Title 5Government Organization and EmployeesRelease 119-73

§3374 Assignments of employees from State or local governments

Title 5 › Part PART III— - EMPLOYEES › Subpart Subpart B— - Employment and Retention › Chapter CHAPTER 33— - EXAMINATION, SELECTION, AND PLACEMENT › Subchapter SUBCHAPTER VI— - ASSIGNMENTS TO AND FROM STATES › § 3374

Last updated Apr 6, 2026|Official source

Summary

A State or local government worker sent to work at a Federal agency can either be hired by that agency for the length of the assignment without using the normal competitive hiring rules, or be placed on detail to the agency. If hired, the worker gets pay under the Federal pay rules and is treated like a federal employee for most things, but not for certain retirement, life insurance, or health benefits rules unless the hire would make them lose a state-paid group health plan. While on detail, the worker usually keeps pay from their State or local employer unless that pay is less than the federal rate for the job. The worker is treated as an agency employee for many federal laws named in the statute, including the Federal Tort Claims Act. If the worker is injured or dies on the job during the assignment, they get federal workers’ compensation rules and must choose between federal or State benefits within 1 year. If the State or local employer stops making required contributions to retirement, life insurance, or health plans during the assignment, the Federal agency may pay those contributions from its funds.

Full Legal Text

Title 5, §3374

Government Organization and Employees — Source: USLM XML via OLRC

(a)An employee of a State or local government who is assigned to a Federal agency under an arrangement under this subchapter may—
(1)be appointed in the Federal agency without regard to the provisions of this title governing appointment in the competitive service for the agreed period of the assignment; or
(2)be deemed on detail to the Federal agency.
(b)An employee given an appointment is entitled to pay in accordance with chapter 51 and subchapter III of chapter 53 of this title or other applicable law, and is deemed an employee of the Federal agency for all purposes except—
(1)subchapter III of chapter 83 of this title or other applicable retirement system;
(2)chapter 87 of this title; and
(3)chapter 89 of this title or other applicable health benefits system unless his appointment results in the loss of coverage in a group health benefits plan the premium of which has been paid in whole or in part by a State or local government contribution.
(c)During the period of assignment, a State or local government employee on detail to a Federal agency—
(1)is not entitled to pay from the agency, except to the extent that the pay received from the State or local government is less than the appropriate rate of pay which the duties would warrant under the applicable pay provisions of this title or other applicable authority;
(2)is deemed an employee of the agency for the purpose of chapter 73 of this title, chapter 131 of this title, chapter 21 of title 41, section 203, 205, 207, 208, 209, 602, 603, 606, 607, 643, 654, 1905, and 1913 of title 18, section 1343, 1344, and 1349(b) of title 31, and the Federal Tort Claims Act and any other Federal tort liability statute; and
(3)is subject to such regulations as the President may prescribe.
(d)A State or local government employee who is given an appointment in a Federal agency for the period of the assignment or who is on detail to a Federal agency and who suffers disability or dies as a result of personal injury sustained while in the performance of his duty during the assignment shall be treated, for the purpose of subchapter I of chapter 81 of this title, as though he were an employee as defined by section 8101 of this title who had sustained the injury in the performance of duty. When an employee (or his dependents in case of death) entitled by reason of injury or death to benefits under subchapter I of chapter 81 of this title is also entitled to benefits from a State or local government for the same injury or death, he (or his dependents in case of death) shall elect which benefits he will receive. The election shall be made within 1 year after the injury or death, or such further time as the Secretary of Labor may allow for reasonable cause shown. When made, the election is irrevocable unless otherwise provided by law.
(e)If a State or local government fails to continue the employer’s contribution to State or local government retirement, life insurance, and health benefit plans for a State or local government employee who is given an appointment in a Federal agency, the employer’s contributions covering the State or local government employee’s period of assignment, or any part thereof, may be made from the appropriations of the Federal agency concerned.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Federal Tort Claims Act, referred to in subsec. (c)(2), is title IV of act Aug. 2, 1946, ch. 753, 60 Stat. 842, which was classified principally to chapter 20 (§§ 921, 922, 931–934, 941–946) of former Title 28, Judicial Code and Judiciary. Title IV of act Aug. 2, 1946, was substantially repealed and reenacted as section 1346(b) and 2671 et seq. of Title 28, Judiciary and Judicial Procedure, by act June 25, 1948, ch. 646, 62 Stat. 992, the first section of which enacted Title 28. The Federal Tort Claims Act is also commonly used to refer to chapter 171 of Title 28, Judiciary and Judicial Procedure. For complete classification of title IV to the Code, see Tables. For distribution of former sections of Title 28 into the revised Title 28, see Table at the beginning of Title 28.

Amendments

2022—Subsec. (c)(2). Pub. L. 117–286 substituted “chapter 131 of this title,” for “the Ethics in Government Act of 1978,”. 2011—Subsec. (c)(2). Pub. L. 111–350 substituted “chapter 21 of title 41” for “section 27 of the Office of Federal Procurement Policy Act”. 2001—Subsec. (c)(2). Pub. L. 107–107 inserted “the Ethics in Government Act of 1978, section 27 of the Office of Federal Procurement Policy Act,” after “chapter 73 of this title,”. 1982—Subsec. (c)(2). Pub. L. 97–258 substituted “section 1343, 1344, and 1349(b)” for “section 638a”. 1978—Subsec. (a). Pub. L. 95–454, § 603(b), substituted “a Federal” for “an executive”, and “Federal agency” for “executive agency” in two places. Subsec. (b). Pub. L. 95–454, § 603(b), (d)(1), inserted provisions relating to nonapplicability of exceptions to non-Federal employees, and substituted “Federal” for “executive”. Subsec. (c). Pub. L. 95–454, § 603(b), (d)(2), (3), inserted provisions relating to pay received from the State or local government at less than the appropriate rate of pay, and provisions relating to contributions to employee benefit systems, and substituted “a Federal” for “an executive” and “Federal agency” for “executive agency” wherever appearing. Subsec. (d). Pub. L. 95–454, § 603(b), substituted “a Federal” for “an executive” in two places. Subsec. (e). Pub. L. 95–454, § 603(b), substituted “a Federal” for “an executive” and “Federal” for “executive”.

Statutory Notes and Related Subsidiaries

Effective Date

of 1978 AmendmentAmendment 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

Section effective sixty days after Jan. 5, 1971, see section 404 of Pub. L. 91–648, set out as a note under section 3371 of this title.

Reference

Citations & Metadata

Citation

5 U.S.C. § 3374

Title 5Government Organization and Employees

Last Updated

Apr 6, 2026

Release point: 119-73