[Federal Register Volume 60, Number 250 (Friday, December 29, 1995)]
[Rules and Regulations]
[Pages 67281-67286]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-31382]



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 Rules and Regulations
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  Federal Register / Vol. 60, No. 250 / Friday, December 29, 1995 / 
Rules and Regulations  

[[Page 67281]]


OFFICE OF PERSONNEL MANAGEMENT

5 CFR Part 330

RIN 3206-AH26


Career Transition Assistance for Surplus and Displaced Federal 
Employees

AGENCY: Office of Personnel Management.

ACTION: Interim rule with request for comments.

-----------------------------------------------------------------------

SUMMARY: The Office of Personnel Management is issuing interim 
regulations to implement the President's memorandum of September 12, 
1995, that requires Federal agencies to develop career transition 
assistance programs to help their employees affected by downsizing 
obtain other employment. The regulations require agencies to provide 
transition assistance services and give hiring priority to surplus and 
displaced employees.

DATES: Interim regulations are effective on December 29, 1995. Agencies 
will draft and effect their Agency Career Transition Assistance Plan, 
including provisions to give selection priority to their surplus and 
displaced employees, as soon as possible, but no later than February 
29, 1996, unless an extension is requested and approved by OPM. A new 
program providing selection priority for displaced employees on an 
interagency basis--the Interagency Career Transition Assistance Plan--
will go into effect on February 29, 1996, at which time the operation 
of the current OPM Interagency Placement Program will be suspended. 
These special plans will operate through September 30, 1999, unless 
further extended because of severe downsizing. Written comments will be 
considered if received no later than February 27, 1996.

ADDRESSES: Send or deliver written comments to Leonard R. Klein, 
Associate Director for Employment, Office of Personnel Management, Room 
6F08, 1900 E Street NW., Washington, DC 20415-0001.

FOR FURTHER INFORMATION CONTACT:
Diane Bohling or Ed McHugh, 202-606-0960, FAX 202-606-2329.

SUPPLEMENTARY INFORMATION: On September 12, 1995, the President issued 
a memorandum entitled ``Career Transition Assistance for Federal 
Employees'' that directs Federal agencies to establish career 
transition assistance programs to help their surplus and displaced 
workers find other jobs as the Federal Government undergoes downsizing 
and restructuring. As set forth in the memorandum, such programs are to 
be developed in partnership with labor and management, and follow 
guidance and regulations provided by the Office of Personnel Management 
(OPM).
    OPM is issuing the following regulations which were developed in 
cooperation with representatives from the Interagency Advisory Group 
and employee unions. These regulations provide the framework for 
implementing the President's directive.
    The goal of the Presidential directive is to maximize employment 
opportunities for displaced workers, both within and outside the 
Federal Government. Under these regulations, Federal agencies are 
required to draft and effect Agency Career Transition Assistance Plans 
as soon as possible, but no later than February 29, 1996 (unless an 
extension is requested and approved by OPM) to provide career 
transition services to their surplus and displaced employees, and give 
special selection priority to these workers. These regulations set 
minimum standards for these plans, which can be supplemented at the 
agency's discretion.
    Agency plans will have three components: (1) Policies to provide 
their surplus and displaced employees with career transition services 
such as skills assessment, resume preparation, counselling and job 
search assistance; (2) policies and procedures for selecting their own 
well-qualified surplus or displaced agency employees who apply for 
agency vacancies in the local commuting area, before any other 
candidate from within or outside the agency; and (3) operation of the 
agency's Reemployment Priority List (RPL) under subpart B of 5 CFR 330. 
These plans will operate through September 30, 1999, unless further 
extended because of severe downsizing. Because the Department of 
Defense already has an effective program in operation to provide 
selection priority to surplus and displaced employees within the 
Department--the Priority Placement Program--the requirement described 
in 2 above does not apply to the Department of Defense. The Department 
of Defense is subject to the other elements of these regulations, and 
the Reemployment Priority List under Subpart B of 5 CFR 330, and its 
employees are eligible for the benefits provided by these programs.
    Traditionally, the Federal Government has relied on referrals from 
centralized inventories as the mechanism to place surplus and displaced 
workers in jobs in other agencies. Although the program currently used 
to do this, the OPM Interagency Placement Program, is automated and 
provides quick and efficient referrals, it has placed very few workers. 
An OPM review of the system shows that candidates frequently decline 
job offers that come through the referral process or simply do not 
respond to job availability inquiries even though they had previously 
registered for such assistance. Many other displaced workers simply 
fail to register for the program.
    Because of the severe downsizing expected over the next few years, 
the Presidential memorandum and these implementing regulations take a 
new approach to helping surplus and displaced workers find other jobs--
individual employee empowerment. Workers affected by downsizing are 
given the tools and resources to seek out other Federal employment and 
the right to be hired when they apply and are well-qualified. Many 
experts have suggested that the key to successful career transition is 
individual initiative. If individual workers have the power to find, 
apply, and exercise selection priority for specific vacancies in which 
they themselves are interested, it is believed that this would motivate 
and reinforce an employee's self interest in finding other employment. 
The skills, resources, and initiative that employees develop in this 
process can be used equally to find Federal vacancies or jobs in the 
private sector. This latter aspect is particularly important since 
Federal 

