Notice2022-22470
Personnel Demonstration Project at the Army Futures Command Science and Technology Reinvention Laboratory (STRL)
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Published
October 17, 2022
Issuing agencies
Defense Department
Abstract
This serves as notice of the proposed adoption of STRL personnel demonstration project flexibilities by an STRL comprised of certain organizations within the U.S. Army Futures Command (AFC), known collectively as the AFC STRL. The organizations comprising the AFC STRL are: the U.S. Army Futures Command Headquarters and Headquarters Components (AFC HHC); the Futures and Concepts Center (FCC); Cross Functional Teams (CFTs); The Research and Analysis Center (TRAC); the Combat Capabilities Development Command (CCDC) Headquarters (also known as DEVCOM Headquarters); and the DEVCOM Analysis Center (DAC). The AFC STRL proposes to adopt, with some modifications, personnel demonstration project flexibilities implemented by the Combat Capabilities Development Command (CCDC) Army Research Laboratory (ARL); CCDC Command, Control, Communications, Computers, Cyber, Intelligence, Surveillance, and Reconnaissance Center (C5ISR); the Army Research Institute for the Behavioral and Social Sciences (ARI); the CCDC Armament Center (AC); the Technical Center (TC), U.S. Army Space and Missile Defense Command (USASMDC); and the Joint Warfare Analysis Center (JWAC). Most flexibilities and administrative procedures are adopted without changes. However, modifications were made when necessary to address specific management and workforce needs. In addition, changes were made based on current law, best practices, and administrative guidance.
Full Text
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[Federal Register Volume 87, Number 199 (Monday, October 17, 2022)]
[Notices]
[Pages 62801-62832]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-22470]
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DEPARTMENT OF DEFENSE
Office of the Secretary
[Docket ID: DoD-2022-OS-0117]
Personnel Demonstration Project at the Army Futures Command
Science and Technology Reinvention Laboratory (STRL)
AGENCY: Under Secretary of Defense for Research and Engineering
(USD(R&E)), Department of Defense (DoD).
ACTION: Notice of proposal to adopt a STRL personnel management
demonstration project plan and additional flexibilities.
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SUMMARY: This serves as notice of the proposed adoption of STRL
personnel demonstration project flexibilities by an STRL comprised of
certain organizations within the U.S. Army Futures Command (AFC), known
collectively as the AFC STRL. The organizations comprising the AFC STRL
are: the U.S. Army Futures Command Headquarters and Headquarters
Components (AFC HHC); the Futures and Concepts Center (FCC); Cross
Functional Teams (CFTs); The Research and Analysis Center (TRAC); the
Combat Capabilities Development Command (CCDC) Headquarters (also known
as DEVCOM Headquarters); and the DEVCOM Analysis Center (DAC). The AFC
STRL proposes to adopt, with some modifications, personnel
demonstration project flexibilities implemented by the Combat
Capabilities Development Command (CCDC) Army Research Laboratory (ARL);
CCDC Command, Control, Communications, Computers, Cyber, Intelligence,
Surveillance, and Reconnaissance Center (C5ISR); the Army Research
Institute for the Behavioral and Social Sciences (ARI); the CCDC
Armament Center (AC); the Technical Center (TC), U.S. Army Space and
Missile Defense Command (USASMDC); and the Joint Warfare Analysis
Center (JWAC). Most flexibilities and administrative procedures are
adopted without changes. However, modifications were made when
necessary to address specific management and workforce needs. In
addition, changes were made based on current law, best practices, and
administrative guidance.
DATES: This proposal may not be implemented until a 30-day comment
period is provided, comments addressed, and a final Federal Register
notice published. To be considered, written comments must be submitted
on or before November 16, 2022.
ADDRESSES: You may submit comments, identified by docket number and
title, by any of the following methods:
Federal eRulemaking Portal: <a href="http://www.regulations.gov">http://www.regulations.gov</a>. Follow the
instructions for submitting comments.
Mail: Department of Defense, Office of the Assistant to the
Secretary of Defense for Privacy, Civil Liberties, and Transparency,
Regulatory Directorate, 4800 Mark Center Drive, Attn: Mailbox 24, Suite
08D09, Alexandria, VA 22350-1700.
Instructions: All submissions must include the agency name, docket
number and title for this Federal Register document. The general policy
for comments and other submissions from members of the public is to
make these submissions available for public viewing on the internet at
<a href="http://www.regulations.gov">http://www.regulations.gov</a> as they are received without change,
including any personal identifiers or contact information.
FOR FURTHER INFORMATION CONTACT: <bullet> AFC STRL: Marlowe Richmond,
(512) 726-4397, <a href="/cdn-cgi/l/email-protection#066b67746a69716328746f656e6b69686228656f704667746b7f286b6f6a"><span class="__cf_email__" data-cfemail="c1aca0b3adaeb6a4efb3a8a2a9acaeafa5efa2a8b781a0b3acb8efaca8ad">[email protected]</span></a>.
<bullet> Office of Under Secretary of Defense (Research and
Engineering), DoD Laboratories, Federally Funded Research and
Development Centers and University Affiliated Research Center Office:
Dr. James B. Petro, (571) 286-6265, <a href="/cdn-cgi/l/email-protection#1379727e76603d713d637667617c3d707a65537e727a7f3d7e7a7f"><span class="__cf_email__" data-cfemail="5b313a363e287539752b3e2f29347538322d1b363a323775363237">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION: As authorized by 10 United States Code
(U.S.C.) 4121, the Secretary of Defense may carry out personnel
demonstration projects at Department of Defense laboratories designated
as DoD STRL. On May 13, 2021, certain elements of Army Futures Command
(AFC) were designated as a single Science and Technology Reinvention
Laboratory (STRL), known as the AFC STRL. The AFC STRL will administer
a single personnel demonstration project, hereinafter referred to as
the ``Modernization Personnel Demonstration Project'' or ``Mod Demo,''
for these AFC organizations: the AFC Headquarters and Headquarters
Components, the Futures and Concepts Center, Cross-Functional Teams
(CFTs), the Research and Analysis Center, and the U.S. Army Combat
Capabilities Development Command (DEVCOM) Headquarters offices. In
addition, the DEVCOM Data and Analysis Center (DAC), which is partially
aligned with the Army Research Laboratory STRL, will be realigned, in
its entirety, as part of the AFC STRL. The remaining organizations
within AFC will continue to operate as independent STRLs under their
own personnel demonstration project authorities.
Through the USD(R&E), the Secretary exercises the authorities
granted to the Office of Personnel Management (OPM) under 5 U.S.C. 4703
to conduct personnel demonstration projects at DoD laboratories
designated as STRLs. All STRLs authorized pursuant to 10 U.S.C. 4121
may use the provisions described in this FRN. STRLs implementing these
flexibilities must have an approved personnel demonstration project
plan published in an FRN and must fulfill any collective bargaining
obligations. Each STRL will establish internal operating procedures
(IOPs) as appropriate.
1. Background
Many studies have been conducted since 1966 on the workforce
quality of the laboratories and associated personnel. Most of the
studies recommended improvements in civilian personnel policy,
organization, and management. Pursuant to the authority provided in 10
U.S.C. 4121, several DoD STRL personnel demonstration projects have
been implemented. The demonstration projects are ``generally similar in
nature'' to the Department of Navy's China Lake Personnel Demonstration
Project. The terminology, ``generally similar in nature,'' does not
imply an emulation of various features, but, rather, it implies a
similar opportunity and authority to develop personnel flexibilities
that significantly increase the decision authority of laboratory
commanders and/or directors.
With the assistance of other DoD STRLs, to include the independent
STRLs within AFC, and experts from across DoD, the AFC STRL operational
planning team conducted a thorough review of STRL personnel practices,
laws, regulations, and guidance to identify potential flexibilities
that would allow the AFC STRL to create a contemporary, flexible
personnel management system to attract, motivate, train, and retain a
top-performing science, technology, and modernization workforce. In
addition to existing flexibilities available to all DoD STRL, new
flexibilities and modifications are being proposed for MoD Demo
following study and analysis by the AFC STRL operational planning team.
Although the organizations comprising the AFC STRL are components
of the umbrella AFC organization that is responsible for modernizing
the Army, the varied composition of the AFC STRL modernization
workforce, including headquarters personnel, analysts,
[[Page 62802]]
integrators, technology and concept creators, and traditional Science &
Technology (S&T) innovators, requires significant personnel management
flexibility. As a result, the proposed AFC STRL Mod Demo plan
incorporates multiple IOPs, decentralized lines of authority, and new
flexibilities adapted from other STRL demonstration projects.
The AFC STRL Mod Demo plan includes:
(1) Changes to appointment authorities, hiring rules, and
qualification standards;
(2) Changes to pay setting rules and regulations;
(3) Pay banding and simplified job classification;
(4) Science, Technology, Engineering, and Mathematics (STEM)
Student Employment Program (SSEP) and Accelerated Intern Compensation;
(5) Sabbaticals;
(6) Substitution for the Defense Performance Management and
Appraisal Program (DPMAP);
(7) Academic degree, certificate, and critical skills training;
(8) Senior Scientific Technical Manager (SSTM) positions;
(9) Changes to workforce shaping rules, such as Reduction-in-Force
(RIF), Voluntary Early Retirement Authority (VERA), and Voluntary
Separation Incentive Program (VSIP);
(10) Voluntary Emeritus and Expert Program;
(11) Improved incentives; and
(12) Extended Probationary Periods.
Many aspects of a demonstration project are experimental.
Modifications may be made from time to time as experience is gained,
results analyzed, and conclusions reached on how the system is working,
in accordance with the provisions of Department of Defense Instruction
(DoDI) 3201.05, ``Management of Science and Technology Reinvention
Laboratory Personnel Demonstration Projects'' (available at <a href="https://www.esd.whs.mil/Portals/54/Documents/DD/issuances/dodi/320105p.PDF?ver=e_ePssSOULpXxcH2PcRhwA%3d%3d">https://www.esd.whs.mil/Portals/54/Documents/DD/issuances/dodi/320105p.PDF?ver=e_ePssSOULpXxcH2PcRhwA%3d%3d</a>).
2. Overview
The AFC STRL will adopt flexibilities implemented by the following
STRL Personnel Demonstration Project plans: CCDC AC, 76 FR 3744,
January 20, 2011; ARI, 85 FR 76038, November 27, 2020; CCDC ARL, 63 FR
10680, March 4, 1998; CCDC C5ISR, 66 FR 54872, October 30, 2001; JWAC,
85 FR 29414, May 15, 2020; and USASMDC-TC, 85 FR 3339, January 21,
2020.
Adoption of STRL personnel demonstration project flexibilities will
enable the AFC STRL to achieve the best workforce for its modernization
mission, adjust the workforce for change, improve workforce quality,
and allow the AFC STRL to acquire and retain an enthusiastic,
innovative, and highly educated and trained workforce for Army
modernization. The purpose of the project is to demonstrate that the
effectiveness of DoD organizations can be enhanced by allowing greater
managerial control over personnel functions and, at the same time,
expand the opportunities available to employees through a more
responsive and flexible personnel system. Additionally, because AFC
STRL component organizations are geographically dispersed to highly
competitive recruitment areas, implementation of the AFC STRL Mod Demo
is essential to competitively hire and retain a highly qualified
workforce.
3. Access to Flexibilities of Other STRLs
Flexibilities published in this FRN will be available for use by
DoD laboratories designated as STRLs pursuant to 10 U.S.C. 4121,
including any newly designated STRLs, if they wish to adopt them in
accordance with DoDI 3201.05, and after the fulfillment of any
collective bargaining obligations.
Table of Contents
I. Executive Summary
II. Introduction
A. Purpose
B. Problems With the Present System
C. Changes Required/Expected Benefits
D. Participating Organizations
E. Participating Employees and Union Representation
F. Project Design
G. Personnel Management Board (PMB)
H. Organizational Structure and Design
I. Funding Levels
III. Personnel System Changes
A. Levels of Authority and Responsibility
B. Pay Banding
C. Classification
D. Pay-for-Performance Management System
E. Hiring and Appointment Authorities
F. Volunteer Emeritus and Expert Program (VEP)
G. Internal Placement
H. Pay Setting
I. Employee Development
J. VERA and VSIP
IV. Conversion
A. Conversion Into the Demonstration Project
B. Conversion or Movement From a Project Position to a General
Schedule Position
V. Implementation Training
VI. Project Maintenance and Changes
VII. Evaluation Plan
A. Overview
B. Evaluation Model
C. Method of Data Collection
VIII. Demonstration Project Costs
IX. Required Waivers to Laws and Regulations
A. Waivers to Title 5, United States Code
B. Waivers to Title 5, Code of Federal Regulations
Appendix A: Occupational Series by Career Path
Appendix B: List of Local Unions
I. Executive Summary
AFC leads a continuous transformation of Army modernization in
order to provide future warfighters with the concepts, capabilities,
and organizational structures they need to dominate a future
battlefield. AFC is the newest Army Command, established in 2018 when
the Army consolidated many of its laboratories, concepts development
centers, and innovation elements under one command structure.
Although the organizations comprising the AFC STRL share the same
overarching modernization mission, their specific alignments,
structures, and workforces differ dramatically. The organizations
include two large headquarters elements, two analysis centers, multiple
cross functional teams, and two concepts and capabilities development
organizations. They all share the urgent need for a high-quality,
contemporary, flexible personnel management system to attract,
motivate, train, and retain a top-performing science, technology, and
modernization workforce.
The goal of the AFC STRL Mod Demo is to make AFC STRL a premier
employer with growth opportunities, competitive pay, and management
flexibilities to take care of both employees and the mission. The AFC
STRL Mod Demo features pay banding, performance-based compensation,
flexible hiring, and a modern approach to career progression and
assignments.
II. Introduction
A. Purpose
The purpose of STRL personnel demonstration projects is to
demonstrate that the effectiveness of DoD STRLs can be enhanced by
expanding opportunities available to employees and by allowing greater
managerial control over personnel functions through a more responsive
and flexible personnel system. A top-tier workforce is essential to the
AFC STRL's efforts towards achieving technological innovation and
modernization for the Army. AFC STRL needs a contemporary, flexible
personnel management system to attract, motivate, train, and retain a
top-performing science, technology, and modernization workforce. The
goal of this project is to ensure AFC STRL remains a premiere employer
with growth opportunities, appropriate pay,
[[Page 62803]]
and management flexibility to take care of both employees and the
mission.
While many aspects of a demonstration project were once considered
experimental, many have been implemented in various DoD laboratories
for several years, to include other STRLs within AFC. Modifications to
the initial project plans have been made based on the implementation
experience of these laboratories, best practices, and formative
evaluation efforts. Additional modifications may be needed from time to
time, as additional experience is gained and based on evaluations of
how the system is working to meet the goals and objectives of the
personnel demonstration project.
B. Problems With the Present System
The current Civil Service General Schedule (GS) system has 15
grades with 10 levels each and involves lengthy, narrative, individual
position descriptions, which must be classified by complex Title 5
classification standards. Base pay is set at one of those fifteen
grades and the ten interim steps within each grade. The Classification
Act of 1949 rigidly defines types of work by occupational series and
grade, with very precise qualifications for each job. This system does
not quickly or easily respond to new ways of designing work and changes
in the work itself. Changes to the classification and pay system would
enable greater management control to create new types of jobs that
respond to the fast-changing world of modernization work in which AFC
STRL is engaged.
In addition to classification issues, the GS system's approach to
career flexibility, progression, and changing work assignments is
rigid, slow, and designed for industrial-era employees who entered
Civil Service and remained until retirement. Modern employees expect
careers that include frequent company changes, new challenges, and
work-life balance fluctuations that do not require staying with a
single employer. Allowing employees to move in and out of Civil Service
while minimizing career impact would give AFC STRL access to an
additional pool of scientists, engineers, and technical personnel, even
when they have changing life circumstances. It would also increase
information exchange between AFC STRL and industry.
The speed with which new science, technology, and engineering
concepts emerge demands the ability to quickly re-shape work
assignments, re-train employees, and maximize the potential of the
existing workforce. Internal reassignments and promotions under the GS
system are also rigid, and limitations on training further hamper
efforts to respond to the rapid changes in the modernization mission.
