News Briefs

THE DAILY FED

News Briefs

The following news summaries are from OPM AM, the daily newsletter of the Office of Personnel Management. OPM AM is available on OPM Mainstreet, the agency's electronic bulletin board, at 202-606-4800.

THE FEDERAL DIARY--"Workers who invest after-tax money in the voluntary contributions' program, Uncle Sam's in-house version of a guaranteed certificate of deposit, will earn 6.88 percent next year. That's what the little-known investment option paid this year....The VC program, is open only to employees under CSRS or CSRS-Offset. They can invest up to 10 percent of their lifetime federal salary. Earnings (not contributions) are tax deferred" (The Washington Post).

FOR THE POSTAL SERVICE, A HOLIDAY SETBACK--"Earlier this week, as the nation's post offices were recording their biggest day of the Christmas mail crunch, some of the federal agency's newest competitors were celebrating a major victory over the Postal Service. In a case that could have major implications for the Postal Service's efforts to broadens it revenue streams, the independent Postal Rate Commission dashed cold water on the federal agency's plans to offer unregulated packing services at many post offices" (The Washington Post).

HEAD OF STATISTICS BUREAU BALKS AT PLAN TO ALTER CPI--"Not so fast, fellas. That was the message delivered yesterday by the Bureau of Labor Statistics to the White House, the Federal Reserve, the Congress and a distinguished panel of economists, all of whom have said that the agency has overstated the rate of inflation....The BLS's top official, Katharine G. Abraham, told a packed news conference she remains unconvinced that the closely watched consumer price index overstates the inflation rate by 1.1 percentage points each year" (The Washington Post).

CLINTON PICKS SLATER FOR TRANSPORTATION POST--"President Clinton last night selected Arkansas native Rodney Slater, the nation's top highway official, to replace Frederic F. Pena as transportation secretary, the Associated Press has learned. In a burst of late-night decisions designed to diversify his Cabinet, Mr. Clinton also made tentative Cabinet vacancies, including the son of former New York Gov. Mario Cuomo, a senior official said" (The Washington Times).

CONFLICTS AT THE TOP THREATEN THE EXISTENCE OF INDEPENDENT CHARITIES FEDERATION--"Independent Charities of America last year raised $38.4 million, largely through the on-the-job campaign for federal workers and through other workplace drives. Charities represented by the federations include the American Civil Liberties Union foundation, the Pediatric AIDS Foundation, and the YWCA of the USA, as well as hundreds of less-well-known groups. But turmoil on the Independent Charities board, which includes representatives from each of the 12 federations, has led to a split that could threaten the group's continued existence" (The Chronicle of Philanthropy).

MORE SNOWPLOW KNOW-HOW--"If you were here last winter, when Mother Nature dumped about three times the normal amount of snow on the Washington area, you probably recall the frustration of trying to drive around unplowed city streets or wondering when you might be able to get out of your driveway.... Last year, people were having trouble getting answers....So this year, many jurisdictions have increased the number of people and equipment to deal with the public, and most offer round-the-clock service" (Thursday, Dec. 19, The Washington Post).