Fellowship and Similar Appointments in the Excepted Service

OFFICE OF PERSONNEL MANAGEMENT

5 CFR Part 213

RIN 3206-AH91

Fellowship and Similar Appointments in the Excepted Service

AGENCY: Office of Personnel Management.

ACTION: Proposed rulemaking.

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SUMMARY: The Office of Personnel Management (OPM) proposes to

consolidate single-agency excepted service authorities for filling

positions associated with fellowships, internships, residencies,

student-stipend, and similar programs by establishing two

Governmentwide authorities in their place. This will reduce the number

of appointing authorities. One authority would cover fellowship-type

programs, while the other would apply to student employees who are paid

stipends under special statutory provisions.

DATES: Comments must be received on or before September 10, 1997.

ADDRESSES: Send or deliver written comments to Mary Lou Lindholm,

Associate Director for Employment, Office of Personnel Management, Room

6F08, 1900 E Street NW., Washington, DC 20415.

FOR FURTHER INFORMATION CONTACT: Sylvia Cole on (202) 606-0830, TDD

(202) 606-0023, or FAX (202) 606-2329.

SUPPLEMENTARY INFORMATION: In OPM's continuing efforts to simplify the

Federal appointment system, we are reducing the overall number of

excepted service authorities. As part of this initiative we are

reviewing all appointing authorities that were established to meet

specific agency needs, to determine if exception is still appropriate.

Where it is, we hope to identify the situations where individual agency

authorities share enough of a common basis that they could be

consolidated into a single Governmentwide appointing authority that

would apply to all agencies.

Fellowship and Similar Programs

Over the years OPM has granted numerous excepted authorities to

individual agencies to cover a variety of fellowship, internship and

similar programs. These regulations propose a consolidated Schedule A

authority for these types of programs. Positions are placed in Schedule

A when it is impracticable to examine for them.

The term ``fellowship'' covers a variety of non-permanent

employment situations, usually associated with specific programs. They

can be in the form of internship or training programs that provide

developmental work opportunities and learning experiences to

individuals who have completed their education, for instance in the

area of science and engineering. Many are at the postgraduate or

postdoctoral level, though they can occur at any level. Other programs

are designed to increase the pool of candidates in a particular

specialty for all employers, not just the Federal Government, such as

in health care, or to bring highly specialized private sector expertise

to an agency.

They can also be in the form of industry exchange programs that are

intended to foster mutual understanding and cooperation between an

agency and its customer group, or a particular profession, such as

public accounting. They are designed to give program participants a

better understanding of how Federal policies are formulated, while

they, in turn, bring new ideas and perspectives from outside government

to the agency. Some programs provide scholarships or other educational

assistance to individuals and, in turn, require a period of obligated

service with the Federal Government.

All these programs operate under specific parameters set by the

employing agency or a non-Federal entity, such as a professional

association. Most fellowship-type appointments last from one to three

years and are not usually intended to recruit candidates for permanent

Federal employment. We are proposing a 4-year employment limit to cover

the occasional program that has unique requirements and any unforeseen

agency needs.

None of the above employment situations is covered under an

existing Governmentwide excepted authority. While agencies have

available to them appointing authorities for students, they do not

cover individuals who have completed their education. The existing

Presidential Management Intern Program, established by Executive order,

is also very narrow in scope and not compatible with the multitude of

fellowship-type situations that exist in agencies.

OPM finds that it is impracticable to examine for fellowship and

similar programs because they represent non-traditional employment

situations. There is no open competition because only applicants from

targeted academic or professional disciplines are considered for the

positions, and they must meet previously agreed upon qualification

criteria. Often they are ranked and recommended by a third party, such

as a non-Federal organization. Other times selections are based solely

on a candidate's interest in the agency's programs.

The proposed appointing authority will cover a small but important

employment need of agencies that have unique fellowship and similar

programs. It is designed to encompass existing programs that currently

operate under individual agency appointing authorities.

