FEDweek Issue: Wednesday, August 25, 2004 FEDweek is the largest information resource in the federal government with now over one million weekly readers. To Subscribe, Go to http://fedweek.sparklist.com/t/294933846/821888/32/0/ *********************************************************** Valuable Information for the Federal Family Federal Job Search http://fedweek.sparklist.com/t/294933846/821888/10/0/ Job Bulletin Board http://fedweek.sparklist.com/t/294933846/821888/10/0/ Brand New Federal Manager's Daily Report--FREE Daily Electronic Briefing http://fedweek.sparklist.com/t/294933846/821888/32/0/ ********************************************************** In This Week's Issue 1. Some Exceptions to New FEGLI Coverage 2. Some Special Enrollment Rules to Apply 3. Questions and Answers about FEGLI Open Season http://fedweek.sparklist.com/t/294933846/821888/4/0/ 4. Open Season Bill's Reasoning 5. Expert's View: Retirement Door Isn't Revolving -- for Most http://fedweek.sparklist.com/t/294933846/821888/149/0/ 6. Agency Contributions a Major Difference 7. Government Contributions Pay Off 8. Get Big Travel Discounts Now Through FEDweek! New Fares Every Week! http://fedweek.sparklist.com/t/294933846/821888/255/0/ 9. Price Tag Put on Expanding Acquisition Force 10. Tussle Over Jobs is Long-Running 11. CPI Slips in July 12. Objections Raised to New Authorities at FBI 13. Federal Legal Corner: Denial of Reasonable Accommodation http://fedweek.sparklist.com/t/294933846/821888/299/0/ 14. The Brand New In-Print 2005 CSRS & FERS Retirement Planning Guides Are Now Available For Immediate Shipment! Plus--Get FEDweek's The Book of Answers FREE! http://fedweek.sparklist.com/t/294933846/821888/1/0/ ******************************************************** ************************************************************ Today's Issue of FEDweek is sponsored by Nortel Networks Nortel Networks converged voice and data, the new reality for mission-critical networks. Our GSA schedule authorized partners can help you evaluate your current systems and plan a smooth migration to converged voice and data services. Visit http://fedweek.sparklist.com/t/294933846/821888/300/0/ to learn more
************************************************************ 1. Some Exceptions to New FEGLI Coverage Although active employees will be able to start or increase Federal Employees Group Life Insurance coverage in the open season that will run during September, there are circumstances in which the coverage will never take effect, the Office of Personnel Management has said. The effective date of the elections will not be for another year, until the first pay period of September 2005. Thus, an employee who makes an election during the open season but leaves federal service before the new coverage becomes effective, it will be as if he or she never made the election. The individual could convert the old level of coverage to a private plan but not the new level. Similarly, if an employee dies before next September, benefits will be paid only on the old coverage. Further, those who retire before September 2010 will not be able to carry the higher coverage into retirement, since the law requires that coverage be in place for five years before retirement, or from the first opportunity to elect coverage-- the open season will not be deemed a first opportunity for that purpose. 2. Some Special Enrollment Rules to Apply Although the FEGLI open season ends September 30, agencies have authority to accept belated enrollments through March 31, 2005 if they determine that the employee was unable to make a timely election due to circumstances beyond his or her control. The employee will have 31 days after the agency made that decision to make an enrollment choice, on the form being used for the open season, FE-2004. Further, employees may continue to make regular FEGLI elections during the open season. That is, they can decrease or stop coverage, or they can increase it after submitting medical evidence of insurability or if they have a life event. Such elections should be made on the standard FEGLI election form, the SF-2817. Those elections will become effective on the same schedule as always. 3. Questions and Answers about FEGLI Open Season For a look at questions and answers about the open season, go to http://fedweek.sparklist.com/t/294933846/821888/4/0/ in the hot free info section of our website. 4. Open Season Bill's Reasoning Eliminating the Thrift Savings Plan's open seasons would encourage employees who currently do not participate in the program--especially those under the FERS system, whose retirement benefits typically will be equal to a CSRS system retiree's benefits only by participating in the TSP-- to join it, according to a Senate report. The report, which accompanies a Senate-passed bill (S-2479), notes that 13 percent of FERS employees do not invest any of their own money in the TSP--they do get accounts automatically, into which the government contributes an amount equal to 1 percent of their salary--and about a third of CSRS employees don't invest. The open season policy restricts when employees may join the program and when they may change the amounts of their investments, policies that the report says are outdated since the TSP switched from monthly valuation to daily valuation of accounts last year. The measure does not specify when the open seasons--the next one is scheduled to run October 15-December 31--would be abolished, leaving that to be resolved in TSP-issued regulations. The House could take up the TSP open season question after Congress reconvenes next month. 