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**Department of the Interior**

**Senior Executive Service**

**Performance Management**

**Desk Guide**

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**REVISED**

**October 2006**

**[SES Performance Management System]{.underline}**

**1. Authorities, Purpose and Goals**

Authorities 1

Coverage 1

Setting organizational goals and objectives 1

**2. Performance Plans**

Establishing SES performance plans 2

Requirement for establishing SES Performance Plans 2

Modifying SES performance plans 2

> Completing the SES Performance Plan and GPRA Performance Template 3-4
>
> Certifying the Performance Plan 5
>
> Communicating Performance Requirements 5

**3. Appraising Performance**

> SES performance appraisal period 5
>
> Minimum appraisal period 5
>
> Requirement for progress reviews 5
>
> Extending the appraisal period 6
>
> Moratorium on performance ratings 6

**4. Rating Levels**

> Individual critical element rating levels 6
>
> Summary rating levels and definitions 6-9
>
> SES Performance accomplishment template 9
>
> Completing the SES Performance accomplishment template 9

**5. Determining Ratings**

> Initial summary rating determinations 9
>
> Final annual summary rating determinations 10
>
> Performance Review Board (PRB) 11
>
> Responsibilities of the PRB 11
>
> Distribution of rating levels 11

**6. Position Changes**

> Rating a new SES member 11
>
> Change of position 11
>
> Detail or temporarily assignments 12
>
> Transfers to another agency 12

**7. Pay and Recognition Determinations**

Approval of pay and recognition determinations 12

Impact of rating levels on awards and pay adjustments 12

Eligibility for a pay adjustment 13

Aggregate limitation of pay 13

Coverage of aggregate pay 13

Secretary\'s Executive Leadership Award (SELA) 14

Recognition for Non-Career SES 14

**8. Presidential Rank Awards**

> Presidential Rank Award 14
>
> Eligibility for a Presidential Rank Award 14
>
> Nomination period 15

**9. Actions Required for Less than Fully Satisfactory Performance**

> Actions required for Minimally Satisfactory performance 15
>
> Actions required for Unsatisfactory performance 15
>
> Conditions requiring removal from position and/or removal from SES 15
>
> Other actions that may be taken 16
>
> Appeal Rights of final rating or lack of pay increase or performance
> recognition 16

**10. Retention Period for Performance Records** 16

Appendix A: SES Performance Plan Template

Appendix B: Government Performance and Results Act (GPRA) Performance

Measure Template

Appendix C: FY 2007 GPRA Performance Measures

Appendix D: SES Performance Accomplishments Template

Appendix E: Rating Official's Recommendation for Summary Rating

Appendix F: Summary Rating Methodology Matrix

Appendix G: SES Performance Appraisal Fact Sheet

Appendix H: Examples of Performance Recognition

Appendix I: Sample SES Performance Plans

**SES Performance Management System**

1.  **Authorities, Purpose and Goals**

**Authorities**

The Senior Executive Service (SES) Performance Management system is
established in accordance with the following authorities:

-   Performance Management - 5 U.S.C. Chapter 43, (Performance Appraisal
    in the Senior Executive Service); 5 CFR Part 430, Subparts C and D

-   SES Pay and Performance Awards - 5 U.S.C. Chapter 45 (Incentive
    Awards); 5 CFR Part 451, Subpart A (Agency Awards); 5 CFR 534,
    Subpart D (Pay and Performance Awards)

-   Records of Employee Performance - 5 CFR Part 293, Subpart D
    (Employee Performance File System Records)

-   Removal from the Senior Executive Service -- 5 CFR Part 359

**Coverage**

This system applies to all Senior Executive Service (SES) employees:
Career, Limited Term, Limited Emergency, Noncareer Appointees, and
Presidential Appointees with Senate confirmation who were appointed
directly from a Career SES appointment and who elect to retain SES
benefits under 5 U.S.C. 3392(c). The system also applies, with
variation, to the DOI Office of Inspector General (OIG). The OIG will
follow Departmental policy and guidance in determining ratings and
recognition. However, to maintain statutory independence, the Inspector
General is delegated the authority by the Secretary to oversee and
administer the DOI SES Performance Management system for the OIG, using
its own Performance Review Board and approval process.

**Setting Organizational Goals and Objectives**

The Secretary establishes goals and priorities to direct the Department
by providing a framework for mission accomplishment. These priorities
are translated into strategic goals. Generally, the Executive Resources
Board (ERB) has specified measurement criteria for SES objectives by
developing mandatory performance requirements that must be included in
all executives' performance plans. Assistant Secretaries and
Bureau/Office Directors must cascade organizational goals and priorities
to subordinate executives for inclusion in individual performance plans.