C. Changes Required/Expected Benefits
The primary benefit expected from this demonstration project is
greater organizational effectiveness through increased employee
satisfaction. The long-standing Department of the Navy ``China Lake''
and subsequent demonstration projects have produced impressive
statistics on increased job satisfaction and quality of employees
versus that of the Federal workforce in general. Similar results have
been demonstrated in more recent STRL demonstration projects and other
alternative personnel systems implemented in the DoD and other
agencies.
This project will demonstrate that a human resource system tailored
to the mission and needs of the modernization workforce will
facilitate:
(1) Increased quality in the workforce;
(2) More effective, efficient, and adaptable organizational
systems;
(3) Improved timeliness of key personnel processes;
(4) Increased retention of excellent performers;
(5) Increased success in recruitment of personnel with critical
skills;
(6) Increased information exchange between AFC STRL and industry;
(7) Increased permeability between Civil Service and industry; and
(8) Increased workforce satisfaction and engagement.
D. Participating Organizations
AFC STRL currently has employees located in twenty-one states and
several countries. Just over half are spread across Aberdeen Proving
Ground (Maryland), Austin (Texas), and White Sands Missile Range (New
Mexico), with most of the remaining employees in Kansas, Virginia,
Oklahoma, Georgia, Missouri, Alabama, Michigan, and other parts of
Texas.
AFC STRL is a comprised of multiple AFC organizations; the
remaining AFC organizations are covered by independent STRL personnel
demonstration projects. The AFC STRL is comprised of the organizations
listed below (hereinafter referred to as ``AFC STRL organizations,''
and their components.
(1) AFC Headquarters and Headquarters Components (AFC HHC), which
includes AFC Headquarters (HQ), AFC Support Battalion (AFCSB), Software
Factory (SWF), Artificial Intelligence Integration Center (AI2C), Army
Applications Lab (AAL), and Acquisition & Systems (A&S) Directorate.
(2) AFC Cross Functional Teams (AFC CFTs), which includes Long
Range Precision Fires (LRPF CFT); Next Generation Combat Vehicle (NGCV
CFT); Future Vertical Lift (FVL CFT); Network (NW CFT); Assured
Positioning, Navigation and Timing/Space (APNT/S CFT); Air and Missile
Defense (AMD CFT); Soldier Lethality (SL CFT); and Synthetic Training
Environment (STE CFT).
(3) The Research and Analysis Center (TRAC).
(4) Futures and Concepts Center (FCC), which includes Joint
Modernization Command (JMC) and the Capability Development Integration
Directorates (CDIDs).
(5) Combat Capabilities Development Command (CCDC) Headquarters
(also known as DEVCOM Headquarters).
(6) The DEVCOM Analysis Center (DAC).
E. Participating Employees and Union Representation
This demonstration project will cover civilian employees appointed
under title 5 U.S.C. in the occupations listed in appendix A.
Additional employees and other occupations may be added after
implementation of the project. The project plan does not cover members
of the Senior Executive Service (SES), Senior Level (SL) employees,
Scientific and Professional (ST) employees, Federal Wage System (FWS)
employees, and employees presently covered by the Defense Civilian
Intelligence Personnel System (DCIPS) or Physicians and Dentists Pay
Plan (PDPP).
Department of the Army (DA), Army Command centrally funded, local
interns, and Pathways Program employees may be converted to the
demonstration project if assigned to an AFC STRL organization.
Additional guidance will be included in the Mod Demo Internal Operating
Procedures (IOPs).
Sixteen local and/or national unions, from American Federation of
Government Employees (AFGE), Laborer's International Union of North
America (LIUNA), National Federation of Federal Employees (NFFE),
National Association of Government Employees (NAGE), and National
Association of Independent Labor (NAIL), cover approximately 30% of
employees in the AFC STRL. A full list of the local unions is provided
at appendix B. AFC STRL organizations will continue to fulfill their
obligations to consult and/or negotiate with all labor organizations in
accordance with title 5 U.S.C. 4703(f) and 7117 for bargaining unit
participation.
[[Page 62804]]
F. Project Design
The AFC Commanding General (CG)/AFC STRL Director leveraged the
knowledge of experienced and tenured STRL leaders within the greater
AFC organization to finalize the AFC STRL Mod Demo project plan. In
consultation with members of the Laboratory Quality Enhancement Program
Personnel Subpanel (LQEP-P), other DoD laboratories, Army G1, Army
Civilian Human Resources Agency (CHRA), and a host of other
knowledgeable agencies and personnel, the AFC STRL operational planning
team conducted a comprehensive review of personnel flexibilities used
in existing DoD laboratories and other government agencies. It also
analyzed organizational needs and considered innovative personnel
practices used outside of the federal government to develop proposed
flexibilities for the AFC STRL Mod Demo.
AFC STRL employed an executive Board of Directors comprised of
leaders from across the AFC STRL to accommodate the differing needs of
AFC STRL organizations, and a Council of Champions led by the AFC CG/
AFC STRL Director to ensure all proposals support AFC STRL's strategic
needs. Collaboration and oversight by Army and DoD ensured alignment
with Departmental goals.
The resulting project design for Mod Demo will be overseen by the
AFC CG/AFC STRL Director. It will be implemented through six
organization-specific Internal Operating Procedures (IOPs) and a single
Mod Demo Personnel Management Board (PMB). Each of the AFC STRL
organizations listed in Paragraph D will have its own IOP. Authority to
draft, modify, implement, negotiate, and approve each IOP shall rest
with these organizations. A review of these Mod Demo IOPs will be
completed by the servicing legal office prior to approval.
Any responsibilities and authorities normally associated with STRL
Directors that are not specifically defined in this Notice shall be as
defined under applicable U.S. OPM operating rules and regulations.
Additional information on delegated authorities and the project
structure are included in Section III.
G. Personnel Management Board (PMB)
AFC STRL will create a Mod Demo PMB to oversee and monitor the fair
and equitable implementation of the provisions of the demonstration
project, to include establishment of internal controls and
accountability. The board will consist of the AFC Executive Deputy
Commanding General (EDCG), as PMB Chair, and officials from the AFC
STRL organizations listed in Paragraph D. The AFC EDCG may delegate
membership, add, remove, or change the membership of the PMB, in
accordance with the evolution of the AFC STRL Mod Demo. The PMB may
also include experts in Human Resources, Resource Management, or other
relevant areas, as appointed by the AFC EDCG.
Based on guidance and consistent interaction with the AFC EDCG, the
board will execute the following:
(1) Oversee the implementation guidance and procedures in all
aspects of the Mod Demo program in accordance with the direction given
by the AFC CG/AFC STRL Director;
(2) Issue top-level guidelines for AFC STRL organizations to
establish and implement pay pools;
(3) Review pay pool results for equity and conformance, on an
annual basis;
(4) Resolve administrative pay pool disputes that are not resolved
through other means;
(5) Establish guidelines for the use of retention counter-offers;
(6) Review and approve the assignment of new occupational series to
a pay band, if necessary;
(7) Establish guidelines for exceptions to base pay increases, such
as Extraordinary Achievement Rewards and Distinguished Contribution
Allowances;
(8) Establish guidelines for the Voluntary Emeritus/Expert Program;
(9) Modify the Standard Performance Elements, as needed;
(10) Establish guidelines for the use of Subject Matter Expert
Qualifications for exceptional experience;
(11) Approve any Performance-Based Rules created and administered
by AFC STRL organizations, prior to their implementation;
(12) Assess the need for changes to demonstration project
procedures and policies and provide leadership for efforts to modify
this Notice;
(13) Promote collaboration and best practices within Mod Demo;
(14) Review Mod Demo IOPs for equity and conformance;
(15) Track personnel cost changes and recommend adjustments, if
required;
(16) Conduct formative evaluations of the project, including those
directed by DoD.
In executing these duties and responsibilities, the board will keep
in close contact and consultation with the AFC EDCG to ensure policies
and procedures are executed consistently throughout Mod Demo and are
aligned with AFC STRL strategic objectives.
H. Organizational Structure and Design
To optimize the effectiveness and efficiency of the AFC STRL during
the adoption of the new personnel demonstration system, the AFC STRL
may review and realign the organization structure to best meet mission
needs and requirements. Realignment may include removing limitations in
terms of supervisory ratios consistent with 10 U.S.C. 4121, and the
alignment and organization of the workforce required to accomplish the
mission of the AFC STRL.
In general, the AFC CG/AFC STRL Director will manage the STRL's
workforce strength, structure, positions, and compensation without
regard to any limitation on appointments, positions, or funding in a
manner consistent with the budget available in accordance with 10
U.S.C. 4091.
I. Funding Levels
The Under Secretary of Defense (Personnel & Readiness), may, adjust
the minimum funding levels to consider factors such as the Department's
fiscal condition, guidance from the Office of Management and Budget
(OMB), and equity in circumstances when funding is reduced or
eliminated for GS pay raises or awards.
III. Personnel System Changes
A. Levels of Authority and Responsibility
Due to the unique structural design of this demonstration project,
certain responsibilities that are typically reserved for STRL lab
directors are assigned to other AFC STRL officials. Such designations
are referenced throughout this notice using the definitions in this
section. No responsibilities, authorities, or delegations in this
notice are intended to replace or override command authorities.
Definitions. The following terminology is used throughout this
notice to refer to management and other officials in the AFC STRL.
(1) AFC STRL Director. This term refers to the AFC CG.
(2) AFC STRL organization approval authority. This term refers to
the following positions in their respective organizations: AFC EDCG for
AFC HQ; AFC Principal Deputy CG for CFT; FCC CG for FCC; Director, TRAC
for TRAC; DEVCOM CG for DEVCOM HQ; and Director, DAC for DAC.
(3) PMB Member. This term refers to a member of the PMB, as defined
in Section II.G. of this Notice.
(4) Pay Pool Manager. This term refers to the individual who
approves the total
[[Page 62805]]
performance ratings, reviews the ratings of employees within the pay
pool for consistency and fairness, resolves any rating issues, and
makes final decisions on ratings and payouts.
(5) Pay Pool Panel/Reconciliation Board. This term refers to the
group of supervisors/managers who reconcile ratings and payouts for the
employees in each pay pool.
B. Pay Banding
The design of the AFC STRL Mod Demo pay band system takes advantage
of the exhaustive studies performed by DA and DoD of pay band systems
currently practiced in the Federal sector, to include those practiced
by the Navy's ``China Lake'' experiment and the National Institute of
Standards and Technology (NIST). The pay band system will replace the
current GS structure. Currently, the fifteen grades of the GS are used
to classify positions and, therefore, to set pay. The GS covers most
civilian white-collar Federal employees in professional, technical,
administrative, and clerical positions. Changes in this rigid structure
are required to allow flexibility in hiring, developing, retaining, and
motivating the workforce.
1. Career Paths and Pay Bands
Occupations with similar characteristics will be grouped together
into one of three career paths with pay bands designed to facilitate
pay progression. Each career path will be composed of pay bands
corresponding to recognized advancement and career progression expected
within the occupations. Each career path will be divided into three to
five pay bands with each pay band covering the same pay range now
covered by one or more GS grades. The upper and lower pay rate for base
pay of each pay band is defined by the minimum and maximum GS rate for
the grade as indicated in Figure 1, except for Level V of the Science &
Engineering career path. Comparison to the GS grades was used in
setting the upper and lower base pay dollar limits of the pay bands.
However, once employees are moved into the demonstration project, GS
grades will no longer apply.
The occupational series listed in appendix A served as guidelines
in the development of the following three career paths:
Figure 1
[GRAPHIC] [TIFF OMITTED] TN17OC22.000
Science and Engineering (S&E) (Pay Plan DB): This career path
includes technical professional positions, such as engineers,
physicists, chemists, mathematicians, operations research analysts, and
computer scientists. Information Technology (IT) specialists
(occupational series 2210) who contribute to highly-technical and/or
scientific programs that reside in the research, development, or
engineering domains, using offensive, and defensive cyber competencies
will also be included in this career path. All other IT specialists
will be included in the Business and Technical (B&T) career path.
Specific course work or educational degrees are required for these
occupations (except cyber-IT). Five pay bands have been established for
the S&E career path:
a. Pay Band I is a student trainee track covering GS-1, step 1
through GS-4, step 10.
b. Pay Band II is a developmental track covering GS-5, step 1
through GS-11, step 10.
c. * Pay Band III includes GS-12, step 1 through GS-14, step 10.
d. * Pay Band IV includes GS-14, step 1 through GS-15, step 10.
e. Pay Band V covers Senior Scientific Technical Manager (SSTM)
positions which are described in further detail in paragraph 2 of this
section.
* Pay Bands III and IV overlap at the end and start points. These
two pay bands have been designed following a feature used by the Navy's
``China Lake'' project. Prior to implementation, personnel decisions
regarding the overlap will be defined in Mod Demo IOPs in accordance
with the PMB-approved classification guidance.
Business & Technical (B&T) (Pay Plan DE): This career path includes
such positions as computer specialist, equipment specialist, quality
assurance specialist, telecommunications specialist, engineering and
electronics technicians, procurement coordinators, finance, accounting,
administrative computing, and management analyst. Employees in these
positions may or may not require specific course work or educational
degrees. Four pay bands have been established for the B&T career path:
a. Pay Band I is a student trainee track covering GS-1, step 1
through GS-4, step 10.
b. Pay Band II includes GS-5, step 1 through GS-11, step 10.
c. * Pay Band III includes GS-12, step 1 through GS-14, step 10.
d. * Pay Band IV includes GS-14, step 1 through GS-15, step 10.
* Pay Bands III and IV overlap at the end and start points. These
two levels have been designed following a feature used by the Navy's
``China Lake'' project. Prior to implementation, personnel decisions
regarding the overlap will be defined in the Mod Demo IOPs in
accordance with the PMB-approved classification guidance.
Support (Pay Plan DK): This career path consists of clerical and
assistant positions for which specific course work or educational
degrees are not required. Clerical work usually involves the processing
and maintaining of records. Assistant work requires knowledge of
methods and procedures within a specific administrative area.
a. Pay Band I includes entry-level positions covering GS-1, step 1
through GS-4, step 10.
b. Pay Band II includes full-performance positions covering GS-5,
step 1 through GS-8, step 10.
c. Pay Band III includes senior technicians/assistants/secretaries
covering GS-9, step 1 through GS-10, step 10.
[[Page 62806]]
2. Senior Scientific Technical Managers (SSTM)
AFC STRL Mod Demo will include a category of SSTM positions, as
directed by 10 U.S.C. 4091 and described in 79 FR 43722. S&E Pay Band V
will apply exclusively to positions designated as SSTMs.
The SSTM program will be managed and administered by the AFC EDCG
unless delegated in writing to an AFC STRL organization approval
authority. These SSTM positions are managed separately from the Senior
Executive Service (SES), Scientific and Professional Positions (STs),
and Senior-Level (SL) positions. The primary functions of SSTM
positions are (a) to engage in research and development in the
physical, biological, medical, or engineering sciences, or another
field closely related to the mission of such STRL; and (b) to carry out
technical supervisory responsibilities. The number of such positions is
limited in accordance with 10 U.S.C. 4091. This authority is expected
to provide an opportunity for career development and expansion of a
pool of experienced, prominent technical candidates meeting the levels
of proficiency and leadership essential to create and maintain a DoD
state-of-the-art scientific, engineering, and technological capability.
Positions may be filled: (a) On a temporary, term, or permanent
basis utilizing appropriate internal and/or external competitive
recruitment procedures; (b) through accretion-of-duties promotions; or
(c) using a direct hire authority. Positions may also be filled
temporarily using non-competitive procedures (e.g., detail and
temporary promotions). The AFC CG has the discretion to select the
recruitment and staffing method most appropriate based on the
specialized position requirements and available candidate pool.
However, the recruitment and staffing methodology must include: (a) An
internal process which incorporates an impartial, rigorous, and
demanding assessment of candidates to evaluate the breadth of their
technical expertise; (b) an external recruitment process; (c) creation
of panels to assist in filling positions; or (d) other comparable
recruitment and/or staffing mechanisms.
Panels will be created to assist in the review of candidates for
SSTM positions. Panel members typically will be SES members, ST
employees, and those employees designated as SSTMs. In addition,
General Officers and recognized technical experts from outside AFC STRL
may serve, as appropriate. The panel will apply criteria developed
largely from the OPM Research Grade Evaluation Guide for positions
exceeding the GS-15 level and other OPM guidance related to positions
exceeding the GS-15 level. The purpose of the panel is to ensure
impartiality and a rigorous and demanding review.
