Hiring Authority for College Graduates
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Abstract
The Office of Personnel Management (OPM) is issuing a final rule to amend its career and career-conditional employment regulations. The revision is necessary to implement the John S. McCain National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2019. This statute requires OPM to issue regulations establishing a hiring authority for college graduates into positions at specified grades in the competitive service. The intended effect of the authority is to provide additional flexibility in hiring eligible and qualified individuals.
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<title>Federal Register, Volume 91 Issue 34 (Friday, February 20, 2026)</title>
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<body><pre>
[Federal Register Volume 91, Number 34 (Friday, February 20, 2026)]
[Rules and Regulations]
[Pages 8067-8070]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-03354]
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Rules and Regulations
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.
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Federal Register / Vol. 91, No. 34 / Friday, February 20, 2026 /
Rules and Regulations
[[Page 8067]]
OFFICE OF PERSONNEL MANAGEMENT
5 CFR Part 315
[Docket ID: OPM-2026-0034]
RIN 3206-AN79
Hiring Authority for College Graduates
AGENCY: Office of Personnel Management.
ACTION: Final rule.
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SUMMARY: The Office of Personnel Management (OPM) is issuing a final
rule to amend its career and career-conditional employment regulations.
The revision is necessary to implement the John S. McCain National
Defense Authorization Act (NDAA) for Fiscal Year (FY) 2019. This
statute requires OPM to issue regulations establishing a hiring
authority for college graduates into positions at specified grades in
the competitive service. The intended effect of the authority is to
provide additional flexibility in hiring eligible and qualified
individuals.
DATES: This final rule is effective March 23, 2026.
FOR FURTHER INFORMATION CONTACT: Katika Floyd at (202) 606-0960, by fax
at (202) 606-4430, TDD at (202) 418-3134, or by email at
<a href="/cdn-cgi/l/email-protection#3f5a524f5350467f504f5211585049"><span class="__cf_email__" data-cfemail="f89d9588949781b8978895d69f978e">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION: On November 5, 2021, the Office of Personnel
Management (OPM) published an interim rule with request for comments in
the Federal Register at 86 FR 61043 to implement the provisions of 5
U.S.C. 3115 for appointing college graduates into positions at
specified grades in the competitive service.
Summary of Comments
During the 60-day comment period between November 5, 2021, and
January 4, 2022, OPM received seven sets of written comments. The
comments received were from one federal agency, five members of the
public, and one labor union representing federal employees. At the end
of the public comment period, OPM reviewed and analyzed the comments.
Many of the comments received expressed general support for the rule.
OPM determined two comments were beyond the scope of the
regulations. OPM is not addressing these comments:
<bullet> One comment expressed concern that, if the motivation for
the rule was to improve recruitment to the federal civil service, then
OPM should advocate for, and Congress should enact, legislation for
improved salaries. (Comment 7) \1\
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\1\ A reference at the end of a comment summary provides the
location of the item in the public record (i.e., the one-digit
number associated with the location in the docket). Comments filed
in response to the interim final rule are available at <a href="https://www.regulations.gov/comment/OPM-2026-0034-000n">https://www.regulations.gov/comment/OPM-2026-0034-000n</a>, where n is the
comment number.
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<bullet> Another comment referenced a statute (Pub. L. 114-328)
that is not at issue in this rulemaking. (Comment 8)
Responses to Comments on the Regulations
Eligibility
One comment expressed concern about the two-year eligibility period
and questioned the rationale behind its prescribed length. (Comment 4)
The two-year period of eligibility found in the regulations is
specified in the authorizing statute, 5 U.S.C. 3115(c). The same
commentor also expressed the idea that the provisions in Sec.
315.614(b) are read to mean that a college graduate had to wait two
years after completing a degree before applying for positions filled
under the authority. This idea is incorrect. College graduates may
apply at any time between completion of degree requirements and up to
two years after the degree has been completed. Additionally, agencies
may choose to accept applications from individuals who anticipate
completing their degree in the near future.
One comment suggested OPM should provide additional clarification
on the phrase `obligated service in a uniformed service' used in Sec.
315.614(b)(1)(iii). (Comment 8) Specifically, this commenter wanted to
know if ``obligated service'' means ``active duty,'' and whether
``uniformed service'' includes service in the National Guard. Obligated
service means an obligation or requirement to complete a period of
full-time active-duty uniformed service. For example, some students who
receive certain Reserve Officer Training Corps (ROTC) scholarships are
required to serve full time in the armed forces for four or five years
after completing a degree as a condition of receiving the scholarship.
