Title 5Government Organization and EmployeesRelease 119-73not60

§3373 Assignment of Employees to State or Local Governments

Title 5 › Part III— EMPLOYEES › Subpart B— Employment and Retention › Chapter 33— EXAMINATION, SELECTION, AND PLACEMENT › Subchapter VI— ASSIGNMENTS TO AND FROM STATES › § 3373

Last updated Apr 3, 2026|Official source

Summary

Federal employees sent to work for a State or local government are treated either as temporarily detailed to their agency or as on leave without pay. The State or local government may pay some or all travel costs and some or all of the employee’s pay while the person is assigned. Any money paid back to the Federal agency must go into the same agency account that paid those costs. If the employee is on leave without pay, the agency must make up any shortfall if the State or local pay is lower than the federal rate. The employee keeps annual and sick leave as if they stayed with the agency. They can keep their Federal life and health insurance if they keep paying the employee share. The time spent working for the State or local government counts for step increases, retention, leave accrual, and retirement rules if the right retirement contributions are paid by the employee and the agency. That service also counts as Federal service for federal wage and unemployment purposes, and the employee may choose to claim unemployment either under State law or the federal system for that time. If the employee is hurt or dies because of work during the assignment, they are treated like a Federal employee for federal injury benefits. If they can get both State/local and federal benefits for the same injury or death, they must choose which to take within one year (unless more time is allowed). Choosing is final, and an employee cannot get both an annuity and State/local disability pay for the same time, though rules allow taking the greater benefit or other specific survivor or service-based benefits.

Full Legal Text

Title 5, §3373

Government Organization and Employees — Source: USLM XML via OLRC

(a)An employee of a Federal agency assigned to a State or local government under this subchapter is deemed, during the assignment, to be either—
(1)on detail to a regular work assignment in his agency; or
(2)on leave without pay from his position in the agency.
(b)The assignment of an employee of a Federal agency either on detail or on leave without pay to a State or local government under this subchapter may be made with or without reimbursement by the State or local government for the travel and transportation expenses to or from the place of assignment and for the pay, or supplemental pay, or a part thereof, of the employee during assignment. Any reimbursements shall be credited to the appropriation of the Federal agency used for paying the travel and transportation expenses or pay.
(c)For any employee so assigned and on leave without pay—
(1)if the rate of pay for his employment by the State or local government is less than the rate of pay he would have received had he continued in his regular assignment in the agency, he is entitled to receive supplemental pay from the agency in an amount equal to the difference between the State or local government rate and the agency rate;
(2)he is entitled to annual and sick leave to the same extent as if he had continued in his regular assignment in the agency; and
(3)he is entitled, notwithstanding other statutes—
(A)to continuation of his insurance under chapter 87 of this title, and coverage under chapter 89 of this title or other applicable authority, so long as he pays currently into the Employee’s Life Insurance Fund and the Employee’s Health Benefits Fund or other applicable health benefits system (through his employing agency) the amount of the employee contributions;
(B)to credit the period of his assignment under this subchapter toward periodic step-increases, retention, and leave accrual purposes, and, on payment into the Civil Service Retirement and Disability Fund or other applicable retirement system of the percentage of his State or local government pay, and of his supplemental pay, if any, that would have been deducted from a like agency pay for the period of the assignment and payment by the Federal agency into the fund or system of the amount that would have been payable by the agency during the period of the assignment with respect to a like agency pay, to treat his service during that period as service of the type performed in the agency immediately before his assignment; and
(C)for the purpose of subchapter I of chapter 85 of this title, to credit the service performed during the period of his assignment under this subchapter as Federal service, and to consider his State or local government pay (and his supplemental pay, if any) as Federal wages. To the extent that the service could also be the basis for entitlement to unemployment compensation under a State law, the employee may elect to claim unemployment compensation on the basis of the service under either the State law or subchapter I of chapter 85 of this title.
(d)(1)An employee so assigned and on leave without pay who dies or suffers disability as a result of personal injury sustained while in the performance of his duty during an assignment under this subchapter 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 one 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.
(2)An employee who elects to receive benefits from a State or local government may not receive an annuity under subchapter III of chapter 83 of this title and benefits from the State or local government for injury or disability to himself covering the same period of time. This provision does not—
(A)bar the right of a claimant to the greater benefit conferred by either the State or local government or subchapter III of chapter 83 of this title for any part of the same period of time;
(B)deny to an employee an annuity accruing to him under subchapter III of chapter 83 of this title on account of service performed by him; or
(C)deny any concurrent benefit to him from the State or local government on account of the death of another individual.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Federal Tort Claims Act, referred to in subsec. (a), 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

1992—Pub. L. 102–378 substituted “or local” for “and local” in section catchline. 1978—Subsecs. (a), (b). Pub. L. 95–454, § 603(b), substituted “a Federal” for “an executive” and “Federal agency” for “executive agency”. Subsec. (c). Pub. L. 95–454, §§ 603(b), 906(a)(2), substituted “Federal agency” for “executive agency” wherever appearing, and “Office of Personnel Management” for “Civil Service Commission”.

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. § 3373

Title 5Government Organization and Employees

Last Updated

Apr 3, 2026

Release point: 119-73not60