§501. Office of Management and Budget
The Office of Management and Budget is an office in the Executive Office of the President.
(
| Revised Section | Source (U.S. Code | Source (Statutes at Large) |
|---|---|---|
| 501 | 31:16(1st sentence). | June 10, 1921, ch. 18, §207(1st sentence), |
Short Title of 1990 Amendment
Emergency Preparedness Functions
For assignment of certain emergency preparedness functions to the Director of the Office of Management and Budget, see Parts 1, 2, and 28 of Ex. Ord. No. 12656, Nov. 18, 1988, 53 F.R. 47491, set out as a note under section 5195 of Title 42, The Public Health and Welfare.
Franchise Fund Pilot Programs
"(a)
"(b)
"(c)
"(2) Fees for services shall be established by the head of the agency at a level to cover the total estimated costs of providing such services. Such fees shall be deposited in the agency's fund to remain available until expended, and may be used to carry out the purposes of the fund.
"(3) Existing inventories, including inventories on order, equipment, and other assets or liabilities pertaining to the purposes of the fund may be transferred to the fund.
"(d)
"(1) the structure of the fund;
"(2) the composition of the funding mechanism;
"(3) the capacity of the fund to promote competition; and
"(4) the desirability of extending the application and implementation of franchise funds to other Federal agencies.
"(e)
"(f)
Simplification of Management Reporting Process
"(a)
"(1) chapters 5, 9, 11, 33, 35, 37, 39, 75, and 91 of title 31, United States Code;
"(2) the Federal Civil Penalties Inflation Adjustment Act of 1990 (28 U.S.C. 2461 note;
"(b)
"(c)
"(1) consultation with the Chairman of the Senate Committee on Governmental Affairs and the Chairman of the House of Representatives Committee on Government Operations [now Committee on Government Reform and Oversight]; and
"(2) written notification to the Congress, no later than February 8 of each fiscal year covered under subsection (b) for those reports required to be submitted during that fiscal year."
Findings and Purposes of Chief Financial Officers Act of 1990
"(a)
"(1) General management functions of the Office of Management and Budget need to be significantly enhanced to improve the efficiency and effectiveness of the Federal Government.
"(2) Financial management functions of the Office of Management and Budget need to be significantly enhanced to provide overall direction and leadership in the development of a modern Federal financial management structure and associated systems.
"(3) Billions of dollars are lost each year through fraud, waste, abuse, and mismanagement among the hundreds of programs in the Federal Government.
"(4) These losses could be significantly decreased by improved management, including improved central coordination of internal controls and financial accounting.
"(5) The Federal Government is in great need of fundamental reform in financial management requirements and practices as financial management systems are obsolete and inefficient, and do not provide complete, consistent, reliable, and timely information.
"(6) Current financial reporting practices of the Federal Government do not accurately disclose the current and probable future cost of operating and investment decisions, including the future need for cash or other resources, do not permit adequate comparison of actual costs among executive agencies, and do not provide the timely information required for efficient management of programs.
"(b)
"(1) Bring more effective general and financial management practices to the Federal Government through statutory provisions which would establish in the Office of Management and Budget a Deputy Director for Management, establish an Office of Federal Financial Management headed by a Controller, and designate a Chief Financial Officer in each executive department and in each major executive agency in the Federal Government.
"(2) Provide for improvement, in each agency of the Federal Government, of systems of accounting, financial management, and internal controls to assure the issuance of reliable financial information and to deter fraud, waste, and abuse of Government resources.
"(3) Provide for the production of complete, reliable, timely, and consistent financial information for use by the executive branch of the Government and the Congress in the financing, management, and evaluation of Federal programs."
Duties and Functions of Department of the Treasury
REORGANIZATION PLAN NO. 2 OF 1970
Eff. July 1, 1970, 35 F.R. 7959, 84 Stat. 2085 , as amended
Pub. L. 97–258, §5(b), Sept. 13, 1982, 96 Stat. 1068
, 1085
Prepared by the President and Transmitted to the Senate and the House of Representatives in Congress Assembled March 12, 1970, Pursuant to the Provisions of Chapter 9 of Title 5 of the United States Code.
OFFICE OF MANAGEMENT AND BUDGET; DOMESTIC COUNCIL
PART I. OFFICE OF MANAGEMENT AND BUDGET
Section 101. Transfer of functions to the President
There are hereby transferred to the President of the United States all functions vested by law (including reorganization plan) in the Bureau of the Budget or the Director of the Bureau of the Budget.
Sec. 102. Office of Management and Budget
[Repealed.
Sec. 103. Records, Property, Personnel, and Funds
[Repealed.
PART II. DOMESTIC COUNCIL
Sec. 201. Establishment of the Council
(a) There is hereby established in the Executive Office of the President a Domestic Council, hereinafter referred to as the Council.
(b) The Council shall be composed of the following:
The President of the United States
The Vice President of the United States
The Attorney General
Secretary of Agriculture
Secretary of Commerce
Secretary of Health, Education, and Welfare
Secretary of Housing and Urban Development
Secretary of the Interior
Secretary of Labor
Secretary of Transportation
Secretary of the Treasury
and such other officers of the Executive Branch as the President may from time to time direct.
(c) The President of the United States shall preside over meetings of the Council: Provided, That, in the event of his absence, he may designate a member of the Council to preside.
Sec. 202. Functions of the Council
The Council shall perform such functions as the President may from time to time delegate or assign thereto.
Sec. 203. Executive Director
The staff of the Council shall be headed by an Executive Director who shall be an assistant to the President designated by the President. The Executive Director shall perform such functions as the President may from time to time direct.
PART III. TAKING EFFECT
Sec. 301. Effective Date
The provisions of this reorganization plan shall take effect as provided by section 906(a) of title 5 of the United States Code, or on July 1, 1970, whichever is later.
Message of the President
To the Congress of the United States:
We in government often are quick to call for reform in other institutions, but slow to reform ourselves. Yet nowhere today is modern management more needed than in government itself.
In 1939, President Franklin D. Roosevelt proposed and the Congress accepted a reorganization plan that laid the groundwork for providing managerial assistance for a modern Presidency.
The plan placed the Bureau of the Budget within the Executive Office of the President. It made available to the President direct access to important new management instruments. The purpose of the plan was to improve the administration of the Government-to ensure that the Government could perform "promptly, effectively, without waste or lost motion."
Fulfilling that purpose today is far more difficult-and more important-than it was 30 years ago.
Last April, I created a President's Advisory Council on Executive Organization and named to it a distinguished group of outstanding experts headed by Roy L. Ash. I gave the Council a broad charter to examine ways in which the Executive Branch could be better organized. I asked it to recommend specific organizational changes that would make the Executive Branch a more vigorous and more effective instrument for creating and carrying out the programs that are needed today. The Council quickly concluded that the place to begin was in the Executive Office of the President itself. I agree.
The past 30 years have seen enormous changes in the size, structure and functions of the Federal Government. The budget has grown from less than $10 billion to $200 billion. The number of civilian employees has risen from one million to more than two and a half million. Four new Cabinet departments have been created, along with more than a score of independent agencies. Domestic policy issues have become increasingly complex. The interrelationships among Government programs have become more intricate. Yet the organization of the President's policy and management arms has not kept pace.
Over three decades, the Executive Office of the President has mushroomed but not by conscious design. In many areas it does not provide the kind of staff assistance and support the President needs in order to deal with the problems of government in the 1970s. We confront the 1970s with a staff organization geared in large measure to the tasks of the 1940s and 1950s.
One result, over the years, has been a tendency to enlarge the immediate White House staff-that is, the President's personal staff, as distinct from the institutional structure-to assist with management functions for which the President is responsible. This has blurred the distinction between personal staff and management institutions; it has left key management functions to be performed only intermittently and some not at all. It has perpetuated outdated structures.
