
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 5USC5304]

 
             TITLE 5--GOVERNMENT ORGANIZATION AND EMPLOYEES
 
                           PART III--EMPLOYEES
 
                      Subpart D--Pay and Allowances
 
                    CHAPTER 53--PAY RATES AND SYSTEMS
 
                 SUBCHAPTER I--PAY COMPARABILITY SYSTEM
 
Sec. 5304. Locality-based comparability payments

    (a) Pay disparities shall be identified and reduced as follows:
        (1) Comparability payments shall be payable within each locality 
    determined to have a pay disparity greater than 5 percent.
        (2)(A) The localities having pay disparities, and the size of 
    those disparities, shall, for purposes of any comparability payment 
    scheduled to take effect in any calendar year, be determined in 
    accordance with the appropriate report, as prepared and submitted to 
    the President under subsection (d)(1) for purposes of such calendar 
    year.
        (B) Any computation necessary to determine the size of the 
    comparability payment to become payable for any locality in a year 
    (as well as any determination as to the size of any pay disparity 
    remaining after that comparability payment is made) shall likewise 
    be made using data contained in the appropriate report (described in 
    subparagraph (A)) so prepared and submitted for purposes of such 
    calendar year.
        (3) Subject to paragraph (4), the amount of the comparability 
    payments payable under this subsection in a calendar year within any 
    locality in which a comparability payment is payable shall be 
    computed using such percentage as the President determines for such 
    locality under subsection (d)(2), except that--
            (A) the percentage for the first calendar year in which any 
        amounts are payable under this section may not be less than \1/
        5\ of the amount needed to reduce the pay disparity of the 
        locality involved to 5 percent;
            (B) the percentage for the second calendar year in which any 
        amounts are payable under this section may not be less than \3/
        10\ of the amount needed to reduce the pay disparity of the 
        locality involved to 5 percent;
            (C) the percentage for the third calendar year in which any 
        amounts are payable under this section may not be less than \2/
        5\ of the amount needed to reduce the pay disparity of the 
        locality involved to 5 percent;
            (D) the percentage for the fourth calendar year in which any 
        amounts are payable under this section may not be less than \1/
        2\ of the amount needed to reduce the pay disparity of the 
        locality involved to 5 percent;
            (E) the percentage for the fifth calendar year in which any 
        amounts are payable under this section may not be less than \3/
        5\ of the amount needed to reduce the pay disparity of the 
        locality involved to 5 percent;
            (F) the percentage for the sixth calendar year in which any 
        amounts are payable under this section may not be less than \7/
        10\ of the amount needed to reduce the pay disparity of the 
        locality involved to 5 percent;
            (G) the percentage for the seventh calendar year in which 
        any amounts are payable under this section may not be less than 
        \4/5\ of the amount needed to reduce the pay disparity of the 
        locality involved to 5 percent;
            (H) the percentage for the eighth calendar year in which any 
        amounts are payable under this section may not be less than \9/
        10\ of the amount needed to reduce the pay disparity of the 
        locality involved to 5 percent; and
            (I) the percentage for the ninth calendar year in which any 
        amounts are payable under this section, and any year thereafter, 
        may not be less than the full amount necessary to reduce the pay 
        disparity of the locality involved to 5 percent.

        (4) Nothing in this section shall be considered to preclude the 
    President, in his discretion, from adjusting comparability payments 
    to a level higher than the minimum level otherwise required in a 
    calendar year, including to the level necessary to eliminate a 
    locality's pay disparity completely.

    (b) After the ninth calendar year (referred to in subsection 
(a)(3)(I)), the level of comparability payments payable within such 
locality may be reduced for any subsequent calendar year, but only if, 
or to the extent that, the reduction would not immediately create 
another pay disparity in excess of 5 percent within the locality (taking 
into consideration any comparability payments remaining payable).
    (c)(1) The amount of the comparability payment payable within any 
particular locality during a calendar year--
        (A) shall be stated as a single percentage, which shall be 
    uniformly applicable to General Schedule positions within the 
    locality; and
        (B) shall, for any employee entitled to receive a comparability 
    payment, be computed by applying that percentage to such employee's 
    scheduled rate of basic pay (or, if lower due to a limitation on the 
    rate payable, the rate actually payable), subject to subsection (g).

    (2) A comparability payment--
        (A) shall be considered to be part of basic pay for purposes of 
    retirement under chapter 83 or 84, as applicable, life insurance 
    under chapter 87, and premium pay under subchapter V of chapter 55, 
    and for such other purposes as may be expressly provided for by law 
    or as the Office of Personnel Management may by regulation 
    prescribe; and
        (B) shall be paid in the same manner and at the same time as the 
    basic pay payable to such employee pursuant to any provision of law 
    outside of this section.