[[Page 67282]]
hiring is expected to be very limited in the foreseeable future.
    During the expected period of severe downsizing, these regulations 
may restrict the flexibility that agencies have to hire candidates. 
Current statutory requirements, which include providing hiring 
preference to veterans, are not affected by these regulations. The 
regulations also do not affect existing collective bargaining 
agreements. The parties to such agreements, however, are free to 
renegotiate those provisions that may be affected. When current 
agreements expire, new agreements must adhere to these regulations. 
With the switch to the individual employee empowerment concept 
contained in these regulations, the Interagency Placement Program (IPP) 
is being suspended. Employees who are enrolled in the IPP at the time 
of its suspension (February 29, 1996) will be eligible for the 
Interagency Career Transition Assistance Plan (ICTAP), and will be 
notified of their rights and benefits under the new program. The new 
regulations also provide ICTAP eligibility to several other categories 
of employees who were formerly eligible for the Interagency Placement 
Program including employees separated because of a compensable injury 
whose compensation is subsequently terminated, disability retirees 
whose disability annuity has been terminated, certain Military Reserve 
and National Guard technicians who become eligible for a special 
disability annuity, and employees who were separated because they 
declined a transfer of function or directed reassignment to another 
commuting area. As a result, former subparts G and H which provided 
placement eligibility for these special categories of employees have 
been merged into the revised subpart G which is set forth in these 
regulations.
    OPM will monitor Agency and Interagency Career Transition 
Assistance Plans, and will prepare periodic progress reports. OPM will 
make every effort to obtain data from agencies through the existing 
Central Personnel Data File. To assist agencies and employees in 
implementing Career Transition Assistance Plans, OPM's Workforce 
Restructuring Office has set up a clearinghouse containing both private 
sector and Federal career transition materials (call 202-606-0960 for 
additional information) and a special forum on OPM's MAINSTREET 
computer-based bulletin board to provide information and handle 
inquiries about the new regulations (with modem dial 202-606-4800 and 
select the Career Transition forum). OPM also has a cadre of 
experienced career transition specialists available for on-site 
assistance. Comprehensive information on worldwide Federal job 
opportunities is available from OPM by phone (912-757-3000; 912-744-
2299 for TDD) or electronic bulletin board (912-757-3100).

Waiver of Notice of Proposed Rulemaking and Delay in Effective Date

    Pursuant to 5 U.S.C. 553(b)(3)(B), I find that good cause exists 
for waiving the general notice of proposed rulemaking because it would 
be contrary to the public interest to delay access to benefits. Also, 
pursuant to 5 U.S.C. 553(d)(3), I find that good cause exists to waive 
the delay in the effective date and make this amendment effective in 
less than 30 days. The delay in the effective date is being waived to 
give effect to the benefits extended by the amended provisions at the 
earliest practicable date.

Regulatory Flexibility Act

    I certify that this regulation will not have a significant economic 
impact on a substantial number of small entities because it affects 
only Federal employees.

Executive Order 12866, Regulatory Review

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

List of Subjects in 5 CFR Part 330

    Armed forces reserves, Government employees.

