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Federal Managers Association

Washington Report

March 24, 2008

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Untitled Document

FMA WORKING FOR YOU!

BILL CREDITING FERS EMPLOYEES FOR SICK LEAVE INTRODUCED!

Over the past several months, the Federal Managers Association (FMA) has been working with Congressman Jim Moran (D-Va.) and his staff to introduce legislation which would credit employees under the Federal Employees Retirement System (FERS) for unused sick leave at the time of retirement. During FMA’s 70th annual National Convention, Congressman Moran unveiled the details of his proposal.

The bill, H.R. 5573, would provide FERS employees with a lump sum payment at the time of retirement for accumulated sick leave. Currently, FERS employees do not receive any credit for sick leave, while employees under the Civil Service Retirement System (CSRS) are able to convert unused sick leave at retirement into an increase in their annual annuity.

“Our current use-it or lose-it system under FERS hurts productivity and increases training costs,” said Moran. “We need to be incentivizing the accrual of sick leave, not keeping a policy in place that encourages people to call in sick in the weeks leading up to retirement. OPM estimates that this flawed policy is costing taxpayers $68 million per year.” 

Under the legislation, employees would receive a cash payout worth 15 percent of all the accrued sick leave at their final salary up to $10,000. A minimum of 500 hours is necessary to receive the payment in order to encourage employees to save a bank of leave in the event of a short-term disability.

“The cost of sick leave used by federal employees continues to rise, and the loss of productivity becomes more apparent as there is no incentive for federal employees to conserve sick leave,” commented FMA National President Darryl Perkinson. “By placing a value on sick leave, FERS employees are encouraged to use their leave responsibly. I thank Congressman Moran for recognizing the problem manager’s face and acting to correct it.”

For more information on the legislation, please visit: thomas.loc.gov.

70TH ANNUAL NATIONAL CONVENTION REACHES NEW HEIGHTS

The Federal Managers Association’s (FMA) 70th annual National Convention and Management Training Seminar was held the week of March 9 in Arlington, Virginia. This year’s Convention theme, Empowering America’s Workforce to Meet the Challenges of Today, Tomorrow and Beyond, addressed the current dilemmas confronting federal managers and how managers can optimize these challenges to establish a better tomorrow.

The Convention kicked off with a keynote address by Representative Jim Moran (D-Va.) discussing the current and future state of America, as well as his new Federal Employee Retirement System (FERS) sick leave legislation (H.R. 5573), cosponsored by Representatives Tom Davis (R-Va.) and Frank Wolf (R-Va.).

The remainder of the first day focused on internal business including discussion on membership and the direction of the association. FMA National President Darryl Perkinson and FMA National Secretary Dick Oppedisano were unanimously reelected to serve another two year term. Several Capitol Hill staffers joined the group to give attendees insights on the best methods to effectively communicate FMA’s legislative priorities to Members of Congress and congressional staffers.

Patricia McGinnis, President and CEO of the non-partisan Council for Excellence in Government delivered the keynote address on Tuesday, beginning the Management Training Seminar. McGinnis discussed various ways to improve government performance. Following McGinnis, Mark Leheney from Management Concepts shared his Five Commitments of a Leader to ensure success for the self, an employer and the public. Ms. Trish Zemple, Associate Director for the Program Services Division at the U.S. Office of Government Ethics presented next, raising awareness of ethics in the federal workplace and building an ethical culture. Topics of interest by the members present were the federal law that delineates federal employee political activities in the workplace, the Hatch Act, and limitations on receiving gifts.

In the afternoon, training continued with consecutive panel discussions. The National Older Worker Career Center (NOWCC) organized a panel to discuss the looming retirement tsunami in the federal government by casting it as an opportunity, not a catastrophe. The discussion was poignantly entitled, Workforce Trends: the Upside to Our Silver Tsunami. Greg Merrill, President and CEO of NOWCC; Al Ressler, Human Resources Director for non-appropriated fund employees at the U.S. Army base, Fort Belvoir in Virginia; Dr. Joel Reaser, NOWCC’s Senior Vice President for Business Operations and Strategies; and Jack Everett, NOWCC’s Corporate Vice-President and Director of Eastern Field Operations highlighted the number of federal employees eligible to retire and emphasized the Office of Personnel Management’s (OPM) warning that 193,000 mission-critical federal employees will be eligible for retirement in the next two years. The NOWCC panelists reiterated the need to fill federal jobs with experienced workers and to view retirees as a solution to the human capital crisis.

