B-77012, JUNE 17, 1948, 27 COMP. GEN. 762

B-77012, JUNE 17, 1948, 27 COMP. GEN. 762

RETIREMENT - SALARY DEDUCTIONS UPON REEMPLOYMENT IN MAKING SALARY PAYMENTS TO CIVIL SERVICE ANNUITANTS OVER 60 YEARS OF AGE FOR PERIODS OF REEMPLOYMENT AFTER APRIL 1, 1948, THE EFFECTIVE DATE OF THE ACT OF FEBRUARY 28, 1948, AMENDING THE CIVIL SERVICE RETIREMENT ACT OF 1930, AS AMENDED, THERE SHOULD BE DEDUCTED A SUM EQUAL TO THE RETIREMENT ANNUITY ALLOCABLE TO THE PERIOD OF ACTUAL EMPLOYMENT, PURSUANT TO THE PROVISIONS OF SECTION 2 (B) OF THE 1948 ACT, NOTWITHSTANDING THAT THE LAW IN EFFECT AT THE TIME OF RETIREMENT REQUIRED THE DISCONTINUANCE OF ANNUITY PAYMENTS DURING PERIODS OF REEMPLOYMENT INSTEAD OF PAY ROLL DEDUCTIONS.

COMPTROLLER GENERAL WARREN TO J. C. SHANKS, DISBURSING CLERK, HOUSE OF REPRESENTATIVES, JUNE 17, 1948:

I HAVE YOUR LETTER OF JUNE 3, 1948, COUNTERSIGNED BY THE CLERK OF THE HOUSE OF REPRESENTATIVES, IN WHICH DECISION IS REQUESTED UPON THE QUESTION OF WHETHER THERE SHOULD BE DEDUCTED FROM THE COMPENSATION OTHERWISE DUE MR. H. RALPH BURTON--- WHO, SINCE APRIL 15, 1948, HAS BEEN EMPLOYED AS GENERAL COUNSEL TO THE SPECIAL COMMITTEE ON CAMPAIGN EXPENDITURES--- A SUM EQUAL TO THE ANNUITY WHICH WAS DETERMINED AS PAYABLE TO HIM UNDER THE CIVIL SERVICE RETIREMENT ACT OF 1930, AS AMENDED, UPON HIS INVOLUNTARY SEPARATION FROM THE SERVICE OF THE HOUSE OF REPRESENTATIVES OF A CLERK TO A MEMBER OF CONGRESS, EFFECTIVE AT THE CLOSE OF BUSINESS MARCH 31, 1948.

YOUR DOUBT IN THE MATTER APPEARS TO ARISE BECAUSE OF THE PROVISION OF SECTION 7 (B) OF THE CIVIL SERVICE RETIREMENT ACT, APPROVED MAY 29, 1930, AS AMENDED BY SECTION 5 OF THE ACT APPROVED JANUARY 24, 1942, 56 STAT. 16, WHICH WAS IN EFFECT ON THE DAY THAT MR. BURTON WAS INVOLUNTARILY SEPARATED FROM HIS POSITION AS CLERK TO MEMBER OF THE HOUSE OF REPRESENTATIVES. THAT SECTION OF THE STATUTE PROVIDED:

