Federal Newscast

The new chairman of the House Foreign Affairs Committee is putting a hold on hundreds of millions of dollars for the State Department and the U-S Agency for International Development. Chairman Brian Mast says the agencies are rushing to spend the money on projects before the start of the Trump administration. Mast says those projects include studying climate change in the Middle East and LGBTQ awareness programs in Zimbabwe.

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Political appointees who are resigning on Inauguration Day later this month have some special rules to pay attention to. A new memo from the Office of Personnel Management details how pay, benefits and leave typically work for non-career federal employees resigning at the end of an administration. Impacted appointees will mostly be ending their workdays at noon on January 20th. Because of that, OPM is telling agencies they should only receive a half day of pay. OPM added that resigning appointees should also not accrue annual and sick leave for the pay period that starts next week. That’s because they will leave their positions before

completing the full pay period.

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The American Federation of Government Employees filed an unfair labor practice against the Bureau of Prisons for its decision to close seven facilities. AFGE says this decision impacts more than 400 union members in seven states. AFGE says the bureau made the decision to close the facilities without warning or consultation with the union , which violated the terms of its labor-management agreement. In the unfair labor practice, AFGE is asking the Federal Labor Relations Authority to halt the implementation of this reorganization and require BOP to bargain with the union.

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The federal government is only paying out a small fraction of the settlement funds it set aside for victims of the 2015 Office of Personnel Management data breach. A federal court

in October 2022 finalized a $63 million settlement for those impacted by the

breach. But a recent court filing shows about the federal government paid about

$4.7 million to more than 5,000 individuals who could demonstrate harm from the

data breach. The OPM breach impacted about 22 million current and former

federal employees.

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The 119th Congress begins today and several key Senate committee federal workforce committees have new leaders. At the Homeland Security and Governmental Affairs Committee, former chairman, Gary Peters, is the new ranking member. Over at the Armed Services Committee, Democrats tapped Jack Reed from Rhode Island to be the ranking member. Senator Richard Blumenthal takes the ranking member reins at the Veterans Affairs Committee while Senator Edward Markey is the new Democratic leader of the Small Business Committee. Senator John Thune from South Dakota is the new Majority Leader. The new chairmen of the committees are expected to be finalized in the coming days.

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President-elect Donald Trump and D-C Mayor Muriel Bowser agree the federal government has more office space than its employees currently need. Bowser says her recent meeting with Trump centered on the federal workforce and underutilized federal buildings. The leaders of a new Department of Government Efficiency say they plan to bring federal employees back to the office five days a week. Trump says he also plans to challenge a new agreement the Social Security Administration made with one of its unions locking in current levels of telework for years to come.

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Two new bills from Senator James Lankford are aimed to recovering improper payments from two large programs. The first bill, the Fraudulent COVID Funds Recovery Act, would extend the statute of limitations for all pandemic-era programs for five extra years. The new statute of limitations would let law enforcement officials go after fraudsters through 2030. The second bill, the Eliminate Fraudulent Unemployment Insurance Benefits Act, would require states to withhold payments from any claimant it deems ineligible and fraudulent. It also creates new definitions to help states appropriately classify fraudulent activity. COVID era programs and the Unemployment Insurance benefits faced higher than normal levels of fraud, federal auditors found. Lankford is expected to be the chairman of the Government Operations and Border Management Subcommittee of the Homeland Security and Governmental Affairs Committee.

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Immigration and Customs Enforcement is working under a new enterprise strategy to fill workforce gaps. ICE’s 2024 annual report details how the agency used direct-hire authorities to make several hundred job offers in the past year. And ICE also made 185 tentative job offers at the Department of Homeland Security’s June hiring expo. ICE says that recruiting and hiring is a major piece of a multiyear “Enterprise Transformation Initiative” kicked off in 2024. The immigration agency is expected to ramp up recruitment under the incoming Trump administration. 

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Junior enlisted troops will receive a historic pay raise next year after President Joe Biden signed the annual defense bill into law on Monday. Other service members will get a 4.5% raise beginning January. Junior enlisted service members ranks E-1 through E-4 will see the extra ten percent added to their paycheck beginning April. The bill also increases the income eligibility threshold for the basic needs allowance to 200% of federal poverty guidelines. Congress must still authorize a full fiscal 2025 spending bill once it’s back in session.

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The Thrift Savings Plan board is reminding participants about changes to contribution limits coming for 2025. Generally, TSP participants will be able to contribute a maximum of $23,500 to their accounts next year. But participants ages 50 and up can make additional catch-up contributions of $7,500. Those ages 60 to 63 can make even higher catch-up contributions of $11,250 due to the Secure 2.0 Act. As of December, there are 7.2 million accounts in the TSP, a new record high. About 155,000 of those accounts are TSP millionaires. 

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