Taxpayer Funds Oversight and Accountability Act

This Act may be cited as the Taxpayer Funds Oversight and Accountability Act.
Chapter 9 of title 31, United States Code, is amended—
in section 902(a)—
in the matter preceding paragraph (1), by striking An and inserting It shall be the duty and responsibility of each agency Chief Financial Officer to oversee and, unless specified otherwise in law, provide leadership in the areas of budget formulation and execution, planning and performance, risk management, internal controls, financial systems, accounting, and other areas as designated by the Deputy Director of Management under their authorities described in section 503 of this title. In carrying out the preceding sentence, each;
in paragraph (3)—
in subparagraph (C), by inserting areas and before systems; and
in subparagraph (D)—
in clause (iii), by striking and at the end;
in clause (iv), by striking performance; and inserting performance and integration of performance and cost information; and; and
by adding at the end the following:
annual agency financial statements prepared in accordance with applicable accounting standards;
by redesignating paragraphs (5), (6), (7), and (8) as paragraphs (7), (8), (9), and (11) respectively;
by inserting after paragraph (4) the following:
oversee and provide leadership over the design, implementation, and operation of the internal controls of the agency over financial reporting and key financial management information identified under section 3512(e)(1);
prepare, in consultation with financial management and other appropriate experts, an agency plan to implement the 4-year financial management plan prepared by the Director of the Office of Management and Budget under section 3512(a)(2) of this title and to achieve and sustain effective financial management in the agency, which shall—
be completed within 120 days after the issuance of a governmentwide plan under such section 3512(a)(2);
be revised as determined necessary by the Chief Financial Officer and the Director of the Office of Management and Budget;
include financial management metrics against which the financial management performance of the agency shall be assessed; and
be submitted upon completion or revision to the head of the agency, the Director of the Office of Management and Budget, the Comptroller General, and appropriate committees of Congress, and be made publicly available;
in paragraph (7), as so redesignated—
by striking subparagraph (A);
by redesignating subparagraphs (B) through (E) as subparagraphs (A) through (D), respectively; and
in subparagraph (C), as so redesignated, by adding and at the end;
in paragraph (8), as so redesignated—
in the matter preceding subparagraph (A), by striking and the Director of the Office of Management and Budget, and inserting , the Director of the Office of Management and Budget, the Comptroller General, and appropriate committees of Congress, which shall be made publicly available and;
in subparagraph (A), by striking agency; and inserting
agency, including—
the progress of the agency in implementing the agency plan described in paragraph (5);
the progress of the agency in implementing the governmentwide 4-year financial management plan prepared by the Director of the Office of Management and Budget under section 3512(a)(2) of this title; and
the performance of the agency against financial management metrics established by the Director of the Office of Management and Budget;
in subparagraph (D)—
by striking of the reports and inserting
of—
the reports
in clause (i), as so designated, by striking the amendments made by the Federal Managers’ Financial Integrity Act of 1982 (Public Law 97–255); and and inserting section 3512(d) of this title; and; and
by adding at the end the following:
the reporting of the agency under the Federal Financial Management Improvement Act of 1996 (31 U.S.C. 3512 note); and
in paragraph (9), as so redesignated—
by striking monitor the and insert manage the formulation and; and
by striking , and prepare and submit to the head of the agency timely performance reports; and and inserting a semicolon;
by inserting after paragraph (9), as so redesignated, the following:
coordinating with the responsible agency official to ensure performance and cost information are linked, including in the preparation and submission to the head of the agency of timely performance reports that incorporate cost information;
in paragraph (11), as so redesignated—
by inserting inflation and before costs; and
by striking the period at the end and inserting ; and; and
by adding at the end the following:
coordinate with senior agency personnel, including but not limited to, those with statutory, regulatory, and related policy responsibility which may include the Chief Data Officer, Chief Information Officer, Chief Performance Officer, Chief Acquisition Officer, Chief Risk Officer, and Chief Evaluation Officer of the agency on—
the exercise of authorities under this subsection; and
the strategic planning, performance measurement and reporting, and risk management functions of the agency.
in section 903—
in subsection (a), by inserting and who shall assist the agency Chief Financial Officer in the performance of each of the duties of the agency Chief Financial Officer under this chapter after matters; and
by adding at the end the following:
Notwithstanding subchapter III of chapter 33 of title 5, in the event of a vacancy in the position of Chief Financial Officer of an agency, the Deputy Chief Financial Officer of the agency shall serve as the acting Chief Financial Officer.
