Recruitment and Selection Through Competitive Examination, 5335-5340 [2017-00800]

Agencies

• Office of Personnel Management

[Federal Register Volume 82, Number 11 (Wednesday, January 18, 2017)]
[Rules and Regulations]
[Pages 5335-5340]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-00800]



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Federal Register / Vol. 82, No. 11 / Wednesday, January 18, 2017 / 
Rules and Regulations

[[Page 5335]]



OFFICE OF PERSONNEL MANAGEMENT

5 CFR Parts 330, 332, and 337

RIN 3206-AN46


Recruitment and Selection Through Competitive Examination

AGENCY: U.S. Office of Personnel Management.

ACTION: Interim rule with request for comments.

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SUMMARY: The U.S. Office of Personnel Management (OPM) is issuing an 
interim rule to implement the Competitive Service Act of 2015 to allow 
an appointing authority (i.e., the head of a Federal agency or 
department) to share a competitive certificate with one or more 
appointing authorities for the purpose of making selections of 
qualified candidates. The intended effect of this rule is to facilitate 
the hiring of top talent across Federal agencies.

DATES: Interim rule effective February 17, 2017; comments must be 
received on or before March 20, 2017.

ADDRESSES: You may submit comments through the Federal eRulemaking 
Portal at https://www.regulations.gov. All submissions received through 
the Portal must include the agency name and docket number or Regulation 
Identifier Number (RIN) for this proposed rulemaking.
    You may also send, deliver, or fax comments to Kimberly A. Holden, 
Deputy Associate Director for Recruitment and Hiring, Employee 
Services, U.S. Office of Personnel Management, Room 6500 AI, 1900 E 
Street NW., Washington, DC 20415-9700; email at employ@opm.gov or by 
fax at (202) 606-4430.

FOR FURTHER INFORMATION CONTACT: Roseanna Ciarlante by telephone on 
(267) 932-8640, by fax at (202) 606-4430, by TTY at (202) 418-3134, or 
by email at Roseanna.Ciarlante@opm.gov.

SUPPLEMENTARY INFORMATION: On March 18, 2016, the Competitive Service 
Act of 2015 (the ``Act'') was enacted as Public Law 114-137. The Act 
allows an ``appointing authority'' to share a competitive certificate 
issued under delegated examining procedures with one or more 
``appointing authorities'' to make an appointment to a position that is 
in the same occupational series, grade level (or equivalent), and duty 
location during the 240-day period beginning on the date of issuance of 
the certificate of eligibles.
    Under current rules, an appointing authority may share a 
certificate within the bureaus and components of his or her department 
or agency. The current practice allows an appointing authority to 
expedite hiring when multiple vacancies for the same position exist 
throughout his or her organization. For example, suppose that the 
Department of Treasury headquarters human resources (HQ HR) office 
recruits for a Financial Management Specialist, GS-501-12, and hires 
two highly qualified individuals from the certificate of eligibles. 
Treasury's HQ HR office may currently share the certificate with its 
components, like the Bureau of the Fiscal Service and the Internal 
Revenue Service, that have identified Financial Management Specialist 
vacancies that need to be filled. This current practice allows these 
different components with the Department to leverage the recruitment 
efforts already undertaken by the Department.
    While the Act does not define ``appointing authority'' for the 
purpose of shared certificates, its clear purpose is to expand current 
practice to allow an appointing authority to share his or her 
certificates with an appointing authority in other departments or 
agencies, not just within the same agency (e.g., the Department of 
Treasury will now be able to share certificates with the Department of 
Energy). Consistent with this purpose, in this interim rule, OPM refers 
to the ``original hiring agency'' and the ``receiving agency'' with 
respect to shared certificates, rather than using the more generic term 
``appointing authority.''
    Congress's purpose in enacting the Act was to help facilitate 
faster hiring through the sharing of talent across the Government by 
permitting agencies to share resumes and select from among candidates 
who have competed for similar positions at another hiring agency, were 
assessed, and were referred by that agency. The new process will 
benefit agencies who may make selections from among the top rated 
applicants readily available, as well as applicants who through one job 
application may now be considered for more public service opportunities 
in their desired Federal occupation.
    The law specifies that an appointing official can select an 
applicant for appointment from the certificate of another agency 
provided that certain conditions are met.
     The hiring agency seeking to share the certificate may 
share the certificate with one or more hiring agencies only if the 
announcement of the original position stated that the resulting 
certificate may be used by one or more Federal agencies, and applicants 
``opt-in,'' electing to have their applications shared with agencies 
other than the agency posting the job announcement.
     An agency seeking to use another agency's certificate must 
provide advance notice of the available position to its own employees, 
give them up to 10 days to apply, and review their qualifications 
before it can make a selection from the certificate from the original 
hiring agency.
    It is plain from the Act that only the original hiring agency may 
``share'' a certificate with any other agency. But Congress did not 
define precisely what it means to ``share'' the certificate. One 
possible approach is that when the original hiring agency ``shares'' 
the certificate with other agencies they must simultaneously work the 
certificate in a coordinated fashion, accounting for declinations, 
failures to respond, selections, and so on as if they were integrated 
arms of the same employer. (This is how the process might work when a 
department shares a certificate among a number of its different 
components.) Another possible approach is that each of the other 
agencies may work the certificate independently, as if the certificates 
had been referred from the top of a register or inventory. Neither of 
these approaches is compelled by the text of the statute and as such 
OPM has determined that the most reasonable approach, and the one that 
best effectuates Congress's apparent purpose,

