103D CONGRESS
2D SESSION
H. R. 3345
AN ACT
To provide temporary authority to Government agencies re-
lating to voluntary separation incentive payments, and
for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Federal Workforce Re-
structuring Act of 1994’’.
SEC. 2. VOLUNTARY SEPARATION INCENTIVES.
(a) DEFINITIONS.—For the purpose of this section—
(1) the term ‘‘agency’’ means an Executive
agency (as defined by section 105 of title 5, United
States Code), but does not include the Department
of Defense, the Central Intelligence Agency, or the
General Accounting Office; and
(2) the term ‘‘employee’’ means an employee
(as defined by section 2105 of title 5, United States
Code) who is employed by an agency, is serving
under an appointment without time limitation, and
has been currently employed for a continuous period
of at least 12 months; such term includes an individ-
ual employed by a county committee established
under section 8(b) of the Soil Conservation and Do-
mestic Allotment Act (16 U.S.C. 590h(b)), but does
not include—
(A) a reemployed annuitant under sub-
chapter III of chapter 83 or chapter 84 of title
5, United States Code, or another retirement
system for employees of the Government; or
(B) an employee having a disability on the
basis of which such employee is or would be eli-
gible for disability retirement under the applica-
ble retirement system referred to in subpara-
graph (A).
(b) AUTHORITY.—
(1) IN GENERAL.—In order to avoid or mini-
mize the need for involuntary separations due to a
reduction in force, reorganization, transfer of func-
tion, or other similar action, and subject to para-
graph (2), the head of an agency may pay, or au-
thorize the payment of, voluntary separation incen-
tive payments to agency employees—
(A) in any component of the agency;
(B) in any occupation;
(C) in any geographic location; or
(D) on the basis of any combination of fac-
tors under subparagraphs (A) through (C).
(2) CONDITION.—
(A) IN GENERAL.—In order to receive an
incentive payment, an employee must separate
from service with the agency (whether by retire-
ment or resignation) before January 1, 1995.
(B) EXCEPTION.—An employee who does
not separate from service before the date speci-
fied in subparagraph (A) shall be ineligible for
an incentive payment under this section un-
less—
(i) the agency head determines that,
in order to ensure the performance of the
agency’s mission, it is necessary to delay
such employee’s separation; and
(ii) the employee separates after com-
pleting any additional period of service re-
quired (but not later December 31, 1996).
(c) AMOUNT AND TREATMENT OF PAYMENTS.—A
voluntary separation incentive payment—
(1) shall be paid in a lump sum after the em-
ployee’s separation;
(2) shall be equal to the lesser of—
(A) an amount equal to the amount the
employee would be entitled to receive under sec-
tion 5595(c) of title 5, United States Code, if
the employee were entitled to payment under
such section; or
(B) $25,000;
(3) shall not be a basis for payment, and shall
not be included in the computation, of any other
type of Government benefit;
(4) shall not be taken into account in determin-
ing the amount of any severance pay to which an
employee may be entitled under section 5595 of title
5, United States Code, based on any other separa-
tion; and
(5) shall be paid from appropriations or funds
available for the payment of the basic pay of the em-
ployee.
(d) EFFECT OF SUBSEQUENT EMPLOYMENT WITH
THE GOVERNMENT.—
(1) IN GENERAL.—An employee who has re-
ceived a voluntary separation incentive payment
under this section and accepts employment with the
Government of the United States within 5 years
after the date of the separation on which the pay-
ment is based shall be required to repay the entire
amount of the incentive payment to the agency that
paid the incentive payment.
(2) WAIVER AUTHORITY.—
(A) EXECUTIVE AGENCY.—If the employ-
ment is with an Executive agency (as defined in
section 105 of title 5, United States Code), the
Director of the Office of Personnel Management
may, at the request of the head of the agency,
waive the repayment if the individual involved
possesses unique abilities and is the only quali-
fied applicant available for the position.
(B) LEGISLATIVE
BRANCH.—If the em-
ployment is with an entity in the legislative
branch, the head of the entity or the appointing
official may waive the repayment if the individ-
ual involved possesses unique abilities and is
the only qualified applicant available for the po-
sition.
(C) JUDICIAL
BRANCH.—If the employ-
ment is with the judicial branch, the Director of
the Administrative Office of the United States
Courts may waive the repayment if the individ-
ual involved possesses unique abilities and is
the only qualified applicant available for the po-
sition.
(3) DEFINITION.—For purposes of paragraph
(1) (but not paragraph (2)), the term ‘‘employment’’
includes employment under a personal services con-
tract with the United States.
(e) REGULATIONS.—The Director of the Office of
Personnel Management may prescribe any regulations
necessary for the administration of subsections (a)
through (d).
