INCREASED PAY COSTS FOR FISCAL YEAR 1980

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP89-01114R000300080035-8
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 12
• Document Creation Date: December 9, 2016
• Document Release Date: June 8, 2001
• Sequence Number: 35
• Publication Date: October 25, 1979
• Content Type: BULL

EXECLI-'VE OFFICE OF THE PRESIDEN-
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BULLETIN NO. 80- 2 October 25, 1979
TO THE HEADS OF EXECUTIVE DEPARTMENTS AND ESTABLISHMENTS
SUBJECT: Increased pay costs for fiscal year 1980
1. Purpose. This Bulletin provides instructions for the
submission of an analysis of increased pay costs for fiscal
year 1980 and guidance on the possible absorption of such
costs and on the pay supplementals required.
2. Background. Office of Management and Budget (OMB)
Circular No. A-11 (sections 13.4(d) and 32.7(b)) instructed
agencies to include amounts for the October 1979 pay raise
in their 1980 and 1981 budget estimates, if the new pay
rates were known at the time of submission. Agencies should
include in their budget schedules the additional 1.980 and
1981 amounts required for the pay raise when they are
informed by OMB of their 1981 budget. allowances.
The information submitted pursuant to this Bulletin will
provide the basis for requests to the Congress in-the 1981
Budget for the 1980 pay supplementals.
3. Coverage. These instructions apply to the fiscal year
1980 costs of:
a. Civilian personnel pay raises effective in. October
1979 under Executive Order 12165 issued pursuant to P.L.
91-656, and comparable raises granted by administrative
action. Also pay raise limitations, effective in October
1979, under an amendment to Executive Order No. 12165 that
will be issued shortly, pursuant to P.L. 98-86. This would
affect the pay of those covered by the Executive and Senior
Executive Service Schedules and those civilian positions for
which the rate of pay is limited by the amount payable for
Executive Level V.
b. Military personnel pay raises effective in October
1979 under Executive order 12165 issued pursuant to P.L.
90-207.
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 c. ApRLgyA f o*Stelear3?jR/W99 l P @.I-JMLZfl004ppQ i in
fiscal year 198and granted under 5 u.S.C`341, together
with additional raises estimated to be granted under the
same authority through September 30, 1980. Note: Section
613 of the Treasury, Postal Service, and General Government
Appropriation Act, P.L. 96-74, prohibits the use of funds
under that Act or any other appropriations act to :Fund
increases in wage board pay rates authorized by 5 U.S.C.
5343 that exceed the overall percentage increase in the
general schedule rates of basic pay in =iyscal year 1980.
d. Senior Executive Service rank and performance
awards, pursuant to the Civil Service Reform Act of 1978,
P.L. 95-454.
4. Absorption policy. The amount of the 1980 pay increase
costs specified above will be computed on the basis of the
latest approved 1980 program levels.
Agencies are expected to absorb a minimum of 40% of total
increased pay costs by:
a. Using all available resources within the account to
cover increased pay costs, including savings and revenues
obtained from:
effects of personnel levels that are lower than
anticipated under available funds;
0 funds provided in appropriations to cover costs of
parking that have now been offset by parking charges
(0MB Circular A-118 and Treasury Bulletin 79-14);
and
0 1980 reductions in travel and transportation of
persons and things required by section 112 of P.L.
96-86; and other reductions in operating costs.
b. Using existing transfer authority to maximize
absorption when resources within an account are insufficient
to meet such costs.
c. Seeking additional. transfer authority between
appropriation accounts within the same agency. (See
paragraph 7.)
Each agency will apply the principles set forth in 0MB
Circular Nos. A-117 and A-64 to achieve economies through
cost reduction, position management, and other management
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 im rovement App 74 Relea9@200 ' Pbe 0
480
submitted in accordance with paragraph
any previously deferred funds (line 10 of S.F. 132) or
unapportioned balances of revolving funds (line 11 of S.F.
132) that may now be used to meet increased pay costs. Pay
supplementals should be proposed only when the head of
agency has determined that full absorption is not possible.