Closing out the day was a panel discussion on performance-based pay systems at various federal agencies. An eclectic collection of agencies were represented on the panel which included: John Crum, Acting Director, Policy and Evaluation, U.S. Merit Systems Protection Board (MSPB); Robert Kirkner, Chief Human Capital Officer, National Institute of Standards and Technology (NIST); Mary Lacy, Program Executive Officer, National Security Personnel System (NSPS); Kevin Mahoney, Associate Director, Center for Merit System Accountability, Human Capital Leadership and Merit System Accountability, Office of Personnel Management (OPM); and, Richard Whitford, Assistant Administrator for Human Capital, Transportation Security Administration (TSA). The panel elaborated on the variety of approaches agencies may embark upon to create a performance-based pay system. The audience was engrossed in the discussion with the majority of the queries and comments concerning pay-for-performance based pay systems were directed toward Ms. Lacey.

Wednesday ushered in FMA’s annual advocacy day, Day on the Hill, and as usual, it was a great success with participants. FMA’s national advocacy day allows members to bring FMA’s concerns to their representatives on Capitol Hill where they have the opportunity to engage policymakers on national and local issues. The day came to a close with a reception held by FMA’s political action committee.

The Convention closed on Thursday, March 13, but not before finishing up crucial business. The day began with a discussion on retirement planning led by Tony Nichols from Benefit Planning, Inc. The presentation was geared toward federal employees with an emphasis on estate planning. Afterwards, FMA’s Public Relations & Marketing Director Todd Wells and Greg Little from One Big Planet unveiled FMA’s latest member benefit. The new venture allows members the opportunity to obtain discounts on movie tickets, restaurants, vacation packages, airline tickets, tires and much more. Thousands of retailers from large multi-nationals to local businesses are participating in the program.

At the annual awards luncheon, FMA National President Perkinson and FMA National Secretary Oppedisano honored three recipients with the association’s most prestigious awards:

  • Chapter 187, led by Chapter President Michael FitzGerald –The President’s Award for Outstanding Chapter:
  • Jim Mahlmann , FMA National Vice President – The O’Dell Green Award for Outstanding General Executive Board Member; and,
  • Tom Butler, Chapter 14 – The Gil Guidry winner for Outstanding Chapter President.

The momentum from this year’s Convention will undoubtedly carry over into the Mid-Year Conference. Information on FMA’s 17th annual Mid-Year Conference in Philadelphia, from August 6 - 9, 2008, will be available at www.fedmanagers.org/.

ETHICS FORUM REVEALS THE DOS AND DON’TS FOR FEDS

The Coalition for Effective Change (CEC), of which the Federal Managers Association (FMA) is a member, held a free ethics forum open to FMA members and the public on March 19th. The half day event held at the National Academy for Public Administration in Washington, D.C had federal employees from various agencies and members of CEC affiliated associations in attendance.

Featured lecturers included Marilynn Glenn, General Counsel for the Office of Government Ethics, who focused her lecture on how administrations transition to power. Ana Galindo-Marrone, Chief of the Hatch Act Unit at the Office of Special Counsel (OSC) gave a presentation on the Hatch Act and relayed to the conferees their rights and limitations as federal employees to participate in political campaigns and their rights in the workplace under the Act. She informed the audience that a majority of federal employees are able to participate in partisan campaigns as long as it is on their own time and without the use of any federal resources. Galindo-Marrone specified that federal employees can only solicit donations from federal employees if an employee belongs to a federal association that has a political action committee (PAC) predating 1993 (the year the Act was amended). Ms. Galindo-Marrone cited numerous examples emphasizing the various activities that can be construed as a violation of the Hatch Act. When in doubt, Galindo-Marrone implored members to consult OSC.