U.S. Office of Personnel Management.
James B. King,
Director.
    Accordingly, OPM is amending part 330 of title 5, Code of Federal 
Regulations, as follows:

PART 330--RECRUITMENT, SELECTION, AND PLACEMENT (GENERAL)

    1. The authority citation for part 330 continues to read as 
follows:

    Authority: 5 U.S.C. 1302, 3301, 3302; E.O. 10577, 3 CFR 1954-58 
Comp., p. 218; Sec. 330.102 also issued under 5 U.S.C. 3327; subpart 
B also issued under 5 U.S.C. 3315 and 8151; Sec. 330.401 also issued 
under 5 U.S.C. 3310; subpart H also issued under 5 U.S.C. 8337(h) 
and 8457(b); subpart I also issued under sec. 4432 of Pub. Law 102-
484.

    2. Section 330.301 is revised to read as follows:


Sec. 330.301  Coverage.

    (a) This subpart covers the Interagency Placement Program for 
employees who will be displaced or who have been separated from their 
Federal jobs as a result of agency work force reductions, compensable 
on-the-job injury, discontinued service retirement, or disability 
retirement. Agencies have the primary responsibility for providing 
placement assistance to their surplus and displaced employees, and for 
administering career transition assistance programs. OPM supplements 
these agency efforts by administering the Interagency Placement Program 
which gives surplus or displaced employees priority referral to 
positions in other agencies.
    (b) The applicability of this subpart is suspended from February 
29, 1996 through September 30, 1999. In the interim, placement 
assistance will be provided in accordance with subparts B, F, and G of 
this part. OPM may extend this date if it determines that the Federal 
Government is still experiencing an emergency downsizing situation.
    3. Subpart F is redesignated as subpart J and a new subpart F is 
added to read as follows:

Subpart F--Agency Career Transition Assistance Plans (CTAP) for 
Local Surplus and Displaced Employees

Sec.
330.601  Purpose.
330.602  Agency plans.
330.603  Duration.
330.604  Definitions.
330.605  Eligibility.
330.606  Order of selection for filing vacancies from within the 
agency.
330.607  Agency notification responsibilities.
330.608  Application and selection.
330.609  Qualification reviews.
330.610  Reporting.
330.611  Oversight.

    Authority: Presidential memorandum dated September 12, 1995, 
entitled ``Career Transition Assistance for Federal Employees''.


Sec. 330.601  Purpose.

    (a) This subpart implements the President's memorandum of September 
12, 1995, to establish agency career transition assistance plans for 
Federal employees during a period of severe Federal downsizing. It is 
the policy of the United States Government to provide services to help 
surplus and displaced Federal employees take charge of their own 
careers and find other job offers, either within the Federal Government 
or in the private sector.
    (b) The regulations in this subpart set forth minimum criteria for 
agency career transition assistance plans. Consistent with the 
regulations, agencies may supplement these provisions to expand 

[[Page 67283]]
career transition opportunities to their surplus and displaced workers 
at their discretion.
    (c) Sections 330.602(a)(2) and 330.604 through 330.609 do not apply 
to the Department of Defense Priority Placement Program.
    (d) The provisions in this subpart do not alter any existing 
negotiated agreements in effect as of December 29, 1995. New agreements 
will be subject to the provisions set forth in this part.


Sec. 330.602  Agency plans.

    (a) Each agency will establish a career transition assistance plan 
(CTAP) to actively assist its surplus and displaced employees make 
effective transitions to other employment. Agencies will draft and 
effect their plans by February 29, 1996, unless an extension is 
requested and approved by OPM. A copy of the draft plan and any 
additional modified plans will be sent to OPM as approved by the 
agency/department head or deputy or undersecretary. An agency plan will 
include:
    (1) Policies to provide career transition services to all surplus 
and displaced agency employees, including those in the excepted service 
and Senior Executive Service, which address the following:
    (i) Types of career transition services to be provided by the 
agency;
    (ii) Use of excused absence for employees to use the services and 
facilities;
    (iii) Employee use of services or facilities after separation;
    (iv) Training to be provided to employees, managers, supervisors, 
and union representatives on the use of services;
    (v) Retraining to be provided to employees;
    (vi) Access to services by employees, including those in field 
offices and remote sites and those with disabilities;
    (vii) Availability of resource information on other forms of 
Federal, state, and local assistance which are available to support 
career transition for employees with disabilities; and
    (viii) Role of employee assistance programs in providing services;
    (2) Policies to provide special selection priority to well-
qualified surplus or displaced agency employees who apply for agency 
vacancies in the local commuting area, before selecting any other 
candidate from either within or outside the agency, and agency 
procedures for reviewing qualification issues;
    (3) Operation of the agency's Reemployment Priority-List under 
subpart B of 5 CFR part 330.
    (b) To the extent practicable, agency CTAPs shall be developed in 
partnership with management and employees' union representatives.