    (3) Nothing in this subchapter shall be considered to permit or 
require that any portion of a comparability payment be taken into 
account for purposes of any adjustment under section 5303.
    (4)(A) Only employees receiving scheduled rates of basic pay 
(subject to any pay limitation which may apply) shall be eligible for 
comparability payments under this section.
    (B) Comparability payments shall not be payable for service 
performed in any position which may not, under subsection (f)(1)(A), be 
included within a pay locality.
    (d) In order to carry out this section, the President shall--
        (1) direct such agent as he considers appropriate to prepare and 
    submit to him annually, after considering such views and 
    recommendations as may be submitted under subsection (e) (but not 
    later than 13 months before the start of the calendar year for 
    purposes of which it is prepared), a report that--
            (A) compares the rates of pay under the General Schedule 
        (disregarding any described in section 5302(8)(C)) \1\ with the 
        rates of pay generally paid to non-Federal workers for the same 
        levels of work within each pay locality, as determined on the 
        basis of appropriate surveys that shall be conducted by the 
        Bureau of Labor Statistics;
---------------------------------------------------------------------------
    \1\ See References in Text note below.
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            (B) based on data from such surveys, identifies each 
        locality in which a pay disparity exists and specifies the size 
        of each such pay disparity (before and after taking into 
        consideration any comparability payments payable);
            (C) makes recommendations for appropriate comparability 
        payments, in conformance with applicable requirements of this 
        section; and
            (D) includes the views and recommendations submitted under 
        subsection (e);

        (2) after considering the report of his agent (including the 
    views and recommendations referred to in subsection (e)(2)(C), 
    provide for or adjust comparability payments in conformance with 
    applicable requirements of this section, effective as of the 
    beginning of the first applicable pay period commencing on or after 
    January 1 of the applicable year; and
        (3) transmit to Congress a report of the actions taken under 
    paragraph (2) (together with a copy of the report submitted to him 
    by his agent, including the views and recommendations referred to in 
    subsection (e)(2)(C)) which shall--
            (A) identify each pay locality;
            (B) specify which localities have pay disparities in excess 
        of 5 percent, and the size of the disparity existing in each of 
        those localities, according to the pay agent's most recent 
        report under paragraph (1) (before and after taking into 
        consideration any comparability payments payable); and
            (C) indicate the size of the respective comparability 
        payments (expressed as percentages) which will be in effect 
        under paragraph (2) for the various pay localities specified 
        under subparagraph (B) for the applicable calendar year.

    (e)(1) The President shall establish a Federal Salary Council of 9 
members, of whom--
        (A) 3 shall be chosen from among persons generally recognized 
    for their impartiality, knowledge, and experience in the field of 
    labor relations and pay policy; and
        (B) 6 shall be representatives of employee organizations which 
    represent substantial numbers of employees holding General Schedule 
    positions, and who shall be selected giving due consideration to 
    such factors as the relative numbers of employees represented by the 
    various organizations, except that not more than 3 members of the 
    Council at any one time shall be from a single employee 
    organization, council, federation, alliance, association, or 
    affiliation of employee organizations.

Members of the Council shall not receive pay by reason of their service 
on the Council, nor shall members who are not otherwise employees of the 
United States be considered employees by reason of any such service. 
However, members under subparagraph (A) may be paid expenses in 
accordance with section 5703. The President shall designate one of the 
members to serve as Chairman of the Federal Salary Council. One of the 3 
members under subparagraph (A) may be the Chairman of the Federal 
Prevailing Rate Advisory Committee, notwithstanding the restriction 
under section 5347(a)(1), and such individual may also be designated to 
serve as Chairman of the Federal Salary Council.
    (2) The pay agent shall--
        (A) provide for meetings with the Council and give thorough 
    consideration to the views and recommendations of the Council and 
    the individual views and recommendations, if any, of the members of 
    the Council regarding--
            (i) the establishment or modification of pay localities;
            (ii) the coverage of the surveys of pay localities conducted 
        by the Bureau of Labor Statistics under subsection (d)(1)(A) 
        (including, but not limited to, the occupations, establishment 
        sizes, and industries to be surveyed, and how pay localities are 
        to be surveyed);
            (iii) the process of comparing the rates of pay payable 
        under the General Schedule with rates of pay for the same levels 
        of work performed by non-Federal workers; and
            (iv) the level of comparability payments that should be paid 
        in order to eliminate or reduce pay disparities in accordance 
        with the requirements of this section;

        (B) give thorough consideration to the views and recommendations 
    of employee organizations not represented on the Council regarding 
    the subjects in subparagraph (A)(i)-(iv); and
        (C) include in its report to the President the views and 
    recommendations submitted as provided in this subsection by the 
    Council, by any member of the Council, and by employee organizations 
    not represented on the Council.

    (f)(1) The pay agent may provide for such pay localities as the pay 
agent considers appropriate, except that--
        (A) each General Schedule position (excluding any outside the 
    continental United States, as defined in section 5701(6)) shall be 
    included with a pay locality; and
        (B) the boundaries of pay localities shall be determined based 
    on appropriate factors which may include local labor market 
    patterns, commuting patterns, and practices of other employers.

    (2)(A) The establishment or modification of any such boundaries 
shall be effected by regulations which, notwithstanding subsection 
(a)(2) of section 553, shall be promulgated in accordance with the 
notice and comment requirements of such section.
    (B) Judicial review of any regulation under this subsection shall be 
limited to whether or not it was promulgated in accordance with the 
requirements referred to in subparagraph (A).
    (g)(1) Except as provided in paragraph (2), comparability payments 
may not be paid at a rate which, when added to the rate of basic pay 
otherwise payable to the employee involved, would cause the total to 
exceed the rate of basic pay payable for level IV of the Executive 
Schedule.
    (2) The applicable maximum under this subsection shall be level III 
of the Executive Schedule for--
        (A) positions under subparagraphs (A)-(E) of subsection (h)(1); 
    and
        (B) any positions under subsection (h)(1)(F) which the President 
    may determine.

