PERMANENT EXTENSION, REVISION, AND EXPANSION OF AUTHORITIES FOR USE OF VOLUNTARY SEPARATION INCENTIVE PAY AND VOLUNTARY EARLY RETIREMENT.

SEC. 1313. PERMANENT EXTENSION, REVISION, AND EXPANSION OF AUTHORITIES FOR USE OF VOLUNTARY SEPARATION INCENTIVE PAY AND VOLUNTARY EARLY RETIREMENT. (a) Voluntary Separation Incentive Payments.— (1) In general.— (A) Amendment to title s, united states code.—Chapter 35 of title 5, United States Code, is amended by inserting after subchapter I the following: “SUBCHAPTER II—VOLUNTARY SEPARATION INCENTIVE PAYMENTS “§ 3521. Definitions “In this subchapter, the term— “(1) ‘agency’ means an Executive agency as defined under section 105; and “(2) ‘employee’— “(A) means an employee as defined under section 2105 employed by an agency and an individual employed by a county committee established under section 8(b)(5) of the Soil Conservation and Domestic Allotment Act (16 U.S.C. 590h(b)(5)) who— “(i) is serving under an appointment without time limitation; and “(ii) has been currently employed for a continuous period of at least 3 years; and “(B) shall not include— 116 STAT. 2292 “(i) a reemployed annuitant under subchapter III of chapter 83 or 84 or another retirement system for employees of the Government; “(ii) an employee having a disability on the basis of which such employee is or would be eligible for disability retirement under subchapter III of chapter 83 or 84 or another retirement system for employees of the Government; “(iii) an employee who is in receipt of a decision notice of involuntary separation for misconduct or unacceptable performance; “(iv) an employee who has previously received any voluntary separation incentive payment from the Federal Government under this subchapter or any other authority; “(v) an employee covered by statutory reemployment rights who is on transfer employment with another organization; or “(vi) any employee who— “(I) during the 36-month period preceding the date of separation of that employee, performed service for which a student loan repayment benefit was or is to be paid under section 5379; “(II) during the 24-month period preceding the date of separation of that employee, performed service for which a recruitment or relocation bonus was or is to be paid under section 5753; or “(III) during the 12-month period preceding the date of separation of that employee, performed service for which a retention bonus was or is to be paid under section 5754. “§ 3522. Agency plans; approval “(a) Before obligating any resources for voluntary separation incentive payments, the head of each agency shall submit to the Office of Personnel Management a plan outlining the intended use of such incentive payments and a proposed organizational chart for the agency once such incentive payments have been completed. “(b) The plan of an agency under subsection (a) shall include— “(1) the specific positions and functions to be reduced or eliminated; “(2) a description of which categories of employees will be offered incentives; “(3) the time period during which incentives may be paid; “(4) the number and amounts of voluntary separation incentive payments to be offered; and “(5) a description of how the agency will operate without the eliminated positions and functions. “(c) The Director of the Office of Personnel Management shall review each agency’s plan an may make any appropriate modifications in the plan, in consultation with the Director of the Office of Management and Budget. A plan under this section may not be implemented without the approval of the Directive of the Office of Personnel Management. 116 STAT. 2293 “§ 3523. Authority to provide voluntary separation incentive payments “(a) A voluntary separation incentive payment under this subchapter may be paid to an employee only as provided in the plan of an agency established under section 3522. “(b) A voluntary incentive payment— “(1) shall be offered to agency employees on the basis of— “(A) 1 or more organizational units; “(B) 1 or more occupational series or levels; “(C) 1 or more geographical locations; “(D) skills, knowledge, or other factors related to a position; “(E) specific periods of time during which eligible employees may elect a voluntary incentive payment; or “(F) any appropriate combination of such factors; “(2) shall be paid in a lump sum after the employee’s separation; “(3) shall be equal to the lesser of— “(A) an amount equal to the amount the employee would be entitled to receive under section 5595(c) if the employee were entitled to payment under such section (without adjustment for any previous payment made); or “(B) an amount determined by the agency head, not to exceed $25,000; “(4) may be made only in the case of an employee who voluntarily separates (whether by retirement or resignation) under this subchapter; “(5) shall not be a basis for payment, and shall not be included in the computation, of any other type of Government benefit; “(6) shall not be taken into account in determining the amount of any severance pay to which the employee may be entitled under section 5595, based on another other separation; and “(7) shall be paid from appropriations or funds available for the payment of the basic pay of the employee. “§ 3524. Effect of subsequent employment with the Government “(a) The term ‘employment’— “(1) in subsection (b) includes employment under a personal services contract (or other direct contract) with the United States Government (other than an entity in the legislative branch); and “(2) in subsection (c) does not include employment under such a contract. “(b) An individual who has received a voluntary separation incentive payment under this subchapter and accepts any employment for compensation with the Government of the United States with 5 years after the date of the separation on which the payment is based shall be required to pay, before the individual’s first day of employment, the entire amount of the incentive payment to the agency that paid the incentive payment. “(c)(1) If the employment under this section is with an agency, other than the General Accounting Office, the United States Postal Service, or the Postal Rate Commission, the Director of the Office 116 STAT. 2294of Personnel Management may, at the request of the head of the agency, may waive the repayment if— “(A) the individual involved possesses unique abilities and is the only qualified applicant available for the position; or “(B) in case of an emergency involving a direct threat to life or property, the individual— “(i) has skills directly related to resolving the emergency; and “(ii) will serve on a temporary basis only so long as that individual’s services are made necessary by the emergency. “(2) If the employment under this section is with an entity in the legislative branch, the head of the entity or the appointing official may waive the repayment if the individual involved possesses unique abilities and is the only qualified applicant available for the position. “(3) If the employment under this section is with the judicial branch, the Director of the Administrative Office of the United States Courts may waive the repayment if the individual involved possesses unique abilities and is the only qualified applicant available for the position. “§ 3525. Regulations “The Office of Personnel Management may prescribe regulations to carry out this subchapter.”