Using the Department's Strategic Plan, rating officials and SES members
collaborate to determine the appropriate Government Performance and
Results Accountability Act (GPRA) goals for inclusion in the individual
SES performance plans. Executives are also held

accountable for strategic goals and objectives derived from
organizational policies and program guidance, annual performance plans,
and budget priorities. The Department's Strategic Plan and information
about GPRA goals and measures can be found on the internet at
[http://www.doi.gov](http://www.doi.gov/).

**2. Performance Plans**

**Establishing SES performance plans**

Each SES member must have an individual performance plan that outlines
goals and expectations for the appraisal period. The SES members and
their rating officials (usually their immediate supervisors)
collaboratively develop the performance plans. All critical performance
elements and requirements mandated for the performance appraisal period
by the ERB must be included in the individual performance plan unless an
exception is requested and approved. Rating officials must communicate
the plan and performance expectations to the executives at the beginning
of the appraisal period.

**Requirement for establishing SES Performance Plans**

Written performance plans must be provided to SES employees within 30
days of the beginning of the appraisal period or within 30 days of an
appointment, reassignment, or other action that requires development of
a new plan. (See 5 CFR 430.305.)

**Modifying SES performance plans**

Rating officials may modify SES performance plans whenever a change in
assigned individual and/or organizational responsibilities and goals are
so significant that the established performance objectives are no longer
adequate. The rating official documents modifications on the performance
plan and communicates them to the SES employee. Modifications to
performance plans that involve changing a mandated performance
requirement require the approval of the bureau/office head and should be
communicated to the Assistant Secretary -- Policy, Management and Budget
through the Department's Office of Human Resources, Executive Resources
Division.

**Completing the SES Performance Plan and GPRA Performance Template**

The SES performance plan is organized around four mandatory performance
elements. They are Achieving Strategic Goals, including Government
Performance and Results Acts (GPRA) Goals; Managing for Excellence;
Building Collaboration and Partnerships; and Meeting Other Management
Objectives. Appendix A contains the template for the SES performance
plan. The template contains all of the mandatory performance measures
along with the performance level definitions.

Each individual performance plan should be tailored to the specific job
of the executive to which it applies. The performance plan should
include the measures from the template that apply to the executive's
position. Mandatory measures can be modified or substitutes provided so
that the measure accurately reflects the executive's responsibilities
relative to the measure. Additional measures should be added where
necessary to capture the full scope of the executive's position. A fully
successful performance level definition(s) should be included for any
substitute measure(s) included in the plan.

As part of the requirements for certification of the Department's SES
performance system, all plans need to align to strategic and
organizational goals. To make this alignment clear, the relative
performance measure codes must be used with the respective performance
measure in the performance plan.

While most executive positions align with most mandatory requirements,
some positions may not link directly to all of the mandatory
requirements; therefore, it may be necessary to grant exceptions.
Bureau/Equivalent Office Heads have the authority to grant exceptions to
mandatory requirements as they deem appropriate. Where appropriate,
executives may make substitutions for mandatory requirements to reflect
an individual executive's responsibilities more accurately.

**[Mandatory Performance Element I]{.underline}**, *Achieving Strategic
Goals, Including Government Performance and Results Act (GPRA) Goals:*
This element should include measures that capture an individual
executive's contribution to the accomplishment of the Department's
overall mission and/or bureau/office specific goals. All SES performance
plans are required to link to the organization's mission, GPRA strategic
goals, program and policy objectives, and/or annual performance plans
and budget priorities areas.

Appendix B is the template used to define an executive's
responsibilities under the Government Performance and Results Act
(GPRA). There are two measures pertaining to GPRA:

-   one for executives whose responsibilities included accomplishment of
    specific GPRA performance targets, and

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-   one for executives whose responsibilities contribute to the broader
    accomplishment of GPRA goals, but do not contribute to meeting
    specific performance targets.

A listing of the Department's FY 2007 GPRA goals and measures, arranged
by organization and by major program or functional area, is found in
Appendix C. When including measures under this performance element, the
corresponding performance code must be included with the performance
measure on the GPRA template.

To the extent that the performance target level changes, the rating
official will update the executive's performance plan to reflect the
final target level. Any changes to GPRA target levels should be
documented and put in place during an interim performance review.

