Civil Service Retirement System and Federal Employees Retirement System; Correcting Miscalculations in Veterans' Pension Act, 20435-20440 [2021-07545]

Download as PDF 20435 Rules and Regulations Federal Register Vol. 86, No. 74 Tuesday, April 20, 2021 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. OFFICE OF PERSONNEL MANAGEMENT 5 CFR Parts 831 and 842 RIN 3206–AO07 Civil Service Retirement System and Federal Employees Retirement System; Correcting Miscalculations in Veterans’ Pension Act Office of Personnel Management. ACTION: Final rule. AGENCY: The Office of Personnel Management (OPM) is issuing this final rule to implement the provisions of the ‘‘Correcting Miscalculations in Veterans’ Pensions Act.’’ This Act provides authority for agencies and OPM to pay, at their discretion, interest on certain deposits (post-1956 military service deposits and service credit deposits for voluntary service with the Peace Corps and Volunteers in Service to America (VISTA)) when additional interest is assessed due to administrative error. Agencies need to establish their own guidelines for waiver, subject to funding limitations that may prevent reimbursement by the agency. These regulations also pertain to payments made by OPM with regard to service credit deposits for volunteer service. DATES: Effective April 20, 2021. FOR FURTHER INFORMATION CONTACT: Jane Bancroft, (202) 606–0299, Email: Comboxinternet@opm.gov. Include Docket No. or RIN in the subject line of the email. SUPPLEMENTARY INFORMATION: SUMMARY: Background On November 5, 2020, OPM issued a proposed rule at 85 FR 70502 for the purpose of proposing regulations meant to implement the provisions of Public Law 115–352, 132 Stat. 5067 (2018) (codified at 5 U.S.C. 101), also known as the ‘‘Correcting Miscalculations in Veterans’ Pensions Act,’’ which was VerDate Sep<11>2014 15:56 Apr 19, 2021 Jkt 253001 enacted on December 21, 2018. Under this law, if an employing agency makes an administrative error in processing certain annuity deposits for post-1956 military service or certain volunteer service with the Peace Corps or Volunteers in Service to America (VISTA), the employing agency, or OPM in certain situations, may, at its discretion, pay on behalf of the employee any additional interest assessed due to its administrative error. Agencies are responsible for establishing their own guidelines for what constitutes administrative error and whether a payment is made. OPM has no role or authority in the agency’s decision. Also, OPM is responsible for establishing its own guidelines for what constitutes administrative error and whether a payment is made. Employees covered under the Civil Service Retirement System (CSRS) or the Federal Employees Retirement System (FERS) with post-1956 military service may pay a deposit plus interest to their employing agency for post-1956 military service. Payment of the deposit guarantees that the employee and survivors will continue to receive retirement credit for the post-1956 military service, regardless of entitlement to Social Security benefits at age 62. Interest on deposits for post1956 military service accrues and compounds annually after a 2-year interest-free grace period after the individual first becomes an employee or Member. Deposits for post-1956 military service are paid to the employing agency. The employing agency is responsible for counseling the employee regarding paying the deposit and the consequences of not paying the deposit, processing the application, calculating the deposit amount, billing the employee, and collecting the payment. Administrative error by the agency may result in an increase in the amount of interest due. If the administrative error results in an increase in interest due, then the employing agency may, at its discretion, pay on behalf of the employee any additional interest assessed due to its administrative error. After a CSRS or FERS employee’s retirement, OPM has a responsibility to ensure that retirement documents are not in conflict regarding payment of the deposit for post-1956 military service. If there is conflict, then it is OPM’s PO 00000 Frm 00001 Fmt 4700 Sfmt 4700 responsibility to resolve the deposit status with the agency. If the retiring employee’s statements on the application are in conflict with the agency’s certification of service or any other documents submitted by the agency regarding payment of the deposit for post-1956 military service, then it is OPM’s responsibility to resolve the deposit status with the retiring employee. Administrative error by OPM may result in an increase in the amount of interest due. If additional interest was assessed due to administrative error on OPM’s part, then OPM may pay on behalf of the employee any additional interest assessed due to its administrative error. Full-time volunteer service as a volunteer or volunteer leader with the Peace Corps or VISTA that was performed at any time before separation from federal civilian service is generally creditable under CSRS or FERS with payment of a service credit deposit. Though considered civilian service, the treatment of Peace Corps and VISTA volunteer service is similar to that of military service (see 5 CFR part 831 and 842.307 and 842.308) in that the credit is tied to eligibility for Social Security benefits. Payment of the deposit guarantees that the employee and survivors will continue to receive retirement credit for the volunteer service, regardless of entitlement to Social Security benefits. Like the calculation of interest for military deposits, the interest on deposits for volunteer service accrues and compounds annually after a 2-year interest-free grace period. For both current and former employees, interest begins to accrue on deposits for volunteer service on October 1, 1995, or 2 years after the date on which the individual first becomes an employee or Member, whichever is later. Deposits for Peace Corps and VISTA volunteer service are paid directly to OPM. The employing agency is responsible for counseling the employee regarding the deposit, and for verifying the earnings. OPM is responsible for processing the service credit deposit application, calculating the deposit, billing the employee, and collecting the payment. The decision to pay or not pay interest due to its administrative error on a deposit for post-1956 military service is made by the employing E:\FR\FM\20APR1.SGM 20APR1 20436 Federal Register / Vol. 86, No. 74 / Tuesday, April 20, 2021 / Rules and Regulations agency or OPM, depending on who is making the administrative error determination. The decision to pay or not pay interest due to its administrative error for a service credit deposit for Peace Corps/VISTA volunteer service is up to the employing agency or OPM, whichever agency is making the decision regarding administrative error. OPM has no role or authority in another agency’s decision. Currently, employees interested in making service credit deposits for Peace Corps or VISTA volunteer service submit the service credit application to the employing agency for development and review. The agency then forwards the application to OPM for processing and billing. The employee pays the service credit deposit amount directly to OPM. This process will not change due to the implementation of Public Law 115–352. Since both the agency and OPM have a role in processing service credit deposits for Peace Corps or VISTA volunteer service, either the employing agency or OPM could make an administrative error. If an administrative error results in an increase in interest due, then the employing agency or OPM, may, at its discretion, pay on behalf of the employee any additional interest assessed due to its administrative error. Public Law 115–352 specifies that if an employing agency makes an administrative error in processing deposits for post-1956 military service or full-time volunteer service as a volunteer or volunteer leader with the Peace Corps or VISTA that increases the amount of interest owed on the deposit, the employing agency or OPM (as described above) may pay on behalf of the employee any additional interest assessed due to the administrative error. Agencies are responsible for establishing their own guidelines for what constitutes administrative error and whether a payment is made. OPM has no role or authority in the decision. Public Law 115–352 also provides that, for volunteer service deposits, if the administrative error is committed by OPM, then OPM may pay on behalf of the employee any additional interest assessed due to the administrative error. Any payment of additional interest OPM may make on behalf of the employee is paid from the Civil Service Retirement and Disability Fund. This rule is necessary to implement the authority so the employing agency or OPM, on behalf of an employee, may make interest payments on interest accrued due to administrative error. Until this legislation, there was no authority to permit payment by an agency or OPM of interest that accrued VerDate Sep<11>2014 15:56 Apr 19, 2021 Jkt 253001 due to its administrative error. The burden to pay the additional interest was on the employee. This legislation should be an incentive for agencies and OPM to perform better and, therefore, result in fewer findings of administrative error. The public comment period on the proposed rule ended January 4, 2021. OPM received one written comment from a private citizen. The commenter questioned why this rule does not apply to redeposit miscalculations by OPM. Having considered the comment, OPM concluded that it may not adopt the commenter’s suggestion. Because the retirement benefits afforded to parties in this circumstance are permitted by statute, OPM’s rules implementing those provisions may not alter the statutory provisions enacted. OPM has examined the impact of this rule as required by Executive Order 12866 and Executive Order 13563, which directs agencies to assess all costs and benefits of available regulatory alternatives and, if regulation is necessary, to select regulatory approaches that maximize net benefits (including potential economic, environmental, public, health, and safety effects, distributive impacts, and equity. This rule is not a ‘‘significant regulatory action,’’ under Executive Order 12866. Regulatory Flexibility Act The Office of Personnel Management certifies that this rule will not have a significant economic impact on a substantial number of small entities. Federalism Paperwork Reduction Act This rule does not impose any new reporting or record-keeping requirements subject to the Paperwork Reduction Act. 5 CFR Part 831 Firefighters, Government employees, Income taxes, Intergovernmental relations, Law enforcement officers, Pensions, Reporting and recordkeeping requirements, Retirement. 