5. Expert's View: Retirement Door Isn't Revolving -- for Most While it's true that a relatively small number of federal employees wind up returning to Uncle Sam's civil service after they retire, most do not. They stay retired. You'll likely be one of these, and so planning for your retirement -- your most financially significant employment benefit -- should be the biggest blip on your radar screen -- anywhere from 10 years out to the moment you're offered an early retirement. This week our federal retirement expert, Reg Jones, maps out basic considerations, including a timetable for making sure you not only maximize your benefits but also avoid pitfalls caused by opening that door to retirement too quickly. You'll find his views at http://fedweek.sparklist.com/t/294933846/821888/149/0/ 6. Agency Contributions a Major Difference A major difference between the Senate's TSP bill and a version that has cleared the House Government Reform Committee (HR-4324) involves the government contributions for FERS employees. Under current policy, the automatic 1 percent contribution and the matching contributions of up to an additional 4 percent when FERS investors contribute at least 5 percent of their own salary, don't begin until the second open season after hiring--in some cases close to a year. The Senate bill would keep to that schedule of dates--even though open seasons themselves would be abolished--while the House bill would have the automatic contribution start immediately and the matching contributions start as soon as the individual begins investing his or her own money. That could represent an important hang-up to the chances of enactment, since the House position represents a substantial policy change in the context of a bill being touted by sponsors as a non-controversial change in administrative practices. Cost also could be a factor. The Congressional Budget Office estimated that the Senate bill as costing the government $53 million in lost tax revenue and higher agency contributions over 10 years; the price tag on the House approach could go substantially higher. 7. Government Contributions Pay Off The average TSP for FERS account holders is around $48,400 while for CSRS participants the average is around $39,300, according to TSP data, even though demographically CSRS employees are more likely to be more senior and better-paid than FERS employees. The difference in account sizes likely is due primarily to the fact that FERS investors get government contributions of up to 5 percent of salary, while CSRS investors get no employer contributions. Also, FERS employees are more likely to have had prior employment with outside employers with 401(k) or similar plans whose balances can be transferred into the TSP upon joining the government. 8. Get Big Travel Discounts Now Through FEDweek! New Fares Every Week! FEDweek's Newest Alliance Brings FEDweek Readers Substantial Discounts on Travel Rates http://fedweek.sparklist.com/t/294933846/821888/255/0/ FEDweek is proud to announce its newest partnership with Trading Places International to offer Fedweek subscribers discounts on travel. Trading Places International, a leading edge vacation services company with more than 30 years of experience in vacation offerings. Committed to Quality, Service and Value for all your vacation needs, Trading Places International has set up a unique and state of the art search engine for all FEDweek readers to help you find the best rates available. Here's just a few examples of what you can save on: Airfare Hotel Accommodations Car Rentals Golf Packages Cruises Last Minute Getaways And more. Here Are Just A Few Examples: ******************************************************** MEXICO: HOTEL, AIRFARE AND CAR RENTAL AND TAX'S INCLUDED! ********************************************************* Charleston SC to Cancun 8 nights $1,944 Las Angeles CA to Mazatlan 4 nights $362 per person (no car) Dallas to Acapulco 5 nights $486 per person Family Getaway's: Hotel,Airfare & Tax's included! ****************************** Denver to San Diego 4 Star Hotel 3 Days $283 per person Washington DC to Portland ME 3 Days 3 Star Hotel $201 per person Phoenix AZ to Chicago Il 4 Star Hotel Downtown 3 days $334 per person San Antonio TX to Memphis TN 4 Star Hotel 3 Days $380 per person ** Above based on two adults and two children ** Cruise's ******** 7 night Glacier Bay Inside Passage From $789 per person 7 night Spain and Corsica From $1099 per person 7 Night Tahiti From $2500 per person * Prices are subject to change and availability * It's easy, to use. Just go to http://fedweek.sparklist.com/t/294933846/821888/255/0/ look under hot deals, select your dates and pack your bags! There are 1,000's of more deals at http://fedweek.sparklist.com/t/294933846/821888/255/0/ these are just a few--give yourself the vacation that you have been dreaming about! Please feel free to pass this information on to your fellow colleagues. 