The event concluded with a panel discussion on special ethics situations for associations and their members. Bill Bransford, General Counsel of the Senior Executives Association, Bill Hughes, General Counsel of the National Association of Federal Veterinarians, and, Ed Swindell, Designated Agency Ethics Official, Department of Health and Human Services, participated on the panel. All of these organizations offered their respective perspectives on associations and agency ethics officials.

The Coalition for Effective Change was formed in 1993 as a non-partisan alliance of associations representing current and retired federal managers, executives, and professionals. CEC provides a channel for these public employees to contribute to the success of improving government. CEC meets with executive branch officials to discuss efforts to improve government. CEC shares information with Congress and works with others on initiatives for government wide change. For more information on the Coalition, please visit: http://www.effective-change.org/.

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WHAT’S HAPPENING ON CAPITOL HILL?

CONGRESS BUCKS PRESIDENT, PROPOSES PAY PARITY IN FY09

Last month, President Bush proposed a 2.9 percent pay increase for civilian employees in fiscal year 2009, while supporting a 3.4 percent increase for members of the Armed Forces.

Several Members of Congress from the Washington, D.C. metro area asked the President to stand by the principle of pay parity when crafting his FY09 budget. After the President’s budget was released, House Majority Leader Steny Hoyer (D-Md.) commented, “It is indefensible that the administration would propose a sharply lower adjustment for Federal civilian workers than for uniformed personnel serving in non-combat conditions. The proposed 2.9 percent is simply insufficient to ensure that civilian employees receive a fair base increase in 2009 as well as additional adjustments – where necessary – to reflect their employment in expensive regions of the United States.” 

Following in the footsteps of the majority leader, the fiscal year 2009 budget resolution (H.Con.Res. 312), recently passed by the House of Representatives, and included language stating the nation’s civilian and military workers should be compensated equally. The measure, however, was silent on the amount of the pay raise.

“Hard-working federal employees should be not be given the message their contribution means less to this nation than their military counterparts,” commented FMA National President Darryl Perkinson. “I want to thank the members of the Budget Committee and the entire House for recognizing the value of America’s workforce.”

SSA RECEIVES NECESSARY FUNDING BOOST IN BUDGET

Recognizing the needs of the Social Security Administration (SSA) and its goals to decrease the current disability case backlog, the House of Representatives recommended funding for the agency above that of the President’s request in the House budget resolution (H.Con.Res. 312).

In his Budget of the United States Government, Fiscal Year 2009, the President proposed $10.327 billion for the Social Security Administration’s Limitation on Administrative Expenses. This is a $580 million increase (or six percent) over what Congress appropriated for FY08.

At a budget briefing for selection organizations including the Federal Managers Association, SSA agency officials, along with Commissioner Michael Astrue, told the group that the President’s budget would allow the agency to hire 243 additional full time equivalents (EFTs), in addition to the 175 Administrative Law Judges (ALJs) SSA plans to hire in FY08. SSA has lost 4,000 positions in just the past two years.

“Currently in the Office of Disability Adjudication and Review, there exists a backlog of over 750,000 requests for a hearing, an increase of over 300,000 since 2000,” commented FMA National President Darryl Perkinson. “Processing times for disability hearings have grown by 200 days during the same period. The primary reason for the current state of SSA is insufficient staffing to handle the increase in cases.”

Going a step further to reducing the backlog, the House budget resolution provided an additional $240 million for SSA administrative expenses. “Any additional increase in funding will allow the agency to make further gains in reducing this backlog. I applaud the House for recognizing the agency’s needs and urge the Appropriations Committees to follow suit,” Perkinson went on to say.

