§ 501. Office of Management and Budget

§ 501. Office of Management and Budget

The Office of Management and Budget is an office in the Executive Office of the President.

(Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 886.)

Statutory Notes and Related Subsidiaries

Short Title of 2016 Amendment

Pub. L. 114–264, § 1, Dec. 14, 2016, 130 Stat. 1371, provided that: “This Act [enacting section 1126 of this title, amending section 503 of this title, and enacting provisions set out as notes under sections 503 and 1126 of this title] may be cited as the ‘Program Management Improvement Accountability Act’.”

Short Title of 1990 Amendment

Pub. L. 101–576, title I, § 101, Nov. 15, 1990, 104 Stat. 2838, provided that: “This Act [enacting sections 503, 504, 901 to 903, and 3515 of this title, amending sections 502, 1105, 3512, 3521, 9105, and 9106 of this title, sections 5313 to 5315 of Title 5, Government Organization and Employees, and section 3533 of Title 42, The Public Health and Welfare, renumbering sections 503 and 504 of this title as 505 and 506 of this title, respectively, enacting provisions set out as notes under this section and sections 901, 3511, 3515, and 3521 of this title, and amending provisions set out as a note under section 301 of Title 38, Veterans’ Benefits] may be cited as the ‘Chief Financial Officers Act of 1990’.”

Transfer of Functions

Pub. L. 104–53, title II, § 211, Nov. 19, 1995, 109 Stat. 535, as amended by Pub. L. 104–316, title II, § 203, Oct. 19, 1996, 110 Stat. 3845, provided that: “Personnel transferred pursuant to this section, as in effect immediately before the effective date of section 303 [203] of the General Accounting Office Act of 1996 [Pub. L. 104–316, Oct. 19, 1996], shall not be separated or reduced in classification or compensation for one year after any such transfer, except for cause.”

Disaster Resiliency Planning

Pub. L. 117–221, Dec. 5, 2022, 136 Stat. 2277, provided that: “SECTION 1. SHORT TITLE.“This Act may be cited as the ‘Disaster Resiliency Planning Act’. “SEC. 2. DEFINITIONS.“In this Act:“(1) Appropriate congressional committees.—The term ‘appropriate congressional committees’ means—“(A) the Committee on Homeland Security and Governmental Affairs of the Senate; and “(B) the Committee on Oversight and Reform [now Committee on Oversight and Accountability] of the House of Representatives. “(2) Agency.—The term ‘agency’ has the meaning given the term in section 306 of title 5, United States Code. “(3) Director.—The term ‘Director’ means the Director of the Office of Management and Budget. “(4) Real property.—The term ‘real property’ has the meaning given the term in section 1.856–10 of title 26, Code of Federal Regulations, or any successor thereto. “SEC. 3. GUIDANCE.“(a) In General.—Not later than 180 days after the date of enactment of this Act [Dec. 5, 2022], the Director shall establish guidance requiring the head of each agency to incorporate natural disaster resilience into real property asset management and investment decisions made by the agency. “(b) Contents.—The guidance required under subsection (a) shall direct each head of an agency to incorporate assessments of natural disaster risk information conducted by the agency, such as from vulnerability and other risk assessments, into real property asset management investment decisions made by the agency. “(c) Modification.—The Director may periodically update the guidance required under subsection (a) as the Director may determine necessary for the purpose of further enhancing natural disaster resilience. “(d) Consultation.—In developing the guidance required under subsection (a), the Director may consult with appropriate entities, including—“(1) the Comptroller General of the United States; “(2) the Administrator of the Federal Emergency Management Agency; and “(3) any other relevant entities, as determined by the Director. “(e) Report.—“(1) In general.—Not later than 1 year after the date of enactment of this Act, the Director shall submit to the appropriate congressional committees a report that describes the guidance required under subsection (a). “(2) Briefing.—Not later than 2 years after the date of enactment of this Act, the Director shall brief the appropriate congressional committees on the implementation of the guidance required under subsection (a) across agencies.”

Disaster Relief Funding Guidance

Pub. L. 115–123, div. B, title XII, § 21206(c), Feb. 9, 2018, 132 Stat. 108, provided that: “In order to proactively prepare for oversight of future disaster relief funding, not later than one year after the date of enactment of this Act [Feb. 9, 2018], the Director of the Office of Management and Budget shall issue standard guidance for Federal agencies to use in designing internal control plans for disaster relief funding. This guidance shall leverage existing internal control review processes and shall include, at a minimum, the following elements: “(1) Robust criteria for identifying and documenting incremental risks and mitigating controls related to the funding. “(2) Guidance for documenting the linkage between the incremental risks related to disaster funding and efforts to address known internal control risks.”

