As stated in MRP Directive 4531.2, Programs (e.g., Agricultural Marketing Service [AMS] Fruit &Vegetable Division; Animal and Plant Health Inspection Service [APHIS] Veterinary Services; Grain Inspection, Packers and Stockyards Administration [GIPSA] Packers and Stockyards Program), have the authority to establish written policy on the circumstances in which Highest Previous Rate (HPR) will be granted for voluntary demotions and what managerial level has the authority to determine when the granting of HPR is in the Program’s best interest. Written policies should be provided to the servicing personnel office (SPO).
If a program has not established a written policy and provided a copy to the SPO, the SPO will set an employee’s rate of basic pay at the maximum rate permitted by law or regulation. Typically, this will result in the granting of HPR.
GIPSA Exception: Approval to grant HPR is only delegated to Division Directors.
Responsibilities
Managers/supervisors - In instances where the granting of HPR is optional and the Program has delegated the authority to managers and/or supervisors to make the determination, then managers/supervisors are responsible for notifying the SPO, in writing, of their determination. Negative determinations should include a justification.
Servicing Personnel Office - The SPO is responsible for setting pay in cases where HPR has been approved.
Basis for Highest Previous Rate
An employee’s rate of basic pay will be set at the maximum rate permitted by law or regulation. HPR must be based on:
A regular tour of duty; and
Temporary promotions of 1 year or more; or
An appointment not limited to 90 days or less, or for a total of at least 90 continuous days under one or more appointments with no break in service (Title 5 CFR, Part 531.203 [d][1]).
At least 90 continuous days under one or more appointments means that the employee served continuously under more than one appointment for 90 calendar days or more. Examples include a 120-day temporary appointment, or a permanent career-conditional appointment, even if the employee actually worked only 90 days or less during that appointment.
Example 1: An employee is hired as a clerk at GS-3. Several years ago, the employee received a career-conditional appointment as a GS-5, step 1, but the employee resigned 30 days later. GS-5, step 1, is the employee’s HPR because the appointment was not limited to 90 days or less.
Example 2: An employee is hired as an Agricultural Commodity Grader at GS-5. Several years ago, the employee served as a secretary at GS-7, step 1, under 2 consecutive 45-day temporary appointments. GS-7, step 1, is the HPR because the two appointments were continuous and together lasted for at least 90 calendar days.
Exclusions
HPR may not be based on:
A rate received under an appointment as an expert or consultant under 5 U.S.C. 3109;
A rate received in a position to which the employee was temporarily promoted for less than one year, except upon permanent placement in a position at the same or higher grade level;
A rate received in a position from which the employee was reassigned or reduced in grade for failure to satisfactorily complete a probationary period as a supervisor or manager;
A rate received under a void appointment or a rate otherwise contrary to applicable law or regulation;
A rate received by an employee of the government of the District of Columbia who was first employed by that government on or after October 1, 1987;
A rate received solely during a period of interim relief under the interim relief provisions of 5 U.S.C. 7701(b)(2)(A);
A rate received as a result of a locality-based comparability payment (locality rate cannot be used as the HPR);
An intermittent, on-call, or as-needed work schedule; or
A special salary rate established under 5 U.S.C. 5303; Title 5, CFR Part 530; Title 5, CFR Part 531.231; or other legal authority; unless in a reassignment to another position in the same agency:
The special rate of pay is the employee’s current rate of basic pay, and
The agency official designated with the authority to make such pay determinations finds that the employee, and his/her contribution to the program of the agency, will be greater in the position to which he/she is being reassigned. Such determinations will be made on a case by case basis, and in each case the responsible agency official will make a written record of the positive determination to use the special salary rate as an employee’s HPR. This written record will be maintained by the SPO with the staffing case file.
Simultaneous Actions
When a position or appointment change and entitlement to a higher rate of pay occur at the same time, the higher rate of pay is deemed an employee's existing rate of basic pay.
If an employee is entitled to two pay benefits at the same time, the agency will process the changes in the order which gives the employee the maximum benefit.