81_FR_60405 81 FR 60235 - Special Rights for Transferred Employees Under the Dodd-Frank Act Regarding Federal Employees' Group Life Insurance

81 FR 60235 - Special Rights for Transferred Employees Under the Dodd-Frank Act Regarding Federal Employees' Group Life Insurance

OFFICE OF PERSONNEL MANAGEMENT

Federal Register Volume 81, Issue 170 (September 1, 2016)

Page Range60235-60236
FR Document2016-21077

The U.S. Office of Personnel Management (OPM) is issuing a Final Rulemaking to implement provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Act). The Act includes authorization for certain transferred employees to have a special enrollment opportunity and special rights regarding Federal Employees' Group Life Insurance (FEGLI) to ensure their continuity of benefits coverage.

Federal Register, Volume 81 Issue 170 (Thursday, September 1, 2016) 
[Federal Register Volume 81, Number 170 (Thursday, September 1, 2016)]
[Rules and Regulations]
[Pages 60235-60236]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-21077]



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Rules and Regulations
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains regulatory documents 
having general applicability and legal effect, most of which are keyed 
to and codified in the Code of Federal Regulations, which is published 
under 50 titles pursuant to 44 U.S.C. 1510.

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Prices of new books are listed in the first FEDERAL REGISTER issue of each 
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Federal Register / Vol. 81, No. 170 / Thursday, September 1, 2016 / 
Rules and Regulations

[[Page 60235]]



OFFICE OF PERSONNEL MANAGEMENT

5 CFR Part 870

RIN 3206-AM81


Special Rights for Transferred Employees Under the Dodd-Frank Act 
Regarding Federal Employees' Group Life Insurance

AGENCY: U.S. Office of Personnel Management.

ACTION: Final rulemaking.

-----------------------------------------------------------------------

SUMMARY: The U.S. Office of Personnel Management (OPM) is issuing a 
Final Rulemaking to implement provisions of the Dodd-Frank Wall Street 
Reform and Consumer Protection Act (the Act). The Act includes 
authorization for certain transferred employees to have a special 
enrollment opportunity and special rights regarding Federal Employees' 
Group Life Insurance (FEGLI) to ensure their continuity of benefits 
coverage.

DATES: Effective September 1, 2016.

FOR FURTHER INFORMATION CONTACT: Rachel Royster, Senior Policy Analyst, 
Planning and Policy Analysis, U.S. Office of Personnel Management, 1900 
E Street NW., Washington, DC 20415.

SUPPLEMENTARY INFORMATION: On January 6, 2014, the U.S. Office of 
Personnel Management (OPM) published a proposed regulation at 79 FR 
613. The Administrative Procedures Act requires Federal agencies to 
publish a final regulation after a notice and comment period. 
Therefore, OPM is now finalizing this rule. The rule gave special FEGLI 
rights to the following employees who were carrying employer sponsored 
life insurance other than FEGLI: Employees from Office of Thrift 
Supervision (OTS) transferred to Office of the Comptroller of the 
Currency (OCC) and Federal Deposit Insurance Corporation (FDIC) under 
the Act (Pub. L. 111-203). The new regulatory provisions include new 
subparts in part 870 of title 5 of the Code of Federal Regulations.
    Authorizing legislation: Section 322 of Public Law 111-203 
discusses the transfer of employees and their special FEGLI rights.