OVERSIGHT COMMITTEE HOLDS HEARING ON PARENTAL LEAVE

The House Oversight and Government Reform Subcommittee on the Federal Workforce, Postal Service and the District of Columbia held a hearing on March 6 on the parental leave policies for Executive and Legislative Branch employees. The Subcommittee began the hearing discussing the merits of H.R. 3799, the Federal Employees Paid Parental Leave Act, introduced by Representative Carolyn Maloney (D-N.Y.). The legislation would provide eight weeks of paid leave for the birth or adoption of a child. Chairman Danny Davis (D-Ill.) lamented in his opening statement, “The United States is far behind the world in offering paid leave for parents: 168 countries offer guaranteed paid leave to women in connection with childbirth; 98 of these countries offer 14 or more weeks paid leave. The United States guarantees no paid leave for mothers in any segment of the work force.”

After Chairman Davis delivered his statement, Mr. Daniel Beard, Chief Administrative Officer of the U.S. House of Representatives offered the Legislative Branch’s perspective on paid parental leave for federal employees. Mr. Beard cited a strong employee benefits package as essential to recruiting the best and the brightest. He remarked that benefits will not affect budgets because “salary budgets remain the same whether an employee takes leave or not. The pay for that employee has already been included in the budget.” Legislative offices will not be affected by the legislation.

Associate Director for Strategic Human Resources Policy Nancy Kichak from the Office of Personnel Management (OPM) offered another option in lieu of paid parental leave. Ms. Kichak discussed the current parental leave opportunities afforded to federal employees, highlighting that federal employees may use up to 12 weeks of accrued sick leave in a year to cover the following events - care for a family member, pregnancy, childbirth and adoption are included in the definition of a serious health condition. “We recognize that there is one missing piece [. . . which] is income support for employees who experience short-term disabilities early in their careers, before they have been able to accumulate sufficient sick and annual leave to meet their needs.” OPM’s approach to parental leave is the creation of a short-term disability insurance (SDI) program for federal employees at an approximate cost of $40 per pay period.

Labor unions were asked to offer their perspective on the issue of paid parental leave and SDI. National Treasury Employees Union (NTEU) President Colleen Kelley and the American Federation of Government Employees (AFGE) First Executive Vice President Mary Jean Burke both agreed that paid parental leave and SDI programs should be offered to federal employees but are concerned by the cost of SDI with the outcome of an under-utilized program. Both union representatives were concerned with the current policy of leave advanced to federal employees who do not have enough for emergencies and are concerned about some employees’ ability to accumulate leave once they have a deficit.

Currently, the Family Medical Leave Act (FMLA) enacted in 1993 allows federal employees 12 weeks of job-protected unpaid leave for the birth or an adoption of a child. Federal employees reserve the right to utilize annual leave, sick-leave, voluntary leave transfer program, agency leave bank programs, and advances on leave. Chairman Davis stated he will offer an amendment requesting the Government Accountability Office (GAO) study the feasibility of providing disability insurance to federal employees, which would cover paid time off for employees caring for a spouse, child, or parent that has a serious health condition.

Also at the hearing, Chairman Davis announced his intention to introduce legislation that will extend the maximum age to qualify for coverage for dependents under the Federal Employees Health Benefits Program (FEHBP) from 22 to 25 years of age. Davis’ rationale for this endeavor was the fact that “twenty-two year olds face waiting periods, temporary positions, and lower wage jobs as they enter the job market. Health care is not available to them at a price they can afford.” He introduced H.R. 5550 to address this matter on the day of the Subcommittee hearing.

Please visit http://thomas.loc.gov/ for more information.

BUDGET FIGHT CONTINUES BETWEEN CONGRESS AND PRESIDENT

As President Bush nears the end of his second term, the Administration’s budget priorities will experience a challenge from a Congress that is aware of the Administration’s looming expiration date: January 20, 2009.