Another result has been, paradoxically, to inhibit the delegation of authority to Departments and agencies.
A President whose programs are carefully coordinated, whose information system keeps him adequately informed, and whose organizational assignments are plainly set out, can delegate authority with security and confidence. A President whose office is deficient in these respects will be inclined, instead, to retain close control of operating responsibilities which he cannot and should not handle.
Improving the management processes of the President's own office, therefore, is a key element in improving the management of the entire Executive Branch, and in strengthening the authority of its Departments and agencies. By providing the tools that are needed to reduce duplication, to monitor performance and to promote greater efficiency throughout the Executive Branch, this also will enable us to give the country not only more effective but also more economical government-which it deserves.
To provide the management tools and policy mechanisms needed for the 1970s, I am today transmitting to the Congress Reorganization Plan No. 2 of 1970, prepared in accordance with Chapter 9 of Title 5 of the United States Code.
This plan draws not only on the work of the Ash Council itself, but also on the work of others that preceded-including the pioneering Brownlow Committee of 1936, the two Hoover Commissions, the Rockefeller Committee, and other Presidential task forces.
Essentially, the plan recognizes that two closely connected but basically separate functions both center in the President's office: policy determination and executive management. This involves (1) what government should do, and (2) how it goes about doing it.
My proposed reorganization creates a new entity to deal with each of these functions:
-It establishes a Domestic Council, to coordinate policy formulation in the domestic area. This Cabinet group would be provided with an institutional staff, and to a considerable degree would be a domestic counterpart to the National Security Council.
-It establishes an Office of Management and Budget, which would be the President's principal arm for the exercise of his managerial functions.
The Domestic Council will be primarily concerned with what we do; the Office of Management and Budget will be primarily concerned with how we do it, and how well we do it.
DOMESTIC COUNCIL
The past year's experience with the Council for Urban Affairs has shown how immensely valuable a Cabinet-level council can be as a forum for both discussion and action on policy matters that cut across departmental jurisdictions.
The Domestic Council will be chaired by the President. Under the plan, its membership will include the Vice President, and the Secretaries of the Treasury, Interior, Agriculture, Commerce, Labor, Health, Education and Welfare, Housing and Urban Development, and Transportation, and the Attorney General. I also intend to designate as members the Director of the Office of Economic Opportunity and, while he remains a member of the Cabinet, the Postmaster General. (Although I continue to hope that the Congress will adopt my proposal to create, in place of the Post Office Department, a self-sufficient postal authority.) The President could add other Executive Branch officials at his discretion.
The Council will be supported by a staff under an Executive Director who will also be one of the President's assistants. Like the National Security Council staff, this staff will work in close coordination with the President's personal staff but will have its own institutional identity. By being established on a permanent, institutional basis, it will be designed to develop and employ the "institutional memory" so essential if continuity is to be maintained, and if experience is to play its proper role in the policy-making process.
There does not now exist an organized, institutionally-staffed group charged with advising the President on the total range of domestic policy. The Domestic Council will fill that need. Under the President's direction, it will also be charged with integrating the various aspects of domestic policy into a consistent whole.
Among the specific policy functions in which I intend the Domestic Council to take the lead are these:
-Assessing national needs, collecting information and developing forecasts, for the purpose of defining national goals and objectives.
-Identifying alternative ways of achieving these objectives, and recommending consistent, integrated sets of policy choices.
-Providing rapid response to Presidential needs for policy advice on pressing domestic issues.
-Coordinating the establishment of national priorities for the allocation of available resources.
-Maintaining a continuous review of the conduct of ongoing programs from a policy standpoint, and proposing reforms as needed.
Much of the Council's work will be accomplished by temporary, ad hoc project committees. These might take a variety of forms, such as task forces, planning groups or advisory bodies. They can be established with varying degrees of formality, and can be set up to deal either with broad program areas or with specific problems. The committees will draw for staff support on Department and agency experts, supplemented by the Council's own staff and that of the Office of Management and Budget.
Establishment of the Domestic Council draws on the experience gained during the past year with the Council for Urban Affairs, the Cabinet Committee on the Environment and the Council for Rural Affairs. The principal key to the operation of these Councils has been the effective functioning of their various subcommittees. The Councils themselves will be consolidated into the Domestic Council; Urban, Rural and Environment subcommittees of the Domestic Council will be strengthened, using access to the Domestic Council staff.
Overall, the Domestic Council will provide the President with a streamlined, consolidated domestic policy arm, adequately staffed, and highly flexible in its operation. It also will provide a structure through which departmental initiatives can be more fully considered, and expert advice from the Departments and agencies more fully utilized.
OFFICE OF MANAGEMENT AND BUDGET
Under the reorganization plan, the technical and formal means by which the Office of Management and Budget is created is by re-designating the Bureau of the Budget as the Office of Management and Budget. The functions currently vested by law in the Bureau, or in its director, are transferred to the President, with the provision that he can then re-delegate them.
As soon as the reorganization plan takes effect, I intend to delegate those statutory functions to the Director of the new Office of Management and Budget, including those under section 212 of the Budget and Accounting Act, 1921 [31 U.S.C. 1113].
However, creation of the Office of Management and Budget represents far more than a mere change of name for the Bureau of the Budget. It represents a basic change in concept and emphasis, reflecting the broader management needs of the Office of the President.
The new Office will still perform the key function of assisting the President in the preparation of the annual Federal budget and overseeing its execution. It will draw upon the skills and experience of the extraordinarily able and dedicated career staff developed by the Bureau of the Budget. But preparation of the budget as such will no longer be its dominant, overriding concern.
While the budget function remains a vital tool of management, it will be strengthened by the greater emphasis the new office will place on fiscal analysis. The budget function is only one of several important management tools that the President must now have. He must also have a substantially enhanced institutional staff capability in other areas of executive management-particularly in program evaluation and coordination, improvement of Executive Branch organization, information and management systems, and development of executive talent. Under this plan, strengthened capability in these areas will be provided partly through internal reorganization, and it will also require additional staff resources.
The new Office of Management and Budget will place much greater emphasis on the evaluation of program performance: on assessing the extent to which programs are actually achieving their intended results, and delivering the intended services to the intended recipients. This is needed on a continuing basis, not as a one-time effort. Program evaluation will remain a function of the individual agencies as it is today. However, a single agency cannot fairly be expected to judge overall effectiveness in programs that cross agency lines-and the difference between agency and Presidential perspectives requires a capacity in the Executive Office to evaluate program performance whenever appropriate.
The new Office will expand efforts to improve interagency cooperation in the field. Washington-based coordinators will help work out interagency problems at the operating level, and assist in developing efficient coordinating mechanisms throughout the country. The success of these efforts depends on the experience, persuasion, and understanding of an Office which will be an expediter and catalyst. The Office will also respond to requests from State and local governments for assistance on intergovernmental programs. It will work closely with the Vice President and the Office of Intergovernmental Relations.
Improvement of Government organization, information and management systems will be a major function of the Office of Management and Budget. It will maintain a continuous review of the organizational structures and management processes of the Executive Branch, and recommend needed changes. It will take the lead in developing new information systems to provide the President with the performance and other data that he needs but does not now get. When new programs are launched, it will seek to ensure that they are not simply forced into or grafted onto existing organizational structures that may not be appropriate. Resistance to organizational change is one of the chief obstacles to effective government; the new Office will seek to ensure that organization keeps abreast of program needs.
The new Office will also take the lead in devising programs for the development of career executive talent throughout the Government. Not the least of the President's needs as Chief Executive is direct capability in the Executive Office for insuring that talented executives are used to the full extent of their abilities. Effective, coordinated efforts for executive manpower development have been hampered by the lack of a system for forecasting the needs for executive talent and appraising leadership potential. Both are crucial to the success of an enterprise-whether private or public.