Section 322 Transfer of Employees From OTS to OCC or FDIC

    The relevant portions of this section states that if, after the 1-
year period beginning on the transfer date, the Office of the 
Comptroller of the Currency or the Corporation determines that the 
Office of the Comptroller of the Currency or the Corporation will not 
continue to participate in any dental, vision or life insurance program 
of an agency from which an employee was transferred, a transferred 
employee who is a member of the program may, before the decision takes 
effect and without regard to any regularly scheduled open season, elect 
to enroll in the Federal Employees' Group Life Insurance Program 
established under chapter 87 of title 5, United States Code, without 
regard to any requirement of insurability.
    For any transferred employee, enrollment in a life insurance plan 
administered by the agency from which the employee transferred, 
immediately before enrollment in a life insurance plan under chapter 87 
of title 5, United States Code, shall be considered as enrollment in a 
life insurance plan under that chapter for the purpose of 8706(b)(1)(A) 
of title 5, United States Code.
    These provisions allow a transferring employee that participated in 
an OTS life insurance program that is no longer available at OCC or 
FDIC to have a special enrollment period for FEGLI. OTS maintained the 
Office of Thrift Supervision Group Life Insurance Program in which OCC 
and FDIC did not continue to participate. Therefore, at approximately 
one year after the transfer date, July 21, 2011, OPM held a special 
enrollment period for transferred employees participating in Office of 
Thrift Supervision Group Life Insurance Program to enroll in FEGLI. The 
special enrollment period began on June 1, 2012 and ended July 29, 
2012.
    Any employee that enrolled in FEGLI during this special enrollment 
period will have their time in a life insurance plan administered by 
OTS credited towards their 5 years of continuous enrollment to continue 
FEGLI coverage into retirement.
    There were other provisions in the Dodd-Frank Act relating to FEGLI 
coverage discussed in the Notice of Proposed Rulemaking. However, these 
do not require further changes in FEGLI rulemaking. We received no 
comments on the proposed rule.
    Regulatory Impact Analysis: OPM has examined the impact of this 
proposed rule as required by Executive Order 12866 and Executive Order 
13563, which directs agencies to assess all costs and benefits of 
available regulatory alternatives and, if regulation is necessary, to 
select regulatory approaches that maximize net benefits (including 
potential economic, environmental, public, health, and safety effects, 
distributive impacts, and equity). A regulatory impact analysis must be 
prepared for major rules with economically significant effects of $100 
million or more in any one year. This rule is not considered a major 
rule because OPM expects that this rule will not impose costs of more 
than $100 million in any one year.

Executive Orders 13563 and 12866, Regulatory Review

    This rule has been reviewed by the Office of Management and Budget 
in accordance with Executive Orders 13563 and 12866.

Federalism

    We have examined this rule in accordance with Executive Order 
13132, ``Federalism,'' and have determined that this rule will not have 
any negative impact on the rights, roles and responsibilities of State, 
local, or tribal governments.

 List of Subjects in 5 CFR Part 870

    Administrative practice and procedure, Government employees, Life 
insurance.

U.S. Office of Personnel Management.
Beth F. Cobert,
Acting Director.

    For the reasons set forth in the preamble, the U.S. Office of 
Personnel Management amends 5 CFR part 870 as follows:

[[Page 60236]]

Title 5--Administrative Personnel

PART 870--FEDERAL EMPLOYEES' GROUP LIFE INSURANCE PROGRAM

0
1. The authority citation for part 870 is revised to read as follows:

    Authority: 5 U.S.C. 8716; Subpart J also issued under section 
599C of Pub. L. 101-513, 104 Stat. 2064, as amended; Sec. 
870.302(a)(3)(ii) also issued under section 153 of Pub. L. 104-134, 
110 Stat. 1321; Sec. 870.302(a)(3) also issued under sections 
11202(f), 11232(e), and 11246(b) and (c) of Pub. L. 105-33, 111 
Stat. 251, and section 7(e) of Pub. L. 105-274, 112 Stat. 2419; Sec. 
870.302(a)(3) also issued under section 145 of Pub. L. 106-522, 114 
Stat. 2472; Secs. 870.302(b)(8), 870.601(a), and 870.602(b) also 
issued under Pub. L. 110-279, 122 Stat. 2604; Subpart E also issued 
under 5 U.S.C. 8702(c); Sec. 870.601(d)(3) also issued under 5 
U.S.C. 8706(d); Sec. 870.703(e)(1) also issued under section 502 of 
Pub. L. 110-177, 121 Stat. 2542; Sec. 870.705 also issued under 5 
U.S.C. 8714b(c) and 8714c(c); Public Law 104-106, 110 Stat. 521.

0
2. In Sec.  870.701, add paragraph (f) to read as follows:


Sec.  870.701  Eligibility for life insurance.