3. Position Control Points
If the classification of a position does not warrant unconstrained
salary progression throughout the entire pay band, control points may
be appropriate and may be established in accordance with Mod Demo IOPs.
If used, control points will be documented on the classified position
description. Increasing an employee's salary beyond a control point, if
established or used, will require review of both the position and
performance of the employee. Advancement across a control point may not
occur without approval of the AFC STRL organization approval authority,
unless further delegated in the applicable IOP. Additional guidance
will be included in the AFC STRL organization-specific IOP.
C. Classification
1. Occupational Series
The present GS classification system has over 400 occupational
series, which are divided into 23 occupational groupings. AFC STRL
currently has positions in 84 occupational series as indicated in
appendix A. Additional occupational series may be added to the AFC STRL
Mod Demo, as needed.
2. Classification Standards and Position Description
AFC STRL will utilize OPM classification standards for the
identification of proper series and occupational titles of positions
within the demonstration project. The grading criteria in those
standards will be used as a framework to develop new, simplified, and
equitable standards for the purpose of pay band determinations. The
objective is to include in the position description the essential
criteria for each pay band within each career path by stating the
characteristics of the work, the responsibilities of the position, and
the competencies required. The classification standard for each career
path and pay band will serve as an important component to update
existing position descriptions, which will include position-specific
information, and provide data element information pertinent to the job.
The computer-assisted process will produce information necessary for
position descriptions. The new descriptions will be easier to prepare,
minimize the amount of writing time, and make the position description
a more useful and accurate tool for other personnel management
functions.
Specialty work and/or competency codes with corresponding narrative
descriptions will be used in position descriptions to further
differentiate types of work and the competencies required for positions
within a career path and pay band. Each code represents a
specialization or type of work within the occupation.
3. Fair Labor Standard Act
Fair Labor Standards Act (FLSA) exemption and non-exemption
determinations will be consistent with criteria found in 5 CFR part
551. All employees are covered by the FLSA unless their position meets
the criteria for exemption. The duties and responsibilities outlined in
the classification standards for each pay band will be compared to the
FLSA criteria. Generally, the FLSA status can be matched to career path
and pay band as indicated in Figure 2. For example, positions
classified in pay band I of the S&E career path are typically
nonexempt, meaning they are covered by the overtime entitlements
prescribed by the FLSA. An exception to this guideline includes
supervisors/managers at pay band I or II whose primary duties meet the
definitions outlined in the OPM GS Supervisory Guide. Therefore,
supervisors/managers in any of the career paths who meet the foregoing
criteria generally are exempt from the FLSA. The AFC STRL
classification authorities will make the determinations on a case-by-
case basis by comparing assigned duties and responsibilities to the
classification standards for each career path and the 5 CFR part 551
FLSA criteria. Additionally, the advice and assistance of the servicing
personnel office will be obtained in making determinations. The
position descriptions will not be the sole basis for the determination.
Basis for exemption will be documented and attached to each position
description. Exemption criteria will be narrowly construed and applied
only to those employees who clearly meet the spirit of the exemption.
Changes will be documented and provided to the servicing personnel
office.
Figure 2
[[Page 62807]]
[GRAPHIC] [TIFF OMITTED] TN17OC22.001
Note: Although typical exemption status under the various pay
bands is shown in the above table, actual FLSA exemption
determinations are made on a case-by-case basis.
4. Classification Authority
The AFC STRL organizations will have classification authority and
may, in turn, delegate this authority in writing to appropriate levels.
Any individual with delegated classification authority must complete
required training. Position descriptions will be developed to assist in
exercising delegated position classification authority.
Classification authorities will identify the career path, job
series, functional code, specialty work and/or competency code, pay
band, and other critical information. Human Resources professionals
will provide ongoing consultation and guidance to managers and
supervisors throughout the classification process. These decisions will
be documented in the position description.
5. Classification Appeal
Classification appeals under this demonstration project will be
processed using the following procedures: An employee may appeal the
determination of career path, occupational series, position title, and
pay band of the position at any time. An employee must formally raise
the area of concern to supervisors in the immediate chain of command,
in writing. If the employee is not satisfied with the supervisory
response, the employee may then appeal to the AFC STRL organization PMB
representative. An appeal may then be made to the AFC EDCG. If the
employee is not satisfied with the AFC EDCG's response to the appeal, a
final appeal may then be made to the DoD appellate level. The appeal
process will be defined in each Mod Demo IOP. Classification appeals
are not accepted on positions which exceed the equivalent of a GS-15
level. Time periods for cases processed under 5 CFR part 511 apply.
The evaluation of classification appeals under this demonstration
project are based upon the demonstration project classification
criteria. Case files will be forwarded for action through the servicing
personnel office and will include copies of appropriate demonstration
project criteria.
D. Pay-for-Performance Management System (PFP)
1. Overview
The purpose of the PFP system is to provide an effective,
efficient, and flexible method for assessing, compensating, and
managing the AFC STRL modernization workforce. It is essential for the
development of a high performing workforce and to provide management at
the lowest practical level, the authority, control, and flexibility
needed to achieve a quality organization and meet mission requirements.
PFP allows for more employee involvement in the assessment process,
strives to increase communication between supervisor and employee,
promotes a clear accountability of performance, facilitates employee
career progression, and provides an understandable and rational basis
for salary changes by linking pay and performance.
The PFP system uses annual performance payouts that are based on
the employee's total performance score rather than within-grade
increases, quality step increases, and performance awards. The normal
rating period will be one year. The minimum rating period will be 90
days. PFP payouts can be in the form of increases to base pay and/or
bonuses that are not added to base salary but rather are given as a
lump sum payment. Other awards, such as special acts and time-off
awards, will be administered separately from the PFP payouts.
The AFC STRL Mod Demo PFP system may be modified by the PMB, if
necessary, as more experience is gained under the project. Each AFC
STRL organization will publish the details of its PFP system rules and
available funding limits in its IOP and/or annual PFP guidance.
2. Performance Elements
Performance elements define common performance characteristics that
will be used to evaluate the employee's success in accomplishing
performance objectives. The use of common characteristics for scoring
purposes helps to ensure comparable scores are assigned while
accommodating diverse individual objectives. The PFP system will
utilize those performance elements as described in this FRN. AFC STRL
organizations can determine which elements are critical. A critical
performance element is defined as an attribute of job performance that
is of sufficient importance that performance below the minimally
acceptable level requires remedial action and may be the basis for
removing an employee from their position. Each of the performance
elements will be assigned a two-digit weight between 0 and 1 rounding
two significant digits, which reflects its importance in accomplishing
an individual's performance objectives. A minimum weight is set for
each performance element. The sum of the weights for all the elements
must equal 1.0. Rules for setting weights will be defined in Mod Demo
IOPs.
A single set of performance elements will be used for evaluating
the annual performance of all AFC STRL personnel covered by this Mod
Demo plan. This set of performance elements may evolve over time, based
on experience gained during each rating cycle. This evolution is
essential to capture the critical characteristics the organization
encourages in its workforce toward meeting individual and
organizational objectives. This is particularly true in an environment
where technology and work processes are changing at an increasingly
rapid pace. The PMB may adjust the elements annually.
The initial set of performance elements and basic definitions for
the AFC STRL Mod Demo are listed below. On an annual basis, AFC STRL
[[Page 62808]]
organizations will select at least four elements based on mission
requirements. Additionally, the Supervision/EEO element is mandatory,
and may be updated as needed, for all employees whose assigned duties
which meet the definition of Supervisor, outlined in the OPM GS
Supervisory Guide. AFC STRL organizations will publish more specific
element definitions and benchmark performance standards that describe
performance associated with each score level in their IOPs.
(1) Technical Competence--The extent to which an employee
demonstrates the technical knowledge, skills, abilities and initiative
to produce the quality and quantity of work as defined in individual
performance objectives and assigned tasks.
(2) Mission Impact--The extent to which an employee demonstrates
individual performance against strategic goals and initiatives as
defined in individual performance objectives and assigned tasks.
(3) Customer Satisfaction--The extent to which an employee delivers
high levels of service to internal and external customers/stakeholders.
Maintains quality customer/stakeholder relationship(s).
(4) Management of Time and Resources--The extent to which an
employee demonstrates ability to manage time and resources.
(5) Teamwork--The extent to which an employee encourages and
facilitates cooperation, collaboration, pride, trust, and group
identity; fosters commitment and esprit-de-corps; works with others to
achieve goals.
(6) Communication--The extent to which an employee demonstrates
ability to communicate orally and in writing to achieve mutual
understanding or desired results.
(7) Management/Leadership--The extent to which an employee
influences, motivates, and challenges others; adapts leadership styles
to a variety of situations.
(8) Supervision/EEO--The extent to which a supervisor: (1) Ensures
compliance with applicable laws, regulations and policies including
Merit System Principles and Prohibited Personnel Practices; (2)
Attracts and retains a high-caliber workforce and acts in a responsible
and timely manner on all steps in the recruitment and hiring process;
(3) Provides opportunities for orientation and tools for enabling
employees to successfully perform during the probationary period and
beyond; (4) Completes all performance management tasks in a timely
manner including clearly communicating performance expectations
throughout the appraisal period, holding employees accountable, making
meaningful distinctions in performance and rewarding excellent
performance, promoting employee development and training, and promptly
addressing performance and conduct issues; (5) Ensures that EEO
principles are adhered to throughout the organization and promptly
addresses allegations of discrimination, harassment, and retaliation;
and (6) Upholds high standards of integrity and ethical behavior,
including: ensuring appropriate internal controls to prevent fraud,
waste or abuse; safeguarding assigned property/resources; maintaining a
safe work environment and promptly addressing allegations of
noncompliance; and supporting the Whistleblower Protection Program by
responding constructively to employees who make protected disclosure
under 5 U.S.C. 2302(b)(8), taking responsible and appropriate actions
to resolve any such disclosure, and creating an environment in which
employees feel comfortable making such disclosures.
3. Performance Objectives
Performance objectives define a target level of activity, expressed
as a tangible, measurable objective, against which actual achievement
can be compared. These objectives will specifically identify what is
expected of the employee during the rating period and will typically
consist of three to ten results-oriented statements. The employee and
the supervisor will jointly develop the employee's performance
objectives at the beginning of the rating period. If there is a
disagreement between the employee and supervisor concerning these
performance objectives, the employee's supervisor will render the final
decision on the disagreement after fully considering the employee's
comments. Objectives are to be reflective of the employee's duties/
responsibilities and pay band along with the mission/organizational
goals and priorities. Objectives will be reviewed annually and revised
upon changes in salary reflecting increased responsibilities
commensurate with salary increases. Performance objectives are intended
to define an individual's specific responsibilities and expected
accomplishments. In contrast, performance elements will identify common
performance characteristics, against which the accomplishment of
objectives will be measured. As a part of this demonstration project,
training focused on overall organizational objectives, and the
development of performance objectives will be held for both supervisors
and employees. Performance objectives may be jointly modified, changed,
or deleted as appropriate during the rating cycle. Generally,
performance objectives should only be changed when circumstances
outside the employee's control prevent or hamper the accomplishment of
the original objectives. It is also appropriate to change objectives
when mission or workload shifts occur.
4. Performance Feedback and Formal Ratings
The most effective means of communication is person-to-person
discussion between supervisors and employees of requirements,
performance goals, and desired results. Employees and supervisors alike
are expected to actively participate in these discussions for optimum
clarity regarding expectations and identify potential obstacles to
meeting goals. In addition, employees should explain (to the extent
possible) what they need from their supervisor to support goal
accomplishment. The timing of these discussions will vary based on the
nature of work performed but will occur at least at the mid-point and
end of the rating period. The supervisor and employee will discuss job
performance and accomplishments in relation to the performance
objectives and elements. At least one review, normally the mid-point
review, will be documented as a formal progress review. More frequent
task-specific discussions may be appropriate. In cases where work is
accomplished by a team, team discussions regarding goals and
expectations may be appropriate.
The employee will provide a written list of accomplishments to the
supervisor at both the mid-point and end of the rating period. An
employee may elect to provide self-ratings on the performance elements
and/or solicit input from team members, customers, peers, supervisors
in other units, subordinates, and other sources which will permit the
supervisor to fully evaluate accomplishments during the rating period.
At the end of the rating period, following a review of the
employee's accomplishments, the supervisor will rate each of the
performance elements by assigning a score between 0 and 50. Benchmark
performance standards will be developed by the AFC STRL organization to
describe the level of performance associated with a score. Supervisors
will use the benchmark performance standards to determine appropriate
ratings for each performance element. These scores will
[[Page 62809]]
not be discussed with the employee or considered final until all scores
are reconciled and approved by the designated Pay Pool Manager. The
element scores will then be multiplied by the element-weighting factor
to determine the weighted score expressed to two decimal points. The
weighted scores for each element will then be totaled to determine each
employee's overall appraisal score and rounded to a whole number as
follows: if the digit to the right of the decimal is between five and
nine, it should be rounded to the next higher whole number; if the
digit to the right of the decimal is between one and four, it should be
dropped.
A total score of 10 or below will result in a Level 1 rating of
record. A score of 10 or below in a single element will also result in
a Level 1 rating of record with zero shares and no general pay increase
(GPI), and requires the employee be placed on a Performance Improvement
Plan (PIP). A new rating of record will be issued if the employee's
performance improves to an acceptable level at the conclusion of the
PIP.
5. Unacceptable Performance
Informal feedback is an effective way to provide clarity to the
employee and in-the-moment coaching. Additionally, informal discussions
serve several purposes. For example, such discussions provide feedback
for a specific job, set and reset goals, reinforce good habits, and
discuss areas for improvement. Informal employee performance
discussions will be a continuous process so that corrective action, to
include placing an employee on a PIP, may be taken at any time during
the rating cycle. Whenever a supervisor recognizes an employee's
performance on one or more performance elements is unacceptable, the
supervisor should immediately inform the employee. Efforts will be made
to identify the possible reasons for the unacceptable performance.
If the employee continues to perform at an unacceptable level or
has received a Level 1 Rating of Record, written notification outlining
the unacceptable performance will be provided to the employee. At this
point an opportunity to improve will be structured in a PIP. The
supervisor will identify the actions that need to be corrected or
improved, outline required time frames (no less than 30 days) to
demonstrate such improvement, and provide the employee with any
available assistance as appropriate. Progress will be monitored during
the PIP, and all counseling sessions will be documented.
If the employee's performance is acceptable at the conclusion of
the PIP, no further action is necessary. If a PIP ends prior to the end
of the annual performance cycle and the employee's performance improves
to an acceptable level, the employee is appraised again at the end of
the annual performance cycle.
If the employee fails to improve during the PIP, the employee will
be given written notice of proposed action. This action can include
removal from the Federal service, placement in a lower pay band with a
corresponding reduction in pay (demotion), reduction in pay within the
same pay band, or change in position or career path. For the most part,
employees with a Level 1 rating of record will not be permitted to
remain at their current salary and may be reduced in pay band.
Note: Nothing in this subsection will preclude action under 5
U.S.C. chapter 75, when appropriate.
All relevant documentation concerning a reduction in pay or removal
based on unacceptable performance will be preserved and made available
for review by the affected employee or a designated representative. As
a minimum, the record will consist of a copy of the notice of proposed
personnel action, the employee's written reply, if provided, or a
written summary when the employee makes an oral reply. Additionally,
the record will contain the written notice of decision and the reasons
therefore along with any supporting material (including documentation
regarding the opportunity afforded the employee to demonstrate improved
performance).
If the employee's performance deteriorates to an unacceptable
level, in any element, within two years from the beginning of a PIP,
follow-on actions may be initiated with no additional opportunity to
improve. If an employee's performance is at an acceptable level for two
years from the beginning of the PIP and performance once again declines
to an unacceptable level, the employee will be given an additional
opportunity to improve before management proposes follow-on actions.
Additional details will be outlined in Mod Demo IOPs.