The Office of Management and Budget will be charged with advising the President on the development of new programs to recruit, train, motivate, deploy, and evaluate the men and women who make up the top ranks of the civil service, in the broadest sense of that term. It will not deal with individuals, but will rely on the talented professionals of the Civil Service Commission and the Departments and agencies themselves to administer these programs. Under the leadership of the Office of Management and Budget there will be joint efforts to see to it that all executive talent is well utilized wherever it may be needed throughout the Executive Branch, and to assure that executive training and motivation meet not only today's needs but those of the years ahead.
Finally, the new Office will continue the Legislative Reference functions now performed by the Bureau of the Budget, drawing together agency reactions on all proposed legislation, and helping develop legislation to carry out the President's program. It also will continue the Bureau's work of improving and coordinating Federal statistical services.
SIGNIFICANCE OF THE CHANGES
The people deserve a more responsive and more effective Government. The times require it. These changes will help provide it.
Each reorganization included in the plan which accompanies this message is necessary to accomplish one or more of the purposes set forth in Section 901(a) of Title 5 of the United States Code. In particular, the plan is responsive to Section 901(a)(1), "to promote the better execution of the laws, the more effective management of the Executive Branch and of its agencies and functions, and the expeditious administration of the public business;" and Section 901(a)(3), "to increase the efficiency of the operations of the Government to the fullest extent practicable."
The reorganizations provided for in this plan make necessary the appointment and compensation of new officers, as specified in Section 102(c) of the plan. The rates of compensation fixed for these officers are comparable to those fixed for other officers in the Executive Branch who have similar responsibilities.
While this plan will result in a modest increase in direct expenditures, its strengthening of the Executive Office of the President will bring significant indirect savings, and at the same time will help ensure that people actually receive the return they deserve for every dollar the Government spends. The savings will result from the improved efficiency these changes will provide throughout the Executive Branch-and also from curtailing the waste that results when programs simply fail to achieve their objectives. It is not practical, however, to itemize or aggregate these indirect expenditure reductions which will result from the reorganization.
I expect to follow with other reorganization plans, quite possibly including ones that will affect other activities of the Executive Office of the President. Our studies are continuing. But this by itself is a reorganization of major significance, and a key to the more effective functioning of the entire Executive Branch.
These changes would provide an improved system of policy making and coordination, a strengthened capacity to perform those functions that are now the central concerns of the Bureau of the Budget, and a more effective set of management tools for the performance of other functions that have been rapidly increasing in importance.
The reorganization will not only improve the staff resources available to the President, but will also strengthen the advisory roles of those members of the Cabinet principally concerned with domestic affairs. By providing a means of formulating integrated and systematic recommendations on major domestic policy issues, the plan serves not only the needs of the President but also the interests of the Congress.
This reorganization plan is of major importance to the functioning of modern government. The national interest requires it. I urge that the Congress allow it to become effective.
Richard Nixon.
Abolition of Domestic Council
Domestic Council, established by Reorg. Plan No. 2 of 1970, §201, eff. July 1, 1970, 35 F.R. 7959,
Ex. Ord. No. 11541. Prescribing Duties of Office of Management and Budget and Domestic Council
Ex. Ord. No. 11541, July 1, 1970, 35 F.R. 10737, as amended by Ex. Ord. No. 12013, Oct. 7, 1977, 42 F.R. 54931; Ex. Ord. No. 12027, Dec. 5, 1977, 42 F.R. 61851; Ex. Ord. No. 12107, Dec. 28, 1978, 44 F.R. 1055; Ex. Ord. No. 12318, Aug. 21, 1981, 46 F.R. 42833, provided:
By virtue of the authority vested in me by the Constitution and statutes of the United States, including section 301 of Title 3 of the United States Code, and pursuant to Reorganization Plan No. 2 of 1970 (hereinafter referred to as "the Plan") [set out as a note under this section], it is ordered as follows:
(b) All outstanding delegations, rules, regulations, orders, circulars, bulletins, or other forms of Executive or administrative action issued or taken by or relating to the Bureau of the Budget or the Director of the Bureau of the Budget prior to the effective date of this order shall, until amended or revoked, remain in full force and effect as if issued or taken by or relating to the Office of Management and Budget or the Director of the Office of Management and Budget.
(c) The delegation to the Director of the Office of Management and Budget, pursuant to subsection (a) of this Section, of the functions vested in the Director of the Bureau of the Budget by Section 103 of the Budget and Accounting Procedures Act of 1950 (31 U.S.C. 18b) [31 U.S.C. 1104(d)] and subsequently transferred to the President by Part I of Reorganization Plan No. 2 of 1970 (5 U.S.C. App.), shall be implemented in accord with Section 3(a) of the Paperwork Reduction Act of 1980 (
(d) The delegation to the Director of the Office of Management and Budget of the following executive development and personnel functions (which have been transferred to the Office of Personnel Management) is terminated on December 4, 1977:
(1) Providing overall Executive Branch leadership, regulation, and guidance in executive personnel selection, development and management.
(2) Studying and reporting on issues relating to position classification and the compensation of Federal civilian employees, including linkages among pay systems, and providing reports on average grade levels, work-years and personnel costs of Federal civilian employees.
(3) Providing primary Executive Branch leadership in (i) developing and reviewing a program of policy guidance to departments and agencies for the organization of management responsibility under the Federal Labor Relations program; and (ii) monitoring issues and trends in labor management relations for referral to appropriate Executive Branch officials including the Federal Labor Relations Council.
(b) The organizations listed herein are terminated and the functions heretofore assigned to them shall be performed by the Domestic Council:
Council for Urban Affairs (Executive Order No. 11452 of January 23, 1969)
Cabinet Committee on the Environment (Executive Order No. 11472 of May 29, 1969, as amended by Executive Order No. 11514 of March 5, 1970)
Council for Rural Affairs (Executive Order No. 11493 of November 13, 1969)
Supersedure of Ex. Ord. No. 11541
Supersedure of Ex. Ord. No. 11541 to the extent that it is inconsistent with Ex. Ord. No. 11609, July 22, 1971, 36 F.R. 13747, see section 11(6) of Ex. Ord. No. 11609, set out as a note under section 301 of Title 3, The President; with Ex. Ord. No. 11713, Apr. 21, 1973, 38 F.R. 10069, see section 3 of Ex. Ord. No. 11713, set out as a note under section 301 of Title 3; with Ex. Ord. No. 11717, May 9, 1973, 38 F.R. 12315, see section 5 of Ex. Ord. No. 11717, set out below.
Executive Order No. 11647
Ex. Ord. No. 11647, Feb. 10, 1972, 37 F.R. 3167, as amended by Ex. Ord. No. 11731, July 23, 1973, 38 F.R. 19903; Ex. Ord. No. 11892, Dec. 31, 1975, 41 F.R. 751; Ex. Ord. No. 12038, Feb. 3, 1978, 43 F.R. 4957, which established Federal Regional Councils, was revoked by section 1–307 of Ex. Ord. No. 12149, July 20, 1979, 44 F.R. 43248.
Ex. Ord. No. 11717. Transfer of Certain Functions From Office of Management and Budget to General Services Administration and Department of Commerce
Ex. Ord. No. 11717, May 9, 1973, 38 F.R. 12315, provided:
By virtue of the authority vested in me as President by the Constitution and Statutes of the United States, particularly by section 301 of title 3 of the United States Code, the Federal Property and Administrative Services Act of 1949, as amended, the Budget and Accounting Act, 1921, as amended, the Budget and Accounting Procedures Act of 1950, as amended, and Reorganization Plan No. 2 of 1970 [set out as a note above], it is hereby ordered as follows:
(1) The Financial Management Branch, the Procurement and Property Management Branch, and the Management Systems Branch of the Organization and Management Systems Division; and
(2) the Management Information and Computer Systems Division with respect to policy control over automatic data processing (except those functions relating to the establishment of Government-wide automatic data-processing standards).