On March 13, the House of Representatives voted 212-207 on its version of the budget (H. Con. Res. 312) without a single Republican supporting the measure. Domestic spending initiatives received more attention by the Democratic controlled House. Funding for veterans is expected to reach $3.6 billion or eight percent above current levels. The House also rejected the President’s budget cuts of $479 billion to Medicare and $94 billion to Medicaid over a ten year period. The House approved $7.1 billion above the President’s request for education, job training and social service programs in 2009. The budget calls for an additional $50 billion into the Children’s Health Insurance Program (CHIP) for uninsured children. House Majority Leader Steny Hoyer (D-Md.) epitomized the chasm between the President’s priorities and the budget passed by the House, “The President’s budget policies are deeply misguided and make harmful cuts to critical areas such as state and local law enforcement, health care, and veterans and military retirees. Democrats reject those cuts, and are instead offering a budget that invests in education, innovation, energy, and infrastructure.”

After a fifteen hour debate on the same day, the Senate voted 51-44 mostly on party lines to approve a non-binding $3 trillion budget (S. Con. Res. 70) for the year beginning October 1, 2008. After the Senate passed its budget resolution, Senate Budget Committee Chairman Kent Conrad (D-N.D.) remarked, “[The budget] responds to the current economic downturn by providing additional stimulus for the economy and tax cuts for middle class families. And it creates the building blocks for future economic growth by making the needed investments in energy, education, infrastructure, and health care.” The Senate version mirrors the House version in many areas. The Senate version calls for a $3.5 billion increase over the President’s request to develop clean, domestic and renewable energy sources, a $5.7 billion increase over the President’s request for the Department of Education and Head Start program, and a hefty boost in veterans’ funding to the tune of $3.2 billion above the White House request.

The White House disagreed with the Democrats approach to the budget. Office of Management and Budget (OMB) Director Jim Nussle likened the Democrat’s budget to “more of the same – tax hikes and higher spending.”

Both House and Senate budgets, plus the President’s spending request, claim to end budget deficits by 2012. These budgets fail to consider the long-term cost of the combat operations in Afghanistan and Iraq. Intentions and outcomes do not always work in tandem, considering the differing priorities of the Congress and the President.

Please visit http://thomas.loc.gov/ for more information on the House and Senate budget resolutions. The President’s budget information can be obtained at http://www.whitehouse.gov/omb/.

NEW FACE AT THE IRS

On March 14, the Senate unanimously confirmed Douglas Shulman to serve as the next Commissioner of the Internal Revenue Service (IRS) at the Department of Treasury. President Bush nominated Shulman on November 21, 2007 for the five year appointment. Shulman previously served as the Vice Chairman of the Financial Industry Regulatory Authority, previously known as the National Association of Securities Dealers. Earlier in his career, he served as Vice President of Darby Overseas Investments. Prior to this he served as Senior Policy Advisor and later Chief of Staff of the bipartisan National Commission on Restructuring the Internal Revenue Service. Mr. Shulman received his bachelor's degree from Williams College, his master's degree from the John F. Kennedy School of Government at Harvard University and his J.D. from Georgetown University Law Center.

“Millions of Americans – including our senior citizens and disabled veterans – are counting on Mr. Shulman to oversee the distribution of economic stimulus checks right and right away,” said Senate Finance Committee Chairman Max Baucus (D-Mont.) after the confirmation. “Members of Congress are ready for a new and willing leader at the IRS who will seek to improve service to all taxpayers, and to tackle the tax administration issues that leave our country running in the red. I not only wish Mr. Shulman luck in his new position, I also promise that the Finance Committee will work with him to make the IRS a more efficient, effective, and responsive operation for all our citizens.”

For more information on Commissioner Shulman visit: www.irs.gov.

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WHAT’S NEW IN THE EXECUTIVE BRANCH?

OPM PROPOSES SHORT-TERM DISABILITY INSURANCE FOR FEDS

The Office of Personnel Management (OPM) recently submitted a proposal to Congress which would provide federal employees an opportunity to purchase short-term disability insurance in the event of an injury or illness which temporarily prevents them from performing their normal job duties. Under the proposal, participation would be voluntary and insurance premiums would be fully paid by the employee.

"If we are to maintain an efficient and effective Federal workforce, it is imperative to ensure workers are protected in the unlikely event of a short-term disability," OPM Director Linda Springer said of the proposal. "Health care costs can be economically devastating to many employees, especially those who have not yet accumulated sufficient sick and annual leave."