5 CFR Part 842 Air traffic controllers, Alimony, Firefighters, Law enforcement officers, Pensions, Retirement. Office of Personnel Management. Alexys Stanley, Regulatory Affairs Analyst. For the reasons stated in the preamble, the Office of Personnel Management amends 5 CFR parts 831 and 842 as follows: PART 831—RETIREMENT 1. Revise the authority citation for part 831 to read as follows: ■ We have examined this rule in accordance with Executive Order 13132, Federalism, and have determined that this rule will not have any negative impact on the rights, roles, and responsibilities of State, local, or tribal governments. Civil Justice Reform This regulation meets the applicable standard set forth in Executive Order 12988. Unfunded Mandates Reform Act of 1995 This rule will not result in the expenditure by state, local, and tribal governments, in the aggregate, or by the private sector, of $100 million or more in any year and it will not significantly or uniquely affect small governments. Therefore, no actions were deemed necessary under the provisions of the Frm 00002 Congressional Review Act The Congressional Review Act (5 U.S.C. 801 et seq.) requires rules to be submitted to Congress before taking effect. OPM will submit to Congress and the Comptroller General of the United States a report regarding the issuance of this rule before its effective date, as required by 5 U.S.C. 801. This rule is not a major rule as defined by the Congressional Review Act (CRA) (5 U.S.C. 804). List of Subjects Regulatory Impact Analysis PO 00000 Unfunded Mandates Reform Act of 1995. Fmt 4700 Sfmt 4700 Authority: 5 U.S.C. 8347; Sec. 831.102 also issued under 5 U.S.C. 8334; Sec. 831.106 also issued under 5 U.S.C. 552a; Sec. 831.108 also issued under 5 U.S.C. 8336(d)(2); Sec. 831.114 also issued under 5 U.S.C. 8336(d)(2) and Sec. 1313(b)(5) of Pub. L. 107–296, 116 Stat. 2135; Sec. 831.201(b)(1) also issued under 5 U.S.C. 8347(g); Sec. 831.201(b)(6) also issued under 5 U.S.C. 7701(b)(2); Sec. 831.201(g) also issued under Secs. 11202(f), 11232(e), and 11246(b) of Pub. L. 105–33, 111 Stat. 251; Sec. 831.201(g) also issued under Secs. 7(b) and (e) of Pub. L. 105–274, 112 Stat. 2419; Sec. 831.201(i) also issued under Secs. 3 and 7(c) of Pub. L. 105–274, 112 Stat. 2419; Sec. 831.202 also issued under Sec. 111 of Pub. L. 99–500, 100 Stat. 1783, and Sec. 111 of Pub. L. 99–591, 100 Stat. 3341–348, and also Sec. 1 of Pub. L. 110–279, 122 Stat. 2602, as amended by Sec. 1(a) of Pub. L. 116– 21, 133 Stat. 903; Sec. 831.204 also issued under Sec. 102(e) of Pub. L. 104–8, 109 Stat. 102, as amended by Sec. 153 of Pub. L. 104– 134, 110 Stat. 1321; Sec. 831.205 also issued E:\FR\FM\20APR1.SGM 20APR1 Federal Register / Vol. 86, No. 74 / Tuesday, April 20, 2021 / Rules and Regulations under Sec. 2207 of Pub. L. 106–265, 114 Stat. 784; Sec. 831.206 also issued under Sec. 1622(b) of Pub. L. 104–106, 110 Stat. 515; Sec. 831.301 also issued under Sec. 2203 of Pub. L. 106–265, 114 Stat. 780; Sec. 831.303 also issued under 5 U.S.C. 8334(d)(2) and Sec. 2203 of Pub. L. 106–235, 114 Stat. 780; Sec. 831.502 also issued under 5 U.S.C. 8337, and under Sec. 1(3), E.O. 11228, 3 CFR 1965– 1965 Comp. p. 317; Sec. 831.663 also issued under 5 U.S.C. 8339(j) and (k)(2); Secs. 831.663 and 831.664 also issued under Sec. 11004(c)(2) of Pub. L. 103–66, 107 Stat. 412; Sec. 831.682 also issued under Sec. 201(d) of Pub. L. 99–251, 100 Stat. 23; Sec. 831.912 also issued under Sec. 636 of Appendix C to Pub. L. 106–554, 114 Stat. 2763A–164; Subpart P also issued under Sec. 535(d) of Title V of Division E of Pub. L. 110–161, 121 Stat. 2042; Subpart Q also issued under 5 U.S.C. 8336a; Subpart V also issued under 5 U.S.C. 8343a and Sec. 6001 of Pub. L. 100– 203, 101 Stat. 1330–275; Sec. 831.2203 also issued under Sec. 7001(a)(4) of Pub. L. 101– 508, 104 Stat. 1388–328; Pub. L. 115–352, 132 Stat. 5067 (5 U.S.C. 101). will determine if administrative error occurred. Any payment of additional interest of behalf of the employee is paid from the Civil Service Retirement and Disability Fund. ■ 4. Add subpart X to read as follows: Subpart A—Administration and General Provisions (a) Service credit deposits are not allowed for training periods prior to actual enrollment. (b) Service credit deposits can only be made for satisfactory volunteer and volunteer leader service. (c) Annuitants enrolling as a volunteer or volunteer leader are not deemed reemployed annuitants. Service as a volunteer or volunteer leader performed after retiring under a CSRS or FERS retirement is not creditable service for retirement purposes. 2. Amend § 831.105 by adding paragraph (k) to read as follows: ■ § 831.105 Computation of interest. * * * * * (k) If OPM determines that additional interest was assessed on a deposit for full-time volunteer service as a volunteer or a volunteer leader with the Peace Corps or Volunteers in Service to America (VISTA) due to its own administrative error, OPM may pay, on behalf of the employee, Member, or annuitant, any additional interest assessed due to the administrative error. Subpart U—Deposits for Military Service 3. Amend § 831.2107 by adding paragraph (c) to read as follows: ■ § 831.2107 Payments on deposits. * * * * * (c)(1) When an administrative error occurs by the employing agency in calculating or processing a military service deposit, interest assessed as a result of the administrative error may be paid by the agency, the Clerk of the House of Representatives, or the Secretary of the Senate on behalf of the employee. The agency, Clerk of the House of Representatives, or the Secretary of the Senate will determine if administrative error occurred. (2) When an administrative error occurs by OPM in calculating or processing a military service deposit, interest assessed as a result of the administrative error may be paid by OPM on behalf of the employee. OPM VerDate Sep<11>2014 15:56 Apr 19, 2021 Jkt 253001 Subpart X—Peace Corps Sec. 831.2401 Purpose. 831.2402 Allowable service. 831.2403 Deposits for service. 831.2404 Additional interest due to administrative error. § 831.2401 Purpose. This subpart contains regulations of the Office of Personnel Management (OPM) to supplement chapter 34 of title 22, United States Code, concerning CSRS retirement service credit eligibility for satisfactory Peace Corps volunteer and volunteer leader service. § 831.2402 § 831.2403 Allowable service. Deposits for service. (a) An employee or Member subject to CSRS may make a deposit for volunteer and volunteer leader service by filing an application in a form prescribed by OPM. (b) The deposit is based upon the amount of the stipend that was received. If an educational award was elected in lieu of the stipend, then the deposit is based on the amount of the stipend that would have been received. (c) An application to make a deposit is filed with the appropriate office in the employing agency, or, for Members and Congressional employees, with the Secretary of the Senate, or the Clerk of the House of Representatives, as appropriate. (d) Upon receipt and review of the application from the employee, the agency, Clerk of the House of Representatives, or Secretary of the Senate will submit the application to OPM for processing. (e) Interest begins to accrue on deposits for volunteer service on October 1, 1995, or 2 years after the date on which the individual first becomes an employee or Member, whichever is later. PO 00000 Frm 00003 Fmt 4700 Sfmt 4700 20437 (f) After becoming federally employed, there is a 2-year interest-free grace period on Peace Corps volunteer and volunteer leader service deposits. After the 2-year period, interest is accrued and compounded annually at the variable rate beginning on the date of the expiration of the 2-year period. § 831.2404 Additional interest due to administrative error. (a) The employing agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, may pay any additional interest due on the deposit for volunteer or volunteer leader service as a result of its administrative error. OPM may pay any additional interest due on the deposit for Peace Corps service as a result of its administrative error. (b) The employing agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, shall set their own procedures for employees or Members to claim there was administrative error. OPM shall set its own procedures for claims of administrative error on its part. (c) The employing agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, shall determine if administrative error on its part caused an increase in interest due on the deposit amount. OPM shall determine if administrative error on its part caused an increase in interest due on the deposit amount. (d) OPM’s final determination regarding a claim of administrative error on its part is not subject to the due process procedures described in 5 U.S.C. 8461(e). ■ 5. Add subpart Y to read as follows: Subpart Y—Volunteers in Service to America (VISTA) Sec. 831.2501 Purpose. 831.2502 Allowable service. 831.2503 Deposits for service. 