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Title 38 — Veterans’ Benefits

Part V · Chapter 73 — Veterans Health Administration—Organization and Functions

§ 7363. Board of directors; executive director

Statutory text

(a)

The Secretary shall provide for the appointment of a board of directors for any corporation established under this subchapter. The board shall include—

(1)

with respect to the Department medical center—

(A)
(i)

the director (or directors of each Department medical center, in the case of a multi-medical center research corporation);

(ii)

the chief of staff; and

(iii)

as appropriate for the activities of such corporation, the associate chief of staff for research and the associate chief of staff for education; or

(B)

in the case of a Department medical center at which one or more of the positions referred to in subparagraph (A) do not exist, the official or officials who are responsible for carrying out the responsibilities of such position or positions at the Department medical center; and

(2)

subject to subsection (c), not less than two members who are not officers or employees of the Federal Government and who have backgrounds, or business, legal, financial, medical, or scientific expertise, of benefit to the operations of the corporation.

(b)

Each such corporation shall have an executive director who shall be appointed by the board of directors with the concurrence of the Under Secretary for Health of the Department. The executive director of a corporation shall be responsible for the operations of the corporation and shall have such specific duties and responsibilities as the board may prescribe.

(c)

An individual appointed under subsection (a)(2) to the board of directors of a corporation established under this subchapter may not be affiliated with or employed by any entity that is a source of funding for research or education by the Department unless that source of funding is a governmental entity or an entity the income of which is exempt from taxation under the Internal Revenue Code of 1986.

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

  1. Veterans

    Pub. L. 100–322 title II § 204(a) · 102 Stat. 487

    Enacted · 38 U.S.C. § 7363

    Added Pub. L. 100–322, title II, § 204(a), May 20, 1988, 102 Stat. 510, § 4163

    Source evidence

    Code source credit
    Added Pub. L. 100–322, title II, § 204(a), May 20, 1988, 102 Stat. 510, § 4163

    Enacted provision · exact public law section
    (a) Authority of Administrator.— Chapter 73 is amended by adding at the end the following new subchapter: “SUBCHAPTER VI— RESEARCH CORPORATIONS “§ 4161. Authority to establish; status “(a) The Administrator may authorize the establishment at any Veterans’ Administration medical center of a nonprofit corporation to provide a flexible funding mechanism for the conduct of approved research at the medical center. Except as otherwise required in this subchapter or under regulations prescribed by the Administrator, any such corporation, and its directors and employees, shall be required to comply only with those Federal laws, regulations, and executive orders and directives which apply generally to private nonprofit corporations. “(b) If by the end of the three-year period beginning on the date of the establishment of a corporation under this subchapter the corporation is not recognized as an entity the income of which is exempt from taxation under section 501(c)(3) of the Internal Revenue Code of 1986, the Administrator shall dissolve the corporation. “§ 4162. Purpose of corporations “Any corporation established under this subchapter shall be established solely to facilitate research as described in section 4101(c)(1) of this title in conjunction with the applicable Veteran’ Administration medical center. Any funds received by the Administrator for the conduct of research at the medical center other than funds appropriated to the Veterans’ Administration may be transferred to and administered by the corporation for that purpose. “§ 4163. Board of directors; executive director “(a) The Administrator shall provide for the appointment of a board of directors for any corporation established under this subchapter. The board shall include— “(1) the director of the medical center, the chief of staff of the medical center, and the assistant chief of staff for research of the medical center; and “(2) subject to subsection (c) of this section, members who are not officers or employees of the Federal Government and who are familiar with issues involving medical and scientific research. “(b) Each such corporation shall have an executive director who shall be appointed by the board of directors with the concurrence of the Chief Medical Director of the Veterans’ Administration. The executive director of a corporation shall be responsible for the operations of the corporation and shall have such specific duties and responsibilities as the board may prescribe. “(c) An individual appointed under subsection (a)(2) of this section to the board of directors of a corporation established under this subchapter may not be affiliated with, employed by, or have any other financial relationship with any entity that is a source of funding for research by the Veterans’ Administration unless that source of funding is a governmental entity or an entity the income of which is exempt from taxation under section 501(c)(3) of the Internal Revenue Code of 1986. “§ 4164. General powers “(a) A corporation established under this subchapter may— “(1) accept gifts and grants from, and enter into contracts Gifts. Grants. Contracts. with, individuals and public and private entities solely to carry out the purposes of this subchapter; and “(2) employ such employees as it considers necessary for such purposes and fix the compensation of such employees. “(b) A corporation established under this subchapter may not spend funds for a research project unless the project is approved in accordance with procedures prescribed by the Chief Medical Director for research carried out with Veteran’ Administration funds. Such procedures shall include a peer review process. “§ 4165. Applicable State law “Any corporation established under this subchapter shall be established in accordance with the nonprofit corporation laws of the State in which the applicable medical center is located and shall, to the extent not inconsistent with any Federal law, be subject to the laws of such State. “§ 4166. Accountability and oversight “(a) (1) (A) The records of a corporation established under this Records. subchapter shall be available to the Administrator. “(B) For the purposes of sections 4(a)(1) and 6(a)(1) of the Inspector General Act of 1978, the programs and operations of such a corporation shall be considered to be programs and operations of the Veterans’ Administration with respect to which the Inspector General of the Veterans’ Administration has responsibilities under such Act. “(2) Such a corporation shall be considered an agency for the purposes of section 716 of title 31 (relating to availability of information and inspection of records by the Comptroller General). “(b) Each such corporation shall submit to the Administrator an Reports. annual report providing a detailed statement of its operations, activities, and accomplishments during that year. The corporation shall obtain a report of independent auditors concerning the receipts and expenditures of funds by the corporation during that year and shall include that report in the corporation’s report to the Administrator for that year. “(c) Each member of the board of directors of a corporation established under this subchapter, each employee of such a corpora-tion, and each employee of the Veterans’ Administration who is involved in the functions of the corporation during any year— “(1) shall be subject to Federal laws and regulations applicable to Federal employees with respect to conflicts of interest in the performance of official functions; and “(2) shall submit to the Administrator an annual statement signed by the director or employee certifying that the director or employee is aware of, and has complied with, such laws and regulations in the same manner as Federal employees are required to. “(d) The Administrator shall submit to the Committees on Veteran’ Affairs of the Senate and House of Representatives an annual report on the number and location of corporations established and the amount of the contributions made to each such corporation. “§ 4167. Report to Congress “Not later than February 1, 1991, the Administrator shall submit to Congress a report on the experience through the end of fiscal year 1990 under this subchapter. The report shall include such recommendations as the Administrator considers appropriate. “§ 4168. Expiration of authority “No corporation may be established under this subchapter after September 30, 1991.”.