At a recent hearing in the House of Representatives, OPM detailed the plan, saying it would most likely cost the employee $40 per pay period, or roughly $1000 a year. Since the employee would pay for 100 percent of the premiums, the program would cost the federal government nothing, as opposed to parental leave benefits being pushed by some Members of Congress.

For more information on the proposal, please visit: www.opm.gov.

THRIFT SAVINGS PLAN CHANGES GAINING MOMENTUM

In a recent letter to Thrift Savings Board (TSP) participants, Executive Director Gregory Long detailed the Federal Retirement Thrift Investment Board’s plan to curb frequent trading, and the subsequent costs incurred, by limiting interfund transfers to two per month. The proposed changes were published in the Federal Register on March 10 and comments can be made until April 9, 2008.

By way of background, in 2006, the TSP incurred transaction costs of over $15 million, compared to $6.7 million in 2005 and $2.2 million in 2004. Most of these expenses occurred within the International Fund (I Fund) where the trading of $12 billion worth of securities cost the plan $13.8 million. FTRIB identified that roughly 3,800 participants, out of the nearly 4 million in the plan, were responsible for the increase in transaction costs.

Approximately 3,775 participants who completed more than three trades in October, November and December received letters in January notifying them that if they engage in more than three interfund transfers a month, they may be required to request transfers by mail only. As a result, only 549 people disregarded the new policy limiting trades in February.

The Federal Managers Association (FMA) is a member of the Employee Thrift Advisory Council (ETAC), which advises the TSP Board. As an FMA member, your views are important to us. To weigh in on the proposed changes, please email us at: info@fedmanagers.org.

GAO CALLS FOR BETTER DATA MANAGEMENT FOR FECA PROGRAM

The Government Accountability Office (GAO) released a report in February reviewing the Federal Employees’ Compensation Act (FECA) program administered by the Department of Labor's Office of Workers’ Compensation Programs (OWCP). FECA is the wage loss compensation program for civilian federal employees who are unable to work due to workplace related injuries. The program covers 2.7 million civilian federal employees. In fiscal year 2006, the program dispensed $1.8 billion in wage loss compensation.

The Department of Labor estimated that the FECA program made $703,000 in improper payments in fiscal year 2006. GAO believes that figure does not capture the improper payments that OWCP identified during the year, which was estimated to be $13.3 million for 2006; $7.1 million in over payments and $6.2 million in underpayments. GAO is concerned that the OWCP program is prone to abuse because the program relies on self-reported eligibility information from claimants without verification. Abuse can continue because administrators are unable to stop payments when OWCP knows they are incorrect. Eleven percent of overpayments occurred because claimants did not inform OWCP of their return to work in a timely manner. Because of the program’s reliance on self reported earning statements and inability to conduct data matches with the Social Security Administration’s (SSA) wage records, OWCP may neglect to identify cases of unreported outside earnings. SSA’s Office of the Inspector General found seven percent of claimants OWCP found to have no wage-earning capacity in 2004 had earnings that were reported to SSA. The exchange of information is paramount to curtail abuse.

The Government Accountability Office also disclosed that the timeliness of processing overpayments does not occur in the required 60 day time frame. Almost half of the identified overpayments listed in OWCP’s September 2007 debt report were over six months old, but OWCP did not notify the claimants of the overpayments. Based on GAO’s review of OWCP’s 2006 overpayment materials, 71 percent were repaid or were in the process of being collected.

GAO recommended affordable policies that can be implemented with ease, suggesting OWCP strike a balance between improper payment prevention policies with the need to quickly process and pay claims. The watchdog agency also recommended efforts on the part of management to reduce the most common causes of improper payments. Cooperation between agencies is an essential component in ending overpayments. GAO advised OWCP to obtain the legal authority to enter into a data-matching agreement with the Department of Health and Human Services in an effort to identify individuals who are receiving FECA payments and have earnings reported in the National Directory of New Hires. The final policy endorsed by GAO was the need for OWCP to expend more time and energy in recovering FECA overpayments.