[[Page 5336]]

is the latter of the two. A shared certificate of eligibles may be used 
by a receiving agency independently of other receiving agencies. Each 
receiving agency is responsible for establishing a unique instance of a 
case file to document that agency's use of the certificate. This will 
be helpful in the event a receiving agency must later reconstruct its 
hiring actions. Allowing multiple agencies to use certificates 
independently of one another also supports the timeliest and practical 
implementation of these provisions and minimizes the risk of error 
associated with multiple agencies simultaneously working the same 
certificate.
    However, because of the added complexity of any ``sharing'' of 
certificates, the ability to track the distribution of certificates to 
receiving agencies must be a feature of these provisions. Thus, 
whenever the original agency shares a certificate, it must maintain a 
record of any agencies with whom the certificate was shared. This is 
important in the event any errors occur which require reconstruction of 
all hiring actions which flow from a certificate generated by the 
original agency. In this scenario, if an error occurs at the original 
agency, the original agency is responsible solely for notifying each 
succeeding receiving agency that received a shared certificate of the 
error. Any corrective actions or reconstructions subsequent to the 
original agency's would be the responsibility of each receiving agency 
that made a selection.

How It Will Work

    The original hiring agency (i.e., the agency sharing the 
certificate) must issue a certificate in accordance with competitive 
examining procedures for a position it is seeking to fill. This 
includes public notice, rating and ranking, the application of 
veterans' preference, etc. The 240-day window (during which other 
Federal agencies may use the certificate of eligibles to select an 
individual) begins on the date the certificate is issued by the 
original hiring agency. OPM notes that the Competitive Service Act 
includes this 240-day window in 5 U.S.C. 3318, related to rule-of-three 
hiring, but does not expressly repeat this requirement in 5 U.S.C. 
3319, related to hiring through category rating. However, the 
legislative history expresses congressional intent to apply the 240-day 
limitation to both hiring methods. See H.R. Rep. No. 114-367 (Dec. 3, 
2015); S. Rep. No. 114-143 (Sept. 15, 2015). Moreover, there is no 
logical reason to have different expiration periods for shared 
certificates depending on whether the original hiring agency chooses to 
hire by the rule-of-three method or the category rating method, and 
having two different expiration periods for shared certificates could 
lead to confusion. For this reason we are applying the same 240-day 
expiration period to shared certificates under both hiring methods.
    The original hiring agency can (1) make a selection and then share 
the certificate with one or more receiving agencies or (2) share the 
certificate with one or more receiving agencies after reviewing, and 
deciding not to hire from, its certificate of eligible applicants. OPM 
notes in this regard that when an agency announces a position, examines 
and rates applicants, and issues a certificate of eligibles, it must do 
so for its own hiring needs in the first instance. An agency may not 
generate a certificate solely for the purpose of sharing it with 
another agency. That would be misleading to applicants and contrary to 
competitive principles.
    If the original hiring agency makes a selection and shares the 
certificate, any pass-overs of preference eligibles or objections to 
other eligible candidates must be resolved by that agency before the 
certificate may be shared with another agency. The 240-day window 
cannot be extended while the pass-over of a preference eligible or 
