Federal Criminal Investigators Association

F.C.I.A. DISABILITY RETIREMENT PROPOSAL

Proposal:

To change the federal disability retirement laws affecting federal law enforcement officers to fairly reflect their law enforcement retirement contributions and federal service.

Introduction:

Many federal law enforcement officers and their families are treated inequitably in the most dire time of their careers that is when they have suffered a career ending disability.

After disability, those officers who have not met the minimum years of service requirement lose their law enforcement retirement status and all disability annuity and survivor annuity benefits are computed at the lower general civil service rate. Throughout their careers, federal law enforcement officers have contributed one half percent more than regular civil service employees to their retirement system. The general civil service disability retirement benefits and survivor benefits do not fairly represent that additional contribution. If injured on duty, and separated from federal service, the agent can only receive a deferred annuity at age 62 and not at the normal retirement age under provisions of 5USC 8336 (c)(re: CSRS) or 5 USC 8412 (d) (re: FERS).

Federal Agents (GS-1811, Civilian employees) are covered for retirement purposes under Title 5 of the U.S. Code section 8336 (c) which states in pertinent part, "An employee who is separated from the service after becoming 50 years of age and completing 20 years of service as a law enforcement officer or firefighter, or any combination of such service totaling at least 20 years, is entitled to an annuity." FERS employees are eligible for retirement after 25 years of law enforcement at any age or after 20 years at age 50 (5 USC 8412(d)).

Federal Agents, because of the stringent physical requirements, are often forced to leave their careers after becoming disabled in the line of duty. Many of these agents would like to retain their careers, ironically the very actions which permit the agent to be placed in the hazardous duty retirement system, as cited above, can cause the Agent to be removed from the system if he or she is placed on disability.

FCIA suggests basic changes to the disability retirement laws for federal law enforcement officers, in general terms these changes are:

Disability retirement annuities should be calculated using the formula for law enforcement retirement and not the general civil service formula, as it is presently calculated .

Law enforcement officers under disability retirement should be free of restored earning capacity limitations and required physical examinations at age 50 or what would have been their minimum retirement age under the law enforcement retirement statutes.

Remove the minimum creditable service requirement for those officers injured in the line of duty.

Federal law enforcement officers fall under either the Civil Service Retirement System (CSRS) or the Federal Employees Retirement System (FERS). Disability retirement benefits under these two systems are calculated as follows:

(5 USC 8339(g)).

Under civil service retirement system (CSRS) the earned annuity is the sum of 1.5% of the highest three years’ average salary (high-3) times the first 5 years of service, plus 1.75 percent of the high -3 times the next five years, plus 2 percent of the high-3 times service over 10 years.

a. For the first 12 months- 60% of the high 3 average salary minus 100% of social security benefits for any month in which you are entitled to social security disability benefits.

You are entitled to your earned annuity (1% of your high-3 average salary multiplied by your years and months of service), if it is larger than your disability annuity computed under a or b.

FCIA suggests changing the disability laws affecting all law enforcement officers to reflect the following:

1. Compute disability retirement benefits based on 8336(c) of Title 5 USC. Under Civil Service Retirement System (CSRS)crediting 2.5 % for the first 20 years of service and 2% for each year thereafter. Under the Federal Employees Retirement System (FERS) crediting 1.7% for the first 20 years and 1% for each year thereafter, as under 5 USC 8415(d). As it now stands the benefit is calculated based on the regular employee benefit (5 USC 8339(g))and not the law enforcement formula. We propose that the earned annuity computation be identical to the hazardous duty retirement computation.

Specifically, a disability retirement annuity as authorized by 5 USC 8337 (re: CSRS) and 5 USC 8451(re: FERS)will be computed under 5 USC 8336(c)for CSRS employees and 5 USC 8415(d) for FERS employees, unless the employee is eligible for a higher annuity under 5 USC 8339 or 5 USC 8415, respectively.