831.2504 Additional interest due to administrative error. § 831.2501 Purpose. This subpart contains regulations of the Office of Personnel Management (OPM) to supplement chapter 66, title 42, United States Code, concerning CSRS retirement service credit eligibility for Volunteers in Service to America (VISTA) volunteers. § 831.2502 Allowable service. (a) Service credit deposits are not allowed for training periods prior to actual enrollment. (b) Service credit deposits can only be made for satisfactory volunteer service. E:\FR\FM\20APR1.SGM 20APR1 20438 Federal Register / Vol. 86, No. 74 / Tuesday, April 20, 2021 / Rules and Regulations (c) Annuitants enrolling as VISTA volunteers are not deemed reemployed annuitants. Service as a volunteer or volunteer leader performed after retiring under a CSRS or FERS retirement is not creditable serviced for retirement purposes. (d) Retirement credit is not allowable for training period(s) prior to actual enrollment. § 831.2503 Deposits for service. (a) An employee or Member subject to CSRS may make a deposit for volunteer service by filing an application in a form prescribed by OPM. (b) The deposit is based upon the amount of the stipend that was received. If an educational award was elected in lieu of the stipend, then the deposit is based on the amount of the stipend that would have been received. (c) An application to make a deposit is filed with the appropriate office in the employing agency, or, for Members and Congressional employees, with the Secretary of the Senate, or the Clerk of the House of Representatives, as appropriate. (d) Upon receipt and review of the application, the agency, Clerk of the House of Representatives, or Secretary of the Senate will submit the application to OPM for processing. (e) Interest begins to accrue on deposits for volunteer service on October 1, 1995, or 2 years after the date on which the individual first becomes an employee or Member, whichever is later. (f) After becoming federally employed, there is a 2-year interest-free grace period on VISTA volunteer service deposits. After the 2-year period, interest is accrued and compounded annually at the variable rate beginning on the date of the expiration of the 2year period. (g) A deposit is required in order to obtain service credit for VISTA volunteer service for which the volunteer chose to receive an educational award in lieu of a stipend. The deposit is based upon the amount of the stipend that would have been received if he/she had elected to receive the stipend rather than an educational award. § 831.2504 Additional interest due to administrative error. (a) The employing agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, may pay any additional interest due on the deposit for volunteer or volunteer leader service as a result of its administrative error. OPM may pay any additional interest due on the deposit VerDate Sep<11>2014 15:56 Apr 19, 2021 Jkt 253001 for VISTA service as a result of its administrative error. (b) The employing agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, shall set their own procedures for employees or Members to claim there was administrative error. OPM shall set its own procedures for claims of administrative error on its part. (c) The employing agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, shall determine if administrative error on its part caused an increase in interest due on the deposit amount for their employees. OPM shall determine if administrative error on its part caused an increase in interest due on the deposit amount. (d) OPM’s final determination regarding a claim of administrative error on its part is not subject to the due process procedures described in 5 U.S.C. 8461(e). PART 842—FEDERAL EMPLOYEES RETIREMENT SYSTEM-BASIC ANNUITY 6. Revise the authority citation for part 842 to read as follows: ■ Authority: 5 U.S.C. 8461(g); Secs. 842.104 and 842.106 also issued under 5 U.S.C. 8461(n); Sec. 842.104 also issued under Secs. 3 and 7(c) of Pub. L. 105–274, 112 Stat. 2419; Sec. 842.105 also issued under 5 U.S.C. 8402(c)(1) and 7701(b)(2); Sec. 842.106 also issued under Sec. 102(e) of Pub. L. 104–8, 109 Stat. 102, as amended by Sec. 153 of Pub. L. 104–134, 110 Stat. 1321–102; Sec. 842.107 also issued under Secs. 11202(f), 11232(e), and 11246(b) of Pub. L. 105–33, 111 Stat. 251, and Sec. 7(b) of Pub. L. 105–274, 112 Stat. 2419; Sec. 842.108 also issued under Sec. 7(e) of Pub. L. 105–274, 112 Stat. 2419; Sec. 842.109 also issued under Sec. 1622(b) of Pub. L. 104–106, 110 Stat. 515; Sec. 842.110 also issued under Sec. 111 of Pub. L. 99–500, 100 Stat. 1783, and Sec. 111 of Pub. L. 99–591, 100 Stat. 3341–348, and also Sec. 1 of Pub. L. 110–279, 122 Stat. 2602, as amended by Sec. 1(a) of Pub. L. 116–21, 133 Stat. 903; Sec. 842.208 also issued under Sec. 535(d) of Title V of Division E of Pub. L. 110– 161, 121 Stat. 2042; Sec. 842.213 also issued under 5 U.S.C. 8414(b)(1)(B) and Sec. 1313(b)(5) of Pub. L. 107–296, 116 Stat. 2135; Secs. 842.304 and 842.305 also issued under Sec. 321(f) of Pub. L. 107–228, 116 Stat. 1383; Secs. 842.604 and 842.611 also issued under 5 U.S.C. 8417; Sec. 842.607 also issued under 5 U.S.C. 8416 and 8417; Sec. 842.614 also issued under 5 U.S.C. 8419; Sec. 842.615 also issued under 5 U.S.C. 8418; Sec. 842.703 also issued under Sec. 7001(a)(4) of Pub. L. 101– 508, 104 Stat. 1388; Sec. 842.707 also issued under Sec. 6001 of Pub. L. 100–203, 101 Stat. 1300; Sec. 842.708 also issued under Sec. 4005 of Pub. L. 101–239, 103 Stat. 2106, and Sec. 7001 of Pub. L. 101–508, 104 Stat. 1388; Subpart H also issued under 5 U.S.C. 1104; Sec. 842.810 also issued under Sec. 636 of PO 00000 Frm 00004 Fmt 4700 Sfmt 4700 Appendix C to Pub. L. 106–554 at 114 Stat. 2763A–164; Sec. 842.811 also issued under Sec. 226(c)(2) of Pub. Law 108–176, 117 Stat. 2529; Subpart J also issued under Sec. 535(d) of Title V of Division E of Pub. L. 110–161, 121 Stat. 2042; Pub. L. 115–352, 132 Stat. 5067 (5 U.S.C. 101). Subpart C—Credit for Service 7. Amend § 842.305 by adding paragraph (k) to read as follows: ■ § 842.305 Deposits for civilian service. * * * * * (k) Administrative error. If OPM determines that additional interest was assessed on a deposit for full-time volunteer service as a volunteer or a volunteer leader with the Peace Corps or Volunteers in Serviced to America (VISTA) due to its own administrative error, OPM may pay, on behalf of the employee, Member, or annuitant, any additional interest assessed due to the administrative error. ■ 8. Amend § 842.307 by adding paragraph (e) to read as follows: § 842.307 Deposits for military service. * * * * * (e) Administrative error. (1) When an administrative error occurs by the employing Agency in calculating or processing a military service deposit, interest assessed as a result of the administrative error may be paid by the agency, the Clerk of the House of Representatives, or the Secretary of the Senate on behalf of the employee. The agency, Clerk of the House of Representatives, or the Secretary of the Senate will determine if administrative error occurred. (2) When an administrative error occurs by OPM in calculating or processing a military service deposit, interest assessed as a result of the administrative error may be paid by OPM on behalf of the employee. OPM will determine if administrative error occurred. Any payment of additional interest of behalf of the employee is paid from the Civil Service Retirement and Disability Fund. ■ 9. Add subpart K to read as follows: Subpart K—Peace Corps Sec. 842.1101 Purpose. 842.1102 Allowable service. 842.1103 Deposits for service. 842.1104 Additional interest due to administrative error. § 842.1101 Purpose. This subpart contains regulations of the Office of Personnel Management (OPM) to supplement chapter 34 of title 22, United States Code, concerning E:\FR\FM\20APR1.SGM 20APR1 Federal Register / Vol. 86, No. 74 / Tuesday, April 20, 2021 / Rules and Regulations FERS retirement service credit eligibility for satisfactory Peace Corps volunteer and volunteer leader service. § 842.1102 Allowable service. (a) Service credit deposits are not allowed for training periods prior to actual enrollment. (b) Service credit deposits can only be made for satisfactory volunteer and volunteer leader service. (c) Annuitants enrolling as a volunteer or volunteer leader are not to be deemed reemployed annuitants. Service as a volunteer or volunteer leader performed after retiring under a CSRS or FERS retirement is not creditable serviced for retirement purposes. § 842.1103 Deposits for service. (a) An employee or Member subject to FERS may make a deposit for volunteer and volunteer leader service by filing an application in a form prescribed by OPM. (b) The deposit is based upon the amount of the stipend that was received. If an educational award was elected in lieu of the stipend, then the deposit is based on the amount of the stipend that would have been received. (c) An application to make a deposit is filed with the appropriate office in the employing agency, or, for Members and Congressional employees, with the Secretary of the Senate, or the Clerk of the House of Representatives, as appropriate. (d) Upon receipt and review of the application, the agency, Clerk of the House of Representatives, or Secretary of the Senate will submit the application to OPM for processing. (e) Interest begins to accrue on deposits for volunteer service on October 1, 1995, or 2 years after the date on which the individual first becomes an employee or Member, whichever is later. (f) After becoming federally employed, there is a 2-year interest-free grace period on Peace Corps volunteer and volunteer leader service deposits. After the 2-year period, interest is accrued and compounded annually at the variable rate beginning on the date of the expiration of the 2-year period. § 842.1104 Additional interest due to administrative error. (a) The agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, may pay any additional interest due on the deposit for volunteer or volunteer leader service as a result of its administrative error. OPM may pay any additional interest due on the deposit for Peace Corps VerDate Sep<11>2014 15:56 Apr 19, 2021 Jkt 253001 service as a result of its administrative error. (b) The agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, shall set their own procedures for employees or Members to claim there was administrative error. OPM shall set its own procedures for claims of administrative error on its part. (c) The agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, shall determine if administrative error on its part caused an increase in interest due on the deposit amount. OPM shall determine if administrative error on its part caused an increase in interest due on the deposit amount. (d) OPM’s final determination regarding a claim of administrative error on its part is not subject to the due process procedures described in 5 U.S.C. 8461(e). ■ 10. Add subpart L to read as follows: Subpart L—Volunteers in Service to America (VISTA) Sec. 842.1201 Purpose. 