. (B) Technical and conforming amendments.— Chapter 35 of title 5, United States Code, is amended— (i) by striking the chapter heading and inserting the following: “CHAPTER 35—RETENTION PREFERENCE, VOLUNTARY SEPARATION INCENTIVE PAYMENTS, RESTORATION, AND REEMPLOYMENT”; and (ii) in the table of sections by inserting after the item relating to section 3504 the following: “SUBCHAPTER II—VOLUNTARY SEPARATION INCENTIVE PAYMENTS “3521. Definitions. “3522. Agency plans; approval. “3523. Authority to provide voluntary separation incentive payments. “3524. Effect of subsequent employment with the Government. “3525. Regulations.”. (2) Administrative office of the united states courts.—The Director of the Administrative Office of the United States Courts may, by regulation, establish a program substantially similar to the program established under paragraph (1) for individuals serving in the judicial branch. (3) Continuation of other authority.—Any agency exercising any voluntary separation incentive authority in effect on the effective date of this subsection may continue to offer voluntary separation incentives consistent with that authority until that authority expires. (4) Effective date.—This subsection shall take effect 60 days after the date of enactment of this Act. (b) Federal Employee Voluntary Early Retirement.— (1) Civil service retirement system.—Section 8336(d)(2) of title 5, United States Code, is amended to read as follows: 116 STAT. 2295 “(2)(A) has been employed continuously, by the agency in which the employee is serving, for at least the 31-day period ending on the date on which such agency requests the determination referred to in subparagraph (D); “(B) is serving under an appointment that is not time limited; “(C) has not been duly notified that such employee is to be involuntarily separated for misconduct or unacceptable performance; “(D) is separated from the service voluntarily during a period in which, as determined by the office of Personnel Management (upon request of the agency) under regulations prescribed by the Office— “(i) such agency (or, if applicable, the component in which the employee is serving) is undergoing substantial delayering, substantial reorganization, substantial reductions in force, substantial transfer of function, or other substantial workforce restructuring (or shaping); “(ii) a significant percentage of employees servicing in such agency (or component) are likely to be separated or subject to an immediate reduction in the rate of basic pay (without regard to subchapter VI of chapter 53, or comparable provisions); or “(iii) identified as being in positions which are becoming surplus or excess to the agency’s future ability to carry out its mission effectively; and “(E) as determined by the agency under regulations prescribed by the Office, is within the scope of the offer of voluntary early retirement, which may be made on the basis of— “(i) 1 or more organizational units; “(ii) 1 or more occupational series or levels; “(iii) 1 or more geographical locations; “(iv) specific periods; “(v) skills, knowledge, or other factors related to a position; or “(vi) any appropriate combination of such factors;”. (2) Federal employees’ retirement system.—Section 8414(b)(1) of title 5, United States Code, is amended by striking subparagraph (B) and inserting the following: “(B)(i) has been employed continuously, by the agency in which the employee is serving, for at least the 31-day period ending on the date on which such agency requests the determination referred to in clause (iv); “(ii) is serving under an appointment that is not time limited; “(iii) has not been duly notified that such employee is to be involuntarily separated for misconduct or unacceptable performance; “(iv) is separate from the service voluntarily during a period in which, as determined by the Office of Personnel Management (upon request of the agency) under regulations prescribed by the Office— “(I) such agency (or, if applicable, the component in which the employee is serving) is undergoing substantial delayering, substantial reorganization, substantial reductions in force, substantial transfer of 116 STAT. 2296function, or other substantial workforce restructuring (or shaping); “(II) a significant percentage of employees serving in such agency (or component) are likely to be separated or subject to an immediate reduction in the rate of basic pay (without regard to subchapter VI of chapter 53, or comparable provisions); or “(III) identified as being in positions which are becoming surplus or excess to the agency’s future ability to carry out its mission effectively; and “(v) as determined by the agency under regulations prescribed by the Office, is within the scope of the offer of voluntary early retirement, which may be made on the basis of— “(I) 1 or more organizational units; “(II) 1 or more occupational series or levels; “(III) 1 or more geographical locations; “(IV) specific periods; “(V) skills, knowledge, or other factors related to a position; or “(VI) any appropriate combination of such factors.”. (3) General accounting office authority.—The amendments made by this subsection shall not be construed to affect the authority under section 1 of Public Law 106-303 (5 U.S.C. 8336 note; 114 State. 1063). (4) Technical and conforming amendments.—Section 7001 of the 1998 Supplemental Appropriations and Rescissions Act (Public Law 105-174; 112 Stat. 91) is repealed. (5) Regulations.—The Office of Personnel Management may prescribe regulations to carry out this subsection. (c) Sense of Congress.—It is the sense of Congress that the implementation of this section is intended to reshape the Federal workforce and not downsize the Federal workforce.