LETTER TO JAMES M. FREY FROM (SANITIZED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP81M00980R000800030022-7
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 2
• Document Creation Date: December 20, 2016
• Document Release Date: November 16, 2006
• Sequence Number: 22
• Publication Date: April 25, 1978
• Content Type: LETTER

Approved For REN94DM6d14W10F =WOAS1IMiD8t9 aR 0003ebc2-' -0487 d
Office of Legislative Counsel
25 April 1978
Mr. James M. Frey
Assistant Director for
Legislative Reference
Office of Management and Budget
Washington, D.C. 20503
Dear Mr. Frey:
We have continued our review of the Civil Service Reform Bill
(H.R. 11280). Based on this study, we are submitting this letter as
an addendum to our letter of 20 March 1978 on the Civil Service Reform
Bill,. to replace paragraphs 1 and 2 of the previous letter.
In Title II, the CIA is explicitly exempted only from Chapter 43,
"Performance Appraisal," and from Subchapter I of Chapter 75 -relating
to short-term suspension (subsections 203(a) and 204(a) of the bill,
which would amend Title 5, United States Code). Subchapter lI of
Chapter 75 involves removal or suspension for more than 30 days
(sections 7511-7514) and covers among other things employees in. thE?
competitive service. 50 U.S.C. 403j is the authority for the
excepted personnel status of the Agency and has been consistently
interpreted as exempting the Agency from all laws regarding preference
eligibles. The Agency would then be exempted from the proposed subchapter I1.
Since H.R. 11280 is intended to be a comprehensive codification of Feder.,l
civil personnel systems, including the status of exempted agencies, we
believe the legislation should include an explicit recognition of the
relationship of the CIA to laws affecting preference eligibles. We
therefore recommend that the CIA be explicitly exempted from Subchapter I
of Chapter 75.
Also in Title II, Chapter 77, "Appeals," would present no confi.ict
for the CIA if the Agency were completely exempted from the provisions
of the bill. Under present laws, the Agency is exempt from various
statutes which give the Civil Service Commission its adjudication and
appeals authority and its authority to promulgate rules and regulations
The adjudication and appeals authority of the CSC would be passed, as i:;.
from the CSC to the new Merit Board pursuant to a Presidential reorgani;: -
tion. However, since the proposed legislation gives new rights of appef;
to the Merit Board, we require an exemption from each title of the hill.
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Regarding Title IV, the Senior Executive Service, the only exemption
provided the CIA is unacceptable. As this title is drafted, the CIA would
have to seek exemption under the general exemption provisions of section
3132(c). This subsection would require CIA to make a presentation to the
Office of Personnel Management, in support of the Agency's request for
exemption. Moreover, OFMM is given the authority to conduct any independent
investigation it deems appropriate before it makes its recommendation to
the President on whether the Agency should be exempted from the Senior
Executive Service.
Finally, O11 is given the authority to recommend the revocation of
a section 3132(c) exemption at any time. The prominent role to be played
by OPTNM in the process of allocating and policing section 3132 (c) exemptions
would necessarily require detailed examination by that Office of the
personnel systems exempted or seeking exemption under section 3132(c).
CIA must be specifically by name exempted from Title IV, as well
as from the other titles of the bill, in order to preserve the secrecy
and security required by the Agency's mission and functions. Though
the drafters of the bill decided that the CIA did not need a specific
exemption from Title IV since the Agency could be exempted under
section 3132(c), the detailed examination of the Agency's personnel
system that would result from having to obtain a section 3132(c)
exemption would itself defeat the entire purpose behind the CIA
receiving an exemption in the first place. In short, we regard a
section 3132(c) exemption as tantamount to no exemption at all.
The language which apparently is intended to exempt the CIA from
Title VI, Research, Demonstration and Other Programs, is not drawn as
clearly as we believe necessary. In our view, every effort should be
made to provide the clearest possible provisions concerning the scope
of this legislation. We therefore propose that CIA be exempted from
Title VI specifically by name rather than by reference.
As we have noted before, the intent was to exclude from coverage
the CIA and the other entities of the Intelligence Community. However,
there are provisions in the bill which require modification in order to
reflect fully this intent. Furthermore, because this legislation is so
complex and comprehensive, and because of the Agency's unique personnel
requirements, the exemptions covering the CIA should be clearly drawn
and written. In our view, every effort should be made to provide the
clearest provisions possible concerning the scope of this important
legislation.
Distribution:
Orig - Addressee
1 - OGC
1 - OP
OLC:YTF:sm (24 Apr 78)
Acting Legislative Counsel
'W - OLC Subject
1 - OLC Chrono
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