LETTER TO MR. JAMES M. FREY FROM(Sanitized)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP81M00980R001700010040-9
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 3
• Document Creation Date: December 16, 2016
• Document Release Date: December 21, 2004
• Sequence Number: 40
• Publication Date: February 15, 1978
• Content Type: LETTER

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Mr. James M. Frey
Assistant Director for
Legislative Reference
Office of Management and Budget
Washington, D. C. 20503
Dear Mr. Frey:
to certain physicians employed by the United States in order to enhance
the recruitment and retention of such physicians.
a bill "To amend title 5,. United States Code, to provide special allowances
OLC 78-0561/a
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I am writing in response to your request for comments on the
proposed report of the Office of Management and Budget on H. R. 4620,
The bill would provide for special incentive payments to Govern-
ment physicians. Currently, the Department of Defense and the Veterans
Administration, pursuant to Public Law 95-114 and Public Law 95-201
respectively, are authorized to make such payments to physicians until
30 September 1978. As you are aware from our previous correspondence
on this topic, equitable treatment for its physicians is a goal of this
Agency; and we strongly support the thrust of this legislation.
The proposed Office of Management and Budget report states that
H. R. 4620 would cover physicians employed by the Central Intelligence
Agency. As I read the bill, however, this is not the case. Subparagraph
(A) of subsection 2(c)(1), which defines a "Government physician," relates
to physicians paid under 5 U. S. C. 5332, which in turn refers to 5 U. S. C.
5102. 5 U. S. C. 5102 specifically states that the Central Intelligence Agency
is not included within its scope. Subparagraphs (B) and (C) enumerate other
agencies which would be covered by the bill but do not include this Agency.
To correct this, I propose that subsection 2(c)(1)(C) of the bill be amended
by:
deleting "or" and substituting "and" at page 4, line 20; and
adding "(v) the Central Intelligence Agency; and".
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The proposed report also states that the Office of Management
and Budget is currently studying the question of physician compensation
and indicates that the best course for the House Committee on Post
Office and Civil. Service would be to delay action pending completion
of that study. Department of Defense physicians, eligible for incentive
payments since 1974, and Veterans Administration physicians, eligible
since 1975, continue to be in a privileged position vis-a-vis other
Government physicians. Further, at least for this Agency, recruitment
of physicians is becoming increasingly difficult. For these reasons, this
Agency continues to support action to establish pay equality as soon as
possible.
We would not object to making,the authority to pay bonuses
subject to periodic renewal. This would place the bonus program
established by H. R. 4620 in the same position as the statutory programs
that cover physicians in the Department of Defense and the Veterans
Administration. In addition, the expiration dates would provide periodic
opportunities for establishment of a comprehensive, Government-wide
program.
In the proposed report it is suggested that the Committee modify
the bill to provide that bonuses be paid only to categories of physicians
for whom there is a demonstrable recruitment and retention problem.
This Agency would have no objection to such a requirement. At the
same time, however, we must object to that portion of subsection (b)(1)
of the proposed section 5948 which would grant the Civil Service Commission,
the authority to prescribe regulations for the entering into of service
agreements. The Secretary of Defense or the Secretary of Health,
Education and Welfare, as appropriate, and the Administrator of the
Veterans Administration have the authority to issue regulations governing
the programs now operating, and this same power should be given to
the heads of agencies authorized to grant bonuses by H. R. 4620. Uniformity-
could be obtained by including guidelines in the legislation, as was done
in the law authorizing the Veterans Administration program. Likewise,
we believe that, rather than Civil Service Commission audits as your
report proposes, oversight should be accomplished through. reports to the
appropriate committees of Congress, as is required of the current programs.
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This Agency also disagrees with the suggestion that the amount
of a bonus to be paid in any one year should be completely discretionary.
The existing programs for Department of Defense and Veterans Admini-
stration physicians call for a mandatory professional allowance based
upon years of service and a discretionary service agreement allowance.
In order to secure equal treatment for all Government physicians,
H. R. 4620 is patterned after these programs; and we oppose any
proposal which would frustrate that goal.
We would be happy to discuss these matters further at your
convenience.
Sincerely,
Acting Legislative Counsel
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