[**Mandatory** **Performance Element II**]{.underline}, *Managing for
Excellence:* All SES plans must include performance measures that
support the President's Management Agenda (PMA) and other management
responsibilities. Performance Element II includes mandatory requirements
that may apply to all executives, as well as measures that are mandatory
only for specific positions. Where the measures included in the template
do not fit an individual executive's responsibilities, other more
appropriate measures should be substituted. Additionally, other bureau
or office specific management responsibilities can be specified under
Performance Element II. This allows for additional tailoring of
management goals to specific duties of executives.

Bureau/office directors may assign overall accountability for their
President's Management Agenda Scorecard results to one official, and
hold the other individual executives accountable for contributing to the
results. For example, the deputy director's performance plan may include
responsibility for ensuring that the organization's results improve by a
designated amount. The performance plans for the other executives in the
organization should include key performance requirements that are linked
to specific management improvement areas. When selecting measures under
this performance element, a corresponding performance code must be
included with the performance measure, if applicable.

**[Mandatory Performance Element III]{.underline}**, *Building
Collaboration and Partnerships:* All SES performance plans must
incorporate the *Communication, Consultation and Cooperation all in the
name of Conservation \--* and address a commitment to these principles
through inclusion of mandatory performance criteria. This element
includes two mandatory criteria and measures developed in consultation
with the Department's Partners and Cooperation Team and the Office of
Collaborative Action and Dispute Resolution. Rating officials may
propose substitute measure(s) to more accurately capture the executive's
responsibilities

[**Mandatory** **Performance Element IV**]{.underline}*, Meeting Other
Management Objectives:* All SES performance plans must include other
management objectives specific to the executive's responsibilities or
the organization's mission requirements. This section can be used to
include any responsibilities that have not been addressed elsewhere in
the template. In addition, Performance Element IV includes a mandatory
performance measure addressing Departmental requirements relative to
Records Management for all executives, and a separate mandatory measure
for executives with Indian fiduciary trust records responsibilities.
When completing measures under this performance element, the
corresponding performance code must be included, if applicable.

**Certifying the Performance Plan**

The SES member and the rating official sign and date the performance
plan in Section II to certify that performance requirements have been
duly established for the FY 2007 performance appraisal period. The SES
member's signature certifies that he or she participated in the
development of the performance plan. It does not mean that the SES
member concurs with the performance elements or requirements. There is a
third signature line in Section II for "Other Official Signature." This
line may be used, at bureau/office option, for concurrence by a
reviewing official in the organization between the rating official and
the bureau/office head. Section II also provides space for the

bureau/office head to concur that the performance plan requirements are
consistent with those of other executives in similar positions in the
organization and accurately reflect the SES member's individual
responsibility for accomplishing mission goals. **[Please
note]{.underline}: Beginning in FY 2007, the performance plan is
officially established on the date of the bureau/office head
concurrence.**

**Communicating Performance Requirements**

Rating officials and SES members should collaborate to develop
performance plans that have clear performance expectations, measurable
results, and a clear link between agency results and individual

accountability. Ongoing communication between the rating official and
the SES member regarding progress toward meeting performance
requirements is essential. Rating officials will conduct at least one
formal progress review with the Senior Executive Service member to
discuss progress toward achieving targets or completing requirements.
The progress reviews are to be documented in Part III of the SES
performance plan template. More frequent assessments should be made for
probationers and individuals whose performance needs improvement.

In the progress review, rating officials will identify, communicate, and
document progress toward meeting performance objectives to the SES
member being evaluated. Where performance is deficient, the rating
official will take appropriate action to assist the executive in
improving performance. Throughout the performance cycle, the rating
official and the executive should discuss and document any changes to
performance requirements or measures as necessary.

**3. Appraising Performance**

**SES Performance Appraisal Period**

The SES performance appraisal process covers performance during the
period October 1 through September 30, annually, and has three principal
phases: (1) developing performance plans; (2) monitoring progress and
adjusting performance requirements when necessary; and (3) assessing
annual performance and assigning the summary rating. Each executive
should receive a performance appraisal at least annually.

**Minimum Appraisal Period**

The minimum appraisal period is the least amount of time that an
executive must have served under an approved performance plan to receive
an annual summary rating. The *[minimum]{.underline}* appraisal period
for DOI executives is 90 days.

**Requirement for Progress Reviews**

*At a minimum, one progress review is required* and should be documented
on the performance plan. However, communication about program objectives
and an executive's progress toward achieving performance goals in the
attainment of those objectives should be an ongoing process between
supervisors and subordinate executives.

**Extending the Appraisal Period**

At the end of the annual appraisal period, executives who have not
served under an officially approved performance plan for at least 90
days will have their appraisal period extended to meet the minimum
appraisal period.

