§8104 — Title 42 The Public Health and Welfare | U.S. Code

Summary

The board must hire and set pay and benefits for the officers, employees, attorneys, and agents it needs. It does not have to follow title 5 competitive hiring rules or the General Schedule pay rates, but no one can be paid more than the rate for level IV of the Executive Schedule, and board-appointed officers may be paid up to level II. The corporation must also follow section 5307(a)(1), (b)(1), and (b)(2) of title 5 as if its workers were federal employees. The directors must appoint an executive director to be the CEO. With board approval, the executive director may hire and fire staff. No one may be chosen or treated based on political tests or party ties, and that rule also applies when picking grantees, contractors, or recipients of financial help. The corporation and its officers are not federal employees or a federal agency, but the corporation must follow OMB administrative and cost rules like those for nonprofit grantees and schools.

Title 42, §8104

The Public Health and Welfare — Source: USLM XML via OLRC

(a)The board shall have power to select, employ, and fix the salary and benefits of such officers, employees, attorneys, and agents as shall be necessary for the performance of its duties under this subchapter, without regard to the provisions of title 5 governing appointments in the competitive service, classification, and General Schedule pay rates, except that no officer, employee, attorney, or agent of the corporation may be paid salary at a rate in excess of the rate for level IV of the Executive Schedule, except that the board-appointed officers may be paid salary at a rate not to exceed level II of the Executive Schedule. The Corporation shall also apply the provisions of section 5307(a)(1), (b)(1) and (b)(2) of title 5 governing limitations on certain pay as if its employees were Federal employees receiving payments under title 5.

(b)The directors of the corporation shall appoint an executive director who shall serve as chief executive officer of the corporation.

(c)The executive director of the corporation, subject to approval by the board, may appoint and remove such employees of the corporation as he determines necessary to carry out the purposes of the corporation.

(d)No political test or political qualification shall be used in selecting, appointing, promoting, or taking any other personnel action with respect to any officer, agent, or employee of the corporation or of any recipient, or in selecting or monitoring any grantee, contractor, or person or entity receiving financial assistance under this subchapter.

(e)Officers and employees of the corporation shall not be considered officers or employees of the United States, and the corporation shall not be considered a department, agency, or instrumentality of the Federal Government. The corporation shall be subject to administrative and cost standards issued by the Office of Management and Budget similar to standards applicable to non-profit grantees and educational institutions.

Notes & Related Subsidiaries

Editorial Notes

References in Text

Levels II and IV of the Executive Schedule, referred to in subsec. (a), are set out in section 5313 and 5315, respectively, of Title 5, Government Organization and Employees.

Amendments

2009—Subsec. (a). Pub. L. 111–117 inserted “, except that the board-appointed officers may be paid salary at a rate not to exceed level II of the Executive Schedule” before period at end of first sentence. 2004—Subsec. (a). Pub. L. 108–199, title III, [(2)], added second sentence. Pub. L. 108–199, title III, [(1)], which directed the substitution of “salary” for “compensation”, was executed by making the substitution both places that “compensation” appeared to reflect the probable intent of Congress. Pub. L. 108–199, title III, [(1)], which directed substitution of “rate for level IV of the Executive Schedule” for “highest rate provided for GS–18 of the General Schedule under section 5332 of title 5 United States Code”, was executed by making the substitution for “highest rate provided for GS–18 of the General Schedule under section 5332 of title 5, United States Code” to reflect the probable intent of Congress.

§8104 Officers and employees