objection request is being resolved; the law does not permit extensions 
of shared certificates.
    Once the above processes have been completed, the original hiring 
agency may share the certificate of eligibles with one or more Federal 
agencies. In order to share a certificate, the Delegated Examining Unit 
(DEU) of the original agency may transmit the certificate to a DEU of a 
receiving agency. The DEU of the original agency must audit the 
original agency's own use of the certificate in accordance with the 
procedures of the Delegated Examining Operations Handbook (DEOH) before 
the certificate is shared.
    When sharing a certificate of eligibles, the original agency must 
include all documentation pertaining to the creation of that 
certificate (e.g., the job analysis, a copy of job opportunity 
announcement, the rating schedule, job applications, etc.) and must 
safeguard (i.e., redact) any personally identifiable information not 
required by the receiving agency to use the certificate for its 
intended purpose. The original agency shares the certificate of 
eligibles in its original form, with the names of those applicants who 
have been selected and those who have chosen not to ``opt-in'' 
redacted, in order to retain the original ordering of the certificate 
subject to these appropriate deletions.
    The original agency may share a certificate in one or both of two 
ways: (1) Simultaneous sharing with multiple agencies; and (2) serial 
sharing, i.e., sharing with one agency at a time.
    Simultaneous Sharing. The original agency may share the certificate 
with one or more agencies at the same time. Each receiving agency works 
the certificate independently. All selections from shared certificates 
must be made within 240 days of the date of the issuance of the 
certificate by the original agency. Each receiving agency creates its 
own case file for audit and reconstruction purposes, documenting its 
compliance with the DEOH and all applicable regulations.
    Serial Sharing. Another option is for the original agency to share 
a certificate with just one agency at a time. Under this option, the 
original agency shares the certificate with the first receiving agency. 
The first receiving agency works the certificate and makes selections 
within 240 days of the date of issuance of the certificate by the 
original agency. After sharing the certificate with the first receiving 
agency, the original agency may share the certificate with a second 
receiving agency. The second receiving agency works the certificate and 
makes selections within 240 days of the date of issuance of the 
certificate by the original agency. Each receiving agency must create 
its own case file for audit and reconstruction purposes, documenting 
its compliance with the DEOH and all applicable regulations. This 
process may continue to additional receiving agencies as long as this 
procedure is followed and all selections are made within 240 days of 
the date of issuance of the certificate by the original agency.
    As noted above, the processes are not exclusive, i.e., an agency 
may start with simultaneous sharing and subsequently permit additional 
sharing through a serial sharing scenario.
    In the event that the original agency determines that an error was 
made on the original certificate, the original agency must notify all 
receiving agencies of the details of the error; receiving agencies are 
responsible for taking appropriate action to address any erroneous 
actions that may have occurred due to the error by the original agency.

The Internal Application Process

    Before using a shared certificate, a receiving agency must consider 
its own employees for the position under the agency's merit promotion 
procedures. This includes considering individuals

[[Page 5337]]