If an executive is not performing at the Fully Successful level, his or
her appraisal period may be terminated and his/her performance rated
after the 90-day minimum appraisal period, provided there is enough
information on which to base a rating.

**Moratorium**

Career appointees may not be given performance ratings within 120 days
after the beginning of a new Presidential Administration.

**4. Rating Levels**

**Individual Critical Element Rating Levels**

There are ***[four rating levels for individual critical performance
elements]{.underline}***:

**Commendable:** Generally exceeds the criteria specified for Fully
Successful performance. Achievements relative to goals identified in the
performance plan exceed targets. Performance has been achieved while
responding to challenging situations; with changing or difficult
circumstances; or by making notable and lasting improvements in key
processes or systems. Performance is superior and demonstrates
innovation, creativity and leadership that produces significant benefits
well beyond what would be expected at the fully successful level.

**Fully Successful:** Effectively meets goals identified in the
performance plan. Performance is of high quality and demonstrates
efficiency, effectiveness, integrity, and production of significant
benefits

**Minimally Successful**: Performance is marginally acceptable, but
needs significant improvement to meet the written standard for Fully
Successful Performance.

**Unsatisfactory:** Performance fails to meet the written standard for
Fully Successful Performance.

*At a minimum, individual critical elements will be defined in the
performance plan at the Fully Successful level.*

**Summary Rating Levels and Definitions**

There are ***[five summary rating levels]{.underline}***: Exceptional,
Superior, Fully Successful, Minimally Successful and Unsatisfactory.

In addition to the definitions for each summary rating level, each level
is further described with sample indicators. These indicators are
illustrations only, and are not inclusive.

**Level 5 -- Exceptional:** During the rating period, overall
performance was consistently Commendable and significantly exceeded
requirements of the Fully Successful performance standard.

In addition to all critical performance elements being rated as
Commendable, the Exceptional summary level of performance reflects
achievements that are characterized by performance outcomes and results
of the executive's leadership that served as models of executive
excellence.

*This is a level of rare, high-quality performance*. At this level, the
executive is an outstanding performer who consistently delivered on
assignments and commitments, displayed outstanding executive leadership
in promoting the organization's strategic goals and initiatives; and
demonstrated the highest level of integrity and accountability in
achieving program and management goals. The executive's contributions
had impact beyond his or her immediate purview. The executive exerted a
major positive influence on management practices, operating procedures
or program implementation, which contributed substantially to
organizational change, growth and recognition. This executive's
expertise, advice and opinions are sought and respected by peers.

Indicators of performance at the Exceptional level include:

-   measurable improvements in program performance that exceed defined
    goals;

-   taking positive actions to create and sustain a work environment
    that results in significant increases in employee morale and
    productivity;

-   leading efforts that exemplify ideal customer and employee
    satisfaction levels; and/or;

-   demonstrating flexibility and adaptability in effectively overcoming
    significant organizational challenges such as changing priorities,
    unanticipated resource shortages or externally driven deadlines;

-   accomplishments requiring extraordinary skill, initiative and
    innovation;

-   demonstrating unusual initiative in achieving results critical to
    the organization's success and strategic goals; and/or

-   effectively dealing with issues and/or resolving problems that were
    particularly difficult, highly sensitive, controversial, or intense
    resistance was encountered.

**Level 4 -- Superior**: During the rating period, overall performance
consistently exceeded expectations of the Fully Successful performance
standards.

In addition to a majority of the critical performance elements being
rated as Commendable, the Superior summary level of performance was
evidenced by performance outcomes and results of the executive's
leadership that consistently surpassed expectations of the position by
exceeding the majority of performance requirements.

At this level, the quality or degree of accomplishments should have
consistently met the threshold for Commendable performance.
Effectiveness and contributions may have had an

impact beyond the executive's purview and performance is well beyond
what is expected or required for the position. The executive
consistently demonstrated the highest level of integrity

and accountability in achieving program and management goals. Executive
served as a source of leadership and motivation for peers and
subordinates.

Indicators of overall performance at the Superior level include:

-   measurable improvements in program performance that always met and
    sometimes exceeded defined goals;

-   increasing staff productivity; improving customer and employee
    satisfaction;

-   designing strategies leading to enhanced customer and employee
    satisfaction;

-   readjusted strategies and tactics to overcome significant
    organizational challenges such as coordination with external
    stakeholders, resource shortfalls, changing priorities;

-   dealing productively and strategically with others in non-routine,
    complex and or sensitive matters;

-   seizing opportunities to effect significant improvements in
    organizational results by effectively using performance information;
    and/or

-   fostering remedies to serious problems; identifying barriers and
    redundancies and taking actions to remove them.