    (h)(1) For the purpose of this subsection, the term ``position'' 
means--
        (A) a position to which section 5376 applies (relating to 
    certain senior-level positions);
        (B) a Senior Executive Service position under section 3132;
        (C) a position in the Federal Bureau of Investigation and Drug 
    Enforcement Administration Senior Executive Service under section 
    3151;
        (D) a position to which section 5372 applies (relating to 
    administrative law judges appointed under section 3105);
        (E) a position to which section 5372a applies (relating to 
    contract appeals board members); and
        (F) a position within an Executive agency not covered under the 
    General Schedule or any of the preceding subparagraphs, the rate of 
    basic pay for which is (or, but for this section, would be) no more 
    than the rate payable for level IV of the Executive Schedule;

but does not include--
        (i) a position to which subchapter IV applies (relating to 
    prevailing rate systems);
        (ii) a position as to which a rate of pay is authorized under 
    section 5377 (relating to critical positions); or
        (iii) a position to which subchapter II applies (relating to the 
    Executive Schedule).

    (2)(A) Notwithstanding subsection (c)(4) or any other provision of 
this section, but subject to subparagraph (B) and paragraph (3), upon 
the request of the head of an Executive agency with respect to 1 or more 
categories of positions, the President may provide that each employee of 
such agency who holds a position within such category, and within the 
particular locality involved, shall be entitled to receive comparability 
payments.
    (B) A request by an agency head or exercise of authority by the 
President under subparagraph (A) shall cover--
        (i) with respect to the positions under subparagraphs (A) 
    through (E) of paragraph (1), all positions described in the 
    subparagraph or subparagraphs involved (excluding any under clause 
    (i) or (ii) of such paragraph); and
        (ii) with respect to positions under paragraph (1)(F), such 
    positions as may be considered appropriate (excluding any under 
    clause (i) or (ii) of paragraph (1)).

    (C) Notwithstanding subsection (c)(4) or any other provision of law, 
but subject to paragraph (3), in the case of a category with positions 
that are in more than 1 Executive agency, the President may, on his own 
initiative, provide that each employee who holds a position within such 
category, and in the locality involved, shall be entitled to receive 
comparability payments. No later than 30 days before an employee 
receives comparability payments under this subparagraph, the President 
or the President's designee shall submit a detailed report to the 
Congress justifying the reasons for the extension, including 
consideration of recruitment and retention rates and the expense of 
extending locality pay.
    (3) Comparability payments under this subsection--
        (A) may be paid only in any calendar year in which comparability 
    payments under the preceding provisions of this section are payable 
    with respect to General Schedule positions within the same locality;
        (B) shall take effect, within the locality involved, on the 
    first day of the first applicable pay period commencing on or after 
    such date as the President designates (except that no date may be 
    designated which would require any retroactive payments), and shall 
    remain in effect through the last day of the last applicable pay 
    period commencing during that calendar year;
        (C) shall be computed using the same percentage as is 
    applicable, for the calendar year involved, with respect to General 
    Schedule positions within the same locality; and
        (D) shall be subject to the applicable limitation under 
    subsection (g).

    (i) The Office of Personnel Management may prescribe regulations, 
consistent with the provisions of this section, governing the payment of 
comparability payments to employees.

(Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 459; Pub. L. 91-375, 
Sec. 6(c)(11), Aug. 12, 1970, 84 Stat. 776; Pub. L. 95-454, title IX, 
Sec. 906(a)(2), Oct. 13, 1978, 92 Stat. 1224; Pub. L. 96-465, title II, 
Sec. 2314(c)(3), Oct. 17, 1980, 94 Stat. 2168; Pub. L. 101-509, title V, 
Sec. 529 [title I, Sec. 101(a)(1)], Nov. 5, 1990, 104 Stat. 1427, 1431; 
Pub. L. 102-378, Sec. 2(26), Oct. 2, 1992, 106 Stat. 1348.)

                      Historical and Revision Notes
------------------------------------------------------------------------
                                                    Revised Statutes and
     Derivation                U.S. Code             Statutes at Large
------------------------------------------------------------------------
                     5 U.S.C. 1174.                Oct. 11, 1962, Pub.
                                                    L. 87-793, Sec.
                                                    505, 76 Stat. 842.
------------------------------------------------------------------------

    The words ``agencies'' and ``regulations'' are substituted for 
``departments'' and ``rules'', respectively.
    Standard changes are made to conform with the definitions applicable 
and the style of this title as outlined in the preface to the report.

                       References in Text

    The General Schedule, referred to in text, is set out under section 
5332 of this title.
    Section 5302(8)(C), referred to in subsec. (d)(1)(A), was 
redesignated 5302(8)(B) of this title by Pub. L. 103-89, 
Sec. 3(b)(1)(E)(i)(II), Sept. 30, 1993, 107 Stat. 981.
    Levels III and IV of the Executive Schedule, referred to in subsecs. 
(g) and (h)(1)(F), are set out in sections 5314 and 5315, respectively, 
of this title.