Sec. 330.603  Duration.

    This subpart will expire on September 30, 1999, unless the Office 
of Personnel Management extends the program based on its determination 
that the Federal Government is still experiencing an emergency 
downsizing situation.


Sec. 330.604  Definitions.

    For purposes of this subpart:
    (a) Agency means an Executive Department, a Government corporation, 
and an independent establishment as cited in 5 U.S.C. 105.
    (b) Displaced employee means a current agency employee serving 
under an appointment in the competitive service, in tenure group I or 
II, who has received a specific reduction in force (RIF) separation 
notice.
    (c) Eligible employee means a surplus or displaced employee who 
meets the conditions set forth in Sec. 330.605(a).
    (d) Local commuting area means the geographic area that usually 
constitutes one area for employment purposes as determined by the 
agency. It includes any population center (or two or more neighboring 
ones) and the surrounding localities in which people live and can 
reasonably be expected to travel back and forth daily to their usual 
employment.
    (e) Special selection priority means the priority that eligible 
employees have for selection to vacancies over any other candidate.
    (f) Surplus employee means a current agency employee serving under 
an appointment in the competitive service, in tenure group I or II, who 
has received a Certification of Expected Separation or other 
certification issued by the agency which identifies the employee as 
being in a surplus organization or occupation.
    (g) Vacancy means a competitive service position lasting 90 days or 
more, including extensions, which the agency is filling, regardless of 
whether the agency issues a specific vacancy announcement.
    (h) Well-qualified employee means an eligible employee who 
satisfies the criteria in either paragraphs (h)(1) or (h)(2) of this 
section as determined and consistently applied by the agency:
    (1)(i) Meets the qualification standard and eligibility 
requirements for the position, including any medical qualifications, 
and minimum educational and experience requirements;
    (ii) Meets all selective factors where applicable. Meets 
appropriate quality rating factor levels as determined by the agency. 
Selective and quality ranking factors cannot be so restrictive that 
they run counter to the goal of placing displaced employees. In the 
absence of selective and quality ranking factors, selecting officials 
will document the job-related reason(s) the eligible employee is or is 
not considered to be well qualified;
    (iii) Is physically qualified, with reasonable accommodation where 
appropriate, to perform the essential duties of the position;
    (iv) Meets any special qualifying condition(s) that OPM has 
approved for the position; and
    (v) Is able to satisfactorily perform the duties of the position 
upon entry; or
    (2) Is rated by the agency to be above minimally qualified 
candidates in accordance with the agency's specific selection process.


Sec. 330.605  Eligibility.

    (a) To be eligible for the special selection priority, an 
individual must meet all of the following conditions:
    (1) Is a surplus or displaced employee as defined in 
Sec. 330.604(b) and (f);
    (2) Has a current performance rating of record of at least fully 
successful or equivalent;
    (3) Applies for a vacancy that is at or below the grade level from 
which the employee may be or is being separated, that does not have a 
greater promotion potential than the position from which the employee 
may be or is being separated;
    (4) Occupies a position in the same local commuting area of the 
vacancy;
    (5) Files an application for a specific vacancy within the 
timeframes established by the agency; and
    (6) Is determined by the agency to be well-qualified for the 
specific vacancy.
    (b) Eligibility for special selection priority begins on the date 
the agency issues the RIF separation notice, Certification of Expected 
Separation, or other certification identifying the employee as being in 
a surplus organization or occupation, whichever is earliest.
    (c) Eligibility expires on the earliest of:
    (1) The RIF separation date;
    (2) Cancellation of the RIF separation notice, Certification of 
Expected Separation, or other certification identifying the employee as 
surplus; or
    (3) When an eligible employee receives a career, career-
conditional, or excepted appointment without time limit in any agency.