6. Reconciliation Process
At the end of the rating cycle and following the initial scoring of
each employee by the supervisor, a panel of rating officials and
supervisors, known as the pay pool panel, will meet in a structured
review and reconciliation process managed by the Pay Pool Manager. In
this step, each employee's performance objectives, accomplishments,
preliminary scores and/or shares, and pay are discussed. Through
discussion and consensus building, consistent and equitable ratings
and/or shares are reached. There will not be a prescribed distribution
of total scores. IOPs will further define this process.
7. Pay Pools
Employees within the AFC STRL Mod Demo will be placed into pay
pools. Pay pools are combinations of organizational elements (e.g.,
Directorates, Divisions, Branches, and Offices) that are defined for
the purpose of determining performance payouts under the PFP system.
The guidelines in the next paragraph are provided for determining pay
pools. These guidelines will normally be followed. However, an AFC STRL
Mod Demo pay pool manager may deviate from the guidelines if there is a
compelling need to do so, and the rationale is documented in writing.
The AFC STRL organizations will establish pay pools within their
respective organizations. Typically, pay pools will have between 35 and
300 employees. A pay pool should be large enough to encompass a
reasonable distribution of ratings but not so large as to compromise
rating consistency. Supervisory personnel will be placed in a pay pool
separate from subordinate non-supervisory personnel. Neither the Pay
Pool Manager nor supervisors within a pay pool will recommend or set
their own individual pay. Decisions regarding the amount of the
performance payout are based on the established formal payout
calculations.
Annual pay pool limits for base pay increases and bonuses, also
referred to as payout factors, will be established by the AFC STRL
organizations. Funds for performance payouts are divided into two
components: base pay increases and bonuses. The funds used for base pay
increases are those that would have been available from GS within-grade
increases, quality step increases, and promotions. This amount will be
defined based on historical data and set at no less than two percent of
total adjusted base pay and no more than the maximum set by the AFC
STRL organization. The funds available to be used for awards are funded
separately within the constraints of the organization's overall award
budget. This amount will be defined based on historical data and set at
no less than one percent of total adjusted base pay and no more than
the maximum set by the AFC STRL organization. The sum of these two
factors is referred to as the
[[Page 62810]]
Pay Pool Payout Factor and is determined by the AFC STRL organization
within the above constraints. The PMB will annually review the pay pool
funding formulas used by AFC STRL organizations and recommend
adjustments to ensure cost discipline over the life of the
demonstration project. AFC STRL organizations may reallocate the amount
of funds assigned to each pay pool as necessary to ensure equity and to
meet unusual circumstances.
8. Performance Payout Determination
Employee's Rating of Record levels will be determined by the Score
Ranges as shown in Figure 3 below. The Rating of Record levels follow
the Summary level rating patterns associated with 5 CFR 430.208,
Pattern H. Mod Demo IOPs may designate descriptive titles for Level 1
through Level 5 ratings of record. The score ranges will be used as a
guide to determine the number of shares the employee is assigned in the
pay pool process. An employee will receive a performance payout as a
percentage of the employee's salary at the end of the rating cycle,
based on the number of shares assigned. AFC STRL organizations will use
one of two methods for converting scores to shares. Score ranges and
share option changes must be approved by the Mod Demo PMB. IOPs must
state which method the AFC STRL organization will use, and Mod Demo
employees will receive specific training covering this topic.
[GRAPHIC] [TIFF OMITTED] TN17OC22.002
Option A. Discrete Shares
Share values will be assigned between 0 and 4 using any increment
of shares for a given Score Range as shown in Figure 4. The pay pool
panel will determine the shares based on the employee's score range.
When selecting the share value, the pay pool panel may consider any of
the following: the employee's salary relative to other employees in the
same range, the employee's performance above and beyond expectations,
the supervisor's recommendation, and how close the employee is to the
top of their pay band. AFC STRL organizations will provide written
notice to the workforce at the start of the rating cycle concerning the
basis of the share assignment.
[GRAPHIC] [TIFF OMITTED] TN17OC22.003
Option B. Fractional Shares
Shares will be awarded as decimal numbers, rounded to the nearest
tenth, based on the employee's score. Fractional shares will be awarded
for scores that fall in between these scores, in accordance with Figure
5. For example, a score of 38 will equate to 1.8 shares, and a score of
44 will equate to 2.4 shares.
[GRAPHIC] [TIFF OMITTED] TN17OC22.004
[[Page 62811]]
Regardless of whether Option A or Option B is implemented, the
value of a share cannot be exactly determined until the rating and
reconciliation process is completed and all scores are finalized. The
formula that computes the value of each share is based on (1) the
payout factors, (2) the employee's pay, and (3) the number of shares
awarded to each employee in the pay pool. This formula, shown in Figure
6, assures that each employee within the pool receives a share amount
equitable to all others in the same pool who are at the same rate of
basic pay and receive the same score and shares. The exact Pay Pool
Payout Factor will be determined by the AFC Mod STRL organization, in
accordance with paragraph 7 above.
[GRAPHIC] [TIFF OMITTED] TN17OC22.005
Where:
F = Pay Pool Payout Factor, determined by AFC STRL.
Pay Pool Managers are accountable for staying within pay pool
funding limits. The Pay Pool Manager makes final decisions on pay
increases and/or bonuses to individuals based on rater recommendation,
the final score, the pay pool funds available, and the employee's
salary at the end of the rating cycle.
In addition, the designated pay pool manager may nominate employees
for Extraordinary Achievement Recognition. Such recognition grants a
base pay increase and/or bonus to an employee that is higher than the
one generated by the compensation formula for that employee. The funds
available for an Extraordinary Achievement Recognition are separately
funded within the constraints of the organization's budget.
9. Base Pay Increases and Bonuses
An employee's shares will be paid out as a base pay increase, a
bonus, or a combination. To continue to provide performance incentives
while also ensuring cost discipline, base pay increases may be limited
or capped. Certain employees will not be able to receive base pay
increases due to base pay caps. Base pay is capped when an employee
reaches the maximum rate of pay in an assigned pay band or when a
performance-based rule applies (see paragraph 10 below). Employees
affected by base pay caps and those receiving retained pay will receive
the entire performance payout in the form of a bonus.
If the AFC STRL organization deems it appropriate, the Pay Pool
Manager may re-allocate a portion (up to the maximum possible amount)
of the unexpended base pay funds for capped employees to uncapped
employees. Any dollar increase in an employee's projected base pay
increase will be offset, dollar for dollar, by an accompanying
reduction in the employee's projected bonus payment. Thus, the
employee's total performance payout is unchanged.
PFP bonuses and salary increases must be effective within 120 days
of the end of the appraisal cycle.
10. Performance-Based Rules
As a compensation management tool, AFC STRL organizations may
establish performance-based rules to manage pay progression by career
path, pay band, geographic location, or any other grouping. If
established, such performance-based rules must be approved by the PMB
and published to the workforce prior to implementation. In addition,
the process for obtaining an exception to such rules must be documented
in the IOP. Once established, performance-based rules may be used in
the pay pool process to manage performance salary increases. Examples
of performance-based rules include rules similar to a Mid-Point Rule.
For example, to provide added performance incentives as an employee
progresses through a pay band, a mid-point rule may be used to
determine base pay increases. The mid-point rule dictates that any
employee must receive a score of 30 or higher for their base pay to
cross the salary midpoint of their pay band. Also, once an employee's
base pay exceeds the salary midpoint of their pay band, the employee
must receive a score of 30 or higher to receive any additional base pay
increases. Any amount of an employee's performance payout, not paid in
the form of a base pay increase because of the mid-point rule, would be
paid as a bonus. This rule effectively raises the standard of
performance expected of an employee once the salary midpoint of a pay
band is crossed. This rule would apply to all employees in every career
path and pay band.
11. Awards
To provide additional flexibility in motivating and rewarding
individuals and groups, some portion of the performance award budget
may be reserved for special acts and other categories as they occur.
Awards may include, but are not limited to special acts, patents,
suggestions, on-the-spot, and time-off. The funds available to be used
for awards are separately funded within the constraints of the
organization's overall award budget.
While not directly linked to the PFP system, this additional
flexibility is important to encourage outstanding accomplishments and
innovation in accomplishing the diverse modernization missions of the
AFC STRL organizations participating in Mod Demo. Additionally, to
foster and encourage teamwork among its employees, organizations may
give group awards.
12. General Pay Increase (GPI)
All employees will receive a GPI, except as described below.
Employees, who are on a PIP and/or receive a Level 1 rating of
record at the time pay determinations are made, may be denied
performance payouts or the GPI. Such employees will not receive RIF
service credit until such time as their performance improves to the
satisfactory level and remains so for at least 90 days. When the
employee has performed at an acceptable level for at least 90 days, the
GPI will not be retroactive but will be granted at the beginning of the
next pay period after the supervisor authorizes its payment.
These actions may result in a base salary that is identified in a
lower pay band. This occurs because the minimum
[[Page 62812]]
rate of basic pay in a pay band increases as the result of the GPI (5
U.S.C. 5303). This situation (a reduction in pay band with no reduction
in pay) will not be considered an adverse action, nor will pay band
retention provisions apply.
After 90 days of acceptable performance, the employee is granted
GPI and the employee will be returned to their previous pay band.
13. Grievances and Disciplinary Actions
An employee may grieve the performance rating/score or shares
received under the PFP system. Non-bargaining unit employees, and
bargaining unit employees covered by a negotiated grievance procedure
that does not permit grievances over performance ratings, must file
under administrative grievance procedures when choosing to pursue a
grievance. Whereas, bargaining unit employees whose negotiated
grievance procedures cover performance-rating grievances must file
under those negotiated procedures when choosing to pursue a grievance.
Except where specifically waived or modified in this plan, adverse
action procedures under 5 CFR part 752, remain unchanged.
E. Hiring and Appointment Authorities
Competitive service positions will be filled through Merit
Staffing, direct-hire authority, Delegated Examining, or other non-
competitive hiring authorities. Direct-hire authority will be exercised
in accordance with the requirements of the delegation of authority.
1. Qualifications
A candidate's basic qualifications will be determined using OPM's
Qualification Standards Handbook for General Schedule Positions.
Candidates must meet the minimum standards for entry into the pay band,
unless waived by other flexibilities within the STRL. For example, if
the pay band includes positions in grades GS-5 and GS-7, the candidate
must meet the qualifications for positions at the GS-5 level.
Specialized experience/education requirements will be determined based
on whether a position to be filled is at the lower or higher end of the
pay band. Selective placement factors can be established in accordance
with the OPM Qualification Handbook, when judged to be critical to
successful job performance. These factors will be communicated to all
candidates for position vacancies and must be met for basic
eligibility.
2. Delegated Examining
Under Delegated Examining when there are no more than 15 qualified
applicants and no preference eligible, all eligible applicants are
immediately referred to the selecting official without rating and
ranking. Rating and ranking may occur when the number of qualified
candidates exceeds 15 or there is a mix of preference and non-
preference applicants. Category rating may be used to provide for a
more streamlined and responsive hiring system to increase the number of
eligible candidates referred to selecting officials. This provides for
the grouping of eligible candidates into quality categories and the
elimination of consideration according to the ``rule of three.'' This
includes the coordination of recruitment and public notices, the
administration of the examining process, the administration of
veterans' preference, the certification of candidates, and selection
and appointment consistent with merit principles.
Statutes and regulations covering veterans' preference will be
observed in the selection process when rating and ranking are required.
Veterans with preference will be referred ahead of non-veterans with
the same score/category.
3. Direct Hire
AFC STRL will use the direct hire authorities authorized by 10
U.S.C. 4091, and published in 79 FR 43722 and 82 FR 29280; and the
direct hire authorities published in 85 FR 78829, as appropriate, to
appoint the following:
a. Candidates with advanced degrees to scientific and engineering
positions;
b. Candidates with bachelor's degrees to scientific and engineering
positions;
c. Veteran candidates to scientific, technical, engineering, and
mathematics positions (STEM), including technicians;
d. Student candidates enrolled in a program of instruction leading
to a bachelors or advanced degree in a STEM discipline; and
e. Candidates for any position: (i) involving 51 percent or more of
time in direct support of the STRL mission; (ii) identified by the STRL
as hard to fill; (iii) having a history of high turnover; or (iv)
requiring a unique, laboratory-related skillset.
Direct hire appointments may be made on a permanent, term or
temporary basis. Requirements for how positions qualify for this usage
of direct hire authorities will be documented in IOPs.
In addition, other direct hire authorities, documented in FRNs and
available to all DoD STRL laboratories, may be utilized, once requested
and adopted, as appropriate.
4. Legal Authority
For actions taken under the auspices of the demonstration project,
the first legal authority code (LAC)/legal authority Z2U will be used.
The second LAC/legal authority may identify the authority utilized
(e.g., Direct Hires). The nature of action codes and legal authority
codes prescribed by OPM, DoD, or DA will be used.
5. Hiring Demonstrated Exceptional Talent for S&E Positions
As provided by OPM General Schedule Qualification Standards,
paragraph 4.g., in the ``Application of Qualification Standards''
section, ``Educational and Training Provisions or Requirements''
subsection, AFC STRL may consider an S&E position candidate's
demonstrated exceptional experience or a combination of experience and
education in lieu of OPM individual occupational qualification
requirements. The AFC STRL may use one subject matter expert (SME),
instead of a panel of at least two, to conduct a comprehensive
evaluation of an applicant's entire background, with full consideration
given to both education and experience, to determine a candidate's
qualifications. In addition, the unique nature of AFC STRL
interdisciplinary positions allows for an AFC STRL manager with direct
knowledge of the mission and position requirements, regardless of his
or her occupational series or military occupation code, to serve as a
SME to represent the needs of the organization.
Demonstrated exceptional experience is defined as experience that
reflects significant accomplishment directly applicable to the position
to be filled. This is evidenced through a substantial record of
experience, achievement, and/or publications that demonstrate expertise
in an appropriate professional/scientific field. A written analysis by
the SME will document the candidate's experience, achievements, and
publications used for qualification determination.
Documentation justifying the employee's qualifications will be
placed in the employee's electronic official personnel file (e-OPF) to
ensure the employee is considered qualifying for the specific
occupational series in the future.
6. Official Transcripts
The requirement to have official transcripts prior to establishing
an entrance-on-duty (EOD) is waived. AFC
[[Page 62813]]
STRL servicing personnel offices may use unofficial transcripts or a
letter from a registrar or dean to make qualification determinations,
thus eliminating several days or weeks from the current hiring
timeline. Official transcripts must be received within 30 calendar days
after EOD.
Once unofficial transcripts or a letter from a registrar or dean is
received, the servicing personnel office will review qualifications and
begin the onboarding process. Applicants will be asked to request and
submit official transcripts to the servicing personnel office, but an
EOD may be established prior to receipt. Applicants will sign a
statement of understanding (SOU) as part of their pre-employment
paperwork. The SOU will include language stipulating that if official
transcripts are not provided or fail to show proof that individuals
meet the qualification requirements, individuals may be subject to
adverse actions up to and including removal, as determined by specific
circumstances by applicable regulations. The SOU will regulate the
applicants who do not have the degrees required for the positions or
who may have been dishonest during the hiring process, lowering risk
for the Command.
The SOU will be maintained in the employee's e-OPF. Once official
transcripts have been received by the servicing personnel office, they
will be verified in the personnel system and uploaded into the
employee's e-OPF.
7. Use of Alternative Method to Announcing Position Vacancies
AFC STRL will have authority to determine whether to utilize
USAJobs public notice flyers or some other type of recruitment measure
to announce vacancies for AFC STRL positions covered by Mod Demo.
Applications may be submitted directly to the servicing personnel
office. Candidates may apply through the link or email address found in
the job announcement. Postings may be limited to internal Government
employees or open to both internal Government employees and external
U.S. citizen candidates. All candidates will be asked to submit
supporting documentation to include a resume and official or unofficial
transcripts. Flyers will include the following: (a) open/close dates,
(b) compensation, (c) appointment type and work schedule, (d) duty
location, (e) duties, (f) position information, (g) conditions of
employment, (h) qualification requirements, (i) education requirements,
(j) how candidates will be evaluated, (k) benefits, (l) how to apply,
(m) an equal employment opportunity statement, and (n) any additional
information determined necessary by the lab.
If utilizing USAJobs flyers, positions may be filled through direct
hire authorities on a temporary, term, or permanent basis or through
reassignment.