To review GAO-08-284, visit http://www.gao.gov/.

GAO ADDS CENSUS TO ITS HIGH-RISK LIST

On March 6th, the Government Accountability Office (GAO) testified before the Senate Committee on Homeland Security and Governmental Affairs on the state of the 2010 Census. GAO has added the 2010 Census, operated by the U.S. Census Bureau, to its “High-Risk” list of federal areas in need of broad-based transformation or reforms to mitigate waste, fraud, abuse, and mismanagement.

A decennial census is mandated under the U.S. Constitution, Article I, Section II because the apportionment of Representatives to the House of Representatives is based on population. The Census also impacts the appropriation of federal funds. A census of every household in the United States has been conducted every ten years since 1790. After the 2000 census, the Bureau embarked on an endeavor to move from a paper-based system to an electronic system that uses hand-held computers to increase the accuracy of the information and streamline the census process, making it easier to canvass communities. The Census Bureau anticipated spending $3 billion on automation and information technology out of a total of $11 billion for the 2010 Census. The Bureau awarded a $600 million contract to Harris Corporation to develop and manufacture the hand-held computers in time for the 2010 Census, a component of the Field Data Collection Automation (FDCA) initiative. However, the Bureau’s Information Technology advisor, Mitre Corporation informed the Bureau that the devices will not be operational for the 2010 Census and advised the Bureau to use paper forms for the Census.

The GAO concluded in October 2007 that changing the requirements for the computers was a contributing factor to both cost increases and schedule delays experienced by the FDCA initiative. Also, the contract cost was underestimated, which had the net effect of increasing cost and altering the scheduled deployment of the program. The Bureau did not specify how it intended on measuring the devices’ performance. The Bureau estimates that revised requirements will result in a cost increase of $600 million to $2 billion. Department of Commerce (DOC) Secretary Carlos Gutierrez informed the Committee, “. . . the main reason for this gap was significant miscommunication concerning technical requirements between the Census Bureau and Harris [Corporation].”

At the hearing, Chairman Joseph Lieberman (I-Conn.) lambasted the Census Bureau for the problems arising from its efforts to move to a technology-based system by noting, “Ten years into the 21st century, it is inexcusable that the Census Bureau must still rely on paper and pencils to perform its most important function.”

The Bureau’s efforts to move from a paper-based system to a technology-based system are not completely lost. Former GAO Comptroller General David Walker released a public statement on the matter, noting: “Our objective for the high-risk list is to bring attention and persuade policymakers of the need for action sooner rather than later. In the case of the decennial census, proactive measures now, well in advance of the actual census, can do much to ensure accurate and reliable outcomes in 2010.”

GAO’s report GAO-08-550T can be found at http://www.gao.gov/. For more information on the Census 2010 hearing, please visit http://hsgac.senate.gov/.

GSA BOOSTS PER DIEM AND MILEAGE REIMBURSEMENT

The General Services Administration (GSA) announced it has increased the standard continental United States (CONUS) per diem lodging amount to $70.00. These amounts fluctuate depending on the county and time of year. In the Washington, D.C. Metropolitan Area the rates for July 1st to August 31st is $154 for lodging and $64 for meals and incidental expenses (M&IE) totaling $218. From September 1st to September 30th, the lodging rate will be increase to $201 per night and $64 for meals and incidental expenses totaling $265. For the same period in Fiscal Year 2007, the lodging reimbursement was $195 and M&IE remained the same. The new CONUS rates went into effect on March 17th.

GSA increased federal employees’ mileage reimbursement rate from 48.5 cents per business mile to 50.5 cents per business mile. GSA’s rate is in line with the Internal Revenue Service’s (IRS) rate which went into effect January 1st. The new rate went into effect March 19th.

For information on per diem rates and mileage reimbursement, please visit http://www.gsa.gov/Portal/gsa/ep/home.do?tabId=0.

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GET INVOLVED AT THESE EVENTS!

