A-44228, AUGUST 27, 1932, 12 COMP. GEN. 296

A-44228: Aug 27, 1932

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ECONOMY ACT - TEACHERS - ANNUAL RATE OF COMPENSATION SCHOOL-TEACHERS WHO WORK ONLY NINE MONTHS A YEAR AND ARE PAID NINE TWELFTHS OF AN ANNUAL RATE OF COMPENSATION. WHICH ANNUAL RATE IS MORE THAN $1. MUST HAVE THEIR COMPENSATION REDUCED AS REQUIRED BY SECTION 105 (D) OF THE ECONOMY ACT. AS FOLLOWS: THERE ARE EMPLOYED AT THE SCHOOLS MAINTAINED AT THE NAVAL PROVING GROUND. PRINCIPALS AND TEACHERS WHO ARE PAID ON AN ANNUAL SALARY BASIS. THE SCHOOL TERM LASTS NINE MONTHS AND THE CLASSES ARE IN SESSION FIVE DAYS IN EACH WEEK DURING THE TERM. THE PRINCIPALS AND TEACHERS PERFORM ALL OF THE WORK REQUIRED OF THEM DURING THE SCHOOL TERM AND WHILE THE CLASSES ARE IN SESSION. YOUR DECISION IS REQUESTED AS TO THE AMOUNT OF IMPOUND WHICH SHOULD BE MADE IN THE CASES OF THE ABOVE-MENTIONED EMPLOYEES UNDER THE PROVISIONS OF THE LEGISLATIVE APPROPRIATION ACT.

A-44228, AUGUST 27, 1932, 12 COMP. GEN. 296

ECONOMY ACT - TEACHERS - ANNUAL RATE OF COMPENSATION SCHOOL-TEACHERS WHO WORK ONLY NINE MONTHS A YEAR AND ARE PAID NINE TWELFTHS OF AN ANNUAL RATE OF COMPENSATION, WHICH ANNUAL RATE IS MORE THAN $1,000, MUST HAVE THEIR COMPENSATION REDUCED AS REQUIRED BY SECTION 105 (D) OF THE ECONOMY ACT.

COMPTROLLER GENERAL MCCARL TO THE SECRETARY OF THE NAVY, AUGUST 27, 1932:

THERE HAS BEEN RECEIVED YOUR LETTER OF AUGUST 19, 1932, AS FOLLOWS:

THERE ARE EMPLOYED AT THE SCHOOLS MAINTAINED AT THE NAVAL PROVING GROUND, DAHLGREN, VIRGINIA, AND THE NAVAL ORDNANCE PLANT, SOUTH CHARLESTON, WEST VIRGINIA, PRINCIPALS AND TEACHERS WHO ARE PAID ON AN ANNUAL SALARY BASIS, IN ACCORDANCE WITH RATES FIXED IN THE SCHEDULE OF WAGES FOR CIVIL EMPLOYEES IN THE FIELD SERVICE OF THE NAVY DEPARTMENT AND THE MARINE CORPS, BUT RECEIVE PAY ONLY FOR THE MONTHS THEY WORK.

THE SCHOOL TERM LASTS NINE MONTHS AND THE CLASSES ARE IN SESSION FIVE DAYS IN EACH WEEK DURING THE TERM. THE PRINCIPALS AND TEACHERS PERFORM ALL OF THE WORK REQUIRED OF THEM DURING THE SCHOOL TERM AND WHILE THE CLASSES ARE IN SESSION, BUT THE ACCOMPLISHMENT OF CLASS INSTRUCTION REQUIRES A CERTAIN AMOUNT OF WORK BY THEM OUTSIDE OF THE ESTABLISHED PERIODS FOR SUCH INSTRUCTION.

YOUR DECISION IS REQUESTED AS TO THE AMOUNT OF IMPOUND WHICH SHOULD BE MADE IN THE CASES OF THE ABOVE-MENTIONED EMPLOYEES UNDER THE PROVISIONS OF THE LEGISLATIVE APPROPRIATION ACT, APPROVED JUNE 30, 1932, AND THE PAY- ROLL PROCEDURE FOR PAY AND DEDUCTIONS.

IT IS REQUESTED THAT AN EARLY DECISION BE MADE ON THE QUESTION PRESENTED ABOVE, AS THE SCHOOL TERM STARTS IN SEPTEMBER.

IT MAY BE PRESUMED THAT THE SCHOOL-TEACHERS WORKING UNDER CONDITIONS STATED IN YOUR SUBMISSION DO NOT COME WITHIN THE 5-DAY WEEK OR THE FURLOUGH PROVISIONS OF SECTION 101 (A) OR 101 (B) OF THE ECONOMY ACT OF JUNE 30, 1932, 47 STAT. 399, AND, ACCORDINGLY, THERE ARE FOR APPLICATION THE PROVISIONS OF SECTION 105 (D) OF THAT ACT WHICH REQUIRE AN 8 1/3 PERCENT REDUCTION IN THE COMPENSATION OF EMPLOYEES RECEIVING PAY AT A "RATE" OF COMPENSATION BETWEEN $1,000 AND $10,000 PER YEAR. IT WILL BE NOTED THAT IT IS THE ANNUAL RATE OF COMPENSATION AND NOT THE AMOUNT ACTUALLY RECEIVED THAT DETERMINES WHETHER THE SALARY OF THE EMPLOYEE IS SUBJECT TO A REDUCTION AS RECEIVING MORE THAN $1,000 PER YEAR. ACCORDINGLY, IF THE TEACHERS, DUE TO THEIR LIMITED PERIOD OF SERVICE, RECEIVE NINE-TWELFTHS OF A SPECIFIC ANNUAL RATE AND THAT ANNUAL RATE IS MORE THAN $1,000, THE REDUCTION REQUIRED BY SECTION 105 (D) IS APPLICABLE. SEE GENERAL INSTRUCTIONS OF JULY 12, 1932, A 42691-43276, WITH RESPECT TO THE ACCOUNTING REQUIRED FOR SALARY REDUCTIONS UPON THE PAY ROLLS.