8. Security Eligibility
AFC STRL has the authority to appoint individuals to Critical-
Sensitive (CS) and Special-Sensitive positions prior to a final
favorable eligibility determination at the Top Secret/SCI level.
Processes and pre-employment waiver requirements for CS positions will
be applied in these situations. For the purposes of STRLs, an emergency
or national interest that necessitates an appointment prior to the
completion of the investigation and adjudication process includes a
lab's inability to meet mission requirements. Each applicant's Standard
Form 86, ``Questionnaire for National Security Positions,''
fingerprints, and prescreening questionnaire will be reviewed, and a
favorable pre-screening eligibility determination will be made prior to
any individual being given a final job offer and EOD. Also, each lab
will provide the written documentation needed to support a waiver
decision to the appointing authority, who will document the reason for
the appointment, and ensure the justification is sufficient before a
final offer of employment is made.
The individual will perform duties and occupy a location permitted
by their current security eligibility (interim or final), but not
higher than Top Secret. The applicant will be required to sign a
statement of understanding that documents that the pre-appointment
decision was made based on limited information and that continued
employment depends upon the completion of a personnel security
investigation (tier 3 or 5) and favorable adjudication of the full
investigative results.
9. Term Appointments
a. Flexible Length and Renewable Term Technical Appointments (FLRTTA)
1. AFC STRL organizations may use the Flexible Length and Renewable
Term Technical Appointments (FLRTTA) workforce shaping tool to appoint
qualified candidates who are not currently Department of Defense
civilian employees, or are currently DoD term employees, into any
scientific, technical engineering, and mathematic positions, including
technicians, for a period of more than one year but not more than six
years. The appointment of any individual under this authority may be
extended without limit in up to six-year increments at any time during
any term of service under conditions set forth in Mod Demo IOPs.
2. Use of the FLRTTA authority must be consistent with merit system
principles.
3. Current DoD employees who are not DoD term employees may not be
appointed to positions under this authority.
4. Initial appointments must be more than one year, but not to
exceed six years in duration.
5. Individuals appointed under this authority may be eligible for
noncompetitive conversion to a permanent appointment if the job
opportunity announcement clearly stated the possibility of being made
permanent.
6. Positions may be filled utilizing noncompetitive hiring
authorities. Positions appointed noncompetitively will not be eligible
for conversion or extension. This is not a hiring authority and STRLs
must compete or use a direct hire or other non-competitive hiring
authority to appoint candidates under this appointment authority.
7. Unless otherwise eligible for a noncompetitive hiring authority,
positions filled under this authority must be competed. Job opportunity
announcements must clearly identify the type of appointment and the
expected duration of initial appointment (up to six years). A statement
will be included in the announcement that the position may be extended,
without limit, in up to six-year increments, to enable extensions
beyond the initial term of appointment. Furthermore, the position can
be made permanent without further competition.
8. Appointees will be afforded equal eligibility for employee
programs and benefits comparable to those provided to similar employees
on permanent appointments within the AFC STRL, to include opportunities
for professional development and eligibility for award programs.
9. Appointees will be afforded the opportunity to apply for
vacancies that are otherwise limited to ``status'' candidates.
Appointees applying to other Federal service positions utilizing this
authority must submit a copy of their Flexible Length and Renewable
Term Technical appointment SF-50, Notification of Personnel Action,
which will contain a remark identifying this provision, with their
application/resume for the vacancy to which they are applying. The SF-
50 will serve as notification to the servicing Human Resources Office
for the vacancy that
[[Page 62814]]
the individual is eligible for consideration as a status candidate.
10. Promotions. Individuals appointed under this hiring authority
may be promoted while serving on a term appointment, provided they meet
the qualifications and eligibility requirements for the higher level to
which they will be promoted.
11. Extension of appointments. The appointment of an individual
appointed to a term appointment under this authority may be extended,
without limit, in up to six-year increments. A recruitment notice must
be posted through an internal or external source and must have
identified the opportunity for an extension beyond the initial term of
appointment. Extensions will be documented via a personnel action using
nature of action code 765/Extension of Term Appt NTE and the same legal
authority code used for the appointment that is being extended.
12. Expiration. Term appointments expire upon the not-to-exceed
date, unless extended.
13. Probationary/Trial Period. The trial period specified in this
FRN will apply to individuals appointed under the Flexible Length and
Renewable Term Appointment.
14. Tenure. For those appointed under the Flexible Length and
Renewable Term Technical Appointment authority or converted from a term
or modified term to a Flexible Length and Renewable Term Technical
Appointment and later converted to a career or career-conditional
appointment, the time spent on both appointments will count toward
career tenure.
15. Documenting Personnel Actions. Personnel actions for qualified
candidates are documented citing the first legal authority code (LAC)/
legal authority as Z2U, if appointed to a broad-banded position. A
remark for the personnel action will be created to state the
appointment is designated as a ``status'' appointment for the purposes
of eligibility for applying for positions in the federal service.
b. Flexible Length and Renewable Term Appointments for Support
Positions (FLRTA)
1. AFC STRL organizations are authorized to use FLRTA to appoint
qualified candidates, whose positions involve 51 percent or more of
time spent in direct support of STRL activities, for a period of more
than one year but not more than six years. The appointment of any
individual under this authority may be extended without limit in up to
six-year increments at any time during any term of service under
conditions set forth in Mod Demo IOPs. The FLRTTA provisions described
above also apply to appointments made under this authority.
2. Term appointments, for the purposes of this authority, are non-
status appointments to a position in the competitive service for a
specified period of more than one year; however, incumbents may compete
as ``status candidates'' for the purpose of eligibility for positions
in the Federal service.
3. Qualified candidates are defined as individuals who meet the
minimum qualification standards for the position as published in the
OPM Qualification Standard or Mod Demo qualification standards specific
to the position to be filled.
10. Extended Probationary or Trial Period
At the discretion of the AFC STRL organizations, the probationary
period for DoD employees may be extended to three years for all newly
hired permanent career-conditional employees, and trial periods for
term appointments may also be extended to three years, as documented in
Mod Demo IOPs. The purpose of extending the probationary period is to
allow supervisors adequate time to fully evaluate an employee's ability
to complete cycles of work and to fully assess an employee's
contribution and conduct. The probationary period will apply to
employees as stated in 5 CFR part 315.
Aside from extending the time period, all other features of the
current probationary or trial period are retained to include the
requirements for determining creditable service as described in 5 CFR
315.802 (c), and the potential to remove an employee without providing
the full substantive and procedural rights afforded a non-probationary
employee when the employee fails to demonstrate proper conduct,
competency, and/or adequate contribution during the extended
probationary period. When terminating probationary or trial employees,
AFC STRL organizations will provide employees with written notification
of the reasons for their separation and effective date of the action.
Probationary employees may be terminated when they fail to
demonstrate proper conduct, technical competency, and/or acceptable
performance for continued employment, and for conditions arising before
employment.
11. Supervisory Probationary Periods
Supervisory probationary periods will be consistent with 5 CFR part
315, subpart I. Existing Federal employees who are competitively
selected or reassigned to a supervisory position will be required to
complete a supervisory probationary period for initial appointment to a
supervisory position. At the discretion of the AFC STRL organizations,
the probationary period for supervisory employees may be up to two
years. Additional requirements will be outlined in Mod Demo IOPs.
12. Reemployment of Annuitants
AFC STRL will use the authorities provided by 5 U.S.C. 9902(g) to
appoint reemployed annuitants, as appropriate. In addition, AFC STRL
organizations may determine the salary of an annuitant reemployed under
this authority, to include whether the annuitant's salary will be
reduced by any portion of the annuity received, up to the amount of the
full annuity, as a condition of reemployment.
a. AFC STRL organizations will apply the authority to appoint
annuitants in accordance with this FRN and DoDI 1400.25-V300, except as
stated above. Use of the authority must be consistent with merit system
principles.
b. Documenting Personnel Actions. For actions taken under the
auspices of the demonstration project, the first legal authority code
(LAC)/legal authority Z2U. The second LAC/legal authority may identify
the authority utilized (e.g., Direct Hires). The nature of action codes
and legal authority codes prescribed by OPM, DoD, or DA will be used.
c. AFC STRL organizations will publish implementing guidance and
procedures on the use of this reemployed annuitant flexibility in Mod
Demo IOPs.
d. Annuitants retired under 5 U.S.C. 8336(d)(1) or 8414(b)(1)(A)
who are reemployed will retain the rights provided in accordance with 5
U.S.C. 9902(g)(2)(A).
13. Student Loan Repayment
AFC STRL may provide student loan repayment options authorized in
85 FR 78829 that are in line with current tuition costs and may be
adjusted based on inflation without higher level approval. This
authority provides the AFC STRL the ability to repay all, or part of,
an outstanding qualifying student loan or loans previously taken out by
a current AFC STRL employee or a candidate to whom an offer of
employment has been made. The amount of student loan repayment benefits
provided by an AFC STRL organization is subject to both of the
following limits:
a. Up to $25,000 per employee per calendar year.
[[Page 62815]]
b. Up to $125,000 per employee.
The USD(R&E) may increase these amounts when deemed necessary to
stay competitive with private industry and academia. Eligibilities,
conditions, qualifying student loans, and required service agreements
remain the same as found in 5 CFR part 537. Loan payments made by an
AFC STRL organization under this part do not exempt an employee from
his or her responsibility and/or liability for any loan(s) the
individual has taken out. The employee is responsible for any income
tax obligations resulting from the student loan repayment benefit.
F. Volunteer Emeritus and Expert Program (VEP)
AFC STRL will have the authority to offer voluntary assignments to
former Federal employees who have retired or separated from the Federal
service and U.S. citizens who are retired, separated, or on sabbatical
from private or public sector organizations. Volunteer emeritus will
ensure continued quality research while reducing the overall salary
line by allowing higher paid individuals to accept retirement
incentives with the opportunity to retain a presence in the scientific
community. Volunteer experts will bring commercial sector or public
sector knowledge and experience into AFC STRL. Volunteers will not be
used to replace any government personnel or interfere with their career
opportunities. Volunteers may not be used to replace or substitute for
work performed by government personnel occupying positions required to
perform the AFC STRL's mission. Volunteer assignments are not
considered ``employment'' by the Federal government (except as
indicated below).
To be accepted as a volunteer, an individual must be a U.S. citizen
and must be recommended by an AFC STRL manager to the AFC STRL
organization approval authority. No one is entitled to participate in
the program, and an application to the program does not guarantee
acceptance into the program or assignment at AFC STRL. AFC STRL
organizations must clearly document the decision process and decision
rationale for each volunteer applicant (regardless of whether the
applicant is accepted or rejected from the program) and must retain
this documentation throughout the assignment (for accepted applicants),
or for two years (for rejected applicants). Volunteer participants will
not be permitted to perform any inherently governmental function or to
participate in any contracts or solicitations for which the participant
has a conflict of interest. Volunteer participants are not permitted to
participate in contract source selections, nor are they permitted to
have access to contractor bid or proposal information or source
selection information, or to data or information that is protected by
the Trade Secrets Act (18 U.S.C. 1905) without a written agreement
between the volunteer and the owner of the data or information.
To ensure success and encourage participation, the volunteer
Emeritus' Federal retirement pay (whether military or civilian) will
not be affected while serving in a volunteer capacity. Retired or
separated Federal employees may accept an emeritus position without a
break or mandatory waiting period.
An agreement will be established between the volunteer and the AFC
STRL organization. The agreement will be reviewed by the servicing
legal office. The agreement must be finalized before the assumption of
duties and will include:
(1) A statement that the voluntary assignment does not constitute
an appointment in the civil service and is without compensation, and
any and all claims against the Government (because of the voluntary
assignment) are waived by the volunteer;
(2) A statement that the volunteer will be considered a federal
employee solely for the purpose of:
<bullet> 18 U.S.C. 201, 203, 205, 207, 208, 209, 603, 606, 607,
643, 654, 1905, and 1913;
<bullet> 31 U.S.C. 1343, 1344, and 1349(b);
<bullet> 5 U.S.C. chapters 73 and 81;
<bullet> The Ethics in Government Act of 1978;
<bullet> 41 U.S.C. chapter 21;
<bullet> 28 U.S.C. chapter 171 (tort claims procedure), and any
other Federal tort liability statute;
<bullet> 5 U.S.C. 552a (records maintained on individuals)
(3) The volunteer's work schedule;
(4) The length of the agreement (defined by length of project or
time defined by weeks, months, or years);
(5) The support to be provided by the AFC STRL organization
(travel, administrative, office space, supplies);
(6) The volunteer's duties;
(7) A provision allowing either party to void the agreement with at
least two working days' written notice;
(8) A provision that states no additional time will be added to a
volunteer's service credit for such purposes as retirement, severance
pay, and leave as a result of being a participant in the VEP;
(9) The level of security access required (any security clearance
required by the assignment will be managed by the AFC STRL organization
while the participant is a member of the VEP);
(10) A provision that any written products prepared for publication
that are related to VEP participation will be submitted to the AFC STRL
organization for review and must be approved prior to publication;
(11) A statement that the volunteer accepts accountability for loss
or damage to Government property occasioned by the volunteer's
negligence or willful action;
(12) A statement that the activities of the volunteer on the
premises will conform to the regulations and requirements of the
organization;
(13) A statement that the volunteer will not improperly use or
disclose any non-public information, to include any pre-decisional or
draft deliberative information related to DoD programming, budgeting,
resourcing, acquisition, procurement, or other matter, for the benefit
or advantage of the volunteer or any non-Federal entities. Volunteers
will handle all non-public information in a manner that reduces the
possibility of improper disclosure;
(14) A statement that the volunteer agrees to disclose any
inventions made in the course of work performed for AFC STRL. AFC STRL
will have the option to obtain title to any such invention on behalf of
the U.S. Government. Should the AFC CG elect not to take title, AFC
will retain a non-exclusive, irrevocable, paid up, royalty-free license
to practice or have practiced the invention worldwide on behalf of the
U.S. Government;
(15) A statement that the volunteer must complete either a
Confidential or Public Financial Disclosure Report, whichever applies;
a disqualification statement prohibiting the volunteer from working on
matters related to his or her former employer; and ethics training in
accordance with Office of Government Ethics regulations prior to
implementation of the written agreement; and
(16) A statement that the volunteer must receive post-government
employment advice from a DoD ethics counselor at the conclusion of
program participation. Volunteers are deemed Federal employees for
purposes of post-government employment restrictions.
A written Memorandum of Agreement (MOA) between the AFC STRL
organization and the volunteer is required and must include all items
above, regardless of format used. The use and wording of the MOA will
be provided in the IOPs of the AFC STRL organizations.
[[Page 62816]]
G. Internal Placement
1. Promotion
A promotion is the movement of an employee to a higher pay band in
the same career path or to another career path, wherein the pay band in
the new career path has a higher maximum base pay than the pay band
from which the employee is moving. Positions with known promotion
potential to a specific pay band within a career path will be
identified when they are filled. Movement from one career path to
another will depend upon individual competencies, qualifications, and
the needs of the organization. Salary progression within a pay band is
not considered a promotion and not subject to the provisions of this
section. Except as specified below, promotions will be processed under
competitive procedures in accordance with Merit System Principles and
requirements of the local merit promotion plan.
To be promoted competitively or non-competitively from one pay band
to the next, an employee must meet the minimum qualifications for the
job and may not have a Level 1 rating of record. If an employee does
not have a current performance rating, the employee will be treated the
same as an employee with a Level 2 rating of record as long as there is
no documented evidence of unacceptable performance.
2. Reassignment
A reassignment is the movement of an employee from one position to
a different position within the same career path and pay band or to
another career path and pay band wherein the pay band in the new career
path has the same maximum base pay. The employee must meet the
qualification requirements for the career path and pay band.
3. Placement in a Lower Pay Band or Grade
An employee may be placed in a lower pay band within the same
career path or placement into a pay band in a different career path
with a lower maximum base pay. This change may be voluntary based on a
request from the employee or involuntary, for cause (performance or
conduct) or for reasons other than cause (e.g., erosion of duties,
reclassification of duties to a lower pay band, placement actions
resulting from RIF procedures). Involuntary actions will be executed
using the applicable adverse action procedures in 5 U.S.C. chapter 43
or chapter 75.