**Level 3 - Fully Successful**: During the rating period, overall
performance expectations were consistently met with solid dependable
performance.

In addition to all performance elements being rated as at least Fully
Successful, performance at this level reflects notable achievements. The
executive regularly demonstrated the ability to meet the difficult and
complex performance requirements inherent in SES positions, while
consistently demonstrating the highest level of integrity and
accountability in achieving all program objectives and management goals.

Indicators of overall performance at the Fully Successful level include:

-   employee satisfaction data that indicates a positive organizational
    climate;

-   customer satisfaction with program results;

-   successful resolution of operational challenges without the
    requirement for higher level intervention;

-   positive follow-up actions based on available performance
    information; and/or

-   identification of improvement opportunities to achieve
    organizational results and improve employee and customer
    perspectives.

**Level 2 - Minimally Successful**: During the rating period, overall
performance was marginally acceptable and occasionally less than the
Fully Successful level.

At least one or more performance elements are rated as minimally
satisfactory and the executive had difficulties in meeting performance
expectations. At this level, actions taken by the executive were
sometimes inappropriate or marginally effective. Immediate improvement
in performance is essential.

Indicators of performance at the Minimally Successful level may include:

-   actions that did not significantly contribute to any positive
    results achieved;

-   employee satisfaction data that indicates a need for improvements in
    the organizational climate;

-   inappropriate or inadequate actions taken to address employee
    productivity and morale;

-   inappropriate or inadequate actions taken to address organizational
    effectiveness and customer satisfaction;

-   action or inaction that occasionally resulted in negative
    consequences;

-   incomplete products or services in key outcomes;

-   inconsistent achievement of desired outcomes for success; and/or

-   limited understanding and practice of executive competencies.

*\* Note: An executive receiving a Minimally Successful rating must be
placed on a performance improvement plan. An executive who receives less
than a fully successful annual summary rating [twice in any 3-year
period must be removed from the SES.]{.underline}*

**\
Level 1 -- Unsatisfactory**: During the rating period, overall
performance was undeniably unacceptable and the executive failed to meet
satisfactory performance standards and/or outcome goals.

At least one or more performance elements rated as unsatisfactory and
the executive failed to meet expectations. At this level, the executives
work and outcomes often resulted in negative consequences and were an
impediment to organizational success. Performance is ground for
reassigning or removing the executive from the SES.

Indicators of performance at the Unsatisfactory level may include:

-   repeated instances of negative consequences in achieving key
    outcomes (e.g., quality, timeliness, business results, customer
    satisfaction, morale, etc.);

-   failure to meet program performance requirements;

-   egregious failure to take actions to maintain an organizational
    environment free from harassment and discrimination;

-   harm to the organization, resources, citizens or employees caused by
    the executive's failure to take appropriate and timely action;

-   considerable efforts on the part of others to resolve the situations
    under the executive's purview;

-   demonstrated gaps in executive core competencies.

*\*Note: An executive who receives an unsatisfactory annual summary
rating must be reassigned or transferred within the SES to another
position or removed from the SES. An executive who receives two
unsatisfactory annual summary ratings in any 5-year period must be
removed from the SES.*

**SES Performance Accomplishment Template**

Appendix D is the SES Performance Accomplishment template to be
completed by the executive and the rating official. The template
provides a format for documenting performance requirements and
accomplishments of executives. The template includes a section for the
rating official's justification for each recommended performance element
rating. The executive provides summary accomplishments for the
appropriate measure(s) that corresponds to the four performance
elements. The rating official completes the performance element ratings
with the justification for each performance element. Additionally, the
rating official completes the recommended performance summary rating and
includes the justification for this rating. He/She signs and dates the
document.

**Completing the SES Performance Accomplishment Template**

A completed performance summary template must accompany each SES
member's appraisal, so that the Performance Review Board and the
Executive Resources Board may assess the degree to which each executive
has accomplished his/her performance requirements and determine whether
the recommended summary rating and performance recognition are
warranted.

**5. Determining Ratings**

**Initial Summary Rating Recommendations**

At the end of the appraisal period, the rating official assigns a rating
to each of the critical performance elements in the executive\'s
performance plan and derives an initial summary rating recommendation.
The executive being appraised has the right to respond in writing to the
initial summary rating and has the right to request a higher-level
review of the initial summary rating

recommendation before it is reviewed by the **Performance Review Board
(PRB)**. Copies of the reviewer\'s comments and recommendations must be
provided to the executive being appraised, the rating official, and the
PRB.