                               Amendments

    1992--Subsec. (a)(3). Pub. L. 102-378, Sec. 2(26)(A)(i), substituted 
``Subject to paragraph (4),'' for ``Subject to paragraphs (4) and (5),'' 
and ``a comparability payment'' for ``a comparative payment''.
    Subsec. (a)(3)(H). Pub. L. 102-378, Sec. 2(26)(A)(ii), inserted 
``and'' after semicolon at end.
    Subsec. (a)(3)(I). Pub. L. 102-378, Sec. 2(26)(A)(iii), substituted 
a period for semicolon at end.
    Subsec. (d)(1)(A). Pub. L. 102-378, Sec. 2(26)(B), inserted 
``(disregarding any described in section 5302(8)(C))'' after ``General 
Schedule'' and struck out ``annual'' before ``surveys''.
    Subsec. (e)(1). Pub. L. 102-378, Sec. 2(26)(C)(i), inserted after 
second sentence ``However, members under subparagraph (A) may be paid 
expenses in accordance with section 5703.''
    Subsec. (e)(2)(A)(ii). Pub. L. 102-378, Sec. 2(26)(C)(ii), 
substituted ``surveys of pay localities'' for ``annual survey'' and 
``industries'' for ``industries,''.
    Subsec. (g)(2). Pub. L. 102-378, Sec. 2(26)(D), amended par. (2) 
generally. Prior to amendment, par. (2) read as follows: ``For positions 
under subparagraphs (A)-(E) of subsection (h)(1), the applicable maximum 
under this subsection shall be level III of the Executive Schedule.''
    Subsec. (h)(1)(F). Pub. L. 102-378, Sec. 2(26)(E)(i)(I), amended 
subpar. (F) generally. Prior to amendment, subpar. (F) read as follows: 
``a position within an Executive agency not covered under any of the 
preceding subparagraphs, the rate of basic pay for which is (or, but for 
this section, would be) less than the rate payable for level V of the 
Executive Schedule;''.
    Subsec. (h)(1)(iii). Pub. L. 102-378, Sec. 2(26)(E)(i)(II)-(IV), 
added cl. (iii).
    Subsec. (h)(2)(C). Pub. L. 102-378, Sec. 2(26)(E)(ii), added subpar. 
(C).
    Subsec. (h)(3)(B). Pub. L. 102-378, Sec. 2(26)(E)(iii), amended 
subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: 
``shall be payable, within the locality involved, for the entirety of 
each calendar year for which authority is granted by the President;''.
    1990--Pub. L. 101-509 amended section generally, substituting 
provisions relating to locality-based comparability payments for 
provisions making functions, duties, and regulations of agencies and 
Office of Personnel Management with respect to this subchapter subject 
to Presidential policies and regulations.
    1980--Pub. L. 96-465 substituted ``the Foreign Service Act of 1980'' 
for ``chapter 14 of title 22'' in provisions preceding par. (1).
    1978--Pub. L. 95-454 substituted ``Office of Personnel Management'' 
for ``Civil Service Commission''.
    1970--Pub. L. 91-375 struck out provisions making functions, duties 
and regulations of the agencies and the Civil Service Commission with 
respect to the provisions of part III of title 39 relating to employees 
in the postal field service subject to Presidential policies and 
regulations.


                    Effective Date of 1990 Amendment

    Amendment by Pub. L. 101-509 effective on such date as the President 
shall determine, but not earlier than 90 days, and not later than 180 
days, after Nov. 5, 1990, with provision that first calendar year in 
which comparability payments under this section are paid shall be 
calendar year beginning Jan. 1, 1994, see section 529 [title III, 
Sec. 305] of Pub. L. 101-509, set out as a note under section 5301 of 
this title.


                    Effective Date of 1980 Amendment

    Amendment by Pub. L. 96-465 effective Feb. 15, 1981, except as 
otherwise provided, see section 2403 of Pub. L. 96-465, set out an 
Effective Date note under section 3901 of Title 22, Foreign Relations 
and Intercourse.


                    Effective Date of 1978 Amendment

    Amendment by Pub. L. 95-454 effective 90 days after Oct. 13, 1978, 
see section 907 of Pub. L. 95-454, set out as a note under section 1101 
of this title.


                    Effective Date of 1970 Amendment

    Amendment by Pub. L. 91-375 effective within 1 year after Aug. 12, 
1970, on date established therefor by Board of Governors of United 
States Postal Service and published by it in Federal Register, see 
section 15(a) of Pub. L. 91-375, set out as an Effective Date note 
preceding section 101 of Title 39, Postal Service.

                         Delegation of Functions

    For designation of agents of President under subsecs. (d)(1) and (h) 
of this section, see Ex. Ord. No. 12748, Sec. 2(a), Feb. 1, 1991, 56 
F.R. 4521, eff. Feb. 3, 1991, set out as a note under section 5301 of 
this title.


