[Federal Register: May 13, 2004 (Volume 69, Number 93)]
[Notices]
[Page 26626]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr13my04-156]
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OFFICE OF PERSONNEL MANAGEMENT
January 2004 Pay Adjustments
AGENCY: Office of Personnel Management.
ACTION: Notice.
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SUMMARY: The President adjusted the rates of basic pay and locality
payments for certain categories of Federal employees effective in
January 2004. This notice documents those pay adjustments for the
public record.
FOR FURTHER INFORMATION CONTACT: Carey Johnson, Center for Pay and
Performance Policy, Division for Strategic Human Resources Policy,
Office of Personnel Management; (202) 606-2858; FAX (202) 606-0824; or
e-mail to pay-performance-policy@opm.gov.
SUPPLEMENTARY INFORMATION: On December 30, 2003, the President signed
Executive Order 13322 (69 FR 231, January 2, 2004), which implemented a
2.0 percent overall average increase above the 2003 rates. Executive
Order 13322 provided an across-the-board increase of 1.5 percent in the
rates of basic pay for the statutory pay systems and an overall average
increase in the General Schedule (GS) locality rates equal to
approximately 0.5 percent of the GS payroll. On March 3, 2004, the
President signed Executive Order 13332 (69 FR 10889, March 8, 2004),
which amended Executive order 13322 to provide a retroactive pay
increase averaging 4.1 percent above the 2003 rates (in lieu of the 2.0
percent overall average increase originally implemented). The President
made these adjustments consistent with the Consolidated Appropriations
Act, 2004 (Public Law 108-199, January 23, 2004).
Schedule 1 of Executive Order 13332 provides the rates for the 2004
General Schedule and reflects a 2.7 percent across-the-board increase.
Executive Order 13332 also includes the percentage amounts of the 2004
locality payments. (See Section 5 and Schedule 9 of Executive Order
13332.)
The publication of this notice satisfies the requirement in section
5(b) of Executive order 13332 that the Office of Personnel Management
(OPM) publish appropriate notice of the 2004 locality payments in the
Federal Register.
GS employees receive locality payments under 5 U.S.C. 5304.
Locality payments apply in the 48 contiguous States and the District of
Columbia. In 2004, locality payments ranging from 10.90 percent to
24.21 percent apply to GS employees in 32 locality pay areas. These
2004 locality pay percentages, which replaced the locality pay
percentages that were applicable in 2003, became effective on the first
day of the first applicable pay period beginning on or after January 1,
2004. An employee's locality-adjusted annual rate of pay is computed by
increasing his or her scheduled annual rate of basic pay (as defined in
5 U.S.C. 5302(8) and 5 CFR 531.602) by the applicable locality pay
percentage. (See 5 CFR 531.604 and 531.605.)
Executive Order 13332 establishes the new Executive Schedule, which
incorporates the 2.2 percent increase (rounded to the nearest $100)
required under 5 U.S.C. 5318. By law, Executive Schedule officials are
not authorized to receive locality pay.
Section 1125 of the National Defense Authorization Act for Fiscal
year 2004 (Public Law 108-136, November 24, 2003) established a new
performance-based pay system for the Senior Executive Service (SES).
The new law replaces the former six-level SES pay system with a single
open-range pay system with only the minimum and maximum rates of pay
set by law. The minimum rate of basic pay may not be less than the
minimum rate payable under 5 U.S.C. 5376 for senior-level positions
($104,927 in 2004), and the maximum rate of basic pay may not exceed
the rate for level III of the Executive Schedule ($145,600 in 2004).
The maximum rate of the SES rate range will increase to level II of the
Executive Schedule ($158,100 in 2004) in those agencies that are
certified under 5 U.S.C. 5307(d) as having executive performance
appraisal systems that make meaningful distinctions based on relative
performance. Additional information on the SES pay system is available
on the Internet at http://www.opm.gov/oca/compmemo/2004/2004-03.asp.
The Executive order adjusted the rates of basic pay for
administrative law judges (ALJs) by 2.2 percent (rounded to the nearest
$100). The maximum rate of basic pay for ALJs is set by law at the rate
for level IV of the Executive Schedule, which is now $136,900. (See 5
U.S.C. 5372.)
The rates of basic pay for Board of Contract Appeals (BCA) members
are calculated as a percentage of the rate for level IV of the
Executive Schedule. (See 5 U.S.C. 5372a.) Therefore, BCA rates of basic
pay were increased by approximately 2.2 percent. Also, the maximum rate
of basic pay for senior-level (SL) and scientific or professional (ST)
positions was increased by approximately 2.2 percent (to $136,900)
because it is tied to the rate for level IV of the Executive Schedule.
The minimum rate of basic pay for SL/ST positions is equal to 120
percent of the minimum rate of basic pay for GS-15 and thus was
increased by 2.7 percent (to $104,927). (See 5 U.S.C. 5376.)
On December 17, 2003, the President's Pay Agent extended the 2004
locality-based comparability payments to certain categories of non-GS
employees. The Governmentwide categories include employees in SL/ST
positions, ALJs, and BCA members. The maximum locality rate of pay for
these employees is the rate for level III of the Executive Schedule
($145,600 in 2004).
OPM published ``Salary Tables for 2004,'' (OPM Doc. 124-48-6) in
May 2004. This publication provides complete salary tables
incorporating the 2004 pay adjustments, information on general pay
administration matters, locality pay area definitions, Internal Revenue
Service withholding tables, and other related information. The rates of
pay shown in this publication are the official rates of pay for
affected employees and are hereby incorporated as part of this notice.
You may purchase copies of ``Salary Tables for 2004'' from the
Government Printing Office (GPO) by calling (202) 512-1800 (outside the
DC area: 1-866-512-1800) or FAX (202) 512-2250. You may order copies
directly from GPO on the Internet at http://bookstore.gpo.gov In addition, you can find pay tables on OPM's Internet Web site at
http://www.opm.gov/oca/payrates/index.asp.
Office of Personnel Management.
Kay Coles James,
Director.
[FR Doc. 04-10868 Filed 5-12-04; 8:45 am]
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