Available resources will applied
increases for uncontrollable
deficiency apportionment, to the extent that the total
amount of these program increases can be absorbed
Remaining available resources should be applied to cover the
various types of increased pay costs (i.e., civilian
statutory pay systems, military pay systems, wage board,
administrative action, and SES rank and performance awards)
in the following order of priority:
(1) Any type of increased reimbursement to other
accounts due to increased pay costs (including payments to
revolving funds).
(2) Any' type of increased pay cost (including
increases due to SES rank and performance awards), that can
be absorbed in full.
(3) Any type of increased pay cost that cannot be
absorbed in full.
5. Preparation of required materials. Each agency is
required to submi to OMB by November 16, 1979, an analysis
of increased pay costs for fiscal year 1980. The analysis
will be prepared in accordance with the instructions in
Attachment A and submitted in the format of the related
Exhibit. In all cases, the amount that the agency intends
to request for the pay raise supplemental should be included
in the print material submission for the 1981 Budget
Appendix that reflects budget determinations. Agencies
whose budget determination print submission will be due in
OMB prior to November 16, should perform the pay analysis in
advance of that date so that their submission includes the
amounts to be requested for the pay raise supplemental.
In addition to the required analysis, the agency submission
will include:
a. A narrative explanation of the methods used in
computing the increased pay costs.
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 'b. Proposed a- ropriatioi 1
required %S1vJ*&ft~en'd- t
e..d
availability in the case of multiple-year and no-year
accounts (i.e., "to remain available for obligation
until...").
Guidelines to be used in drafting proposed appropriation
language are presented in Attachment B.
6. Apportionment and reapportionment r uests. Agency
requests for reapportionment to reflect-increased pay costs
for FY 1980 will be submitted (as necessary) in accordance
with Part IV of OMB Circular No. A-34. Requests for
"deficiency" apportionments that anticipate a need for pay
supplementals are authorized by section-107 of P.L. 96-86
and must be accompanied by three copies of the agency head's
statement of necessity, as required by 31 U.S.C. 665(e)(1).
The agency head's statement will be worded as follows:
"I hereby determine that it is necessary to request
apportionment (or reapportionment) of the
appropriation '(appropriation title)' on a basis
that indicates the necessity for a supplemental
estimate of appropriations for pay increases in
accordance with section 107 of P. L. 96-86."
When a group of such requests is transmitted at one time, a
single certification may be used for all requests.
Reapportionment requests for increased pay costs are to be
submitted to OMB within 10 days of final OMB approval of the
supplemental appropriations to be requested in the 1981
Budget.
7. Supplemental appropriations for 1980. The proposed
appropriation language and analysis required under paragraph
5 will serve as the basis for the request for 1980 pay
supplementals. Upon approval by OMB of amounts of
supplemental appropriation requests, agency budget schedules
will be adjusted as necessary. Program supplementals will
be handled separately, in accordance with sections 39.1
39.6 of OMB Circular No. A-11.
If an agency is seeking a supplemental to be derived by
transfer between appropriation accounts (see paragraph 4c)
that involves:
no withholding or delaying of the availability of
funds, no deferral report is required. (In these
cases, available resources should be apportioned in
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transferred are available in the last half of the
fiscal year.)
withholding or delaying the availability of funds
(in order to preserve the funds for transfer), a
deferral report (see OMB Bulletin No. 75-15) is
required and should be submitted, as appropriate,
with the supplemental request.
funds that cannot be used in the losing account
regardless of whether the Congress accepts the
transfer request, a rescission proposal is to be
submitted once a definite amount of excess funds is
known. When such a defi-n-1-te amount is not known at
the time the supplemental is requested, OMB should
be notified of these circumstances. In those cases,
the rescission proposal (and the related request for
withholding) should not be submitted until a
definite. amount of excess funds is known by the
agency.
ames T. McIntyre, Jr.
Attachments
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 AATTZ.CHMENT A g
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Analysis of Increased Pay Costs for
Fiscal Year 1980
Each agency will submit by November.16, 1979, an analysis of
increased pay costs for fiscal year 1980 resulting from the
pay raises specified in paragraph 3 o.f/'this Bulletin. An
original and two copies of this analysis will be prepared
for fiscal year 1980 in the format illustrated by the.