Sec. 330.606  Order of selection for filling vacancies from within the 
agency.

    (a) Except as provided in paragraph (b) of this section, when 
filling a vacancy, an agency must select an 

[[Page 67284]]
employee eligible under its Career Transition Assistance Plan before 
selecting any other candidate from within or outside the agency, unless 
doing so would cause another employee to be separated by reduction in 
force.
    (b) The following actions are not covered under this subpart:
    (1) Placement of an agency employee through reassignment, change to 
lower grade, or promotion, when no employees eligible under this 
subpart apply;
    (2) Reemployment of a former agency employee exercising regulatory 
or statutory reemployment rights;
    (3) Position changes resulting from reclassification actions;
    (4) Temporary appointments of under 90 days (including extensions);
    (5) Exchange of positions between or among agency employees, when 
the actions involve no increase in grade or promotion potential;
    (6) Conversion of an employee on an excepted appointment which 
confers eligibility for noncompetitive conversion into the competitive 
service;
    (7) Placement activities under part 351 of this chapter;
    (8) Placement of an employee into a new position as a result of a 
reorganization, when the former position ceases to exist, and no actual 
vacancy results;
    (9) Placements made under the Intergovernmental Personnel Act (IPA) 
as provided in part 334 of this chapter where they are for critical 
situations where the failure to make the assignment would substantially 
harm Federal interests, such as providing training for State takeover 
of a Federal program;
    (10) The filling of a position through an excepted appointment;
    (11) Details;
    (12) Time-limited promotions of under 90 days;
    (13) Noncompetitive movement of surplus or displaced employees;
    (14) Movement of excepted service employees within an agency;
    (15) A placement under 5 U.S.C. 8337 or 8451 to allow continued 
employment of an employee who has become unable to provide useful and 
efficient service in his or her current position because of a medical 
condition;
    (16) A placement that is a ``reasonable offer'' as defined in 5 
U.S.C. 8336(d) AND 8414(b);
    (17) Career ladder promotions; and
    (18) Recall of seasonal employees from nonpay status.
Sec. 330.607  Agency notification responsibilities.
    (a) At the time it issues a specific RIF separation notice, 
Certification of Expected Separation, or other certification that 
identifies an employee as being likely to be separated by RIF, an 
agency must give each of its eligible employees information about the 
special selection priority available to them under the agency's Career 
Transition Assistance Plan.
    (b) Agencies must take reasonable steps to ensure eligible 
employees are notified of all vacancies the agency is filling and what 
is required for them to be determined as well-qualified for the 
vacancies.
Sec. 330.608  Application and selection.
    (a) Application. (1) To receive this special selection priority, an 
eligible employee must apply for a specific agency vacancy in the same 
local commuting area as the position the employee occupies within the 
prescribed time frames, attach the appropriate proof of eligibility as 
described in paragraph (a)(2) of the section, and be determined well-
qualified by the agency for the specific vacancy.
    (2) Proof of eligibility. Employees may submit the following as 
proof of eligibility for the special selection priority:
    (i) RIF separation notice;
    (ii) Certification of Expected Separation; or
    (iii) Other agency certification identifying the employee as being 
in a surplus organization or occupation.
    (b) Selection. An agency may decide the specific order of selection 
of its eligible employees within the provisions set forth in 
Sec. 330.606(a) (e.g., the agency may decide to select displaced 
employees before surplus employees or may select surplus and/or 
displaced employees from within a particular component of the agency 
before selecting surplus and/or displaced employees from another 
component of the agency).
    (c) An agency cannot select any other candidates from within or 
outside the agency if eligible agency employees are available for the 
vacancy or vacancies.
    (d) If two or more eligible employees apply for a vacancy and are 
determined to be well-qualified, any of these eligible employees may be 
selected.
    (e) If no eligible employees apply or none is deemed well-
qualified, the agency may select another agency employee without regard 
to this subpart.
Sec. 330.609  Qualification reviews.
    Agencies will ensure that a documented review is conducted when-
ever an otherwise eligible employee is determined to be not well-
qualified.
Sec. 330.610  Reporting.
    (a) Each agency shall submit an annual report covering each fiscal 
year activity under this subpart to OPM no later than December 31 of 
each year, beginning December 31, 1996.
    (b) Each report will include the following:
    (1) Number of employees identified by the agency as surplus and 
displaced during that fiscal year;
    (2) Number of selections of eligible employees under the agency 
CTAP, or in the case of the Department of Defense, under its Priority 
Placement Program; and
    (3) The name, title, and telephone number of the agency official 
responsible for the report.
    (c) Reports should be addressed to: U.S. Office of Personnel 
Management, Workforce Restructuring Office, Employment Service, Room 
6504, Washington, DC 20415.
Sec. 330.611  Oversight.
    OPM provides advice and assistance to agencies in implementing 
their Career Transition Assistance Programs. OPM is also responsible 
for oversight of agency CTAPs and may conduct reviews of the plans at 
any time.
    4. Subpart H is removed and reserved and subpart G is revised to 
read as follows:

