5 U.S.C. § 8509 — Federal Employees Compensation Account
submitted 46 years ago by Pub. L. 96-499 to r/title-5-GOVERNMENT-ORGANIZATION-AND-EMPLOYEES · 692 words · no verdicts yet
The Federal Employees Compensation Account holds money to pay unemployment compensation for federal workers. Federal agencies must deposit money into it based on their own employees' claims. The Secretary of Labor manages deposits, transfers, and any leftover balance in the Account.
(a) The Federal Employees Compensation Account sits inside the Unemployment Trust Fund. It's made up of (1) money Congress appropriates or transfers to it, and (2) money deposited under subsection (c).
(b) The Account's money can only be used for two things: paying states under agreements made under this chapter, and paying compensation directly in states that don't have such an agreement.
(c) Each employing agency must deposit into the Account an amount equal to what was spent under this chapter because of Federal service its own employees or former employees performed. These deposits happen every calendar quarter, and the amount is based on the Secretary of Labor's determination of what was already paid out based on that agency's employees' service after December 31, 1980, that hasn't yet been covered by a deposit. Each quarter's deposit is adjusted to correct any over- or under-payment from an earlier quarter that hasn't already been fixed. If an agency doesn't deposit the required amount within 30 days of being notified it owes money, the Secretary of Labor tells the Secretary of the Treasury, who then transfers the amount into the Account by pulling it from money otherwise appropriated to that agency.
(d) The Secretary of Labor certifies to the Secretary of the Treasury how much each agency must deposit each quarter. The Secretary of the Treasury then tells the Secretary of Labor when and how much each agency actually deposited.
(e) Before each fiscal year starting with the one that began October 1, 1981, the Secretary of Labor estimates (1) how much the Account will spend that year and (2) how much money will be available for those expenses. If the Secretary decides the available money is more than needed to cover expenses plus a reasonable safety cushion, the Secretary certifies the extra amount to the Secretary of the Treasury, who then transfers that excess out of the Account into the Treasury's general fund.
(f) The Secretary of Labor may issue rules and regulations necessary or appropriate to carry out this section.
(g) Any funds appropriated after the Account was created, meant to fund payments this section authorizes, go into the Account. Congress is authorized to appropriate whatever amounts are necessary, from time to time, to make sure the Account always has enough money to cover its authorized expenses.
(h) For this section, "Federal service" includes the Federal service defined in section 8521(a).
The Federal Employees Compensation Account (as established by section 909 of the Social Security Act, and hereafter in this section referred to as the “Account”) in the Unemployment Trust Fund (as established by section 904 of such Act) shall consist of—
funds appropriated to or transferred thereto, and
amounts deposited therein pursuant to subsection (c).
Moneys in the Account shall be available only for the purpose of making payments to States pursuant to agreements entered into under this chapter and making payments of compensation under this chapter in States which do not have in effect such an agreement.
Each employing agency shall deposit into the Account amounts equal to the expenditures incurred under this chapter on account of Federal service performed by employees and former employees of that agency.
Deposits required by paragraph (1) shall be made during each calendar quarter and the amount of the deposit to be made by any employing agency during any quarter shall be based on a determination by the Secretary of Labor as to the amounts of payments, made prior to such quarter from the Account based on Federal service performed by employees of such agency after December 31, 1980, with respect to which deposit has not previously been made. The amount to be deposited by any employing agency during any calendar quarter shall be adjusted to take account of any overpayment or underpayment of deposit during any previous quarter for which adjustment has not already been made.
If any Federal agency does not deposit in the Federal Employees Compensation Account any amount before the date 30 days after the date on which the Secretary of Labor has notified such agency that it is required to so deposit such amount, the Secretary of Labor shall notify the Secretary of the Treasury of the failure to make such deposit and the Secretary of the Treasury shall transfer such amount to the Federal Employees Compensation Account from amounts otherwise appropriated to such Federal agency.
The Secretary of Labor shall certify to the Secretary of the Treasury the amount of the deposit which each employing agency is required to make to the Account during any calendar quarter, and the Secretary of the Treasury shall notify the Secretary of Labor as to the date and amount of any deposit made to such Account by any such agency.
Prior to the beginning of each fiscal year (commencing with the fiscal year which begins October 1, 1981) the Secretary of Labor shall estimate—
the amount of expenditures which will be made from the Account during such year, and
the amount of funds which will be available during such year for the making of such expenditures,
and if, on the basis of such estimate, he determines that the amount described in paragraph (2) is in excess of the amount necessary—
to meet the expenditures described in paragraph (1), and
to provide a reasonable contingency fund so as to assure that there will, during all times in such year, be sufficient sums available in the Account to meet the expenditures described in paragraph (1),
he shall certify the amount of such excess to the Secretary of the Treasury and the Secretary of the Treasury shall transfer, from the Account to the general fund of the Treasury, an amount equal to such excess.
The Secretary of Labor is authorized to establish such rules and regulations as may be necessary or appropriate to carry out the provisions of this section.
Any funds appropriated after the establishment of the Account, for the making of payments for which expenditures are authorized to be made from moneys in the Account, shall be made to the Account; and there are hereby authorized to be appropriated to the Account, from time to time, such sums as may be necessary to assure that there will, at all times, be sufficient sums available in the Account to meet the expenditures authorized to be made from moneys therein.
For purposes of this section, the term “Federal service” includes Federal service as defined in section 8521(a).
Source credit: (Added Pub. L. 96–499, title X, § 1023(b), Dec. 5, 1980, 94 Stat. 2657; amended Pub. L. 97–362, title II, § 202(a), Oct. 25, 1982, 96 Stat. 1732; Pub. L. 102–318, title V, § 532(a), July 3, 1992, 106 Stat. 317.)
- 1980Enacted · Pub. L. 96-499 · 94 Stat. 2657
- 1982Amended · Pub. L. 97-362 · 96 Stat. 1732
- 1992Amended · Pub. L. 102-318 · 106 Stat. 317
A history note hasn’t been published yet. The record shows enactment by Pub. L. 96-499 on 1980-12-05.
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