842.1202 Allowable service. 842.1203 Deposits for service. 842.1204 Additional interest due to administrative error. § 842.1201 Purpose. This subpart contains regulations of the Office of Personnel Management (OPM) to supplement chapter 66, title 42, United States Code, concerning CSRS retirement service credit eligibility for Volunteers in Serviced to America (VISTA) volunteers. § 842.1202 Allowable service. (a) Service credit deposits are not allowed for training periods prior to actual enrollment. (b) Service credit deposits can only be made for satisfactory volunteer service. (c) Annuitants enrolling as VISTA volunteers are not deemed reemployed annuitants. Service as a volunteer or volunteer leader performed after retiring under a CSRS or FERS retirement is not creditable serviced for retirement purposes. (d) Retirement credit is not allowable for training period(s) prior to actual enrollment. § 842.1203 Deposits for service. (a) An employee or Member subject to CSRS may make a deposit for volunteer service by filing an application in a form prescribed by OPM. (b) The deposit is based upon the amount of the stipend that was received. If an educational award was elected in PO 00000 Frm 00005 Fmt 4700 Sfmt 4700 20439 lieu of the stipend, then the deposit is based on the amount of the stipend that would have been received. (c) An application to make a deposit is filed with the appropriate office in the employing agency, or, for Members and Congressional employees, with the Secretary of the Senate, or the Clerk of the House of Representatives, as appropriate. (d) Upon receipt and review of the application, the agency, Clerk of the House of Representatives, or Secretary of the Senate will submit the application to OPM for processing. (e) Interest begins to accrue on deposits for volunteer service on October 1, 1995, or 2 years after the date on which the individual first becomes an employee or Member, whichever is later. (f) After becoming federally employed, there is a 2-year interest-free grace period on VISTA volunteer service deposits. After the 2-year period, interest is accrued and compounded annually at the variable rate beginning on the date of the expiration of the 2-year period. (g) A deposit is required in order to obtain service credit for VISTA volunteer service for which the volunteer chose to receive an educational award in lieu of a stipend. The deposit is based upon the amount of the stipend that would have been received if he/she had elected to receive the stipend rather than an educational award. § 842.1204 Additional interest due to administrative error. (a) The agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, may pay any additional interest due on the deposit for volunteer or volunteer leader service as a result of its administrative error. OPM may pay any additional interest due on the deposit for VISTA service as a result of its administrative error. (b) The agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, shall set their own procedures for employees or Members to claim there was administrative error. OPM shall set its own procedures for claims of administrative error on its part. (c) The agency, Clerk of the House of Representatives, or Secretary of the Senate, as appropriate, shall determine if administrative error on its part caused an increase in interest due on the deposit amount. OPM shall determine if administrative error on its part caused an increase in interest due on the deposit amount. E:\FR\FM\20APR1.SGM 20APR1 20440 Federal Register / Vol. 86, No. 74 / Tuesday, April 20, 2021 / Rules and Regulations (d) OPM’s final determination regarding a claim of administrative error on its part is not subject to the due process procedures described in 5 U.S.C. 8461(e). [FR Doc. 2021–07545 Filed 4–19–21; 8:45 am] BILLING CODE 6325–38–P DEPARTMENT OF TRANSPORTATION Federal Aviation Administration 14 CFR Part 39 [Docket No. FAA–2021–0307; Project Identifier AD–2021–00407–T; Amendment 39–21513; AD 2021–08–19] RIN 2120–AA64 Airworthiness Directives; The Boeing Company Airplanes 15:56 Apr 19, 2021 Jkt 253001 You may examine the AD docket at https://www.regulations.gov by searching for and locating Docket No. FAA–2021–0307; or in person at Docket Operations between 9 a.m. and 5 p.m., Monday through Friday, except Federal holidays. The AD docket contains this final rule, any comments received, and other information. The street address for the Docket Operations is listed above. FOR FURTHER INFORMATION CONTACT: Brandon Lucero, Aerospace Engineer, Cabin Safety and Environmental Systems Section, FAA, Seattle ACO Branch, 2200 South 216th St., Des Moines, WA 98198; phone and fax: 206– 231–3569; email: Brandon.Lucero@ faa.gov. The FAA issued AD 2021–02–19, Amendment 39–21402 (86 FR 10171, February 19, 2021) (AD 2021–02–19), for certain Boeing Model 787–8, –9, and –10 airplanes. AD 2021–02–19 required repetitive general visual inspections for disengaged or damaged decompression panels of the bilge barriers located in the forward and aft cargo compartments, reinstallation of disengaged but undamaged panels, and replacement of damaged panels. AD 2021–02–19 was prompted by reports of multiple incidents of torn decompression panels found in the bilge area. The FAA issued AD 2021–02–19 to address the possibility of leakage in the bilge area, which could, in the event of a cargo fire, result in insufficient Halon concentrations to adequately control the fire. This condition, if not addressed, could result in the loss of continued safe flight and landing of the airplane. Actions Since AD 2021–02–19 Was Issued Since the FAA issued AD 2021–02– 19, the agency received new information indicating that additional airplanes may be subject to the unsafe condition. The applicability of AD 2021–02–19 was limited to airplanes having bilge assemblies with certain decompression panels. Certain other decompression panels were inadvertently omitted from the applicability. The FAA determined that all of the decompression panel part numbers may be subject to damage (tearing) or becoming disengaged. FAA’s Determination The FAA is issuing this AD because the agency determined the unsafe PO 00000 Frm 00006 Fmt 4700 Sfmt 4700 condition described previously is likely to exist or develop in other products of the same type design. AD Requirements This AD retains all requirements of AD 2021–02–19 and revises the applicability to include all Model 787– 8, –9, and –10 airplanes. Explanation of Serviceable Part This AD requires replacing damaged decompression panels with new or serviceable parts. For purposes of this AD, a serviceable part is airworthy and eligible for installation. While the part does not need to be new, it must conform to type design and be in condition for safe operation. A decompression panel repaired using an approved maintenance program is considered serviceable. MEL Provision Background The FAA is superseding Airworthiness Directive (AD) 2021–02– 19, which applied to certain The Boeing Company Model 787–8, –9, and –10 airplanes. AD 2021–02–19 required repetitive general visual inspections for disengaged or damaged decompression panels of the bilge barriers located in the forward and aft cargo compartments, reinstallation of disengaged but undamaged panels, and replacement of damaged panels. This AD was prompted by reports of multiple incidents of torn decompression panels found in the bilge area, and the determination that additional airplanes are subject to the unsafe condition. This AD retains the requirements of AD 2021–02–19 and revises the applicability by including additional airplanes. The FAA is issuing this AD to address the unsafe condition on these products. DATES: This AD is effective May 5, 2021. The FAA must receive comments on this AD by June 4, 2021. ADDRESSES: You may send comments, using the procedures found in 14 CFR 11.43 and 11.45, by any of the following methods: • Federal eRulemaking Portal: Go to https://www.regulations.gov. Follow the instructions for submitting comments. • Fax: 202–493–2251. • Mail: U.S. Department of Transportation, Docket Operations, M–30, West Building Ground Floor, Room W12–140, 1200 New Jersey Avenue SE, Washington, DC 20590. • Hand Delivery: Deliver to Mail address above between 9 a.m. and 5 VerDate Sep<11>2014 Examining the AD Docket SUPPLEMENTARY INFORMATION: Federal Aviation Administration (FAA), DOT. ACTION: Final rule; request for comments. AGENCY: SUMMARY: p.m., Monday through Friday, except Federal holidays. Paragraph (h) of this AD specifies that if any decompression panel is disengaged or damaged, the airplane may be operated as specified in the operator’s existing FAA-approved minimum equipment list (MEL), provided provisions that address the damaged or disengaged decompression panels are included in the MEL. Explanation of Revised Repetitive Interval The repetitive inspection interval required by AD 2021–02–19 was 120 days. This repetitive interval has been changed in this AD to 4 calendar months to better align the interval with routine operator maintenance scheduling. This change will continue to provide an adequate level of safety. Interim Action The FAA considers this AD to be an interim action. The manufacturer is currently developing a modification that will address the unsafe condition identified in this AD. Once this modification is developed, approved, and available, the FAA might consider additional rulemaking. Justification for Immediate Adoption and Determination of the Effective Date Section 553(b)(3)(B) of the Administrative Procedure Act (APA) (5 U.S.C. 551 et seq.) authorizes agencies to dispense with notice and comment procedures for rules when the agency, for ‘‘good cause,’’ finds that those procedures are ‘‘impracticable, unnecessary, or contrary to the public interest.’’ Under this section, an agency, upon finding good cause, may issue a final rule without providing notice and seeking comment prior to issuance. E:\FR\FM\20APR1.SGM 20APR1

