[Federal Register Volume 62, Number 57 (Tuesday, March 25, 1997)]
[Rules and Regulations]
[Pages 14188-14189]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-7380]
[[Page 14187]]
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Part III
Office of Personnel Management
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5 CFR Part 591
Cost-of-Living Allowances (Nonforeign Areas); Interim Rule
Report on 1996 Surveys Used to Determine Cost-of-Living Allowances in
Nonforeign Areas; Notice
Federal Register / Vol. 62, No. 57 / Tuesday, March 25, 1997 / Rules
and Regulations
[[Page 14188]]
OFFICE OF PERSONNEL MANAGEMENT
5 CFR Part 591
RIN 3206-AH07
Cost-of-Living Allowances (Nonforeign Areas)
AGENCY: Office of Personnel Management.
ACTION: Interim rule.
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SUMMARY: The Office of Personnel Management (OPM) is publishing
interim regulations that will increase cost-of-living allowance (COLA)
rates paid to General Schedule, U.S. Postal Service, and certain other
Federal employees in Kauai County, Hawaii, and the U.S. Virgin Islands.
These increases result from cost-of-living surveys conducted in Hawaii,
Alaska, Puerto Rico, the U.S. Virgin Islands, and Guam and the
Commonwealth of the Northern Mariana Islands by Runzheimer
International under contract with OPM. The full results of the cost-of-
living surveys are contained in the survey report, which appears after
this interim rule in today's Federal Register. Because it has taken
longer than expected to complete these surveys and calculate the
living-cost indexes, OPM is issuing this interim rule, which is
effective immediately, to implement the COLA rate increases. In the
future, as in the past, OPM plans to announce COLA rate adjustments in
a proposed rule for public notice and comment.
DATES: Effective date: March 25, 1997. Implementation date: The rate
increases authorized by these regulations are to be applied as of the
first day of the first pay period beginning on or after March 25, 1997.
Comment date: Comments must be received on or before June 23, 1997.
ADDRESSES: Send or deliver comments to Donald J.Winstead, Assistant
Director for Compensation Policy, Human Resources Systems Service,
Office of Personnel Management, Room 6H31, 1900 E Street NW.,
Washington, DC 20415, or FAX comments to (202) 606-4264, or email
comments over the Internet to cola@opm.gov.
FOR FURTHER INFORMATION CONTACT: Donald L. Paquin, (202) 606-2838.
SUPPLEMENTARY INFORMATION: Under section 5941 of title 5, United States
Code, certain Federal employees in nonforeign areas outside the 48
contiguous States are eligible for cost-of-living allowances (COLA's)
when local living costs are substantially higher than those in
Washington, DC. Nonforeign area COLA's are currently paid in the
following locations: Alaska, Hawaii, Puerto Rico, Guam and the
Commonwealth of the Northern Mariana Islands, and the U.S. Virgin
Islands.
OPM contracted with Runzheimer International to conduct living-cost
surveys in all of the nonforeign allowance areas. During February 1996,
Runzheimer surveyed Alaska, Hawaii, Guam, Puerto Rico, and the U.S.
Virgin Islands. Runzheimer also surveyed the Washington, DC, area,
which is the base or reference area for living-cost comparisons. OPM is
publishing a separate Federal Register notice immediately following
this rulemaking that provides the complete ``Report On 1996 Surveys
Used to Determine Cost-of-Living Allowances in Nonforeign Areas.'' This
report explains the methodology, procedures, and results of the 1996
living-cost surveys.
The increases in COLA rates are summarized in the following table:
Increases in Cola Rates
------------------------------------------------------------------------
Current New
Allowance area/category rate rate
------------------------------------------------------------------------
County of Kauai, Hawaii
All employees...................................... 20.0 22.5
U.S. Virgin Islands
All employees...................................... 17.5 20.0
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OPM is adjusting only those rates that have increased. Rates that
would have otherwise decreased will remain unchanged, as required by a
provision in the Treasury, Postal Service, and General Government
Appropriations Act, 1992 (Pub. L. 102-141), as amended.
