Incentive Awards; Pay and Leave Administration

SUMMARY: The Office of Personnel Management (OPM) is issuing final

regulations to incorporate certain incentive awards and pay and leave

administration rules contained in the provisionally retained Federal

Personnel Manual (FPM) material, which expired on December 31, 1994,

into the Code of Federal Regulations (CFR) and to remove certain

recordkeeping and reporting requirements.

DATES: The final rules are effective on July 27, 1995.

FOR FURTHER INFORMATION CONTACT:

Barbara Colchao, (202) 606-2720, concerning questions about the final

regulations for incentive awards in 5 CFR part 451, and Bryce Baker

(202) 606-2858, concerning questions about the final regulations for

pay and leave administration in 5 CFR parts 531, 550, 551, 591, and

630.

SUPPLEMENTARY INFORMATION: On December 28, 1994, OPM published interim

regulations (59 FR 66629) to incorporate a small number of

miscellaneous incentive awards and pay and leave administration

provisions in the provisionally retained FPM, which expired on December

31, 1994, into the CFR.

The rules relate to--

(1) Incentive awards--cash award limitations, documentation of

informal recognition items, and eligible award recipients;

(2) Application of the two-step promotion rule for promotions from

GS-1 and GS-2 positions;

(3) Application of leave without pay towards the completion of

waiting periods for within-grade increases;

(4) Counting travel time as ``hours of work;''

(5) Sunday premium pay for periods of paid leave and excused

absence;

(6) Payments during evacuation;

(7) Back pay computations;

(8) Computing cost-of-living allowances for employees receiving pay

retention; and

(9) Leave for uncommon tours of duty.

These rules did not establish any new requirements, and they

removed the recordkeeping requirements related to waiving the biweekly

pay cap on premium pay and the reporting requirements for payments

during evacuation.

The 60-day comment period ended on February 27, 1995. OPM received

comments from one agency, one employee organization, and one

individual. These comments, as well as certain technical changes in the

final regulations, are summarized below.

Incentive Awards

An agency noted that the former, provisionally retained FPM

material (FPM Chapter 451, Subchapter 3, section 3-2c) encouraging

agencies to establish honorary awards for private citizens was not

incorporated in regulation. The agency asked under what authority

agencies could continue to grant awards to private citizens. Agencies

may grant such awards under agency-specific authorities that would be

appropriate depending on the nature of the contribution to be

recognized. However, awards authorized by chapter 45 of title 5, United

States Code, may be granted only to Federal employees or former Federal

employees for contributions made while in the Federal service. To

clarify that former Federal employees may receive awards authorized by

5 U.S.C. chapter 45 and reflect expired FPM material and statutory

intent, OPM is amending 5 CFR 451.104(f) to include separated

employees, as well as the legal heirs or estates of deceased employees,

as eligible award recipients.

Sunday Premium Pay for Periods of Paid Leave and Excused Absence

An individual commented that part-time employees are not entitled

to Sunday premium pay. OPM agrees. To clarify this, we have revised 5

CFR 550.171 and the definition of Sunday work in 5 CFR 550.103(o). This

clarification is consistent with the information in expired Federal

Personnel Manual Letter 550-79, which stated that part-time employees

and employees who work intermittently are not entitled to premium pay

for Sunday work; it also reflects a Comptroller General opinion

regarding the compensation of part-time employees (46 Comp. Gen. 337

(1966)).

Leave for Uncommon Tours of Duty

An employee organization commented that the manner in which leave

is to be charged to employees on uncommon tours of duty--specifically,

firefighters who work 24-hour shifts--is not clear. In 5 CFR 630.210,

the interim regulation provides agencies with the authority to require

that an employee with an uncommon tour of duty must accrue and use

leave on the basis of that uncommon tour of duty. Leave accrual must be

directly proportional to the leave accrual rates in 5 U.S.C. 6303(a).

Also, leave must be charged on an hour-for-hour basis for each hour of

absence from the uncommon tour of duty. The regulation in 5 CFR 630.210

does not change the methodology for charging leave to employees on

uncommon tours of duty that was previously published in the Federal

Personnel Manual.

A firefighter whose leave is administered on the basis of a 144-

hour biweekly tour of duty, and who has 15 or more years of service,

accrues 374 hours of annual leave over a period of 26 biweekly pay

periods (25 pay periods times 14 hours, plus 1 pay period times 24

hours), which equals 10 percent of the number of hours in 26 biweekly

pay periods (3,744 hours). Similarly, an employee whose leave is

administered on the basis of an 80-hour biweekly tour of duty, and who

has 15 or more years of service, accrues 208 hours of annual leave over

a period of 26 biweekly pay periods (26 pay periods times 8 hours),

which also equals 10 percent of the number of hours in 26 biweekly pay

periods (2,080 hours). This proportional relationship between the

annual leave [[Page 33098]] accrual rates of the affected employees

ensures equitable treatment.

In the interim regulations, section 630.210(a) states that ``[o]ne

hour (or appropriate fraction thereof) of leave shall be charged for

each hour (or appropriate fraction thereof) of absence from the

uncommon tour of duty.'' Since the leave accrual rates for firefighters

on uncommon tours of duty have been adjusted to fully reflect their

longer work schedule, an hour-for-hour charging methodology is

necessary to maintain an equitable relationship with other employees.