(f) EMPLOYEES OF THE JUDICIAL BRANCH.—The
Director of the Administrative Office of the United States
Courts may, by regulation, establish a program consistent
with the program established by subsections (a) through
(d) for individuals serving in the judicial branch.
SEC. 3. ADDITIONAL AGENCY CONTRIBUTIONS TO THE RE-
TIREMENT FUND.
(a) IN GENERAL.—In addition to any other payments
which it is required to make under subchapter III of chap-
ter 83 of title 5, United States Code, an agency shall remit
to the Office of Personnel Management for deposit in the
Treasury of the United States to the credit of the Civil
Service Retirement and Disability Fund an amount equal
to 9 percent of the final basic pay of each employee of
the agency—
(1) who retires under section 8336(d)(2) of
such title; and
(2) to whom a voluntary separation incentive
payment under section 2 (including under any pro-
gram established under section 2(f)) has been paid
by such agency based on that retirement.
(b) DEFINITION.—For the purpose of this section,
the term ‘‘final basic pay’’, with respect to an employee,
means the total amount of basic pay which would be pay-
able for a year of service by such employee, computed
using the employee’s final rate of basic pay, and, if last
serving on other than a full-time basis, with appropriate
adjustment therefor.
(c) REGULATIONS.—The Director of the Office of
Personnel Management may prescribe any regulations
necessary to carry out this section.
SEC. 4. REDUCTION OF FEDERAL FULL-TIME EQUIVALENT
POSITIONS.
(a) DEFINITION.—For purposes of this section, the
term ‘‘agency’’ means an Executive agency as defined
under section 105 of title 5, United States Code, but does
not include the General Accounting Office.
(b) LIMITATIONS ON FULL-TIME EQUIVALENT POSI-
TIONS.—The President, through the Office of Manage-
ment and Budget (in consultation with the Office of Per-
sonnel Management), shall ensure that the total number
of full-time equivalent positions in all agencies shall not
exceed—
(1) 2,084,600 during fiscal year 1994;
(2) 2,043,300 during fiscal year 1995;
(3) 2,003,300 during fiscal year 1996;
(4) 1,963,300 during fiscal year 1997;
(5) 1,922,300 during fiscal year 1998; and
(6) 1,882,300 during fiscal year 1999.
(c) MONITORING AND NOTIFICATION.—The Office of
Management and Budget, after consultation with the Of-
fice of Personnel Management, shall—
(1) continuously monitor all agencies and make
a determination on the first date of each quarter of
each applicable fiscal year of whether the require-
ments under subsection (b) are met; and
(2) notify the President and the Congress on
the first date of each quarter of each applicable fis-
cal year of any determination that any requirement
of subsection (b) is not met.
(d) COMPLIANCE.—If at any time during a fiscal
year, the Office of Management and Budget notifies the
President and the Congress that any requirement under
subsection (b) is not met, no agency may hire any em-
ployee for any position in such agency until the Office of
Management and Budget notifies the President and the
Congress that the total number of full-time equivalent po-
sitions for all agencies equals or is less than the applicable
number required under subsection (b).
(e) WAIVER.—
(1) EMERGENCIES.—Any provision of this sec-
tion may be waived upon a determination by the
President that—
(A) the existence of a state of war or other
national security concern so requires; or
(B) the existence of an extraordinary
emergency threatening life, health, safety, prop-
erty, or the environment so requires.
(2) AGENCY
EFFICIENCY
OR
CRITICAL
MIS-
SION.—
(A) Subsection (d) may be waived, in the
case of a particular position or category of posi-
tions in an agency, upon a determination of the
President that the efficiency of the agency or
the performance of a critical agency mission so
requires.
(B) Whenever the President grants a waiv-
er pursuant to subparagraph (A), the President
shall take all necessary actions to ensure that
the overall limitations set forth in subsection
(b) are not exceeded.
(f) EMPLOYMENT BACKFILL PREVENTION.—
(1) IN GENERAL.—The total number of funded
employee positions in all agencies (excluding the De-
partment of Defense and the Central Intelligence
Agency) shall be reduced by one position for each
vacancy created by the separation of any employee
who has received, or is due to receive, a voluntary
separation incentive payment under section 2 (a)–
(e). For purposes of this subsection, positions and
vacancies shall be counted on a full-time-equivalent
basis.
(2) RELATED RESTRICTION.—No funds budg-
eted for and appropriated by any Act for salaries or
expenses of positions eliminated under this sub-
section may be used for any purpose other than au-
thorized separation costs.
Passed the House of Representatives February 10,
1994.
Attest:
Clerk.