Subpart G--Interagency Career Transition Assistance Plan for Displaced 
Employees

Sec.
330.701  Purpose
330.702  Duration.
330.703  Definitions.
330.704  Eligibility.
330.705  Order of selection in filling vacancies from outside the 
agency's workforce.
330.706  Agency notification requirements.
330.707  Application and selection.
330.708  Qualification reviews.
330.709  Reporting.
330.710  Oversight.

    Authority: Presidential memorandum dated September 12, 1995, 
entitled ``Career Transition Assistance for Federal Employees''.
Subpart G--Interagency Career Transition Assistance Plan for Displaced 
Employees
Sec. 330.701  Purpose.
    (a) This subpart implements the President's memorandum of September 
12, 1995, to establish a special interagency career transition 
assistance program for Federal employees during a period of severe 
Federal downsizing.

    (b) This subpart is effective February 29, 1996.

    (c) Nothing in this subpart negates an agency's responsibilities 
for reemploying displaced employees as defined in Sec. 330.703(b).

[[Page 67285]]

    (d) The provisions of the Reemployment Priority List (RPL) set 
forth in subpart B of this part will remain in effect during the period 
of severe Federal downsizing. When an agency considers candidates from 
outside the agency for vacancies, registrants in an agency's RPL have 
priority for selection over employees eligible under this subpart in 
accordance with Sec. 330.705.


Sec. 330.702  Duration.

    This subpart will expire on September 30, 1999, unless the Office 
of Personnel Management extends the program based on its determination 
that the Federal Government is still experiencing an emergency 
downsizing situation.


Sec. 330.703  Definitions.

    For the purposes of this subpart:
    (a) Agency has the meaning given in Sec. 330.604(a).
    (b) Displaced employee means:
    (1) A current or former career or career-conditional competitive 
service employee, in tenure group I or II, who has received a specific 
RIF separation notice;
    (2) A former career or career-conditional employee who was 
separated because of a compensable injury as provided under the 
provisions of subchapter I of chapter 81 of title 5, United States 
Code, whose compensation has been terminated and whose former agency is 
unable to place the individual as required by part 353;
    (3) A former career or career-conditional competitive service 
employee, in tenure group I or II, who retired with a disability under 
sections 8337 or 8451 of title 5, United States Code, whose disability 
annuity has been or is being terminated;
    (4) A former career or career-conditional competitive service 
employee, in tenure group I or II, in receipt of a RIF separation 
notice who retired on the effective date of the reduction in force or 
under the discontinued service retirement option;
    (5) A former career or career-conditional competitive service 
employee, in tenure group I or II, who is separated because he/she 
declined a transfer of function or directed reassignment to another 
commuting area; and
    (6) A former Military Reserve Technician or National Guard 
Technician who is receiving a special disability retirement annuity 
from OPM under section 8337(h) or 8456 of title 5, United States Code.
    (c) Eligible employee means a displaced employee who meets the 
conditions set forth in Sec. 330.704(a).
    (d) Local commuting area has the meaning given in Sec. 330.604(d) 
of subpart F.
    (e) Special selection priority has the meaning given in 
Sec. 330.604(e) of subpart F.
    (f) Vacancy has the meaning given in Sec. 330.604(g) of subpart F.
    (g) Well-qualified employee has the meaning given in 
Sec. 330.604(h) of subpart F.


