B-149037, AUG. 1, 1962

B-149037: Aug 1, 1962

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LARKINS IS RECEIVING A RETIREMENT ANNUITY UNDER THE D.C. ON WHICH DATE HE WAS RETIRED FOR PHYSICAL DISABILITY. LARKINS WAS SERVING UNDER A PERMANENT APPOINTMENT UNDER THE CIVIL SERVICE REGULATIONS ON AUGUST 17. DEDUCTIONS FOR LIFE INSURANCE PURPOSES HAVE BEEN MADE FROM HIS SALARY FROM AUGUST 29. WAS HE PROPERLY COVERED UNDER THE GROUP LIFE INSURANCE ACT ON AUGUST 29. OR SHOULD HIS COVERAGE HAVE BEEN EFFECTED UNDER THE AMENDMENT TO THE ACT EFFECTIVE JANUARY 31. WHICH IS INCLUDED IN HIS PERSONNEL FOLDER. NO DEDUCTIONS HAVE BEEN MADE FROM HIS SALARY DURING HIS EMPLOYMENT IN THE FEDERAL SERVICE FOR THE ANNUITY HE RECEIVES UNDER THE D.C. IS PAYMENT OF HIS FULL SALARY CORRECT UNDER THE CIRCUMSTANCES?

B-149037, AUG. 1, 1962

TO ADMINISTRATOR HOUSING AND HOME FINANCE AGENCY:

ON MAY 29, 1962, YOU REQUESTED OUR DECISION ON SEVERAL QUESTIONS ARISING IN CONNECTION WITH THE EMPLOYMENT BY THE FEDERAL GOVERNMENT OF MR. JAMES M. LARKINS, PRESENTLY EMPLOYED AS AN INSURANCE EXAMINER WITH YOUR AGENCY.

YOU SAY THAT MR. LARKINS IS RECEIVING A RETIREMENT ANNUITY UNDER THE D.C. POLICE AND FIRE DEPARTMENT SYSTEM BASED UPON HIS SERVICE WITH THE DISTRICT OF COLUMBIA METROPOLITAN POLICE DEPARTMENT FROM AUGUST 1, 1924, TO MAY 31, 1941, ON WHICH DATE HE WAS RETIRED FOR PHYSICAL DISABILITY; ALSO, THAT HE RECEIVED AN APPOINTMENT WITH THE WAR DEPARTMENT ON JANUARY 20, 1942, WHERE HE REMAINED UNTIL HE TRANSFERRED TO THE FEDERAL HOUSING ADMINISTRATION ON OCTOBER 7, 1946.

YOU REQUEST OUR DECISION ON THE FOLLOWING QUESTIONS:

"1. MR. LARKINS WAS SERVING UNDER A PERMANENT APPOINTMENT UNDER THE CIVIL SERVICE REGULATIONS ON AUGUST 17, 1954, THE EFFECTIVE DATE OF THE FEDERAL EMPLOYEES' GROUP LIFE INSURANCE ACT. HE HAS BEEN CONTINUOUSLY EMPLOYED IN THE FEDERAL SERVICE FROM JANUARY 20, 1942, TO THE PRESENT TIME, AND DEDUCTIONS FOR LIFE INSURANCE PURPOSES HAVE BEEN MADE FROM HIS SALARY FROM AUGUST 29, 1954, THE EFFECTIVE DATE OF THE ACT IN THIS AGENCY. WAS HE PROPERLY COVERED UNDER THE GROUP LIFE INSURANCE ACT ON AUGUST 29, 1954, OR SHOULD HIS COVERAGE HAVE BEEN EFFECTED UNDER THE AMENDMENT TO THE ACT EFFECTIVE JANUARY 31, 1959?

"2. MR. LARKINS CONTINUED TO RECEIVE 8 HOURS LEAVE CREDIT A PAY PERIOD DURING HIS EMPLOYMENT WITH THIS AGENCY FOLLOWING ENACTMENT OF THE ANNUAL AND SICK LEAVE ACT OF 1951, EFFECTIVE JANUARY 6, 1952, BASED ON BOTH POLICE DEPARTMENT AND FEDERAL SERVICE. MAY HIS SERVICE WITH THE POLICE DEPARTMENT BE CONSIDERED POTENTIALLY CREDITABLE SERVICE FOR LEAVE PURPOSES UNDER COMPTROLLER GENERAL'S DECISION B 106704, 31 COMP. GEN. 215, DECEMBER 14, 1951, QUESTION 2?

