107th Congress

Veterans Affairs and Housing and Urban Development and Independent Agencies Appropriations Act of 2002

P.L. 107-73 (S. 1216, Senate Report 107-43, H.R. 2620, House Report 107-159, and Conference Report-House Report 107-272)

Impact of Public Law

Public Law (P.L.) 107-73, the Department of Veterans Affairs and Housing and Urban Development and Independent Agencies Appropriations Act of 2002, which was enacted on November 26, 2001, provides $112.7 billion for the U.S. Department of Housing and Urban Development (HUD), U.S. Department of Veterans Affairs (VA), and 20 independent agencies. The law includes some general provisions and appropriations for the National Institute of Environmental Health Sciences (NIEHS). The following is a summary of the provisions that are of interest to the National Institutes of Health (NIH):

• Medical and Prosthetic Research: Conference Report 107-272 provides $371 million to the VA for implementation of medical and prosthetic research programs. House Report 107-159 encourages the VA to expand research in integrative neuroscience, mental illness, substance abuse, lymphoid malignancies, and Agent Orange-related conditions. (Note: House Report language in the Departments of Labor, Health and Human Services, and Education, and Related Agencies Appropriations Bill encourages NIH to expand research cooperation with the VA. See article "Appropriations for NIH, Fiscal Year 2002.") Report language also directs the VA to submit a report to the House Committee on Appropriations regarding its intellectual property agreements with university research institutions. The language cites concerns that the VA's intellectual property agreements may not be consistent with the Bayh-Dole Act and similar agreements used by other Federal agencies.
• National Institute of Environmental Health Sciences: The Conference Report provides a direct appropriation of $70.2 million for NIEHS Superfund-related activities. Of the appropriated amount, $45.8 million is to support research and $24.4 million is to fund worker-training activities. Prior to fiscal year 2001, NIEHS received funding for these activities through a transfer from the Hazardous Substance Superfund account within the Environmental Protection Agency budget (via an interagency agreement).
• Cost Sharing: Section 407 of the Conference Report prohibits agencies from funding grants or contracts if the recipients do not share in the "cost of conducting research resulting from proposals not specifically solicited by the Government, provided that the extent of the cost sharing by the recipient shall reflect the mutuality of interest of the grantee or contractor and the Government in the research."
• Compensation for Consultants: Section 408 of the Conference Report prohibits agencies from compensating or reimbursing consultants above the rate of Executive Schedule IV.
• Contract Information Availability: Section 410 of the Conference Report requires agency contracts to be a "matter of public record and available for public inspection." The legislation also requires all contracts to be included in a publicly available list of all contracts entered into by Federal agencies over the past 24 months.
• Indirect Costs: Section 416 of the Conference Report prohibits agencies from using appropriated funds to implement indirect cost reimbursement caps to grantees except for those that are published in Office of Management and Budget Circular A-21.

Legislative History

On July 20, 2001, Senator Barbara A. Mikulski (D-MD) introduced S. 1216, the VA, HUD, and Independent Agencies Appropriations Act of 2002, and filed Senate Report 107-43. On July 24, 2001, Representative James T. Walsh (R-NY) introduced H.R. 2620 and filed House Report 107-159. On July 26, 27, and 30, 2001, several amendments to H.R. 2620 were offered and passed. The House passed H.R. 2620 with amendments by a vote of 336 to 89 on July 31, 2001. The Senate passed H.R. 2620 with amendments by a vote of 94 to 5 on August 2, 2001.