[House Report 111-239]
[From the U.S. Government Publishing Office]
111th Congress Report
HOUSE OF REPRESENTATIVES
1st Session 111-239
======================================================================
GOVERNMENT INFORMATION TRANSPARENCY ACT
_______
July 30, 2009.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Towns, from the Committee on Oversight and Government Reform,
submitted the following
R E P O R T
[To accompany H.R. 2392]
[Including cost estimate of the Congressional Budget Office]
The Committee on Oversight and Government Reform, to whom was
referred the bill (H.R. 2392) to improve the effectiveness of
the Government's collection, analysis, and dissemination of
business information by using modern interactive data
technologies, having considered the same, report favorably
thereon with an amendment and recommend that the bill as
amended do pass.
CONTENTS
Page
Purpose and Summary.............................................. 3
Background and Need for Legislation.............................. 3
Legislative History.............................................. 4
Section-By-Section............................................... 4
Explanation of Amendments........................................ 6
Committee Consideration.......................................... 6
Rollcall Votes................................................... 6
Application of Law to the Legislative Branch..................... 6
Statement of Oversight Findings and Recommendations of the
Committee...................................................... 6
Statement of General Performance Goals and Objectives............ 6
Constitutional Authority Statement............................... 6
Federal Advisory Committee Act................................... 6
Unfunded Mandates Statement...................................... 7
Earmark Identification........................................... 7
Committee Estimate............................................... 7
Budget Authority and Congressional Budget Office Cost Estimate... 7
Changes in Existing Law Made by the Bill, as Reported............ 8
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Government Information Transparency
Act''.
SEC. 2. DATA STANDARD REQUIREMENTS.
(a) Requirement.--The Director of the Office of Management and Budget
shall adopt a single data standard for the collection, analysis, and
dissemination of business and financial information for use by private
sector entities in accordance with section 3 for information required
to be reported to the Federal Government, and a single data standard
for use by agencies within the Federal Government in accordance with
section 4 for Federal financial information.
(b) Characteristics of Data Standards.--The single data standards
required by subsection (a) shall--
(1) be common across all agencies, to the maximum extent
practicable;
(2) be a widely accepted, open source, non-proprietary,
searchable, computer-readable format for business and financial
data;
(3) be consistent with and implement--
(A) United States generally accepted accounting
principles or Federal financial accounting standards
(as appropriate);
(B) industry best practices; and
(C) Federal regulatory requirements;
(4) improve the transparency, consistency, and usability of
business and financial information; and
(5) be capable of being continually upgraded to be of maximum
use as technologies and content evolve over time.
SEC. 3. IMPLEMENTATION OF SINGLE DATA STANDARD FOR PRIVATE SECTOR.
(a) OMB Guidance.--Not later than 180 days after the date of the
enactment of this Act, the Director of the Office of Management and
Budget shall issue guidance to agencies on the use and implementation
of the single data standard required by section 2 for information
required to be reported to agencies by the private sector.
(b) Agency Requirements.--
(1) Requirement.--To the maximum extent practicable and
consistent with the guidance provided by the Office of
Management and Budget under subsection (a), the head of each
agency shall require the use of the single data standard
required by section 2 for business and financial information
reported to the agency by private sector companies.
(2) Implementation.--The head of the agency shall begin
implementing the requirement of paragraph (1) within one year
after the date of the enactment of this Act.
SEC. 4. IMPLEMENTATION OF SINGLE DATA STANDARD FOR FEDERAL GOVERNMENT.
(a) OMB Development.--Not later than 1 year after the date of the
enactment of this Act, the Director of the Office of Management and
Budget shall develop the single data standard required by section 2 for
use by agencies within the Federal Government for Federal financial
information.
(b) OMB Guidance.--Not later than 18 months after the date of the
enactment of this Act, the Director shall issue guidance to agencies on
the use and implementation of the single data standard developed under
subsection (a).
SEC. 5. PUBLIC ACCESS TO DATA.
The head of each agency shall ensure that information collected using
the single data standards required under this Act is accessible to the
general public in that format to the extent permitted by law.
SEC. 6. REPORT.
Within one year after the date of the enactment of this Act, the
Director of the Office of Management and Budget shall submit to the
Committee on Oversight and Government Reform of the House of
Representatives and the Committee on Homeland Security and Governmental
Affairs of the Senate a report on the status of the implementation of
this Act.
SEC. 7. DEFINITIONS.
