[Federal Register Volume 64, Number 247 (Monday, December 27, 1999)]
[Rules and Regulations]
[Pages 72249-72250]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-33363]



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 Rules and Regulations
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  Federal Register / Vol. 64, No. 247 / Monday, December 27, 1999 / 
Rules and Regulations  

[[Page 72249]]


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OFFICE OF PERSONNEL MANAGEMENT

5 CFR Part 532

RIN 3206-AI97


Prevailing Rate Systems; Abolishment of the Washington, MD, 
Nonappropriated Fund Wage Area

AGENCY: Office of Personnel Management.

ACTION: Interim rule with request for comments.

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SUMMARY: The Office of Personnel Management is issuing an interim rule 
that will abolish the Washington, MD, nonappropriated fund (NAF) 
Federal Wage System (FWS) wage area, and establish a new Frederick, MD, 
NAF FWS wage area. The abolishment of the Washington, MD, wage area and 
the establishment of a new Frederick wage area is necessary because of 
the closure of the Washington, MD, wage area's host installation, Fort 
Ritchie. This closure has left the Department of Defense without an 
installation in the survey area capable of hosting annual local wage 
surveys. In addition, there are no longer any NAF FWS employees 
stationed in Washington County.

DATES: Effective date: This interim rule is effective on December 31, 
1999. Comments must be received by January 26, 2000.

ADDRESSES: Send or deliver written comments to Donald J. Winstead, 
Assistant Director for Compensation Administration, Workforce 
Compensation and Performance Service, Office of Personnel Management, 
Room 7H31, 1900 E Street NW., Washington, DC 20415-8200, or FAX: (202) 
606-4264.

FOR FURTHER INFORMATION CONTACT: Jennifer Hopkins by phone at (202) 
606-2848, by FAX at (202) 606-0824, or by email at [email protected].

SUPPLEMENTARY INFORMATION: The Washington, MD, nonappropriated fund 
(NAF) Federal Wage System (FWS) wage area is presently composed of one 
survey county, Washington County, and two area of application counties, 
Frederick County, MD, and Berkeley County, WV. The closure of the 
Washington, MD, wage area's host activity, Fort Ritchie, left the 
Department of Defense (DOD) without an activity in the survey area with 
the capability to conduct annual local NAF wage surveys. Fort Ritchie 
ceased operations on October 1, 1998. Since this closure, there are no 
longer any NAF FWS employees stationed in Washington County. However, 
the area of application counties, Frederick and Berkeley, continue to 
have NAF FWS employment. Under section 5343(a)(1)(B)(i) of title 5, 
United States Code, NAF wage areas ``shall not extend beyond the 
immediate locality in which the particular prevailing rate employees 
are employed.'' Therefore, Washington County should not be defined as 
part of an NAF wage area. DOD recommended that the Office of Personnel 
Management (OPM) abolish the Washington, MD, NAF wage area and 
establish a new Frederick, MD, NAF wage area. The new Frederick, MD, 
NAF wage area will be composed of one survey county, Frederick County, 
MD, and one area of application county, Berkeley County, WV.
    Under section 532.219(b) of title 5, Code of Federal Regulations, 
NAF wage areas are established when there are a minimum of 26 NAF wage 
employees in the survey area, the local activity has the capability to 
host annual local wage surveys, and there are within the survey area a 
minimum of 1,800 private enterprise employees in establishments within 
survey specifications. Frederick County meets the regulatory 
requirements to be established as a separate NAF survey area. There are 
approximately 36 NAF FWS employees stationed in Frederick County, and a 
local Federal installation, Fort Detrick, has the capability to host 
annual local wage surveys. Furthermore, Frederick County has more than 
the required minimum number of private enterprise employees in 
establishments within survey specifications. There are approximately 10 
NAF FWS employees stationed in Berkeley County, WV, which does not meet 
the criteria to be established as a separate NAF wage area. Therefore, 
the county must be defined as an area of application.
    When defining NAF wage areas, OPM evaluates several factors under 
section 532.219 of title 5, Code of Federal Regulations. OPM considers 
the following criteria when defining NAF wage area boundaries:
    (i) Proximity of largest activity in each county;
    (ii) Transportation facilities and commuting patterns; and
    (iii) Similarities of the counties in:
    (A) Overall population;
    (B) Private employment in major industry categories; and
    (C) Kinds and sizes of private industrial establishments.
    The closest major Federal installation to Fort Ritchie is Fort 
Detrick. Fort Ritchie is approximately 42 km (26 miles) from Fort 
Detrick. Commuting patterns indicate that 9 percent of the Washington 
County resident workforce commutes to Frederick County. Transportation 
facilities consist of major interstate and State highways and do not 
favor one county more than another. Also, a review of the similarities 
of the counties in terms of overall population, employment, and kinds 
and sizes of industrial establishments does not favor one county more 
than another.
    The closest major Federal installation to the Department of 
Veterans Affairs Medical Center, Martinsburg, located in Berkeley 
County, WV, is Fort Detrick. The VA Medical Center is approximately 70 
km (42 miles) from Fort Detrick. Commuting patterns indicate that 
approximately 2 percent of the Berkeley County resident workforce 
commutes to Frederick County and approximately 2 percent of the 
Berkeley County resident workforce commutes to the Prince George--
Montgomery County survey area. Transportation facilities consist of 
major interstate and State highways and do not favor one county more 
than another. Also, a review of the similarities of the counties in 
terms of overall population, employment, and kinds and sizes of 
industrial establishments does not favor one county more than another.
    Based on an analysis of these regulatory criteria, OPM proposes to 
establish Frederick, MD, as a new NAF wage area and define Berkeley 
County, WV, as an area of application. Full-scale wage surveys will be 
ordered in the

