#aacth ,,congress #b;d ,session ,s4 #agdd ,,an ,,act ,to strengthen the accountability of individuals involved in misconduct affecting the integrity of background investigations1 to update guidelines for position designation1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,security ,clearance ,accountability1 ,reform1 and ,enhancement ,act4 #b4 ,definitions ,in this ,act-- 7#a7 the term agency has the meaning given the term in ,executive ,order #acdfg 7#gc ,fed4 ,reg4 #chajc72 7#b7 the term appropriate agency means-- 7,a7 in the case of a prime contractor for a covered contract1 the agency with which the prime contractor entered the covered contract2 or 7,b7 in the case of a subcontractor for a covered contract1 any agency on whose behalf the subcontractor is performing work under the covered contract2 7#c7 the term appropriate congressional committees means-- 7,a7 the ,committee on ,homeland ,security and ,governmental ,affairs and the ,select ,committee on ,intelligence of the ,senate2 and 7,b7 the ,committee on ,oversight and ,government ,reform and the ,permanent ,select ,committee on ,intelligence of the ,house of ,representatives2 7#d7 the term background investigation means any investigation required for the purpose of determining the-- 7,a7 eligibility of a covered individual for logical and physical access to federally controlled facilities or information systems2 7,b7 suitability or fitness of a covered individual for ,federal employment2 7,c7 eligibility of a covered individual for access to classified information or to hold a national security sensitive position2 or 7,d7 fitness of a covered individual to perform work for or on behalf of the ,united ,states ,government as a contractor employee2 7#e7 the term covered contract means a contract to conduct background investigations-- 7,a7 between an agency and a prime contractor2 7,b7 between a prime contractor and a subcontractor1 if the prime contractor has a contract with an agency2 or 7,c7 between subcontractors1 if one of the subcontractors has a contract with a prime contractor that has a contract with an agency2 7#f7 the term covered individual means an individual who-- 7,a7 performs work for or on behalf of an agency2 or 7,b7 seeks to perform work for or on behalf of an agency2 7#g7 the term covered misconduct means misconduct affecting the integrity of a background investigation conducted by or for an agency with investigative authority to conduct background investigations1 including-- 7,a7 falsification of any information relating to a background investigation2 or 7,b7 other serious misconduct that compromises the integrity of a background investigation2 7#h7 the term prime contractor means an individual who enters into a contract with an agency2 and 7#i7 the term subcontractor means an individual who has contracted with a prime contractor or with another subcontractor to perform a contract on behalf of an agency4 #c4 ,accountability of individuals involved in misconduct affecting the integrity of agency background investigations 7a7 ,misconduct by ,federal employees 7#a7 ,unfit for ,federal employment ,if an agency determines that an employee of the agency has engaged in covered misconduct1 the employee shall be found unfit for ,federal employment4 7#b7 ,fitness determinations ,an agency shall make a determination under paragraph 7#a7 in accordance with any statutory1 regulatory1 or internal agency procedures applicable to investigating alleged misconduct by employees of the agency4 7#c7 ,prohibition on reemployment to conduct background investigations ,if an agency determines under paragraph 7#a7 that an individual is unfit for ,federal employment1 the individual shall not be appointed to or continue to occupy a position1 as an employee of any agency1 that requires its occupant to perform background investigations4 7b7 ,misconduct by employees under contract 7#a7 ,ineligibility for performance of work under a covered contract ,if an appropriate agency1 prime contractor1 or subcontractor determines that an individual performing work under a covered contract has engaged in covered misconduct1 the individual shall be ineligible to perform background investigations under a covered contract4 7#b7 ,mandatory disclosure ,a covered contract shall include a provision requiring a prime contractor or subcontractor to disclose to each appropriate agency any allegation of covered misconduct by an employee of the prime contractor or subcontractor not later than #bd hours after the prime contractor or subcontractor discovers the alleged covered misconduct4 7#c7 ,investigation of covered misconduct 7,a7 ,contractor investigation ,a covered contract shall include a provision requiring that1 not later than #e business days after the date on which a prime contractor or subcontractor discloses an allegation under paragraph 7#b71 the prime contractor or subcontractor shall refer the allegation of covered misconduct to the agency for investigation4 7,b7 ,agency investigation ,nothing in subparagraph 7,a7 shall be construed to prohibit an appropriate agency from conducting its own investigation into an allegation of covered misconduct4 7#d7 ,prohibition on reemployment to conduct background investigations ,if an appropriate agency determines1 based on an investigation conducted under paragraph 7#c71 that an individual is ineligible to perform work under a covered contract under paragraph 7#a71 the individual shall be prohibited from performing background investigations under any covered contract4 7#e7 ,modification of existing contracts ,not later than #cj days after the date of enactment of this ,act1 any covered contract that is in effect and was entered into before the date of enactment of this ,act shall be modified to include the provisions required under paragraphs 7#b7 and 7#c74 7c7 ,reporting ,not later than #a year after the date of enactment of this ,act1 and annually thereafter1 the ,president shall submit to the appropriate congressional committees a report providing-- 7#a7 the number of individuals determined to be-- 7,a7 unfit for ,federal employment under subsection 7a72 or 7,b7 ineligible to perform work under a covered contract under subsection 7b72 and 7#b7 details of the covered misconduct that resulted in each determination described in paragraph 7#a74 #d4 ,review and update of position designation guidance 7a7 ,guidelines 7#a7 ,initial review and update of guidance ,not later than #ahj days after the date of enactment of this ,act1 the ,president shall review and1 if appropriate1 update the guidance the ,president issues to assist agencies in determining-- 7,a7 position sensitivity designation2 and 7,b7 the appropriate background investigation to initiate for each position designation4 7#b7 ,reviews and revisions of position designations ,not less frequently than every #e years1 the ,president1 acting through relevant agencies 7as determined by the ,president7 and in accordance with the guidance described in paragraph 7#a71 shall review and1 if necessary1 revise the position designation of positions within agencies4 7b7 ,reports to ,congress ,not later than #cj days after completing a review under subsection 7a77#b71 the ,president shall submit to the appropriate congressional committees a report on-- 7#a7 any issues identified in the review2 and 7#b7 the number of position designations revised as a result of the review4 7c7 ,no change in authority ,nothing in this section limits or expands the authority of any agency to designate a position as sensitive or as requiring its occupant to have access to classified information4 ,passed the ,senate ,december #ae1 #bjad4,secretary