covered under the agency's Career Transition Assistance Program (CTAP) 
and the agency's reemployment priority list (RPL), where applicable, as 
well as other individuals for which consideration is required as part 
of the internal selection process. See 5 CFR part 330, subparts B and 
F.
    The Competitive Service Act provides for notice to a receiving 
agency's own employees, an internal application period of no more than 
10 days, and consideration of the internal applicants before a 
selection can be made from this shared certificate. The law does not 
permit an extension of this internal application period beyond 10 days.
    The law also specifies that the internal application process is 
subject to applicable collective bargaining obligations (to the extent 
consistent with law). However, the Competitive Service Act does not 
affect the provision of the Federal Service Labor-Management Relations 
Statute under which management has the right to fill a position either 
from among properly ranked and certified candidates for promotion or 
from any other appropriate source, such as a competitive certificate. 
See 5 U.S.C. 7106(a)(2)(C); 5 CFR 330.102, 335.103(b)(4).
    If a receiving agency makes a selection from among its own 
employees (i.e., under merit promotion procedures) the process ends 
with respect to that agency. But if the agency wishes to make a 
selection from the shared certificate (after first considering its own 
employees), it must first provide selection priority, where applicable, 
to individuals eligible under the Interagency Career Transition 
Assistance Program (ICTAP) who applied to the original job 
announcement. See 5 CFR part 330, subpart G. The agency is not required 
to re-advertise the position for ICTAP eligibles because the original 
agency has already afforded an opportunity for ICTAP eligibles to apply 
and be considered. This allows the agency to use a ready-made 
certificate of eligibles while still adhering to the provisions of part 
330, subpart G.
    If there are no ICTAP eligibles, a receiving agency can make a 
selection from the shared certificate in accordance with veterans' 
preference rules and the provisions governing selections under 
competitive examining procedures. A receiving agency may not reassess 
the applicants for purposes of rating/ranking. A receiving agency may 
seek to pass over a preference eligible, and would follow the usual 
rules for doing so when filling positions under competitive examining 
procedures.

Authorized Appointment Types

    OPM is proposing to limit use of shared certificates to delegated 
examining for permanent and term appointments. We are excluding 
temporary appointments, i.e., those not to exceed one year, from these 
provisions because of the requirement that a receiving agency must 
first consider individuals from within its own workforce prior to 
making a selection from a shared certificate. We believe it would be 
inefficient to undergo this process for appointments of a very short 
duration.
    Positions may be full-time or other than full-time (i.e., part-
time, seasonal, on-call, and intermittent). As noted above, the 
original hiring agency must complete all of its actions on the 
certificate before it may be shared. As also was previously observed, 
the original hiring agency does not have to make a selection in order 
for the certificate to be shared. The original agency may share the 
certificate with one or more agencies.

Requirement for Appointment at a ``Similar Grade Level''

    A receiving hiring agency may select an individual from a shared 
certificate only for a position of the same occupational series, grade 
level, and duty location as the position advertised by the original 
hiring agency. The Act states that the shared certificate may also be 
used to select for a ``similar grade level'' to that for which the 
original hiring agency issued its certificate. OPM interprets the term 
``similar grade level'' in this context to mean a corresponding rate or 
level of pay under an alternative pay system for a position excluded 
from the General Schedule. We do not interpret the term ``similar grade 
level'' to mean a higher or lower General Schedule grade than that for 
which the original hiring agency issued its certificate. It would not 
be efficient for an agency to use a certificate for higher-graded 
positions to select for lower-graded positions, and it would violate 
competitive principles to use a certificate for lower-graded positions 
to select for higher-graded positions (as different applicants would 
have competed if they had been aware that the vacancy could be filled 
at a higher level than advertised). For the same reasons OPM is not 
permitting the use of shared certificates to fill vacancies for 
positions with higher full performance levels.

Qualification Requirements

    A receiving agency must verify through its job analysis that the 
minimum qualification requirements (including use of any selective 
placement factors) and competencies--or knowledge, skills, and 
abilities (KSAs)--assessed for the original position are appropriate 
for the position to be filled. This verification is necessary to 
establish the job-relatedness and relevance of the assessment method 
used, consistent with 5 CFR part 300, subpart A.

Time Limit for Applicant Selection

    A receiving agency may make its selection from a shared certificate 
within the 240-day period beginning on the date the original hiring 
agency issued the certificate of eligibles (not on the date on which 
the original hiring agency provided the certificate to the receiving 
agency).

Public Notice by the Original Hiring Agency

    The original hiring agency must provide public notice via a job 
opportunity announcement posted on www.USAJOBS.gov for the position 
being filled, in accordance with public notice requirements for filling 
jobs under the competitive examining process. The original announcement 
must indicate that the resulting list of eligible candidates may be 
shared with one or more other hiring agencies. Therefore, we are 
amending 5 CFR part 330 to require that if an agency is sharing a 
certificate of eligibles under part 332, the original hiring agency 
must provide notice in the job opportunity announcement that the 
resulting list of eligible candidates may be used by one or more other 
hiring agencies. The original hiring agency must provide an opportunity 
for applicants to ``opt-in'' to have their applications and other 
personal information shared with one or more other hiring agencies 
under these provisions. This allows the applicant to furnish advance 
written consent for disclosure of the information under the Privacy 
Act. See 5 U.S.C. 552a(b).
    The original hiring agency may not share a certificate containing 
the name and personal information of an applicant unless that applicant 
has chosen to ``opt-in'' for these purposes. If an applicant chooses 
not to ``opt-in,'' his/her application materials will not be shared and 
the applicant will receive no further consideration when a certificate 
of eligibles is shared with one or more hiring agencies. His or her 
name will be redacted on the shared certificate.