     Comparability Payments Between 2002 and 2007; Comparisons and 
                Recommendations; Revision of Methodology

    Pub. L. 106-554, Sec. 1(a)(3) [title VI, Sec. 637], Dec. 21, 2000, 
114 Stat. 2763, 2763A-165, provided that:
    ``(a) For purposes of this section--
        ``(1) the term `comparability payment' refers to a locality-
    based comparability payment under section 5304 of title 5, United 
    States Code;
        ``(2) the term `President's pay agent' refers to the pay agent 
    described in section 5302(4) of such title; and
        ``(3) the term `pay locality' has the meaning given such term by 
    section 5302(5) of such title.
    ``(b) Notwithstanding any provision of section 5304 of title 5, 
United States Code, for purposes of determining appropriate pay 
localities and making comparability payment recommendations, the 
President's pay agent may, in accordance with succeeding provisions of 
this section, make comparisons of General Schedule pay and non-Federal 
pay within any of the metropolitan statistical areas described in 
subsection (d)(3), using--
        ``(1) data from surveys of the Bureau of Labor Statistics;
        ``(2) salary data sets obtained under subsection (c); or
        ``(3) any combination thereof.
    ``(c) To the extent necessary in order to carry out this section, 
the President's pay agent may obtain any salary data sets (referred to 
in subsection (b)) from any organization or entity that regularly 
compiles similar data for businesses in the private sector.
    ``(d)(1)(A) This paragraph applies with respect to the five 
metropolitan statistical areas described in paragraph (3) which--
        ``(i) have the highest levels of nonfarm employment (as 
    determined based on data made available by the Bureau of Labor 
    Statistics); and
        ``(ii) as of the date of the enactment of this Act [Dec. 21, 
    2000], have not previously been surveyed by the Bureau of Labor 
    Statistics (as discrete pay localities) for purposes of section 5304 
    of title 5, United States Code.
    ``(B) The President's pay agent, based on such comparisons under 
subsection (b) as the pay agent considers appropriate, shall: (i) 
determine whether any of the five areas under subparagraph (A) warrants 
designation as a discrete pay locality; and (ii) if so, make 
recommendations as to what level of comparability payments would be 
appropriate during 2002 for each area so determined.
    ``(C)(i) Any recommendations under subparagraph (B)(ii) shall be 
included--
        ``(I) in the pay agent's report under section 5304(d)(1) of 
    title 5, United States Code, submitted for purposes of comparability 
    payments scheduled to become payable in 2002; or
        ``(II) if compliance with subclause (I) is impracticable, in a 
    supplementary report which the pay agent shall submit to the 
    President and the Congress no later than March 1, 2001.
    ``(ii) In the event that the recommendations are completed in time 
to be included in the report described in clause (i)(I), a copy of those 
recommendations shall be transmitted by the pay agent to the Congress 
contemporaneous with their submission to the President.
    ``(D) Each of the five areas under subparagraph (A) that so 
warrants, as determined by the President's pay agent, shall be 
designated as a discrete pay locality under section 5304 of title 5, 
United States Code, in time for it to be treated as such for purposes of 
comparability payments becoming payable in 2002.
    ``(2) The President's pay agent may, at any time after the 180th day 
following the submission of the report under subsection (f), make any 
initial or further determinations or recommendations under this section, 
based on any pay comparisons under subsection (b), with respect to any 
area described in paragraph (3).
    ``(3) An area described in this paragraph is any metropolitan 
statistical area within the continental United States that (as 
determined based on data made available by the Bureau of Labor 
Statistics and the Office of Personnel Management, respectively) has a 
high level of nonfarm employment and at least 2,500 General Schedule 
employees whose post of duty is within such area.
    ``(e)(1) The authority under this section to make pay comparisons 
and to make any determinations or recommendations based on such 
comparisons shall be available to the President's pay agent only for 
purposes of comparability payments becoming payable on or after January 
1, 2002, and before January 1, 2007, and only with respect to areas 
described in subsection (d)(3).
    ``(2) Any comparisons and recommendations so made shall, if included 
in the pay agent's report under section 5304(d)(1) of title 5, United 
States Code, for any year (or the pay agent's supplementary report, in 
accordance with subsection (d)(1)(C)(i)(II)), be considered and acted on 
as the pay agent's comparisons and recommendations under such section 
5304(d)(1) for the area and the year involved.
    ``(f)(1) No later than March 1, 2001, the President's pay agent 
shall submit to the Committee on Government Reform of the House of 
Representatives, the Committee on Governmental Affairs of the Senate, 
and the Committees on Appropriations of the House of Representatives and 
of the Senate, a report on the use of pay comparison data, as described 
in subsection (b)(2) or (3) (as appropriate), for purposes of 
comparability payments.
    ``(2) The report shall include the cost of obtaining such data, the 
rationale underlying the decisions reached based on such data, and the 
relative advantages and disadvantages of using such data (including 
whether the effort involved in analyzing and integrating such data is 
commensurate with the benefits derived from their use). The report may 
include specific recommendations regarding the continued use of such 
data.
    ``(g)(1) No later than May 1, 2001, the President's pay agent shall 
prepare and submit to the committees specified in subsection (f)(1) a 
report relating to the ongoing efforts of the Office of Personnel 
Management, the Office of Management and Budget, and the Bureau of Labor 
Statistics to revise the methodology currently being used by the Bureau 
of Labor Statistics in performing its surveys under section 5304 of 
title 5, United States Code.
    ``(2) The report shall include a detailed accounting of any concerns 
the pay agent may have regarding the current methodology, the specific 
projects the pay agent has directed any of those agencies to undertake 
in order to address those concerns, and a time line for the anticipated 
completion of those projects and for implementation of the revised 
methodology.
    ``(3) The report shall also include recommendations as to how those 
ongoing efforts might be expedited, including any additional resources 
which, in the opinion of the pay agent, are needed in order to expedite 
completion of the activities described in the preceding provisions of 
this subsection, and the reasons why those additional resources are 
needed.''


