Sec. 411. Market data for cost-of-living adjustments
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Not later than 180 days after the date of the enactment of this Act, the Secretary shall submit to the appropriate congressional committees a report that examines the feasibility and cost effectiveness of using private sector market data to determine cost of living adjustments for Foreign Service officers and Federal Government civilians who are stationed abroad. The report required under subsection
(a)shall include— a list of at least four private sector providers of international cost-of-living data that the Secretary determines are qualified to provide such data; a list of cities in which the Department maintains diplomatic posts for which private sector cost-of-living data is not available; a comparison of— the cost of purchasing cost-of-living data from each provider listed in paragraph (1); and the cost (including Department labor costs) of producing such rates internally; and for countries in which the Department provides a cost-of-living allowance greater than zero and the World Bank estimates that the national price level of the country is less than the national price level of the United States, a comparison of cost-of-living allowances, excluding housing costs, of the private sector providers referred to in paragraph
(1)to rates constructed by the Department’s Office of Allowances. If the Secretary determines that compliance with subsection (b)(4) at a particular location is cost-prohibitive, the Secretary may waive the requirement under such subsection for such location if the Secretary submits to the appropriate congressional committees written notice and an explanation of the reasons for such waiver.