  2. Department of Veterans Affairs Health-Care Personnel Act of 1991

    Pub. L. 102–40 § 401(a)(4)(B) · 105 Stat. 187

    Changed · 38 U.S.C. § 7363

    Pub. L. 102–40, § 401(a)(4)(B), renumbered section 4163 of this title as this section

    Source evidence

    Code amendment note
    Pub. L. 102–40, § 401(a)(4)(B), renumbered section 4163 of this title as this section.

    Enacted provision · exact public law section
    (B) by redesignating sections 4161, 4162, 4163, 4164, 4165, 4166, 4167, and 4168 as sections 7361, 7362, 7363, 7364, 7365, 7366, 7367, and 7368, respectively.

  3. Department of Veterans Affairs Health-Care Personnel Act of 1991

    Pub. L. 102–40 § 403(a)(1) · 105 Stat. 187

    Substituted · 38 U.S.C. § 7363(a)

    Pub. L. 102–40, § 403(a)(1), substituted “Secretary” for “Administrator” in introductory provisions

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 102–40, § 403(a)(1), substituted “Secretary” for “Administrator” in introductory provisions.

    Enacted provision · exact public law section
    (1) by striking out “Administrator” and “Administrator’s” each place they appear and inserting in lieu thereof “Secretary” and “Secretary’s”, respectively; and

  4. Department of Veterans Affairs Health-Care Personnel Act of 1991

    Pub. L. 102–40 § 403(a)(4) · 105 Stat. 187

    Struck · 38 U.S.C. § 7363(a)(2)

    Pub. L. 102–40, § 403(a)(4), struck out “of this section” after “subsection (c)”

    Source evidence

    Code amendment note
    Subsec. (a)(2). Pub. L. 102–40, § 403(a)(4), struck out “of this section” after “subsection (c)”.

    Enacted provision · exact public law section
    (4) by striking out “of this section” and “of this subsection” each place they appear (other than in subsections (d), (e), and (g) of section 7332 and in section 7333(b)); and

  5. Department of Veterans Affairs Health-Care Personnel Act of 1991

    Pub. L. 102–40 § 403(a)(2) · 105 Stat. 187

    Substituted · 38 U.S.C. § 7363(b)

    Pub. L. 102–40, § 403(a)(2), substituted “Department” for “Veterans’ Administration”

    Source evidence

    Code amendment note
    Subsec. (b). Pub. L. 102–40, § 403(a)(2), substituted “Department” for “Veterans’ Administration”.