Publication of Certain Documents

Pub. L. 112–239, div. A, title XVI, § 1655, Jan. 2, 2013, 126 Stat. 2083, provided that: “Not later than 270 days after the date of the enactment of this part [Jan. 2, 2013], the Director of the Office of Management and Budget shall publish procedures and methodologies to be used by Federal agencies with respect to decisions to convert a function being performed by a small business concern to performance by a Federal employee, including procedures and methodologies for determining which contracts will be studied for potential conversion; procedures and methodologies by which a contract is evaluated as inherently governmental or as a critical agency function; and procedures and methodologies for estimating and comparing costs. Should a Federal agency develop any agency-specific methodologies for identifying critical agency functions or supplemental implementation guidance, such methodologies and guidance shall be published upon implementation.”

Service Contract Inventory

Pub. L. 111–117, div. C, title VII, § 743, Dec. 16, 2009, 123 Stat. 3216, as amended by Pub. L. 112–74, div. C, title VII, § 740, Dec. 23, 2011, 125 Stat. 939, provided that: “(a) Service Contract Inventory Requirement.—“(1) Guidance.—Not later than March 1, 2010, the Director of the Office of Management and Budget shall develop and disseminate guidance to aid executive agencies in establishing systems for the collection of information required to meet the requirements of this section and to ensure consistency of inventories across agencies. “(2) Report.—Not later than July 31, 2010, the Director of the Office of Management and Budget shall submit a report to Congress on the status of efforts to enable executive agencies to prepare the inventories required under paragraph (3), including the development, as appropriate, of guidance, methodologies, and technical tools. “(3) Inventory contents.—Not later than December 31, 2010, and annually thereafter, the head of each executive agency required to submit an inventory in accordance with the Federal Activities Inventory Reform Act of 1998 (Public Law 105–270; 31 U.S.C. 501 note), other than the Department of Defense, shall submit to the Office of Management and Budget an annual inventory of service contracts awarded or extended through the exercise of an option, and task orders issued under any such contract, on or after April 1, 2010, for or on behalf of such agency. For each service contract, the entry for an inventory under this section shall include, for the preceding fiscal year, the following:“(A) A description of the services purchased by the executive agency and the role the services played in achieving agency objectives, regardless of whether such a purchase was made through a contract or task order. “(B) The organizational component of the executive agency administering the contract, and the organizational component of the agency whose requirements are being met through contractor performance of the service. “(C) The total dollar amount obligated for services under the contract and the funding source for the contract. “(D) The total dollar amount invoiced for services under the contract. “(E) The contract type and date of award. “(F) The name of the contractor and place of performance. “(G) The number and work location of contractor and subcontractor employees, expressed as full-time equivalents for direct labor, compensated under the contract. “(H) Whether the contract is a personal services contract. “(I) Whether the contract was awarded on a noncompetitive basis, regardless of date of award. “(b) Form.—Reports required under this section shall be submitted in unclassified form, but may include a classified annex. “(c) Publication.—Not later than 30 days after the date on which the inventory under subsection (a)(3) is required to be submitted to the Office of Management and Budget, the head of each executive agency shall—“(1) make the inventory available to the public; and “(2) publish in the Federal Register a notice that the inventory is available to the public. “(d) Government-wide Inventory Report.—Not later than 90 days after the deadline for submitting inventories under subsection (a)(3), and annually thereafter, the Director of the Office of Management and Budget shall submit to Congress and make publicly available on the Office of Management and Budget website a report on the inventories submitted. The report shall identify whether each agency required to submit an inventory under subsection (a)(3) has met such requirement and summarize the information submitted by each executive agency required to have a Chief Financial Officer pursuant to section 901 of title 31, United States Code. “(e) Review and Planning Requirements.