Student-Stipend Programs

Under 5 U.S.C. 5351-5356, agencies may pay stipends and provide

certain services to student-employees assigned or attached to

Government hospitals, clinics or medical or dental laboratories. These

positions are excluded from the provisions of law relating to

classification and General Schedule pay. We propose to establish a

separate Schedule A authority for these positions because of their

unique compensation and classification aspects.

As with the fellowship positions, numerous single-agency

authorities have been established for student-stipend programs. The

positions typically covered by these programs include student practical

nurses, student dental assistants, medical interns, and student

pharmacists, which are located in agencies operating hospitals,

clinics, medical centers or laboratories. The programs usually provide

training opportunities or clinical experiences to students from an

academic institution, or to residents from a non-Federal hospital.

[[Page 42944]]

It is impracticable to examine for positions associated with

student-stipend programs because position incumbents are selected by

the school where they are enrolled. When a non-Federal organization

controls the selection process, there is no examination by a Federal

agency.

Conforming Amendment

In 5 CFR 213.104, positions filled under single-agency authorities

for fellowship and related programs are exempt from the service limits

for making temporary appointments and the refilling of these positions

by temporary appointment. We are adding the new appointing authorities

to the list of exceptions cited in 5 CFR 213.104(b)(3)(ii).

Regulatory Flexibility Act

I certify that these regulations will not have a significant

economic impact on a substantial number of small entities (including

small businesses, small organizational units, and small governmental

jurisdictions) because the regulations apply only to appointment

procedures used to appoint certain employees in Federal agencies.

List of Subjects in 5 CFR Part 213

Government employees, Reporting and recordkeeping requirements.

James B. King,

Director, Office of Personnel Management.

Accordingly, OPM proposes to amend 5 CFR part 213 as follows:

PART 213--EXCEPTED SERVICE

1. The authority citation for part 213 continues to read as

follows:

Authority: 5 U.S.C. 3301 and 3302, E.O. 10577, 3 CFR 1954-1958

Comp., p. 218; Sec. 213.101 also issued under 5 U.S.C. 2103;

Sec. 213.3102 also issued under 5 U.S.C. 3301, 3302, 3307, 8337(h)

and 8456; E.O. 12364, 47 FR 22931, 3 CFR 1982 Comp., p. 185; and 38

U.S.C. 4301 et seq.

2. In Sec. 213.104 paragraph (b)(3)(ii) is revised to read as

follows:

Sec. 213.104 Special provisions for temporary, intermittent, or

seasonal appointments in Schedule A, B, or C.

* * * * *

(b) * * *

(3) * * *

(ii) Positions are filled under an authority established for the

purpose of enabling the appointees to continue or enhance their

education, or to meet academic or professional qualification

requirements. These include the authorities set out in paragraphs (r)

and (s) of Sec. 213.3102 and paragraph (c) of Sec. 213.3202, and

authorities granted to individual agencies for use in connection with

internship, fellowship, residency, or student programs.

* * * * *

3. In Sec. 213.3102, paragraphs (r) and (s) are added to read as

follows:

Sec. 213.3102 Entire executive civil service.

* * * * *

(r) Positions established in support of fellowship and similar

programs that are filled from limited applicant pools and operate under

specific criteria developed by the employing agency and/or a non-

Federal organization. These programs may include: internship or

fellowship programs that provide developmental or professional

experiences to individuals who have completed their formal education;

training and associateship programs designed to increase the pool of

qualified candidates in a particular occupational specialty;

professional/industry exchange programs that provide for a cross-

fertilization between the agency and the private sector to foster

mutual understanding, an exchange of ideas, or to bring experienced

practitioners to the agency; residency programs through which

participants gain experience in a Federal clinical environment; and

programs that require a period of Government service in exchange for

educational, financial or other assistance. Appointments under this

authority may not exceed 4 years.

(s) Positions with compensation fixed under 5 U.S.C. 5351-5356 when

filled by student-employees assigned or attached to Government

hospitals, clinics or medical or dental laboratories. Employment under

this authority may not exceed 4 years.

* * * * *

[FR Doc. 97-21048 Filed 8-8-97; 8:45 am]

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