In making the initial summary rating recommendation, the rating official
will consider, at a minimum:

-   Comparison of actual performance with the written performance
    requirements in the performance plan

-   The agency's overall performance as assessed by the Secretary's
    designee

-   Balanced measures

-   Performance of subordinate employees

-   Relative Performance

-   Interim Summary Rating, if applicable

Additionally, see Summary Rating Methodology Matrix in Appendix F.

**Final Annual Summary Rating Determinations**

The Department's SES performance management system provides for a
multi-level review process to ensure that performance ratings accurately
reflect the executive's level of performance and are not given
arbitrarily or on a rotational basis.

The SES performance management system policy contains the following
provisions for the review of the performance appraisal documentation for
each executive being rated:

\(1\) After the rating official makes the initial summary rating
recommendation, the executive being rated may request review by a
higher-level official within the organization.

\(2\) After the optional higher-level review, the bureau/office head
reviews the rating official's initial recommendation and all appraisal
documentation and either concurs or does not concur with the rating
official's initial recommendation. If the bureau/office head does not
concur with the rating official's recommendation, then he or she
prepares a separate recommendation and justification which becomes part
of the performance appraisal documentation.

\(3\) The performance appraisal documentation is next reviewed by the
Assistant Secretary or Equivalent Official. The Assistant Secretary or
Equivalent Official makes a recommendation regarding the annual summary
performance rating and any performance recognition. .

\(4\) The next step in the review process is a review of all performance
appraisal documentation by the PRB. Based upon this review, the PRB
makes its own recommendation for the summary rating.

\(5\) The PRB's recommendation and all appraisal documentation is
provided to the appropriate Assistant Secretary/Equivalent Official, who
reviews all appraisal documentation and recommendations, and then in
consultation with the bureau/office head makes a recommendation
regarding the annual summary performance rating and any performance
recognition to the ERB for final decision.

\(6\) The ERB makes the final determination regarding final summary
performance ratings and performance recognition after reviewing all
appraisal documentation, including the recommendations of the rating
official, higher-level reviewing official (if applicable), the

(bureau/office head, the PRB, and the Assistant Secretary/Equivalent
Official. Also, the ERB ensures that executives are rated and recognized
in accordance with Departmental policy established in 370 DM Chapter
430, Subpart C.

**Performance Review Board (PRB)**

The Performance Review Boards are made up of senior executives who have
been nominated by their Bureaus/Offices through the respective Assistant
Secretaries to the ERB. The ERB appoints the PRB to serve for one year.

**Responsibilities of the PRB**

The PRB's responsibilities are reviewing performance plans and
appraisals for equity and consistency, as well as general adherence to
the Secretary\'s guidance and recommending to the ERB performance
ratings and recognition for SES employees.

**Distribution of Rating Levels**

DOI officials may not prescribe a distribution of rating levels for
employees covered by this plan. However, the Secretary or ERB may review
standards and ratings for difficulty and strictness of application to
ensure that ratings and recognition are in compliance with Departmental
policy. Further, the ERB may establish limits on the numbers of awards
or the value of awards.

6.  **Position Changes**

**Rating New SES member**

New SES members who have not served under an SES performance plan for at
least 90 days as of the end of the appraisal period must be rated. The
*rating period must be extended* until he/she has had an opportunity to
serve under the plan for at least 90 days. After the completion of the
extended appraisal period, the rating official should make the initial
summary performance rating recommendation. This recommendation then must
go through the PRB review and ERB approval processes for a final
determination.

**Change of Position**

When an executive changes position by reassignment or by transfer to
another organization or agency and has served under an SES performance
plan in the previous position for at least 90 days, a written interim
summary rating must be prepared by the rating official. The gaining
organization, agency, or supervisor must consider the interim summary
rating in deriving the executive's next summary rating of record.

**Details or temporary assignments**

When an executive is *detailed within the DOI for 90 days* or more,
performance elements and requirements must be established for the
assignment. Performance against those requirements must be considered in
deriving the next summary rating of record.

When an executive is *detailed outside of the DOI*, the rating official
must make a reasonable effort to obtain appraisal information from the
outside organization if the executive has been detailed for a period of
90 days or longer. Rating officials shall take into consideration
appraisal information obtained from the outside organization.

If an executive has not served under a performance plan for the
established minimum appraisal period, but has served for the minimum
appraisal period outside the DOI, the DOI rating official must make a
reasonable effort to prepare a rating using appraisal information
obtained from the outside organization.