Agencies

[Federal Register Volume 86, Number 74 (Tuesday, April 20, 2021)]
[Rules and Regulations]
[Pages 20435-20440]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-07545]



========================================================================
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. 

========================================================================


Federal Register / Vol. 86, No. 74 / Tuesday, April 20, 2021 / Rules 
and Regulations

[[Page 20435]]



OFFICE OF PERSONNEL MANAGEMENT

5 CFR Parts 831 and 842

RIN 3206-AO07


Civil Service Retirement System and Federal Employees Retirement 
System; Correcting Miscalculations in Veterans' Pension Act

AGENCY: Office of Personnel Management.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Office of Personnel Management (OPM) is issuing this final 
rule to implement the provisions of the ``Correcting Miscalculations in 
Veterans' Pensions Act.'' This Act provides authority for agencies and 
OPM to pay, at their discretion, interest on certain deposits (post-
1956 military service deposits and service credit deposits for 
voluntary service with the Peace Corps and Volunteers in Service to 
America (VISTA)) when additional interest is assessed due to 
administrative error. Agencies need to establish their own guidelines 
for waiver, subject to funding limitations that may prevent 
reimbursement by the agency. These regulations also pertain to payments 
made by OPM with regard to service credit deposits for volunteer 
service.

DATES: Effective April 20, 2021.

FOR FURTHER INFORMATION CONTACT: Jane Bancroft, (202) 606-0299, Email: 
[email protected]. Include Docket No. or RIN in the subject line 
of the email.

SUPPLEMENTARY INFORMATION:

Background

    On November 5, 2020, OPM issued a proposed rule at 85 FR 70502 for 
the purpose of proposing regulations meant to implement the provisions 
of Public Law 115-352, 132 Stat. 5067 (2018) (codified at 5 U.S.C. 
101), also known as the ``Correcting Miscalculations in Veterans' 
Pensions Act,'' which was enacted on December 21, 2018. Under this law, 
if an employing agency makes an administrative error in processing 
certain annuity deposits for post-1956 military service or certain 
volunteer service with the Peace Corps or Volunteers in Service to 
America (VISTA), the employing agency, or OPM in certain situations, 
may, at its discretion, pay on behalf of the employee any additional 
interest assessed due to its administrative error.
    Agencies are responsible for establishing their own guidelines for 
what constitutes administrative error and whether a payment is made. 
OPM has no role or authority in the agency's decision. Also, OPM is 
responsible for establishing its own guidelines for what constitutes 
administrative error and whether a payment is made.
    Employees covered under the Civil Service Retirement System (CSRS) 
or the Federal Employees Retirement System (FERS) with post-1956 
military service may pay a deposit plus interest to their employing 
agency for post-1956 military service. Payment of the deposit 
guarantees that the employee and survivors will continue to receive 
retirement credit for the post-1956 military service, regardless of 
entitlement to Social Security benefits at age 62. Interest on deposits 
for post-1956 military service accrues and compounds annually after a 
2-year interest-free grace period after the individual first becomes an 
employee or Member.
    Deposits for post-1956 military service are paid to the employing 
agency. The employing agency is responsible for counseling the employee 
regarding paying the deposit and the consequences of not paying the 
deposit, processing the application, calculating the deposit amount, 
billing the employee, and collecting the payment. Administrative error 
by the agency may result in an increase in the amount of interest due. 
If the administrative error results in an increase in interest due, 
then the employing agency may, at its discretion, pay on behalf of the 
employee any additional interest assessed due to its administrative 
error.
    After a CSRS or FERS employee's retirement, OPM has a 
responsibility to ensure that retirement documents are not in conflict 
regarding payment of the deposit for post-1956 military service. If 
there is conflict, then it is OPM's responsibility to resolve the 
deposit status with the agency. If the retiring employee's statements 
on the application are in conflict with the agency's certification of 
service or any other documents submitted by the agency regarding 
payment of the deposit for post-1956 military service, then it is OPM's 
responsibility to resolve the deposit status with the retiring 
employee. Administrative error by OPM may result in an increase in the 
amount of interest due. If additional interest was assessed due to 
administrative error on OPM's part, then OPM may pay on behalf of the 
employee any additional interest assessed due to its administrative 
error.
    Full-time volunteer service as a volunteer or volunteer leader with 
the Peace Corps or VISTA that was performed at any time before 
separation from federal civilian service is generally creditable under 
CSRS or FERS with payment of a service credit deposit. Though 
considered civilian service, the treatment of Peace Corps and VISTA 
volunteer service is similar to that of military service (see 5 CFR 
part 831 and 842.307 and 842.308) in that the credit is tied to 
eligibility for Social Security benefits. Payment of the deposit 
guarantees that the employee and survivors will continue to receive 
retirement credit for the volunteer service, regardless of entitlement 
to Social Security benefits. Like the calculation of interest for 
military deposits, the interest on deposits for volunteer service 
accrues and compounds annually after a 2-year interest-free grace 
period. For both current and former employees, interest begins to 
accrue on deposits for volunteer service on October 1, 1995, or 2 years 
after the date on which the individual first becomes an employee or 
Member, whichever is later.
    Deposits for Peace Corps and VISTA volunteer service are paid 
directly to OPM. The employing agency is responsible for counseling the 
employee regarding the deposit, and for verifying the earnings. OPM is 
responsible for processing the service credit deposit application, 
calculating the deposit, billing the employee, and collecting the 
payment.
    The decision to pay or not pay interest due to its administrative 
error on a deposit for post-1956 military service is made by the 
employing

