[Federal Register: March 16, 2006 (Volume 71, Number 51)]
[Rules and Regulations]               
[Page 13525]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr16mr06-1]                         


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Rules and Regulations
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains regulatory documents 
having general applicability and legal effect, most of which are keyed 
to and codified in the Code of Federal Regulations, which is published 
under 50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by the Superintendent of Documents. 
Prices of new books are listed in the first FEDERAL REGISTER issue of each 
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[[Page 13525]]



OFFICE OF PERSONNEL MANAGEMENT

5 CFR Part 730

RIN 3206-AK60

 
Notification of Post-Employment Restrictions

AGENCY: Office of Personnel Management.

ACTION: Final Rule.

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SUMMARY: The Office of Personnel Management is issuing final 
regulations requiring agencies to notify members of the Senior 
Executive Service (SES) and other employees in senior positions of 
certain post-employment conflict-of-interest restrictions. Agencies 
must provide written notification to affected employees of the new 
salary-based threshold for determining the applicability of the post-
employment conflict-of-interest restrictions.

DATES: The final regulations are effective on April 17, 2006.

FOR FURTHER INFORMATION CONTACT: Brenda Roberts by telephone at (202) 
606-2858; by FAX at (202) 606-0824; or by e-mail at 
pay-performance-policy@opm.gov.


SUPPLEMENTARY INFORMATION: On October 15, 2004, the Office of Personnel 
Management published interim regulations (69 FR 61143) to implement 
section 1125(b) of Public Law 108-136 to establish a new salary-based 
threshold for determining the applicability of certain post-employment 
conflict-of-interest restrictions under 18 U.S.C. 207(c). The new 
salary-based threshold became effective on the first day of the first 
applicable pay period beginning on or after January 1, 2004 (January 
11, 2004, for most employees).
    Section 1125(b)(1) of Public Law 108-136 amended 18 U.S.C. 
207(c)(2)(A)(ii) to require SES members and other individuals who are 
paid at a rate of basic pay equal to or greater than 86.5 percent of 
the rate of level II of the Executive Schedule to be subject to the 
post-employment restrictions in 18 U.S.C. 207(c). Most members of the 
Senior Executive Service (SES) are subject to these post employment 
restrictions.
    The law also included a grandfather provision in section 1125(b)(1) 
that applies to certain SES members and other individuals for a period 
of 2 years, through November 24, 2005. If such individuals, on November 
23, 2003, were subject to 18 U.S.C. 207(c) and were employed in 
positions whose rate of basic pay, exclusive of locality payments under 
5 U.S.C. 5304, was equal to or greater than the rate of basic pay 
payable for level 5 of the SES, they are subject to the 1-year post-
employment restrictions in 18 U.S.C. 207(c) through November 24, 2005, 
without regard to any subsequent changes in position or pay.
    If, at the end of the extended coverage period (November 24, 2005), 
a covered employee is paid at a rate of basic pay equal to or greater 
than 86.5 percent of the rate for level II of the Executive Schedule as 
of that date (i.e., $140,217), he or she will continue to be subject to 
the post-employment restrictions in 18 U.S.C. 207(c). Agencies should 
review the pay of all SES members and other individuals who are covered 
by the grandfather provision in section 1125(b)(1) to determine whether 
they are subject to the new post-employment restrictions applicable 
after November 24, 2005. Agencies must provide written notification to 
senior executives and other individuals covered by 18 U.S.C. 
207(c)(2)(A)(ii) reflecting whether they are subject to the post-
employment conflict-of-interest restrictions, including when employment 
or service in a covered position is terminated. OPM has provided 
guidance to agencies on the expiration of the grandfather provision.
    The 60-day comment period for the interim regulations ended on 
December 14, 2004. OPM received no comments on the interim regulations. 
Therefore, we are adopting the interim regulations as final.

Regulatory Flexibility Act

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

E.O. 12866, Regulatory Review

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

List of Subjects in 5 CFR Part 730

    Government employees.

Office of Personnel Management.
Linda M. Springer,
Director.
    Accordingly, the interim rule amending part 730 of title 5 of the 
Code of Federal Regulations, which was published at 69 FR 61143 on 
October 15, 2004, is adopted as final without any changes.

[FR Doc. 06-2540 Filed 3-15-06; 8:45 am]
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