Exhibit. The analysis will be accompanied by the narrative
explanation and appropriation language required in paragraph
5 of this Bulletin.
For purposes of this analysis, amounts for allocation
accounts (transfer appropriation accounts) will be
incorporated in the amounts shown for the parent account
rather than in the amounts shown for the receiving agency.
Each agency receiving an allocation will furnish to the
agency responsible for the parent account the data necessary
to prepare the analysis (including justifications) by-
November 2, 1979 unless other arrangements have been made by
the agencies concerned. Allocation accounts will be
considered a source of transfer only by the parent agency..
Advances or reimbursements between Government accounts
should be treated in the following way:
- The performing agency will include the associated
increased pay costs in columns 2 and 3 of their analysis.
(See attached exhibit). These costs will also be included
in column 5, treated as a part of the performing agencies'
absorption. (See instructions for entries under column 5
below.)
- The ordering agency will consider these increased pay
costs as a part of ordinary expenses and will not include
them in columns 2 and 3 of their analysis, since such costs
relate to e,-nployees of the -erforming agency. The ordering
agency will absorb, to the maximum extent possible, the
payments to other accounts or agencies for the increased pay
costs through administrative action and will report the
portion of the payment for increased pay costs that cannot
be absorbed through administrative action in column 4 of the
analysis. (See instructions for entries under column 4
below.)
Where more than one type of pay increase is involved (i.e.,
civilian statutory pay systems, military pay systems, wage
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board, administrative action, or SES rank and performance
awards) the amounts applicable to each will be reported
separately in columns 2 through 4 of each analysis.
Increased pay costs for allocation accounts will be
included, by type, of pay raise, in the amounts shown for the
parent account in columns 2 through 4. In columns 5 through
8, the amounts for each account will be reported in total
(i.e., without separately identifying the amount associated
with each type of pay increase or allocation account).
The final entry in each table will be labeled "Total, all
pay increases" and will show the total amounts for the
agency for columns 2 through 8.
The analysis will be prepared on .8 1/2 x 14" paper,, as
described below:
Column 1. List under each bureau or organizational unit
to which separate appropriations or funds are available, the
title of each account (other than allocation accounts) out
of which any increased pay costs are paid directly. These
will include revolving and management funds (excluding
consolidated working funds) and trust funds. Account titles
will be listed in the order in which they appear in the
budget. At least one line should be left between account
titles.
Increased pay costs under civilian statutory pay systems
will be entered without further identification. Other types
of pay increases (i.e., Senior Executive Service rank and
performance awards, wage board, administrative action,
military pay systems) will be identified in the stub column
under each account where appropriate.
Column 2. Enter the direct cost of pay raises for
employees paid from the reporting account whether or not the
costs result from the performance of reimbursable work.
Agencies should be careful to include any additional
payments that are normally associated with object class 11,
such as overtime, Sunday premium pay, etc. If the increased
pay cost is disproportionately high in relation to the base
for any account, the reasons should be fully set forth in
the narrative explanation. Do not report in this column
advances or reimbursements to other accounts for work or
services. (To the extent they cannot be absorbed through
currently authorized agency administrative action, they are
to be reported in column 4.)
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Column 3. For each listed account, report the added
costs that are indirectly related to the pay raise, whether
or not the costs are reimbursable. For this purpose, the
related costs include such items as Government retirement
contributions, employer FICA taxes, Government contributions
to employee life insurance premiums, and other payments that
are based on employees'-salaries. I
Do not report in this column advances or reimbursements paid.
to other accounts for work or services. (To the extent they
cannot be absorbed through currently authorized agency
administrative action, they are to be reported- in column 4.)
Added costs, if any, for SES rank and performance awards
should be identified separately.
Column 4. Enter the portion of the increased pay costs
to be paid as advances and reimbursements to other accounts
that cannot be absorbed through administrative action. In }
most cases this column should be blank, since payments to
other accounts will be considered for absorption. ahead of
the increased pay cost of the reporting account.