[[Page 20436]]

agency or OPM, depending on who is making the administrative error 
determination. The decision to pay or not pay interest due to its 
administrative error for a service credit deposit for Peace Corps/VISTA 
volunteer service is up to the employing agency or OPM, whichever 
agency is making the decision regarding administrative error. OPM has 
no role or authority in another agency's decision.
    Currently, employees interested in making service credit deposits 
for Peace Corps or VISTA volunteer service submit the service credit 
application to the employing agency for development and review. The 
agency then forwards the application to OPM for processing and billing. 
The employee pays the service credit deposit amount directly to OPM. 
This process will not change due to the implementation of Public Law 
115-352. Since both the agency and OPM have a role in processing 
service credit deposits for Peace Corps or VISTA volunteer service, 
either the employing agency or OPM could make an administrative error. 
If an administrative error results in an increase in interest due, then 
the employing agency or OPM, may, at its discretion, pay on behalf of 
the employee any additional interest assessed due to its administrative 
error.
    Public Law 115-352 specifies that if an employing agency makes an 
administrative error in processing deposits for post-1956 military 
service or full-time volunteer service as a volunteer or volunteer 
leader with the Peace Corps or VISTA that increases the amount of 
interest owed on the deposit, the employing agency or OPM (as described 
above) may pay on behalf of the employee any additional interest 
assessed due to the administrative error. Agencies are responsible for 
establishing their own guidelines for what constitutes administrative 
error and whether a payment is made. OPM has no role or authority in 
the decision.
    Public Law 115-352 also provides that, for volunteer service 
deposits, if the administrative error is committed by OPM, then OPM may 
pay on behalf of the employee any additional interest assessed due to 
the administrative error. Any payment of additional interest OPM may 
make on behalf of the employee is paid from the Civil Service 
Retirement and Disability Fund.
    This rule is necessary to implement the authority so the employing 
agency or OPM, on behalf of an employee, may make interest payments on 
interest accrued due to administrative error. Until this legislation, 
there was no authority to permit payment by an agency or OPM of 
interest that accrued due to its administrative error. The burden to 
pay the additional interest was on the employee. This legislation 
should be an incentive for agencies and OPM to perform better and, 
therefore, result in fewer findings of administrative error.
    The public comment period on the proposed rule ended January 4, 
2021. OPM received one written comment from a private citizen. The 
commenter questioned why this rule does not apply to redeposit 
miscalculations by OPM. Having considered the comment, OPM concluded 
that it may not adopt the commenter's suggestion. Because the 
retirement benefits afforded to parties in this circumstance are 
permitted by statute, OPM's rules implementing those provisions may not 
alter the statutory provisions enacted.

Regulatory Impact Analysis

    OPM has examined the impact of this rule as required by Executive 
Order 12866 and Executive Order 13563, which directs agencies to assess 
all costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public, 
health, and safety effects, distributive impacts, and equity. This rule 
is not a ``significant regulatory action,'' under Executive Order 
12866.

Regulatory Flexibility Act

    The Office of Personnel Management certifies that this rule will 
not have a significant economic impact on a substantial number of small 
entities.

Federalism

    We have examined this rule in accordance with Executive Order 
13132, Federalism, and have determined that this rule will not have any 
negative impact on the rights, roles, and responsibilities of State, 
local, or tribal governments.

Civil Justice Reform

    This regulation meets the applicable standard set forth in 
Executive Order 12988.

Unfunded Mandates Reform Act of 1995

    This rule will not result in the expenditure by state, local, and 
tribal governments, in the aggregate, or by the private sector, of $100 
million or more in any year and it will not significantly or uniquely 
affect small governments. Therefore, no actions were deemed necessary 
under the provisions of the Unfunded Mandates Reform Act of 1995.

Congressional Review Act

    The Congressional Review Act (5 U.S.C. 801 et seq.) requires rules 
to be submitted to Congress before taking effect. OPM will submit to 
Congress and the Comptroller General of the United States a report 
regarding the issuance of this rule before its effective date, as 
required by 5 U.S.C. 801. This rule is not a major rule as defined by 
the Congressional Review Act (CRA) (5 U.S.C. 804).

Paperwork Reduction Act

    This rule does not impose any new reporting or record-keeping 
requirements subject to the Paperwork Reduction Act.

List of Subjects

5 CFR Part 831

    Firefighters, Government employees, Income taxes, Intergovernmental 
relations, Law enforcement officers, Pensions, Reporting and 
recordkeeping requirements, Retirement.

5 CFR Part 842

    Air traffic controllers, Alimony, Firefighters, Law enforcement 
officers, Pensions, Retirement.

Office of Personnel Management.
Alexys Stanley,
Regulatory Affairs Analyst.

    For the reasons stated in the preamble, the Office of Personnel 
Management amends 5 CFR parts 831 and 842 as follows:

PART 831--RETIREMENT

0
1. Revise the authority citation for part 831 to read as follows:

    Authority: 5 U.S.C. 8347; Sec. 831.102 also issued under 5 
U.S.C. 8334; Sec. 831.106 also issued under 5 U.S.C. 552a; Sec. 
831.108 also issued under 5 U.S.C. 8336(d)(2); Sec. 831.114 also 
issued under 5 U.S.C. 8336(d)(2) and Sec. 1313(b)(5) of Pub. L. 107-
296, 116 Stat. 2135; Sec. 831.201(b)(1) also issued under 5 U.S.C. 
8347(g); Sec. 831.201(b)(6) also issued under 5 U.S.C. 7701(b)(2); 
Sec. 831.201(g) also issued under Secs. 11202(f), 11232(e), and 
11246(b) of Pub. L. 105-33, 111 Stat. 251; Sec. 831.201(g) also 
issued under Secs. 7(b) and (e) of Pub. L. 105-274, 112 Stat. 2419; 
Sec. 831.201(i) also issued under Secs. 3 and 7(c) of Pub. L. 105-
274, 112 Stat. 2419; Sec. 831.202 also issued under Sec. 111 of Pub. 
L. 99-500, 100 Stat. 1783, and Sec. 111 of Pub. L. 99-591, 100 Stat. 
3341-348, and also Sec. 1 of Pub. L. 110-279, 122 Stat. 2602, as 
amended by Sec. 1(a) of Pub. L. 116-21, 133 Stat. 903; Sec. 831.204 
also issued under Sec. 102(e) of Pub. L. 104-8, 109 Stat. 102, as 
amended by Sec. 153 of Pub. L. 104-134, 110 Stat. 1321; Sec. 831.205 
also issued

[[Page 20437]]

under Sec. 2207 of Pub. L. 106-265, 114 Stat. 784; Sec. 831.206 also 
issued under Sec. 1622(b) of Pub. L. 104-106, 110 Stat. 515; Sec. 
831.301 also issued under Sec. 2203 of Pub. L. 106-265, 114 Stat. 
780; Sec. 831.303 also issued under 5 U.S.C. 8334(d)(2) and Sec. 
2203 of Pub. L. 106-235, 114 Stat. 780; Sec. 831.502 also issued 
under 5 U.S.C. 8337, and under Sec. 1(3), E.O. 11228, 3 CFR 1965-
1965 Comp. p. 317; Sec. 831.663 also issued under 5 U.S.C. 8339(j) 
and (k)(2); Secs. 831.663 and 831.664 also issued under Sec. 
11004(c)(2) of Pub. L. 103-66, 107 Stat. 412; Sec. 831.682 also 
issued under Sec. 201(d) of Pub. L. 99-251, 100 Stat. 23; Sec. 
831.912 also issued under Sec. 636 of Appendix C to Pub. L. 106-554, 
114 Stat. 2763A-164; Subpart P also issued under Sec. 535(d) of 
Title V of Division E of Pub. L. 110-161, 121 Stat. 2042; Subpart Q 
also issued under 5 U.S.C. 8336a; Subpart V also issued under 5 
U.S.C. 8343a and Sec. 6001 of Pub. L. 100-203, 101 Stat. 1330-275; 
Sec. 831.2203 also issued under Sec. 7001(a)(4) of Pub. L. 101-508, 
104 Stat. 1388-328; Pub. L. 115-352, 132 Stat. 5067 (5 U.S.C. 101).

Subpart A--Administration and General Provisions

0
2. Amend Sec.  831.105 by adding paragraph (k) to read as follows:


Sec.  831.105  Computation of interest.

* * * * *
    (k) If OPM determines that additional interest was assessed on a 
deposit for full-time volunteer service as a volunteer or a volunteer 
leader with the Peace Corps or Volunteers in Service to America (VISTA) 
due to its own administrative error, OPM may pay, on behalf of the 
employee, Member, or annuitant, any additional interest assessed due to 
the administrative error.

Subpart U--Deposits for Military Service

0
3. Amend Sec.  831.2107 by adding paragraph (c) to read as follows:


Sec.  831.2107  Payments on deposits.

* * * * *
    (c)(1) When an administrative error occurs by the employing agency 
in calculating or processing a military service deposit, interest 
assessed as a result of the administrative error may be paid by the 
agency, the Clerk of the House of Representatives, or the Secretary of 
the Senate on behalf of the employee. The agency, Clerk of the House of 
Representatives, or the Secretary of the Senate will determine if 
administrative error occurred.
    (2) When an administrative error occurs by OPM in calculating or 
processing a military service deposit, interest assessed as a result of 
the administrative error may be paid by OPM on behalf of the employee. 
OPM will determine if administrative error occurred. Any payment of 
additional interest of behalf of the employee is paid from the Civil 
Service Retirement and Disability Fund.

0
4. Add subpart X to read as follows:

Subpart X--Peace Corps

Sec.
831.2401 Purpose.
831.2402 Allowable service.
831.2403 Deposits for service.
831.2404 Additional interest due to administrative error.


Sec.  831.2401  Purpose.

    This subpart contains regulations of the Office of Personnel 
Management (OPM) to supplement chapter 34 of title 22, United States 
Code, concerning CSRS retirement service credit eligibility for 
satisfactory Peace Corps volunteer and volunteer leader service.