(b) The functions vested in the President by the first sentence of section 111(g) of the Federal Property and Administrative Services Act of 1949, as amended [40 U.S.C. 759(g)], with respect to fiscal control of automatic data processing activities shall continue to be performed by the Director of the Office of Management and Budget. No function vested by statute in the Director shall be deemed to be affected by the provisions of this order.
Richard Nixon.
Supersedure of Ex. Ord. No. 11717
Ex. Ord. No. 11717 superseded to the extent that it is inconsistent with Ex. Ord. No. 11893, Dec. 31, 1975, 41 F.R. 1040, see section 4 of Ex. Ord. No. 11893, set out as a note under section 4252 of Title 42, The Public Health and Welfare.
Executive Order No. 12013
Ex. Ord. No. 12013, Oct. 7, 1977, 42 F.R. 54931, which related to transfer of certain statistical functions and the establishment of the Statistical Policy Coordination Committee, was revoked by section 4(a) of Ex. Ord. No. 12318, Aug. 21, 1981, 46 F.R. 42833, set out below.
Ex. Ord. No. 12027. Transfer of Certain Executive Development and Other Personnel Functions
Ex. Ord. No. 12027, Dec. 5, 1977, 42 F.R. 61851, as amended by Ex. Ord. No. 12107, Dec. 28, 1978, 44 F.R. 1055, provided:
By virtue of the authority vested in me by the Constitution and statutes of the United States of America, including Reorganization Plan No. 2 of 1970 (5 U.S.C. App.), Section 202 of the Budget and Accounting Procedures Act of 1950 (31 U.S.C. 581c) [31 U.S.C. 1531], and Section 301 of Title 3 of the United States Code, and as President of the United States of America, in order to transfer certain functions from the Director of the Office of Management and Budget to the Office of Personnel Management, it is hereby ordered as follows:
(a) Providing overall Executive Branch leadership, regulation, and guidance in executive personnel selection, development, and management including:
(1) Devising and establishing programs and encouraging agencies to devise and establish programs to forecast the need for career executive talent and to select, train, develop, motivate, deploy and evaluate the men and women who make up the top ranks of Federal civil service;
(2) Initiating and leading efforts to ensure that potential executive talent is identified, developed and well utilized throughout the Executive Branch and;
(3) Ensuring that executive training and motivation meet current and future needs.
(b) Studying and reporting on issues relating to position classification and the compensation of Federal civilian employees, including linkages among pay systems, and providing reports on average grade levels, work-years and personnel costs of Federal civilian employees.
(c) Providing primary Executive Branch leadership in (1) developing and reviewing a program of policy guidance to departments and agencies for the organization of management's responsibility under the Federal Labor Relations program; and (2) monitoring issues and trends in labor management relations for referral to appropriate Executive Branch officials including the Federal Labor Relations Council.
"(d) The delegation to the Director of the Office of Management and Budget of the following executive development and personnel functions (which have been transferred to the Office of Personnel Management) is terminated on December 4, 1977:
"(1) Providing overall Executive Branch leadership, regulation, and guidance in executive personnel selection, development and management.
"(2) Studying and reporting on issues relating to position classification and the compensation of Federal civilian employees, including linkages among pay systems, and providing reports on average grade levels, work-years and personnel costs of Federal civilian employees.
"(3) Providing primary Executive Branch leadership in (i) developing and reviewing a program of policy guidance to departments and agencies for the organization of management responsibility under the Federal Labor Relations program; and (ii) monitoring issues and trends in labor management relations for referral to appropriate Executive Branch officials including the Federal Labor Relations Council.".
"The Office of Personnel Management, in conjunction with the Director of the Office of Management and Budget, shall establish and maintain a program for the policy guidance of agencies on labor-management relations in the Federal service and shall periodically review the implementation of these policies. The Office of Personnel Management shall be responsible for the day-to-day policy guidance under that program. The Office of Personnel Management also shall continuously review the operation of the Federal labor-management relations program to assist in assuring adherence to its provisions and merit system requirements; implement technical advice and information programs for the agencies; assist in the development of programs for training agency personnel and management officials in labor-management relations; and, from time to time, report to the Council on the state of the program with any recommendations for its improvement.".
Jimmy Carter.
Executive Order No. 12074
Ex. Ord. No. 12074, Aug. 16, 1978, 43 F.R. 36875, which related to urban and community impact analyses, was revoked by Ex. Ord. No. 12350, Mar. 9, 1982, 47 F.R. 10503.
Executive Order No. 12149
Ex. Ord. No. 12149, July 20, 1979, 44 F.R. 43247, which established Federal Regional Councils, was revoked by section 4(b) of Ex. Ord. No. 12314, July 22, 1981, 46 F.R. 38330.
Executive Order No. 12301
Executive Order No. 12301, Mar. 26, 1981, 46 F.R. 19211, which established the President's Council on Integrity and Efficiency in Federal programs, was revoked by Ex. Ord. No. 12625, Jan. 27, 1988, 53 F.R. 2812, formerly set out below.
Executive Order No. 12314
Ex. Ord. No. 12314, July 22, 1981, 46 F.R. 38329, which established Federal Regional Councils, was revoked by Ex. Ord. No. 12407, Feb. 22, 1983, 48 F.R. 7717.
Ex. Ord. No. 12318. Transfer of Certain Statistical Policy Functions
Ex. Ord. No. 12318, Aug. 21, 1981, 46 F.R. 42833, provided:
By virtue of the authority vested in me as President by the Constitution and statutes of the United States, including Reorganization Plan No. 2 of 1970 (5 U.S.C. App.), Section 202 of the Budget and Accounting Procedures Act of 1950 (31 U.S.C. 581c) [31 U.S.C. 1531], Section 3(a) of the Paperwork Reduction Act of 1980 (
(a) "Secretary of Commerce" is deleted in Section 1 and "Director of the Office of Management and Budget" is substituted therefor.
(b) "Secretary" is deleted wherever it appears in Sections 1, 2, 4, 5, and 6 and "Director" is substituted therefor.
(c) "Department of Commerce" is deleted in Section 6 and "Office of Management and Budget" is substituted therefor.
(d) Section 7 is deleted and a new Section 7 is substituted therefor as follows:
(e) Section 8 is revoked.
(a) "Secretary of Commerce, hereinafter referred to as the Secretary,", is deleted in Section 1 and "Director of the Office of Management and Budget, hereinafter referred to as the Director,", is substituted therefor.
(b) "Secretary" is deleted wherever it appears in Sections 2(a), 2(b), 2(c), 3, 4, and 5 and "Director" is substituted therefor.
(c) Section 7 is revoked.
(b) Section 4 of Executive Order No. 11961, as amended [22 U.S.C. 3101 note], is further amended by deleting "the Secretary of Commerce shall perform the functions set forth in Sections 4(a)(3) and 5(c) of the Act" [22 U.S.C. 3103(a)(3), 3104(c)], and substituting therefor "the Secretary of Commerce shall perform the function of making periodic reports to the Committees of the Congress as set forth in Section 4(a)(3) of the Act" [22 U.S.C. 3103(a)(3)].
Ronald Reagan.
Executive Order No. 12479
Ex. Ord. No. 12479, May 24, 1984, 49 F.R. 22243, which established President's Council on Management Improvement, assigned functions of Council and responsibilities of Chairman, and provided for administrative support, was revoked by Ex. Ord. No. 12816, Oct. 14, 1992, 57 F.R. 47562, set out below.
