Leave Buy Back - 15th Annual Federal Workers' Compensation ...

7/15/2013Employing Agency Portion(Continued)Additional Elements included in Pay RateIncrements of pay which may be included in thepay rate include night differential, Sunday andSaturday premium, holiday premium, andsubsistence/quarters.Overtime pay is not to be included in computingthe pay rate.Employing Agency Portion(Continued)If the employee works a regular work schedule,identify the type of additional pay and state theamount earned weekly.If irregular schedule, state the amount earned 1year prior to date of injury and date stoppedwork divided by 52.Employing Agency Portion(Continued)Additional information required to complete theEmploying Agency Portion of the CA‐7Employee’s work scheduleHealth insurance, life insurance, andretirements benefits in which they are enrolledDates continuation of pay (COP) receivedReturn to work status4

7/15/2013Employing Agency Portion(Continued)Employing agency certifies the informationprovided on Form CA‐7.Transmit to OWCP no more than 5 working daysafter receipt.What step can be taken to minimizethe time required to gather the payrate information required tocomplete the agency portion of theCA7 in order to ensure timelysubmission to OWCP?Get it in Advance!If by the 30 th day of the COP period it isanticipated the employee will file a claimfor compensation, request pay rateinformation, to include premium pay forone year prior to date of injury and dateemployee stopped work, from Payroll.You will have the information readilyavailable upon receipt of the completedCA7 from the employee.5

7/15/2013OWCP DecisionUpon receipt of the claim form, if medicalevidence supports entitlement for all hoursclaimed, the claims examiner will calculatecompensation payable.Compensation is payable directly to the injuredemployee.OWCP Decision(Continued)If all hours claimed are not payable due to lackof documentation, payment may be issued forthe portion in which entitlement is supported.A letter is sent to the employee explainingwhich dates/hours were not payable. OWCPmay provide the employee an opportunity toprovide additional evidence to support thosedates/hours not payable.CA‐7a Time Analysis FormIf the claim for compensation is for intermittentinjury related absences, the employee mustcomplete Form CA‐7a, Time Analysis Form,itemizing dates, hours, leave used, and reasons.The period covered on the CA‐7a must be the sameas the period claimed on the CA‐7.It is preferred that the claim for compensation befor a minimum of 10 hours unless it is the finalclaim.6

7/15/2013CA‐7a(Continued)Employing agency verifies absences withtimecards, medical information and certifiesForm CA‐7a.Transmit to OWCP with the CA‐7Evidence RequiredThe employee is responsible for submitting, orarranging for the submittal of, medical evidenceto OWCP which establishes both that disabilitycontinues and that the disability is due to thework related injury.If not present when the CA‐7 is received, theclaims examiner will send a letter to theemployee requesting evidence. Do not hold upthe submission of the paperwork waiting for theemployee to provide medical.Leave Buy BackWhen an employee elects to use their sickand/or annual leave to cover an injury‐relatedabsence from work, he/she may later request tobuy back the leave hours used and claimcompensation for the period of disability.An employee may not repurchase leave usedduring a period in which they were eligible forCOP.Leave donated to an employee is not restorable.7

7/15/2013Leave Buy Back(Continued)Sick or annual leave is paid at 100% of anemployee’s regular pay, while compensation ispaid at either 2/3 or 3/4 percent of anemployee’s pay; therefore, the employee maybe required to pay the difference to the agencybefore leave can be re‐credited to their account.Leave Buy Back(Continued)To initiate the leave buy back process, theemployee must complete form CA‐7a, TimeAnalysis Form, itemizing dates, hours, leaveused, and reasons and submit itthe form to thecompensation specialist.Leave Buy Back(Continued)Employing agency verifies absences withtimecards, medical information and certifiesForm CA‐7a.An agency official must indicate agencyapproval of the leave buy back request bysigning Form CA‐7b. Approval is at the agency’sdiscretion. Some facilities have a local leave buypolicy placing time restrictions on submitting aclaim to buy back leave.8

7/15/2013CA‐7b, Leave Buy Back (LBB)Worksheet/Certification andElectionThe period claimed to repurchase leave must bethe same as on Form CA‐7a.Employing agency must complete the AgencyEstimate of FECA Entitlement (Section I) of thefront of Form CA‐7b.The agency estimate consists of the weekly basepay rate and any additional elements of paymultiplied by the compensation rate (2/3 or 3/4)multiplied by the number of hours claimed on theCA‐7a divided by the total hours worked per week.CA‐7b(Continued)Fiscal/Payroll Office completes the amount dueto the agency to repurchase the leave(Section II) on the reverse of Form CA‐7b andreturns the form to the compensation specialist.Compensation specialist meets with theemployee to counsel and obtain signature ofelection to repurchase or not to repurchase theleave at this time (Section III).CA‐7b(Continued)If the employee elects not to repurchase leaveused, the forms are filed in the compensationfile.Do not submit to OWCP9

