[Federal Register Volume 60, Number 199 (Monday, October 16, 1995)]
[Proposed Rules]
[Pages 53545-53546]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-25583]



 ========================================================================
 Proposed Rules
                                                 Federal Register
 ________________________________________________________________________
 
 This section of the FEDERAL REGISTER contains notices to the public of 
 the proposed issuance of rules and regulations. The purpose of these 
 notices is to give interested persons an opportunity to participate in 
 the rule making prior to the adoption of the final rules.
 
 ========================================================================
 

  Federal Register / Vol. 60, No. 199 / Monday, October 16, 1995 / 
Proposed Rules  

[[Page 53545]]


OFFICE OF PERSONNEL MANAGEMENT

5 CFR Part 531

RIN 3206-AG88


Pay Under the General Schedule; Locality Pay Areas for 1997

AGENCY: Office of Personnel Management.

ACTION: Proposed rule with request for comments.

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SUMMARY: The Office of Personnel Management is issuing proposed 
regulations to remove three metropolitan areas from the ``Rest of 
U.S.'' locality pay area and establish three new locality pay areas in 
January 1997 corresponding to these metropolitan areas. The three 
metropolitan areas affected by this proposed regulation are the 
following: (1) Milwaukee-Racine, WI; (2) Minneapolis-St. Paul, MN-WI; 
and (3) Pittsburgh, PA. These proposed changes are based on a 
recommendation of the Federal Salary Council. The purpose of this 
notice is to solicit public comments on the boundaries of locality pay 
areas recommended by the Federal Salary Council before the President's 
Pay Agent makes a final determination on this matter.

DATES: Comments must be received on or before November 15, 1995.

ADDRESSES: Comments may be sent or delivered to Donald J. Winstead, 
Assistant Director for Compensation Policy, Human Resources Systems 
Service, Office of Personnel Management, Room 6H31, 1900 E Street NW., 
Washington, DC 20415 (FAX: (202) 606-0824).

FOR FURTHER INFORMATION CONTACT:
Jeanne D. Jacobson, (202) 606-2858 or FAX: (202) 606-0824.

SUPPLEMENTARY INFORMATION: Section 5304(a)(1) of title 5, United States 
Code, provides that locality payments shall be payable within each 
locality determined to have a pay disparity greater than 5 percent. 
Section 5304(f)(1) authorizes the President's Pay Agent (consisting of 
the Secretary of Labor, the Director of the Office of Management and 
Budget (OMB), and the Director of the Office of Personnel Management 
(OPM)) to provide for such pay localities as the Pay Agent considers 
appropriate. In so doing, the Pay Agent must give thorough 
consideration to the views and recommendations of the Federal Salary 
Council, a body composed of experts in the fields of labor relations 
and pay and representatives of Federal employee organizations. Members 
of the Federal Salary Council are appointed by the President and meet 
regularly to consider issues related to the locality pay system for 
General Schedule employees.
    In late 1994, the President's Pay Agent adopted the recommendations 
of the Federal Salary Council concerning locality pay areas for 1995 in 
their entirety. These recommendations resulted in the establishment of 
a total of 27 locality pay areas consisting of 26 areas corresponding 
to Metropolitan Statistical Areas (MSA's) or Consolidated Metropolitan 
Statistical Areas (CMSA's), including certain ``areas of application'' 
contiguous to 2 CMSA's, plus 1 area composed of the ``Rest of U.S.'' 
(See 59 FR 67605, December 30, 1994, and 5 CFR 531.603(b).)
    Starting with the January 1996 locality payments, 5 U.S.C. 
5304(d)(1) requires the Pay Agent to make recommendations to the 
President no later than 13 months before the start of the calendar year 
for which the locality payments are paid. Therefore, the locality pay 
areas established by the Pay Agent for the 1995 locality payments are 
also applicable to the locality payments authorized for 1996.
    At its meeting on September 28, 1995, the Federal Salary Council 
recommended the removal of three metropolitan areas from the ``Rest of 
U.S.'' locality pay area and the establishment of three new locality 
pay areas corresponding to these metropolitan areas in January 1997. 
The MSA's and CMSA's affected by this recommendation are the following: 
(1) Milwaukee-Racine, WI; (2) Minneapolis-St. Paul, MN-WI; and (3) 
Pittsburgh, PA. The Bureau of Labor Statistics (BLS) conducted 
additional local salary surveys in 1994-95 in these areas at the 
direction of the Pay Agent following an earlier recommendation of the 
Federal Salary Council, and these surveys showed that the pay disparity 
in each of these areas was greater than in the ``Rest of U.S.'' 
locality pay area. These 3 new locality pay areas would be in addition 
to the 27 locality pay areas established for the 1995 and 1996 locality 
payments.
    At the direction of the President's Pay Agent, BLS also conducted 
local salary surveys in 1994-95 in the Phoenix-Mesa, AZ, and Tampa-St. 
Petersburg-Clearwater, FL, metropolitan areas. These surveys showed the 
pay disparities in these areas to be below the pay disparity for the 
``Rest of U.S.'' locality pay area. In accordance with the criteria 
previously established by the Federal Salary Council, these areas are 
not being proposed as separate locality pay areas and will continue to 
be part of the ``Rest of U.S.'' locality pay area because the pay 
disparity in each area is \2/10\ths of a percentage point or more below 
the pay disparity for the ``Rest of U.S.'' locality pay area. The 
information used to make this determination is a part of the public 
record and is available from OPM.
    The Pay Agent's decision regarding locality pay areas for 1997 must 
be made no later than November 30, 1995. Therefore, OPM has established 
a 30-day public comment period on these proposed regulations. After the 
public comment period, the Pay Agent will consider the comments 
received from Federal employees, agencies, employee organizations, and 
other interested parties before making its determination on the 
establishment of pay localities. The Pay Agent also will consider any 
additional views and recommendations expressed directly to the Pay 
Agent by any member of the Federal Salary Council or by employee 
organizations not represented on the Council. The final regulations 
issued by OPM will reflect the Pay Agent's final determination on this 
matter.