Executive Order No. 12552
Ex. Ord. No. 12552, Feb. 25, 1986, 51 F.R. 7041, which provided for establishment of a comprehensive program for improvement of productivity throughout all Executive departments and agencies, was superseded by Ex. Ord. No. 12637, Apr. 27, 1988, 53 F.R. 15349, set out below.
Ex. Ord. No. 12615. Performance of Commercial Activities
Ex. Ord. No. 12615, Nov. 19, 1987, 52 F.R. 44853, provided:
By the authority vested in me as President by the Constitution and laws of the United States of America, and in order to facilitate ongoing efforts to ensure that the Federal Government acquires needed goods and services in the most economical and efficient manner, it is hereby ordered as follows:
(a) Ensure that new Federal Government requirements for commercial activities are provided by private industry, except where statute or national security requires government performance or where private industry costs are unreasonable;
(b) Identify by April 29, 1988, in cooperation with the Director of the Office of Management and Budget all commercial activities currently performed by government. The department and agency heads are encouraged to consult with the President's Commission on Privatization in making such identification;
(c) Schedule, by June 30, 1988, all commercial activities identified pursuant to subsection (b) for study in accordance with the procedures of OMB Circular No. A–76, as revised, and the Supplement thereto, to determine whether they could be performed more economically by private industry;
(d) Meet the study goals for Fiscal Year 1988 set forth in "Management of the United States Government, Fiscal Year 1988"; and thereafter, beginning with Fiscal Year 1989, conduct annual studies of not less than 3 percent of the department or agency's total civilian population, until all identified potential commercial activities have been studied;
(e) Include in each annual budget proposal to the Office of Management and Budget estimates of expected yearly budget savings from the privatization of commercial activities projected to be accomplished following the completion of scheduled studies, unless an exception is authorized by the Director of the Office of Management and Budget. These estimates shall be based on analysis of savings under previous studies and estimated savings to be achieved from future conversions to contract. A department or agency proposal may reflect retention of expected first-year savings as negotiated with the Office of Management and Budget for use as incentive compensation to reward employees covered by the studies for their productivity efforts, or for use in other productivity enhancement projects;
(f) Develop and maintain an effective job placement program for government employees affected by privatization initiatives and cooperate fully in interagency placement efforts;
(g) Designate a senior-level official to coordinate the OMB Circular No. A–76 studies and other privatization efforts; and
(h) Report to the President on progress each quarter, through the Director of the Office of Management and Budget.
(a) Issue guidance to departments and agencies to implement this Order. Such guidance shall be designed to ensure an equitable cost comparison of government-operated commercial activities with private industry performance of the same activities, and to improve the efficiency in the conduct of studies;
(b) Publish for public review (i) not later than 30 days after its completion, the inventory of commercial activities identified pursuant to section 1(b) and the activities scheduled for study by departments and agencies in Fiscal Year 1988 pursuant to section 1(c); and (ii) not later than 30 days before the start of each successive fiscal year, the list of activities to be reviewed during that year pursuant to section 1(d); and
(c) Establish a tracking system to monitor, on a quarterly basis, progress by departments and agencies in carrying out this Order.
Ronald Reagan.
Executive Order No. 12625
Ex. Ord. No. 12625, Jan. 27, 1988, 53 F.R. 2812, which established President's Council on Integrity and Efficiency as an interagency committee, was revoked by Ex. Ord. No. 12805, May 11, 1992, 57 F.R. 20627, set out below.
Ex. Ord. No. 12637. Productivity Improvement Program for the Federal Government
Ex. Ord. No. 12637, Apr. 27, 1988, 53 F.R. 15349, provided:
By virtue of the authority vested in me as President by the Constitution and laws of the United States of America, including the Budget and Accounting Act of 1921, as amended [now 31 U.S.C. 1101 et seq.], and in order to further improve a comprehensive program for the improvement of productivity throughout all Executive departments and agencies, it is hereby ordered as follows:
(a) "Productivity" means the efficiency with which resources are used to produce a government service or product at specified levels of quality and timeliness;
(b) "Appropriate functions" means those agency program functions that produce measurable outputs in the form of services to the public;
(c) "Public" means a customer outside the organization, such as citizens, businesses, State and local governments, other countries and/or their citizens, other agencies, the military;
(d) "Outputs" means products or services delivered to the public;
(e) "Measurement system" means both the specific measures used to determine whether standards of quality, timeliness, and efficiency of services are being met, and the procedures for the collection and reporting of data resulting from application of productivity measures;
(f) "Organizational performance standard" means a statement that quantifies and describes the desired level of quality, timeliness, and efficiency of services to be provided by an organization;
(g) "Management review" means the review by the Director of the Office of Management and Budget, as part of the budget process of agency accomplishments and plans for management and productivity improvements.
(a) Develop a complete inventory of all appropriate functions to be included in the productivity program, use the agency's planning process to review current functions, and develop agency goals and objectives for improvement in services to the public.
(b) Develop and submit annually to the Office of Management and Budget a productivity plan. Each plan shall conform to the policy guidance issued by the Director of the Office of Management and Budget, pursuant to Section 5 of this Order, and shall:
(1) set forth the agency's productivity goals and objectives;
(2) target priorities for the year and expand coverage each subsequent year to additional appropriate functions, with the objective of complete coverage of all appropriate functions by 1991;
(3) describe the proposed actions designed to make the agency's operations and delivery of services more efficient and responsive;
(4) describe the methods, including efficiency reviews and cost comparisons with the private sector, that the agency will use either to improve its own service, or to make use of commercial services available in the private sector when it is economical to do so; and
(5) describe the measurement systems to be used by the agency to gauge quality, timeliness, and efficiency.
(c) Implement the productivity program after the Management review by the Director of the Office of Management and Budget as provided in Section 6.
(d) Assess annually the agency's progress toward achieving objectives and priorities, including documented gains and cost savings. This assessment will form the basis of the agency's report to the President as required by Section 4.
(e) Designate a senior official responsible for guiding the agency's productivity improvement program.
(f) Inform agency managers and employees that they are expected to be responsible for improvements in the quality, timeliness, and efficiency of services.
(g) Include productivity and quality improvement goals in the performance appraisals of managers and supervisors.
(h) Encourage employee participation in the productivity program through employee training, employee involvement in work-related decisions, incentives, recognition, and rewards and by taking actions to minimize negative impacts on employees that may occur as a result of the productivity program.
(a) Develop and promulgate goals, policies, principles, standards, and guidelines for the effective administration of this Order by Executive departments and agencies; and
(b) Identify and propose the elimination of statutory and regulatory barriers that inhibit opportunities to make improvements in productivity.
(a) Review Federal personnel policies and programs and make or recommend such changes as are appropriate to support productivity improvement;
(b) Review incentive policies and programs for Federal employees and make or recommend such changes as are appropriate to increase the productivity of the Federal Government;
(c) Develop and implement training programs for Federal employees in support of productivity improvements;
(d) Review policies and programs for Federal employees who may be displaced by productivity improvements and make or recommend such changes as are appropriate to ensure that such policies and programs will minimize any adverse impact on Federal employees.
Ronald Reagan.
Ex. Ord. No. 12803. Infrastructure Privatization
Ex. Ord. No. 12803, Apr. 30, 1992, 57 F.R. 19063, provided:
By the authority vested in me as President by the Constitution and the laws of the United States of America, and in order to ensure that the United States achieves the most beneficial economic use of its resources, it is hereby ordered as follows:
(a) "Privatization" means the disposition or transfer of an infrastructure asset, such as by sale or by long-term lease, from a State or local government to a private party.