In such cases this obligated full-time service would prevent the
applicant from applying for positions under the authority during the
two years immediately following completion of a degree. The provision
in 5 U.S.C. 3115(C)(2)(B) and Sec. 315.614(b)(1)(iii) allows the
applicant's eligibility window to begin after their service obligation
ends. National Guard service may be part-time or full-time. An
applicant who has a service obligation to serve part-time in the
National Guard would not meet the criteria in Sec. 315.614(b)(1)(iii)
because the part-time National Guard service obligation will not
prevent the applicant from applying for civilian positions in the two
years immediately following the completion of a degree. An applicant
who completes a service obligation to serve for a period of at least
four years of full-time active duty with the National Guard or Reserves
may have an eligibility period that begins after completing the service
obligation. The period of eligibility may not be delayed if the period
of full-time active duty is less than four years. We have modified the
text of Sec. 315.614(b)(1)(iii) to reflect that the period of
eligibility may be delayed until after the completion of an intervening
period of at least four years of full-time active-duty uniformed
service.
Another comment asked if transcripts are needed to verify
completion of a degree. (Comment 8) When determining whether an
applicant is eligible for appointment under this authority, an agency
must use appropriate documentation such as transcripts or diplomas to
verify that an applicant has completed a bachelor's or graduate degree.
Qualifications
One commenter questioned whether the provisions for qualifications
in Sec. 315.614(c) were an agency-specific requirement or a
requirement across all agencies. (Comment 4) Agencies must use the OPM-
prescribed qualification standard, or an OPM-approved agency-
[[Page 8068]]
specific qualification standard, when evaluating eligible college
graduates for the position being filled. This is because positions
filled under this authority are in the competitive service and the
governing statute did not exempt the use of OPM-administered
governmentwide qualification standards.
Numerical Limit
A Federal agency requested OPM allow recent graduate appointments
in the excepted service to be included when calculating the 15 percent
limitation on appointments under this authority. The agency suggested
this would benefit agencies that hire through mechanisms other than
delegated examining (DE) procedures. (Comment 8) OPM cannot adopt this
suggestion. The types of appointments that may be used when calculating
the numerical limitation are specified in the 5 U.S.C. 3115(e)(1).
Under the statute, the total number of employees the head of an agency
may appoint during a fiscal year using this authority may not exceed 15
percent of the number of individuals the agency head appointed under a
competitive examining procedure during the previous fiscal year to a
position in the competitive service classified in a professional or
administrative occupational category at or below the GS-11, or
equivalent, level. OPM interprets the phrase ``under a competitive
examining procedure'' to mean OPM DE procedures pursuant to an OPM-
approved delegated examining agreement (DEA), agency-specific DE
procedures authorized by Congress, or any OPM-approved modifications to
DE procedures such as those formally approved pursuant to a
demonstration project.
Reporting
One comment encouraged OPM to monitor the effectiveness of the
program and emphasized the need to capture data on the number of
appointments made, demographic breakdown of the appointments, and
recruitment sources. Additionally, the commenter also suggested that
OPM should use any applicable and appropriate data to ensure that
agencies adhere to merit system principles and do not use this rule in
ways that abuse veterans' preference or disguise nepotism. (Comment 7)
OPM reminds readers that 5 U.S.C. 3115(b)(1) allows agencies to make
appointments without regard to any provision of sections 3309 through
3319 of title 5. This means an agency may select any eligible and
qualified individual without regard to the application of veterans'
preference.
OPM notes the authorizing statute required specific reporting
requirements for the first 3 years after enactment of the statute
(August 2018 through August 2020). Because the dates for required
reporting have passed, we have removed the reporting requirement from
the regulatory text of this final rulemaking. OPM continues to conduct
oversight of all hiring activities including agency use of this hiring
authority.
Special Provision for the Department of Defense (DOD)
OPM simplifies and updates the language in Sec. 315.614(j) to
reflect that Section 1116 of Public Law 118-31 extended the DOD direct
hire authority for post-secondary students until September 30, 2030,
and that subpart I does not apply to DOD during that time.
Expected Impact of This Final Rule
A. Statement of Need
OPM is issuing this rule to implement the provisions of 5 U.S.C.
3115. This statute establishes a hiring authority for college graduates
into certain positions at specified grades in the competitive service.