[[Page 72250]]

Frederick, MD, NAF wage area in January of even fiscal years, with the 
first full-scale wage survey for the Frederick wage area beginning in 
January 2000. The Federal Prevailing Rate Advisory Committee, the 
national labor-management committee responsible for advising OPM on 
matters concerning the pay of FWS employees, has reviewed and concurred 
by consensus with these changes.

Waiver of Notice of Proposed Rulemaking

    Pursuant to section 553(b)(3)(B) of title 5, United States Code, I 
find that good cause exists for waiving the general notice of proposed 
rulemaking. Also, pursuant to 5 U.S.C. 553(d)(3), I find that good 
cause exists for making this rule effective in less than 30 days. The 
notice is being waived and the regulation is being made effective in 
less than 30 days because the Washington, MD, NAF wage survey would 
have been ordered in January 2000.
    By issuing the interim rule, the new Frederick, MD, NAF wage area 
will be ordered in January 2000, and preparations for the wage survey 
must begin immediately.

Regulatory Flexibility Act

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

List of Subjects in 5 CFR Part 532

    Administrative practice and procedure, Freedom of information, 
Government employees, Reporting and recordkeeping requirements, Wages.

Office of Personnel Management.
Janice R. Lachance,
Director.

    Accordingly, the Office of Personnel Management proposes to amend 5 
CFR part 532 as follows:

PART 532--PREVAILING RATE SYSTEMS

    1. The authority citation for part 532 continues to read as 
follows:

    Authority: 5 U.S.C. 5343, 5346; Sec. 532.707 also issued under 5 
U.S.C. 552.

    2. Appendix B to subpart B of part 532 is amended for the State of 
Maryland by removing the entry for ``Washington'' and by adding 
alphabetically a new entry for ``Frederick'' with a beginning survey 
month of ``January'' and a fiscal year of full-scale survey of 
``Even''.
    3. Appendix D to subpart B is amended by removing the wage area 
listing for Washington, Maryland, and by adding alphabetically a new 
entry for Frederick, Maryland, to read as follows:

Appendix D to Subpart B of Part 532--Nonappropriated Fund Wage and 
Survey Areas

* * * * *

Maryland

* * * * *

Frederick

Survey Area

Maryland:
    Frederick

Area of Application. Survey area plus:

West Virginia:
    Berkeley

[FR Doc. 99-33363 Filed 12-23-99; 8:45 am]
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