"3. MR. LARKINS' EMPLOYMENT IN THE FEDERAL GOVERNMENT HAS BEEN SUBJECT TO RETIREMENT DEDUCTIONS UNDER THE CIVIL SERVICE RETIREMENT ACT FROM JANUARY 24, 1942, ACCORDING TO A CERTIFICATION BY THE WAR DEPARTMENT DATED 8-20- 43, WHICH IS INCLUDED IN HIS PERSONNEL FOLDER. ACCORDING TO THE OFFICIAL RECORDS, NO DEDUCTIONS HAVE BEEN MADE FROM HIS SALARY DURING HIS EMPLOYMENT IN THE FEDERAL SERVICE FOR THE ANNUITY HE RECEIVES UNDER THE D.C. POLICE AND FIRE DEPARTMENT SYSTEM. IS PAYMENT OF HIS FULL SALARY CORRECT UNDER THE CIRCUMSTANCES?

QUESTION NUMBER 1 IS A MATTER FOR DETERMINATION BY THE CIVIL SERVICE COMMISSION, WHICH IS AUTHORIZED BY SECTION 2 OF THE FEDERAL EMPLOYEES GROUP LIFE INSURANCE ACT OF 1954, 68 STAT. 736, AS AMENDED, 5 U.S.C. 2091, TO PRESCRIBE BY REGULATION THE TIME AND THE CONDITIONS OF ELIGIBILITY UNDER WHICH EMPLOYEES COME WITHIN THE PURVIEW OF THE ACT.

REFERRING TO QUESTION NUMBER 2, SECTION 203A OF THE ANNUAL AND SICK LEAVE ACT OF 1951, CH. 631, 65 STAT. 679, AS AMENDED, 5 U.S.C. 2062, PROVIDES THAT IN DETERMINING YEARS OF SERVICE FOR THE PURPOSE OF ASCERTAINING THE RATE OF ANNUAL LEAVE ACCRUAL THAT:

"* * * THERE SHALL BE INCLUDED ALL SERVICE CREDITABLE UNDER THE PROVISIONS OF SECTION 5 OF THE CIVIL SERVICE RETIREMENT ACT OF MAY 29, 1930, AS AMENDED, FOR THE PURPOSES OF AN ANNUITY UNDER SUCH ACT * * *"

WE HELD IN 31 COMP. GEN. 815 THAT "CONGRESS DID NOT INTEND THAT SERVICE BE ACTUALLY CREDITABLE FOR ANNUITY PURPOSES * * * BUT RATHER HAD REFERENCE TO POTENTIALLY CREDITABLE SERVICE, THAT IS, SERVICE WHICH COULD FORM THE BASIS FOR AN ANNUITY AT SOME FUTURE DATE.' WE HAVE BEEN INFORMALLY ADVISED BY THE CIVIL SERVICE COMMISSION THAT SERVICE AS A MEMBER OF THE DISTRICT OF COLUMBIA METROPOLITAN POLICE DEPARTMENT IS SERVICE POTENTIALLY CREDITABLE UNDER THE PROVISIONS OF THE CIVIL SERVICE RETIREMENT ACT. THEREFORE, QUESTION NUMBER TWO IS ANSWERED IN THE AFFIRMATIVE. CONSEQUENTLY, MR. LARKINS' SERVICE WITH THE POLICE DEPARTMENT WAS PROPERLY INCLUDED IN DETERMINING HIS YEAR OF SERVICE FOR ANNUAL LEAVE ACCRUAL.

CONCERNING QUESTION NUMBER THREE, WE HELD IN A-27819, JULY 17, 1929, THAT A RETIRED FIREMAN (NOT AUTOMATICALLY RETIRED FOR AGE) WHO WAS RECEIVING RETIRED PAY FROM THE POLICEMEN AND FIREMEN'S RELIEF FUND, COULD BE EMPLOYED IN THE FEDERAL GOVERNMENT WITHOUT REGARD TO THE DUAL COMPENSATION ACT OF 1916, AS AMENDED, 5 U.S.C. 58. ALSO, WE HELD IN A-51431, JANUARY 12, 1934, THAT SECTION 204 OF THE ECONOMY ACT OF JUNE 30, 1932 (SEE NOTE UNDER 5 U.S.C. 2255), RELATING TO SEPARATION UPON REACHING AUTOMATIC RETIREMENT AGE, DOES NOT PRECLUDE THE APPOINTMENT OF A RETIRED DISTRICT OF COLUMBIA POLICEMAN IN THE ABSENCE OF ANY PROVISION IN THE POLICEMEN AND FIREMEN'S RETIREMENT ACT REQUIRING AUTOMATIC RETIREMENT. IN VIEW THEREOF, AND AS WE ARE NOT AWARD OF ANY OTHER PROVISION OF LAW REQUIRING ANY REDUCTION IN THE SALARY OF A FEDERAL EMPLOYEE BECAUSE OF RECEIPT OF DISABILITY RETIRED PAY AS A DISTRICT OF COLUMBIA POLICEMAN, THE PAYMENT OF FULL SALARY TO MR. LARKINS WAS CORRECT.