The statute and this implementing regulation will allow agencies to
make appointments of college graduates directly into competitive
service positions, without regard to rating, ranking and veterans'
preference provisions in 5 U.S.C. 3309-3319 and 3330. The final rule
also supports section I.C.1 (Early Career Recruitment) of the OPM-
Executive Office of the President (EOP) joint memorandum ``Merit Hiring
Plan'' issued May 29, 2025. This authority, when combined with
agencies' strategic recruitment and Merit Hiring Plan actions
pertaining to early career talent, may help agencies better recruit and
fill mission critical occupations.
B. Impact
OPM expects the impact of this final rule will be a streamlined
hiring flexibility for recruiting early career talent. This rule
provides agencies with the necessary information to create policies and
procedures for using the authority to hire college graduates as a part
of an agency's overall strategy to implement strategic workforce and
recruitment plans. It may also help agencies address hiring and
recruiting gaps for filling early career talent positions.
C. Regulatory Alternatives
OPM's implementing regulations are required by statute and cannot
be avoided. The statute prescribes eligibility requirements; types of
positions that can be filled using the authority; public notice
requirements; and a numerical limit for the number of appointments
made. The statute also initially required reporting requirements.
The strict wording of the eligibility requirements in the statute
does not allow the regulations to offer any alternatives. For this
reason, the eligibility requirements in the rule match those
specifically prescribed by the statute. At the request of commenters,
the final rule provides clarifying information on the eligibility of
veterans who are unable to apply within two years of completing a
degree due to an intervening period of full-time uniformed service of
at least four years.
Regarding the types of positions filled, the statute allows the
authority to be used for professional and administrative positions. The
statute did not include a specific definition of this term. At first,
OPM considered including a specific definition with a list of specific
occupations. However, we believe that OPM classification standards and
other guidance on classifying positions provide ample information to
allow agencies to designate the types of positions that are
professional or administrative. This approach offers agencies maximum
flexibility in choosing positions that can be filled using the
authority.
For the public notice requirement created in the statute, OPM
provided agencies the flexibility to use a variety of ways to tell the
public about opportunities. While the regulations specify the
information required to be included in the public notice, they also
allow the agency the discretion to determine the format of the notice
when the agency is not using OPM's USAJOBS platform.
The numerical limit on the use of the authority is prescribed in
statute. The precise wording does not allow OPM to prescribe a limit
higher than 15 percent or a waiver of the limit. Our approach in
writing the implementing regulations for this issue is to provide
instructions and clarifying information on how an agency must calculate
the statutorily prescribed limit.
D. Costs
This final rule will affect the operations of over 80 Federal
agencies--ranging from cabinet-level departments to small independent
agencies. We estimate that this rule will require individuals employed
by these agencies to modify policies and procedures to implement the
rule and perform outreach and recruitment activities when using the
authority. For the purpose of this cost analysis, OPM
[[Page 8069]]
assumed an average salary rate of Federal employees performing this
work will be the rate in 2026 for GS-14, step 5, from the Washington,
DC, locality pay table ($163,104 annual locality rate and $78.15 hourly
locality rate). We assume that the total dollar value of labor, which
includes wages, benefits, and overhead, is equal to 200 percent of the
wage rate, resulting in an assumed labor cost of $156.30 per hour.
In order to comply with the regulatory changes in this final rule,
affected agencies may need to review and update their policies and
procedures. We estimate that, in the first year following publication
of the final rule, this will require an average of 100 hours of work by
employees with an average hourly cost of $156.30. This would result in
estimated costs in that first year of implementation of about $15,630
per agency, and about $1,250,400 in total Governmentwide. We do not
believe this rule will substantially increase the ongoing
administrative costs to agencies (including the administrative costs of
administering the program and hiring and training new staff).
OPM did not receive any comments on the estimated costs in the
interim rule.
E. Benefits
This regulation will support the Administration's priority to
advance hiring of early career talent by allowing agencies to use
strategic recruiting to hire recent college graduates to fill
professional and administrative positions at the GS-11 level and below.
When using the authority agencies will have additional flexibility in
how college graduates are hired. Federal agencies will determine
recruitment sources and processes for the solicitation of applications
and will be held responsible for merit-based selections and in
accordance with the joint OPM-Executive Office of the President Merit
Hiring Plan guidance. This authority, when combined with agencies'
strategic recruitment plans, may help agencies better recruit to fill
mission critical occupations.