    Enacted provision · exact public law section
    (2) by striking out “Veterans’ Administration” each place it appears and inserting in lieu thereof “Department”;

  6. Department of Veterans Affairs Health-Care Personnel Act of 1991

    Pub. L. 102–40 § 403(a)(4) · 105 Stat. 187

    Struck · 38 U.S.C. § 7363(c)

    Pub. L. 102–40, § 403(a)(4), struck out “of this section” after “subsection (a)(2)”

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 102–40, § 403(a)(4), struck out “of this section” after “subsection (a)(2)”.

    Enacted provision · exact public law section
    (4) by striking out “of this section” and “of this subsection” each place they appear (other than in subsections (d), (e), and (g) of section 7332 and in section 7333(b)); and

  7. Department of Veterans Affairs Health-Care Personnel Act of 1991

    Pub. L. 102–40 § 403(a)(2) · 105 Stat. 187

    Substituted · 38 U.S.C. § 7363(c)

    Pub. L. 102–40, § 403(a)(2), substituted “Department” for “Veterans’ Administration”

    Target inherited from the preceding amendment note.

    Source evidence

    Code amendment note
    Pub. L. 102–40, § 403(a)(2), substituted “Department” for “Veterans’ Administration”.

    Enacted provision · exact public law section
    (2) by striking out “Veterans’ Administration” each place it appears and inserting in lieu thereof “Department”;

  8. Veterans’ Medical Programs Amendments of 1992

    Pub. L. 102–405 title III § 302(c)(1) · 106 Stat. 1972

    Substituted · 38 U.S.C. § 7363(b)

    Pub. L. 102–405 substituted “Under Secretary for Health” for “Chief Medical Director”

    Source evidence

    Code amendment note
    Subsec. (b). Pub. L. 102–405 substituted “Under Secretary for Health” for “Chief Medical Director”.

    Enacted provision · exact public law section
    (1) Title 38, United States Code, is amended by striking out “Chief Medical Director” and “Chief Benefits Director” each place they appear (including in headings and tables but not including the sentences added by paragraphs (2) and (3)) and inserting in lieu thereof “Under Secretary for Health” and “Under Secretary for Benefits”, respectively.

  9. Veterans’ Health Care Eligibility Reform Act of 1996

    Pub. L. 104–262 title III § 343(b) · 110 Stat. 3177

    Struck · 38 U.S.C. § 7363(c)

    Pub. L. 104–262 struck out “section 501(c)(3) of” before “the Internal Revenue Code of 1986”

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 104–262 struck out “section 501(c)(3) of” before “the Internal Revenue Code of 1986”.

    Enacted provision · exact public law section
    (b) Clarification of Tax-Exempt Status.— Sections 7361(b) and 7363(c) are amended by striking out “section 501(c)(3) of”.

  10. Veterans Millennium Health Care and Benefits Act

    Pub. L. 106–117 § 204(c)(1) · 113 Stat. 1545

    Substituted · 38 U.S.C. § 7363(a)(1)

    Pub. L. 106–117, § 204(c)(1), substituted “as appropriate, the assistant chief of staff for research for the medical center and the assistant chief of staff for education for the medical center, or, in the case of a facility at which such positions do not exist, those officials who are responsible for carrying out the responsibilities of the medical center director, chief of staff, and, as appropriate, the assistant chief of staff for research and the assistant chief of staff for education; and” for “the assistant chief of staff for research of the medical center; and”

    Source evidence

    Code amendment note
    Subsec. (a)(1). Pub. L. 106–117, § 204(c)(1), substituted “as appropriate, the assistant chief of staff for research for the medical center and the assistant chief of staff for education for the medical center, or, in the case of a facility at which such positions do not exist, those officials who are responsible for carrying out the responsibilities of the medical center director, chief of staff, and, as appropriate, the assistant chief of staff for research and the assistant chief of staff for education; and” for “the assistant chief of staff for research of the medical center; and”.

    Enacted provision · exact public law section
    (1) in subsection (a)(1), by striking all after “medical center, and” and inserting “as appropriate, the assistant chief of staff for research for the medical center and the assistant chief of staff for education for the medical center, or, in the case of a facility at which such positions do not exist, those officials who are responsible for carrying out the responsibilities of the medical center director, chief of staff, and, as appropriate, the assistant chief of staff for research and the assistant chief of staff for education; and”;

  11. Veterans Millennium Health Care and Benefits Act

    Pub. L. 106–117 § 204(c)(2) · 113 Stat. 1545

    Inserted · 38 U.S.C. § 7363(a)(2)

    Pub. L. 106–117, § 204(c)(2), inserted “or education, as appropriate” after “research”

    Source evidence

    Code amendment note
    Subsec. (a)(2). Pub. L. 106–117, § 204(c)(2), inserted “or education, as appropriate” after “research”.