(B) SHOULD AN ANNUITANT UNDER THE PROVISIONS OF THIS SECTION BE REEMPLOYED IN A POSITION INCLUDED IN THE PROVISIONS OF THIS ACT, THE ANNUITY AND ANY RIGHT TO AN IMMEDIATE OR DEFERRED ANNUITY AS PROVIDED HEREIN SHALL CEASE AS OF THE DATE OF SUCH EMPLOYMENT. IF SUCH ANNUITANT IS REEMPLOYED IN ANY POSITION IN THE SERVICE OF THE UNITED STATES OR THE DISTRICT OF COLUMBIA, NOT WITHIN THE PROVISIONS OF THIS ACT, ANNUITY PAYMENTS SHALL BE DISCONTINUED DURING THE PERIOD OF SUCH EMPLOYMENT, AND RESUMED IN THE SAME AMOUNT UPON TERMINATION OF SUCH EMPLOYMENT. HOWEVER, SECTION 7 OF THE CIVIL SERVICE RETIREMENT ACT, AS AMENDED, WAS FURTHER AMENDED BY SECTION 7 OF PUBLIC LAW 426, APPROVED FEBRUARY 28, 1948, 62 STAT. 52 AS THAT SECTION NOW IS WRITTEN IT CONTAINS NONE OF THE WORDING QUOTED ABOVE WHICH, THEREFORE, MUST BE CONSIDERED AS HAVING BEEN REPEALED AS OF APRIL 1, 1948, THE EFFECTIVE DATE OF PUBLIC LAW 426, SUPRA, SO FAR AS CONCERNS THIS MATTER.

IN THE EMPLOYMENT OF ANNUITANTS OVER 60 YEARS OF AGE ON AND AFTER APRIL 1, 1948, THERE ARE FOR CONSIDERATION THE PROVISIONS OF SECTION 2 (B) OF THE CIVIL SERVICE RETIREMENT ACT, AS AMENDED BY SECTION 2 OF PUBLIC LAW 426, APPROVED FEBRUARY 28, 1948, 62 STAT. 49, AS FOLLOWS:

(B) NO PERSON WHO IS RECEIVING AN ANNUITY UNDER THE PROVISIONS OF THIS ACT AND WHO HAS REACHED THE AGE OF SIXTY YEARS SHALL BE ELIGIBLE AGAIN TO APPOINTMENT TO ANY APPOINTIVE OFFICE, POSITION, OR EMPLOYMENT UNDER THE GOVERNMENT OF THE UNITED STATES OR OF THE DISTRICT OF COLUMBIA, UNLESS THE APPOINTING AUTHORITY DETERMINES THAT HE IS POSSESSED OF SPECIAL QUALIFICATIONS; PROVIDED, THAT NO DEDUCTIONS FOR THE RETIREMENT FUND SHALL BE WITHHELD FROM THE SALARY, PAY, OR COMPENSATION OF SUCH PERSON, BUT THERE SHALL BE DEDUCTED FROM HIS SALARY, PAY, OR COMPENSATION OTHERWISE PAYABLE A SUM EQUAL TO THE RETIREMENT ANNUITY ALLOCABLE TO THE PERIOD OF ACTUAL EMPLOYMENT; PROVIDED FURTHER, THAT THE ANNUITY IN SUCH CASE SHALL NOT BE REDETERMINED UPON SUCH PERSON'S SUBSEQUENT SEPARATION FROM THE SERVICE. AS SUBSECTION (B) OF SECTION 7 OF THE CIVIL SERVICE RETIREMENT ACT, HEREINBEFORE QUOTED, NO LONGER IS LAW, THE PAYMENT OF COMPENSATION TO EMPLOYED ANNUITANTS OVER 60 YEARS OF AGE NECESSARILY MUST BE GOVERNED BY THE ABOVE-QUOTED SECTION 2 (B) OF THE CIVIL SERVICE RETIREMENT ACT OF 1930, AS AMENDED. THAT IS TO SAY, THE PAYMENT OF COMPENSATION TO EMPLOYED ANNUITANTS WHO ARE OVER 60 YEARS OF AGE IS TO BE MADE IN ACCORDANCE WITH LAWS CURRENTLY IN EFFECT IRRESPECTIVE OF THE LAWS IN EFFECT AT THE TIME OF RETIREMENT.

ACCORDINGLY, YOU ARE ADVISED THAT IN MAKING PAYMENT TO MR. BURTON, THERE SHOULD BE DEDUCTED FROM HIS PRESENT SALARY A SUM EQUAL TO THE RETIREMENT ANNUITY ALLOCABLE TO THE PERIOD OF ACTUAL EMPLOYMENT.