* * * * *
    (f) An individual's period of coverage in a life insurance plan is 
credited to the 5 years of service under paragraph (a)(2) of this 
section if:
    (1) He/she participated in the Office of Thrift Supervision (OTS) 
life insurance plan and transferred to the Office of the Comptroller of 
the Currency or the Federal Deposit Insurance Corporation under the 
Dodd-Frank Wall Street Reform and Consumer Protection Act, Public Law 
111-203; and
    (2) Elected FEGLI coverage during the special enrollment period 
between June 1, 2012 and July 29, 2012. Evidence of the non-FEGLI 
period of continuous coverage will be documented in a manner designated 
by OPM.
[FR Doc. 2016-21077 Filed 8-31-16; 8:45 am]
 BILLING CODE 6325-63-P

60235 Rules and Regulations Federal Register Vol. 81, No. 170 Thursday, September 1, 2016 This section of the FEDERAL REGISTER provisions include new subparts in part enrollment to continue FEGLI coverage contains regulatory documents having general 870 of title 5 of the Code of Federal into retirement. applicability and legal effect, most of which Regulations. are keyed to and codified in the Code of There were other provisions in the Authorizing legislation: Section 322 of Federal Regulations, which is published under Dodd-Frank Act relating to FEGLI Public Law 111–203 discusses the 50 titles pursuant to 44 U.S.C. 1510. transfer of employees and their special coverage discussed in the Notice of FEGLI rights. Proposed Rulemaking. However, these The Code of Federal Regulations is sold by do not require further changes in FEGLI the Superintendent of Documents. Prices of Section 322 Transfer of Employees new books are listed in the first FEDERAL rulemaking. We received no comments From OTS to OCC or FDIC on the proposed rule. REGISTER issue of each week. The relevant portions of this section Regulatory Impact Analysis: OPM has states that if, after the 1-year period examined the impact of this proposed OFFICE OF PERSONNEL beginning on the transfer date, the rule as required by Executive Order MANAGEMENT Office of the Comptroller of the 12866 and Executive Order 13563, Currency or the Corporation determines which directs agencies to assess all costs 5 CFR Part 870 that the Office of the Comptroller of the and benefits of available regulatory Currency or the Corporation will not RIN 3206–AM81 continue to participate in any dental, alternatives and, if regulation is vision or life insurance program of an necessary, to select regulatory Special Rights for Transferred approaches that maximize net benefits Employees Under the Dodd-Frank Act agency from which an employee was transferred, a transferred employee who (including potential economic, Regarding Federal Employees’ Group environmental, public, health, and Life Insurance is a member of the program may, before the decision takes effect and without safety effects, distributive impacts, and AGENCY: U.S. Office of Personnel regard to any regularly scheduled open equity). A regulatory impact analysis Management. season, elect to enroll in the Federal must be prepared for major rules with ACTION: Final rulemaking. Employees’ Group Life Insurance economically significant effects of $100 Program established under chapter 87 of million or more in any one year. This SUMMARY: The U.S. Office of Personnel title 5, United States Code, without rule is not considered a major rule Management (OPM) is issuing a Final regard to any requirement of because OPM expects that this rule will Rulemaking to implement provisions of insurability. not impose costs of more than $100 the Dodd-Frank Wall Street Reform and For any transferred employee, million in any one year. Consumer Protection Act (the Act). The enrollment in a life insurance plan Act includes authorization for certain administered by the agency from which Executive Orders 13563 and 12866, transferred employees to have a special the employee transferred, immediately Regulatory Review enrollment opportunity and special before enrollment in a life insurance rights regarding Federal Employees’ plan under chapter 87 of title 5, United This rule has been reviewed by the Group Life Insurance (FEGLI) to ensure States Code, shall be considered as Office of Management and Budget in their continuity of benefits coverage. enrollment in a life insurance plan accordance with Executive Orders under that chapter for the purpose of 13563 and 12866. DATES: Effective September 1, 2016. 8706(b)(1)(A) of title 5, United States Federalism FOR FURTHER INFORMATION CONTACT: Code. Rachel Royster, Senior Policy Analyst, These provisions allow a transferring Planning and Policy Analysis, U.S. We have examined this rule in employee that participated in an OTS accordance with Executive Order 13132, Office of Personnel Management, 1900 E life insurance program that is no longer Street NW., Washington, DC 20415. ‘‘Federalism,’’ and have determined that available at OCC or FDIC to have a this rule will not have any negative SUPPLEMENTARY INFORMATION: On special enrollment period for FEGLI. January 6, 2014, the U.S. Office of impact on the rights, roles and OTS maintained the Office of Thrift Personnel Management (OPM) responsibilities of State, local, or tribal Supervision Group Life Insurance published a proposed regulation at 79 governments. Program in which OCC and FDIC did FR 613. The Administrative Procedures not continue to participate. Therefore, at List of Subjects in 5 CFR Part 870 Act requires Federal agencies to publish approximately one year after the transfer a final regulation after a notice and date, July 21, 2011, OPM held a special Administrative practice and comment period. Therefore, OPM is enrollment period for transferred procedure, Government employees, Life now finalizing this rule. The rule gave employees participating in Office of insurance. special FEGLI rights to the following Thrift Supervision Group Life Insurance U.S. Office of Personnel Management. asabaliauskas on DSK3SPTVN1PROD with RULES employees who were carrying employer Program to enroll in FEGLI. The special sponsored life insurance other than Beth F. Cobert, enrollment period began on June 1, 2012 FEGLI: Employees from Office of Thrift and ended July 29, 2012. Acting Director. Supervision (OTS) transferred to Office Any employee that enrolled in FEGLI For the reasons set forth in the of the Comptroller of the Currency during this special enrollment period (OCC) and Federal Deposit Insurance will have their time in a life insurance preamble, the U.S. Office of Personnel Corporation (FDIC) under the Act (Pub. plan administered by OTS credited Management amends 5 CFR part 870 as L. 111–203). The new regulatory towards their 5 years of continuous follows: VerDate Sep<11>2014 16:43 Aug 31, 2016 Jkt 238001 PO 00000 Frm 00001 Fmt 4700 Sfmt 4700 E:\FR\FM\01SER1.SGM 01SER1

