5 U.S.C. § 4505a — Performance-based cash awards

Page 492 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 4505 which he is employed. Generally, not more than five awards shall be made in any one year. Presentation of the award shall be made at such times as the President may determine. SEC. 3. The Director of the Office of Personnel Man- agement shall advise and assist the President in select- ing persons to receive this award. In performing this function, the Director shall carefully review nomina- tions submitted pursuant to the provisions of Section 4 of this Order and decide which of them, if any, warrant presentation to the President. The Director shall there- upon transmit to the President the names of those per- sons who, in the opinion of the Director, merit the award, together with a statement of the reasons there- for. Recipients for the award shall be selected by the President. SEC. 4. The form and procedures for making nomina- tions for this award shall be prescribed by the Director of the Office of Personnel Management, in accord with the following principles: (a) The Director shall be guided in the performance of this function by the provisions of Section 4504 and 4505 of Title 5 of the United States Code, and by additional criteria which the Director may prescribe. (b) The Director shall not recommend any person for the award without the concurrence of the head of the agency in which that person was employed at the time of the achievement for which the award is rec- ommended. (c) Persons appointed by the President are not eligi- ble for this award unless, in the opinion of the Office, they are currently serving in a career position. § 4505. Awards to former employees An agency may pay or grant an award under this subchapter notwithstanding the death or separation from the service of the employee con- cerned, if the suggestion, invention, superior ac- complishment, other personal effort, or special act or service in the public interest for which the award is proposed was made or performed while the employee was in the employ of the Government. (Pub. L. 89–554, Sept. 6, 1966, 80 Stat. 443; Pub. L. 97–35, title XVII, § 1703(b)(2), Aug. 13, 1981, 95 Stat. 756.) HISTORICAL AND REVISION NOTES Derivation U.S. Code Revised Statutes and Statutes at Large .................. 5 U.S.C. 2123(c). Sept. 1, 1954, ch. 1208 § 304(c), 68 Stat. 1113. The words ‘‘or grant’’ are added for clarity. Standard changes are made to conform with the defi- nitions applicable and the style of this title as outlined in the preface to the report. Editorial Notes AMENDMENTS 1981—Pub. L. 97–35 substituted ‘‘subchapter’’ for ‘‘chapter’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1981 AMENDMENT Amendment by Pub. L. 97–35 effective Oct. 1, 1981, see section 1703(c) of Pub. L. 97–35, set as a note under sec- tion 4501 of this title. § 4505a. Performance-based cash awards (a)(1) An employee whose most recent per- formance rating was at the fully successful level or higher (or the equivalent thereof) may be paid a cash award under this section. (2) A cash award under this section shall be equal to an amount determined appropriate by the head of the agency, but may not be more than 10 percent of the employee’s annual rate of basic pay. Notwithstanding the preceding sen- tence, the agency head may authorize a cash award equal to an amount exceeding 10 percent of the employee’s annual rate of basic pay if the agency head determines that exceptional per- formance by the employee justifies such an award, but in no case may an award under this section exceed 20 percent of the employee’s an- nual rate of basic pay. (b)(1) A cash award under this section shall be paid as a lump sum, and may not be considered to be part of the basic pay of an employee. (2) The failure to pay a cash award under this section, or the amount of such an award, may not be appealed. The preceding sentence shall not be construed to extinguish or lessen any right or remedy under subchapter II of chapter 12, chapter 71, or any of the laws referred to in section 2302(d). (c) The Office of Personnel Management shall prescribe such regulations as it considers nec- essary for the administration of subsections (a) and (b). (d) The preceding provisions of this section shall be applicable with respect to any employee to whom subchapter III of chapter 53 applies, and to any category of employees provided for under subsection (e). (e) At the request of the head of an Executive agency, the President may authorize the appli- cation of subsections (a) through (c) with re- spect to any category of employees within such agency who would not otherwise be covered by this section. (Added Pub. L. 101–509, title V, § 529 [title II, § 207(a)], Nov. 5, 1990, 104 Stat. 1427, 1457; amend- ed Pub. L. 102–378, § 2(19), Oct. 2, 1992, 106 Stat. 1347; Pub. L. 108–411, title III, § 301(c), Oct. 30, 2004, 118 Stat. 2317; Pub. L. 115–73, title I, § 107(a)(2)(A), Oct. 26, 2017, 131 Stat. 1239; Pub. L. 115–91, div. A, title X, § 1097(b)(3)(A), Dec. 12, 2017, 131 Stat. 1617.) Editorial Notes AMENDMENTS 2017—Subsec. (b)(2). Pub. L. 115–91 substituted ‘‘sec- tion 2302(d)’’ for ‘‘section 2302(c)’’. Pub. L. 115–73 substituted ‘‘section 2302(c)’’ for ‘‘sec- tion 2302(d)’’. 2004—Subsec. (a)(2). Pub. L. 108–411 struck out subpar. (A) designation before ‘‘A cash award under’’ and struck out subpar. (B) which read as follows: ‘‘For pur- poses of computing a percentage of a rate of basic pay under subparagraph (A), the rate of basic pay used shall be determined without taking into account any com- parability payment under section 5304.’’ 