Federal Manager's Daily Report: Thursday, November 18, 2004 

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In This Week's Issue
1. Court Remands Decision Exempting Employee From 
Whistleblower Protection 
2. CPB to Install Employee Phone Following Mediation 
3. GAO: Better Planning and Execution Needed In SSA 
Demo Projects 
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1. Court Remands Decision Exempting Employee From Whistleblower 
Protection 
The U.S. Court of Appeals for Tthe Federal Circuit has 
reversed and remanded a decision by the Merit Systems 
Protection Board exempting a former Navy supervisory 
contracts specialist from whistleblower protections, 
finding that her organization was not "specifically 
designated" by the President as exempt. 

The Navy Office of Special Projects removed Carol 
Czarkowski's supervisory responsibilities in 1997 and 
placed her in a performance improvement plan, something 
she claimed was done in reprisal for disclosures she made 
to her supervisor that she said are protected under 
whistleblower law, according to the appeals court decision. 

It said that after an initial complaint to the Office of 
Special Counsel she filed an individual right of action 
with the Board, but an administrative judge dismissed it, 
saying she had not made a protected disclosure as a Schedule 
A employee covered by the act. 

On appeal, the Board remanded her claim, but the agency 
argued it did not have jurisdiction to do so because the 
OSP, where she initiated her complaint, was exempt from 
Board jurisdiction, according to the decision. 

It noted that certain employees are exempt from Board 
appeal rights under the whistleblower act, and it came 
down to whether the Office of Special Projects has been 
"determined by the President" to be an executive agency 
or unit thereof "the principal function of which is the 
conduct of foreign intelligence or counterintelligence 
activities."

According to the decision, "the record in this case 
reveals without dispute that the President, or his lawful 
delegate, has not made an actual determination expressly 
naming Ms. Czarkowski's unit as an exempt agency." 

The Navy again appealed, arguing that express action by 
the President identifying a particular agency is 
unnecessary to exempt an agency from Board review in WPA 
cases, yet without explicit exemption of her agency, 
according to the decision, Czarkowski "met her burden 
of establishing Board jurisdiction, and is protected by 
an appeal right to the Board of her claim of adverse 
personnel action by the agency in response to her 
allegedly protected disclosure," according to the appeals 
court. 

It said that on that basis it reversed the finding that 
her unit is exempt from the merit systems appeal process, 
and remanded for further adjudication under her 
whistleblower claim. http://www.fedcir.gov/opinions/03-3300.pdf

2. CPB to Install Employee Phone Following Mediation 
After resisting union attempts to overturn a management 
ban on cell phone and pagers in primary and secondary 
inspection areas, the Bureau of Customs and Border 
Protection will begin installing phones for employees 
working in those areas to get incoming emergency calls, 
the National Treasury Employees Union has announced. 

It said its approach to the "emergency notification 
system," which CPB management feared could still be used 
for criminal activity, won the approval of the Federal 
ServicesImpasses Panel, part of the Federal Labor Relations 
Authority. 

The panel rejected CPB's claim that the phone interfered 
with its management right to determine internal security 
practices, as well as its offer to relay emergency calls 
to employees in those areas from its national law 
enforcement communications center, instead finding the 
idea for a dedicated phone to be a reasonable solution, 
said the union.

3. GAO: Better Planning and Execution Needed In SSA Demo 
Projects 
The Social Security Administration has the authority to 
waive certain rules for demo projects exploring ways to 
encourage people to return to work and lessen their 
dependence on disability insurance, but has used it in 
limited ways, the Government Accountability Office has 
said.

While Congress is trying to determine if it should make 
permanent SSA's authority to waive certain disability 
insurance and Medicare program rules and use Social 
Security trust funds, GAO reported that the agency has 
focused "on a relatively narrow set of policy issues -- 
those dealing with the provision of vocational 
rehabilitation and employment services," according to 
GAO-05-19.

The report said that even though recent projects have 
experimented with measures such as reducing benefits 
based on earnings rather than terminating them, the 
agency still lacks systematic ways of ensuring it is 
fully leveraging its authority. 

GAO reported that the agency "has not developed a formal 
demonstration research agenda explicitly identifying its 
broad vision for using its DI demonstration authority and 
explaining how ongoing or proposed demonstration projects 
support achievement of the agency's goals and objectives."

It said the projects have little impact on DI policy 
issues, partly due to "methodological limitations that 
have prevented SSA from producing project results that 
are useful for reliably assessing DI policy alternatives."

Further, SSA lacks a "formal process" to ensure project 
results inform policy considerations, said GAO, noting that 
the agency does not keep complete records of demonstration 
results to make policy decisions and plan for further research. 

SSA stands to miss the opportunity to make its special 
authority permanent, but GAO stopped short of making 
that recommendation, saying instead that due to the way 
SSA manages the projects, Congress is not fully apprised 
of the project results or their policy implications.



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