surplus
salaries and expenses funds by an employee of the agency
determined by the agency to have merit; and
``(B) provides the number and amount of cash awards paid by
the agency under subsection (a).
``(3) The head of each agency shall include the information
described in paragraphs (1) and (2) in each budget request of the
agency submitted to the Office of Management and Budget as part of the
preparation of the budget of the President submitted to Congress under
section 1105(a) of title 31.
``(4) The Secretary of the Treasury shall submit to the Committee
on Appropriations of the Senate, the Committee on Appropriations of the
House of Representatives, and the Government Accountability Office an
annual report on Federal cost saving and awards based on the reports
submitted under paragraphs (1) and (2).
``(f) The Director of the Office of Personnel Management shall--
``(1) ensure that the cash award program of each agency
complies with this section; and
``(2) submit to Congress an annual certification indicating
whether the cash award program of each agency complies with
this section.
``(g) Not later than 3 years after the date of enactment of this
subsection, and every 3 years thereafter, the Comptroller General of
the United States shall submit to Congress a report on the operation of
the cost savings and awards program under this section, including any
recommendations for legislative changes.''.
(3) Technical and conforming amendment.--The table of
sections for subchapter II of chapter 45 of title 5, United
States Code, is amended by striking the item relating to
section 4511 and inserting the following:
``4511. Definitions and general provisions.''.
(4) Sunset.--Effective 6 years after the date of enactment
of this Act--
(A) section 4511 of title 5, United States Code, is
amended--
(i) in the section heading, by striking
``Definitions'' and inserting ``Definition'';
and
(ii) in subsection (a)--
(I) in paragraph (1), by striking
``; and'' and inserting a period;
(II) by striking ``this
subchapter--'' and all that follows
through ``the term `agency' means'' and
inserting ``this subchapter, the term
`agency' means''; and
(III) by striking paragraph (2);
(B) section 4512 of title 5, United States Code, is
amended--
(i) in subsection (a)--
(I) in the matter preceding
paragraph (1), by striking ``or
identification of surplus salaries and
expenses funds'';
(II) in paragraph (2), by striking
``or identification''; and
(III) in the matter following
paragraph (2), by striking ``or
identification''; and
(ii) by striking subsections (c) through
(g); and
(C) the table of sections for subchapter II of
chapter 45 of title 5, United States Code, is amended
by striking the item relating to section 4511 and
inserting the following:
``4511. Definition and general provisions.''.
(b) Officers Eligible for Cash Awards.--
(1) In general.--Section 4509 of title 5, United States
Code, is amended to read as follows:
``Sec. 4509. Prohibition of cash award to certain officers
``(a) Definition.--In this section, the term `agency'--
``(1) has the meaning given the term in section 551(1); and
``(2) includes an entity described in section 4501(1).
``(b) Prohibition.--An officer may not receive a cash award under
this subchapter if the officer--
``(1) serves in a position at level I of the Executive
Schedule;
``(2) is the head of an agency; or
``(3) is a commissioner, board member, or other voting
member of an independent establishment.''.
(2) Technical and conforming amendment.--The table of
sections for subchapter I of chapter 45 of title 5, United
States Code, is amended by striking the item relating to
section 4509 and inserting the following:
``4509. Prohibition of cash award to certain officers.''.
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