Sec.  831.2402  Allowable service.

    (a) Service credit deposits are not allowed for training periods 
prior to actual enrollment.
    (b) Service credit deposits can only be made for satisfactory 
volunteer and volunteer leader service.
    (c) Annuitants enrolling as a volunteer or volunteer leader are not 
deemed reemployed annuitants. Service as a volunteer or volunteer 
leader performed after retiring under a CSRS or FERS retirement is not 
creditable service for retirement purposes.


Sec.  831.2403   Deposits for service.

    (a) An employee or Member subject to CSRS may make a deposit for 
volunteer and volunteer leader service by filing an application in a 
form prescribed by OPM.
    (b) The deposit is based upon the amount of the stipend that was 
received. If an educational award was elected in lieu of the stipend, 
then the deposit is based on the amount of the stipend that would have 
been received.
    (c) An application to make a deposit is filed with the appropriate 
office in the employing agency, or, for Members and Congressional 
employees, with the Secretary of the Senate, or the Clerk of the House 
of Representatives, as appropriate.
    (d) Upon receipt and review of the application from the employee, 
the agency, Clerk of the House of Representatives, or Secretary of the 
Senate will submit the application to OPM for processing.
    (e) Interest begins to accrue on deposits for volunteer service on 
October 1, 1995, or 2 years after the date on which the individual 
first becomes an employee or Member, whichever is later.
    (f) After becoming federally employed, there is a 2-year interest-
free grace period on Peace Corps volunteer and volunteer leader service 
deposits. After the 2-year period, interest is accrued and compounded 
annually at the variable rate beginning on the date of the expiration 
of the 2-year period.


Sec.  831.2404  Additional interest due to administrative error.

    (a) The employing agency, Clerk of the House of Representatives, or 
Secretary of the Senate, as appropriate, may pay any additional 
interest due on the deposit for volunteer or volunteer leader service 
as a result of its administrative error. OPM may pay any additional 
interest due on the deposit for Peace Corps service as a result of its 
administrative error.
    (b) The employing agency, Clerk of the House of Representatives, or 
Secretary of the Senate, as appropriate, shall set their own procedures 
for employees or Members to claim there was administrative error. OPM 
shall set its own procedures for claims of administrative error on its 
part.
    (c) The employing agency, Clerk of the House of Representatives, or 
Secretary of the Senate, as appropriate, shall determine if 
administrative error on its part caused an increase in interest due on 
the deposit amount. OPM shall determine if administrative error on its 
part caused an increase in interest due on the deposit amount.
    (d) OPM's final determination regarding a claim of administrative 
error on its part is not subject to the due process procedures 
described in 5 U.S.C. 8461(e).

0
5. Add subpart Y to read as follows:

Subpart Y--Volunteers in Service to America (VISTA)

Sec.
831.2501 Purpose.
831.2502 Allowable service.
831.2503 Deposits for service.
831.2504 Additional interest due to administrative error.


Sec.  831.2501  Purpose.

    This subpart contains regulations of the Office of Personnel 
Management (OPM) to supplement chapter 66, title 42, United States 
Code, concerning CSRS retirement service credit eligibility for 
Volunteers in Service to America (VISTA) volunteers.


Sec.  831.2502  Allowable service.

    (a) Service credit deposits are not allowed for training periods 
prior to actual enrollment.
    (b) Service credit deposits can only be made for satisfactory 
volunteer service.

[[Page 20438]]

    (c) Annuitants enrolling as VISTA volunteers are not deemed 
reemployed annuitants. Service as a volunteer or volunteer leader 
performed after retiring under a CSRS or FERS retirement is not 
creditable serviced for retirement purposes.
    (d) Retirement credit is not allowable for training period(s) prior 
to actual enrollment.


Sec.  831.2503  Deposits for service.

    (a) An employee or Member subject to CSRS may make a deposit for 
volunteer service by filing an application in a form prescribed by OPM.
    (b) The deposit is based upon the amount of the stipend that was 
received. If an educational award was elected in lieu of the stipend, 
then the deposit is based on the amount of the stipend that would have 
been received.
    (c) An application to make a deposit is filed with the appropriate 
office in the employing agency, or, for Members and Congressional 
employees, with the Secretary of the Senate, or the Clerk of the House 
of Representatives, as appropriate.
    (d) Upon receipt and review of the application, the agency, Clerk 
of the House of Representatives, or Secretary of the Senate will submit 
the application to OPM for processing.
    (e) Interest begins to accrue on deposits for volunteer service on 
October 1, 1995, or 2 years after the date on which the individual 
first becomes an employee or Member, whichever is later.
    (f) After becoming federally employed, there is a 2-year interest-
free grace period on VISTA volunteer service deposits. After the 2-year 
period, interest is accrued and compounded annually at the variable 
rate beginning on the date of the expiration of the 2-year period.
    (g) A deposit is required in order to obtain service credit for 
VISTA volunteer service for which the volunteer chose to receive an 
educational award in lieu of a stipend. The deposit is based upon the 
amount of the stipend that would have been received if he/she had 
elected to receive the stipend rather than an educational award.


Sec.  831.2504  Additional interest due to administrative error.

    (a) The employing agency, Clerk of the House of Representatives, or 
Secretary of the Senate, as appropriate, may pay any additional 
interest due on the deposit for volunteer or volunteer leader service 
as a result of its administrative error. OPM may pay any additional 
interest due on the deposit for VISTA service as a result of its 
administrative error.
    (b) The employing agency, Clerk of the House of Representatives, or 
Secretary of the Senate, as appropriate, shall set their own procedures 
for employees or Members to claim there was administrative error. OPM 
shall set its own procedures for claims of administrative error on its 
part.
    (c) The employing agency, Clerk of the House of Representatives, or 
Secretary of the Senate, as appropriate, shall determine if 
administrative error on its part caused an increase in interest due on 
the deposit amount for their employees. OPM shall determine if 
administrative error on its part caused an increase in interest due on 
the deposit amount.
    (d) OPM's final determination regarding a claim of administrative 
error on its part is not subject to the due process procedures 
described in 5 U.S.C. 8461(e).

PART 842--FEDERAL EMPLOYEES RETIREMENT SYSTEM-BASIC ANNUITY

0
6. Revise the authority citation for part 842 to read as follows:

    Authority: 5 U.S.C. 8461(g); Secs. 842.104 and 842.106 also 
issued under 5 U.S.C. 8461(n); Sec. 842.104 also issued under Secs. 
3 and 7(c) of Pub. L. 105-274, 112 Stat. 2419; Sec. 842.105 also 
issued under 5 U.S.C. 8402(c)(1) and 7701(b)(2); Sec. 842.106 also 
issued under Sec. 102(e) of Pub. L. 104-8, 109 Stat. 102, as amended 
by Sec. 153 of Pub. L. 104-134, 110 Stat. 1321-102; Sec. 842.107 
also issued under Secs. 11202(f), 11232(e), and 11246(b) of Pub. L. 
105-33, 111 Stat. 251, and Sec. 7(b) of Pub. L. 105-274, 112 Stat. 
2419; Sec. 842.108 also issued under Sec. 7(e) of Pub. L. 105-274, 
112 Stat. 2419; Sec. 842.109 also issued under Sec. 1622(b) of Pub. 
L. 104-106, 110 Stat. 515; Sec. 842.110 also issued under Sec. 111 
of Pub. L. 99-500, 100 Stat. 1783, and Sec. 111 of Pub. L. 99-591, 
100 Stat. 3341-348, and also Sec. 1 of Pub. L. 110-279, 122 Stat. 
2602, as amended by Sec. 1(a) of Pub. L. 116-21, 133 Stat. 903; Sec. 
842.208 also issued under Sec. 535(d) of Title V of Division E of 
Pub. L. 110-161, 121 Stat. 2042; Sec. 842.213 also issued under 5 
U.S.C. 8414(b)(1)(B) and Sec. 1313(b)(5) of Pub. L. 107-296, 116 
Stat. 2135; Secs. 842.304 and 842.305 also issued under Sec. 321(f) 
of Pub. L. 107-228, 116 Stat. 1383; Secs. 842.604 and 842.611 also 
issued under 5 U.S.C. 8417; Sec. 842.607 also issued under 5 U.S.C. 
8416 and 8417; Sec. 842.614 also issued under 5 U.S.C. 8419; Sec. 
842.615 also issued under 5 U.S.C. 8418; Sec. 842.703 also issued 
under Sec. 7001(a)(4) of Pub. L. 101-508, 104 Stat. 1388; Sec. 
842.707 also issued under Sec. 6001 of Pub. L. 100-203, 101 Stat. 
1300; Sec. 842.708 also issued under Sec. 4005 of Pub. L. 101-239, 
103 Stat. 2106, and Sec. 7001 of Pub. L. 101-508, 104 Stat. 1388; 
Subpart H also issued under 5 U.S.C. 1104; Sec. 842.810 also issued 
under Sec. 636 of Appendix C to Pub. L. 106-554 at 114 Stat. 2763A-
164; Sec. 842.811 also issued under Sec. 226(c)(2) of Pub. Law 108-
176, 117 Stat. 2529; Subpart J also issued under Sec. 535(d) of 
Title V of Division E of Pub. L. 110-161, 121 Stat. 2042; Pub. L. 
115-352, 132 Stat. 5067 (5 U.S.C. 101).