9. Price Tag Put on Expanding Acquisition Force Expanding the Defense Department's acquisition workforce as proposed in Senate-passed legislation (S-2400) would cost about $250 million in the first year and $1.7 billion over five years, the Congressional Budget Office has estimated. CBO's estimate could play an important role in determining the outcome of the provision, which currently is in a conference with the House. The House version of the bill (HR-4200) would require a 5 percent reduction in the DoD acquisition workforce by October 1, 2005 while the Senate bill would increase the size of that workforce by 5 percent each year over three years. 10. Tussle Over Jobs is Long-Running CBO said that expanding the DoD acquisition workforce as urged by the Senate translate into about 6,700 new positions a year. The DoD acquisition workforce is currently about 90 percent civilian and 10 percent military, CBO said, adding that "given the current operating tempo of the military, CBO assumes that the majority of the increase would be newly hired civilians." CBO arrived at its total cost by figuring the average cost in salary and benefits of a DoD civilian employee at $75,000 a year. The varying approaches of the two chambers is the latest installment of a difference of opinion between them covering many years. In most years the House and Senate split the difference in conference. 11. CPI Slips in July The consumer price index measure used to set federal retiree cost-of-living adjustments fell by 0.2 percentage points in July. With two months left in the counting period to determine the January 2005 COLA, retirees have accumulated 2.6 percent. 12. Objections Raised to New Authorities at FBI The Bush administration has objected to several provisions in the House-passed version of an appropriations bill covering the Justice Department (HR-4754) designed to expand personnel flexibilities at the FBI. Language in the bill, which is awaiting a House vote, would: exempt reemployed annuitants from the standard offset between the annuity and salary; allow the agency to expand the use of "critical pay," which offers higher than normal pay for positions in especially high demand; and broaden the authority to waive the mandatory retirement age for FBI law enforcement officers until age 65. The White House said in a position paper that many of those authorities already are administratively available, and similar issues are being addressed in a civil service reform bill (S-129)--which has passed the Senate and is awaiting a House vote. 13. Federal Legal Corner: Denial of Reasonable Accommodation In Smith v. Henderson, 376 F.3d 529 (6th Cir. 2004), a federal court of appeals decided that the U.S. Postal Service discriminated against a customer service supervisor in violation of the Rehabilitation Act when it refused to honor a previously granted reasonable accommodation. When the USPS rescinded Mary Smith's medical restriction of working eight hours per day, 40 hours per week after her promotion to a supervisory position, she was forced to resign. The court concluded that because the USPS could foresee that rescission of the reasonable accommodation would exacerbate Ms. Smith's disability and make working conditions intolerable, the resignation was converted into a constructive discharge. The Rehabilitation Act requires agencies to accommodate employees with known physical disabilities unless the accommodation imposes an undue hardship in the operation of the agency's business. An employee is entitled to a reasonable accommodation so long as the individual is qualified, meaning that the accommodation enables the employee to perform the essential functions of the job. Ms. Smith began her career with the USPS as a distribution clerk in 1979. In 1986, Ms. Smith notified the USPS that she suffered from rheumatoid arthritis, a condition that limited the mobility of her hands, legs, and feet. In 1997, under instructions from her physician, Ms. Smith requested an accommodation that limited her work schedule to 8 hour days, 40 hour weeks. The USPS approved these work restrictions, thus granting Ms. Smith the accommodation. In 1998, area postmasters recommended Ms. Smith for a promotion to a customer service supervisor position. Even though Ms. Smith's new supervisors discouraged her from accepting the customer service supervisor position because it required her to work more than 40 hours per week, she started work in March 1998. Two months after Ms. Smith began her supervisory position, she wrote a letter to her supervisors requesting permission to delegate financial accounting duties to a subordinate. Such a request would reduce Ms. Smith's work time to 40 hours per week, making her hours compatible with her medical restrictions. Ms. Smith believed this accommodation was reasonable because one of the responsible management officials had previously been permitted to delegate the same