**Transfers to another Agency**

When an executive leaves DOI, all appropriate performance-related
documents 5 years old or less, including the current SES performance
plan and an interim rating, shall be forwarded in the Employee
Performance File along with the executive\'s Official Personnel File
(OPF) to the executive\'s new agency.

**7.** **Pay and Recognition Determinations**

**Approval of Pay and Recognition Determinations**

The ERB will consider the recommendations of the rating officials, the
bureau/office heads, the PRB, and the Assistant Secretaries and
equivalent officials for SES pay adjustments and performance-based
awards. The ERB will make the final determinations for all SES pay
adjustments and performance recognition, based upon their assessment of
the executive's overall contributions to the accomplishment of mission
goals. This authority has been delegated to the IG for OIG executives.

**Impact of Rating Levels on Awards and Pay Adjustments**

Executives who have been rated as Exceptional must be considered for a
pay increase or performance recognition. However, the Department has the
option, but is not obligated, to increase pay and/or award performance
bonuses and other recognition to SES members. Only executives receiving
a final rating of Fully Successful are eligible to receive a pay
increase or performance recognition.

In linking the achievement of specific ratings to eligibility for
recognition, the ERB has the flexibility to recognize executives using
any of the following forms of recognition, or combination of forms of
recognition (i.e. a pay increase and a bonus) as illustrated below. In
its annual SES performance appraisal closeout guidance, the ERB will set
the amounts of SES performance bonuses, STAR Awards, and Time-Off Awards
with which executives at each summary performance level may be
recognized.

***Exceptional**:* Eligible for:

-   Pay increases up to 10%;

-   Secretary\'s Executive Leadership Award (SELA) -- Gold, Silver, and
    Bronze;

-   SES Performance Bonuses;

-   STAR Awards; and

-   Time-Off Awards.

***Superior:*** Eligible for:

-   Pay increases up to 6%;

-   SELA - Silver and Bronze;

-   SES Performance Bonuses;

-   STAR Awards; and

-   Time-Off Awards..

***Fully Successful***: Eligible for:

-   Pay increases up to 4%;

-   STAR Awards; and

-   Time-Off Awards.

***Minimally Successful***: Ineligible for any performance recognition.

***Unsatisfactory***: Ineligible for any performance recognition.

**Eligibility for Pay Adjustments**

Pay adjustments (increases/decreases) may be made only once in a
12-month period, except as noted in 5 CFR 534.404.

With the approval of the ERB, upward pay rate adjustments may be made
for SES members with a final summary rating of at least Fully
Successful.

With the approval of the ERB, a downward pay rate adjustment of no
greater than 10% may be made for executives receiving a final summary
rating of Minimally Satisfactory or Unsatisfactory.

**Aggregate Limitation of Pay**

Agencies with certified appraisal systems for their senior executives
have a higher annual aggregate limitation on pay which is equivalent to
the total annual compensation payable to the Vice President. Agencies
without certification must continue to apply an annual aggregate
limitation on pay equivalent to the rate for level I of the Executive
Schedule.

**Coverage of Aggregate Pay**

The aggregate limitation is for the total of an executive\'s basic pay,
including allowances (such as retention allowances), differential
bonuses (such as recruitment and relocation bonuses), and awards (such
as SES bonuses, SELA, and Presidential rank awards).

Amounts in excess of the limitations shall be paid in a lump sum at the
beginning of the following calendar year. The amount so paid is
considered part of the employee's aggregate compensation for the new
calendar year.

**Secretary\'s Executive Leadership Award (SELA)**

This award was created to recognize accomplishment of performance
objectives and excellence in leadership for career executives. The award
includes the following three levels:

Gold 17% of basic pay

Silver 14% of basic pay

Bronze 12% of basic pay

**Recognition for Non-Career SES**

Non-career SES employees are eligible to receive pay increases, STAR
Awards, and time-off awards. There is a statutory prohibition on
granting awards to noncareer SES employees during the Presidential
election period (between June 1 of a Presidential election year and the
following January 20).

**8. Presidential Rank Awards**

**Presidential Rank Award**

Each year, the President recognizes a small group of career Senior
Executives with the President\'s Rank Award for exceptional long-term
accomplishments. SES Rank Award recipients are outstanding leaders who
consistently demonstrate strength, integrity, industry, and a relentless
commitment to public service. There are two categories of rank awards
for SES: Distinguished and Meritorious.

The Distinguished Executive rank is awarded to leaders who achieve
extraordinary results. Awardees receive a lump-sum payment of 35 percent
of their basic pay, a gold pin, and a framed certificate signed by the
President. The Meritorious Executive rank is awarded to leaders for
sustained accomplishments. Awardees receive a lump-sum payment of 20
percent of their basic pay, a silver pin and a framed certificate signed
by the President.