7/15/2013CA‐7b(Continued)If the employee elects to repurchase the leaveused, provide the employee Form CA‐7 formcompletion.The period of leave buy back claimed on theCA‐7 must match the period claimed on theCA‐7a and CA‐7b.Employing agency completes and certifies theCA‐7 and transmits to OWCP along with CA‐7aand CA‐7b within 5 working days after receipt.OWCP DecisionUpon receipt of the claim form, if medicalevidence supports entitlement for all hoursclaimed, the claims examiner will calculatecompensation payable.If the amount calculated is within 10% of theagency estimate, payment is issued to theagency and the employee instructed to contactthe employing agency for the amount he/shemay be required to pay to complete theprocess.OWCP Decision(Continued)If the amount of compensation payable is notwithin 10% of the agency estimate, a letter issent to the employee stating the amount ofcompensation payable py and requests theemployee indicate acceptance or declination ofthe amount of compensation offered for theleave buy back.Upon receipt of acceptance, OWCP will issuepayment to the employing agency.10

7/15/2013OWCP Decision(Continued)If all hours claimed are not payable due to lackof documentation, payment may be issued forthe portion in which entitlement is supported.A formal decision denying compensation will beissued to the employee explaining whichdates/hours were not payable. OWCP mayprovide the employee an opportunity to provideadditional evidence to support thosedates/hours not payable.Approved Leave Buy BackOnce leave buy back has been approved andany monies due by the employee has been paid,the sick and/or annual leave hours arere‐credited to the employee’s leave account.For any periods approved for leave buy back,the employee’s pay status must be changed toleave without pay (LWOP)Other Wage LossPremium PayNight differentialSunday/Saturday payOn‐call payChange to Lower GradeNote: Loss of premium pay during the period ofCOP entitlement is authorized and paid as COP.11

7/15/2013Schedule AwardIf an accepted work related injury results inpermanent impairment to a member orfunction of the body, the claimant is entitled toa schedule award.To claim compensation for a schedule award,the employee may complete the EmployeePortion of Form CA‐7.Employing agency (supervisor, compensationspecialist, and/or payroll) completes theEmploying Agency Portion and transmits toOWCP no more than 5 working days afterreceipt.Evidence RequiredTo support a schedule award, the file must containmedical evidence which shows that the impairmenthas reached a permanent and fixed state and indicatesthe date on which this occurred (date of maximummedical improved or MMI).The medical evidence must contain accuratemeasurements of the function of the organ or memberin accordance with the current edition of the AmericanMedical Association’s Guides to the Evaluation ofPermanent Impairment. The 6 th Edition went intoeffect on May 1, 2009.Correcting the RecordTimecards are corrected to reflect LWOP forperiods/dates approved for leave buy back.Periods of LWOP may result in:Leave accrual reductionReduced retirement contributionsReduced TSP contributionsRequirement to file an amended tax return12

7/15/2013Correcting the Record(Continued)When the record is corrected to reflect LWOP duringthe same tax year that the leave is used, theemployee’s earnings are reduced by the amountrepaid, and tax is not paid for the periodcompensation is received.Where leave repurchase is not completed during thesame tax year in which the leave was used, theemployee may not adjust their prior year tax formand may be required to file an amended taxreturn(s). Further questions regarding taximplications should be directed to the IRS.Correcting the Record(Continued)SF‐52, Request for Personnel Action, is requiredto record LWOP and return to duty forcontinuous periods of LWOP in excess of 80hours.SF‐50, Notification of Personnel Action, isrequired to record LWOP in Official PersonnelFile (OPF) and document period of absence ascreditable service for the period paid under5 U.S.C. Chapter 81.References20 C.F.R. 10.10220 C.F.R. 10.11120 C.F.R. 10.11220 C.F.R. 10.3335 USC U.S.C. 81105 U.S.C. 81175 U.S.C. Chapter 81FECA Procedure Manual 2‐0200FECA Procedure Manual 2‐0900FECA Procedure Manual 2‐090113

7/15/2013Questions ?14