2. Change the disability statutes for CSRS(5USC8337) and FERS (5USC8455) to allow law enforcement employees to be free of restored earning capacity limitations at age 50 if their law enforcement time had been extended to 20 years or at any age had their law enforcement time been extended to 25 years.

Specifically, for all annuitants subject to 5 USC 8336(c)re CSRS and 5 USC 8412(d) re FERS, disability statutes 5 USC 8337(d), re CSRS, and 5 USC 8455,re FERS should be changed to reflect, that anyone receiving a disability retirement annuity from the Fund, after becoming 50 years of age is entitled to receive his or her annuity without qualification of restoration of earning ability or physical recovery from the disability. Required examinations of annuitants should also terminate at age 50. In each case age 60 should be replaced with age 50, the appropriate retirement age for law enforcement officers.

Disability payments should fairly reflect the full salary of the agent in determination of all eligibility computations, including computations for restored earning capacity. The base amount should include law enforcement availability pay and locality pay from the last post of duty for all computations.

For Officers Injured In The Line Of Duty :

1. Remove the minimum creditable service eligibility requirement for disability retirement (5 years for CSRS employees and 18 months for FERS employees) for all officers injured in the line of duty (5 USC 8337 re CSRS and 5 USC 8451 Re FERS). Thereby, making the employee eligible for disability retirement after he or she is sworn to duty.

2. Collect a law enforcement pension, subject to their years of service, at the minimum law enforcement retirement age, had they not been injured, if the disabled agent so elects. The age of retirement eligibility should be computed as though the agent had remained on the job through the pendency of

the disability, though the annuity computation would only reflect those years on duty.

The following table compares the present benefits for both FERS and CSRS for law enforcement (L.E.) and non law enforcement employees. Columns 2 and 3 represent the present system. Columns 4 and 6 represent the imputed earned annuity for general civil service. Columns 5 and 7 represent the imputed earned annuity for law enforcement retirement.

* 60% for the first year of disability, 40% for time after the first year.

Wassenaar v. OPM

In terms of the equity of our argument, one has only to look at the case of Denise m. Wassenaar v. OPM (21 F.#d 1090, Fed. Cir. 1994). Mrs Wassenaar was the surviving spouse of a law enforcement officer who died prior to reaching age 50, but who had amassed over 20 years in law enforcement. In that case, the court decided that Mrs. Wassenaar was entitled to survivor benefits based on the more generous law enforcement retirement formula (5 USC 8836(c))and not the general civil service annuity formula.

We believe that this argument should also apply to those law enforcement employees who accept disability retirement

Conclusion

The FCIA believes changes in disability rules would go a long way toward creating fair and equitable treatment for injured federal agents. Further, equity dictates that since law enforcement officers contribute a larger percentage of their wages to the retirement system, that those agents are also entitled to a fair return of that investment.

[Congressional Record: October 28, 2000 (Extensions)]

[Page E1996-E1997]

From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

[DOCID:cr28oc00-93]

INTRODUCTION OF THE FEDERAL LAW ENFORCEMENT OFFICERS RETIREMENT RELIEF

ACT

______

HON. VITO FOSSELLA

of new york

in the house of representatives

Friday, October 27, 2000

Mr. FOSSELLA. Mr. Speaker, today I am introducing on behalf of the

more than 41,000 federal law enforcement officers a bill to more fairly

calculate the formula used for disability retirement. Federal law

enforcement retirement is based on a terribly complex formula which is

less than equitable to the brave officers who become disabled when they

put their lives on the line. My bill amends the federal disability

retirement laws to properly reflect their retirement contributions and

their public service.

Our federal law enforcement officers, federal fire fighters, capitol

police and their families are now often treated inequitably after

suffering what amounts to a career ending disability. My bill will

correct this situation.