The Receiving Agency's Notice to Internal Applicants

    Before making a selection from a shared certificate, a receiving 
agency

[[Page 5338]]

must notify its employees of the opportunity to apply and be considered 
before a selection can be made from the shared certificate and of a 
period of up to 10 days to apply consistent with the provisions of part 
335. If the agency has RPL eligibles or CTAP eligibles, the notice must 
provide information about their priority.

The Receiving Agency's Notice to Shared Certificate Applicants

    Before using a shared certificate, a receiving agency must notify 
the list of candidates of its receipt of their names and application 
materials and its intention of considering them for a position. A 
receiving agency must also inform these individuals of its obligation 
to consider applicants from within its own workforce who apply during 
the required internal application period and any other individuals the 
agency is required to consider (e.g., individuals eligible for 
consideration under the CTAP or from the RPL). The notification must 
include the agency, position title, series, grade level (or 
equivalent), and duty location.

The Receiving Agency's Selection Process

    Before using a shared certificate, a receiving agency must consider 
its own employees for the position that the original hiring agency 
advertised. The receiving agency must consider individuals covered 
under the agency's RPL or CTAP where applicable. At this point, a 
receiving agency either makes a selection from among its own employees 
under merit promotion procedures, or it may consider applicants from 
the certificate of eligibles shared by the original hiring agency.
    If, after considering its own employees, a receiving agency wishes 
to make a selection from the shared certificate, it must first provide 
selection priority to any external applicants who applied to the 
original job announcement who are ICTAP eligible. If there are no ICTAP 
eligibles who met the well-qualified definition, a receiving agency can 
make a selection from the shared certificate in accordance with 
veterans' preference rules and the provisions governing selections 
under competitive examining procedures. Upon completion of the process, 
a receiving agency must audit the certificate.

Objections/Pass Overs

    Objections to a non-preference eligible applicant and requests to 
pass over an individual entitled to veterans' preference must be 
adjudicated on a case-by-case basis. Each case must be reviewed on its 
own merits. Therefore, adjudications by the original hiring agency (or 
the Office of Personnel Management in the case of a 30 percent or more 
disabled veteran) sustaining objections or granting requests to pass 
over do not extend to the receiving agency if a certificate is shared. 
A receiving agency may object to an applicant or request to pass over 
an individual entitled to veterans' preference on a shared certificate 
in accordance with the procedures outlined in the DEOH and the 
provisions of part 332.
    Likewise, if using numerical rating, the consideration of an 
applicant by the original hiring agency does not count as a 
consideration of the applicant by a receiving agency for purposes of 
the three-consideration rule, 5 CFR 332.405. The three-consideration 
rule does not apply when using category rating.

Documentation

    When sharing a certificate of eligibles, the original hiring agency 
must share all documentation pertaining to the creation of that 
certificate, including but not limited to the job analysis, testing and 
examination materials, the job opportunity announcement, and 
applications, as relevant. The original agency must safeguard any 
personally identifiable information not needed for effective use of the 
certificate by the receiving agency.
    The original hiring agency and any receiving agency using a shared 
certificate must each maintain case file documentation for that 
agency's selection or selections sufficient for each agency that used 
the certificate to make a selection to reconstruct its own hiring 
actions later, if necessary. Each time a certificate is shared, each 
receiving agency is responsible for creating a new instance of a case 
file to document its use.
    In the event that the original agency determines that an error was 
made on the original certificate, the original agency must notify all 
receiving agencies of the details of the error. The original hiring 
agency must make available, to any receiving agency that needs it, all 
relevant case file documents concerning the selection or selections 
made by the original agency, as necessary, to make full reconstruction 
possible. Each receiving agency would be responsible for taking 
appropriate action to address any erroneous actions that it took due to 
the error by the original agency.
    Each agency is responsible for the proper selection, audit, 
recordkeeping, etc., of delegated examining activities. All actions 
taken on competitive certificates must be documented in accordance with 
the DEOH and all applicable regulations.

