12 USC 5584 - Transfer of certain personnel

U.S Code last checked for updates: May 06, 2024

§ 5584.

Transfer of certain personnel

(a)

In general

(1)

Certain Federal Reserve System employees transferred

(A)

Identifying employees for transfer

The Bureau and the Board of Governors shall—

(i)

jointly determine the number of employees of the Board of Governors necessary to perform or support the consumer financial protection functions of the Board of Governors that are transferred to the Bureau by this title; 1

 See References in Text note below.

and

(ii)

consistent with the number determined under clause (i), jointly identify employees of the Board of Governors for transfer to the Bureau, in a manner that the Bureau and the Board of Governors, in their sole discretion, determine equitable.

(B)

Identified employees transferred

(C)

Federal reserve bank employees

(2)

Certain FDIC employees transferred

(A)

Identifying employees for transfer

The Bureau and the Board of Directors of the Federal Deposit Insurance Corporation shall—

(i)

jointly determine the number of employees of that Corporation necessary to perform or support the consumer financial protection functions of the Corporation that are transferred to the Bureau by this title; ¹ and

(ii)

consistent with the number determined under clause (i), jointly identify employees of the Corporation for transfer to the Bureau, in a manner that the Bureau and the Board of Directors of the Corporation, in their sole discretion, determine equitable.

(B)

Identified employees transferred

(3)

Certain NCUA employees transferred

(A)

Identifying employees for transfer

The Bureau and the National Credit Union Administration Board shall—

(i)

jointly determine the number of employees of the National Credit Union Administration necessary to perform or support the consumer financial protection functions of the National Credit Union Administration that are transferred to the Bureau by this title; ¹ and

(ii)

consistent with the number determined under clause (i), jointly identify employees of the National Credit Union Administration for transfer to the Bureau, in a manner that the Bureau and the National Credit Union Administration Board, in their sole discretion, determine equitable.

(B)

Identified employees transferred

(4)

Certain Office of the Comptroller of the Currency employees transferred

(A)

Identifying employees for transfer

The Bureau and the Comptroller of the Currency shall—

(i)

jointly determine the number of employees of the Office of the Comptroller of the Currency necessary to perform or support the consumer financial protection functions of the Office of the Comptroller of the Currency that are transferred to the Bureau by this title; ¹ and

(ii)

consistent with the number determined under clause (i), jointly identify employees of the Office of the Comptroller of the Currency for transfer to the Bureau, in a manner that the Bureau and the Office of the Comptroller of the Currency, in their sole discretion, determine equitable.

(B)

Identified employees transferred

(5)

Certain Office of Thrift Supervision employees transferred

(A)

Identifying employees for transfer

The Bureau and the Director of the Office of Thrift Supervision shall—

(i)

jointly determine the number of employees of the Office of Thrift Supervision necessary to perform or support the consumer financial protection functions of the Office of Thrift Supervision that are transferred to the Bureau by this title; ¹ and

(ii)

consistent with the number determined under clause (i), jointly identify employees of the Office of Thrift Supervision for transfer to the Bureau, in a manner that the Bureau and the Office of Thrift Supervision, in their sole discretion, determine equitable.

(B)

Identified employees transferred

(6)

Certain employees of Department of Housing and Urban Development transferred

(A)

Identifying employees for transfer

The Bureau and the Secretary of the Department of Housing and Urban Development shall—

(i)

jointly determine the number of employees of the Department of Housing and Urban Development necessary to perform or support the consumer protection functions of the Department that are transferred to the Bureau by this title; ¹ and

(ii)

consistent with the number determined under clause (i), jointly identify employees of the Department of Housing and Urban Development for transfer to the Bureau in a manner that the Bureau and the Secretary of the Department of Housing and Urban Development, in their sole discretion, deem equitable.

(B)

Identified employees transferred

(7)

Consumer education, financial literacy, consumer complaints, and research functions

(8)

Authority of the President to resolve disputes

(A)

Action authorized

(B)

Transmittal to Congress required

(C)

Sunset

(9)

Appointment authority for excepted service and senior executive service transferred

(A)

In general

(B)

Declining transfers allowed

(b)

Timing of transfers and position assignments

Each employee to be transferred under this section shall—

(1)

be transferred not later than 90 days after the designated transfer date; and

(2)

receive notice of a position assignment not later than 120 days after the effective date of his or her transfer.

(c)

Transfer of function

(1)

In general

(2)

Priority of this title ¹

(d)

Equal status and tenure positions

(1)

Employees transferred from the Federal Reserve System, FDIC, HUD, NCUA, OCC, and OTS

(2)

Employees transferred from the Federal Reserve System

(e)

Additional certification requirements limited

(f)

Personnel actions limited

(1)

2-year protection

(2)

Exceptions

Paragraph (1) does not limit the right of the Bureau—

(A)

to separate an employee for cause or for unacceptable performance;

(B)

to terminate an appointment to a position excepted from the competitive service because of its confidential policy-making, policy-determining, or policy-advocating character; or

(C)

to reassign a supervisory employee outside of his or her locality pay area when the Bureau determines that the reassignment is necessary for the efficient operation of the Bureau.

(g)

Pay

(1)

2-year protection

(A)

In general

(B)

Limitation

(2)

Exceptions

Paragraph (1) does not limit the right of the Bureau to reduce the rate of basic pay of a transferred employee—

(A)

for cause;

(B)

for unacceptable performance; or

(C)

with the consent of the employee.