1992—Subsec. (b)(2). Pub. L. 102–378, § 2(19)(A), inserted reference to chapter 71. Subsec. (c). Pub. L. 102–378, § 2(19)(B), inserted ‘‘of Personnel Management’’ after ‘‘Office’’. Subsecs. (d), (e). Pub. L. 102–378, § 2(19)(C), added sub- secs. (d) and (e) and struck out former subsec. (d) which read as follows: ‘‘At the request of the head of an Exec- utive agency, the President may authorize the applica- tion of the preceding provisions of this section with re- spect to 1 or more categories of employees within such Page 493 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 4507 agency who would not otherwise be covered by this sec- tion (including authority under subsection (c) to pre- scribe any necessary regulations).’’ Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2004 AMENDMENT Amendment by Pub. L. 108–411 effective on the first day of the first applicable pay period beginning on or after the 180th day after Oct. 30, 2004, with provisions relating to conversion rules, see section 301(d) of Pub. L. 108–411, set out as a note under section 5363 of this title. EFFECTIVE DATE OF 1992 AMENDMENT Amendment by Pub. L. 102–378 effective May 4, 1991, see section 9(b)(4) of Pub. L. 102–378, set out as a note under section 6303 of this title. EFFECTIVE DATE Section effective on such date as the President shall determine, but not earlier than 90 days, and not later than 180 days, after Nov. 5, 1990, see section 529 [title III, § 305] of Pub. L. 101–509, set out as an Effective Date of 1990 Amendment note under section 5301 of this title. Executive Documents DELEGATION OF FUNCTIONS Authority of President under subsec. (e) of this sec- tion delegated to Director of Office of Personnel Man- agement by Ex. Ord. No. 12828, § 1(2), Jan. 5, 1993, 58 F.R. 2965, set out as a note under section 3502 of this title. EX. ORD. NO. 13415. ASSIGNMENT OF CERTAIN PAY- RELATED FUNCTIONS Ex. Ord. No. 13415, Dec. 1, 2006, 71 F.R. 70641, provided: By the authority vested in me as President by the Constitution and the laws of the United States of America, including section 301 of title 3, United States Code, it is hereby ordered as follows: SECTION 1. Assignment of Functions. The functions of the President under sections 4505a, 5305, and 5377 of title 5, United States Code, are assigned to the Director of the Office of Personnel Management. SEC. 2. Revocations. (a) [Amended Ex. Ord. No. 12748, set out as a note under section 5301 of this title.] (b) [Amended Ex. Ord. No. 12828, set out as a note under section 3502 of this title.] SEC. 3. General Provision. This order is not intended to, and does not, create any right or benefit, sub- stantive or procedural, enforceable at law or in equity against the United States, its departments, agencies, entities, officers, employees, or agents, or any other person. GEORGE W. BUSH. § 4506. Regulations The Office of Personnel Management shall pre- scribe regulations and instructions under which the awards programs set forth by this sub- chapter shall be carried out. (Pub. L. 89–554, Sept. 6, 1966, 80 Stat. 443; Pub. L. 95–454, title V, § 503(d), Oct. 13, 1978, 92 Stat. 1184; Pub. L. 97–35, title XVII, § 1703(b)(2), Aug. 13, 1981, 95 Stat. 756; Pub. L. 107–67, title VI, § 641(b), Nov. 12, 2001, 115 Stat. 555.) HISTORICAL AND REVISION NOTES Derivation U.S. Code Revised Statutes and Statutes at Large .................. 5 U.S.C. 2121 (1st 29 words). Sept. 1, 1954, ch. 1208, § 302 (1st 29 words), 68 Stat. 1112. Standard changes are made to conform with the defi- nitions applicable and the style of this title as outlined in the preface to the report. Editorial Notes AMENDMENTS 2001—Pub. L. 107–67 substituted ‘‘the awards pro- grams’’ for ‘‘the agency awards program’’. 1981—Pub. L. 97–35 substituted ‘‘subchapter’’ for ‘‘chapter’’. 1978—Pub. L. 95–454 substituted ‘‘Office of Personnel Management shall’’ for ‘‘Civil Service Commission may’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2001 AMENDMENT Pub. L. 107–67, title VI, § 641(d), Nov. 12, 2001, 115 Stat. 555, provided that: ‘‘The amendments made by this sec- tion [enacting section 4507a of this title and amending this section] shall take effect for awards granted in 2003.’’ EFFECTIVE DATE OF 1981 AMENDMENT Amendment by Pub. L. 97–35 effective Oct. 1, 1981, see section 1703(c) of Pub. L. 97–35, set out as a note under section 4501 of this title. EFFECTIVE DATE OF 1978 AMENDMENT Pub. L. 95–454, title V, § 504(a), Oct. 13, 1978, 92 Stat. 1184, provided that amendment by Pub. L. 95–454 was ef- fective on first day of first applicable pay period which began on or after Oct. 1, 1981, except it could take effect with respect to any category or categories of positions before such day to extent prescribed by Director of Of- fice of Personnel Management. § 4507. Awarding of ranks in the Senior Execu- tive Service (a) For the purpose of this section, ‘‘agency’’, ‘‘senior executive’’, and ‘‘career appointee’’ have the meanings set forth in section 3132(a) of this title. (b) Each agency shall submit annually to the Office recommendations of career appointees in the agency to be awarded the rank of Meri- torious Executive or Distinguished Executive. The recommendations may take into account the individual’s performance over a period of years. The Office shall review such recommenda- tions and provide to the President recommenda- tions as to which of the agency recommended appointees should receive such rank. (c) During any fiscal year, the President may, subject to subsection (d) of this section, award to any career appointee recommended by the Of- fice the rank of— (1) Meritorious Executive, for sustained ac- complishment, or (2) Distinguished Executive, for sustained extraordinary accomplishment. A career appointee awarded a rank under para- graph (1) or (2) of this subsection shall not be en- titled to be awarded that rank during the fol- lowing 4 fiscal years. (d) During any fiscal year— (1) the number of career appointees awarded the rank of Meritorious Executive may not ex- ceed 5 percent of the Senior Executive Service; and (2) the number of career appointees awarded the rank of Distinguished Executive may not