Summary: The Civil Service Commission (CSC) presently serves as both the protector of employee rights and the promoter of efficient personnel management policy. The proposed Civil Service reorganization divides those two roles between two separate agencies, the Merit Systems Protection Board and the Office of Personnel Management. The Office of Personnel Management would develop personnel policies, provide personnel leadership to agencies, and administer central personnel programs. S. 2640 would provide additional legislative authority for these two agencies. The reorganization plan would also create a Federal Labor Relations Authority which would consolidate the third-party function in the Federal labor-management relations program. CSC's current equal employment oportunity and discrimination complaint authority would be transferred to the Equal Employment Opportunity Commission. The legislation proposes changes to: performance appraisals, adverse action appeals, veterans preference, retirement, selection methods, management and compensation of senior executives, merit pay, and personnel research. A matter of concern is the proposed language pertaining to GAO's role in auditing personnel practices and policies.