   Freeze of Current Rate for Locality-based Comparability Adjustments

    Pub. L. 106-554, Sec. 1(a)(4) [div. B, title IX, Sec. 902(b)], Dec. 
21, 2000, 114 Stat. 2763, 2763A-304, provided that: ``Notwithstanding 
any other provision of law, including this title [enacting provisions 
set out as notes under sections 5301 and 5305 of this title and section 
204 of Title 3, The President, and amending provisions set out as a note 
under section 5305 of this title], or any provision of law amended by 
this title, no officer or member of the United States Secret Service 
Uniformed Division or the United States Park Police may be paid locality 
pay under section 5304 or section 5304a of title 5, United States Code, 
at a percentage rate for the applicable locality in excess of the rate 
in effect for pay periods during calendar year 2000.''


                 Comparability Payments in 1994 and 1995

    Pub. L. 103-329, title VI, Sec. 630(b), (c), Sept. 30, 1994, 108 
Stat. 2424, provided that:
    ``(b) For purposes of any locality-based comparability payments 
taking effect in fiscal year 1995 under subchapter I of chapter 53 of 
title 5, United States Code (whether by adjustment or otherwise), 
section 5304(a) of such title shall be deemed to be without force or 
effect.
    ``(c) Notwithstanding section 5304(a)(3)(B) of title 5, United 
States Code, the annualized cost of pay adjustments made under section 
5304 of such title in calendar year 1995 shall be equal to 0.6 percent 
of the estimated aggregate fiscal year 1995 executive branch civilian 
payroll--
        ``(1) as determined by the pay agent (within the meaning of 
    section 5302 of such title); and
        ``(2) determined as if the rates of pay and comparability 
    payments payable on September 30, 1994, had remained in effect.''
    Section 8(b) of Pub. L. 102-378 provided that: ``Notwithstanding 
section 5304 of title 5, United States Code, for purposes of any 
comparability payments scheduled to take effect under such section 
during calendar years 1994 and 1995, respectively--
        ``(1) the report required by subsection (d)(1) of such section 
    may be submitted not later than 1 month before the start of the 
    calendar year for purposes of which it is prepared; and
        ``(2) the surveys conducted by the Bureau of Labor Statistics 
    for use in preparing any such report may be other than annual 
    surveys, and shall, to the greatest extent practicable, be completed 
    not later than 4 months before the start of the calendar year for 
    purposes of which the surveys are conducted.''


                     Interim Geographic Adjustments

    Section 529 [title III, Sec. 302] of Pub. L. 101-509, as amended by 
Pub. L. 102-378, Sec. 3(4), Oct. 2, 1992, 106 Stat. 1356; Pub. L. 103-
89, Sec. 3(b)(2), Sept. 30, 1993, 107 Stat. 982, provided that:
    ``(a) Definitions.--For the purpose of this section--
        ``(1) the term `area' means any consolidated metropolitan 
    statistical area, primary metropolitan statistical area, or 
    metropolitan statistical area, with at least 5,000 General Schedule 
    employees; and
        ``(2) the term `pay relative' shall have the meaning given such 
    term under regulations prescribed by the Bureau of Labor Statistics.
    ``(b) Authority.--(1) The President may establish geographic 
adjustments of up to 8 percent of basic pay which may be paid to each 
General Schedule employee whose duty station is within any area where 
such adjustment is needed (as determined under paragraph (2)).
    ``(2) In determining areas where an interim geographic adjustment is 
needed, the President shall consider available evidence of significant 
pay disparities, including BLS information on pay relatives and relevant 
commercial surveys, and recruitment or retention problems.
    ``(c) Administration.--(1) An adjustment under this section shall be 
administered, to the extent practicable, in the same manner as locality-
based comparability payments under subchapter I of chapter 53 of title 
5, United States Code (as amended by this Act), including in terms of--
        ``(A) the basic pay to which a percentage is applied in 
    computing an amount payable under this section;
        ``(B) the purposes for which any amount under this section is to 
    be considered part of basic pay;
        ``(C) the time and manner in which amounts under this section 
    are to be paid (including any maximum rate limitation); and
        ``(D) the authority of the President, upon request of an agency 
    head, to extend this section to employees who would not otherwise be 
    covered.
    ``(2) No amount payable under this section shall be taken into 
account in any survey or computation under, or for any other purpose in 
the administration of, section 5304 of title 5, United States Code (as 
so amended).
    ``(d) Commencement and Termination Rules.--(1) The effective date of 
an adjustment under this section shall be as determined by the 
President, but not later than January 1, 1994.
    ``(2)(A) The size of any payments under this section may be reduced 
or terminated after the amendments made by section 101 of this Act 
[section 529 [title I, Sec. 101] of Pub. L. 101-509, see Tables for 
classification] take effect [see Effective Date of 1990 Amendment note 
set out under section 5301 of this title], except that the reduction or 
termination of a payment under this section may not have the effect of 
reducing, for the individual involved, the total rate at which 
additional forms of basic pay (as defined in subparagraph (B)) are 
payable to such individual.
    ``(B) The total rate to which subparagraph (A) applies is the sum 
of--
        ``(i) the rate at which comparability payments (under section 
    5304 of title 5, United States Code, as amended by such Act), are 
    payable; and
        ``(ii) the rate at which payments under this section are 
    payable.
    ``(e) Employees Receiving Special Pay Rates.--The President (or his 
designated agent) shall determine what, if any, geographic adjustment 
shall be payable under this section in the case of an employee whose 
rate of pay is fixed under section 5303 of title 5, United States Code 
(as in effect before the date of enactment of this Act [Nov. 5, 1990]), 
section 5305 of title 5, United States Code (as amended by section 101 
of this Act), or any similar provision of law.
    ``(f) Effective Date.--This section shall take effect on the date of 
enactment of this Act [Nov. 5, 1990].''
    [Amendment by Pub. L. 103-89 to section 529 [title III, Sec. 302] of 
Pub. L. 101-509, set out above, effective Nov. 1, 1993, see section 3(c) 
of Pub. L. 103-89, set out as an Effective Date of 1993 Amendment note 
under section 3372 of this title.]
    [Amendment by Pub. L. 102-378 to section 529 [title III, Sec. 302] 
of Pub. L. 101-509, set out above, effective Nov. 5, 1990, see section 
9(b)(6) of Pub. L. 102-378, set out as an Effective Date of 1992 
Amendment note under section 6303 of this title.]
    Interim geographic adjustments pursuant to section 529 [title III, 
Sec. 302] of Pub. L. 101-509, set out above, were provided by the 
following executive orders, formerly set out as notes under section 5332 
of this title, effective on the first day of first pay period beginning 
on or after the effective date shown:
    Ex. Ord. No. 12944, Dec. 28, 1994, 60 F.R. 309, effective Jan. 1, 
1995.
    Ex. Ord. No. 12826, Dec. 30, 1992, 57 F.R. 62909, effective Jan. 1, 
1993.
    Ex. Ord. No. 12786, Dec. 26, 1991, 56 F.R. 67453, effective Jan. 1, 
1992.
    Ex. Ord. No. 12736, Dec. 12, 1990, 55 F.R. 51385, effective Jan. 1, 
1991.