duties. Instead, Ms. Smith's supervisor responded by telling her that she was "now in a man's world" and accusing her of "always whining." Without the work time and delegation accommodations, Ms. Smith worked between 10 to 12 hours a day, 7 days a week. Ms. Smith was in constant pain and eventually became too exhausted to continue. She resigned and was approved for disability retirement. The court of appeals determined that the USPS was already on notice that Ms. Smith required accommodations before she began work as a supervisor. When Ms. Smith's supervisors required her to work a schedule in contravention of her medical restrictions, the USPS, in effect, rescinded the accommodation granted in 1997. Additionally, the court found that Ms. Smith's letter to supervisors asking for permission to delegate financial accounting constituted a request for accommodation even though she did not use the word "accommodation" or "disability." The court declared that Ms. Smith's request to delegate was not an undue burden upon the USPS because other customer service supervisors had done so in the past, including one of the supervisors who refused the accommodation. Finally, because the USPS was on notice that denial of the accommodation would be intolerable to Ms. Smith, the court concluded that the USPS could foresee that Ms. Smith would be forced to resign to preserve her health. Employees with disabilities previously working under medical restrictions are not required to relinquish reasonable accommodations after a promotion. To protect yourself, make sure your new supervisors are aware that you require accommodations. When requesting an accommodation due to a disability, first consult your agency's policy on accommodations and follow established procedures. Gather the necessary medical documentation, physician support, and submit forms or letters to the agency. For other information on how to request a reasonable accommodation, refer to prior Federal Legal Corner articles from September 24, 2003, October 1, 2003, October 8, 2003, and October 15, 2003. ** This information is provided by the attorneys at Passman & Kaplan, P.C., a law firm dedicated to the representation of federal employees worldwide. For more information on Passman & Kaplan, P.C., go to http://fedweek.sparklist.com/t/294933846/821888/301/0/ ** 14. The Brand New In-Print 2005 CSRS & FERS Retirement Planning Guides Are Now Available For Immediate Shipment! Plus--Get FEDweek's The Book of Answers FREE! We are Fully Stocked and Ready for Your Agency Bulk Orders. Go to http://fedweek.sparklist.com/t/294933846/821888/1/0/ to place your order now or continue reading about our special FREE Offer. ******************************************************** Our 2nd Printing/Shipment of The Brand New 2005 CSRS & FERS Retirement Planning Guides Have Just Arrived From Back From the Press. ** FEDweek Reader Special FREE Offer ** Order Yours Now and We'll Ship Them Straight Back out To You--Along With FEDweek's The Book of Answers FREE! http://fedweek.sparklist.com/t/294933846/821888/1/0/ That's right, when you place an order for either one of our brand new 2005 CSRS or FERS Retirement Planning Guides you will receive FREE,The Book of Answers, one of FEDweek's most sought after and sold books. Here's just a few reasons why: *********************************************************** A Few Facts About FEDweek's Book of Answers It will help you determine what you magic retirement age should be http://fedweek.sparklist.com/t/294933846/821888/1/0/ This comprehensive publication contains complete answers, expert advice and guidance to nearly every question, situation or life event that a federal employee or retiree experiences, that's why this publication is appropriately nicknamed "The What If Book". What if? is a question we have heard time and again from our readers who simply don't know what effect a change in status (marriage, divorce, illness, outside work, leaving government, etc.) will have on their government job and benefits. What if I get married-or divorced? What if I leave government before I'm eligible to retire? What if I want to supplement my government salary with outside income? What if I'm sidelined by a serious medical problem? What if I come back to work after retirement? The list goes on and on. Yet there has never been a resource designed to directly address these questions as they are really asked. Until now. Take a look at just some of the questions that this valuable book answers: What If... I Hit a 'Magic Number'? My Family Members Marry or Hit Magic Numbers? I Get Married? I Get Married After Retirement? We Adopt or Have a Child? I'm Divorced or Separated? I Move? I Die or a Family Member Dies? I Have a Financial Emergency? I Want to Supplement My Salary? I'm Offered a Gift? I Accumulate Frequent Traveler Credits on Official Travel? I'm Offered a Buyout to Leave Service? I Have a Financial Claim Against My Agency? I or Family Members Have a Medical Emergency? I Exhaust My Leave? My FEHB Claim Was Denied? I Have a Life-Threatening Condition? I'm Permanently Disabled? I Die While Receiving Compensation Benefits? I Want To Change or Drop