    Enacted provision · exact public law section
    (2) in subsection (a)(2), by inserting “or education, as appropriate” after “research”; and

  12. Veterans Millennium Health Care and Benefits Act

    Pub. L. 106–117 § 204(c)(3) · 113 Stat. 1545

    Inserted · 38 U.S.C. § 7363(c)

    Pub. L. 106–117, § 204(c)(3), inserted “or education” after “research”

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 106–117, § 204(c)(3), inserted “or education” after “research”.

    Enacted provision · exact public law section
    (3) in subsection (c), by inserting “or education” after “research”.

  13. Caregivers and Veterans Omnibus Health Services Act of 2010

    Pub. L. 111–163 § 803(a) · 124 Stat. 1130

    Amended · 38 U.S.C. § 7363(a)(1)

    Pub. L. 111–163, § 803(a), amended par. (1) generally. Prior to amendment, par. (1) read as follows: “the director of the medical center, the chief of staff of the medical center, and as appropriate, the assistant chief of staff for research for the medical center and the assistant chief of staff for education for the medical center, or, in the case of a facility at which such positions do not exist, those officials who are responsible for carrying out the responsibilities of the medical center director, chief of staff, and, as appropriate, the assistant chief of staff for research and the assistant chief of staff for education; and”

    Source evidence

    Code amendment note
    Subsec. (a)(1). Pub. L. 111–163, § 803(a), amended par. (1) generally. Prior to amendment, par. (1) read as follows: “the director of the medical center, the chief of staff of the medical center, and as appropriate, the assistant chief of staff for research for the medical center and the assistant chief of staff for education for the medical center, or, in the case of a facility at which such positions do not exist, those officials who are responsible for carrying out the responsibilities of the medical center director, chief of staff, and, as appropriate, the assistant chief of staff for research and the assistant chief of staff for education; and”.

    Enacted provision · exact public law section
    (a) Requirements for Department Board Members.— Paragraph (1) of section 7363(a) is amended to read as follows: “(1) with respect to the Department medical center— “(A) (i) the director (or directors of each Department medical center, in the case of a multi-medical center research corporation); “(ii) the chief of staff; and “(iii) as appropriate for the activities of such corporation, the associate chief of staff for research and the associate chief of staff for education; or “(B) in the case of a Department medical center at which one or more of the positions referred to in subparagraph (A) do not exist, the official or officials who are responsible for carrying out the responsibilities of such position or positions at the Department medical center; and” .

  14. Caregivers and Veterans Omnibus Health Services Act of 2010

    Pub. L. 111–163 § 803(b) · 124 Stat. 1130

    1. Inserted · 38 U.S.C. § 7363(a)(2)

      Pub. L. 111–163, § 803(b), inserted “not less than two” before “members who are not”

    2. Substituted · 38 U.S.C. § 7363(a)(2)

      Pub. L. 111–163, § 803(b), substituted “and who have backgrounds, or business, legal, financial, medical, or scientific expertise, of benefit to the operations of the corporation.” for “and who are familiar with issues involving medical and scientific research or education, as appropriate.”

    Source evidence

    Code amendment note
    Subsec. (a)(2). Pub. L. 111–163, § 803(b), inserted “not less than two” before “members who are not” and substituted “and who have backgrounds, or business, legal, financial, medical, or scientific expertise, of benefit to the operations of the corporation.” for “and who are familiar with issues involving medical and scientific research or education, as appropriate.”

    Enacted provision · exact public law section
    (b) Requirements for Non-department Board Members.— Paragraph (2) of such section is amended— (1) by inserting “not less than two” before “members”; and (2) by striking “and who” and all that follows through the period at the end and inserting “and who have backgrounds, or business, legal, financial, medical, or scientific expertise, of benefit to the operations of the corporation.”.

  15. Caregivers and Veterans Omnibus Health Services Act of 2010

    Pub. L. 111–163 § 803(c) · 124 Stat. 1130

    Substituted · 38 U.S.C. § 7363(c)

    Pub. L. 111–163, § 803(c), substituted “or employed by” for “, employed by, or have any other financial relationship with”

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 111–163, § 803(c), substituted “or employed by” for “, employed by, or have any other financial relationship with”.