APPLY FOR AN FMA-FEEA SCHOLARSHIP

Through the Federal Employee Education & Assistance Fund (FEEA), FMA has built a burgeoning scholarship program (administered by FEEA exclusively for FMA), which serves to award academic scholarships to deserving candidates through generous contributions from FMA members. It’s available to all FMA members, dependents and spouses, as well as FMA retirees. Thirteen winners from FMA families were awarded scholarships last year. To apply for the FMA-FEEA Scholarship, visit: www.fedmanagers.org/public/benefits.cfm. Instructions and a complete application for this scholarship can also be found in each year’s winter issue of The Federal Manager. The deadline to apply is March 28, 2008.

The Federal Employee Education & Assistance Fund has a new CFC number this year: 1-1-1-8-5. FEEA’s new number – 11185 – is the one to use when making a pledge. Make a donation, or learn more about how FEEA uses your contribution, by visiting www.feea.org.

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Long Term Care Partners, LLC, FMA Corporate Partner.  Long Term Care Partners is the administrator of the Federal Long Term Care Insurance Program.  Sponsored by the U.S. Office of Personnel Management, the Program is available to Federal and U.S. Postal Service employees and annuitants, active and retired members of the uniformed services, and their qualified relatives.  With more than 210,000 enrollees, it is the largest employer-sponsored long term care insurance program in the country.  FLTCIP policies are simple to understand and offer enrollees some distinct advantages, including comprehensive coverage, competitive and stable rates, international coverage, and administrative service standards that are the highest in the long-term care insurance industry.  Policies are sold direct through a highly-trained, non-commissioned staff with no high pressure sales tactics – simply sound advice.  Visit www.LTCFEDS.com or http://www.opm.gov/insure/ltc/index.asp for more information.

Blue Cross Blue Shield Association Federal Employee Program, FMA Sustaining Corporate Partner:  The Blue Cross and Blue Shield Association represents the independent, locally operated Blue Cross and Blue Shield Plans. The 40 local member companies of the Blue Cross and Blue Shield Association have provided millions of families with top-quality, affordable health insurance for more than 70 years.  For the one in four Americans who carry Blue Cross and Blue Shield cards, the Blue Plans symbolize health security.  Visit www.fepblue.org and join the best, most-recognized group of health insurance providers in the world.

GEICO, FMA Corporate Partner:  GEICO was created over 60 years ago to insure Federal employees.  Over the years GEICO has continuously strengthened its affiliation with the Federal workforce.  Today GEICO has a special program established to support the Federal community.  GEICO’s Federal program participates in the following organizations and programs: GEICO Public Service Awards, which  have honored Federal workers (active and retired) who have contributed to the public good since 1980; and GEICO Federal Leave Record Cards, which for over 40 years have been provided by GEICO to Federal employees, free of charge, to help them track their annual leave.  Find out how much you could save with GEICO auto insurance as an FMA member by getting a line-by-line rate quote at:  www.geico.com.

Shaw, Bransford, Veilleux and Roth, P.C., (SBVR) concentrates its law practice on the representation of Federal employees, with a special emphasis on the representation of executives and managers.  SBVR serves as General Counsel to the Federal Managers Association and is uniquely situated to recognize the interests and viewpoints of Federal managers.  For up to two free half-hour legal consultations and reduced legal fees as an FMA member, please visit:  www.shawbransford.com.

The Federal Managers Association and Management Concepts have teamed up to present the Federal Managers Practicum — a targeted certificate program for Federal managers. As the official development program for FMA, the Federal Managers Practicum helps FMA members develop critical skills to meet new workplace demands and deepen their managerial capabilities.  FMA’s leadership fully recognizes the need to prepare career-minded federal employees to manage the demands of the 21st century workplace with greater competence and fully supports this unique and comprehensive certificate program.  For more information, please visit:  www.managementconcepts.com/fmp/fmpodp.asp.

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The Washington Report is published biweekly by the Federal Managers Association.
Jessica Klement, Editor; FMA Staff Writers.

The Federal Managers Association, established in 1913, is the oldest, largest, most influential association representing the interests of the nearly 200,000 managers, supervisors and executives serving in today’s Federal government.

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