(b) "Infrastructure asset" means any asset financed in whole or in part by the Federal Government and needed for the functioning of the economy. Examples of such assets include, but are not limited to: roads, tunnels, bridges, electricity supply facilities, mass transit, rail transportation, airports, ports, waterways, water supply facilities, recycling and wastewater treatment facilities, solid waste disposal facilities, housing, schools, prisons, and hospitals.
(c) "Originally authorized purposes" means the general objectives of the original grant program; however, the term is not intended to include every condition required for a grantee to have obtained the original grant.
(d) "Transfer price" means: (i) the amount paid or to be paid by a private party for an infrastructure asset, if the asset is transferred as a result of competitive bidding; or (ii) the appraised value of an infrastructure asset, as determined by the head of the executive department or agency and the Director of the Office of Management and Budget, if the asset is not transferred as a result of competitive bidding.
(e) "State and local governments" means the government of any State of the United States, the District of Columbia, any commonwealth, territory, or possession of the United States, and any county, municipality, city, town, township, local public authority, school district, special district, intrastate district, regional or interstate governmental entity, council of governments, and any agency or instrumentality of a local government, and any federally recognized Indian Tribe.
(b) Private enterprise and competitively driven improvements are the foundation of our Nation's economy and economic growth. Federal financing of infrastructure assets should not act as a barrier to the achievement of economic efficiencies through additional private market financing or competitive practices, or both.
(c) State and local governments are in the best position to assess and respond to local needs. State and local governments should, subject to assuring continued compliance with Federal requirements that public use be on reasonable and nondiscriminatory terms, have maximum possible freedom to make decisions concerning the maintenance and disposition of their federally financed infrastructure assets.
(d) User fees are generally more efficient than general taxes as a means to support infrastructure assets. Privatization transactions should be structured so as not to result in unreasonable increases in charges to users.
(a) Review those procedures affecting the management and disposition of federally financed infrastructure assets owned by State and local governments and modify those procedures to encourage appropriate privatization of such assets consistent with this order;
(b) Assist State and local governments in their efforts to advance the objectives of this order; and
(c) Approve State and local governments' requests to privatize infrastructure assets, consistent with the criteria in section 4 of this order and, where necessary, grant exceptions to the disposition requirements of the "Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments" common rule, or other relevant rules or regulations, for infrastructure assets; provided that the transfer price shall be distributed, as paid, in the following manner: (i) State and local governments shall first recoup in full the unadjusted dollar amount of their portion of total project costs (including any transaction and fix-up costs they incur) associated with the infrastructure asset involved; (ii) if proceeds remain, then the Federal Government shall recoup in full the amount of Federal grant awards associated with the infrastructure asset, less the applicable share of accumulated depreciation on such asset (calculated using the Internal Revenue Service accelerated depreciation schedule for the categories of assets in question); and (iii) finally, the State and local governments shall keep any remaining proceeds.
(b) Demonstrates that a market mechanism, legally enforceable agreement, or regulatory mechanism will ensure that: (i) the infrastructure asset or assets will continue to be used for their originally authorized purposes, as long as needed for those purposes, even if the purchaser becomes insolvent or is otherwise hindered from fulfilling the originally authorized purposes; and (ii) user charges will be consistent with any current Federal conditions that protect users and the public by limiting the charges.
George Bush.
Ex. Ord. No. 12805. Integrity and Efficiency in Federal Programs
Ex. Ord. No. 12805, May 11, 1992, 57 F.R. 20627, provided:
By the authority vested in me as President by the Constitution and the laws of the United States of America, and in order to coordinate and enhance governmental efforts to promote integrity and efficiency and to detect and prevent fraud, waste, and abuse in Federal programs, the establishment of two Councils of Federal Inspectors General and appropriate Federal officials is hereby ordered as follows:
(a) There is established as an interagency committee the President's Council on Integrity and Efficiency (PCIE).
(b) The PCIE shall be composed of the following members:
(1) The Deputy Director for Management of the Office of Management and Budget, who shall be Chairperson of the Council;
(2) All civilian Presidentially appointed Inspectors General whose offices were established in the Inspector General Act of 1978 [5 App. U.S.C.] and subsequent amendments;
(3) The Vice Chairperson of the Executive Council on Integrity and Efficiency;
(4) The Controller of the Office of Federal Financial Management;
(5) The Associate Deputy Director for Investigations of the Federal Bureau of Investigation;
(6) The Director of the Office of Government Ethics;
(7) The Special Counsel of the Office of Special Counsel; and
(8) The Deputy Director of the Office of Personnel Management.
(c) The Chairperson may, from time to time, invite other officials to participate in meetings of the PCIE.
(d) The Chairperson shall, to the extent possible, convene meetings of the PCIE monthly.
(a) There is established as an inter-entity committee the Executive Council on Integrity and Efficiency (ECIE).
(b) The ECIE shall be composed of the following members:
(1) The Deputy Director for Management of the Office of Management and Budget, who shall be Chairperson of the Council;
(2) All civilian statutory Inspectors General not represented on the PCIE;
(3) The Vice Chairperson of the PCIE;
(4) The Controller of the Office of Federal Financial Management;
(5) The Associate Deputy Director for Investigations of the Federal Bureau of Investigation, or his or her designee;
(6) The Director of the Office of Government Ethics, or his or her designee;
(7) The Special Counsel of the Office of Special Counsel, or his or her designee; and
(8) The Deputy Director of the Office of Personnel Management, or his or her designee.
(c) If any individual simultaneously serves as a Presidentially appointed Inspector General and as Inspector General of an entity represented on the ECIE, that individual may send a designee to ECIE meetings.
(d) The Chairperson may, from time to time, invite other officials to participate in meetings of the ECIE.
(e) The Chairperson or, in his or her absence, the Controller of the Office of Federal Financial Management shall, to the extent possible, convene meetings of the ECIE monthly.
(a) The Councils shall continually identify, review, and discuss areas of weakness and vulnerability in Federal programs and operations to fraud, waste, and abuse, and shall develop plans for coordinated, Governmentwide activities that address these problems and promote economy and efficiency in Federal programs and operations. These activities will include interagency and inter-entity audit and investigation programs and projects to deal efficiently and effectively with those problems concerning fraud and waste that exceed the capability or jurisdiction of an individual agency or entity. The Councils shall recognize the preeminent role of the Department of Justice in law enforcement and litigation.
(b) The Councils shall develop policies that will aid in the establishment of a corps of well-trained and highly skilled Office of Inspector General staff members.
(c) The individual members of the Councils should, to the extent permitted under law, adhere to professional standards developed by the Councils and participate in the plans, programs, and projects of the Councils.
(d) The creation and operation of the Councils shall neither interfere with existing authority and responsibilities in the relevant agencies and entities nor augment or diminish the statutory authority or responsibilities of individual members of either Council.
(a) The Chairperson may appoint a Vice Chairperson from the PCIE and the ECIE to assist in carrying out the functions of each Council.
(b) The Chairperson shall, in consultation with the members of each Council, establish the agenda for PCIE and ECIE activities.
(c) The Chairperson shall, on behalf of the Councils, report to the President on the activities of the Councils. The Chairperson shall, as appropriate, advise the Councils with respect to the President's consideration of the Councils' activities.
(d) The Chairperson shall provide agency and entity heads with summary reports of the activities of the Councils.
(e) The Chairperson shall establish, in consultation with members of the Councils, such committees of the PCIE and the ECIE as deemed necessary and appropriate for the efficient conduct of PCIE and ECIE functions. The Chairperson may invite members of the ECIE to serve on each PCIE Committee. Similarly, the Chairperson may invite members of the PCIE to serve on each ECIE Committee.
(f) The Chairperson shall convene joint meetings of the PCIE and the ECIE at least annually.
