United States S 1011: Federal Employees and Retirees with Delinquent Tax Debt Initiative (FERDI) Act

Bill Text

II 
118THCONGRESS 
1
STSESSION 
S. 1011 
To require an annual report of Federal employees and retirees with delinquent 
tax debt. 
IN  THE  SENATE  OF  THE  UNITED  STATES  
MARCH28, 2023 
Mr.  B
RAUN(for  himself  and  Ms.  ERNST)  introduced  the  following  bill;  which  
was  read  twice  and  referred  to  the  Committee  on  Homeland  Security  and  
Governmental Affairs 
A  BILL  
To require an annual report of Federal employees and 
retirees with delinquent tax debt. 
Be  it  enacted  by  the  Senate  and  House  of  Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Federal Employees and 4
Retirees  with  Delinquent  Tax  Debt  Initiative  (FERDI)  5
Act’’. 6
SEC.  2.  ANNUAL  REPORT  ON  FEDERAL  EMPLOYEES  AND  7
RETIREES WITH DELINQUENT TAX DEBT. 8
(a) I
NGENERAL.—The Secretary of the Treasury (or 9
the Secretary’s delegate) shall submit to the relevant com-10
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•S  1011  IS
mittees  and  make  a  public  on  the  internet  an  annual  re-1
port  on  current  and  retired  Federal  civilian  and  military  2
employees  who  have  delinquent  tax  debt  or  an  unfiled  tax  3
return for the most recent fiscal year. 4
(b)  M
ATTERSINCLUDED.—The  report  under  sub-5
section (a) shall include— 6
(1)  the  population  of  individuals  who  are  civil-7
ian  employees,  retired  civilian  employees,  active  duty  8
military   employees,   military   reserve   or   national   9
guard employees, and retired military employees; 10
(2)  the  number  of  individuals  in  each  category  11
listed  in  paragraph  (1)  who  have  delinquent  tax  debt  12
(excluding  those  individuals  who  have  an  installment  13
agreement) or an unfiled tax return; 14
(3)  the  aggregate  balance  owed  and  the  delin-15
quency rate for each such category; and 16
(4)  the  information  described  in  paragraphs  (2)  17
and (3) broken down by Federal agency. 18
(c)  R
ELEVANTCOMMITTEES.—For  purposes  of  this  19
section,  the  term  ‘‘relevant  committees’’  means  the  Com-20
mittee  on  Finance  of  the  Senate,  the  Committee  on  Ways  21
and  Means  of  the  House  of  Representatives,  the  Com-22
mittee  on  Homeland  Security  and  Governmental  Affairs  23
of  the  Senate,  and  the  Committee  on  Oversight  and  Ac-24
countability of the House of Representatives. 25
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•S  1011  IS
SEC. 3. INELIGIBILITY OF NONCOMPLIANT TAXPAYERS FOR 1
FEDERAL EMPLOYMENT. 2
(a)  I
NGENERAL.—Chapter  73  of  title  5,  United  3
States  Code,  is  amended  by  adding  at  the  end  the  fol-4
lowing: 5
‘‘SUBCHAPTER   VIII—INELIGIBILITY   OF   NON-6
COMPLIANT  TAXPAYERS  FOR  FEDERAL  EM-7
PLOYMENT 8
‘‘§ 7381. Definitions 9
‘‘For purposes of this subchapter— 10
‘‘(1) the term ‘agency’ means— 11
‘‘(A) an Executive agency; 12
‘‘(B) the United States Postal Service; 13
‘‘(C)  the  Postal  Regulatory  Commission;  14
and 15
‘‘(D)  an  employing  authority  in  the  legisla-16
tive branch; 17
‘‘(2)  the  term  ‘employee’  means  an  employee  in  18
or   under   an   agency,   including   an   individual   de-19
scribed in section 2104(b) or 2105(e); and 20
‘‘(3)  the  term  ‘seriously  delinquent  tax  debt’—  21
‘‘(A)  means  a  Federal  tax  liability  that  has  22
been  assessed  by  the  Secretary  of  the  Treasury  23
under  the  Internal  Revenue  Code  of  1986  and  24
may  be  collected  by  the  Secretary  by  levy  or  by  25
a proceeding in court; and 26
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•S  1011  IS
‘‘(B) does not include— 1
‘‘(i)  a  debt  that  is  being  paid  in  a  2
timely  manner  pursuant  to  an  agreement  3
under  section  6159  or  section  7122  of  such  4
Code; 5
‘‘(ii)  a  debt  with  respect  to  which  a  6
collection  due  process  hearing  under  sec-7
tion  6330  of  such  Code,  or  relief  under  8
subsection  (a),  (b),  or  (f)  of  section  6015  9
of such Code, is requested or pending; 10
‘‘(iii)  a  debt  with  respect  to  which  a  11
continuous  levy  has  been  issued  under  sec-12
tion  6331  of  such  Code  (or,  in  the  case  of  13
an  applicant  for  employment,  a  debt  with  14
respect  to  which  the  applicant  agrees  to  be  15
subject to such a levy); and 16
‘‘(iv)   a   debt   with   respect   to   which   17
such   a   levy   is   released   under   section   18
6343(a)(1)(D) of such Code. 19
‘‘§ 7382. Ineligibility for employment 20
‘‘(a)  I
NGENERAL.—Subject  to  subsection  (c),  an  in-21
d