Sec. 330.704  Eligibility.

    (a) To be eligible for the special selection priority, an 
individual must meet all of the following conditions:
    (1) Is a displaced employee as defined in Sec. 330.703(b).
    (2) Has a current (or a last) performance rating of record of at 
least fully successful or equivalent (except for those eligible under 
Sec. 330.703 (b)(2), (b)(3), and (b)(6));
    (3) Applies for a vacancy at or below the grade level from which 
the employee has been or is being separated, that does not have a 
greater promotion potential than the position from which the employee 
has been or is being separated;
    (4) Occupies or was displaced from a position in the same local 
commuting area of the vacancy;
    (5) Files an application for a specific vacancy within the 
timeframes established by the agency; and
    (6) Is determined by the agency to be well-qualified for the 
specific position.
    (b) Eligibility for special selection priority begins:
    (1) On the date the agency issues the RIF separation notice;
    (2) On the date an agency certifies that it can not place an 
employee eligible under Sec. 330.703(b)(2);
    (3) On the date an employee eligible under Sec. 330.703(b)(3) is 
notified that his or her disability annuity has been or is being 
terminated;
    (4) On the date an employee under Sec. 330.703(b)(5) declines the 
transfer of function or reassignment outside the commuting area; or
    (5) On the date the National Guard Bureau or Military Department 
certifies that an employee under Sec. 330.703(b)(6) has retired under 5 
U.S.C. 8337(h) or 8456.
    (c) Eligibility expires:
    (1) 1 year after separation, except for those employees separated 
on or after September 12, 1995, and prior to February 29, 1996. For 
these employees, eligibility expires February 28, 1997;
    (2) February 28, 1997, for those candidates who were registered in 
OPM's Interagency Placement Program (IPP) on or before February 15, 
1996 and received a letter from OPM informing them of the demise of the 
IPP;
    (3) 1 year after an agency certifies that an individual under 
Sec. 330.703(b)(2) cannot be placed;
    (4) 1 year after an individual under Sec. 330.703(b)(3) receives 
notification that his/her disability annuity has been or will be 
terminated;
    (5) When the employee receives a career, career-conditional, or 
excepted appointment without time limit in any agency;
    (6) When the employee no longer meets the eligibility requirements 
set forth in paragraph (a) of this section (e.g., the employee is no 
longer being separated by RIF or separates by resignation or non-
discontinued service retirement prior to the RIF effective date); or
    (7) With a specific agency, upon declination of an official offer 
to the employee by that agency.


Sec. 330.705  Order of selection in filling vacancies from outside the 
agency's workforce.

    (a) Except as provided in paragraph (c) of this section, when 
filling a vacancy from outside the agency's workforce an agency must 
select:
    (1) Current or former agency employees eligible under the agency's 
Reemployment Priority List described in subpart B, then;
    (2) At the agency's option, any other former employee displaced 
from the agency (under appropriate selection procedures), then;
    (3) Current or former Federal employees displaced from other 
agencies eligible under this subpart; and then
    (4) Any other candidate (under appropriate selection procedures) 
(optional).
    (b) The following actions are subject to this order of selection 
and are covered under this subpart:
    (1) Competitive appointments (e.g., from registers and direct-
hire);
    (2) Noncompetitive appointments (e.g., the types listed in part 
315, subpart F, of this chapter);
    (3) Movement between agencies (e.g., transfer), except as provided 
for in paragraph (b)(9) of this section or part 351 of this chapter;
    (4) Reinstatements (except as provided for in paragraph (a)(2) of 
this section); and
    (5) Time-limited appointments of 90 days or more to the competitive 
service.
    (c) The following actions are not covered under this subpart:
    (1) Selections from an agency's internal Career Transition 
Assistance Plan or Reemployment Priority List as described in subparts 
F and B of this part respectively or any other internal 

[[Page 67286]]
agency movement of current agency employees;
    (2) Appointments of 10 point veterans;
    (3) Reemployment of former agency employees who have regulatory or 
statutory reemployment rights;
    (4) Temporary appointments of under 90 days (including extensions);
    (5) An action taken under part 351 of this chapter;
    (6) The filling of a position by an excepted appointment;
    (7) Conversions of employees on excepted appointments that confer 
eligibility for noncompetitive conversion into the competitive service; 
and
    (8) Noncompetitive movement of displaced employees between agencies 
or employees moved as a result of reorganization or transfer of 
function.
    (9) Placement of injured workers receiving workers' compensation 
benefits.


