FLEXIBILITY IN SETTING PAY FOR EMPLOYEES WHO MOVE FROM A DEPARTMENT OF DEFENSE OR COAST GUARD NONAPPROPRIATED FUND INSTRUMENTALITY POSITION TO A POSITION IN THE GENERAL SCHEDULE PAY SYSTEM.

SEC. 1114. FLEXIBILITY IN SETTING PAY FOR EMPLOYEES WHO MOVE FROM A DEPARTMENT OF DEFENSE OR COAST GUARD NONAPPROPRIATED FUND INSTRUMENTALITY POSITION TO A POSITION IN THE GENERAL SCHEDULE PAY SYSTEM. Section 5334(f) of title 5, United States Code, is amended—(1) by striking “(f)” and inserting “(f)(1)”;(2) in the first sentence, by striking “does not exceed” and all that follows through “2105(c).” and inserting the following: “does not exceed—“(A) if the highest previous rate of basic pay received by that employee during the employee’s service described in section 122 STAT. 361 2105(c) is equal to a rate of the appropriate grade, such rate of the appropriate grade;“(B) if the employee’s highest previous rate of basic pay (as described in subparagraph (A)) is between two rates of the appropriate grade, the higher of those two rates; or“(C) if the employee’s highest previous rate of basic pay (as described in subparagraph (A)) exceeds the maximum rate of the appropriate grade, the maximum rate of the appropriate grade.”; and(3) in the second sentence, by striking “In the case of” and inserting the following:“(2) In the case of”.