E.O. 12866, Regulatory Review

    This rule has been reviewed by the Office of Management and Budget 
in accordance with E.O. 12866.

Regulatory Flexibility Act

    I certify that these regulations would not have a significant 
economic impact on a substantial number or small entities because they 
would apply only to Federal agency and employees. 

[[Page 53546]]


List of Subjects in 5 CFR Part 531

    Govenment employees, Law enforcement officers, Wages.

Office of Personnel Management.
James B. King,
Director.

    Accordingly, OPM is proposing to amend part 531 of title 5, Code of 
Federal Regulations, as follows:

PART 531--PAY UNDER THE GENERAL SCHEDULE

    1. The authority citation of part 531 continues to read as follows:

    Authority: 5 U.S.C. 5115, 5307, and 5558; sec. 4 of Pub. L. 103-
89, 107 Stat. 981; and E.O. 12748, 56 FR 4521, February 4, 1991, 3 
CFR, 1991 Comp., p. 316;
    Subaprt A also issued under 5 U.S.C. 5304, 5305, and 5553; 
section 302 of the Federal Employees Pay Comparability Act of 1990 
(FEPCA), Pub. L. 101-509, 104 Stat. 1462; and E.O. 12786, 56 FR 
67453, December 30, 1991, 3 CFR, 1919 Comp., p. 376;
    Subpart B also issued under 5 U.S.C. 5303(g) 5333, 5334(a), and 
7701(b)(2);
    Subaprt C also issued under 5 U.S.C. 5304, 5305, and 5553; 
sections 302 and 404 of FEPCA, Pub. L. 101-509, 104 Stat. 1462 and 
1466; and section 3(7) of Pub. L. 102-378, 106 Stat. 1356;
    Subpart D also issued under 5 U.S.C. 5335(g) and 7701(b)(2);
    Subpart E also issued under 5 U.S.C. 5336;
    Subpart F also issued under 5 U.S.C. 5304, 5305(g)(1), and 5553; 
and E.O. 12883, 58 FR 63281, November 29, 1993, 3 CFR, 1993 Comp., 
p. 682

Subpart F--Locality-Based Comparability Payments

    2. In Sec. 531.603, paragraph (b) is revised to read as follows:


Sec. 531.603  Locality pay areas.

