Amendment to Labor-HHS spending bill would block use of ratings.
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Measure also would require DHS to create a program for transferring to the private sector terrorism and disaster response technology developed with federal funding.
Industry officials predict December deadline could be tough even for swiftest agencies.
Bill specifically includes Defense, Homeland Security employees in the increase.
Recent polls show John McCain as a favorite for the Republican presidential nomination in 2008, and Hillary Clinton as the leading Democrat.
More than 1,400 of the Defense Information Systems Agency's 5,000 employees now qualify to work away from the office.
Prosecution paints defendant as advancing lobbyist Jack Abramoff’s interests over the public’s; former procurement chief will appeal if found guilty on all counts.
Industry says proposed provisions are onerous and duplicative, while environmental and labor groups say they don’t go far enough.
Legislation introduced by Sen. George Voinovich, R-Ohio, requires beefed-up performance reviews, but stops short of fully linking raises to ratings.