4. Simplified Assignment Process
Today's environment of remote work and fluctuating budgets,
workforce and workload requires that the organization have maximum
flexibility to assign duties and responsibilities to individuals. Pay
banding can be used to address this need, as it enables the
organization to have maximum flexibility to assign an employee with no
change in base pay, within broad descriptions, consistent with the
needs of the organization and the individual's qualifications, and
level. Subsequent assignments to projects, tasks, or functions anywhere
within the organization requiring the same level, area of expertise,
and qualifications would not constitute an assignment outside the scope
or coverage of the current position description. For instance, a
Research Psychologist could be assigned to any project, task, or
function requiring similar expertise. Likewise, a manager/supervisor
could be assigned to manage any similar function or organization
consistent with that individual's qualifications. This flexibility
allows broader latitude in assignments and further streamlines the
administrative process and system. Execution of such actions may
require fulfilling labor obligations, where applicable.
5. Details and Expanded Temporary Promotions
Employees may be detailed to a position at the same or similar
level (position in a pay band with the same maximum salary).
Additionally, employees may be temporarily promoted to a position in a
pay band with a higher maximum salary. Details and temporary promotions
may be competitive or non-competitive under the AFC STRL Mod Demo and
up to one year, with the option to extend for two years. Employees
selected non-competitively for details and temporary promotions may
only serve in those assignments for a total of two years out of every
thirty months. A detail may be affected without a change in pay or may
result in a base pay increase when the detail significantly increases
the complexity, responsibility, authority, or for other compelling
reasons. Such an increase is subject to the specific guidelines
established by AFC STRL organizations as published in their IOP's.
Details and temporary promotions may be determined by a competitive or
a non-competitive process.
6. Exceptions to Competitive Procedures for Assignment to a Position
The following actions are excepted from competitive procedures:
a. Re-promotion to a position which is in the same pay band or GS
equivalent and career path as the employee previously held on a
permanent basis within the competitive service.
b. Promotion, reassignment, change to lower pay band, transfer, or
reinstatement to a position having promotion potential no greater than
the potential of a position an employee currently holds or previously
held on a permanent basis in the competitive service.
c. A position change permitted by RIF procedures.
d. Promotion without current competition when the employee was
appointed through competitive procedures to a position with a
documented career ladder.
e. A temporary promotion, or detail to a position in a higher pay
band, of two years or less.
f. A promotion due to the reclassification of positions based on
accretion (addition) of duties.
g. A promotion resulting from the correction of an initial
classification error or the issuance of a new classification standard.
h. Consideration of a candidate who did not receive proper
consideration in a competitive promotion action.
H. Pay Setting
1. General
Pay administration policies will be established by the AFC STRL
organizations. These policies will be exempt from Army Regulations or
local pay fixing policies. Employees whose performance is acceptable
will receive the full annual GPI and the full locality pay. AFC STRL
organizations shall have delegated authority to make full use of
recruitment, retention, and relocation payments as currently provided
for by OPM.
2. Pay and Compensation Ceilings
A demonstration project employee's total monetary compensation paid
in a calendar year may not exceed the base pay of Level I of the
Executive Schedule consistent with 5 U.S.C. 5307 and 5 CFR part 530
subpart B, except employees placed in an SSTM position. In addition,
each pay band will have its own pay ceiling, just as grades do in the
GS system. Base pay rates for the various pay bands will be directly
tied to the GS rates, except as noted for S&E Level V (SSTMs). Other
than where a retained rate applies, base pay will be
[[Page 62817]]
limited to the maximum base pay payable for each pay band.
The minimum basic pay for SSTM positions is 120 percent of the
minimum rate of basic pay for GS-15. Maximum SSTM basic pay with
locality pay is limited to Executive Level III (EX-III), and maximum
salary without locality pay may not exceed EX-IV.
3. Pay Setting for Appointment
For initial appointments to Federal service, the individual's pay
may be set at the lowest base pay in the pay band or anywhere within
the pay band consistent with the special qualifications of the
individual, specific organizational requirements, the unique
requirements of the position, or other compelling reasons. These
special qualifications may be in the form of education, training,
experience or any combination thereof that is pertinent to the position
in which the employee is being placed. Guidance on pay setting for new
hires will be documented in IOPs.
4. Pay Setting for Promotion
The minimum base pay increase upon promotion will be six percent or
the minimum base pay rate of the new pay band, whichever is greater.
The maximum amount of a pay increase for a promotion may be up to the
top of the pay band consistent with the special qualifications of the
individual, specific organizational requirements, the unique
requirements of the position, or other compelling reason. Additional
criteria will be specified in the IOPs. For employees assigned to
occupational categories and geographic areas covered by special rates,
the minimum base pay is the minimum rate in the pay band or the
corresponding special rate or locality rate, whichever is greater. For
employees covered by a staffing supplement as described in paragraph
III.G.9 below, the demonstration staffing supplement adjusted pay is
considered base pay for promotion calculations.
When a temporary promotion is terminated, the employee's pay
entitlements will be re-determined based on the employee's position of
record, with appropriate adjustments to reflect pay events during the
temporary promotion, subject to the specific policies and rules
established in Mod Demo IOPs. In no case may those adjustments increase
the base pay for the position of record beyond the applicable pay range
maximum base pay rate.
5. Pay Setting for Reassignment
A reassignment may be made without a change in the employee's base
pay. However, up to ten percent base pay increase may be granted where
a reassignment significantly increases the complexity, responsibility,
authority, or for other compelling reasons subject to the specific
guidelines established in Mod Demo IOPs. In no case may those
adjustments increase the base pay for the position of record beyond the
applicable pay range maximum base pay rate.
6. Pay Setting for Change to Lower Pay Band
Employees subject to an involuntarily change to lower pay band for
cause (performance or conduct) or voluntary change to lower pay band
(request or selection to new position) are not entitled to pay
retention and may receive a decrease in base pay. Employees subject to
an involuntary change to a lower pay band for reasons other than cause
(e.g., erosion of duties, reclassification of duties to a lower pay
band, or placement actions resulting from RIF procedures) may be
entitled to pay and grade retention in accordance with the provisions
of 5 U.S.C. 5363 and 5 CFR part 536, except as waived or modified in
Section IX of this plan.
7. Supervisory and Team Leader Pay Adjustments
Supervisory and team leader pay adjustments may be approved based
on the rules established in Mod Demo IOPs, to compensate employees with
supervisory or team leader responsibilities. Supervisory and team
leader pay adjustments are a tool that may be implemented at the
discretion of the AFC STRL organization and are not to be considered an
employee entitlement due solely to his/her position as a supervisor or
team leader. Only employees in supervisory or team leader positions as
defined by the OPM GS Supervisory Guide or GS Leader Grade Evaluation
Guide may be considered for the pay adjustment. Pay adjustments are
increases to base pay, ranging up to 10 percent of that pay rate for
supervisors and for team leaders, and are subject to the constraint
that the adjustment may not cause the employee's base pay to exceed the
maximum of the pay band. Pay adjustments are funded separately from
performance pay pools.
A supervisory/team leader pay adjustment may be considered under
the following conditions:
a. New supervisory/team leaders will have their initial rate of
base pay for new supervisory/team leader positions set within the pay
range of the applicable pay band and rules established by the AFC STRL
organization. Request for initial rate of pay will be made to the
delegated authorizing official. This rate of pay may include a pay
adjustment determined by using the ranges and criteria outlined in the
AFC STRL organization IOP.
b. A career employee selected for a supervisory/team leader
position may also be considered for a base pay adjustment. If a
supervisor/team leader is already receiving a base pay adjustment and
is subsequently selected for another supervisor/team leader position,
then the base pay adjustment will be re-determined. After conversion
into the demonstration project, a career employee selected for a
supervisory/team leader position may be considered for a pay adjustment
into the same or substantially similar position, supervisors/team
leaders will be converted at their existing base rate of pay and will
not be eligible for a base pay adjustment.
c. The supervisory/team leader pay adjustment will be reviewed
annually, or more often as needed, and may be increased or decreased by
a portion or by the entire amount of the supervisory/team leader pay
adjustment based upon the employee's performance appraisal score. If
the entire portion of the supervisory/team leader pay adjustment is to
be decreased, the initial dollar amount of the supervisory/team leader
pay adjustment will be removed. A decrease to the supervisory/team
leader pay adjustment as a result of the annual review or when an
employee voluntarily leaves a position is not an adverse action and is
not subject to appeal.
All personnel actions involving a supervisory/team leader pay
adjustment will require a statement signed by the employee
acknowledging that the pay adjustment may be terminated or reduced at
the discretion of the organization or will cease when an employee
leaves a supervisory position. The cancellation of the adjustment is
not an adverse action and is not appealable.
8. Supervisory/Team Leader Pay Differentials
Supervisory and team leader pay differentials may be used to
provide an incentive and reward supervisors and team leaders.
Supervisory and team leader pay differentials are a tool that may be
implemented at the discretion of the AFC STRL organization and are not
entitlements due to employees based on their position. A pay
differential is a cash incentive that may range up to 10 percent of
base pay for supervisors and for team leaders. It is paid on a pay
period basis with a specified not-to-
[[Page 62818]]
exceed (NTE) of one year or less and is not included as part of the
base pay. Criteria to be considered in determining the amount of the
pay differential will be identified in the AFC organization IOP. Pay
differentials are not funded from performance pay pools.
For SSTM personnel, this incentive may range up to five percent of
base pay (excluding locality pay). The SSTM supervisory pay
differential is paid on a pay period basis with a specified not-to-
exceed date up to one year and may be renewed as appropriate.
The supervisory pay differential may be considered, either during
conversion into or after initiation of the AFC STRL Mod Demo. The
differential must be terminated if the employee is removed from a
supervisory position, regardless of cause, or no longer meets
established eligibility criteria.
All personnel actions involving a supervisory/team leader
differential will require a statement signed by the employee
acknowledging that the differential may be terminated or reduced at the
discretion of the organization. The termination or reduction of the
supervisory differential is not considered an adverse action under 5
U.S.C. chapter 75 and is not subject to appeal with the Merit Systems
Protection Board.
9. Staffing Supplements
Employees assigned to occupational categories and geographic areas
covered by special rates will be entitled to a staffing supplement if
the maximum adjusted rate for the banded GS grades to which assigned is
a special rate that exceeds the maximum GS locality rate for the banded
grades. The staffing supplement is added to the base pay, much like
locality rates are added to base pay. For employees being converted
into the demonstration project, total pay immediately after conversion
will be the same as immediately before, but a portion of the total pay
will be in the form of a staffing supplement. Adverse action and pay
retention provisions will not apply to the conversion process, as there
will be no change in total salary. Specific provisions will be
described in Mod Demo IOPs.
10. Distinguished Contribution Allowance (DCA)
The DCA may be used by AFC STRL organizations to provide an
increased capability to recognize and incentivize employees who are:
(a) Consistently extremely high-level performers, and
(b) Paid at the top of their pay band level.
Eligibility for DCA is open to employees in all career paths. A
DCA, when added to an employee's pay (to include locality pay and any
supervisory differential), may not exceed the rate of basic pay for
Executive Level I. DCA is paid on either a bi-weekly basis or as a lump
sum following completion of a designated performance period, or
combination of these. DCA is not an entitlement and is used at the
discretion of AFC STRL organization to reward and retain high
performing employees. DCA is not base pay for any purpose, such as
retirement, life insurance, severance pay, promotion, or any other
payment or benefit calculated as a percentage of base pay. Employees
may receive a DCA for up to five years but not more than 10 cumulative
years over an employee's entire career. The DCA will be reviewed on an
annual basis for continuation or termination. Further details will be
published in Mod Demo IOPs.
11. Accelerated Compensation for Developmental Positions (ACDP)
AFC STRL Mod Demo approving authorities may authorize an increase
to basic pay for employees participating in training programs,
internships, or other developmental capacities. ACDP will be used to
recognize development of job-related competencies.
The use of ACDP is limited to employees in pay bands I and II in
the B&T and S&E career paths. Additional guidance will be published in
IOPs.
12. Supplemental Pay
AFC STRL organizations may establish supplemental pay rates to be
paid bi-weekly, as other pay, for those positions which warrant higher
compensation than that provided by the established pay band salary
ranges, STRL staffing supplements or differentials, or other
recruitment or retention authorities. AFC STRL organizations may
establish supplemental pay rates by occupational series, specialty,
competency, pay band level, and/or geographical area. In establishing
such rates, AFC STRL organizations may consider: rates of pay offered
by non-Federal or other alternative pay system employers that are
considerably higher than rates payable by the AFC STRL organization;
the remoteness of the area or location involved; the undesirability of
the working conditions or nature of the work involved; evidence that
the position is of such a specialized nature that very few candidates
exist; numbers of employees who have voluntarily left positions;
evidence to support a conclusion that recruitment or retention problems
likely will develop (if such problems do not already exist) or will
worsen; consideration of use of other pay flexibilities as well as the
use of non-pay solutions; or any other circumstances the AFC STRL
organization considers appropriate. Documentation of the determination
will be maintained by the AFC STRL organization.
This supplemental pay is in addition to any other pay, such as
locality-based comparability payments authorized under 5 U.S.C. 5304
and may result in compensation above Level IV of the Executive Schedule
but may not exceed Level I of the Executive Schedule.
The AFC STRL organizations have an ongoing responsibility to
evaluate the need for continuing payment of the supplemental pay and
shall terminate or reduce the amount if conditions warrant. Conditions
to be considered are: changes in labor-market factors; the need for the
services or skills of the employee has reduced to a level that makes it
unnecessary to continue payment at the current level; or budgetary
considerations make it difficult to continue payment at the current
level. The reduction or termination of the payment is not considered an
adverse action and may not be appealed or grieved. The applicant or
employee will sign a statement of understanding outlining that the
supplement may be reduced or terminated at any time based on conditions
as determined by the AFC STRL organization. The documentation of the
determination will be maintained by the AFC STRL organization.
13. Retention Counteroffers
The AFC STRL organizations may offer a retention counteroffer to
retain high performing employees in scientific, technical, or
administrative positions who present evidence of an alternative
employment opportunity (Federal or non-federal organizations) with
higher compensation. Such employees may be provided increased base pay
(up to the ceiling of the pay band) and/or a one-time cash payment that
does not exceed 50 percent of one year of base pay. This flexibility
addresses the expected benefits described in paragraph II.C,
particularly ``increased retention of high-quality employees.''
Retention allowances, either in the form of a base pay increase and/or
a bonus, count toward the Executive Level I aggregate limitation on pay
consistent with 5 U.S.C. 5307, and 5 CFR part 530, subpart B. Further
details will be published in Mod Demo IOPs.
[[Page 62819]]
I. Employee Development
1. Training for Degrees
Degree training is an essential component of an organization that
requires continuous acquisition of advanced and specialized knowledge.
Degree training in the academic environment of laboratories is also a
critical tool for recruiting and retaining employees with critical
skills. Constraints under current law and regulation limit degree
payment to shortage occupations. In addition, current government-wide
regulations authorize payment for degrees based only on recruitment or
retention needs. Degree payment is currently not permitted for non-
shortage occupations involving critical skills.
AFC STRL organizations may expand the authority to provide degree
training for purposes of meeting critical skill requirements, to ensure
continuous acquisition of advanced and specialized knowledge essential
to the organization, or to recruit and retain personnel critical to the
present and future requirements of the organization. It is expected
that the degree payment authority will be used primarily for attainment
of advanced degrees. AFC STRL organizations will document guidelines
and rules for using this authority in Mod Demo IOPs.
2. Sabbaticals
AFC Mod STRL organizations may grant paid sabbaticals to career
employees to permit them to engage in study or uncompensated work
experience that will contribute to their development and effectiveness.
Each sabbatical should benefit AFC as well as increase the employee's
individual effectiveness. Examples are: advanced academic teaching,
study, or research; self-directed (independent) or guided study; and
on-the-job work experience with a public, private, or nonprofit
organization. Each recipient of a sabbatical must sign a continued
service agreement and agree to serve a period equal to at least three
times the length of the sabbatical. AFC STRL organizations will
document guidelines and rules for using this authority in their IOPs.