F. Severability
If any of the provisions of this final rule is held to be invalid
or unenforceable by its terms, or as applied to any person or
circumstance, it shall be severable from its respective section(s) and
shall not affect the remainder thereof or the application of the
provision to other persons not similarly situated or to other
dissimilar circumstances, unless such holding is that the provision is
invalid and unenforceable in all circumstances, in which event the
provision shall be severable from the remainder of this part and shall
not affect the remainder thereof. Should provisions related to one of
the sections be held to be invalid we believe that the other sections
should be severable and would not be impacted. Similarly, many of the
operational requirements have no bearing on other provisions and are
severable. For example, a holding that a hiring provision is invalid
should not impact provisions related to conversion. In enforcing the
provisions of this rule, OPM will comply with all applicable legal
requirements. OPM did not receive any comments on severability in the
proposed rule.
Regulatory Review
OPM has examined the impact of this rule as required by Executive
Orders 12866 and 13563, which direct agencies to assess all costs and
benefits of available regulatory alternatives and, if regulation is
necessary, to select regulatory approaches that maximize net benefits
(including potential economic, environmental, public, health, and
safety effects, distributive impacts, and equity). A regulatory impact
analysis must be prepared for rules that have an annual effect on the
economy of $100 million or more or adversely affect in a material way
the economy, a sector of the economy, productivity, competition, jobs,
the environment, public health or safety, or State, local, or tribal
governments or communities. This final rule is not a ``significant
regulatory action'' under section 3(f) of Executive Order 12866. For
the reasons discussed in the Expected Impact section, this rule is
considered deregulatory under Executive Order 14192.
Regulatory Flexibility Act
The Director of the Office of Personnel Management certifies that
this regulation will not have a significant impact on a substantial
number of small entities because it applies only to Federal agencies
and employees.
Federalism
This rule will not have substantial direct effects on the States,
on the relationship between the National Government and the States, or
on distribution of power and responsibilities among the various levels
of government. Therefore, in accordance with Executive Order 13132, it
is determined that this rule does not have sufficient federalism
implications to warrant preparation of a Federalism Assessment.
Civil Justice Reform
This rule meets the applicable standard set forth in section 3(a)
and (b)(2) of Executive Order 12988.
Unfunded Mandates Reform Act of 1995
Section 202 of the Unfunded Mandates Reform Act of 1995 (UMRA)
requires that agencies assess anticipated costs and benefits before
issuing any rule that would impose spending costs on State, local, or
tribal governments in the aggregate, or on the private sector, in any 1
year of $100 million in 1995 dollars, updated annually for inflation.
That threshold is currently approximately $206 million. This rulemaking
will not result in the expenditure by State, local, or tribal
governments, in the aggregate, or by the private sector, in excess of
the threshold. Thus, no written assessment of unfunded mandates is
required.
Congressional Review Act
OMB's Office of Information and Regulatory Affairs has determined
this rule does not satisfy the criteria listed in 5 U.S.C. 804(2).
Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3521)
Notwithstanding any other provision of law, no person is required
to respond to, nor shall any person be subject to a penalty for failure
to comply with, a collection of information subject to the requirements
of the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA),
unless that collection of information displays a currently valid Office
of Management and Budget (OMB) Control Number. This rule involves the
following OMB-approved collections of information subject to the PRA:
USAJOBS 3.0 (OMB Control Number 3206-0219).
OPM believes any additional burden associated with this final rule
falls within the existing estimates currently associated with this
control number. OPM does not anticipate that the implementation of this
final rule will increase the cost burden to members of the public.
Additional information regarding this collection of information--
including all background materials--can be found at <a href="https://www.reginfo.gov/public/do/PRAMain">https://www.reginfo.gov/public/do/PRAMain</a> by using the search function to enter
either the title of the collection or the OMB Control Number.
List of Subjects in 5 CFR Part 315
Government employees.
[[Page 8070]]
Signing Authority
The Director of OPM, Scott Kupor, reviewed and approved this
document and has authorized the undersigned to electronically sign and
submit this document to the Office of the Federal Register for
publication.
U.S. Office of Personnel Management.
Jerson Matias,
Federal Register Liaison.
Accordingly, OPM amends part 315 of title 5, Code of Federal
Regulations, as follows:
PART 315--CAREER AND CAREER-CONDITIONAL EMPLOYMENT
0
1. The authority citation for part 315 continues to read as follows:
Authority: 5 U.S.C. 1302, 3301, and 3302. E.O. 10577, 19 FR
7521, 3 CFR, 1954-1958 Comp., p. 218; E.O. 14284, 90 FR 17729.