Request for Comments

    OPM welcomes recommendations on rule changes to improve the 
administration of the Competitive Service Act of 2015 and on 
implementation guidance.

Technical Amendment

    OPM is also amending Sec.  337.304 to reflect the Act's renumbering 
of 5 U.S.C. 3319.

Waiver of Notice of Proposed Rulemaking

    Section 2(d) of Public Law 114-137, the Competitive Service Act of 
2015, directs the rulemaking procedure to be followed for this rule. It 
states that ``the Director of the Office of Personnel Management shall 
issue an interim final rule with comment to carry out the amendments 
made by this section.'' Therefore the general notice of proposed 
rulemaking typically required for rulemaking under 5 U.S.C. 553(b) is 
statutorily waived for this rule.

E.O. 13563 and E.O. 12866, Regulatory Review

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

Regulatory Flexibility Act

    I certify that this regulation would not have a significant 
economic impact on a substantial number of small entities because it 
affects only Federal employees.

E.O. 13132, Federalism

    This regulation will not have substantial direct effects on the 
States, on the relationship between the National Government and the 
States, or on distribution of power and responsibilities among the 
various levels of government. Therefore, in accordance with Executive 
Order 13132, it is determined that this rule does not have sufficient 
federalism implications to warrant preparation of a Federalism 
Assessment.

E.O. 12988, Civil Justice Reform

    This regulation meets the applicable standard set forth in section 
3(a) and (b)(2) of Executive Order 12988.

Unfunded Mandates Reform Act of 1995

    This rule will not result in the expenditure by State, local or 
tribal governments of more than $100 million

[[Page 5339]]

annually. Thus, no written assessment of unfunded mandates is required.

Congressional Review Act

    This action pertains to agency management, personnel and 
organization and does not substantially affect the rights or 
obligations of non-agency parties and, accordingly, is not a ``rule'' 
as that term is used by the Congressional Review Act (Subtitle E of the 
Small Business Regulatory Enforcement Fairness Act of 1996 (SBREFA)). 
Therefore, the reporting requirement of 5 U.S.C. 801 does not apply.

Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35)

    This final regulatory action will not impose any additional 
reporting or recordkeeping requirements under the Paperwork Reduction 
Act.

List of Subjects

5 CFR Part 330

    Armed forces reserves, District of Columbia, Government employees.

5 CFR Part 332

    Government employees.

5 CFR Part 337

    Government employees.

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

    Accordingly, OPM is amending parts 330, 332, and 337 of title 5, 
Code of Federal Regulations, as follows:

PART 330--RECRUITMENT, SELECTION, AND PLACEMENT (GENERAL)

0
1. The authority citation for part 330 is revised to read as follows:

    Authority: 5 U.S.C. 1104, 1302, 3301, 3302, 3304, and 3330; E.O. 
10577, 3 CFR, 1954-58 Comp., p. 218; Section 330.103 also issued 
under 5 U.S.C. 3327; Section 330.104 also issued under sec. 2(d), 
Pub. L. 114-137, 130 Stat. 310; Subpart B also issued under 5 U.S.C. 
3315 and 8151; Section 330.401 also issued under 5 U.S.C. 3310; 
Subparts F and G also issued under Presidential Memorandum on Career 
Transition Assistance for Federal Employees, September 12, 1995; 
Subpart G also issued under 5 U.S.C. 8337(h) and 8456(b).


0
2. Add Sec.  330.104(c) to read as follows:


Sec.  330.104  Requirements for vacancy announcements.

* * * * *
    (c) If an agency is sharing a certificate of eligibles under part 
332 of this chapter, the original hiring agency must provide notice in 
the job opportunity announcement that the resulting list of eligible 
candidates may be used by one or more hiring agencies, and of how the 
applicant may opt-in to the disclosure of his or her applicant records 
to other hiring agencies.