Application of 5 U.S.C. 553
Pursuant to paragraphs (b)(3)(B) and (d)(3) of 553 of title 5 of
the United States Code, OPM finds that good cause exists to waive the
publication of proposed rulemaking and the 30- day deferment of
effective date. Because it has taken longer than expected to complete
these surveys and calculate the living-cost indexes, OPM believes it is
in the public interest to implement the COLA rate increases
immediately. In the future, as in the past, OPM plans to announce COLA
rate adjustments in a proposed rule for notice and comment.
Implementation of rate changes
For administrative purposes, the rate increases authorized by
these regulations will be applied as of the first day of the first pay
period beginning on or after [Insert date of publication in the Federal
Register.]
Regulatory Flexibility Act
I certify that this regulation will not have a significant
economic impact on a substantial number of small entities because the
regulation will affect only Federal agencies and employees.
List of Subjects in 5 CFR Part 591
Government employees, Travel and transportation expenses, Wages.
Office of Personnel Management.
James B. King,
Director.
Accordingly, OPM is amending 5 CFR part 591 as follows:
PART 591--ALLOWANCES AND DIFFERENTIALS
Subpart B--Cost-of-Living Allowance and Post Differential--Nonforeign
Areas
1. The authority citation for subpart B of part 591 continues to
read as follows:
Authority: 5 U.S.C. 5941; E.O. 10000, 3 CFR, 1943-1948 Comp., p.
792; E.O. 12510, 3 CFR, 1985 Comp., p. 338.
2. Appendix A of subpart B is revised to read as follows:
Appendix A of Subpart B--Places and Rates at Which Allowances Shall Be
Paid
This appendix lists the places where a cost-of-living allowance
has been approved and shows the allowance rate to be paid to
employees along with any special eligibility requirements for the
allowance payment. The allowance percentage rate shown is paid as a
percentage of an employee's rate of basic pay.
------------------------------------------------------------------------
Authorized
allowance
Geographic coverage/ allowance category rate
(percent)
------------------------------------------------------------------------
State of Alaska
City of Anchorage and 80-kilometer (50-mile) radius by
road:
All Employees....................................... 25.0
City of Fairbanks and 80-kilometer (50-mile) radius by
road:
All Employees....................................... 25.0
City of Juneau and 80-kilometer (50-mile) radius by
road:
All Employees....................................... 25.0
Rest of the State:
All Employees....................................... 25.0
State of Hawaii
City and County of Honolulu:
All Employees....................................... 22.5
County of Hawaii:
All Employees....................................... 15.0
County of Kauai:
All Employees....................................... 22.5
[[Page 14189]]
County of Maui and County of Kalawao:
All Employees....................................... 22.5
Territory of Guam and Commonwealth of the Northern Mariana
Islands
All Locations:
Local Retail........................................ 22.5
Commissary/Exchange................................. 20.0
Commonwealth of Puerto Rico
All Employees....................................... 10.0
U.S. Virgin Islands
All Employees....................................... 20.0
------------------------------------------------------------------------
Definitions of Allowance Categories
The following are definitions of the allowance categories used
in the tables in this appendix.
All Employees: This category covers all Federal employees
eligible for an allowance under 5 U.S.C. 5941.
Local Retail: This category covers all Federal employees
eligible for an allowance who do not have unlimited access to
commissary and exchange facilities by virtue of their Federal
civilian employment.
Commissary/Exchange: This category covers all Federal
employees eligible for an allowance who have unlimited access to
commissary and exchange facilities by virtue of their Federal
civilian employment.
NOTE: Eligibility for access to military commissary and exchange
facilities is determined by the appropriate military department. If
an employee is furnished with these privileges for reasons
associated with his or her Federal civilian employment, he or she
will receive an identification card that authorizes access to such
facilities. Possession of such an identification card is sufficient
evidence that the employee uses the facilities.
[FR Doc. 97-7380 Filed 3-24-97; 8:45 am]
BILLING CODE 6325-01-F