United States Department of Labor 

Employees’ Compensation Appeals Board 

__________________________________________ 

M.C., Appellant 

and 

DEPARTMENT OF THE NAVY, PUGET 

SOUND NAVAL SHIPYARD, Bremerton, WA, 

Employer 

__________________________________________ 

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Docket No. 14-1348 

Issued: October 2, 2014 

Appearances: Case Submitted on the Record

Appellant, pro se 

Office of Solicitor, for the Director 

DECISION AND ORDER 

Before: 

PATRICIA HOWARD FITZGERALD, Judge 

ALEC J. KOROMILAS, Alternate Judge 

MICHAEL E. GROOM, Alternate Judge 

JURISDICTION 

On May 16, 2014 appellant timely appealed the January 27, 2014 merit decision of the 

Office of Workers’ Compensation Programs (OWCP) regarding a schedule award. Pursuant to 

the Federal Employees’ Compensation Act1

 (FECA) and 20 C.F.R. §§ 501.2(c) and 501.3, the 

Board has jurisdiction over the merits of this case.2

ISSUE 

The issue is whether appellant has greater than three percent impairment of the right leg. 

 1

 5 U.S.C. §§ 8101-8193 (2006). 

2

 The record on appeal contains evidence received after OWCP issued its January 27, 2014 decision. The Board 

is precluded from considering evidence that was not of record at the time OWCP issued its final decision. 20 C.F.R. 

§ 501.2(c)(1) (2012). 
2

FACTUAL HISTORY 

Appellant, a 58-year-old former welder, has an accepted claim for chondromalacia of the 

right patella, which arose on or about December 3, 2003. OWCP approved an October 21, 2005 

right knee arthroscopic procedure, which included debridement of a grade 2 to 3 patellar articular 

cartilage lesion. Appellant’s surgeon released him to perform limited-duty work effective 

November 3, 2005. In October 2008, the employing establishment assigned appellant to the 

position of material handler/expediter.3 On June 25, 2013 appellant filed a claim for a schedule 

award (Form CA-7). 

Dr. Michael S. McManus, an attending physician Board-certified in occupational 

medicine, provided a July 17, 2013 impairment rating under the sixth edition of the American 

Medical Association, Guides to the Evaluation of Permanent Impairment (2008). He diagnosed 

secondary arthritis and chondromalacia, primarily involving the patellofemoral compartment of 

the right knee. Dr. McManus also noted that appellant was status post chondroplasty of the 

patella. According to him, appellant reached maximum medical improvement as of June 24, 

2013, which was the date of his most recent prior examination. He rated 10 percent right lower 

extremity impairment under Table 16-3, Knee Regional Grid (LEI), A.M.A., Guides 511 (6th ed. 

2008). Dr. McManus used the diagnosis of patellofemoral arthritis with a two mm cartilage 

interval. He indicated that appellant’s latest right knee x-ray, dated June 24, 2013, revealed 

cartilage interval narrowing to 2.3 mm in the lateral aspect of the patellofemoral compartment.4 

This represented class 1 impairment (CDX 1) with a default (grade C) lower extremity rating of 

10 percent. With respect to grade modifiers, Dr. McManus assigned a value of 1 for Functional 

History (GMFH 1) and Physical Examination (GMPE 1). He did not include a grade modifier 

for Clinical Studies (GMCS) because appellant’s x-ray results formed the basis of the class 

assignment. Dr. McManus calculated a net adjustment of zero.5 Accordingly, the final right leg 

impairment rating was 10 percent (grade C). 

On August 5, 2013 Dr. Kenneth D. Sawyer, a district medical adviser, reviewed the case 

record and the July 17, 2013 impairment rating of Dr. McManus. He disagreed with the 10 

percent rating for patellofemoral arthritis with a two-millimeter (mm) cartilage interval. 

Dr. Sawyer noted that the x-rays of record did not describe any narrowing of the patellofemoral 

joint space or provide any actual measurement. Instead of rating appellant based on cartilage 

interval narrowing, Dr. Sawyer relied on a diagnosis of patellofemoral arthritis with fullthickness articular cartilage defect. Under Table 16-3, A.M.A., Guides 511 (6th ed. 2008), this 

diagnosis represented class 1 impairment with a default rating of three percent. Dr. Sawyer 

otherwise concurred with Dr. McManus’ assignment of grade modifiers and his net adjustment 

calculation of zero (0). He found that appellant reached maximum medical improvement as of 

July 17, 2013, the date of Dr. McManus’ examination. 

 3

 Appellant served in this capacity until he retired on July 31, 2013. 