PART 332--RECRUITMENT AND SELECTION THROUGH COMPETITIVE EXAMINATION

0
3. The authority citation for part 332 is revised to read as follows:

    Authority: 5 U.S.C. 1103, 1104, 1302, 2108, 3301, 3302, 3304, 
3312, 3317, 3318, 3319; sec. 2(d), Pub. L. 114-137, 130 Stat. 310; 
E.O. 10577, 19 FR 7521, 3 CFR, 1954-1958 Comp., p. 218.


0
4. Add Sec.  332.408 to read as follows:


Sec.  332.408  Shared use of a competitive certificate.

    (a) General authority. (1) A hiring agency may share a competitive 
service certificate issued under its delegated examining authority with 
one or more hiring agencies for a position(s) to be filled on a 
permanent or term basis. Positions filled on a term basis are subject 
to the provisions of 5 CFR part 316, subpart C. Positions may be full-
time or other than full-time (i.e., part-time, seasonal, on-call, and 
intermittent).
    (2) Another Federal agency may make a selection from a certificate 
shared with it under paragraph (b) of this section only after it has 
considered individuals it is required to consider when filling 
positions from within its own workforce and other internal applicants 
under paragraph (c) of this section.
    (3) All actions taken on a shared certificate must be made within 
the 240-day period beginning on the date the original hiring agency 
issued the certificate of eligibles. This period cannot be extended.
    (4) The original hiring agency and any receiving agency using a 
shared certificate must each maintain case file documentation 
sufficient for each agency to reconstruct its own use of the 
certificate in accordance with the Delegated Examining Operations 
Handbook, and must safeguard testing and examination materials, 
examination results, and the names of applicants from disclosure to 
other persons in accordance with Sec.  300.201 of this chapter.
    (5) All actions taken on competitive certificates must be done in 
accordance with the Delegated Examining Operations Handbook and all 
applicable regulations in this part and part 337 of this chapter.
    (6) Agencies sharing certificates must keep records of the 
instances of sharing certificates and/or using shared certificates.
    (b) Requirements for the original hiring agency. (1) A hiring 
agency may share a competitive certificate it has issued under Sec.  
332.402 (for traditional rating and ranking) or under 5 CFR 337.303 
(for category rating) with one or more hiring agencies for use in 
filling a position(s) if:
    (i) The original hiring agency intends to use the certificate for 
its own hiring;
    (ii) The original hiring agency has provided notice within the job 
opportunity announcement for the original vacancy that the resulting 
list of eligible candidates may be used by one or more hiring agencies;
    (iii) The original hiring agency has provided an opportunity for 
applicants to opt-in to have their applications and other personal 
information shared with one or more hiring agencies;
    (iv) The original hiring agency's objections to eligibles or 
requests to pass over preference eligibles on the certificate under 
Sec.  332.406 or Sec.  337.304 of this chapter have been resolved by 
that agency's Delegated Examining Unit;
    (v) The original hiring agency has either made a selection from the 
certificate or has made no selection from the certificate, and has 
documented its reason for non-selection; and
    (vi) The Delegated Examining Unit of the original hiring agency has 
closed and audited the certificate in accordance with the procedures in 
the Delegated Examining Operations Handbook.
    (2) When sharing a certificate of eligibles, the original hiring 
agency must share all documentation pertaining to the creation of that 
certificate, including but not limited to the job analysis, testing and 
examination materials, the job opportunity announcement, and 
applications, as relevant, and must safeguard any personally 
identifiable information not needed for effective use of the 
certificate by the receiving agency. The original hiring agency must 
share the certificate of eligibles in its original form in order to 
retain the original ordering of the certificate; must safeguard any 
personally identifiable information from unauthorized access during the 
transmission process; and must redact the names of applicants who did 
not opt-in to the shared certificate, and who therefore may not be 
considered by the receiving agency.
    (3) The original hiring agency may share a certificate of eligibles 
with one or more agencies.
    (4) If the original hiring agency determines that it has made an 
error that may affect selections by a receiving