When an employee with 15 or more years of service who works 80 hours

per day period takes 1 week of annual leave, the employee is charged 40

hours, or about 19 percent of the leave accrued in 1 year. Similarly,

when a firefighter with 15 or more years of service who works 144 hours

per pay period takes 1 week of annual leave, the employee is charged 72

hours, or about 19 percent of the leave accrued in 1 year. OPM believes

the manner in which leave must be charged for employees on uncommon

tours of duty was clearly stated in the interim regulation. Therefore,

no change has been made in this provision of the final regulations.

Miscellaneous Amendments

The authority cited in 5 CFR 531.401(c) for within-grade increase

purposes is being revised to give the correct citation. (The Executive

order previously cited has been revoked.) The definition of acceptable

level of competence in 5 CFR 531.403, for within-grade increase

purposes, is being revised to refer to the next higher rate within the

grade, as well as the next higher step of the grade, in order to

address the situation of GM employees, whose rates of basic pay are

between General Schedule step rates.

Regulatory Flexibility Act

I certify that these regulations will not have a significant

economic impact on a substantial number of small entities because they

will affect only Federal employees and agencies.

List of Subjects in 5 CFR Parts 451, 531, 550, 551 and 630

Administrative practice and procedure, Claims, Decorations, medals,

awards, Government employees, Law enforcement officers, Travel and

transportation expenses, Wages.

U.S. Office of Personnel Management.

James B. King,

Director.

Accordingly, the interim rule amending parts 451, 531, 550, 551,

591, and 630 of title 5 of the Code of Federal Regulations, which was

published at 59 FR 66629 on December 28, 1994, is adopted as final with

the following changes:

PART 451--INCENTIVE AWARDS

1. The authority citation for part 451 continues to read as

follows:

Authority: 5 U.S.C. 4501-4507.

2. In Sec. 451.104, paragraph (f) is revised to read as follows:

Sec. 451.104 Policy.

* * * * *

(f) An award under this subpart may be granted to a separated

employee or the legal heir(s) or estate of a deceased employee.

* * * * *

PART 531--PAY UNDER THE GENERAL SCHEDULE

3. The authority citation for part 531 is revised to read as

follows:

Authority: 5 U.S.C. 5115, 5307, and 5338; sec. 4 of Pub. L. 103-

89, 107 Stat. 981; and E.O. 12748, 56 FR 4521, 3 CFR 1991 Comp., p.

316;

Subpart A also issued under 5 U.S.C. 5304, 5305, and 5553; section

302 of the Federal Employees Pay Comparability Act of 1990 (FEPCA),

Pub. L. 101-509, 104 Stat. 1462; and E.O. 12786, 56 FR 67453, 3 CFR,

1991 Comp., p. 376;

Subpart B also issued under 5 U.S.C. 5303(g), 5333, 5334(a), and

7701(b)(2);

Subpart C also issued under 5 U.S.C. 5304, 5305, and 5553; sections

302 and 404 of FEPCA, Pub. L. 101-509, 104 Stat. 1462 and 1466; and

section 3(7) of Pub. L. 102-378, 106 Stat. 1356;

Subpart D also issued under 5 U.S.C. 5335(g) and 7701(b)(2);

Subpart E also issued under 5 U.S.C. 5336;

Subpart F also issued under 5 U.S.C. 5304, 5305(g)(1), and 5553;

and E.O. 12883, 58 FR 63281, 3 CFR 1993 Comp., p. 682.

Subpart D--Within-Grade Increases

4. In Sec. 531.401, paragraph (c) is revised to read as follows:

Sec. 531.401 Principal authorities.

* * * * *

(c) Section 5338 of title 5, United States Code, provides that

``The Office of Personnel Management may prescribe regulations

necessary for the administration'' of General Schedule pay rates,

including within-grade increases.

* * * * *

5. In Sec. 531.403, the definition of acceptable level of

competence is revised to read as follows:

Sec. 531.403 Definitions.

* * * * *

Acceptable level of competence means fully successful performance

by an employee of the duties and responsibilities of his or her

assigned position that warrants advancement of the employee's rate of

basic pay to the next higher step of the grade or the next higher rate

within the grade (as defined in this section) of his or her position,

subject to the requirements of Sec. 531.404 of this subpart.

* * * * *

PART 550--PAY ADMINISTRATION (GENERAL)

Subpart A--Premium Pay

6. The authority citation for part 550, subpart A, is revised to

read as follows:

Authority: 5 U.S.C. 5304 note, 5305 note, 5541(2)(iv), 5548, and

6101(c); E.O. 12748, 3 CFR 1991 Comp., p. 316.

7. In Sec. 550.103, paragraph (o) is revised to read as follows:

Sec. 550.103 Definitions.

* * * * *

(o) Sunday work means nonovertime work performed by a full-time

employee during a regularly scheduled daily tour of duty when any part

of that daily tour of duty is on a Sunday. For any such tour of duty,

not more than 8 hours of work are Sunday work, unless the employee is

on a compressed work schedule, in which case the entire regularly

scheduled daily tour of duty constitutes Sunday work.

* * * * *

8. Section 550.171 is revised to read as follows:

Sec. 550.171 Authorization of pay for Sunday work.

A full-time employee is entitled to pay at his or her rate of basic

pay plus premium pay at a rate equal to 25 percent of his or her rate

of basic pay for each hour of Sunday work (as defined in

Sec. 550.103(o)) and each hour that would be Sunday work but for the

placement of the employee in paid leave or excused absence status.

[FR Doc. 95-15534 Filed 6-26-95; 8:45 am]

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