(a) The Director of the Office of Management and Budget shall provide the PCIE and the ECIE with such administrative support as may be necessary for the performance of the functions of the Councils.
(b) The heads of agencies and entities represented on the PCIE and the ECIE shall provide their representatives with such administrative support as may be necessary, in accordance with law, to enable the representatives to carry out their responsibilities.
George Bush.
Ex. Ord. No. 12816. Management Improvement in the Federal Government
Ex. Ord. No. 12816, Oct. 14, 1992, 57 F.R. 47562, provided:
By the authority vested in me as President by the Constitution and the laws of the United States of America, and in order to coordinate and implement policies with respect to management improvement in the Federal Government, it is hereby ordered as follows:
(a) There is established as an interagency committee the President's Council on Management Improvement ("Council").
(b) The Council shall be composed of the Deputy Director for Management of the Office of Management and Budget, who shall serve as Chairman, and one senior official, who is a full-time officer or employee of the Federal Government and who is responsible for management or administration, from each of the following agencies as selected by the heads of those agencies:
(1) Department of State;
(2) Department of the Treasury;
(3) Department of Defense;
(4) Department of Justice;
(5) Department of the Interior;
(6) Department of Agriculture;
(7) Department of Commerce;
(8) Department of Labor;
(9) Department of Health and Human Services;
(10) Department of Housing and Urban Development;
(11) Department of Transportation;
(12) Department of Energy;
(13) Department of Education;
(14) Department of Veterans Affairs;
(15) Agency for International Development;
(16) Environmental Protection Agency;
(17) Equal Employment Opportunity Commission;
(18) Federal Communications Commission;
(19) Federal Deposit Insurance Corporation;
(20) Federal Emergency Management Agency;
(21) Federal Energy Regulatory Commission;
(22) Federal Reserve Board;
(23) General Services Administration;
(24) Interstate Commerce Commission;
(25) National Aeronautics and Space Administration;
(26) National Archives and Records Administration;
(27) Nuclear Regulatory Commission;
(28) Office of Personnel Management;
(29) Resolution Trust Corporation;
(30) Securities and Exchange Commission;
(31) Small Business Administration;
(32) Tennessee Valley Authority; and
(33) United States Information Agency.
(c) The Council membership also shall include the following officials:
(1) Deputy Director, Office of Personnel Management;
(2) Deputy Administrator, General Services Administration;
(3) Assistant to the President for Policy Development or a full-time officer or employee of the Federal Government designated by that official;
(4) Assistant to the President for Presidential Personnel or a full-time officer or employee of the Federal Government designated by that official;
(5) Assistant Director for General Management, Office of Management and Budget; and
(6) At-large members appointed by the Chairman pursuant to section 3(e) of this order.
(d) The Council shall have a Vice Chairman selected by the Chairman from among the Council membership.
(a) The Council shall serve as an interagency forum to discuss problems and recommend improvements in Government management and operations and to provide advice to the Chairman on matters pertaining to the management of the Federal Government. The Council shall:
(1) assist in the formulation of short- and long-range plans to promote improvements in the management and administrative systems and operations of the Federal Government;
(2) identify specific department and agency management solutions that may have Governmentwide application and assist in the dissemination of this information and the implementation of these solutions;
(3) serve as a resource to assist in an advisory capacity in the development, review, revision, and implementation of Governmentwide policies in support of the central management agencies of the Federal Government, including the Office of Management and Budget, the Office of Personnel Management, and the General Services Administration; and
(4) serve as a forum to recommend solutions to interagency management problems.
(b) In conducting these functions, the Council shall not interfere with existing lines of authority and responsibility in the departments and agencies.
(a) establish, in consultation with the Council membership as he deems appropriate, procedures and agenda topics for the Council;
(b) report, on behalf of the Council and as appropriate, to the President, the Director of the Office of Management and Budget, the agency heads, and the Cabinet on the goals and accomplishments of the Council;
(c) establish such committees or working groups of the Council, including an executive committee, as the Chairman may find necessary or appropriate for the efficient conduct of Council functions;
(d) appoint a Vice Chairman from among the Council's membership to assist the Chairman in representing the Council and to perform duties as determined by the Chairman;
(e) appoint other full-time officers or employees of the Federal Government to the Council as at-large members for specific terms to provide special expertise to the Council and to perform duties as determined by the Chairman; and
(f) be supported by the Assistant Director for General Management of the Office of Management and Budget, who shall advise and assist the Chairman in the execution of the responsibilities set forth above and act for the Chairman in his or her absence.
(a) The Director of the Office of Management and Budget shall provide the Council with administrative support as may be necessary for the performance of its functions.
(b) To the extent permitted by law, the head of each agency represented on the Council shall provide its representative with such administrative support as necessary to enable the agency representative to carry out his or her responsibilities and to support the Governmentwide activities of the Council.
George Bush.
Ex. Ord. No. 12837. Deficit Control and Productivity Improvement in the Administration of the Federal Government
Ex. Ord. No. 12837, Feb. 10, 1993, 58 F.R. 8205, provided:
By the authority vested in me as President by the Constitution and the laws of the United States of America, including the Budget and Accounting Act of 1921, as amended (31 U.S.C. 1101 et seq.), and section 301 of title 3, United States Code, and in order to assist in the control of the Federal deficit and improve the administrative productivity of the Federal Government, it is hereby ordered as follows:
(a) For fiscal year 1994, all agencies shall submit budget requests that reflect no less than a 3 percent reduction in administrative expenses from the amount made available for fiscal year 1993 adjusted for inflation;
(b) For fiscal year 1995, all agencies shall submit budget requests that reflect no less than a 6 percent reduction in administrative expenses from the amounts made available for fiscal year 1993 adjusted for inflation;
(c) For fiscal year 1996, all agencies shall submit budget requests that reflect no less than a 9 percent reduction in administrative expenses from the amounts made available for fiscal year 1993 adjusted for inflation;
(d) For fiscal year 1997, all agencies shall submit budget requests that reflect no less than a 14 percent reduction in administrative expenses from the amounts made available for fiscal year 1993 adjusted for inflation.
William J. Clinton.
Ex. Ord. No. 12862. Setting Customer Service Standards
Ex. Ord. No. 12862, Sept. 11, 1993, 58 F.R. 48257, provided:
Putting people first means ensuring that the Federal Government provides the highest quality service possible to the American people. Public officials must embark upon a revolution within the Federal Government to change the way it does business. This will require continual reform of the executive branch's management practices and operations to provide service to the public that matches or exceeds the best service available in the private sector.
NOW, THEREFORE, to establish and implement customer service standards to guide the operations of the executive branch, and by the authority vested in me as President by the Constitution and the laws of the United States, it is hereby ordered:
All executive departments and agencies (hereinafter referred to collectively as "agency" or "agencies") that provide significant services directly to the public shall provide those services in a manner that seeks to meet the customer service standard established herein and shall take the following actions:
(a) identify the customers who are, or should be, served by the agency;
(b) survey customers to determine the kind and quality of services they want and their level of satisfaction with existing services;
(c) post service standards and measure results against them;
(d) benchmark customer service performance against the best in business;
(e) survey front-line employees on barriers to, and ideas for, matching the best in business;
(f) provide customers with choices in both the sources of service and the means of delivery;
(g) make information, services, and complaint systems easily accessible; and
(h) provide means to address customer complaints.
William J. Clinton.
Implementing Management Reform in Executive Branch
Memorandum of President of the United States, Oct. 1, 1993, 58 F.R. 52393, provided:
Memorandum for the Heads of Executive Departments and Agencies
The National Performance Review has examined how well the government serves its citizens, where it can improve, and where it is necessary to make fundamental changes to make government work better. It has presented its findings and recommendations-including the adoption of new management principles and structural reforms-to improve government throughout the Executive branch.