In this Act:
(1) Agency.--The term ``agency'' means any executive
department, military department, Government corporation,
Government controlled corporation, independent establishment,
or other establishment in the executive branch of the
Government (including the Executive Office of the President),
or any independent regulatory agency, but does not include--
(A) the Government Accountability Office;
(B) the Federal Election Commission;
(C) the governments of the District of Columbia and
of the territories and possessions of the United
States, and their various subdivisions; or
(D) Government-owned contractor-operated facilities,
including laboratories engaged in national defense
research and production activities.
(2) Executive department, military department, government
corporation, government controlled corporation, independent
establishment.--The terms ``Executive department'', ``military
department'', ``Government corporation'', ``Government
controlled corporation'', and ``independent establishment''
have the meanings given those terms by chapter 1 of title 5,
United States Code.
(3) Independent regulatory agency.--The term ``independent
regulatory agency'' has the meaning given that term by section
3502(5) of title 44, United States Code.
PURPOSE AND SUMMARY
H.R. 2392, the Government Information Transparency Act, was
introduced by Rep. Darrell Issa on May 13, 2009. The purpose of
H.R. 2392 is to improve the quality, practicality, and
transparency of federal business and financial information by
requiring the use of single data standards for the collection,
analysis, and dissemination of that information.
H.R. 2392 directs the Office of Management and Budget (OMB)
to adopt a single data standard for the collection, analysis,
and dissemination of business and financial information
reported to federal agencies. The bill also requires OMB to
develop a single data standard for the reporting of federal
financial information. Both standards are subject to the same
requirements, and it is expected that they will be very similar
with only minor differences. The bill also requires the head of
federal agencies to make information collected using the single
data standard available to the general public in that format,
to the extent permitted by law.
BACKGROUND AND NEED FOR LEGISLATION
Openness and accountability are deeply rooted in the U.S.
Government, so much so that it is written into the Constitution
that the Congress keep a record of its activities and make it
available to the general public. To this end, the Congress has,
over the years, enacted a number of laws requiring a variety of
federal information to be made available to the public. Since
its passage in 1966, the Freedom of Information Act (FOIA) has
been a cornerstone of these efforts. Additionally, there are
numerous federal laws requiring the public disclosure of an
array of federal information including, but not limited to, the
Ethics in Government Act, the Federal Funding Accountability
and Transparency Act, and the Honest Leadership and Open
Government Act.
While all of these open government laws improve
transparency and accountability, the information and data they
produce, whether it be because of format, venue, or sheer
volume, is not always useful. As it currently stands, a variety
of federal business and financial information is available to
the public in a number of different formats and places.
Although the Internet has greatly improved the accessibility of
this information, accessibility alone does not promote
accountability. In order to be an efficient and effective
resource for both the general public and the federal government
itself, federal business and financial information must be made
available in a standard and useful way so that data is more
easily manipulated, searched, and shared.
The Government Information Transparency Act directs OMB to
adopt single data standards for the collection, analysis, and
dissemination of federal business and financial information.
H.R. 2392 is intended to improve the transparency, consistency,
and usability of federal business and financial information.
LEGISLATIVE HISTORY
The Subcommittee on Domestic Policy held the hearing, TARP
Oversight: Assessing Treasury's Efforts to Prevent Waste and
Abuse of Taxpayer Funds (March 11, 2009).
The witnesses were Neel Kashkari, Acting Interim Assistant
Secretary for Financial Stabilization, Department of Treasury;
Professor Anthony B. Sanders, W.P. Carey School of Business,
Arizona State University; Stephen Horne, Vice President of
Master Data Management and Integration Services, Dow Jones &
Co.; Mark Bolgiano, President and CEO, XBRL U.S., Inc.; Neil
Barofsky, Special Inspector General for the Troubled Assets
Relief Program; and Richard Hillman, Managing Director of
Financial Markets and Community Investment, Government
Accountability Office.
The Committee on Oversight and Government Reform held the
hearing, Preventing Stimulus Waste and Fraud: Who are the
Watchdogs? (March 19, 2009).
The witnesses were Earl Devaney, Chairman, Recovery
Accountability and Transparency Board; William G. Holland,
Illinois Auditor General; David P. Gragan, Chief Procurement
Officer, District of Columbia; Jerome Heer, Founding Member,
Association of Local Government Auditors; and Jerry Brito,
Senior Research Fellow, Mercatus Center at George Mason
University.
