Federal Manager's Daily Report: Friday, December 24, 2004

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In This Week's Issue
1. OPM Audit Cautions NSF for Reliance on Temp Expertise 
2. Additional Overtime Pay Denied to Criminal Investigators 
For Past Work 
3. More Assistance Needed From DoE With NCLB School-Choice 
Provision 
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1. OPM Audit Cautions NSF for Reliance on Temp Expertise 
The National Science Foundation's use of temporary term 
employees gives it the scientific and engineering expertise 
it needs, but the agency needs to link its hiring authority 
to both short and long term needs, according to an audit by 
the Office of Personnel Management. 

It said the use of "rotators," authorized under the 
intergovernmental personnel act, allows NSF to exchange 
personnel with non-federal entities such as academic 
institutions, state governments and other eligible 
organizations, and that NSF uses IPA assignees, "as 
conduits to the scientific and engineering research 
community and as competent employees that can manage 
NSF's workforce."

Currently 20 percent of NSF's scientists and engineers 
are IPA assignees, and similarly, "a majority of NSF's 
top executive positions at the assistant director level 
are filled with IPA assignees," which OPM said "does not 
assure leadership continuity." 

The audit calls on NSF to submit an annual report on 
filling senior management positions, citing two cases 
where the agency illegally filled career reserved SES 
positions with IPA assignees to handle program and grants 
management and contract administration.  

2. Additional Overtime Pay Denied to Criminal Investigators 
For Past Work 
The appeals court for the Federal Circuit has upheld a 
lower court's decision to deny additional overtime pay 
to thousands of criminal investigators employed in 
various federal agencies between 1984 and 1995. 

The court of federal claims initially granted the 
government's dismissal of the "takings complaint" issued 
by 14,302 former GS- 9-13 criminal investigators in the 
Bureau of Alcohol Tobacco and Firearms, the Drug 
Enforcement Agency, the Internal Revenue Service, the 
Customs Service, and the Secret Service, according to 
the appeals court decision, 04-5012.

It said the appellants were seeking the difference in 
overtime compensation between what they got under federal 
employees pay law, and what they claim they are entitled
to under the Fair Labor Standards Act, which establishes 
minimum overtime pay at time-and-a-half. 

The appellants had been found exempt from the FLSA as 
"executive, administrative, or professional" employees, 
so they filed an "action at law" against the government 
under the Tucker Act, according to the decision. 

It said they also filed at the same time an administrative 
claim before the Government Accountability Office -- the 
other course of action federal employees may take to 
recover unpaid overtime -- challenging the exemption 
ruling and seeking damages stemming from the 
"misclassification." 

Later, the appellants argued that the dismissal of their 
case was in effect a "taking of their private property 
without just compensation."  

However, the claims court found that the appellants failed 
"to state a claim upon which relief may be granted," and 
the appeals court affirmed, saying that the "appellants do 
not have a cognizable property interest in either the 
underpaid overtime compensation or in an administrative 
claim thereto within the meaning of the Takings Clause of 
the Fifth Amendment."

3. More Assistance Needed From DoE With NCLB School-Choice 
Provision 
The Department of Education needs to give schools more 
technical assistance as well as carry out implementation 
studies to help schools implement a provision of the No 
Child Left Behind Act giving students in underperforming 
schools the right to transfer to another school in their 
district, the Government Accountability Office has said. 

It said the provision applies to schools that get Title I 
funds and have failed to meet state performance goals for 
two years in a row, and that one in ten of America's 
50,000 schools were up for choice in the first two years 
of the program -- with about one percent of eligible 
students, or about 31,000, acting on the option for the 
2003 - 2004 school year. 

According to GAO, "little is known about the students who 
did and did not transfer or factors affecting parents' 
transfer decisions," but a DoE study should yield 
information and officials in the eight districts GAO 
visited cited tight time frames and limited capacity to 
appropriately handle all newcomers, though they expressed 
support for any emphasis on higher performance. 

DoE needs to address the complexities of the program 
with further guidance, "such as how to handle cases where 
schools receiving transfers later are identified for 
choice and how to expand capacity in the short-term 
within budgetary constraints," said GAO-05-7.


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