Secs. 315.601 and 315.609 also issued under 22 U.S.C. 3651 and
3652.
Secs. 315.602 and 315.604 also issued under 5 U.S.C. 1104.
Sec. 315.603 also issued under 5 U.S.C. 8151.
Sec. 315.605 also issued under 22 U.S.C. 2051, 42 U.S.C. 2991.
Sec. 315.606 also issued under E.O. 11219, 30 FR 6381, 3 CFR, 1964-
1965 Comp., p. 303.
Sec. 315.607 also issued under 22 U.S.C. 2560.
Sec. 315.608 also issued under E.O. 12721, 55 FR 31349, 3 CFR, 1990
Comp., p. 293.
Sec. 315.610 also issued under 5 U.S.C. 3304(c).
Sec. 315.611 also issued under 5 U.S.C. 3304(f).
Sec. 315.612 also issued under 5 U.S.C. 3330d.
Sec. 315.613 also issued under 5 U.S.C. 9602.
Sec. 315.710 also issued under E.O. 12596, 52 FR 17537, 3 CFR, 1987
Comp., p. 264.
Subpart I also issued under 5 U.S.C. 3321, E.O. 12107, 44 FR 1055,
3 CFR, 1978 Comp., p. 264.
Subpart F--[Amended]
0
2. Amend Sec. 315.614 by:
0
a. Revising paragraphs (b) and (c);
0
b. In the first sentence of paragraph (e) introductory text, removing
``, and thus'' and adding in its place ``; and'';
0
c. Revising paragraphs (h) through (j); and
0
d. Removing paragraph (k).
The revisions read as follows:
Sec. 315.614 Hiring authority for college graduates.
* * * * *
(b) Eligibility. An eligible college graduate is defined as an
individual who:
(1) Has received a baccalaureate or graduate degree from an
institution of higher education as defined in 20 U.S.C. 1001(a) and has
applied for the position being filled under the authority in this
section (using the date on which the application is received by the
hiring agency as the date of submission), either:
(i) Not later than two years after the date on which the individual
received their degree described in paragraph (b)(1) introductory text
of this section; or
(ii) Not later than two years after the date on which the
individual was released or discharged from an intervening period of
obligated service of not less than four years of full-time active-duty
uniformed service; and
(2) Meets the qualification standards prescribed or approved by OPM
for the position to which the individual is being appointed.
(c) Qualifications. Agencies must evaluate eligible college
graduates using the OPM-prescribed qualification standard, or an OPM-
approved agency-specific qualification standard, for the position being
filled.
* * * * *
(h) Tenure upon appointment. A person appointed under paragraph (a)
of this section becomes a career-conditional employee unless the
appointee has already satisfied the requirements for career tenure or
is excepted from it pursuant to Sec. 315.201(c).
(i) Numerical limit on the number of appointments. (1) Except as
provided in paragraph (i)(2) of this section, the total number of
individuals that an agency may appoint under this authority during a
fiscal year (FY) may not exceed 15 percent of the number of individuals
that the agency appointed during the previous FY to a position in the
competitive service classified in a professional or administrative
occupational category, at the GS-11 level or below, or equivalent,
under a competitive examining procedure. An appointing agency may not
count appointments made using direct hire authorities, non-competitive
authorities, excepted service authorities, or selections under merit
promotion authorities, when establishing the limit for a given fiscal
year. In calculating this limitation, agencies must round up or down to
the nearest whole number, if necessary, to eliminate a decimal place.
Values ending in ``.5'' or more may be rounded up to the nearest whole
number in determining an agency's cap limitation. Values ending in less
than ``.5'' should be rounded down to the nearest whole number in
determining an agency's cap limitation.
(2) During any given fiscal year, OPM may establish a lower
limitation on the number of individuals that may be appointed under
paragraph (i)(1) of this section based on any factor OPM considers
appropriate. OPM shall notify agencies via the OPM website and other
venues (such as the Chief Human Capital Officer's Council) of any
changes to the numerical limitation, applicable governmentwide. Changes
to the numerical limit for an individual agency will be communicated
directly to the agency.
(j) Special provisions for Department of Defense. This section does
not apply to the Department of Defense during the period that section
1106 of Public Law 114-328, as amended by section 1116 of Public Law
118-31 (see 10 U.S.C. note prec. 1580), or that any applicable
successor statute, is effective.
[FR Doc. 2026-03354 Filed 2-19-26; 8:45 am]
BILLING CODE 6325-39-P
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