J. Voluntary Early Retirement Authority (VERA) and Voluntary Separation
Incentive Pay (VSIP)
AFC STRL will use the authorities provided by 5 U.S.C. 9902(f) to
offer VERA and VSIP, as appropriate. The AFC CG may:
(1) Approve the use of voluntary early retirement and separation
pay incentives;
(2) Determine which categories of employees should be offered such
incentives; and
(3) Determine the amount of voluntary separation incentive
payments.
AFC STRL organization IOPs will contain procedures to validate and
document that payment of an incentive to an employee is fully warranted
and will judiciously ensure that eligibility factors specified in DoDI
1400.25, Volume 1702, ``DoD Civilian Personnel Management System:
Voluntary Separation Programs,'' other than those waived in this FRN,
are applied.
Before authorizing the use of VERA and VSIP incentives, the AFC CG
must determine that the use of such incentives is necessary to shape
the laboratory workforce to better fulfill mission requirements and
achieve the optimum workforce balance. If the laboratory workforce is
being downsized, incentives may be used to minimize the need for
involuntary separations under RIF procedures. In this downsizing
scenario, early retirement and/or separation incentive pay may be
offered to surplus employees who would otherwise be separated through
RIF or to non-surplus employees whose positions could then be used to
avert the involuntary RIF separation of surplus employees.
VERA and VSIP incentives may also be used to restructure the
laboratory workforce without reducing the number of assigned personnel.
In this restructuring scenario, incentives may be offered for the
purpose of creating vacancies that will be reshaped to align with
mission objectives. Restructuring incentives are helpful in situations
such as correcting an imbalance of skills or for delayering an
organization.
AFC STRL organizations will administer VERA and VSIP incentives in
accordance with DoD Instruction 1400.25, Volume 1702, with the
following exceptions to Enclosure 3, ``Guidance and Procedures:''
(1) Par. 2.a.(6)(b) is waived to the extent that AFC STRL
organizations may utilize the vacancy to correct a skills mismatch
without restructuring the position.
(2) Par. 2.a.(7) is waived to the extent that AFC STRL
organizations may offer VSIP in an amount set by the AFC CG annually,
without regard to the amount of severance pay employees would receive
under 5 U.S.C. 5595(c) if the employees were entitled to severance pay.
AFC STRL organizations will document their rationale for determining
payment amounts.
(3) Par. 2.b.(3)(d) is waived to the extent that a waiver is not
required for employees occupying positions defined as ``hard to fill.
(4) Par. 2.c. is waived to the extent that AFC STRL organization
approval authorities may approve voluntary separation incentives for
Senior Scientific Technical Managers (SSTMs). The SSTM position need
not be abolished and may be restructured to meet mission requirements
(5) Par. 2.g.(1) is waived to the extent that the AFC STRL
organizations may pay up to an amount approved by the AFC CG for VSIP
from appropriations or accounts available for such purposes to avoid an
involuntary separation or to effect a restructuring action.
AFC STRL organizations will establish implementing guidance and
procedures in their IOPs.
IV. Conversion
A. Conversion into the Demonstration Project
Conversion from current GS grade and pay into the new pay band
system will be accomplished during implementation of the demonstration
project. Initial entry into the demonstration project will be
accomplished through a full employee-protection approach that ensures
each employee an initial place in the appropriate career path and pay
band without loss of pay on conversion.
Employees are placed in a career path (i.e., DB, DE, DK) based upon
their occupational series and in a pay band that includes their current
grade. The GS-14 grade occurs in two pay bands of the S&E and B&T
career paths, which are pay band III and pay band IV. The placement of
GS-14 employees will be decided upon a review of each position's duties
and responsibilities. Placement of a GS-14 into pay band III, however,
is not placement in a lower-graded position. Additional guidance will
be included in Mod Demo IOPs and conversion operations will be overseen
by the PMB. Under the GS pay structure, employees progress through
their assigned grade in step increments. Since this system is being
replaced under the demonstration project, employees will be awarded
that portion of the next higher step they have completed up until the
effective date of conversion.
Rules Governing Within Grade Increases (WGIs) will continue in
effect until conversion. Adjustments to the employee's base salary for
WGI equity will be computed as of the effective date of conversion. WGI
equity will be acknowledged by increasing base pay by a prorated share
based upon the number of full weeks an employee has completed toward
the next higher step.
[[Page 62820]]
Payment will equal the value of the employee's next WGI multiplied by
the proportion of the waiting period completed (weeks completed in
waiting period/weeks in the waiting period) at the time of conversion.
Employees at step 10, or receiving retained rates, on the day of
implementation will not be eligible for WGI equity adjustments since
they are already at or above the top of the step scale. Employees
serving on retained grade will receive WGI equity adjustments provided
they are not at step 10 or receiving a retained rate.
Employees serving under temporary and term appointments will be
converted and may continue their temporary and term appointments up to
their established, current NTE date. Extensions of temporary
appointments after conversion may be extended based on original
appointment and Temporary and Term guidance identified in this FRN.
Employees on a PIP will remain in their current system until the
conclusion of the PIP and a decision is rendered.
Conversion rules will apply to employees who did not convert
initially or who are in positions that are involuntarily reassigned to
the AFC STRL Mod Demo. If conversion into the demonstration project is
accompanied by a geographic move, the employee's GS pay entitlements in
the new geographic area must be determined before performing the pay
conversion.
Grade and pay retention entitlements are eliminated at the time of
conversion in the demonstration project. An employee on grade retention
will be converted to the career path and pay band based on the
employee's assigned position, not the retained grade. The employee's
basic pay and adjusted basic pay while on grade retention status will
be used in setting appropriate pay upon conversion and in determining
the amount of any WGI equity adjustment. An employee's adjusted basic
pay will not be reduced upon conversion.
Initial probationary period. Employees who have completed an
initial probationary period prior to conversion will not be required to
serve a new or extended initial probationary period. Employees who are
serving an initial probationary period upon conversion from GS will
serve the time remaining on their initial probationary period.
Supervisory probationary period. Employees who have completed a
supervisory probationary period prior to conversion will not be
required to serve a new or extended supervisory probationary period
while in their current position. Employees who are serving a
supervisory probationary period upon conversion will serve the time
remaining on their supervisory probationary period.
B. Conversion or Movement From a Project Position to a General Schedule
Position
If a demonstration project employee is moving to a GS position not
under the demonstration project, or if the project ends and each
project employee must be converted back to the GS system, the following
procedures will be used to convert the employee's project career path
and pay band to a GS-equivalent grade and the employee's project rate
of pay to GS equivalent rate of pay.
The converted GS grade and GS rate of pay must be determined before
movement or conversion out of the demonstration project and any
accompanying geographic movement, promotion, or other simultaneous
action. For conversions upon termination of the project and for lateral
reassignments, the converted GS grade and rate will become the
employee's actual GS grade and rate after leaving the demonstration
project (before any other action). For employee movement from within
DoD (transfers), promotions, and other actions, the converted GS grade
and rate will be used in applying any GS pay administration rules
applicable in connection with the employee's movement out of the
project (e.g., promotion rules, highest previous rate rules, pay
retention rules), as if the GS converted grade and rate were in effect
immediately before the employee left the demonstration project.
1. Grade Setting Provisions
An employee in a pay band corresponding to a single GS grade is
converted to that grade. An employee in a pay band corresponding to two
or more grades is converted to one of those grades according to the
following rules:
a. The employee's adjusted rate of basic pay under the
demonstration project (including any locality payment or staffing
supplement) is compared with step four rates on the highest applicable
GS rate range. (For this purpose, a ``GS rate range'' includes a rate
in (1) the GS base schedule, (2) the locality rate schedule for the
locality pay area in which the position is located, or (3) the
appropriate special rate schedule for the employee's occupational
series, as applicable.) If the series is a two-grade interval series,
odd-numbered grades are considered below GS-11.
b. If the employee's adjusted project rate equals or exceeds the
applicable step four rate of the highest GS grade in the band, the
employee is converted to that grade.
c. If the employee's adjusted project rate is lower than the
applicable step four rate of the highest grade, the adjusted rate is
compared with the step four rate of the second highest grade in the
employee's pay band. If the employee's adjusted rate equals or exceeds
step four rate of the second highest grade, the employee is converted
to that grade.
d. This process is repeated for each successively lower grade in
the pay band until a grade is found in which the employee's adjusted
project rate equals or exceeds the applicable step four rate of the
grade. The employee is then converted at that grade. If the employee's
adjusted rate is below the step four rate of the lowest grade in the
pay band, the employee is converted to the lowest grade.
e. Exception: An employee will not be converted to a lower grade
than the grade held by the employee immediately preceding a conversion,
lateral reassignment, or transfer from within DoD into the project,
unless since that time the employee has undergone a reduction in pay
band or accepted a lower pay band position.
If an employee is retaining a rate under the demonstration project,
the employee's GS-equivalent grade is the highest grade encompassed in
his or her pay band.
2. Equivalent Increase Determinations
Service under the AFC STRL Mod Demo is creditable for WGI purposes
upon conversion back to the GS pay system. Performance pay increases
(including a zero increase) under the demonstration project are
equivalent increases for the purpose of determining the commencement of
a WGI waiting period under 5 CFR 531.405(b).
3. Termination of Coverage Under the Demonstration Project Pay Plans
In the event employees' coverage under the AFC STRL Mod Demo pay
plan is terminated, employees move with their position to another
system applicable to AFC STRL employees. The grade of their
demonstration project position in the new system will be based upon the
position classification criteria of the gaining system. Employees may
be eligible for pay retention under 5 CFR part 536 when converted to
their positions classified under the new system, if applicable.
All personnel laws, regulations, and guidelines not waived by this
plan will
[[Page 62821]]
remain in effect. Basic employee rights will be safeguarded, and Merit
System Principles will be maintained.
4. S&E Level V Employees
S&E Pay Band V Employees: An employee in Level V of the S&E
occupational family will convert out of the demonstration project at
the GS-15 level. Procedures will be documented in IOPs to ensure that
employees entering Level V understand that if they leave the
demonstration project and their adjusted base pay under the
demonstration project exceeds the highest applicable GS-15, step 10
rate, there is no entitlement to retained pay. However, consistent with
79 FR 43722, July 28, 2014, pay retention may be provided, under
criteria established by Mod Demo IOPs, to SSTM members who are impacted
by a reduction in force, work realignment, or other planned management
action that would necessitate moving the incumbent to a position in a
lower pay band level within the STRL. Pay retention may also be
provided under such criteria when an SES or ST employee is placed in a
SSTM position as a result of reduction in force or other management
action. SSTM positions not entitled to pay retention above the GS-15,
step 10 rate will be deemed to be the rate for GS-15, step 10. For
those Level V employees paid below the adjusted GS-15, step 10 rate,
the converted rates will be set in accordance with the grade setting
provisions.
V. Implementation Training
Critical to the success of the demonstration project is the
training developed to promote understanding of the broad concepts and
finer details needed to implement and successfully execute Mod Demo.
Training will be tailored to address employee concerns and to encourage
comprehensive understanding of the demonstration project. Training will
be required both prior to implementation and at various times during
the life of the demonstration project.
A training program will begin prior to implementation and will
include modules tailored for employees, supervisors, and administrative
staff. Typical modules are:
(1) An overview of the demonstration project personnel system
(2) How employees are converted into and out of the system
(3) Career paths and pay banding
(4) The PFP system
(5) Defining performance objectives
(6) How to assign weights to performance elements
(7) Assessing performance and giving feedback
(8) New position descriptions
(9) Demonstration project administration and formal evaluation.
Various types of training are being considered, including videos,
video-teleconference tutorials, and train-the-trainer concepts. To the
extent possible, materials developed by other STRLs will be utilized
when appropriate to reduce implementation cost and to maintain
consistency in application of similar procedures across laboratories.
VI. Project Maintenance and Changes
Many aspects of a Demonstration Project are experimental. Minor
modifications to Mod Demo may be made from time to time as experience
is gained, results are analyzed, and conclusions are reached on how the
system is working. Flexibilities published in this Federal Register
Notice shall be available for use by all STRLs, if they wish to adopt
them.
VII. Evaluation Plan
A. Overview
Title 5 U.S.C. chapter 47 requires that an evaluation be performed
to measure the effectiveness of the demonstration project and its
impact on improving public management. A comprehensive evaluation plan
for the entire STRL demonstration program, originally covering 24 DoD
laboratories, was developed by a joint OPM/DoD Evaluation Committee in
1995. This plan was submitted to the then-Office of Defense Research &
Engineering and was subsequently approved. The main purpose of the
evaluation is to determine whether the waivers granted result in a more
effective personnel system and improvements in ultimate outcomes (i.e.,
organizational effectiveness, mission accomplishment, and customer
satisfaction). That plan, while useful, is dated and does not fully
afford the laboratories the ability to evaluate all aspects of the
demonstration project in a way that fully facilitates assessment and
effective modification based on actionable data. Therefore, in
conducting the evaluation, AFC will ensure USD(R&E) evaluation
requirements are met in addition to applying knowledge gained from
other DoD laboratories and their evaluations to ensure a timely, useful
evaluation of the demonstration project.
B. Evaluation Model
An evaluation model for the AFC STRL Mod Demo will identify
elements critical to an evaluation of the effectiveness of the
flexibilities. However, the main focus of the evaluation will be on
intermediate outcomes, i.e., the results of specific personnel system
changes which are expected to improve human resources management. The
ultimate outcomes are defined as improved organizational effectiveness,
mission accomplishment, and AFC customer satisfaction.
C. Method of Data Collection
Data from a variety of different sources will be used in the
evaluation. Information from existing management information systems
supplemented with perceptual survey data from employees will be used to
assess variables related to effectiveness. Multiple methods provide
more than one perspective on how the AFC STRL Mod Demo is working.
Information gathered through one method will be used to validate
information gathered through another. Confidence in the findings will
increase as they are substantiated by the different collection methods.
The following types of qualitative and/or quantitative data may be
collected as part of the evaluation: (1) Workforce data; (2) personnel
office data; (3) employee attitudes and feedback using surveys,
structured interviews, and focus groups; (4) local activity histories;
and/or, (5) core measures of laboratory effectiveness.
VIII. Demonstration Project Costs
A. Cost Discipline
An objective of the demonstration project is to ensure in-house
cost discipline. A baseline will be established at the start of the
project and labor expenditures will be tracked yearly. Implementation
costs (including project development, automation costs, step buy-in
costs, and evaluation costs) are considered one-time costs and will not
be included in the cost discipline. The Personnel Management Board will
track personnel cost changes and recommend adjustments if required to
achieve the objective of cost discipline.
B. Developmental Costs
Costs associated with the development of the personnel
demonstration project include software automation, training, and
project evaluation. All funding will be provided through the
organization's budget. The projected annual expenses are summarized in
Figure 7. Project evaluation costs are not expected to continue beyond
the first five years unless the results warrant further evaluation.
Additional cost may be
[[Page 62822]]
incurred as a part of the implementation and operation of the project.
[GRAPHIC] [TIFF OMITTED] TN17OC22.006
IX. Required Waivers to Laws and Regulations
The following waivers and adaptations of certain title 5 U.S.C. and
title 5 CFR provisions are required only to the extent that these
statutory provisions limit or are inconsistent with the actions
contemplated under this demonstration project. Nothing in this plan is
intended to preclude the demonstration project from adopting or
incorporating any law or regulation enacted, adopted, or amended after
the effective date of this demonstration project.
A. Waivers to Title 5, United States Code
Chapter 5, section 552a: Records. Waived to the extent required to
clarify that volunteers under the Voluntary Emeritus and Expert Program
are considered employees of the Federal government for purposes of this
section.
Chapter 31, section 3104: Employment of Specially Qualified
Scientific and Professional Personnel. Waived to allow SSTM authority.
Chapter 31, section 3132: The Senior Executive Service: Definitions
and exclusions. Waived as necessary to allow for the Level V SSTM
authority of the S&E pay band.
Chapter 33, subchapter I: Examination, Certification, and
Appointment. Waived except for sections 3302, 3321, and 3328 to the
extent necessary to allow direct hire authority for qualified
candidates whose positions involve 51 percent or more of time spent in
direct support of STRL activities, are identified by AFC STRL
organizations as hard to fill, have a history of high turnover, or
require unique, laboratory-related skillsets; and to the extent
necessary to allow employees appointed on flexible-length and
renewable-term appointments to apply for Federal positions as status
candidates.