—Not later than 180 days after the deadline for submitting inventories under subsection (a)(3) for an executive agency, the head of the executive agency, or an official designated by the agency head shall—“(1) review the contracts and information in the inventory; “(2) ensure that—“(A) each contract in the inventory that is a personal services contract has been entered into, and is being performed, in accordance with applicable laws and regulations; “(B) the agency is giving special management attention to functions that are closely associated with inherently governmental functions; “(C) the agency is not using contractor employees to perform inherently governmental functions; “(D) the agency has specific safeguards and monitoring systems in place to ensure that work being performed by contractors has not changed or expanded during performance to become an inherently governmental function; “(E) the agency is not using contractor employees to perform critical functions in such a way that could affect the ability of the agency to maintain control of its mission and operations; and “(F) there are sufficient internal agency resources to manage and oversee contracts effectively; “(3) identify contracts that have been poorly performed, as determined by a contracting officer, because of excessive costs or inferior quality; and “(4) identify contracts that should be considered for conversion to—“(A) performance by Federal employees of the executive agency in accordance with agency insourcing guidelines required under section 736 of the Financial Services and General Government Appropriations Act, 2009 (Public Law 111–8, division D) [amending provisions set out as a note below]; or “(B) an alternative acquisition approach that would better enable the agency to efficiently utilize its assets and achieve its public mission. “(f) Report on Actions Taken in Response to Annual Inventory.—Not later than one year after submitting an annual inventory under subsection (a)(3), the head of each executive agency submitting such an inventory shall submit to the Office of Management and Budget a report summarizing the actions taken pursuant to subsection (e), including any actions taken to consider and convert functions from contractor to Federal employee performance. The report shall be included as an attachment to the next annual inventory and made publicly available in accordance with subsection (c). “(g) Submission of Service Contract Inventory Before Public-private Competition.—Notwithstanding any other provision of law, beginning in fiscal year 2011, if an executive agency has not submitted to the Office of Management and Budget the inventory required under subsection (a)(3) for the prior fiscal year, the agency may not begin, plan for, or announce a study or public-private competition regarding the conversion to contractor performance of any function performed by Federal employees pursuant to Office of Management and Budget Circular A–76 or any other administrative regulation or directive until such time as the inventory is submitted for the prior fiscal year. “(h) GAO Reports on Implementation.—“(1) Report on guidance.—Not later than 120 days after submission of the report by the Director of the Office of Management and Budget required under subsection (a)(2), the Comptroller General of the United States shall report on the guidance issued and actions taken by the Director. The report shall be submitted to the Committee on Homeland Security and Governmental Affairs and the Committee on Appropriations of the Senate and the Committee on Oversight and Government Reform [now Committee on Oversight and Accountability] and the Committee on Appropriations of the House of Representatives. “(2) Reports on inventories.—“(A) Initial inventory.—Not later than September 30, 2011, the Comptroller General of the United States shall submit a report to the Committees named in the preceding paragraph on the initial implementation by executive agencies of the inventory requirement in subsection (a)(3) with respect to inventories required to be submitted by December 31, 2010. “(B) Second inventory.—Not later than September 30, 2012, the Comptroller General shall submit a report to the same Committees on annual inventories required to be submitted by December 31, 2011. “(3) Periodic briefings.—The Comptroller General shall provide periodic briefings, as may be requested by the Committees, on matters related to implementation of this section. “(i) Executive Agency Defined.—In this section, the term ‘executive agency’ has the meaning given the term in section 4 of the Office of Federal Procurement Policy Act ([former] 41 U.S.C. 403) [see 41 U.S.C. 133].”

Requirement for Debriefings Related To Conversion of Functions From Performance by Federal Employees to Performance by a Contractor

Pub. L. 111–84, div. A, title III, § 326, Oct. 28, 2009, 123 Stat. 2254, provided that: “The Administrator for Federal Procurement Policy shall revise the Federal Acquisition Regulation to allow for debriefings of Federal employee representatives designated pursuant to 3551(2)(B) of title 31, United States Code, to the same extent and under the same circumstances as any offeror, in the case of a conversion of any function from performance by Federal employees to performance by a contractor. Such debriefings will conform to the requirements of section 2305(b)(6)(A) of title 10, United States Code [now 10 U.S.C. 3305(a), (b)], section 303B(f) of the Federal Property and Administrative Services Act of 1949 ([former] 41 U.S.C. 253b(f)) [now 41 U.S.C. 3705], and subparts 15.505 and 15.506 (as in effect on the date of the enactment of this Act [Oct. 28, 2009]) of the Federal Acquisition Regulation.”

Comprehensive Analysis and Development of Single Government-Wide Definition of Inherently Governmental Function and Criteria for Critical Functions