System Already Casting Shadows

Although the DHS system remains a long way from its final form, other agencies already are looking at the flexibilities given to DHS as precedent for themselves. The Defense Department, in arguing for personnel reforms including pay-for-performance for its white-collar employees, is arguing that it should get the flexibilities DHS got, and similar arguments are being raised in favor of greater personnel flexibilities at agencies including NASA and the General Accounting Office, which also have agency-specific reform plans pending. In addition, language in the House-passed version of a Medicare reform bill (HR-1) now in a House-Senate conference, would apply many of those same provisions to a newly created Medicare Benefits Administration, which would be set up to administer a Medicare prescription drug program.