Section 3512 of title 31, United States Code, is amended—
in subsection (a)—
in paragraph (1), by striking a financial management status report and a governmentwide 5-year financial management plan and inserting a governmentwide 4-year financial management plan, to be included within the Federal Government performance plan described in section 1115, and a financial management status report;
by striking paragraph (2);
by redesignating paragraph (3) as paragraph (2);
in paragraph (2), as so redesignated—
in subparagraph (A)—
by striking 5-year and inserting 4-year;
by striking shall describe and inserting the following:
shall—
describe
in clause (i), as so redesignated, by striking 5 fiscal years to improve the financial management of the Federal Government. and inserting 4 fiscal years to improve the financial management of the Federal Government in a manner that is strategic, comprehensive, and cost-effective, and shall also include strategies for enabling data sharing in accordance with applicable law and joint fraud prevention initiatives with State (meaning a State of the United States, the District of Columbia, a territory or possession of the United States, or a federally recognized Indian tribe) and local governments that administer federally funded programs or disburse Federal funds on behalf of the Federal Government; and; and
by adding at the end the following:
be developed in consultation with the Chief Financial Officers Council and, as appropriate, other councils and financial management experts, including the Chief Information Officers Council, the Chief Data Officer Council, the Chief Acquisition Officers Council, and the Government Accountability Office, as determined by the Director of the Office of Management and Budget in consultation with the Chief Financial Officers Council.
in subparagraph (B)—
in the matter preceding clause (i), by striking 5-year and inserting 4-year;
in clause (iii)—
by striking for developing and inserting
for improving financial management systems, including—
developing
by adding at the end the following:
describe how performance and cost information are linked in order to facilitate effective and efficient decision making;
eliminating duplicative and unnecessary systems and activities; and
identifying opportunities for agencies to share systems and services and encouraging agencies to do so where practicable;
by striking clause (iv);
by redesignating clause (v) as clause (iv);
by inserting after clause (iv), as so redesignated, the following:
provide a strategy for reporting performance and cost information;
in clause (vi), by striking 5-year and inserting 4-year;
in clause (vii), by striking identify and inserting provide a strategy for strengthening the Federal financial management workforce, including identification of;
in clause (viii), by striking and at the end;
by redesignating clause (ix) as clause (x);
by inserting after clause (viii) the following:
include financial management metrics against which the performance of executive agencies can be assessed; and
in clause (x), as so redesignated, by striking 5-year and inserting 4-year;
by inserting after paragraph (2) the following:
A financial management status report under this subsection shall include—
a description and analysis of the status of financial management in the executive branch, including the progress made towards implementing the governmentwide 4-year financial management plan, and the status of remaining challenges to implementing the governmentwide 4-year financial management plan;
a summary of the performance of agencies against the metrics developed and identified by the Director of the Office of Management and Budget in the governmentwide 4-year financial management plan;
a summary of the most recently completed financial statements—
of Federal agencies under section 3515 of this title; and
of Government corporations;
a summary of the most recently completed financial statement audits and reports—
of Federal agencies under subsections (e) and (f) of section 3521 of this title; and
of Government corporations;
a summary of reports on internal accounting and administrative control systems submitted to the President and Congress under subsection (d);
a listing of agencies whose financial management systems do not comply substantially with the requirements of section 803(a) of the Federal Financial Management Improvement Act of 1996 (31 U.S.C. 3512 note), and a summary statement of the efforts underway to remedy the noncompliance; and
any other information the Director considers appropriate to fully inform Congress regarding the financial management of the Federal Government.
in paragraph (4)—
in subparagraph (A)—
by striking 15 months after the date of the enactment of this subsection and inserting 12 months after the date of the enactment of the Taxpayer Funds Oversight and Accountability Act; and
by striking 5-year and inserting 4-year;
in subparagraph (B)—
in clause (i)—
by striking Not later than January 31 of each year thereafter and inserting At a minimum, concurrently with the submission of the budget of the United States Government under section 1105(a) of this title made in the first full fiscal year following any year in which the term of the President commences under section 101 of title 3;
by striking financial management status report and a revised governmentwide 5-year and inserting governmentwide 4-year; and
by striking 5 fiscal years and all that follows through the period at the end and inserting 4 fiscal years.; and
in clause (ii)—
by striking revised governmentwide 5-year and inserting governmentwide 4-year; and
by striking paragraph (3)(B)(viii) and inserting paragraph (2)(B)(viii); and
by adding at the end the following:
Each year, concurrently with the submission of the budget of the United States Government under section 1105(a) of this title, the Director of the Office of Management and Budget shall submit to the appropriate committees of Congress and the Comptroller General a financial management status report.
by striking paragraph (5);
in subsection (d)(2)—
in subparagraph (A), by striking and at the end;
in subparagraph (B), by striking the period at the end and inserting ; and; and
by adding at the end the following:
a separate report on the results of the assessment and conclusion required under subsection (e)(2).
by redesignating subsections (e), (f), and (g) as subsections (f), (g), and (h), respectively; and
by inserting after subsection (d) the following:
The head of each executive agency shall—
in establishing the internal accounting and administrative controls under subsection (c), identify the key financial management information needed for effective financial management and decision making, which shall include a consideration of—
the agency spending data required to be published under the Federal Funding Accountability and Transparency Act of 2006 (31 U.S.C. 6101 note); and
the information used by the agency to report on improper payments under section 3352 of this title; and
annually assess and make a conclusion on the effectiveness of the internal controls of the executive agency over financial reporting and key financial management information identified under paragraph (1) consistent with guidance provided by the Director of the Office of Management and Budget.
Section 3348(e) of title 5, United States Code, is amended—
in paragraph (3), by adding or at the end;
by striking paragraph (4); and
by redesignating paragraph (5) as paragraph (4).