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The memo from OPM:
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The Potential Impact of a Lapse in Appropriations on Federal Employees
Overview
If the current continuing resolution expires at 12:01 a.m. on April 9, 2011 without passage of an FY 2011 appropriations bill or a further continuing resolution, Federal departments and agencies will be required to execute contingency plans for a lapse in appropriations (more commonly referred to as a "shutdown"). These contingency plans detail which agency activities are allowed by law to continue to operate, and which activities must stop. Employees whose salaries are funded through annual appropriations will not be able to work and will be furloughed, unless their duties qualify under the law as "excepted" to continue to work during periods of lapsed appropriations. During a shutdown, non-excepted employees are not permitted to work as unpaid volunteers for the government. Any paid leave (annual, sick, court, etc.) approved for use during the furlough period must be cancelled. An excepted employee who is absent from duty during the shutdown must be furloughed during such an absence.
Federal agencies do not have the authority to pay their employees during a shutdown, regardless of whether the employees are working as "excepted" or furloughed as "non-excepted". "Excepted" employees will receive pay for hours worked when the Congress passes and the President signs a new appropriation or continuing resolution. Congress will also determine whether "non-excepted" employees will receive pay for the furlough period.
Federal employees’ health benefits continue during a period of lapsed appropriations lasting less than 365 days, regardless of the "excepted" or "non-excepted" status of the employee. Federal Employees Group Life Insurance coverage continues for up to 12 consecutive months while in a non-pay status without cost to the employee or the agency.
Both Federal Long Term Care (LTC) and Federal Employees Dental and Vision Insurance Plan (FEDVIP) deductions will cease for "non-excepted" employees. The Office of Personnel Management (OPM) will provide information on how non-excepted employees can continue LTC and/or FEDVIP coverage, as well as details on other federal benefits, through its website (www.opm.gov). OPM will update the information on its website regarding these matters no later than Friday, April 8th.
Frequently Asked Questions
Q: What is a furlough?
A: A furlough is the placing of an employee in a temporary nonduty, nonpay status because of lack of work or funds, or other nondisciplinary reasons.
Q: What is a shutdown furlough and why is a shutdown furlough necessary?
A: In the event that funds are not available through an appropriations law or continuing resolution, a "shutdown" furlough occurs. A shutdown furlough is necessary when an agency no longer has the necessary funds to operate and must shut down those activities which are not excepted pursuant to the Antideficiency Act.
Q: Who are Excepted Employees?
A: In the context of shutdown furloughs, the term "excepted employees" is used to refer to employees who are funded through annual appropriations who are nonetheless excepted from the furlough because they are performing work that, by law, may continue to be performed during a lapse in appropriations. "Excepted employees" include employees who are (1) performing emergency work involving the safety of human life or the protection of property, (2) performing minimal activities as necessary to execute an orderly suspension of agency operations related to non-excepted activities, or (3) performing certain other types of excepted work. Agency legal counsels, working with senior agency managers, are determining which employees are designated to be handling "excepted" and "non-excepted" functions.
Other employees are "exempt" from furlough because they are not affected by a lapse in appropriations. This includes employees who are not funded by annually appropriated funds. It also includes those Presidential appointees who are not subject to a Federal employee leave system-i.e., who are entitled to an annual salary without consideration of the hours of duty required and thus cannot be placed in nonduty/nonpay status. (NOTE: Non-career SES and Schedule C employees do not fall into this category.)
All other employees funded through annual appropriations are not able to work during a "shutdown" and will be furloughed.
Q: How will employees be notified whether they have been designated to be handling "excepted" or "non-excepted" functions?
A: Each Agency will communicate with its employees regarding the method and timing of notification of whether they have been designated as an excepted or non-excepted employee.
Q: Are all employees who qualify as "emergency employees" for the purpose of weather emergencies considered to be "excepted employees" for the purpose of a shutdown furlough?
A: Not necessarily. "Emergency employees" are those employees who must report for work in emergency situations-e.g., severe weather conditions, air pollution, power failures, interruption of public transportation, and other situations in which significant numbers of employees are prevented from reporting for work or which require agencies to close all or part of their activities. Emergency employees are not automatically deemed excepted employees for purposes of shutdown furloughs. Each agency must determine which employees are excepted employees.
Questions regarding working during a furlough:
Q: May an employee volunteer to do his or her job on a non-pay basis during a shutdown furlough?
A: No. Unless otherwise authorized by law, an agency may not accept the voluntary services of an employee. (See 31 U.S.C. 1342.)
Q: May employees take other jobs while on furlough?
A: While on furlough, an individual remains an employee of the Federal Government. Therefore, executive branch-wide standards of ethical conduct and rules regarding outside employment continue to apply when an individual is furloughed (specifically, the executive branch-wide standards of ethical conduct (the standards), at 5 CFR part 2635). In addition, there are specific statutes which prohibit certain outside activities, and agency-specific supplemental rules that require prior approval of, and sometimes prohibit, outside employment. Therefore, before engaging in outside employment, employees should review these regulations and then consult their agency ethics official to learn if there are any agency-specific supplemental rules governing the employee.
Questions regarding pay:
Q: Will excepted employees be paid for performing work during a shutdown furlough? If so, when will excepted employees receive such payments?
A: Agencies will incur obligations to pay for services performed by excepted employees during a lapse in appropriations, and those employees will be paid when Congress passes and the President signs a new appropriation or continuing resolution.
Q: Will employees who are furloughed get paid?
A: Congress will determine whether "non-excepted" employees receive pay for the furlough period.
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