4

 The June 24, 2013 x-rays consisted of four views of the right knee read by Dr. Donna M. White, a radiologist, 

who noted mild degenerative arthritis with no significant interval change. 

5

 Net Adjustment (0) ꞊ (GMFH 1-CDX 1) + (GMPE 1-CDX 1). See section 16.3d, A.M.A, Guides 521 

(6th ed. 2008). 
3

On August 26, 2013 OWCP granted a schedule award for three percent right leg 

impairment. The award covered a period of 8.64 weeks from July 17 through 

September 15, 2013. 

Appellant timely requested a review of the written record. He did not submit any 

additional medical evidence. 

By decision dated January 27, 2014, the hearing representative affirmed the August 26, 

2013 schedule award for three percent right leg impairment. 

LEGAL PRECEDENT 

Section 8107 of FECA sets forth the number of weeks of compensation to be paid for the 

permanent loss of use of specified members, functions and organs of the body.6 FECA, 

however, does not specify the manner by which the percentage loss of a member, function or 

organ shall be determined. To ensure consistent results and equal justice under the law, good 

administrative practice requires the use of uniform standards applicable to all claimants. The 

implementing regulations have adopted the American Medical Association, Guides to the 

Evaluation of Permanent Impairment as the appropriate standard for evaluating schedule losses.7

 

Effective May 1, 2009, schedule awards are determined in accordance with the sixth edition of 

the A.M.A., Guides (2008).8

ANALYSIS 

Appellant’s physician, Dr. McManus, provided a July 17, 2013 right lower extremity 

impairment rating of 10 percent. His finding was based on a diagnosis of patellofemoral arthritis 

with a two mm cartilage interval. Dr. McManus stated that appellant’s June 24, 2013 right knee 

x-ray revealed a cartilage interval of 2.3 mm in the lateral aspect of the patellofemoral 

compartment. These films were obtained by Dr. White whose impression was mild degenerative 

arthritis. She noted “no significant interval change....” Dr. White did not list any specific 

measurement that would support the rating by Dr. McManus. Dr. Sawyer correctly noted there 

were no x-ray reports that included actual measurements of patellofemoral joint space narrowing. 

Although it is possible that Dr. McManus read appellant’s June 24, 2013 right knee x-ray and 

personally measured the patellofemoral compartment cartilage interval, the source of his “2.3 

mm” finding is not apparent from the evidence of record. Under the circumstances, Dr. Sawyer 

reasonably questioned Dr. McManus’ impairment rating based on a diagnosis of patellofemoral 

arthritis with a two mm cartilage interval. 

The Board finds that Dr. Sawyer’s August 5, 2013 impairment rating conforms to the 

A.M.A., Guides (6th ed. 2008) and represents the weight of the medical evidence regarding the 

 6

 For complete loss of use of a leg, an employee shall receive 288 weeks’ compensation. 5 U.S.C. § 8107(c)(2). 

7

 20 C.F.R. § 10.404. 

8 See Federal (FECA) Procedure Manual, Part 3 -- Medical, Schedule Awards, Chapter 3.700, Exhibit 1 

(January 2010); Federal (FECA) Procedure Manual, Part 2 -- Claims, Schedule Awards & Permanent Disability 

Claims, Chapter 2.808.6a (February 2013). 
4

extent of appellant’s right lower extremity impairment. Dr. Sawyer’s rating, which was based on 

a diagnosis of patellofemoral arthritis with full-thickness articular cartilage defect, is supported 

by the record. Furthermore, he concurred with Dr. McManus’ assignment of grade modifiers 

and his net adjustment calculation.9

 This resulted in a final rating of three percent right leg 

impairment under Table 16-3, Knee Regional Grid (LEI), A.M.A., Guides 511 (6th ed. 2008). 

Accordingly, the medical evidence of record does not establish right leg impairment greater than 

three percent. 

Appellant may request a schedule award or increased schedule award based on evidence 

of a new exposure or medical evidence showing progression of an employment-related condition 

resulting in permanent impairment or increased impairment. 

CONCLUSION 

Appellant has not demonstrated that he has greater than three percent impairment of the 

right leg. 

ORDER 

IT IS HEREBY ORDERED THAT the January 27, 2014 decision of the Office of 

Workers’ Compensation Programs is affirmed. 

Issued: October 2, 2014 

Washington, DC 

 

 Patricia Howard Fitzgerald, Judge 

 Employees’ Compensation Appeals Board 

 

 Alec J. Koromilas, Alternate Judge 

 Employees’ Compensation Appeals Board 

 

 Michael E. Groom, Alternate Judge 

 Employees’ Compensation Appeals Board 

 9 See supra note 6.