OPM issues rules allowing student loan repayments

The Office of Personnel Management published final regulations authorizing agencies to repay employees' federal student loans for recruitment and retention purposes in the Federal Register Thursday. Under Section 5379 of U.S. Code Title 5, agencies can repay employee student loans at their discretion to "recruit or retain highly qualified professional, technical or administrative personnel." The law has been on the books for 10 years, but until now there was no authorizing language that agencies could use to implement it. In June, OPM submitted a legislative proposal to Congress that would have taken out the phrase "professional, technical or administrative." OPM's final regulations still contain that phrase, but language in the fiscal 2001 Defense authorization bill lifts the restriction, making the benefit available to more than 400,000 non-postal, full-time executive branch employees who aren't paid under the General Schedule. The authorization bill also adds reporting requirements for agencies. OPM is working on incorporating both of those changes into the rules, but until then, the student loan repayment benefit only applies to General Schedule employees. Agencies can pay up to $6,000 per year in student loans for each employee, but the total amount per employee cannot exceed $40,000. Employees participating in the program must remain with the agency for at least three years. Employees who voluntarily leave government, or who are dismissed because of misconduct or poor performance, must reimburse the agency for their loans. However, agencies have the discretion to waive that restriction. The regulations go into effect Feb. 12, 2001.
Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
FROM OUR SPONSORS
JOIN THE DISCUSSION
Close [ x ] More from GovExec
 
 

Thank you for subscribing to newsletters from GovExec.com.
We think these reports might interest you:

  • Sponsored by Brocade

    Best of 2016 Federal Forum eBook

    Earlier this summer, Federal and tech industry leaders convened to talk security, machine learning, network modernization, DevOps, and much more at the 2016 Federal Forum. This eBook includes a useful summary highlighting the best content shared at the 2016 Federal Forum to help agencies modernize their network infrastructure.

    Download
  • Sponsored by CDW-G

    GBC Flash Poll Series: Merger & Acquisitions

    Download this GBC Flash Poll to learn more about federal perspectives on the impact of industry consolidation.

    Download
  • Sponsored by One Identity

    One Nation Under Guard: Securing User Identities Across State and Local Government

    In 2016, the government can expect even more sophisticated threats on the horizon, making it all the more imperative that agencies enforce proper identity and access management (IAM) practices. In order to better measure the current state of IAM at the state and local level, Government Business Council (GBC) conducted an in-depth research study of state and local employees.

    Download
  • Sponsored by Aquilent

    The Next Federal Evolution of Cloud

    This GBC report explains the evolution of cloud computing in federal government, and provides an outlook for the future of the cloud in government IT.

    Download
  • Sponsored by Aquilent

    A DevOps Roadmap for the Federal Government

    This GBC Report discusses how DevOps is steadily gaining traction among some of government's leading IT developers and agencies.

    Download
  • Sponsored by LTC Partners, administrators of the Federal Long Term Care Insurance Program

    Approaching the Brink of Federal Retirement

    Approximately 10,000 baby boomers are reaching retirement age per day, and a growing number of federal employees are preparing themselves for the next chapter of their lives. Learn how to tackle the challenges that today's workforce faces in laying the groundwork for a smooth and secure retirement.

    Download
  • Sponsored by Hewlett Packard Enterprise

    Cyber Defense 101: Arming the Next Generation of Government Employees

    Read this issue brief to learn about the sector's most potent challenges in the new cyber landscape and how government organizations are building a robust, threat-aware infrastructure

    Download
  • Sponsored by Aquilent

    GBC Issue Brief: Cultivating Digital Services in the Federal Landscape

    Read this GBC issue brief to learn more about the current state of digital services in the government, and how key players are pushing enhancements towards a user-centric approach.

    Download
  • Sponsored by CDW-G

    Joint Enterprise Licensing Agreements

    Read this eBook to learn how defense agencies can achieve savings and efficiencies with an Enterprise Software Agreement.

    Download
  • Sponsored by Cloudera

    Government Forum Content Library

    Get all the essential resources needed for effective technology strategies in the federal landscape.

    Download

When you download a report, your information may be shared with the underwriters of that document.