                        Executive Order No. 11073

    Ex. Ord. No. 11073, Jan. 7, 1963, 28 F.R. 203, as amended by Ex. 
Ord. No. 11173, Aug. 20, 1964, 29 F.R. 11999, which provided for Federal 
salary administration, was superseded by Ex. Ord. No. 11721, May 23, 
1973, 38 F.R. 13717, formerly set out below.

                        Executive Order No. 11721

    Ex. Ord. No. 11721, May 23, 1973, 38 F.R. 13717, as amended by Ex. 
Ord. No. 12004, July 20, 1977, 42 F.R. 37527; Ex. Ord. No. 12107, Dec. 
28, 1978, 44 F.R. 1055, which provided for administration of the Federal 
pay system, was revoked by Ex. Ord. No. 12748, Feb. 1, 1991, 56 F.R. 
4521, eff. Feb. 3, 1991, set out under section 5301 of this title.

               Ex. Ord. No. 12764. Federal Salary Council

    Ex. Ord. No. 12764, June 5, 1991, 56 F.R. 26587, provided:
    By the authority vested in me as President by the Constitution and 
the laws of the United States of America, including section 5304(e) of 
title 5, United States Code, as amended, and in order to establish, in 
accordance with the provisions of the Federal Advisory Committee Act, as 
amended (5 U.S.C. App.), an advisory committee on locality-based 
comparability payments for General Schedule employees, it is hereby 
ordered as follows:
    Section 1. Establishment. There is established a Federal Salary 
Council (the ``Council''). The Council shall be composed of nine members 
appointed by the President in accordance with section 5304(e)(1) of 
title 5, United States Code. The President shall designate one of the 
members to serve as Chairman of the Council and shall designate another 
member to serve as Vice Chairman of the Council. The Vice Chairman shall 
act as Chairman in the absence of the Chairman.
    Sec. 2. Function. The Council shall meet with the President's Pay 
Agent, as designated under section 2(a) of Executive Order No. 12748 of 
February 1, 1991 [5 U.S.C. 5301 note], to provide views and 
recommendations regarding:
    (a) the establishment or modification of pay localities;
    (b) the coverage of annual surveys conducted by the Bureau of Labor 
Statistics under subsection 5304(d)(1)(A) of title 5, United States Code 
(including, but not limited to, the occupations, establishment sizes, 
and industries to be surveyed, and how pay localities are to be 
surveyed);
    (c) the process of comparing the rates of pay payable under the 
General Schedule with rates of pay for the same levels of work performed 
by non-Federal workers; and
    (d) the level of comparability payments that should be paid in order 
to eliminate or reduce pay disparities in accordance with the 
requirements of section 5304 of title 5, United States Coce.
    Sec. 3. Administration. (a) Members of the Council shall receive no 
pay by reason of their service on the Council.
    (b) To the extent permitted by law and subject to the availability 
of appropriations, the Office of Personnel Management (the ``Office'') 
shall provide such facilities and administrative support to the Council 
as the Director of the Office determines appropriate.
    (c) Notwithstanding the provisions of any other Executive order, the 
functions of the President under the Federal Advisory Committee Act, as 
amended [5 App. U.S.C.], except that of reporting to the Congress, which 
are applicable to the Council, shall be performed by the Director of the 
Office, in accordance with the guidelines and procedures established by 
the Administrator of General Services.
                                                            George Bush.