In order to establish and implement more effective and efficient leadership and management principles throughout the Executive branch as identified in the National Performance Review, I hereby direct the following:
1. Establish Chief Operating Officers.
Each agency head shall designate a Chief Operating Officer, who shall be the Deputy or another official with agency-wide authority. The Chief Operating Officer shall report directly to the agency head and shall be responsible for:
(a) implementing the President's and agency head's goals and the agency's mission;
(b) providing overall organization management to improve agency performance;
(c) assisting the agency head in promoting ongoing quality improvement, developing strategic plans, and measuring results;
(d) directing ongoing reengineering of the agency's administrative processes;
(e) overseeing agency-specific application of performance measures, procurement reforms, personnel reductions, financial management improvements, telecommunications and information technology policies, and other government-wide systems reforms adopted as a result of the recommendations of the National Performance Review; and
(f) reforming the agency's management practices by incorporating the principles of the National Performance Review into day-to-day management.
2. Implement Additional Agency Reforms.
Each agency head shall identify and implement additional changes within the agency that will promote the principles and standards of the National Performance Review and the strategic and quality management approaches described by the Federal Quality Institute's "Presidential Award for Quality" or its successor award(s).
3. Establishment of President's Management Council.
In order to advise and assist the President and the Vice President in ensuring that the reforms adopted as a result of the National Performance Review are implemented throughout the Executive branch, I hereby establish the President's Management Council ("The Council"). The Council shall comprise the:
(a) The Deputy Director for Management, Office of Management and Budget;
(b) The Chief Operating Officers from the following agencies:
(1) Department of State;
(2) Department of the Treasury;
(3) Department of Defense;
(4) Department of Justice;
(5) Department of the Interior;
(6) Department of Agriculture;
(7) Department of Commerce;
(8) Department of Labor;
(9) Department of Health and Human Services;
(10) Department of Housing and Urban Development;
(11) Department of Transportation;
(12) Department of Energy;
(13) Department of Education;
(14) Department of Veterans Affairs;
(15) Environmental Protection Agency;
(c) The following central management agency representatives:
(1) Director of the Office of Personnel Management;
(2) Administrator of General Services;
(d) Chief Operating Officers of three other Executive branch agencies designated by the Chairperson, in his or her discretion;
(e) Secretary of the Cabinet; and
(f) Such other officials of Executive departments and agencies as I may, from time to time, designate.
The Deputy Director for Management of the Office of Management and Budget shall serve as Chairperson of the Council. The Chairperson of the Council shall appoint a Vice-Chairperson from the Council's membership to assist the Chairperson in conducting the affairs of the Council.
I also establish an Executive Committee of the Council. Members of the Executive Committee shall be: the Chairperson; the Vice Chairperson; the two central management agency representatives; two Chief Operating Officers serving on the Council, whom I shall designate, and any additional Council members whom I may, from time to time, designate.
The Chairperson shall convene meetings of the Council, which shall be held at least once a month.
The functions of the Council shall include, among others:
(a) improving overall Executive branch management, including reform of government-wide management systems, such as management controls, financial management, personnel, budgeting, and procurement;
(b) coordinating management-related efforts to improve government throughout the Executive branch and, as necessary, resolving specific interagency management issues;
(c) ensuring the adoption of new management practices in agencies throughout the Executive branch; and
(d) identifying examples of, and providing mechanisms for, interagency exchange of information about best management practices.
The Council shall be provided with appropriate staff support and other resources as may be necessary to carry out its duties. In addition, the Federal Quality Institute shall serve as a resource to the Council.
The Council shall seek advice and information as appropriate from nonmember Federal agencies, particularly smaller agencies. The Council shall also consider the management reform experience of corporations, nonprofit organizations, State and local governments, government employees, public sector unions, and customers of government services.
Agencies shall cooperate with the Council and provide such assistance, information, and advice to the Council as the Council may request, to the extent permitted by law.
4. Independent Agencies.
Independent agencies are requested to adhere to this directive.
5. Judicial Review.
This directive is for the internal management of the Executive branch and does not create any right or benefit, substantive or procedural, enforceable by a party against the United States, its agencies or instrumentalities, its officers or employees, or any other person.
6. Publication.
The Director of the Office of Management and Budget is authorized and directed to publish this memorandum in the Federal Register.
William J. Clinton.
Ex. Ord. No. 12893. Principles for Federal Infrastructure Investments
Ex. Ord. No. 12893, Jan. 26, 1994, 59 F.R. 4233, provided:
A well-functioning infrastructure is vital to sustained economic growth, to the quality of life in our communities, and to the protection of our environment and natural resources. To develop and maintain its infrastructure facilities, our Nation relies heavily on investments by the Federal Government.
Our Nation will achieve the greatest benefits from its infrastructure facilities if it invests wisely and continually improves the quality and performance of its infrastructure programs. Therefore, by the authority vested in me as President by the Constitution and the laws of the United States of America, it is hereby ordered as follows:
Each executive department and agency with infrastructure responsibilities (hereinafter referred to collectively as "agencies") shall develop and implement plans for infrastructure investment and management consistent with the following principles:
(a) Systematic Analysis of Expected Benefits and Costs. Infrastructure investments shall be based on systematic analysis of expected benefits and costs, including both quantitative and qualitative measures, in accordance with the following:
(1) Benefits and costs should be quantified and monetized to the maximum extent practicable. All types of benefits and costs, both market and nonmarket, should be considered. To the extent that environmental and other nonmarket benefits and costs can be quantified, they shall be given the same weight as quantifiable market benefits and costs.
(2) Benefits and costs should be measured and appropriately discounted over the full life cycle of each project. Such analysis will enable informed tradeoffs among capital outlays, operating and maintenance costs, and nonmonetary costs borne by the public.
(3) When the amount and timing of important benefits and costs are uncertain, analyses shall recognize the uncertainty and address it through appropriate quantitative and qualitative assessments.
(4) Analyses shall compare a comprehensive set of options that include, among other things, managing demand, repairing facilities, and expanding facilities.
(5) Analyses should consider not only quantifiable measures of benefits and costs, but also qualitative measures reflecting values that are not readily quantified.
(b) Efficient Management. Infrastructure shall be managed efficiently in accordance with the following:
(1) The efficient use of infrastructure depends not only on physical design features, but also on operational practices. To improve these practices, agencies should conduct periodic reviews of the operation and maintenance of existing facilities.
(2) Agencies should use these reviews to consider a variety of management practices that can improve the return from infrastructure investments. Examples include contracting practices that reward quality and innovation, and design standards that incorporate new technologies and construction techniques.
(3) Agencies also should use these reviews to identify the demand for different levels of infrastructure services. Since efficient levels of service can often best be achieved by properly pricing infrastructure, the Federal Government-through its direct investments, grants, and regulations-should promote consideration of market-based mechanisms for managing infrastructure.
(c) Private Sector Participation. Agencies shall seek private sector participation in infrastructure investment and management. Innovative public-private initiatives can bring about greater private sector participation in the ownership, financing, construction, and operation of the infrastructure programs referred to in section 1 of this order. Consistent with the public interest, agencies should work with State and local entities to minimize legal and regulatory barriers to private sector participation in the provision of infrastructure facilities and services.
(d) Encouragement of More Effective State and Local Programs. To promote the efficient use of Federal infrastructure funds, agencies should encourage the State and local recipients of Federal grants to implement planning and information management systems that support the principles set forth in section 2(a) through (c) of this order. In turn, the Federal Government should use the information from the State and local recipients' management systems to conduct the system-level reviews of the Federal Government's infrastructure programs that are required by this order.
William J. Clinton.