In too many cases, an officer injured in the line of duty may not

have met the minimum years of government service required for

disability benefits and survivor annuity. Their annuity and survivor

benefits would then be computed at a lower rate than normal for law

enforcement officers. it would be computed at the lower general civil

service rate, despite the fact that the law enforcement officer paid a

higher rate into his retirement. My bill provides retirement benefits

and survivor annuities on an equitable and fair basis.

[[Page E1997]]

I hope that my colleagues will join me in co-sponsoring this

legislation so that we can help provide fair and equitable treatment to

the men and women who so courageously serve our country.

HR 5590 IH

106th CONGRESS

2d Session

To amend certain provisions of title 5, United States Code, relating to disability annuities for law enforcement officers, firefighters, and members of the Capitol Police.

Mr. FOSSELLA introduced the following bill; which was referred to the Committee on Government Reform, and in addition to the Committee on House Administration, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned

To amend certain provisions of title 5, United States Code, relating to disability annuities for law enforcement officers, firefighters, and members of the Capitol Police.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

This Act may be cited as the `Federal Law Enforcement Officers Retirement Relief Act'.

(a) CIVIL SERVICE RETIREMENT SYSTEM- Section 8339(g) of title 5, United States Code, is amended--

(1) in paragraph (2), by inserting `(d) (in the case of a law enforcement officer or firefighter),' after `(a)-(c),'; and

(2) by adding at the end the following: `For purposes of applying the first sentence of this subsection and the last sentence of section 8337(a), a law enforcement officer, firefighter, or member of the Capitol Police shall be considered eligible for an annuity computed under section 8339(d) or (q) (whichever applies), whether or not such officer, firefighter, or member satisfies the age and service requirements for retirement under section 8335(b) or (d) or section 8336(c) or (m), and whether or not such member meets the requirements of subsection (b)(2).'.

(b) FEDERAL EMPLOYEES' RETIREMENT SYSTEM- Section 8452 of title 5, United States Code, is amended by adding at the end the following:

`(d) For purposes of applying subsections (c)(1) and (d), a law enforcement officer, firefighter, or member of the Capitol Police shall be considered eligible for an annuity computed under section 8415(d), whether or not such officer, firefighter, or member meets the age and service requirements for retirement under section 8412(d) or section 8425(b) or (c).'.

(a) CIVIL SERVICE RETIREMENT SYSTEM- Section 8337(a) of title 5, United States Code, is amended by inserting after the first sentence the following: `In the case of a law enforcement officer, firefighter, or member of the Capitol Police who becomes disabled as a result of an injury sustained in the performance of duty (as determined under regulations prescribed by the Office of Personnel Management), the 5-year requirement under the preceding sentence shall not apply.'.

(b) FEDERAL EMPLOYEES' RETIREMENT SYSTEM- Section 8451(a)(1)(A) of title 5, United States Code, is amended by inserting after the first sentence the following: `In the case of a law enforcement officer, firefighter, or member of the Capitol Police who becomes disabled as a result of an injury sustained in the performance of duty (as determined under regulations prescribed by the Office of Personnel Management), the 18-month requirement under the preceding sentence shall not apply.'.

(a) CIVIL SERVICE RETIREMENT SYSTEM- Section 8337 of title 5, United States Code, is amended by adding at the end the following:

`(i) In the case of a law enforcement officer, firefighter, or member of the Capitol Police, subsections (c) and (d) shall be applied by substituting `50 years of age' for `60 years of age' each place it appears.'.

(b) FEDERAL EMPLOYEES' RETIREMENT SYSTEM-

(1) IN GENERAL- Subchapter V of chapter 84 of title 5, United States Code, is amended by adding at the end the following:

`In the case of a law enforcement officer, firefighter, or member of the Capitol Police, sections 8454 and 8455 shall be applied by substituting `50 years of age' for `60 years of age' each place it appears.'.

(2) CLERICAL AMENDMENT- The analysis for chapter 84 of title 5, United States Code, is amended by inserting after the item relating to section 8456 the following:

`8457. Special rules relating to law enforcement officers and certain others.'.

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