                  Locality-Based Comparability Payments

    Ex. Ord. No. 13182, Dec. 23, 2000, 65 F.R. 82879, 66 F.R. 10057, set 
out as a note under section 5332 of this title, provided in part for 
payment of locality-based comparability payments effective on the first 
day of the first applicable pay period beginning on or after Jan. 1, 
2001. See Schedule set out as follows:

                               Schedule 9
                  Locality-Based Comparability Payments
(Effective on the first day of the first applicable pay period beginning
                      on or after January 1, 2001)

                     Locality Pay Area \1\                        Rate

Atlanta, GA...................................................     8.66%
Boston-Worcester-Lawrence, MA-NH-ME-CT-RI.....................    12.13%
Chicago-Gary-Kenosha, IL-IN-WI................................    13.00%
Cincinnati-Hamilton, OH-KY-IN.................................    10.76%
Cleveland-Akron, OH...........................................     9.17%
Columbus, OH..................................................     9.61%
Dallas-Fort Worth, TX.........................................     9.71%
Dayton-Springfield, OH........................................     8.60%
Denver-Boulder-Greeley, CO....................................    11.90%
Detroit-Ann Arbor-Flint, MI...................................    13.14%
Hartford, CT..................................................    12.65%
Houston-Galveston-Brazoria, TX................................    16.66%
Huntsville, AL................................................     8.12%
Indianapolis, IN..............................................     7.89%
Kansas City, MO-KS............................................     8.32%
Los Angeles-Riverside-Orange County, CA.......................    14.37%
Miami-Fort Lauderdale, FL.....................................    11.09%
Milwaukee-Racine, WI..........................................     8.91%
Minneapolis-St. Paul, MN-WI...................................    10.30%
New York-Northern New Jersey-Long Island, NY-NJ-CT-PA.........    13.62%
Orlando, FL...................................................     7.71%
Philadelphia-Wilmington-Atlantic City, PA-NJ-DE-MD............    10.80%
Pittsburgh, PA................................................     8.54%
Portland-Salem, OR-WA.........................................    10.32%
Richmond-Petersburg, VA.......................................     8.60%
Sacramento-Yolo, CA...........................................    10.73%
St. Louis, MO-IL..............................................     8.00%
San Diego, CA.................................................    11.31%
San Francisco-Oakland-San Jose, CA............................    16.98%
Seattle-Tacoma-Bremerton, WA..................................    10.45%
Washington-Baltimore, DC-MD-VA-WV.............................    10.23%
Rest of U.S...................................................     7.68%

\1\ Locality Pay Areas are defined in 5 CFR 531.603.

    Ex. Ord. No. 13144, Dec. 21, 1999, 64 F.R. 72237, which provided for 
payment of locality-based comparability payments effective Jan. 1, 2000, 
was superseded by Ex. Ord. No. 13182, Dec. 23, 2000, 65 F.R. 82879, set 
out as a note under section 5332 of this title.
    Ex. Ord. No. 13106, Dec. 7, 1998, 63 F.R. 68151, which provided for 
payment of locality-based comparability payments effective Jan. 1, 1999, 
was substantially superseded by Ex. Ord. No. 13144, Dec. 21, 1999, 64 
F.R. 72237, formerly set out as a note under section 5332 of this title.
    Ex. Ord. No. 13071, Dec. 29, 1997, 62 F.R. 68521, which provided for 
payment of locality-based comparability payments effective Jan. 1, 1998, 
was superseded by Ex. Ord. No. 13106, Dec. 7, 1998, 63 F.R. 68151, 
formerly set out as a note under section 5332 of this title.
    Ex. Ord. No. 13033, Dec. 27, 1996, 61 F.R. 68987, which provided for 
payment of locality-based comparability payments effective Jan. 1, 1997, 
was superseded by Ex. Ord. No. 13071, Dec. 29, 1997, 62 F.R. 68521, 
formerly set out as a note under section 5332 of this title.
    Ex. Ord. No. 12984, Dec. 28, 1995, 61 F.R. 237, which provided for 
payment of locality-based comparability payments effective Jan. 1, 1996, 
was superseded by Ex. Ord. No. 13033, Dec. 27, 1996, 61 F.R. 68987, 
formerly set out as a note under section 5332 of this title.
    Approval of locality-based comparability payments recommended by the 
Director of the Office of Personnel Management was contained in the 
following:
    Memorandum of President of the United States, Nov. 30, 1994, 59 F.R. 
62549.
    Memorandum of President of the United States, Dec. 1, 1993, 58 F.R. 
64097.

                  Section Referred to in Other Sections

    This section is referred to in sections 3161, 4505a, 5302, 5304a, 
5305, 5392, 5542, 5543, 5545, 5547, 5753, 5754, 5755 of this title; 
title 2 sections 609-1, 906; title 7 section 2009aa-1; title 20 section 
1018; title 21 section 379h; title 22 section 3974; title 28 section 
594; title 35 section 3; title 40 App. section 106.