60236 Federal Register / Vol. 81, No. 170 / Thursday, September 1, 2016 / Rules and Regulations Title 5—Administrative Personnel ACTION:Final special conditions; request http://www.regulations.gov/ at any time. for comments. Follow the online instructions for PART 870—FEDERAL EMPLOYEES’ accessing the docket or go to the Docket GROUP LIFE INSURANCE PROGRAM SUMMARY: These special conditions are Operations in Room W12–140 of the issued for the Bombardier Inc. West Building Ground Floor at 1200 ■ 1. The authority citation for part 870 (Bombardier) Model BD–700–2A12 and New Jersey Avenue SE., Washington, is revised to read as follows: BD–700–2A13 airplanes. These DC, between 9 a.m. and 5 p.m., Monday Authority: 5 U.S.C. 8716; Subpart J also airplanes will have novel or unusual through Friday, except federal holidays. issued under section 599C of Pub. L. 101– features when compared to the state of FOR FURTHER INFORMATION CONTACT: 513, 104 Stat. 2064, as amended; Sec. technology envisioned in the Mark Freisthler, FAA, Airframe and 870.302(a)(3)(ii) also issued under section airworthiness standards for transport- Cabin Safety Branch, ANM–115, 153 of Pub. L. 104–134, 110 Stat. 1321; Sec. category airplanes. These design 870.302(a)(3) also issued under sections Transport Airplane Directorate, Aircraft features include systems that, directly or 11202(f), 11232(e), and 11246(b) and (c) of Certification Service, 1601 Lind Avenue as a result of failure or malfunction, Pub. L. 105–33, 111 Stat. 251, and section SW., Renton, Washington 98057–3356; affect structural performance. The 7(e) of Pub. L. 105–274, 112 Stat. 2419; Sec. telephone 425–227–1119; facsimile applicable airworthiness regulations do 870.302(a)(3) also issued under section 145 of 425–227–1232. Pub. L. 106–522, 114 Stat. 2472; Secs. not contain adequate or appropriate SUPPLEMENTARY INFORMATION: 870.302(b)(8), 870.601(a), and 870.602(b) also safety standards for these design issued under Pub. L. 110–279, 122 Stat. 2604; features. These special conditions Comments Invited Subpart E also issued under 5 U.S.C. 8702(c); contain the additional safety standards We invite interested people to take Sec. 870.601(d)(3) also issued under 5 U.S.C. that the Administrator considers part in this rulemaking by sending 8706(d); Sec. 870.703(e)(1) also issued under necessary to establish a level of safety written comments, data, or views. The section 502 of Pub. L. 110–177, 121 Stat. equivalent to that established by the 2542; Sec. 870.705 also issued under 5 U.S.C. most helpful comments reference a existing airworthiness standards. specific portion of the special 8714b(c) and 8714c(c); Public Law 104–106, DATES: This action is effective on conditions, explain the reason for any 110 Stat. 521. Bombardier on September 1, 2016. We recommended change, and include ■ 2. In § 870.701, add paragraph (f) to must receive your comments by October read as follows: supporting data. 17, 2016. We will consider all comments we § 870.701 Eligibility for life insurance. ADDRESSES: Send comments identified receive on or before the closing date for * * * * * by docket number FAA–2016–4138 comments. We may change these special (f) An individual’s period of coverage using any of the following methods: conditions based on the comments we in a life insurance plan is credited to the • Federal eRegulations Portal: Go to receive. 