Chapter 33, section 3308: Competitive Service; Examinations;
Educational Requirements Prohibited; Exceptions. Waived to the extent
necessary to allow the qualification determination as described in 85
FR 78829 and this FRN.
Chapter 33, section 3317(a): Competitive Service; certification
from registers. Waived insofar as ``rule of three'' is eliminated under
the demonstration projects.
Chapter 33, section 3318(a): Competitive Service, selection from
certificate. Waived to the extent necessary to eliminate the
requirement for selection using the ``Rule of Three'' and other
limitations on recruitment list.
Chapter 33, section 3321: Competitive Service; Probationary Period.
This section is waived only to the extent necessary to replace
``grade'' with ``pay band'' and to allow for probationary periods of
three years.
Chapter 33, section 3324-3325: Appointments to Scientific and
Professional Positions. Waived in its entirety to fully allow for
positions above GS-15 and allow SSTMs.
Chapter 33, section 3341: Waived in its entirety, to extend the
time limits for details.
Chapter 35, section 3522: Agency VSIP Plans; Approval. Waived to
remove the requirement to submit a plan to OPM prior to obligating any
resources for voluntary separation incentive payments.
Chapter 35, section 3523(b)(3): Related to voluntary separation
incentive payments. Waived to the extent necessary to utilize the
authorities authorized in this FRN.
Chapter 41, section 4107(a)(1), (2), (b)(1), and (3): Pay for
Degrees. Waived to the extent required to allow AFC to pay for all
courses related to a degree program approved by the AFC STRL
organizations.
Chapter 41, section 4108(a)-(c): Employee agreements; service after
training. Waived to the extent necessary to require the employee to
continue in the service of AFC for the period of the required service
and to the extent necessary to permit the AFC STRL to waive in whole or
in part a right of recovery.
Chapter 43, section 4301-4305: Related to performance appraisal.
These sections are waived to the extent necessary to allow provisions
of the performance management system as described in this FRN.
Chapter 51, section 5101-5112: Classification. Waived as necessary
to allow for the demonstration project pay banding system.
Chapter 53, section 5301-5307: Related to Pay Comparability System,
Special Pay Authority, and General Schedule Pay Rates. Waived to the
extent necessary to allow demonstration project employees, including
SSTM employees, to be treated as GS employees, and to allow base rates
of pay under the demonstration project to be treated as scheduled rates
of pay. SSTM pay will not exceed EX-IV and locality adjusted SSTM rates
will not exceed EX III. Waived in its entirety to allow for staffing
supplements.
Chapter 53, section 5331-5336: General Schedule Pay Rates. Waived
in its entirety to allow for the demonstration project's pay banding
system and pay provisions.
Chapter 53, section 5361-5366: Grade and pay retention. Waived to
the extent necessary to allow pay retention provisions described in
this FR notice and to allow SSTMs to receive pay retention as described
in 79 FR 43722.
Chapter 53, section 5379(a)(1)(A) and (b)(2): Student Loan
Repayment. Waived to the extent necessary to define agency as STRL and
to allow provisions of the student loan repayment authority as
described in this FRN.
Chapter 55, section 5545(d): Hazardous duty differential. Waived to
the extent necessary to allow demonstration project employees to be
treated as GS employees. This waiver does not apply to employees in
Level V of the S&E pay band.
Chapter 57, section 5753-5755: Recruitment and relocation, bonuses,
retention allowances, and supervisory differentials. Waived to the
extent necessary to allow: (a) employees and positions under the
demonstration project to be treated as employees and
[[Page 62823]]
positions under the GS, (b) employees in Level V of the S&E pay band to
be treated as ST and/or GS employees as appropriate, (c) previsions of
the retention counteroffer and incentives as described in this FRN, and
(d) to allow SSTMs to receive supervisory pay differentials as
described in 79 FR 43722.
Chapter 75, section 7501(1), 7511(a)(1)(A)(ii), and
7511(a)(1)(C)(ii): Adverse actions-definitions. Waived to the extent
necessary to allow for up to a three-year probationary period and to
permit termination during the extended probationary period without
using adverse action procedures for those employees serving a
probationary period under an initial appointment except for those with
veterans' preference. Waived to the extent necessary to allow for two-
year supervisory probationary periods and to permit re-assignment of
supervisors during the probationary period without adverse action
procedures for those employees serving in a supervisory probationary
period.
Chapter 75, section 7512(3): Adverse actions. Waived to the extent
necessary to replace ``grade'' with ``pay band.''
Chapter 75, section 7512(4): Adverse actions. Waived to the extent
necessary to provide that adverse action provisions do not apply to (1)
reductions in pay due to the removal of a supervisory or team leader
pay adjustment/differential upon voluntary movement to a non-
supervisory or non-team leader position or (2) decreases in the amount
of a supervisory or team leader pay adjustment/differential during the
annual review process.
Chapter 99, section 9902(f): Related to Voluntary Separation
Incentive Payments. Waived to the extent necessary to utilize the
authorities in this FRN.
B. Waivers to Title 5, Code of Federal Regulations
Part 212, section 212.301: Competitive Status Defined. Waived to
the extent necessary to allow individuals on flexible-length and
renewable term appointments to be considered status candidates as
defined in this FRN.
Part 300-330: Employment (General). Other than Subpart G of 300.
Waived to the extent necessary to allow provisions of the direct hire
authorities as described in 79 FR 43722, 82 FR 29280, and 85 FR 78829;
direct hire authority for qualified candidates whose positions involve
51 percent or more of time spent in direct support of STRL activities,
are identified by the STRLs as hard to fill, have a history of high
turnover, or require unique, laboratory-related skillsets.
Part 300, section 300.601-300.605: Time-in-Grade Restrictions.
Waived to eliminate time-in-grade restrictions in the demonstration
project.
Part 315, section 315.201(b): Waived to the extent necessary to
allow Flexible Length and Renewable Term Technical Appointments to be
considered non-temporary employment for the purposes of determining
creditable service toward career tenure.
Part 315, section 315.801(a), 315.801(b)(1), (c), and (e), and
315.802 (a) and (b): Probationary period and length of probationary
period. Waived to the extent necessary to (1) allow for up to a three-
year probationary period and to permit termination during the extended
probationary period without using adverse action procedures for those
employees serving a probationary period under an initial appointment
except for those with veterans' preference and (2) to the extent
necessary to allow for supervisory probationary periods to permit
reassignment during the supervisory probationary period without using
adverse action procedures for employees serving a probationary period.
Part 315, section 315.803(b): Agency Action during probationary
period (general). Waived to allow for termination during an extended
probationary period without using adverse action procedures under
subpart D of 5 U.S.C. part 752.
Part 315, section 315.804: Termination of probationers for
unsatisfactory performance or conduct. Waived to the extent necessary
to reduce a supervisor who fails to successfully complete a supervisory
probationary period to a lower grade/pay band.
Part 315, section 315.805: Termination of Probationers for
Conditions Arising before Appointment. Waived to the extent necessary
to permit termination during the extended probationary period without
using adverse procedures.
Part 315, section 315.901-315.909: Statutory requirement. Waived to
the extent necessary to
(1) Replace ``grade'' with ``pay band;''
(2) Establish a two-year supervisory probationary period; and
(3) Allow the movement of a newly hired supervisor who fails to
meet requirements to a lower grade/pay band.
Part 316, section 316.301, 316.303, and 316.304: Term employment.
Waived to the extent necessary to allow modified term appointments and
FLRTTA as described in this FRN. Waived to the extent necessary to
allow Flexible Length and Renewable Term Technical Appointments to
count toward competitive status. Waived to allow a two-year trial
period under the Flexible Length and Renewable Term Technical
Appointment.
Part 330, section 330.103-330.105: Requirement to Notify OPM and
Requirements for Vacancy Announcements. Waived to the extent necessary
to allow the STRL to publish competitive announcements outside of
USAJobs. Waived to the extent necessary to allow an STRL to determine
information to be published in a USAjobs flyer.
Part 332 and 335: Related to competitive examination and agency
promotion programs. Waived to the extent necessary to:
(1) Allow employees appointed on a Flexible Length and Renewable
Term Technical Appointment to apply for federal positions as status
candidates;
(2) Allow no rating and ranking when there are 15 or fewer
qualified applicants and no preference eligible candidates;
(3) Allow the hiring and appointment authorities as described in
this FRN;
(4) Eliminate the ``rule of three'' requirement or other procedures
to limit recruitment lists; and
(5) To extend the length of details and temporary promotions
without requiring competitive procedures as described in 85 FR 78829
and this FRN.
Part 335, section 335.103: Agency Promotion Programs. Waived to the
extent necessary to extend the length of details and temporary
promotions without requiring competitive procedures or numerous short-
term renewals.
Part 337, section 337.101(a): Rating applicants. Waived to the
extent necessary to allow referral without rating when there are 15 or
fewer qualified candidates and no qualified preference eligible
candidates.
Part 338, section 338.301: Competitive Service Appointment. Waived
to the extent necessary to allow demonstrated exceptional experience or
a combination of experience and education in lieu of meeting OPM
individual occupational qualification requirements for S&E positions as
described in 85 FR 78829 and this FRN.
Part 340, Subparts A-C: Other than full-time career employment.
These subparts are waived to the extent necessary to allow a Voluntary
Emeritus Corps and Voluntary Expert Program.
Part 351, Subparts B, D, E, F, and G: Waived to the extent
necessary to allow the provisions of RIF.
[[Page 62824]]
Part 359, section 359.705: Related to SES Pay. Waived to allow
demonstration project rules governing pay retention to apply to a
former SES or ST placed on an SSTM position or Level IV position.
Part 410, section 410.308(a-e): Training to obtain an academic
degree. Waived to the extent necessary to allow provisions described in
this FRN.
Part 410, section 410.309: Agreements to Continue in Service.
Waived to the extent necessary to allow the AFC STRL organizations to
determine requirements related to continued service agreements,
including employees under the Student Educational Employment Program
who have received tuition assistance.
Part 430, Subpart B: Performance appraisal for GS, prevailing rate,
and certain other employees. Waived to the extent necessary to be
consistent with the demonstration project's pay-for-performance system.
Part 432, section 432.102-432.106: Performance based reduction in
grade and removal actions. Waived to the extent necessary to allow
provisions described in the FRN.
Part 511: Classification under the general schedule. Waived to the
extent necessary to allow classification provisions outlined in this FR
to include the list of issues that are neither appealable nor
reviewable, the assignment of series under the project plan to
appropriate career paths; and to allow appeals to be decided by the AFC
EDCG. If the employee is not satisfied with the AFC EDCG's response to
the appeal, he/she may then appeal to the DoD appellate level.
Part 530, Subpart C: Special Rate Schedules for Recruitment and
Retention. Waived in its entirety to allow for staffing supplements, if
applicable.
Part 531, Subparts B, D, and E: Determining the Rate of Basic Pay.
Waived to the extent necessary to allow for pay setting and pay-for-
performance under the provisions of the demonstration project. Within-
Grade Increases and Quality Step Increases. Waived in its entirety.
Part 531, Subpart F: Locality-based comparability payments. Waived
to the extent necessary to allow (1) demonstration project employees,
except employees in Level V of the S&E pay band, to be treated as GS
employees; and (2) base rates of pay under the demonstration project to
be treated as scheduled annual rates of pay.
Part 531, section 531.604: Determining an Employee's Locality Rate.
Waived to the extent required to allow for routine or permanent
telework employees to receive the higher of locality rates based on
either their official worksite as documented on the SF 50 or the
official duty site for AFC where the employee is employed from.
Part 536: Grade and pay retention. Waived to the extent necessary
to
(1) Replace ``grade'' with ``pay band;''
(2) Provide that pay retention provisions do not apply to
conversions from GS special rates to demonstration project pay, as long
as total pay is not reduced, and to reductions in pay due solely to the
removal of a supervisory pay adjustment upon voluntarily leaving a
supervisory position;
(3) Allow demonstration project employees to be treated as GS
employees;
(4) Provide that pay retention provisions do not apply to movements
to a lower pay band as a result of not receiving the general increase
due to an annual performance rating of record of ``Level 1;''
(5) provide that an employee on pay retention whose rating of
record is ``Level 1'' is not entitled to 50 percent of the amount of
the increase in the maximum rate of base pay payable for the pay band
of the employee's position;
(6) ensure that for employees of Pay Band V in the S&E career path,
pay retention provisions are modified so that no rate established under
these provisions may exceed the rate of base pay for GS-15, step 10
(i.e., there is no entitlement to retained rate); and
(7) Provide that pay retention does not apply to reduction in base
pay due solely to the reallocation of demonstration project pay rates
in the implementation of a staffing supplement. This waiver applies to
ST employees only if they move to a GS-equivalent position within the
demonstration project under conditions that trigger entitlement to pay
retention.
Part 536, section 536.306(a): Limitation on retained rates. Waived
to the extent necessary to allow SSTMs to receive pay retention as
described in 79 FR 43727.
Part 537: Repayment of Student Loans. Waived to the extent
necessary to define agency as STRL and to allow provisions of the
student loan repayment authority.
Part 550, section 550.902: Definitions. Waived to the extent
necessary to allow demonstration project employees to be treated as GS
employees. This waiver does not apply to employees in Level V of the
S&E pay band.
Part 575, Subparts A-D: Recruitment incentives, relocation
incentives, retention incentives, and supervisory differentials. Waived
to the extent necessary to allow
(1) Employees and positions under the demonstration project covered
by pay banding to be treated as employees and positions under the GS
system,
(2) To allow SSTMs to receive supervisory pay differentials as
described in 73 FR 43727, and
(3) To allow the Director to pay an offer up to 50 percent of basic
pay of either a base pay and/or a cash payment to retain quality
employees; and to the extent necessary to allow SSTMs to receive
supervisory pay differentials. Criteria for retention determination and
preparing written service agreements will be as prescribed in 5 U.S.C.
5754 and as waived herein.
Part 591, Subpart B: Cost-of-Living Allowances and Post
Differential-Non-Foreign Areas. Waived to the extent necessary to allow
demonstration project employees covered by broad banding to be treated
as employees under the GS.
Part 752, section 752.101, 752.201, 752.301, and 752.401: Principal
statutory requirements and coverage. Waived to the extent necessary to
(1) Allow for up to a three-year probationary period;
(2) Permit termination during the extended probationary period
without using adverse action procedures for those employees serving a
probationary period under an initial appointment except for those with
veterans' preference;
(3) Allow for supervisory probationary periods and to permit
reassignment during the supervisory probationary period without use of
adverse action procedures for those employees serving a probationary
period under a supervisory probationary period;
(4) Replace ``grade'' with ``pay band;'' and
(5) Provide that a reduction in pay band is not an adverse action
if it results from the employee's rate of base pay being exceeded by
the minimum rate of base pay for that pay band. Waived to the extent
necessary to provide that adverse action provisions do not apply to (1)
conversions from GS special rates to demonstration project pay, as long
as total pay is not reduced, and (2) reductions in pay due to the
removal of a supervisory or team leader pay adjustment/differential
upon voluntary movement to a non-supervisory or non-team leader
position or decreases in the amount of a supervisory or team leader pay
adjustment based on the annual review.
Part 1400, section 1400.202(a)(2): Waivers and Exceptions to Pre-
appointment Investigative Requirements.
[[Page 62825]]
(1) To the extent necessary, waive the pre-employment investigative
requirements thereby enabling STRLs to make a final job offer and
establish an EOD prior to a favorable eligibility determination at the
Top Secret/SCI level.
(2) For positions designated as Top Secret/Special-Sensitive and
Critical-Sensitive, apply the same waiver requirements for pre-
appointment investigations IAW 5 CFR 1400.202(a)(2)(ii) for Critical-
Sensitive positions with the following changes:
(a) An emergency or a national interest necessitating a pre-
employment investigation waiver would include an STRL's inability to
meet mission requirements.
(b) An agency or agency head would be defined as an STRL to allow
for the provisions regarding security eligibility as described in 85 FR
78829.
BILLING CODE 5001-06-P
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[[Page 62832]]
Dated: October 12, 2022.
Aaron T. Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
[FR Doc. 2022-22470 Filed 10-14-22; 8:45 am]
BILLING CODE 5001-06-C
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