PRIA, Government Policy, Made Personal

Summary

The board can hire and set pay and benefits for the officers, employees, attorneys, and agents the corporation needs to do its work, without following most of the federal Title 5 hiring and pay rules. No worker can be paid more than the Executive Schedule level IV rate, but officers the board appoints may be paid up to Executive Schedule level II. The corporation must also follow the pay limits in section 5307(a)(1), (b)(1), and (b)(2) of title 5 as if its workers were federal employees. The board must pick an executive director to serve as CEO. With the board’s OK, that director can hire and fire staff. No one can be required to meet a political test or qualification for hiring, promoting, disciplining, or for receiving grants or contracts. Corporation staff are not federal employees and the corporation is not a federal agency. The corporation must follow Office of Management and Budget rules for administration and costs like those for nonprofit grantees and schools.

Title 42, §8104

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

(a)Employment, compensation and benefits

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)Appointment of executive director (c) Appointment and removal of employees by executive director (d) Prohibition of political tests and qualifications in selection, etc., of personnel

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

(e)Employee status; applicability of administrative and cost standards of Office of Management and Budget

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