OPM administers the Presidential Rank Awards Program. OPM develops the
criteria for agencies to use, makes final determinations of the
eligibility of nominees, and convenes meeting of Presidential Rank Award
Boards that are made up of private citizens who evaluate and rate the
nominations. The OPM Director then recommends potential winners to the
President, who makes the final selections.

**Eligibility**

Nominees must hold a career appointment in the SES, be an employee of
the nominating agency and have at least 3 years of career or career-type
Federal civilian service at the SES level. Service does not have to be
continuous. Qualifying service does not include appointments that are
noncareer, limited term, or limited emergency. An executive may not
receive the same award only once in any five-year period. Nominees must
meet eligibility criteria by the nomination deadline (end of January).

Employees in Executive Schedule positions who were appointed by the
President with Senate confirmation (PAS) may not receive incentive
awards, including Rank Awards. However, PAS employees who were career
Senior Executives and elected to keep their SES status and benefits are
eligible for rank awards. Please use caution with these nominations,
since Congress has expressed concern about Executive Schedule awards.

**Nomination Period**

Nominations are requested by DOI at the end of the calendar year and are
due to OPM by the end of January. All nominations must be cleared
through the appropriate Assistant Secretary and must be approved by the
ERB.

**9. Actions Required for Less than Fully Satisfactory Performance**

**Actions Required for Minimally Successful Performance**

During the appraisal period*,* if the rating official determines an
executive's performance

under one or more performance elements to be Minimally Successful, that
determination must be documented following a progress review and written
notification of such findings provided to the executive.

If one or more performance elements continues to be rated at the
Minimally Successful level at the end of the appraisal period, a
determination must be documented and consideration must be given to a
reassignment action.

If an executive whose performance was found to be Fully Successful or
higher on the progress review is then rated Minimally Successful on the
annual summary rating, he or she must be given assistance through a
performance improvement plan in the subsequent appraisal period to raise
performance to Fully Successful. Documentation must include
identification of the element(s) and performance requirement(s) involved
and a narrative description of the performance deficiency in comparison
to the requirement(s).

Rating officials must also prepare a performance improvement plan to
assist the executive in raising the performance to at least the Fully
Successful level. Such assistance may include but is

not limited to formal training, on-the-job training, counseling, and
closer supervision, and must be summarized in writing on the progress
review form or an attachment.

**Actions Required for Unsatisfactory Performance**

At the end of the appraisal period, if performance on one or more
elements is determined to be Unsatisfactory, that determination must be
documented in writing and the executive must be reassigned or
transferred within the SES or removed from the SES.

**Conditions Requiring Removal from Position and/or Removal from SES**

An executive receiving a Minimally Successful rating must be placed on a
performance improvement plan. An executive who receives less than a
Fully Successful annual summary rating twice in any 3-year period must
be removed from the SES.

An executive who receives an Unsatisfactory annual summary rating must
be reassigned or transferred within the SES to another position or
removed from the SES.

An executive who receives two Unsatisfactory annual summary ratings in
any 5-year period must be removed from the SES.

**Other Actions that May Be Taken**

Performance may indicate other personnel actions that may be appropriate
including pay reduction, reassignment, development, and continual
learning**.**

**Appeal Rights of Final Rating or Lack of Pay Increase or Performance
Recognition**

An executive may not appeal either the final summary rating or the lack
(or amount) of a pay increase or performance recognition. Executives
have the right to respond in writing to the initial summary rating made
by the rating official. This response becomes a part of the appraisal
document and is reviewed by the optional reviewing official, the PRB,
the bureau/office head, the assistant secretary or equivalent official,
and the ERB.

A Career SES appointee may file a complaint with the Office of Special
Counsel regarding any aspect of the rating process which he/she believes
to involve a prohibited personnel practice.

**10. Retention Period for Performance Records**

Performance records for SES appointees are retained for five consecutive
years. When an executive transfers to another agency, all appropriate
performance related documents five years old or less shall be forwarded
in the Employee Performance File along with the executive's OPF.

When a Career SES appointee accepts a Presidential appointment, the
executive\'s performance file shall be retained as long as the executive
remains employed under that Presidential

appointment. If the individual does not return to the SES when the
appointment ends, the Employee Performance File shall be destroyed in
accordance with DOI procedures.

Where any performance-related document is needed in connection with
ongoing,

quasi-judicial, or judicial proceeding, it may be retained for as long
as necessary beyond the established retention schedule.