Column 5. Report, in total for each account, the portion
of: the increases shown in columns 2 and 3 that can be
absorbed through currently authorized agency administrative
action. This will include absorptions through existing
transfer authority from other accounts and amounts to be
covered by reimbursements from other accounts.
Column 6. Report, in total for each account, the portion
.of the increased costs in columns 2, 3, and 4 that could be
absorbed if the Congress provides new transfer authority or
authority to increase limitations on administrative expenses
or personal services.
Column 7. Total of columns 5 and 6.
Column 8. This column should equal the sum of columns 2,
3, and 4 minus column 7, and will represent the additional
appropriation considered necessary for the account as a
result of the pay raises reported.
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 g ATTTACHMENT B
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Guidelines for Drafting Proposed Appropriation Language
for Pay Supplementals for Fiscal Year 1980
Indentation, punctuation, and capitalization will conform
with the presentatiori used in Part III, Section II of the
1980 Budget Appendix (pp. 1128-1132). /'
Organization titles and breaks, including the appropriation
account title will generally conform to the fiscal year 1980
appropriation bills as enacted.
All new items not included in the 1980 appropriation bills
(e.g., chapter, organizations, accounts, or appropriation
language phrases) will be underscored.
Sample formats illustrating the above guidelines follow:
DEPARTMENT OF GOVERNMENT
Office of the Secretary: "Salaries and expenses", $170,870;
Bureau of Economic Development: "Salaries and expenses",
$314,880;
"Inspection services", $213,590 to remain available
until March 30, 1981;
Development Trust Fund: "Limitation on general operating
expenses" (increase of $1,330,000 in the limitation on
general operation expenses);
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NOTES: a. Amounts are in dollars.
b. Actual size of this form
is 8-1/2 x 14 inches.
DEPARTMENT OF GOVERNMENT
Increase in direct
pay and other related
cost of this agencyr
organizational unit Direct Related
and account title pay cost
(1) (2) (3)
Office of the secretary:
Salaries and expenses........
Wage board........
ANALYSIS OF 1980 INCREASED PAY COSTS
197,420 18,700
31,500 2,950
Bureau of Economic Development:
Salaries and expenses ........ 949,160 89,220
Inspection Services .......... 176,000 16,540
Development Trust Fund ....... 1,240,000 111,600
Government Corporation:
ABC Revolving Fund (adm.
action) .................... 1,065,000 100,110
Civ. stat, pay systems..... 9,336,400 UIZ,bbU
Wage board ............142,500 13,250
Adm. action.... ......... 1,065,000 100,110
SES rank and performance
awards ....................
Total, all pay increases ....... 10,543,900 986,020
EXHIBIT
Bulletin No. 80-
Amounts to be Net absorption
paid to other Possible Requiring Additional
accounts that by admin- Congressional appropria-
are not absorbed istrative Action tion
administratively action Total required
(4) (5) (6) (7) (8)
.) 79,7001/ . . . 79,700 170,870
723,500 . . . 723,500 314,880
42,310)
}
21,600 1,330,000 1,351,600
300,000 1,165,110
42,310 5,246,660 1,701,600 6,948,260 4,623,970
1/ Includes $15,000 to be transferred from "Salaries and Expenses, Bureau of Safety",under P.L.
(Cite existing author:
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 "OUTING AND RECORD SHEET
A 2CO1 x=09_. CIA---RDPsa_n1 00s00080035-8
SUBJECT: (Optional)
Increased Pay Costs for Fiscal Year 1980
FROM:
STATINTL
Deputy Director of Personnel
TO: (Officer designation, room number, and DATE
building)
# ^" RECEIVED
STATINTL
EXTENSION -NO_
15 November 1979
STANNTL
OFFICER'S COMMENTS (Number each comment to show from whom
INITIALS to whom. Draw a line across column after each comment,)
IDave,
We just received this
but I assume you received 4,
copy earlier.
FORM
1-79
610
Distribution:
Orig Addressee
1 D/Pers Chrono
D/Pers Subject
1 - OP/SIS/SS
1 - DD/Pers Chrono
USE U
STATI NTL
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