* * * * *
    (b) The following are locality pay areas for the purpose of this 
subpart;
    (1) Atlanta, GA--consisting of the Atlanta, GA MSA;
    (2) Boston-Worcester-Lawrence, MA-NH-ME-CT--consisting of the 
Boston-Worcester-Lawrence, MA-NH-ME-CT CMSA;
    (3) Chicago-Gary-Kenosha, IL-IN-WI--consisting of the Chicago-Gary-
Kenosha, IL-IN-WI CMSA;
    (4) Cincinnati-Hamilton, OH-KY-IN--consisting of the Cincinnati-
Hamilton, OH-KY-IN CMSA;
    (5) Cleveland-Akron, OH--consisting of the Cleveland-Akron, OH 
CMSA;
    (6) Columbus, OH--consisting of the Columbus, OH MSA;
    (7) Dallas-Fort Worth, TX--consisting of the Dallas-Fort Worth, TX 
CMSA;
    (8) Dayton-Springfield, OH--consisting of the Dayton-Springfield, 
OH MSA;
    (9) Denver-Boulder-Greeley, CO--consisting of the Denver-Boulder-
Greeley, CO CMSA;
    (10) Detroit-Ann Arbor-Flint, MI--consisting of the Detroit-Ann 
Arbor-Flint, MI CMSA;
    (11) Houston-Galveston-Brazoria, TX--consisting of the Houston-
Galveston-Brazoria, TX CMSA;
    (12) Huntsville, AL--consisting of the Huntsville, AL MSA;
    (13) Indianapolis, IN--consisting of the Indianapolis, IN MSA;
    (14) Kansas City, MO-KS--consisting of the Kansas City, MO-KS MSA;
    (15) Los Angeles-Reverside-Orange County, CA--consisting of the Los 
Angeles-Riverside-Orange County, CA CMSA, plus Santa Barbara County, 
CA, and that portion of Edwards Air Force Base, CA, not located within 
the Los Angeles-Riverside-Orange County, CA CMSA;
    (16) Miami-Fort Lauderdale, FL--consisting of the Miami-Fort 
Lauderdale, FL CMSA;
    (17) Milwaukee-Racine, WI--consisting of the Milwaukee-Racine, WI 
CMSA;
    (18) Minneapolis-St. Paul, MN-WI--consisting of the Minneapolis-St. 
Paul, MN-WI MSA;
    (19) New York-Northern New Jersey-Long Island, NY-NJ-CT-PA--
consisting of the New York-Northern New Jersey-Long Island, NY-NJ-CT-PA 
CMSA;
    (20) Philadelphia-Wilmington-Atlantic City, PA-NJ-DE-MD--consisting 
of the Philadelphia-Wilmington-Atlantic City, PA-NJ-DE-MD CMSA;
    (21) Pittsburgh, PA--consisting of the Pittsburgh, PA MSA;
    (22) Portland-Salem, OR-WA--consisting of the Portland-Salem, OR-WA 
CMSA;
    (23) Richmond-Petersburg, VA--consisting of the Richmond-
Petersburg, VA MSA;
    (24) Sacramento-Yolo, CA--consisting of the Sacramento-Yolo, CA 
CMSA;
    (25) St. Louis, MO-IL--consisting of the St. Louis, MO-IL MSA;
    (26) San Diego, CA--consisting of the San Diego, CA MSA;
    (27) San Francisco-Oakland-San Jose, CA--consisting of the San 
Francisco-Oakland-San Jose, CA CMSA;
    (28) Seattle-Tacoma-Bremerton, WA--consisting of the Seattle-
Tacoma-Bremerton, WA CMSA;
    (29) Washington-Baltimore, DC-MD-VA-WV--consisting of the 
Washington-Baltimore, DC-MD-VA-WV CMSA, plus St. Mary's County, MD; and
    (30) Rest of U.S.--consisting of those portions of the continental 
United States not located within another locality pay area.

[FR Doc. 95-25583 Filed 10-13-95; 8:45 am]
BILLING CODE 6325-01-M