My Life Insurance Coverage? I Want to Change or Drop My Health Insurance Coverage? I Become Eligible for Medicare? I Want to Name or Change Beneficiaries? I Leave Government Before Retirement Eligibility? I'm Offered Early Retirement? I Retire? I Don't Get My Annuity Payment On Time? I Need Help? I Return to Government Employment after Retiring? I Retired With a Buyout? I Retired on Disability? My Reemployment Ends? I Die While Reemployed? REMEMBER, THE BOOK OF ANSWERS IS 100% FREE WHEN YOU PLACE YOUR ORDER FOR EITHER ONE OF OUR BEST SELLING 2005 CSRS OR FERS RETIREMENT PLANNING GUIDES. The answers you'll receive in The Book of Answers compliments perfectly with your new retirement planning guide. There couldn't be a better match of books. ********************************************************** Go to http://fedweek.sparklist.com/t/294933846/821888/1/0/ to place your order for Your 2005 CSRS or FERS Retirement Planning Guide now and get your FREE Book of Answers. *********************************************************** *********************************************************** The 2005 CSRS & FERS Retirement Planning Guides http://fedweek.sparklist.com/t/294933846/821888/1/0/ Now in their seventh year of print (and over 500,000 sold), these CSRS and FERS Retirement Planning Guides truly help you fully understand your federal retirement. These planning guides simplify the retirement planning process, helping you calculate your annuity (with plenty of examples), warn you about possible reductions in your annuity, tell you how Social Security fits into the picture, and what to do about health and life insurance. In short, they contain everything you need to know to make your federal retirement a success. These 2005 CSRS & FERS Retirement Planning Guide are NOT Dot.com downloads or government handouts or pamphlets, they are In-print comprehensive and easy-to-understand planning guides that were written and edited by our veteran-team of federal retirement planning experts in the field. Here are some of the key features and updates that these 2005 retirement planning include: A step by step guide to embarking on the retirement journey A description of the new long-term care program, with explanations of potential traps for those close to retirement A quick reference guide to benefits your survivors would stand to receive on your death A description of how Tricare-for-Life might replace FEHB as your health benefits provider Details on how to carry retirement and other benefits into retirement and how you can change those benefits after retirement An easy to follow guide to understanding annuity statements How the new TSP investment, rollover, withdrawal and other rules will affect you before and after retirement Latest information on COLA rates and policies, payments to survivors and other benefit rates The latest information on Social Security benefit rates and eligibility rules The latest information on FEGLI, FEHB, service crediting for retirement purposes and other vital retirement-related issues ALSO IN THESE 2005 CSRS & FERS RETIREMENT PLANNING GUIDES: How to calculate your annuity (with plenty of easy-to-follow examples) Eligibility requirements Different retirement types (regular, early, deferred, special disability) Credit for military service Deposits and redeposits Cost of living adjustments The effect of divorce on annuities Social Security The Thrift Savings Plan Taking health and life insurance into retirement Annuity taxes Survivor benefits And much more! *********************************************************** Go to http://fedweek.sparklist.com/t/294933846/821888/1/0/ to place your order now and get your FREE Book of Answers Handbook shipped to you immediately. *********************************************************** Other Ways to Order: You may also call our toll-free order line at (888) 333-9335 to place your order for these retirement planning guides: The 2005 CSRS Retirement Planning Guide The 2005 FERS Retirement Planning Guide Or you may also mail your order with payment of $13.95 ($9.95 plus $4.00 s&h) to: FEDweek P.O. Box 5519, Glen Allen, VA 23058. Extra FREE Bonus You will receive one FREE copy of The Book of Answers per order. This is just another way we can say thanks for reading FEDweek and doing business with us. FEDweek 11551 Nuckols Rd. Suite L Glen Allen, VA 23059 (804) 288-5321 Website: http://fedweek.sparklist.com/t/294933846/821888/296/0/ --- You are subscribed to fedweek as [EMAIL PROTECTED] To unsubscribe, send a blank email to [EMAIL PROTECTED] [Non-text portions of this message have been removed] ------------------------ Yahoo! Groups Sponsor --------------------~--> Make a clean sweep of pop-up ads. Yahoo! Companion Toolbar. Now with Pop-Up Blocker. Get it for free! http://us.click.yahoo.com/L5YrjA/eSIIAA/yQLSAA/BCfwlB/TM --------------------------------------------------------------------~-> Yahoo! Groups Links <*> To visit your group on the web, go to: http://groups.yahoo.com/group/kumpulan/ <*> To unsubscribe from this group, send an email to: [EMAIL PROTECTED] <*> Your use of Yahoo! Groups is subject to: http://docs.yahoo.com/info/terms/