(3)

Protection only while employed

(4)

Pay increases permitted

(h)

Reorganization

(1)

Between 1st and 3rd year

(A)

In general

If the Bureau determines, during the 2-year period beginning 1 year after the designated transfer date, that a reorganization of the staff of the Bureau is required—

(i)

that reorganization shall be deemed a “substantial reorganization” for purposes of affording affected employees retirement under section 8336(d)(2) or 8414(b)(1)(B) of title 5;

(ii)

before the reorganization occurs, all employees in the same locality pay area as defined by the Office of Personnel Management shall be placed in a uniform position classification system; and

(iii)

any resulting reduction in force shall be governed by the provisions of chapter 35 of title 5, except that the Bureau shall—

(I)

establish competitive areas (as that term is defined in regulations issued by the Office of Personnel Management) to include at a minimum all employees in the same locality pay area as defined by the Office of Personnel Management;

(II)

establish competitive levels (as that term is defined in regulations issued by the Office of Personnel Management) without regard to whether the particular employees have been appointed to positions in the competitive service or the excepted service; and

(III)

afford employees appointed to positions in the excepted service (other than to a position excepted from the competitive service because of its confidential policy-making, policy-determining, or policy-advocating character) the same assignment rights to positions within the Bureau as employees appointed to positions in the competitive service.

(B)

Service credit for reductions in force

(2)

After 3rd year

(A)

In general

(B)

Service credit for reductions in force

(i)

Benefits

(1)

Retirement benefits for transferred employees

(A)

In general

(i)

Continuation of existing retirement plan

(ii)

Employer contribution

(iii)

Option to elect into the Federal Reserve System Retirement Plan and Federal Reserve System Thrift Plan

(iv)

Bureau contribution

(v)

Additional funding

(vi)

Option to elect into thrift plan created by the Bureau

(B)

Option for employees transferred from Federal Reserve System to be subject to the Federal Employee Retirement Program

(i)

Election

(ii)

Effective date of coverage

(C)

Bureau participation in Federal Reserve System Retirement Plan

(i)

Benefits provided

(ii)

Limitation

The Bureau shall not have responsibility or authority—

(I)

to amend an existing retirement plan (including the Federal Reserve System Retirement Plan or Federal Reserve System Thrift Plan);

(II)

for administering an existing retirement plan (including the Federal Reserve System Retirement Plan or Federal Reserve System Thrift Plan); or

(III)

for ensuring the plans comply with applicable laws, fiduciary rules, and related responsibilities.

(iii)

Tax qualified status

(iv)

Bureau contribution

(v)

Controlled group status

(D)

Definitions

For purposes of this paragraph—

(i)

the term “existing retirement plan” means, with respect to an employee transferred pursuant to this part, the retirement plan (including the Financial Institutions Retirement Fund) and any associated thrift savings plan, of the agency from which the employee was transferred under this part, in which the employee was enrolled on the day before the date on which the employee was transferred;

(ii)

the term “Federal Employee Retirement Program” means either the Civil Service Retirement System established under chapter 83 of title 5 or the Federal Employees Retirement System established under chapter 84 of title 5, depending upon the service history of the individual;

(iii)

the term “Federal Reserve System transferred employee” means a transferred employee who is an employee of the Board of Governors or a Federal reserve bank on the day before the designated transfer date, and who is transferred to the Bureau on the designated transfer date pursuant to this part;

(iv)

the term “Federal Reserve System Retirement Plan” means the Retirement Plan for Employees of the Federal Reserve System; and

(v)

the term “Federal Reserve System Thrift Plan” means the Thrift Plan for Employees of the Federal Reserve System.

(2)

Benefits other than retirement benefits for transferred employees

(A)

During 1st year

(i)

Existing plans continue

(ii)

Employer contribution

(B)

Medical, dental, vision, or life insurance after first year

If, at the end of the 1-year period beginning on the designated transfer date, the Bureau has not established its own, or arranged for participation in another entity’s, medical, dental, vision, or life insurance program, an employee transferred pursuant to this part who was a member of such a program at the agency or Federal reserve bank from which the employee transferred may, before the coverage of that employee ends under subparagraph (A)(i), elect to enroll, without regard to any regularly scheduled open season, in—

(i)

the enhanced dental benefits program established under chapter 89A of title 5;

(ii)

the enhanced vision benefits established under chapter 89B of title 5;

(iii)

the Federal Employees Group Life Insurance Program established under chapter 87 of title 5, without regard to any requirement of insurability; and

(iv)

the Federal Employees Health Benefits Program established under chapter 89 of title 5.

(C)

Long term care insurance after 1st year

(D)

Employee contribution

(E)

Additional funding

(F)

Credit for time enrolled in other plans

(G)

Special provisions to ensure continuation of life insurance benefits

(i)

In general

(ii)

Employee contribution

(iii)

Additional funding

(iv)

Credit for time enrolled in other plans

(3)

OPM rules

(j)

Implementation of uniform pay and classification system

(k)

Equitable treatment

In administering the provisions of this section, the Bureau—

(1)

shall take no action that would unfairly disadvantage transferred employees relative to each other based on their prior employment by the Board of Governors, the Federal Deposit Insurance Corporation, the Department of Housing and Urban Development, the National Credit Union Administration, the Office of the Comptroller of the Currency, the Office of Thrift Supervision, a Federal reserve bank, a Federal home loan bank, or a joint office of the Federal home loan banks; and

(2)

may take such action as is appropriate in individual cases so that employees transferred under this section receive equitable treatment, with respect to the status, tenure, pay, benefits (other than benefits under programs administered by the Office of Personnel Management), and accrued leave or vacation time of those employees, for prior periods of service with any Federal agency, including the Board of Governors, the Corporation, the Department of Housing and Urban Development, the National Credit Union Administration, the Office of the Comptroller of the Currency, the Office of Thrift Supervision, a Federal reserve bank, a Federal home loan bank, or a joint office of the Federal home loan banks.

(l)

Implementation

(Pub. L. 111–203, title X, § 1064, July 21, 2010, 124 Stat. 2043.)

cite as: 12 USC 5584