    Enacted provision · exact public law section
    (c) Conflicts of Interest.— Subsection (c) of section 7363 is amended by striking “, employed by, or have any other financial relationship with” and inserting “or employed by”.

16 of 16 references resolved to an enrolled provision

Editorial Notes

References in Text

The Internal Revenue Code of 1986, referred to in subsec. (c), is classified generally to Title 26, Internal Revenue Code.

Amendments1991–2010 · 5 rounds

2010

Subsec. (a)(1). Pub. L. 111–163, § 803(a), amended par. (1) generally. Prior to amendment, par. (1) read as follows: “the director of the medical center, the chief of staff of the medical center, and as appropriate, the assistant chief of staff for research for the medical center and the assistant chief of staff for education for the medical center, or, in the case of a facility at which such positions do not exist, those officials who are responsible for carrying out the responsibilities of the medical center director, chief of staff, and, as appropriate, the assistant chief of staff for research and the assistant chief of staff for education; and”.

Subsec. (a)(2). Pub. L. 111–163, § 803(b), inserted “not less than two” before “members who are not” and substituted “and who have backgrounds, or business, legal, financial, medical, or scientific expertise, of benefit to the operations of the corporation.” for “and who are familiar with issues involving medical and scientific research or education, as appropriate.”

Subsec. (c). Pub. L. 111–163, § 803(c), substituted “or employed by” for “, employed by, or have any other financial relationship with”.

1999

Subsec. (a)(1). Pub. L. 106–117, § 204(c)(1), substituted “as appropriate, the assistant chief of staff for research for the medical center and the assistant chief of staff for education for the medical center, or, in the case of a facility at which such positions do not exist, those officials who are responsible for carrying out the responsibilities of the medical center director, chief of staff, and, as appropriate, the assistant chief of staff for research and the assistant chief of staff for education; and” for “the assistant chief of staff for research of the medical center; and”.

Subsec. (a)(2). Pub. L. 106–117, § 204(c)(2), inserted “or education, as appropriate” after “research”.

Subsec. (c). Pub. L. 106–117, § 204(c)(3), inserted “or education” after “research”.

1996

Subsec. (c). Pub. L. 104–262 struck out “section 501(c)(3) of” before “the Internal Revenue Code of 1986”.

1992

Subsec. (b). Pub. L. 102–405 substituted “Under Secretary for Health” for “Chief Medical Director”.

1991

Pub. L. 102–40, § 401(a)(4)(B), renumbered section 4163 of this title as this section.

Subsec. (a). Pub. L. 102–40, § 403(a)(1), substituted “Secretary” for “Administrator” in introductory provisions.

Subsec. (a)(2). Pub. L. 102–40, § 403(a)(4), struck out “of this section” after “subsection (c)”.

Subsec. (b). Pub. L. 102–40, § 403(a)(2), substituted “Department” for “Veterans’ Administration”.

Subsec. (c). Pub. L. 102–40, § 403(a)(4), struck out “of this section” after “subsection (a)(2)”.

Pub. L. 102–40, § 403(a)(2), substituted “Department” for “Veterans’ Administration”.

Credits

1988–2010 · 6 acts
  1. 1988Added Pub. L. 100–322, title II, § 204(a), , 102 Stat. 510, § 4163
  2. 1991renumbered § 7363 and amended Pub. L. 102–40, title IV, §§ 401(a)(4)(B), 403(a)(1), (2), (4), , 105 Stat. 221, 239
  3. 1992Pub. L. 102–405, title III, § 302(c)(1), , 106 Stat. 1984
  4. 1996Pub. L. 104–262, title III, § 343(b), , 110 Stat. 3207
  5. 1999Pub. L. 106–117, title II, § 204(c), , 113 Stat. 1562
  6. 2010Pub. L. 111–163, title VIII, § 803, , 124 Stat. 1177.
Show as published

(Added Pub. L. 100–322, title II, § 204(a), , 102 Stat. 510, § 4163; renumbered § 7363 and amended Pub. L. 102–40, title IV, §§ 401(a)(4)(B), 403(a)(1), (2), (4), , 105 Stat. 221, 239; Pub. L. 102–405, title III, § 302(c)(1), , 106 Stat. 1984; Pub. L. 104–262, title III, § 343(b), , 110 Stat. 3207; Pub. L. 106–117, title II, § 204(c), , 113 Stat. 1562; Pub. L. 111–163, title VIII, § 803, , 124 Stat. 1177.)

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