FSA Incentive Award Task Force
                                                                   January 10, 2007


Members of this Taskforce:

John Williams (Chairperson)                Lolla Smith – HR/EPB Staff
David Adams – EEO                                Audrey Armstrong – HR/EPB Staff
Howard Froehlick – DACO                Stephen Crisp – HR/EPB Staff
Richard Kahn – DAM                        Stephanie Brown – HR/EPB Staff
Robert Stephenson – DAFP                Angela Jackson – HR/EPB Staff
Nancy New – DAFLP
Donna Biggers – AFGE Local 3354         Facilitator
Gregory Hood – AFGE Local 3354        Joanna Barlow
Debbie Hammers – NASE
Denise Lickteig – NACS                        Steven Mikkelson – OA
Michael Slaunwhite – NADD                John Chott – DAFO
Patti McDowell – NASCOE                Dana Candler – KC/HRD
Carrie Novak – FLCA                        Walt Porzel – WDC Union
Mara Whitaker – NTEU Chapter 264

The objective for this Task Force is to design and implement a performance based award policy by April,
2007.  We were mailed a binder with lots of information to view and absorb:  

  OPM Regulation Changes – Proposed Rules
  Performance Bonus/Award Q/A’s
  QSI Value – 2007 Basic Pay Chart
  Performance Appraisal Assessment Tool (PAAT)
  Methods
  FSA Performance Award Method – Draft
  Questionnaire/Discussion Points

We had two teleconferences, one on February 7, 2007 and March 1, 2007.  During these we conversed and
shared lots of view points.  The following were the items discussed:

QUALITY INCREASE  
QSI CRITERIA
METHODS OF DETERMINING RATING BASED AWARDS ( CASH, TIME OFF – TIME OFF IN CONJUNCTION WITH
CASH AWARDS
METHODS OF DETERMINING RATING BASED AWARDS (FORMULA)
METHODS OF DETERMINING RATING BASED AWARDS (EXAMPLE)
TIME OFF AWARDS AS PART OF A RATING BASED AWARD

We were asked to fill out the questionnaire and email those back to Washington before our first
teleconference.

Finally we were given the job of recommending the following sections.  The Task Force Recommendations
are as such:  

ELIGIBILITY
   Outstanding and Superior ratings of record are eligible for rating
  based awards.
  All employees are eligible for Superior Accomplishment Awards
          
ALLOCATION OF FUNDS
   1% of Base Pay / per capita
  25% Superior Accomplishment Awards
  75% Rating Based Awards
  
METHOD OF DETERMINING RATING BASED AWARDS
     FSA determined that rating based awards will be
    Determined using a 3:1 ratio – employees with an Outstanding summary
    Rating will be granted 3 times the award amount than an employee
    With a Superior summary rating.  Can be cash lump sum or QSI                
  
QSI
   Specific criteria – most prestige rating based award
  Managed separately from cash rating based awards
  Establish review panels


TIME OFF AWARDS

   Time Off Awards are a very valuable tool in rewarding the taskforce.
  Also looking to implement Time Off Award in conjunction with cash.  
Dollar Value of a Time Off Award: Hourly Rate on Salary Table to determine the dollar value of Time Off
Award – the dollar value of a time off award is used to determine the total value of the award. Limits of Time
Off Award in Conjunction with Superior Accomplishment Awards:  Time off given in conjunction with cash
should not exceed the cash limit for Value of Benefits and Application that will be outlined in the new
notice.  There will be Limits of Time Off Award in conjunction with Cash Rating Based Awards.  Also use
time off awards need to be used when you have a limited awards budget.

The Task Force was asked in April 2007 to critique a PM Notice relating to FSA Monetary Awards – we were
asked to go through it and make sure it reflects what we as a task force wanted.  Washington expects to
release this notice by the beginning of the new fiscal year if not before.

I want to take this opportunity to thank NASE for giving me the opportunity to be a part of this most
important task force.  I was on the original Performance Management Task Force and part of that several
years ago were to come up with a good awards program, but during that time it never developed.  
Washington felt that the Awards System needed its own task force separately from the Performance
Management Task Force.  Hopefully, after all these years it will become a reality.  I really enjoyed being a
part of this task force and serving the NASE membership.  We sincerely looked at many different angles
and what would be the best for our employees.  The biggest and most single recommendation that was
given from all was to give us a fully funded award system whereby it could and would be meaningful in
every way.
                                           
Sincerely,                                

Debbie Hammers
NASE, Awards Taskforce Representative