[Federal Register Volume 81, Number 7 (Tuesday, January 12, 2016)]
[Proposed Rules]
[Pages 1336-1337]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-00453]


 ========================================================================
 Proposed Rules
                                                 Federal Register
 ________________________________________________________________________
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 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.
 
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 

  Federal Register / Vol. 81, No. 7 / Tuesday, January 12, 2016 / 
Proposed Rules  

[[Page 1336]]



OFFICE OF PERSONNEL MANAGEMENT

5 CFR Part 870

RIN 3206-AN21


Federal Employees' Group Life Insurance Program: Filing Deadlines 
for Court Review of Administrative Final Decisions

AGENCY: U.S. Office of Personnel Management.

ACTION: Proposed rule.

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SUMMARY: The United States Office of Personnel Management (OPM) is 
issuing a proposed rule to amend the Federal Employees' Group Life 
Insurance (FEGLI) Program regulation to establish a timeframe for 
filing civil actions or claims against the United States based on 5 
U.S.C. Chapter 870 (Life Insurance).

DATES: Comments are due on or before March 14, 2016.

ADDRESSES: Send written comments to Ronald Brown, Policy Analyst, 
Planning and Policy Analysis, U.S. Office of Personnel Management, Room 
4312, 1900 E Street NW., Washington, DC 20415; or FAX to 202-606-0636. 
You may also submit comments, identified by Regulation Identifier 
Number (RIN) ``3206-AN21,'' using the Federal eRulemaking Portal: 
http://www.regulations.gov. Follow the instructions for submitting 
comments.

FOR FURTHER INFORMATION CONTACT: Ronald Brown, Policy Analyst at 
[email protected] or 202-606-0004.

SUPPLEMENTARY INFORMATION: This proposed rule is intended to: (1) 
Establish a timeframe for filing legal action for judicial review of 
OPM or employing agency final action on FEGLI claims; and (2) provide a 
3-year time limit for filing a court claim for review of agency or 
retirement system final decisions.
    OPM intends to amend the FEGLI Program regulation to provide a 
timeframe for individuals seeking judicial Current OPM regulations 
provide a 31-day time limit for administrative review under FEGLI but 
do not state a time limit for seeking judicial review of FEGLI 
decisions. Accordingly, OPM has specified a 3-year time limit for 
filing a claim for court review of FEGLI decisions.
    OPM is granted the authority in 5 U.S.C. 8716 to prescribe 
regulations to carry out the FEGLI Program. Thus, we propose to amend 
the FEGLI regulation to add section 5 CFR 870.106 concerning court 
review of final administrative life insurance decisions. The proposed 
rule also reinforces that individuals must first exhaust administrative 
appeal rights before seeking judicial review.

Regulatory Impact Analysis

    OPM has examined the impact of this proposed rule as required by 
Executive Order 12866 and Executive Order 13563, which directs agencies 
to assess all costs and benefits of available regulatory alternatives 
and, if regulation is necessary, to select regulatory approaches that 
maximize net benefits (including potential economic, environmental, 
public, health, and safety effects, distributive impacts, and equity). 
A regulatory impact analysis must be prepared for major rules with 
economically significant effects of $100 million or more in any one 
year. This rule is not considered a major rule because there will be a 
minimal impact on costs to Federal agencies.

Regulatory Flexibility Act

    I certify that this regulation will not have a significant economic 
impact on a substantial number of small entities because the regulation 
only affects life insurance benefits of Federal employees and retirees.

Executive Order 12866, Regulatory Review

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

Federalism

    We have examined this rule in accordance with Executive Order 
13132, Federalism, and have determined that this rule will not have any 
negative impact on the rights, roles and responsibilities of State, 
local, or tribal governments.

List of Subjects in 5 CFR Part 870

    Administrative practice and procedure, Government employees, 
Hostages, Iraq, Kuwait, Lebanon, Life insurance, Retirement.

U.S. Office of Personnel Management.
Beth F. Cobert,
Acting Director.

    Accordingly, OPM is proposing to amend 5 CFR part 870 as follows:

PART 870--FEDERAL EMPLOYEES' GROUP LIFE INSURANCE PROGRAM

0
1. The authority citation for 5 CFR part 870 continues to read as 
follows:

    Authority: 5 U.S.C. 8716; Subpart J also issued under section 
599C of Public Law 101-513, 104 Stat. 2064, as amended; Sec. 
870.302(a)(3)(ii) also issued under section 153 of Public Law 104-
134, 110 Stat. 1321; Sec. 870.302(a)(3) also issued under sections 
11202(f), 11232(e), and 11246(b) and (c) of Public Law 105-33, 
111Stat. 251, and section 7(e) of Public Law 105-274, 112 Stat. 
2419; Sec. 870.302(a)(3) also issued under section 145 of Public Law 
106-522, 114 Stat. 2472; Secs. 870.302(b)(8), 870.601(a), and 
870.602(b) also issued under Public Law 110-279, 122 Stat. 2604; 
Subpart E also issued under 5 U.S.C. 8702(c); Sec. 870.601(d)(3) 
also issued under 5 U.S.C. 8706(d); Sec. 870.703(e)(1) also issued 
under section 502 of Public Law 110-177, 121 Stat. 2542; Sec. 
870.705 also issued under 5 U.S.C. 8714b(c) and 8714c(c); Public Law 
104-106, 110 Stat. 521.

Subpart A--Administration and General Provisions

0
2. Add Sec.  870.106 to Subpart A to read as follows:


Sec.  870.106  Court review.

    (a) A suit to review the legality of an agency or retirement system 
final decision on FEGLI eligibility must be filed in the district 
courts of the United States or the United States Court of Federal 
Claims.
    (b) A suit to review the legality of an agency or retirement system 
final decision on change of coverage, designation of beneficiary, or 
assignment of life insurance, must be filed in the district courts of 
the United States or United States Court of Federal Claims.
     (c) An action under paragraph (a) or (b) of this section:
    (1) May not be brought prior to exhaustion of the administrative 
remedies provided in Sec. 870.105 of this part; and

[[Page 1337]]

    (2) May not be brought later than December 31 of the 3rd year after 
the agency or retirement system final decision to the insured 
individual.
    (3) Exception: This time limit may be extended by 31 calendar days 
after December 31 of the 3rd year (60 calendar days if overseas) of the 
date of the final decision to the insured if the individual shows that 
he or she was not notified of the time limit and was not otherwise 
aware of it or that he or she was unable, due to reasons beyond his or 
her control, to make the request within the time limit.
    (d) This section does not change the rules found in this chapter 
regarding FEGLI coverage or premium payments for an employee while in 
nonpay status.
    (e) If a claimant thinks that he or she is due money from FEGLI 
benefits and that legal action is necessary to get the money, the 
claimant must take action in Federal court against the company that OPM 
contracts with to adjudicate claims, not against OPM.

[FR Doc. 2016-00453 Filed 1-11-16; 8:45 am]
BILLING CODE 6325-63-P