Subpart C--Credit for Service

0
7. Amend Sec.  842.305 by adding paragraph (k) to read as follows:


Sec.  842.305  Deposits for civilian service.

* * * * *
    (k) Administrative error. If OPM determines that additional 
interest was assessed on a deposit for full-time volunteer service as a 
volunteer or a volunteer leader with the Peace Corps or Volunteers in 
Serviced to America (VISTA) due to its own administrative error, OPM 
may pay, on behalf of the employee, Member, or annuitant, any 
additional interest assessed due to the administrative error.

0
8. Amend Sec.  842.307 by adding paragraph (e) to read as follows:


Sec.  842.307  Deposits for military service.

* * * * *
    (e) Administrative error. (1) When an administrative error occurs 
by the employing Agency in calculating or processing a military service 
deposit, interest assessed as a result of the administrative error may 
be paid by the agency, the Clerk of the House of Representatives, or 
the Secretary of the Senate on behalf of the employee. The agency, 
Clerk of the House of Representatives, or the Secretary of the Senate 
will determine if administrative error occurred.
    (2) When an administrative error occurs by OPM in calculating or 
processing a military service deposit, interest assessed as a result of 
the administrative error may be paid by OPM on behalf of the employee. 
OPM will determine if administrative error occurred. Any payment of 
additional interest of behalf of the employee is paid from the Civil 
Service Retirement and Disability Fund.

0
9. Add subpart K to read as follows:

Subpart K--Peace Corps

Sec.
842.1101 Purpose.
842.1102 Allowable service.
842.1103 Deposits for service.
842.1104 Additional interest due to administrative error.


Sec.  842.1101  Purpose.

    This subpart contains regulations of the Office of Personnel 
Management (OPM) to supplement chapter 34 of title 22, United States 
Code, concerning

[[Page 20439]]

FERS retirement service credit eligibility for satisfactory Peace Corps 
volunteer and volunteer leader service.


Sec.  842.1102  Allowable service.

    (a) Service credit deposits are not allowed for training periods 
prior to actual enrollment.
    (b) Service credit deposits can only be made for satisfactory 
volunteer and volunteer leader service.
    (c) Annuitants enrolling as a volunteer or volunteer leader are not 
to be deemed reemployed annuitants. Service as a volunteer or volunteer 
leader performed after retiring under a CSRS or FERS retirement is not 
creditable serviced for retirement purposes.


Sec.  842.1103  Deposits for service.

    (a) An employee or Member subject to FERS may make a deposit for 
volunteer and volunteer leader service by filing an application in a 
form prescribed by OPM.
    (b) The deposit is based upon the amount of the stipend that was 
received. If an educational award was elected in lieu of the stipend, 
then the deposit is based on the amount of the stipend that would have 
been received.
    (c) An application to make a deposit is filed with the appropriate 
office in the employing agency, or, for Members and Congressional 
employees, with the Secretary of the Senate, or the Clerk of the House 
of Representatives, as appropriate.
    (d) Upon receipt and review of the application, the agency, Clerk 
of the House of Representatives, or Secretary of the Senate will submit 
the application to OPM for processing.
    (e) Interest begins to accrue on deposits for volunteer service on 
October 1, 1995, or 2 years after the date on which the individual 
first becomes an employee or Member, whichever is later.
    (f) After becoming federally employed, there is a 2-year interest-
free grace period on Peace Corps volunteer and volunteer leader service 
deposits. After the 2-year period, interest is accrued and compounded 
annually at the variable rate beginning on the date of the expiration 
of the 2-year period.


Sec.  842.1104  Additional interest due to administrative error.

    (a) The agency, Clerk of the House of Representatives, or Secretary 
of the Senate, as appropriate, may pay any additional interest due on 
the deposit for volunteer or volunteer leader service as a result of 
its administrative error. OPM may pay any additional interest due on 
the deposit for Peace Corps service as a result of its administrative 
error.
    (b) The agency, Clerk of the House of Representatives, or Secretary 
of the Senate, as appropriate, shall set their own procedures for 
employees or Members to claim there was administrative error. OPM shall 
set its own procedures for claims of administrative error on its part.
    (c) The agency, Clerk of the House of Representatives, or Secretary 
of the Senate, as appropriate, shall determine if administrative error 
on its part caused an increase in interest due on the deposit amount. 
OPM shall determine if administrative error on its part caused an 
increase in interest due on the deposit amount.
    (d) OPM's final determination regarding a claim of administrative 
error on its part is not subject to the due process procedures 
described in 5 U.S.C. 8461(e).

0
10. Add subpart L to read as follows:

Subpart L--Volunteers in Service to America (VISTA)

Sec.
842.1201 Purpose.
842.1202 Allowable service.
842.1203 Deposits for service.
842.1204 Additional interest due to administrative error.


Sec.  842.1201  Purpose.

    This subpart contains regulations of the Office of Personnel 
Management (OPM) to supplement chapter 66, title 42, United States 
Code, concerning CSRS retirement service credit eligibility for 
Volunteers in Serviced to America (VISTA) volunteers.


Sec.  842.1202  Allowable service.

    (a) Service credit deposits are not allowed for training periods 
prior to actual enrollment.
    (b) Service credit deposits can only be made for satisfactory 
volunteer service.
    (c) Annuitants enrolling as VISTA volunteers are not deemed 
reemployed annuitants. Service as a volunteer or volunteer leader 
performed after retiring under a CSRS or FERS retirement is not 
creditable serviced for retirement purposes.
    (d) Retirement credit is not allowable for training period(s) prior 
to actual enrollment.


Sec.  842.1203  Deposits for service.

    (a) An employee or Member subject to CSRS may make a deposit for 
volunteer service by filing an application in a form prescribed by OPM.
    (b) The deposit is based upon the amount of the stipend that was 
received. If an educational award was elected in lieu of the stipend, 
then the deposit is based on the amount of the stipend that would have 
been received.
    (c) An application to make a deposit is filed with the appropriate 
office in the employing agency, or, for Members and Congressional 
employees, with the Secretary of the Senate, or the Clerk of the House 
of Representatives, as appropriate.
    (d) Upon receipt and review of the application, the agency, Clerk 
of the House of Representatives, or Secretary of the Senate will submit 
the application to OPM for processing.
    (e) Interest begins to accrue on deposits for volunteer service on 
October 1, 1995, or 2 years after the date on which the individual 
first becomes an employee or Member, whichever is later.
    (f) After becoming federally employed, there is a 2-year interest-
free grace period on VISTA volunteer service deposits. After the 2-year 
period, interest is accrued and compounded annually at the variable 
rate beginning on the date of the expiration of the 2-year period.
    (g) A deposit is required in order to obtain service credit for 
VISTA volunteer service for which the volunteer chose to receive an 
educational award in lieu of a stipend. The deposit is based upon the 
amount of the stipend that would have been received if he/she had 
elected to receive the stipend rather than an educational award.


Sec.  842.1204  Additional interest due to administrative error.

    (a) The agency, Clerk of the House of Representatives, or Secretary 
of the Senate, as appropriate, may pay any additional interest due on 
the deposit for volunteer or volunteer leader service as a result of 
its administrative error. OPM may pay any additional interest due on 
the deposit for VISTA service as a result of its administrative error.
    (b) The agency, Clerk of the House of Representatives, or Secretary 
of the Senate, as appropriate, shall set their own procedures for 
employees or Members to claim there was administrative error. OPM shall 
set its own procedures for claims of administrative error on its part.
    (c) The agency, Clerk of the House of Representatives, or Secretary 
of the Senate, as appropriate, shall determine if administrative error 
on its part caused an increase in interest due on the deposit amount. 
OPM shall determine if administrative error on its part caused an 
increase in interest due on the deposit amount.

[[Page 20440]]

    (d) OPM's final determination regarding a claim of administrative 
error on its part is not subject to the due process procedures 
described in 5 U.S.C. 8461(e).

[FR Doc. 2021-07545 Filed 4-19-21; 8:45 am]
BILLING CODE 6325-38-P


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