H.R. 2392 was introduced by Rep. Darrell Issa on May 13,
2009, and referred to the Committee on Oversight and Government
Reform. The Committee held a business meeting on June 4, 2009,
and ordered the bill to be reported favorably, as amended, by
voice vote. The section-by-section analysis below reflects the
bill as amended by the Committee.
SECTION-BY-SECTION
Sec. 1. Short title
The short title of the bill is the Government Information
Transparency Act.
Sec. 2. Data standard requirements
Subsection (a) directs the OMB to adopt a single data
standard for the collection, analysis, and dissemination of
business and financial information for private-sector entities
already required to report such information to the federal
government, and a single data standard for use by agencies
within the federal government to report federal financial
information. The Committee's intent is not to change what is
being reported to or by the federal government, only how it is
reported.
Subsection (b) lists the requirements for the single data
standard. Specifically, it stipulates that the standard be: (1)
common across all agencies, to the maximum extent practicable;
(2) widely accepted, open source, non-proprietary, searchable,
and computer-readable; and (3) consistent with (A) U.S.
generally accepted accounting principles or federal financial
accounting standards, as applicable; (B) industry best
practices; and (C) federal regulatory requirements. Moreover,
this subsection also requires that the single data standard (4)
improve the transparency, consistency, and usability of
business and financial information; and (5) be capable of being
continually upgraded as technologies and content evolve over
time.
Sec. 3. Implementation of single data standard for private sector
Subsection (a) directs OMB to issue guidance to agencies on
the use and implementation of a single data standard for
information required to be reported to federal agencies by the
private sector within 180 days of enactment.
Subsection (b) requires the head of each agency to (1)
require the use of the single data standard for business and
financial information reported to the agency by private sector
companies; and (2) begin implementing that standard within one
year of enactment.
Sec. 4. Implementation of single data standard for Federal Government
Subsection (a) directs OMB to develop the single data
standard for use by agencies within the federal government for
federal financial information within one year of enactment.
Subsection (b) directs OMB to issue guidance to agencies
within the federal government on the use and implementation of
the single data standard within 18 months of enactment.
Sec. 5. Public access to data
This section directs the head of each agency to make
information collected using the single data standard accessible
to the general public in that format to the extent permitted by
law.
Sec. 6. Report
This section requires OMB to report to the House Committee
on Oversight and Government Reform and the Senate Committee on
Homeland Security and Governmental Affairs on the status of the
implementation of the Act within one year of enactment.
Sec. 7. Definitions
This section offers several definitions pertinent to the
Act.
Subsection (1) defines ``agency'' as any executive
department, military department, Government corporation,
Government controlled corporation, independent establishment,
or other establishment in the executive branch of the
Government (including the Executive Office of the President),
or any independent regulatory agency, excluding: (A) the
Government Accountability Office; (B) the Federal Election
Commission; (C) the governments of the District of Columbia and
of the territories and possessions of the United States, and
their various subdivisions; and (D) Government-owned
contractor-operated facilities, including laboratories engaged
in national defense research and production activities.
Subsection (2) defines ``Executive department'', ``military
department'', ``Government corporation'', ``Government
controlled corporation'', and ``independent establishment'' as
having the meanings given those terms by chapter 1 of title 5,
United States Code.
Subsection (3) defines ``independent regulatory agency'' as
having the meaning given that term by section 3502(5) of title
44, United States Code.
EXPLANATION OF AMENDMENTS
Reps. Towns and Issa offered an amendment in the nature of
a substitute, which was adopted by voice vote. The section-by-
section analysis in this report describes the content of that
amendment.
COMMITTEE CONSIDERATION
On Thursday, June 4, 2009, the Committee met in open
session and favorably ordered H.R. 2392, as amended, to be
reported to the House by a voice vote.
ROLLCALL VOTES
No rollcall votes were held.
APPLICATION OF LAW TO THE LEGISLATIVE BRANCH
Section 102(b)(3) of Public Law 104-1 requires a
description of the application of this bill to the legislative
branch where the bill relates to terms and conditions of
employment or access to public services and accommodations. The
bill does not relate to employment or access to public services
and accommodations.
STATEMENT OF OVERSIGHT FINDINGS AND RECOMMENDATIONS OF THE COMMITTEE
In compliance with clause 3(c)(1) of rule XIII and clause
(2)(b)(1) of rule X of the Rules of the House of
Representatives, the Committee's oversight findings and
recommendations are reflected in the descriptive portions of
this report, including the need to improve transparency and the
usability of federal business and financial information.
STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES
In accordance with clause 3(c)(4) of rule XIII of the Rules
of the House of Representatives, the Committee's performance
goals and objectives are reflected in the descriptive portions
of this report, including improving the transparency,
consistency, and usability of federal business and financial
information.
CONSTITUTIONAL AUTHORITY STATEMENT
Under clause 3(d)(1) of rule XIII of the Rules of the House
of Representatives, the Committee must include a statement
citing the specific powers granted to Congress to enact the law
proposed by H.R. 1387. Article I, Section 8, Clause 18 of the
Constitution of the United States grants Congress the power to
enact this law.
FEDERAL ADVISORY COMMITTEE ACT
The Committee finds that the legislation does not establish
or authorize the establishment of an advisory committee within
the definition of 5 U.S.C. App., Section 5(b).
UNFUNDED MANDATES STATEMENT
Section 423 of the Congressional Budget and Impoundment
Control Act (as amended by Section 101(a)(2) of the Unfunded
Mandates Reform Act, P.L. 104-4) requires a statement on
whether the provisions of the report include unfunded mandates.
In compliance with this requirement the Committee has received
a letter from the Congressional Budget Office included herein.
EARMARK IDENTIFICATION
H.R. 2392 does not include any congressional earmarks,
limited tax benefits, or limited tariff benefits as defined in
clause 9(e) or 9(f) of rule XXI.
COMMITTEE ESTIMATE
Clause 3(d)(2) of rule XIII of the Rules of the House of
Representatives requires an estimate and a comparison by the
Committee of the costs that would be incurred in carrying out
H.R. 2392. However, clause 3(d)(3)(B) of that rule provides
that this requirement does not apply when the Committee has
included in its report a timely submitted cost estimate of the
bill prepared by the Director of the Congressional Budget
Office under section 402 of the Congressional Budget Act.
BUDGET AUTHORITY AND CONGRESSIONAL BUDGET OFFICE COST ESTIMATE
With respect to the requirements of clause 3(c)(2) of rule
XIII of the Rules of the House of Representatives and section
308(a) of the Congressional Budget Act of 1974 and with respect
to requirements of clause 3(c)(3) of rule XIII of the Rules of
the House of Representatives and section 402 of the
Congressional Budget Act of 1974, the Committee has received
the following cost estimate for H.R. 2392 from the Director of
the Congressional Budget Office:
U.S. Congress,
Congressional Budget Office,
Washington, DC, July 14, 2009.
Hon. Edolphus Towns,
Chairman, Committee on Oversight and Government Affairs,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 2392, the
Government Information Transparency Act.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Matthew
Pickford.
Sincerely,
Douglas W. Elmendorf.
Enclosure.
H.R. 2392--Government Information Transparency Act
This legislation would require the Office of Management and
Budget (OMB) to adopt a single standard within the federal
government for reporting financial and business information.
Such information is currently collected and reported by
government agencies using a variety of technologies, accounting
standards, and formats. Generally, H.R. 2392 would expand the
ongoing efforts of OMB, the Financial Management Service, and
the General Services Administration to standardize federal
agencies' business processes, financial data, and financial
reporting through the use of common standards.
Based on the experiences of the Securities and Exchange
Commission and the Federal Deposit Insurance Corporation, CBO
estimates that, subject to the availability of appropriated
funds, standardizing financial reporting definitions across
federal agencies would cost about $5 million over the 2010-2012
period for salaries and expenses and smaller amounts in
subsequent years for ongoing maintenance and agencywide
coordination. In addition, individual agencies would need to
modify their current computer systems and train employees to
use the new financial reporting procedures and systems. Such
costs could total up to a few million dollars per agency,
depending on the agency's current financial reporting system
and how the final standard would be developed and implemented
by OMB.
The use of a single data standard for reporting financial
information could reduce certain administrative costs, but
because developing and implementing new standards would take
some time, CBO expects that any such savings would be small
over the next five years.
The legislation also would affect direct spending by
agencies not funded through annual appropriations, such as the
Tennessee Valley Authority and the U.S. Postal Service, but CBO
estimates that any net increase in spending by those agencies
would not be significant.
The legislation contains no intergovernmental or private-
sector mandates as defined in the Unfunded Mandates Reform Act
and would impose no costs on state, local, or tribal
governments.
The CBO staff contact for this estimate is Matthew
Pickford. The estimate was approved by Theresa Gullo, Deputy
Assistant Director for Budget Analysis.
CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
No changes to existing law are made by H.R. 2392, as
reported.