[[Page 5340]]

agency or agencies, it must notify each affected receiving agency.
    (c) Requirements for the receiving agency--(1) Vacancies that may 
be filled. A receiving agency may use a shared certificate to fill a 
vacancy in the same occupational series, at the same grade level (or a 
corresponding rate or level of pay for a position excluded from the 
General Schedule), with the same full performance level, and in the 
same duty location as was listed on the original hiring agency's 
certificate. If the original hiring agency's certificate is for an 
interdisciplinary position as described in the Delegated Examining 
Operations Handbook, the receiving agency may use it to fill an 
interdisciplinary position. The receiving agency must verify through 
its job analysis that the minimum qualification requirements (including 
use of any selective placement factors) and the competencies, or 
knowledge, skills, and abilities, that were used for the original 
position are appropriate for the position to be filled.
    (2) Notification to individuals who applied to the original 
vacancy. Before using a shared certificate, a receiving agency must 
notify the list of candidates of its receipt of their names and 
application materials and its intention of considering them for a 
position. The receiving agency must also inform these individuals of 
its requirement to consider its own employees as well as other 
individuals the agency is required to consider before consideration of 
anyone on the shared certificate. At a minimum, the notification must 
include the agency, position title, series, grade level or equivalent, 
and duty location.
    (3) Consideration of internal candidates. Before making a selection 
from a shared certificate, a receiving agency must provide notice of 
its intent to fill the available position(s) to its own employees and 
other individuals the agency is required to consider, to provide these 
internal candidates the opportunity to apply consistent with the 
provisions of part 335 of this chapter, and to review the 
qualifications of the internal candidates.
    (i) This notice and opportunity for internal candidates to apply is 
subject to applicable collective bargaining obligations (to the extent 
consistent with law). Nothing in this paragraph affects agencies' right 
to fill a position from any appropriate source under Sec. Sec.  330.102 
and 335.103 of this chapter.
    (ii) Agencies are prohibited from providing an application period 
any longer than 10 days for internal candidates. This time limit cannot 
be waived or extended.
    (iii) Before considering other candidates, a receiving agency must 
first provide for the consideration for selection required for 
individuals covered under its Career Transition Assistance Program and 
its Reemployment Priority List under part 330, subparts B and F, of 
this chapter.
    (4) Selection from the shared certificate. After considering 
internal candidates, a receiving agency may consider candidates 
referred on the shared certificate.
    (i) The receiving agency must consider candidates on a shared 
certificate independently of the actions of any other agency with which 
the certificate is simultaneously shared under paragraph (b)(3) of this 
section.
    (ii) The receiving agency may not reassess the applicants for 
purposes of rating/ranking.
    (iii) The receiving agency must provide selection priority to 
individuals eligible under the Interagency Career Transition Assistance 
Program under part 330, subpart G, of this chapter who applied to the 
original job announcement.
    (5) Time limit on selection from a shared certificate. The 
receiving agency has 240 days from the date the certificate was issued 
(in the original hiring agency) to select individuals from the shared 
certificate.
    (6) Limit on further sharing by the receiving agency. The receiving 
agency may not share or distribute the shared certificate to another 
Federal agency.

PART 337--EXAMINING SYSTEM

0
5. The authority citation for part 337 is revised to read as follows:

    Authority: 5 U.S.C. 1104(a)(2), 1302, 2302, 3301, 3302, 3304, 
3319, 5364; 116 Stat. 2290, sec. 1413, Pub. L. 108-136, 117 Stat. 
1392, as amended by sec. 853 of Pub. L. 110-181, 122 Stat. 3; sec. 
2(d), Pub. L. 114-137, 130 Stat. 310; E.O. 10577, 19 FR 7521, 3 CFR, 
1954-1958 Comp., p. 218.


0
6. Revise Sec.  337.304 to read as follows:


Sec.  337.304  Veterans' preference.

    In this subpart:
    (a) Veterans' preference must be applied as prescribed in 5 U.S.C. 
3319(b) and (c)(7);
    (b) Veterans' preference points as prescribed in Sec.  337.101 are 
not applied in category rating; and
    (c) Sections 3319(b) and 3319(c)(7) of title 5 U.S.C. constitute 
veterans' preference requirements for purposes of 5 U.S.C. 
2302(b)(11)(A) and (B).

[FR Doc. 2017-00800 Filed 1-17-17; 8:45 am]
 BILLING CODE 6325-39-P