5 years of service under paragraph (a)(2) http://www.regulations.gov/ and follow the online instructions for sending your Background of this section if: comments electronically. On May 30, 2012, Bombardier applied (1) He/she participated in the Office • Mail: Send comments to Docket for an amendment to type certificate no. of Thrift Supervision (OTS) life Operations, M–30, U.S. Department of T00003NY to include the new Model insurance plan and transferred to the Transportation (DOT), 1200 New Jersey BD–700–2A12 and BD–700–2A13 Office of the Comptroller of the Avenue SE., Room W12–140, West airplanes. These airplanes are Currency or the Federal Deposit Building Ground Floor, Washington, DC derivatives of the Model BD–700 series Insurance Corporation under the Dodd- 20590–0001. of airplanes currently approved under Frank Wall Street Reform and Consumer • Hand Delivery or Courier: Take type certificate no. T00003NY, and are Protection Act, Public Law 111–203; comments to Docket Operations in marketed as the Bombardier Global 7000 and Room W12–140 of the West Building (Model BD–700–2A12) and Global 8000 (2) Elected FEGLI coverage during the Ground Floor at 1200 New Jersey (Model BD–700–2A13). These airplanes special enrollment period between June Avenue SE., Washington, DC, between 9 are ultra-long-range, executive-interior 1, 2012 and July 29, 2012. Evidence of a.m. and 5 p.m., Monday through business jets. the non-FEGLI period of continuous Friday, except federal holidays. coverage will be documented in a • Fax: Fax comments to Docket Type Certification Basis manner designated by OPM. Operations at 202–493–2251. Under the provisions of Title 14, Code [FR Doc. 2016–21077 Filed 8–31–16; 8:45 am] Privacy: The FAA will post all of Federal Regulations (14 CFR) 21.101, BILLING CODE 6325–63–P comments it receives, without change, Bombardier must show that the Model to http://www.regulations.gov/, BD–700–2A12 and BD–700–2A13 including any personal information the airplanes meet the applicable provisions DEPARTMENT OF TRANSPORTATION commenter provides. Using the search of the regulations listed in type function of the docket Web site, anyone certificate no. T00003NY, or the Federal Aviation Administration can find and read the electronic form of applicable regulations in effect on the all comments received into any FAA date of application for the change, 14 CFR Part 25 docket, including the name of the except for earlier amendments as agreed individual sending the comment (or upon by the FAA. [Docket No. FAA–2016–4138; Special signing the comment for an association, If the Administrator finds that the asabaliauskas on DSK3SPTVN1PROD with RULES Conditions No. 25–635–SC] applicable airworthiness regulations business, labor union, etc.). DOT’s Special Conditions: Bombardier Inc., complete Privacy Act Statement can be (i.e., 14 CFR part 25) do not contain Model BD–700–2A12 and BD–700– found in the Federal Register published adequate or appropriate safety standards 2A13 Airplanes; Interactions of on April 11, 2000 (65 FR 19477–19478), for the BD–700–2A12 and BD–700– Systems and Structures as well as at http://DocketsInfo 2A13 airplanes because of a novel or .dot.gov/. unusual design feature, special AGENCY:Federal Aviation Docket: Background documents or conditions are prescribed under the Administration (FAA), DOT. comments received may be read at provisions of § 21.16. VerDate Sep<11>2014 16:43 Aug 31, 2016 Jkt 238001 PO 00000 Frm 00002 Fmt 4700 Sfmt 4700 E:\FR\FM\01SER1.SGM 01SER1


Document Created: 2018-02-09 11:57:37
Document Modified: 2018-02-09 11:57:37
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rulemaking.
DatesEffective September 1, 2016.
ContactRachel Royster, Senior Policy Analyst, Planning and Policy Analysis, U.S. Office of Personnel Management, 1900 E Street NW., Washington, DC 20415.
FR Citation81 FR 60235 
RIN Number3206-AM81
CFR AssociatedAdministrative Practice and Procedure; Government Employees and Life Insurance
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