ACD 322.1-2, Service Agreement Not Required for Retention Incentives Paid in Biweekly Installments

National Nuclear Security Administration Advance Change Directive INNSA ACD 322.1-21 Approved: 1 l-03-2023 SUBJECT: SERVICE AGREEMENT NOT REQUIRED FOR RETENTION INCENTIVES PAID IN BIWEEKLY INSTALLMENTS PURPOSE: To clarify the process within Supplemental Directive (SD) 322.1-2, Recruitment, Relocation, and Retention Incentive Program, for retention incentives paid in biweekly installments. URGENCY: To ensure National Nuclear Security Administration (NNSA) compliance with the Code of Federal Regulations (CFR) relating to retention incentives paid in biweekly installments. APPLICABILITY: This Advance Change Directive (ACD) applies to all federal employees. BACKGROUND: ACD 322.1-2 clarifies the service agreement requirements in SD 322.1-2 for retention incentives. SD 322.1-2 retention incentives can be paid in a lump sum or in set installments (annually or biweekly) during the service period. If paid i.n a lump sum or set installments during the service period, a service agreement is required. However, 5 CFR § 575.31 0(f) stipulates that retention incentives paid on a biweekly basis do not require a service agreement if paid at the full percentage rate established for eac,h employee (for example: 10% of pay for the biweekly period). Therefore, SD 322.1-2 requires the following corrections to its service agreement requirements. REQUIREMENTS: 1. Requirements under Section 7 .d., Service Agreement, are amended to move 7 .d.(2) to 7.d.(3) and insert a new requirement under 7.d.(2) that states: "For Retention Incentives, a written service agreement is not required if the agency pays the retention incentive in biweekly installments and sets each biweekly installment payment at the full retention incentive percentage rate established for the employee." 2. • The process requirements under Appendix C, Section 2.e., Service Agreement for Individual Retention Incentive, are also amended. The existing requirement is moved under 2.e.(1) and a new requirement is inserted under 2.e.(2) that states: "A written service agreement is not required if the agency pays the retention incentive in biweekly installments and sets each biweekly installment payment at the full retention incentive percentage rate established for the employee." For questions or comments concerning this ACD, please contact the NNSA Office of Human Resources (NA-MB-10) at (202) 586-9303. BY ORDER OF THE ADMINISTRATOR: Jill Hruby Administrator