Reader responses to Ned on Feds - Making victims pay

DAILY BRIEFING

Reader responses to Ned on Feds - Making victims pay

Here are the responses we have received to the April 17 Ned on Feds column, "Making victims pay."

"Each year I receive a benefits summary from OPM. I am sure you are aware of this multisheet summary of all federal employee benefits including health insurance, retirement calculations, disability calculations, survivor benefits, etc. Would not close scrutinity of this annual form give the employee a pretty good idea of what retirement plan was in effect?

"While I certainly do believe the erring agency should bear the brunt of correcting the error, I think the employee must shoulder some of the responsibility as well if they have indeed received documentation that clearly indicates the retirement plan in which they are enrolled."

-John T. Engstrom
Computer Audit Specialist
Internal Revenue Service

"Through no fault of their own? I respectfully disagree. Federal employees have known for years that HRM offices are staffed by imperfect employees. Employees have been cautioned by columnists, admonished by their peers, and encouraged by agencies to check, verify, and re-check their OPFs for accuracy. Steering all the blame away from employees is the no-fault approach to managing one's own career.

"Is everything someone else's fault?"

-Name withheld

"I am one of those employees that has been misclassified as CSRS when I should have been FERS. You already know what legislation has been introduced, however here are several unresolved issues that have not yet been addressed and may find interesting.

"The IRS has a statute (section 6501(a)) of limitation involving collection of FICA tax, which states that the time period for collection is limited to 3 years after OADSI were filed on a timely basis by employing agency. Therefore the collection (in most cases, transfer of CSRS funds to collect this tax) is a violation of IRS code. OPM has not provided any written documentation permitting collection. I can provide written documentation from Department of the Treasury supporting the limitation statement.

"OPM has also addressed correction procedure (01 Jun 1991) of unwarranted or unjustified personnel action in Civilian Personnel Law Manual (CPLM) Chapter 7 Employee Make-Whole Remedies A. Statutory Authorities 4. Administrative Error Concept c. Administrative error as unwarranted or personnel action 5 U.S.C.5596, which states (paraphrased) 'Hence, administrative errors will be treated as unjustified or unwarranted personnel actions remediable by the payment of backpay.'. According to TSP regulations 1605.4(2)(ii)(d), Back pay awards and other retroactive pay adjustments. Lost earnings are to be paid on employee contributions on backpay awards.

"Agencies also violated 5 USC part III section 84 subchapter 8422, 8423, 8432a and 8439. Agencies are guilty of fraud, collecting money and not providing the service for which the employee was charged.

"In my case, I have never had an accurate TSP fund account (since the error was discovered in 1996), the agency placed money into the wrong funds, employee deposits that were deducted in 1998 still have not made into my account, and the same has happened in 1999. I was unable to file taxes for 1999 because the agency has not provided an accurate W-2, agency taxed TSP contributions, failed to deduct mandated employee payback deductions, remove employee deductions with no authorization. TSP has no enforcement power or penalty, therefore their regulations are arbitrary in regards to agency compliance, and put the burden on the victims and not on the violators."

-Name withheld