Sec. 330.706  Agency notification requirements.

    (a) At the time it issues specific RIF separation notices, an 
agency must give its employees information about their eligibility for 
the special interagency selection priority.
    (b) Agencies are required to report all vacancies to OPM when 
accepting applications from outside the agency (including applications 
for temporary positions lasting 90 or more days).
    (c) In addition, agencies shall provide OPM an electronic file of 
complete vacancy announcements or recruiting bulletins for all 
positions reported.
    (d) Content. Notice to OPM of job announcements must include the 
position title, tenure, location, pay plan and grade (or pay rate) of 
the vacant position; application deadline; and other information 
specified by OPM. In addition, agencies are required to provide OPM 
with an electronic file of the complete vacancy announcement or 
recruiting bulletin, which must include the qualifications required, 
equal opportunity provisions and, when applicable, veterans' preference 
provisions.


Sec. 330.707  Application and selection.

    (a) Application. (1) To receive this special selection priority, 
eligible employees must apply directly to agencies for specific 
vacancies in the local commuting area within the prescribed time 
frames, attach the appropriate proof of eligibility as described in 
paragraph (a)(2) of this section, and be determined well-qualified by 
the agency for the specific position.
    (2) Proof of eligibility. Employees may submit the following as 
proof of eligibility for the special selection priority:
    (i) RIF separation notice;
    (ii) Documentation showing that they were separated as a result of 
declining a transfer of function or directed reassignment to another 
commuting area;
    (iii) Official certification from an agency stating that its agency 
cannot place an individual whose injury compensation has been or is 
being terminated;
    (iv) Official notification from OPM that an individual's disability 
annuity has been or is being terminated; or
    (v) Official notification from the Military Department or National 
Guard Bureau that the employee has retired under 5 U.S.C. 8337(h) or 
8456.
    (b) Selection. In making selections, an agency will adhere to the 
overall order of selection set forth in Sec. 330.705. In addition, the 
following apply:
    (1) An agency cannot select another candidate from outside the 
agency if eligible employees are available for the vacancy or 
vacancies.
    (2) If two or more eligible employees apply for a vacancy and are 
determined to be well-qualified, any of these eligible employees may be 
selected.
    (3) If no eligible employees apply or none is deemed well-
qualified, the agency may select another candidate without regard to 
this subpart. (This flexibility does not apply to selections made from 
the agency's Reemployment Priority List as described in subpart B of 
this part.)
    (c) An agency may select a candidate from its Career Transition 
Assistance Plan or Reemployment Priority List, as described in subparts 
F and B of this part respectively, or another current agency employee 
(if no eligible employees are available through its CTAP or RPL) at any 
time.


Sec. 330.708  Qualification reviews.

    Agencies will ensure that a documented review is conducted whenever 
otherwise eligible employees are found to be not well-qualified.


Sec. 330.709  Reporting.

    (a) Each agency shall submit an annual report covering each fiscal 
year activity under this subpart to OPM no later than December 31 of 
each year, beginning December 31, 1996.
    (b) Each report will include data specified in Sec. 330.610 of 
subpart F, and will also include information on:
    (1) The number of eligible employees determined to be not well-
qualified;
    (2) The number of selections of eligible employees from other 
Federal agencies;
    (3) The number of selections of other employees from other Federal 
agencies who are not displaced; and
    (4) The number of selections from outside the Federal Government.


Sec. 330.710  Oversight.

    OPM is responsible for oversight of the Interagency Career 
Transition Assistance Plan for Local Displaced Employees and may 
conduct reviews of agency activity at any time.

[FR Doc. 95-31382 Filed 12-28-95; 8:45 am]
BILLING CODE 6325-01-M